Instructions:

(a) Prepare the bank reconciliation at February 28, 2018

(b) Prepare the adjusting entries based on the reconciliation. (Note. The correction of any errors pertaining to recording checks should be made to Accounts Payable. The correction of any errors relating to recording cash receipts should be made to Accounts Receivable.)

The bank portion of the bank reconciliation for the Fixar Company at January 31,2018 is as follows: FIXAR COMPANY Bank Reconciliation January 31, 2018 *- Cash balance per bank Add: Deposits in transit S13,581.90 1,432.80 15,014.70 Less Outstanding checks+ Check Number Check Amount $1,089.20 930.40 844.50 734.90 1,050.00 1,396.60 3351 3370 3371 3372 3374 3375 6,045.60 Adjusted cash balance per bank $8,969.10