In comparing the canceled checks on the bank statement with the entries in the accounting records, it is found that check number 4234 for October's rent was correctly written and drawn for $3, 590 but was erroneously entered in the accounting records as $7365. When reconciling the October bank statement, the company should: Deduct $375 from the bank statement balance. Add $3775 to the book balance of cash. Deduct $3775 from the book balance of cash. Add $3, 875 to the bank statement balance. Add $7365 to the book balance of cash