Kipling Company deposits all receipts and makes all payments by check. The following information is available in the cash registers.

June 30 Bank Reconciliation
Balance by bank $7,000
Plus: Deposits in transit 1,540
Deduct: Outstanding checks (2,000)
Balance by books $6,540
Results for the month of July
Balance as of July 31 By Bank $8,650 By Books $9,250
July deposits By bank 4,500 By books 5,810
Jul Checks by bank 4,000 by books 3,100
July bill cashed (not included in July deposits) by bank 1,500 by books—
Joul bank service charge by bank 15 by books—
July NSF check from customer, returned by bank 335 for books —
(recorded by bank as a charge)

Instructions
(a) Prepare a bank reconciliation from the balance by bank and balance by book to the correct cash balance.
(b) Prepare the general journal entry or entries to correct the Cash account