It is September 30th and Alex has several transactions which are not reflected in either the companys book or bank account. There was interest of $4.52 earned and account fees of $5.50 charged. There was an EFT receipt of $521.30 to settle an owed amount and an EFT payment of $500 for rent. There is an outstanding cheque of $3,000 and a deposit in transit of $1,105.20. A cheque deposited last month (for $875) bounced and an NSF fee of $15.00 was charged.

Will Alexs cash book balance increase or decrease as he completes the bank reconciliation? Make the necessary journal entries.