I dont under stand why outstanding check should be 1050 $, not 1550 can you explain this why also ?

*E7.25 (L06) (Bank Reconciliation and Adjusting Entries) Aragon Company has just received the August 31, 2019, bank statement, which is summarized below. County National Bank Disbursements Receipts Balance Balance, August 1 $ 9,369 Deposits during August $32,200 41,569 Note collected for depositor, including $40 1,040 42,609 interest Checks cleared during August $34,500 8,109 Bank service charges 20 8,089 Balance, August 31 8,089 The general ledger Cash account contained the following entries for the month of August Cash Balance, August 1 10,050 Disbursements in August 35,403 Receipts during August 35,000 Deposits in transit at August 31 are $3,800, and checks outstanding at August 31 total $1,550. Cash on hand at August 31 is $310. The bookkeeper improperly entered one check in the books at $146.50 which was written for $164.50 for supplies (expense); it cleared the bank during the month of August. Instructions a. Prepare a bank reconciliation dated August 31, 2019, proceeding to a correct balance b. Prepare any entries necessary to make the books correct and complete c. What amount of cash should be reported in the August 31 statement of financial position