Problem 4-2A Prepare the bank reconciliation and record cash adjustments (LO4-5) (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. No. Deposits: Date 2/4 2/11 2/18 2/25 2/26-2/28 Amount $ 2,350 Checks: 1,950 2,850 3,750 1,250 $ 12,150 321 322 323 324 325 Date 2/2 2/8 2/12 2/19 2/27 Amount $ 4,350 650 2,150 1,850 450 Cash receipts: 326 2/28 950 327 2/28 1,550 $11,950 Balance on February 1 Receipts Disbursements Balance on February 28 $ 6,450 12,150 (11,950) $ 6,650 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 $10,665. b. Cash receipts of $1,250 from 2/262/28 are outstanding. c. Checks 325 and 327 are outstanding. d. The deposit on 2/11 includes a customer's check for $450 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 $165. h. In January, one of Oscar's suppliers, Titanic Fabrics, borrowed $5,300 from Oscar. On February 24, Titanic paid $5,500 ($5,300 borrowed amount plus $200 interest) directly to Academy Bank in payment for January's borrowing. i. Academy Bank charged service fees of $100 to Oscar's for the month. OSCAR'S RED CARPET STORE Bank's Cash Balance Bank Reconciliation February 28, 2021 Company's Cash Balance $ 10,665 Per general ledger 1,250 EFT for rent Per bank statement Deposits outstanding Checks outstanding NSF check 450 Interest on account Interest on note Note collected Service fees 100 Bank balance per reconciliation Company balance per reconciliation