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

Additional information:
1. 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.
€¢ A service charge (SC) of $49 for bank services provided throughout the month.
2. The bank statement contained one credit memorandum for $23 of interest (IN) earnedon the account for the month.
3. 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:

The bank portion of the previous month's bank reconciliation for Yap Co. at February 28, 2017, was as follows:

Instructions
(a) Prepare a bank reconciliation at March 31.
(b) Prepare the necessary adjusting 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.)
Taking It Further
The company will prepare entries to record items found in the above bank reconciliation (see part [b] in the instructions). Describe any other follow-up actions required regarding the other reconciling items in Yap Co.'s bank reconciliation.

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16494 3 $1 1 1 1 2 1 3, 2, 87 15 28 58125491 2111 30 80 25 79 49 70 71 72 73 SF 75 77 76 34 N 3 33 74 78 ,N 80 SC 34 34 34670147 20 21 26 2 2 2 72 73 74 75 76 77 78 79 80 81 34673491811 3 325 5 10 14 20 25 31 YAP Co. Bank Reconciliation February 28,2017 Cash balance per bank Add: Deposits in transit $12,742 2,530 15,272 Less: Outstanding cheques #3451 #3470 #3471 $2,260 1,535 845 4,640 $10,632 Adjusted cash balance per bank