Designs on You The following information relates to the companys May bank reconciliation:

Bank statement balance	$5,000
Unadjusted cash balance from the company records	?
Deposit in transit	1,000
Outstanding checks	500
Bank service charges	50
Interest earned on the bank account	10
Customer's NSF check returned by the bank	25

In addition, a check was recorded in the accounting records as $1,200 but the correct amount as recorded by the bank was only $1,000. Refer to Designs on You. What is the net amount of the adjustments to the companys cash balance as a result of the bank reconciliation process?

		$210 increase
		$135 increase
		$135 decrease
		$65 decrease