=+Cash balance according to company’s records Add: Outstanding checks $ 7,115.35 Error by Lock-It Co. in recording Check No. 1007 as $4,715 instead of $4,175 540.00 Note for $5,000 collected by bank, including interest 5,375,00 Deduct: Deposit in transit on October 31 $13,690.45 Bank service charges _45.00 Cash balance according to bank statement

$ 9,305.60 13,030.35

$22,335.95 13,735.45

$ 8,600.50