Shamrock, Inc.s bank statement from Main Street Bank at August 31, 2017, gives the following information.

Balance, August 1		$18,590		Bank debit memorandum:
August deposits		71,190		Safety deposit box fee		$ 90
Checks cleared in August		68,613		Service charge		115
Bank credit memorandum:				Balance, August 31		21,072
Interest earned		110

A summary of the Cash account in the ledger for August shows the following: balance, August 1, $18,890; receipts $74,190; disbursements $73,505; and balance, August 31, $19,575. Analysis reveals that the only reconciling items on the July 31 bank reconciliation were a deposit in transit for $4,865 and outstanding checks of $4,565. In addition, you determine that there was an error involving a company check drawn in August: A check for $400 to a creditor on account that cleared the bank in August was journalized and posted for $40.

Determine deposits in transit.

Deposits in transit

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Determine outstanding checks. (Hint: You need to correct disbursements for the check error.)

Outstanding checks

$

Prepare a bank reconciliation at August 31. (List items that increase balance as per bank & books first.) SHAMROCK, INC. Bank Reconciliation

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Journalize the adjusting entries to be made by Shamrock, Inc. at August 31. (Credit account titles are automatically indented when amount is entered. Do not indent manually.)

Date	Account Titles and Explanation	Debit	Credit
Aug. 31
	(To record Interest earned)
Aug. 31
	(To correct error in recording check)
Aug. 31
	(To record service charge and safety deposit box fee)