Designs on You the Following Information Relates to the Company's

Multiple Choice

Designs on You The following information relates to the company's May bank reconciliation:
$\begin{array}{ll} \text { Bank statement balance } &\$ 5,000 \\ \text { Unadjusted cash balance from the company records } &? \\ \text { Deposit in trensit } &1,000 \\ \text { Outstanding checks } &500 \\ \text { Bank service charges } &50 \\ \text { Interest earned on the bank account } &10 \\ \text { Customen's NSF check returned by the bank } &25\end{array}$ In addition,a check was recorded in the accounting records as $1,200 but the correct amount as recorded by the bank was only $1,000.

-Refer to Designs on You.What is the net amount of the adjustments to the company's cash balance as a result of the bank reconciliation process?

A) $210 increase
B) $135 increase
C) $135 decrease
D) $65 decrease