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Skysong, Inc.’s bank statement from Main Street Bank at August 31,2017, gives the following information. Balance, August 1 $18,710 Bank debit memorandum: August deposits 71,310 Safety deposit box fee $ 85 Checks cleared in August 68,618 Service charge 110 Bank credit memorandum: Balance, August 31 21,312Interest earned 105 A summary of the Cash account in the ledger for August shows thefollowing: balance, August 1, $19,010; receipts $74,310; disbursements$73,510; and balance, August 31, $19,810. Analysis reveals that the onlyreconciling items on the July 31 bank reconciliation were a deposit intransit for $4,860 and outstanding checks of $4,560. In addition, youdetermine that there was an error involving a company check drawn in August: A check for $400 to a creditor on account that cleared the bankin August was journalized and posted for $40. ‘ (3) Determine deposits in transit. Deposits in transit $
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