The March bank statement showed the following for Yap Co$.$:

YAP CO$.$Bank StatementMarch $31,2024$

Cheques and Other Debits

Date

Number

Amount

Deposits

Amount

Feb. $29$

$$12,742$

Mar. $3$

$3470$

$$1,535$

$$2,530$

$13,737$

$4$

$3471$

$845$

$12,892$

$6$

$3472$

$1,427$

$1,221$

$12,686$

$7$

$3473$

$275$

$12,411$

$10$

NSF

$595$

$11,816$

$11$

$3475$

$487$

$1,745$

$13,074$

$14$

$3477$

$915$

$12,159$

$17$

$3476$

$1,828$

$2,283$

$12,614$

$20$

$1,832$

$14,446$

$21$

$3474$

$2,330$

$12,116$

$26$

$3478$

$1,080$

$2,657$

$13,693$

$31$

LN

$1,125$

$12,568$

$31$

$3480$

$1,679$

$10,889$

$31$

SC

$49$

IN $23$

$10,863$

Additional information:

The bank statement contained three debit memoranda:

An NSF cheque of $$595$ that Yap had deposited was returned due to insufficient funds in the maker$$s bank account. This cheque was originally given to Yap by Mr$.$ Jordan, a customer, in payment of his account. Yap believes it will be able to collect this amount from Mr$.$ Jordan.

A bank loan payment $($LN$),$ which included $$125$ of interest and a $$1,000$ payment on the principal. $($Hint: Use Notes Payable.$)$

A service charge $($SC$)$ of $$49$ for bank services provided throughout the month.

The bank statement contained one credit memorandum for $$23$ of interest $($IN$)$ earned on the account for the month.

The bank made an error processing cheque #$3478.$ No other errors were made by the bank.

Yap$$s unadjusted cash balance per its general ledger on March $31$ is $$8,495.$ Yap$$s list of cash receipts and cash payments showed the following for March:

Cash Receipts

$$

Cash Payments

Date

Amount

Date

Cheque No$.$

Amount

Mar. $5$

$$1,221$

Mar. $3$

$3472$

$$1,427$

$10$

$1,745$

$4$

$3473$

$725$

$14$

$2,283$

$6$

$3474$

$2,330$

$20$

$1,832$

$7$

$3475$

$487$

$25$

$2,675$

$13$

$3476$

$1,828$

$31$

$1,025$

$14$

$3477$

$915$

Total

$$10,781$

$19$

$3478$

$1,380$

$21$

$3479$

$159$

$28$

$3480$

$1,679$

$31$

$3481$

$862$

$31$

$3482$

$1,126$

Total

$$12,918$

The bank portion of the previous month$$s bank reconciliation for Yap Co$.$ at February $29,2024,$ was as follows:

YAP CO$.$Bank ReconciliationFebruary $29,2024$

Cash balance per bank

$$12,742$

Add: Deposits in transit

$2,530$

$15,272$

Less: Outstanding cheques

#$3451$

$$2,260$

#$3470$

$1,535$

#$3471$

$845$

$4,640$

Adjusted cash balance per bank

$$10,632$

Instructions

Prepare a bank reconciliation at March $31.$

Prepare the necessary journal entries at March $31.($Note: The correction of any errors in the recording of cheques should be made to Accounts Payable. The correction of any errors in the recording of cash receipts should be made to Accounts Receivable.$)$