=+2. Illustrate the effects on the accounts and financial statements ofthe bank reconciliation.

The cash account for Cabrillo Co. at March 1, 2008, indicated a balance of $10,676.67. During March, the total cash deposited was $39,146.38, and checks written totaled $42,918.40. The bank statement indicated a balance of $10,960.06 on March 31. Comparing the bank statement, the canceled checks, and the accompanying memoranda with the records revealed the following reconciling items: