Madison Company's cash ledger reports the following for the month ending March 31.1 Date Deposits: 3/4 Amount $1,900 No. Date Checkat 541 3/2 Amount $ 5,700 3/11 1,200 542 3/8 3/18 3,500 543 3/12 3/25 3,200 544 3/19 800 2,700 1,300 Cash receipts: 3/26- 3/31 2,600 545 3/27 500 $ 12,400 546 3/28 547 3/30 600 1,300 Balance on March 1 $ 6,400 $12,900 Receipts Disbursements 12,400 (12,900) Balance on March 31 $ 5,900 Information from March's bank statement and company records reveals the following additional information: a. The ending cash balance recorded in the bank statement is $7,744. b. Cash receipts of $2,600 from 3/26-3/31 are outstanding. c. Checks 545 and 547 are outstanding. d. The deposit on 3/11 included a customer's check for $460 that did not clear the bank (NSF check). e. Check 543 was written for $3,300 for office supplies in March. The bank properly recorded the check for this amount. f. An automatic withdrawal for March rent was made on March 4 for $1,000. g. Madison's checking account earns interest based on the average daily balance. The amount of interest earned for March is $58. h. Last year, one of Madison's top executives borrowed $4,450 from Madison. On March 24, the executive paid $4,720 ($4,450 borrowed amount plus $270 interest) directly to the bank in payment for the borrowing. i. The bank charged the following service fees: $31 for NSF check, $17 for automatic withdrawal for rent payment, and $26 for collection of the loan amount from the executive. 1. Prepare a bank reconciliation for March 31. (Amounts to be deducted should be indicated with a minus sign.) MADISON COMPANY Bank Reconciliation Bank's Cash Balance Before reconciliation March 31 Company's Cash Balance Before reconciliation After reconciliation After reconciliation 2. Record the necessary cash adjustments. (If no entry is required for a transaction/event, select "No Journal Entry Required" in the first account field.) View transaction list Journal entry worksheet