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

REQUIRED:
1. Prepare a bank reconciliation for July.
2. Prepare the adjusting entries Morse Corporation should make as a result of the reconciliation process.
3. What amount should be reported as cash on the balance sheet at July 31?

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DATE CHECKS DEPOSITS BALANCE 6/30 Beginning 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. July cash transactions and balances on Morse's records are shown in the following T-account.