Problem: Entries for Bank Reconciliation
The following data were accumulated for use in reconciling the bank account of Nakajima Co. for July:
Cash balance according to the company's records at July 31, $20,890.
Cash balance according to the bank statement at July 31, $21,760.
Checks outstanding, $4,240.
Deposit in transit, not recorded by bank, $3,410.
A check for $340 issued in payment of an account was erroneously recorded in the check register as $430.
Bank debit memo for service charges, $50.
Journalize the entries that should be made by the company, part (a) Error and part (b) Service Charge. If an amount box does not require an entry, leave it blank.