The following items may or may not be relevant to a company's bank reconciliation:
1. The company recorded a deposit as $540, but it correctly cleared the bank for $450.
2. A check recorded for $1,000 is shown on the bank statement as a $1,000 reduction to the cash balance.
3. The bank statement shows a $25 monthly service fee.
4. A $3,250 deposit made by the company is not reflected on the bank statement.
5. Payment received from a customer is reflected on the bank statement but not on the company's books.
Required
Identify whether each item is
(a) An addition to or subtraction from the book balance
(b) An addition to or subtraction from the bank balance
(c) Not included on a bank reconciliation