BANK RECONCILIATION Shortly after July 31, Morse Corporation received a bank statement containing the following information: Date Checks Deposits Balance 6/30 Beg. balance $ 7,958

Question

69 users unlocked this solution today!

BANK RECONCILIATION Shortly after July 31, Morse Corporation received a bank statement containing the following information:

Date Checks Deposits Balance 6/30 Beg. balance $ 7,958 7/1 $ 1,200 9,158 7/2 $ 620 $ 550 $ 344 12,500 20,144 7/3 35 8,100 12,009 7/5 311 97 4,000 9,100 16,701 7/9 4,500 790 286 11,125 7/12 34 7,100 3,991 7/15 634 1,880 7,000 8,477 7/19 3,780 414 4,283 7/24 1,492 649 2,142 7/29 350 677* 4,620 5,735 7/31 575 18** 5,142

*NSF check

**Bank service charge December cash transactions and balances on Morse’s records are shown in the following T-account:

Cash Balance, 6/60 $7,609 Date Amount Deposited Check Number Check Amount Check Number Check Amount 7/1 $12,500 176 $8,100 186 $ 1,880 7/5 9,100 177 97 187 634 7/15 7,000 178 4,000 188 3,780 7/29 4,620 179 311 189 649 7/30 2,050 180 7,100 190 1,492 Total deposits $35,270 181 4,500 191 37 182 790 192 350 183 34 193 575 184 286 194 227 185 414 195 1,123 Total disbursements $36,379 Balance, 7/31 $ 6,500 Required:
. Prepare a bank reconciliation for July.
. Prepare the adjusting entries made by Morse Corporation as a result of this reconciliation process.
. What amount is reported as cash on the balance sheet at July 31?