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Consider the following situations for Company A: Situation #1: On the June 30 bank reconciliation, deposits in transit total $720. During July, the Cash account

Consider the following situations for Company A: Situation #1: On the June 30 bank reconciliation, deposits in transit total $720. During July, the Cash account in the general ledger shows deposits of $15,750. The bank statement for July shows that $15,600 in deposits were received during the month. Situation #2: On the June 30 bank reconciliation, outstanding checks were $680. During the month of July, the Cash account in the general ledger shows that $17,200 of checks were issued. The bank statement showed that $16,400 of checks cleared the bank in July. Situation #3: In September, deposits per the bank statement totaled $26,700, deposits per books were $25,400, and deposits in transit at September 30 were $2,100. Situation #4: In September, cash disbursements per books were $23,700, checks clearing the bank were $25,000, and outstanding checks at September 30 were $2,100. In all 4 situations, there were no bank debit or credit memos. Also, no Cash account errors were made by either the bank of the company. In situation #3, the deposits in transit at August 31 were $ ___________.

a. $3,100

b. $2,100

c. None of these answers are correct

d. $1,870

e. $3,400

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