Reference no: EM132684645

The cash records of Sandhill Inc. show the following situations:

Deposits in transit:

1. The June 30 bank reconciliation indicated that deposits in transit total $2,100. During July, the general ledger account Cash shows deposits of $14,820, but the bank statement indicates that $15,810 in deposits were received during the month.
2. In August, deposits per bank statement totalled $22,570 and deposits per books were $22,940.

Outstanding cheques:

1. The June 30 bank reconciliation reported outstanding cheques of $580. During July, the Sandhill books showed that $18,310 of cheques were issued. The bank statement showed that $17,280 of cheques cleared the bank in July.
2. In August, cheques issued were $22,750 and cheques clearing the bank were $23,610.

Problem 1: What were the deposits in transit at July 31 and at August 31?

Problem 2: What were the outstanding cheques at July 31 and at August 31?