The July cash records of Fitzgerald, Inc., follow:
Fitzgerald’s Cash account shows the balance of $6,078 on July 31. On July 31, Fitzgerald received the following bank statement:
Additional data for the bank reconciliation: a. The EFT deposit was a receipt of rent revenue. The EFT debit was payment of insurance expense. b. The NSF check was received from a customer. c. The $1,300 bank collection was for a note receivable. d. The correct amount of check number 1419 is $218. Fitzgerald, Inc., mistakenly recorded the check for $128.
Requirement 1. Prepare Fitzgerald, Inc.’s bank reconciliation on July31.