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Oscars Red Carpet Store maintains a checking account with Academy Bank. Oscars sells carpet each day but makes bank deposits only once per week. The

Oscars Red Carpet Store maintains a checking account with Academy Bank. Oscars sells carpet each day but makes bank deposits only once per week. The following provides information from the companys cash ledger for the month ending February 28, 2021.

Information from February's bank statement and company records reveals the following additional information:

  1. The ending cash balance recorded in the bank statement is $11,730.
  2. Cash receipts of $1,400 from 2/262/28 are outstanding.
  3. Checks 325 and 327 are outstanding.
  4. The deposit on 2/11 includes a customer's check for $350 that did not clear the bank (NSF check).
  5. Check 323 was written for $2,800 for advertising in February. The bank properly recorded the check for this amount.
  6. An automatic withdrawal for Oscar's February rent was made on February 4 for $1,200.
  7. Oscar's checking account earns interest based on the average daily balance. The amount of interest earned for February is $180.
  8. In January, one of Oscar's suppliers, Titanic Fabrics, borrowed $5,600 from Oscar. On February 24, Titanic paid $5,800 ($5,600 borrowed amount plus $200 interest) directly to Academy Bank in payment for January's borrowing.
  9. Academy Bank charged service fees of $100 to Oscars for the month.
  10. image text in transcribedimage text in transcribedimage text in transcribed2. Record the necessary cash adjustments.
Required information [The following information applies to the questions displayed below.) Oscar's Red Carpet Store maintains a checking account with Academy Bank. Oscar's sells carpet each day but makes bank deposits only once per week. The following provides information from the company's cash ledger for the month ending February 28, 2021. Date Deposits: No. 321 322 Date 2/2 2/ 8 2/4 2/11 2/18 2/25 2/26-2/28 Amount $ 2,500 Checks: 2,100 3,000 3,900 1,400 $ 12,900 Amount $ 4,500 550 2,300 2,000 350 323 271 Cash receipts: 324 2/19 3252/27 326 2/28 3272/28 850 1,700 $ 12,250 Balance on February 1 Receipts Disbursements Balance on February 28 $ 6,600 12,900 (12,250) $ 7,250 Information from February's bank statement and company records reveals the following additional information: a. The ending cash balance recorded in the bank statement is $11,730. b. Cash receipts of $1,400 from 2/26-2/28 are outstanding. c. Checks 325 and 327 are outstanding. d. The deposit on 2/11 includes a customer's check for $350 that did not clear the bank (NSF check). e. Check 323 was written for $2,800 for advertising in February. The bank properly recorded the check for this amount. f. An automatic withdrawal for Oscar's February rent was made on February 4 for $1,200. g. Oscar's checking account earns interest based on the average daily balance. The amount of interest earned for February is $180. h. In January, one of Oscar's suppliers, Titanic Fabrics, borrowed $5,600 from Oscar. On February 24, Titanic paid $5,800 ($5,600 borrowed amount plus $200 interest) directly to Academy Bank in payment for January's borrowing. 1. Academy Bank charged service fees of $100 to Oscar's for the month. View transaction list Journal entry worksheet Record the amounts that increase cash. Note: Enter debits before credits. Transaction General Journal Debit Credit Record entry Clear entry View general journal View transaction list Journal entry worksheet

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