Sarcon Corp. prepares monthly bank reconciliations of its checking account balance. The bank statement for October, 2014, indicated the following: Balance, October 31, 2014 $7,920 Service charge for October 20 Interest earned during October 30 NSF check from Grey Corp. (deposited by Sarcon) 32 Note ($1,000) and interest ($40) collected for Sarcon from a customer 1,040 An analysis of canceled checks and deposits and the records of Sarcon revealed the following items: Checking account balance per Sarcon books $7,170 Outstanding checks as of October 31 952 Deposit in transit at October 31 1,310 Error in recording a check issued by Sarcon. (Correct amount of the check is $450, but was recorded as a cash disbursement of $540. The check was issued to pay for merchandise purchases.) 90 REQUIRED: Prepare a bank reconciliation at October 31, 2014 in proper form.