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

December cash transactions and balances on Morse's records are shown in the following T-account:

Required:
1. Prepare a bank reconciliation for July.
2. Prepare the adjusting entries made by Morse Corporation as a result of this reconciliation process.
3. What amount is reported as cash on the balance sheet at July31?

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Checks DepositsBalance 6/30 Beg. balance $ 620 550 344 12,50020,144 1 4,000 9,10016,701 4 2 1 9 NSF check Bank service charge Cash Balance, 6/60 Check DepositedNumber Amount Number Amount Check 186 $1,880 7 8 188 180 190 Total deposits $35,270 182 183 4 Total disbursements Balance, 7/31 S 6,500