Question

2. The cash ledger account of Real Company shows a dobit balance of er 10.592.66 on Dec. 31 year 5. The bank statement indicates a balance on deposit of Rr 12.269 02 on Dec. 31 Receipts of Dec 31 in the amount of Br 1.144.60 were left in the bank's night depository on Dec 31 but were not included in the bank statement. The December bank statement included adott memo of Br 13.50 for service charges for December. A credit momo included with a hank statement uticated not receivable in the amount of Br 2000 let with the bank for collection. The note had been collected and credited to the Real Company's account for Br 2,030 including interest revenue of Br 30. Comparison of the pahil checks with the check stutis indicates that check mo #21 for Bt 463.90 on Dec 15 for squisition of office cquipment hint been entered erroneously in the cash payment Journal 1 tr 436. im adition, the following checks kasued in Dec Yeurs bad not been paid by the bank 1 Check #811 Bir 421.96 Check 814 93.00 Check 23 250.00 Check 23. 1165) Finally, an examination of the accounting records indicated that the bank had collected Bt 10.000 for Real Company on Dec.31 year 5 representing the maturity value of a government treasury bill, but the bank did not credit Real's account until January 2 years. The wemment treasury will had been acquired by the bank for Real at disciunt of Br 9.652 and had been recorded cont in short-term investment ledger account by real Company NSF checks of the comer XYZ. Company charged by the bank which minists to Be 50 #) Prepare bunk conciliation for the mesh of December 31 b) Prepare jumal entries required by the reconciliation c) Prepare proof of conhecidering the following asalitional information . Bank Statement fue December Indicated that the toul deposit of cash during December were Br24.38142 • Total check paid including bank service charge of t 13.50 amanted to Br 19.25966 on December 31. years • Balance as of Nov 30 year 5 bank statement i Br 6947.26. Deposit in transitas ar Nov 30 years were 1055.52 Be Outstanding checks on Nov 30 years were 68142

Answer 1

Bank Reconciliation Statement for the month of dec is attached as below

Bank reconciliation statement of Real company Al on 31 December years. Particulars Amount Amount 10,592.66 421.96 Balance at per Cash Book Add: (a) cheque issued but not presented for payment i cheque no. 811 cheque no. 814 (1) cheque no. 822 Cheave no. 823 b) Bills sent for collection received with interest but not shown in pass book. ران 93.00 250.00 116.50 2030.00 2911.46 13,504.12 1144.60 13. So Less (a) Amount deposited but not shown in pass book (b) service charges deducted but not shown in Cash book wrongly entered in cas book against Cheque no.821 Nsf check charged by Bank but not shown in cash book Amount 27.00 50.00 1235.1 Balance as pes Bank Statement 12,269.02