The Cash account in the ledger of Hensley, Inc. showed a balance of $3,100 at June 30. The bank statement, however, showed a balance of $3,900 at the same date. The only reconciling items consisted of a $700 deposit in transit, a bank service charge of $7, and a large number of outstanding checks.1. Refer to the above data. Upon completion of the bank reconciliation, a journal entry will be required to update the depositor's accounting records. This entry will inchude:______.a) a credit to Cash for $700. b) a debit to Cash for $700. c) a debit to Cash for $7. d) a debit to Bank Service Charge Expense for $7. 2. Refer to the above data. What is the total amount of the oustanding chocks a Tone 30?A) $1,513. B) $1,486.C) $1,507.D) Some other amount.