Daisy Company received a bank statement for February, as follows: From: Central Bank, Denver, CO 80222

To: Daisy Company, 1313 Williams St., Denver, CO 80218

SC ¼ Service Charge NSF ¼ Check Returned
CM ¼ Credit Memo DM ¼ Debit Memo
The receipt of $460 on February 14 was for a $445 note collected by the bank, plus $20 current interest, minus a $5 service charge. The company's accounting records contained the following information:
Cash balance on February 28 from the books: $2,610.42

1. Prepare bank reconciliation on February 28, 2013, for Daisy.
2. Prepare the journal entries that Daisy should record as a result of the reconciliation.

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Date Checks Deposits Balance Feb. 1 $4,524.80 $2,700.33 3,484.81 $8,642.61 6.00 SC 460.00 CM 274.09 4,133.60 21 3,385.49 69.69 NSF $6,344.38 Cash Disbursements Cash Receipts Check No. 155 156 157 158 159 160 $2,700.33 3,484.81 274.09 589.02 4,133.60 2,742.63 Feb. 7 21 $8,624.61 3,385.49 All receipts are verified and correct.