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Madison Company's cash ledger reports the following for the month ending March 31. Deposits: Date 3/2 Amount $ 5,500 3/8 Date 3/4 3/11 3/18 3/25 3/26- 3/31 No. Checks: 541 542 543 544 500 Amount $ 1,100 1,200 3,600 3,200 2,100 3/12 3/19 2,100 1,600 400 Cash receipts: 545 3/27 $ 11,200 546 547 3/28 3/30 700 1,200 $12,000 Balance on March 1 Receipts Disbursements Balance on March 31 $ 5,900 11,200 (12,000) $ 5,100 Information from March's bank statement and company records reveals the following additional information: a. The ending cash balance recorded in the bank statement is $6,834. b. Cash receipts of $2,100 from 3/263/31 are outstanding. C. Checks 545 and 547 are outstanding. d. The deposit on 3/11 included a customer's check for $460 that did not clear the bank (NSF check). e. Check 543 was written for $2,700 for office supplies in March. The bank properly recorded the check for this amount. f. An automatic withdrawal for March rent was made on March 4 for $1,300. g. Madison's checking account earns interest based on the average daily balance. The amount of interest earned for March is $59. h. Last year, one of Madison's top executives borrowed $4,350 from Madison. On March 24, the executive paid $4,610 ($4,350 borrowed amount plus $260 interest) directly to the bank in payment for the borrowing. i. The bank charged the following service fees: $36 for NSF check, $19 for automatic withdrawal for rent payment, and $20 for collection of the loan amount from the executive. 1. Prepare a bank reconciliation for March 31. (Amounts to be deducted should be indicated with a minus sign.) MADISON COMPANY Bank Reconciliation March 31 Bank's Cash Balance Company's Cash Balance Before reconciliation Before reconciliation After reconciliation $ 0 After reconciliation 0 2. Record the necessary cash adjustments. (If no entry is required for a transaction/event, select "No Journal Entry Required" in the first account field.) View transaction list Journal entry worksheet Record the entries that increase cash. Note: Enter debits before credits. Transaction General Journal Debit Credit 1 Record entry Clear entry View general journal

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