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Financial Accounting and Reporting Assignment: Bank Reconciliation Gregorio, Wynona Jean C. BACC1A
- "Asuna" Company provided the following information:
Balance per books, August 31 Deposits in transit Bank service charge Check written and recorded on August 31 but was mailed on September 5 (included in outstanding checks) Outstanding checks Draw against insufficient fund (DAIF) checks Proceeds of customer’s note collected by the bank: Principal 50, Interest 2, Bank charges (500) Customer’s check recorded as receipt on August 25 (dated September 5) included in the deposit in transit Certified checks Creditor's check written and recorded August 15 but dated September 23 (included in outstanding checks) Balance per bank statement
What is the adjusted cash balance on August 31?
a. P210, b. P200, c. P205, d. P215,
Solution:
Balance per Book ₱150,000 Balance per Bank Add: Credit Memo Add: Deposit in Transit Add: Proceeds of Customer's Note Collected (^) 52,
Less:Postdated Checks- September 5 Undelivered Check 10,000 Less: Outstanding Checks Postdated Check- September 23 5,000 67,000 Less :Undelivered Check
Less: Debit Memo
Postdated Check- September 23 Add: DAIF Checks 5,000 Certified Checks Bank Service Charge 2,000 Adjusted Bank Balance Postdated Check-Sept.5 10,000 17, Adjusted Book Balance ₱200,
- In preparing the bank reconciliation of "GON FREECS" Company for December 31, 2018 the following data were gathered:
Undeposited collections ₱400,
NSF checks (of which P10,000 had been redeposited and cleared by the bank by December 28) 100, Proceeds of customer note collected by the bank 500, Proceeds of bank loan, December 1 discounted for 6 months at 12% not yet recorded on Company books 940, Depositor’s note charged to account 400,
December bank charges (of which P20,000 was recorded by the Company in December) 50, Checks written by the Company during December (of which P350,000 was not yet presented to the bank) 950,
Outstanding checks, November 30 (P50,000 was presented for payment during December) 200, Amount erroneously credited by the bank to the entity’s account 130,
Gon also discovered a customer check for P50,000 payable to "Gon" that had not yet been deposited and had not been recorded. The amount is not yet included in the above u
Cash Balance per bank - 1,550,000-
Book Statement Cash balance per book 500,000 Bank Statement Add: Credit Memos Unadjusted Bank Balance Proceeds from note collection 500,000 Add: Deposit in Transit Proceeds of bank loan 940,000 1,440,000 Less: Outstanding Checks Less: Debit Memos Bank Error Depositor's note 400,000 Add: Bank Error NSF Checks 100,000 Adjusted Balance Less: cleared portion 10,000 90, Bank Service Charges - 50,000- Less: recorded portion 20,000 - 30,000- - 120,000- Book Error: Unrecorded Check 50, Adjusted Cash Balance - 1,470,000-
Q2 Cash balance per bank Add: Debit Memos 760, Depositor's note 400, NSF Checks 100, Less: cleared portion 10,000 90, Bank Service Charges - 50,000- Less: recorded portion 20,000 - 30,000- - 520,000- Deposit in Transit Add: Undeposited Collections 400, Unrecorded Check 50,000 450, Bank Error 100, Less: Credit Memos Proceeds from note collection 500, Proceeds of bank loan 940,000 1,440, Outstanding Checks 500,
Bank Error 130, Book Error 50, Cash balance per book - 290,000-
- In preparing the bank reconciliation at December 31, 2018, "Erza" Corporation had the following:
Balance in checking account per bank statement (outstanding checks, P500,000) 2,700, Checkbook printing charges 6, Proceeds from a customer promissory note collected by the bank, net of P3,000 service charge 97, Check issued by the supplier entered in the books as P210,000 but deducted in the bank statement at an erroneous amount of 120, Deposit of “Erza” Corp. credited by the bank in error to “Ezra” company 70, Erza company neglected to make an entry for the payment of an account payable. The check was already paid by the bank for 80, Balance per books ????
What is the adjusted cash balance? a. P2,680, b. P2,360, c. P2,173, d. P2,180,
Solution: Balance per Bank 2,700,000 Balance per book
Less: Outstanding Checks 500,000 Add: Credit Memo-Proceeds for promissory note Bank Error 210,000 Less: Bank Error recorded Balance 120,000 90,000 Checkbook printing charges Add: Bank Error-unrecorded check 70,000 Service Charge Adjusted Balance 2,180,000 (^) Unrecorded Check Adjusted Balance
- "Quincy" Company's accountant prepared the following bank reconciliation for March 2018:
Solution: Balance per bank-March 31 200, Add: Bank Deposits- April 190, Less: Bank Disbursments- April 156, Balance per bank-April 30 234,
Balance per bank- April 30 234, Add: Deposit In transit- April 19, Less: Outstanding Checks- April 15, Adjusted cash balance 238,
Adjusted Cash Balance 238, Less: Credit Memo- April 10, Add: Bank Service Charge- April 2, Balance per book- April 30 230,
Proof of Cash Quincy Company Proof of Cash For the month of April March Receipts Disbursement Balancce per book 160,000 81,000 11, Note Collected: March - - April 10, Service Charge: March - - April 2, Adjusted Book Balance 160,000 91,000 13,
Balance per Bank 200,000 190,000 156, Deposit in Transit: March 118,000 (118,000)
April 19, Outstanding Checks: March (150,000) (150,000) April 15, Bank Error (8,000) (8,000) Adjusted Bank Balance 160,000 91,000 13,
bawas na ung interest sa principal
Principal Amount (940,000/ (12% (6mos./12mos.)))
Principal amount= (940,000/ (100%- 6%))
= (940K/94%)
amount is not yet included in the above undeposited collections.
97k+3K=100k
- ₱150, - 80, - 2, - 10, - 90, - 5, - 52, - 10, - 15, - 5,
- omissory note 100, - 80, - 6, - 3, - 80,
- 200,
- 118,
- 318,
- 158,
- 160,
- 190,
- 156,
