(Learning Objective 3: Using the bank reconciliation as a control device) The cash data of Dunlap Automotive for July 20X6 follow:

Dunlap received the following bank statement on July 31, 20X6: ■ spreadsheet Additional data for the bank reconciliation include the following:

a. The EFT deposit was a receipt of monthly rent. The EFT debit was a monthly insurance payment.

b. The unauthorized signature cheque was received from a customer.

c. The correct amount of cheque number 3115, a payment on account, is $1,360.
(Dunlap’s accountant mistakenly recorded the cheque for $1,630.)
❙ Requirements 1. Prepare the Dunlap Automotive bank reconciliation at July 31, 20X6.
2. Describe how a bank account and the bank reconciliation help the general manager control Dunlap’s cash.