If a check correctly written and paid by the bank for $585 is incorrectly recorded in the company's books for $558, how should this error be treated on the bank reconciliation?
a) Subtract $27 from the bank's balance.
b) Subtract $27 from the book balance.
c) Subtract $27 from the bank's balance and add $45 to the book's balance.
d) Add $27 to the bank's balance.
e) Add $27 to the book balance.