Required information 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. Amount $4,650 Date Date Amount No. $2,650 Checks: Deposits: 2/4 2/11 2/18 2/25 2/2 2/8 2/12 2/19 2/27 321 2,250 3,150 4,050 1,550 322 450 323 2,450 2,150 324 Cash receipts: 2/26-2/28 250 325 $13,650 2/28 326 750 2/28 1,850 327 Balance on February 1 $12,550 $6,750 Receipts Disbursements 13,650 (12,550) $7,850 Balance on February 28 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 $12,795. b. Cash receipts of $1,550 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 $250 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 $195. h. In January, one of Oscar's suppliers, Titanic Fabrics, borrowed $5,900 from Oscar. On February 24, Titanic paid $6,100 ($5,900 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. Problem 4-2A Part 1 Required: . Prepare a bank reconciliation for Oscar's checking account on February 28, 2021. (Amounts to be deducted should be indicated with a minus sign. Total entries to the same account together when entering in the bank reconciliation.) OSCAR'S RED CARPET STORE Bank Reconciliation February 28, 2021 Bank's Cash Balance Company's Cash Balance Per general ledger Per bank statement Company balance per reconciliation Bank balance per reconciliation