Bank reconciliation and entries. The following information was taken from the accounting records of Pal¬metto Company for the month of January: Balance per bank $6,150 Balance per company records 3,580 Bank service charge for January 20 Deposits in transit 940 Interest on note collected by bank 100 Note collected by bank 1,000 NSF check returned by the bank with the bank statement 650 Outstanding checks 3,080
a. Prepare Palmetto's January bank reconciliation.
b. Prepare any necessary journal entries for Palmetto.