Valentine Investigations has the following information for its cash account:

Balance, 1/31 ..............$ 5,030

Deposits during February ......... 93,160

Checks written during February ...... 92,270

Valentine's bank statement for February contained the following information:

A comparison of company records with the bank statement provided the following data:

Required:
1. Prepare a bank reconciliation.
2. Prepare adjusting entries for Valentine based on the information developed in the bankreconciliation.

Balance per bank, 1/31 Add: February deposits $6,730 90,190 $96,920 $89,790 80 630 Less: Checks paid in February Bank service charge Debit memo (electric bill) 90,500 $ 6,420 Balance per bank, 2/28 At 1/31 S 510 2,210 At 2/28 $3,480 4,690 Deposits in transit Outstanding checks