On March 31, 2010, Home Decorating Pavilion received a bank statement containing a balance of $9,750. The balance in the firm's checkbook and Cash account on the same date was $10,290. The difference between the two balances is caused by the items listed below. * A $2,875 deposit made on March 30 does not appear on the bank statement. * Check 358 for $485 issued on March 29 and Check 359 for $1,650 issued on March 30 have not yet been paid by the bank. * A credit memorandum shows that the bank has collected a $1,100 note receivable and interest of $110 for the firm. * A service charge of $25 appears on the bank statement. * A debit memorandum shows an NSF check for $525. (The check was issued by Dane Smithey, a credit customer.) * The firm's records indicate that Check 341 of March 1 was issued for $900 to pay the month's rent. However, the canceled check and the listing on the bank statement show that the actual amount of the check was $800. * The bank made an error by deducting a check for $560 issued by another business from the balance of Home Decorating Pavilion's account.

Requirements

Prepare the bank reconciliation at March 31, 2010.

Journalize any transactions required from the bank reconciliation.