After preparing Ranger Security Systems' bank reconciliation in Starter 8-7, journalize the company's transactions that arise from the bank reconciliation. Date each transaction May 31, 2014, and include an explanation with each entry.
In Starter 8-7
The Cash account of Ranger Security Systems reported a balance of $2,480 at May 31, 2014. There were outstanding cheques totalling $900 and a May 31 deposit in transit of $200. The bank statement, which came from Royal Bank, listed a May 31 balance of $3,800. Included in the bank balance was a collection of $630 on account from Kelly Brooks, a Ranger customer who pays the bank directly. The bank statement also shows a $20 service charge and $10 of interest revenue that Ranger earned on its bank balance.