Tiny Corp. prepares monthly bank reconciliations of its checking account balance. The bank statement for October 2009 indicated the following:
Balance, October 31, 2009 ……………………………………..$7,920
Service charge for October …………………………………….. 20
Interest earned during October ………………………………… 30
NSF check from Green Corp. (deposited by Tiny) ……………. 32
Note ($1,000) and interest ($40) collected for Tiny
from a customer ………………………………………………… 1,040
An analysis of canceled checks and deposits and the records of Tiny revealed the following items:
Checking account balance per Tiny’s books ……………………. $7,170
Outstanding checks as of October ……………………………… 31 952
Deposit in transit at October 31 ………………………………… 1,310
Error in recording a check issued by Tiny. (Correct amount
of the check is $450, but was recorded as a cash disbursement 
of $540. The check was issued to pay for merchandise 
originally purchased on account.) ………………………………. 90

Required:
1. Prepare a bank reconciliation at October 31, 2009, in proper form.
2. Record any necessary adjusting journal entries.