Paradise Valley College Adama TVET program

Occupational Standard: Account and budget support Level- III

Unit title: Balance Cash Holding
Individual Assignment
Project 1:The following information is available to you to reconcile SHALO PLC balance
cash with its bank statement balance as of December 31,2015.

A) The cash balance per book of the company was Br 6,815.30 December 31,2015
B) The cash balance per bank statement was Br 7,050.80 on December 31,2015
C) The bank collected a note receivable of Br 1,200.00 from GAGIM PLC on December
48, plus Br 48.00 of interest. The bank made a Br 10.00 charge for collection
D) On the December 31 receipt of Br 1,820.40 was not included in bank statement. The
receipt was deposited by the company in a night depository.
E) The company issued check No 2480 to SHEWA company, a creditor Br 492
incorrectly entered in the cash payment journal on December 10 Br 429
F) Checks written prior to December 31 that had not cleared by bank total of Br 1,480.90
G) The bank erroneously deducted Br 25 check drawn from the bank by DERU company
H) On December 31 the bank statement marked as NSF check of Br 550
I) The bank service charge for December was Br 25.00
Required tasks:

Task 1.1 prepare the bank reconciliation as of December 31,2015

Task 1.2 prepare the necessary adjusting entries at December 31,2015

Project 2: The following data pertain to Nunn company.

A) Balance per bank statement dated March 31, 2008 is birr 8,900
B) Balance of the cash account on the co. as of March 31,2008 is birr 8,918

C) Birr 2,600 deposit of March 31 was not collected ( indicated ) on the bank statement

D) Of the checks recorded cash disbursement in March some checks totaling birr 2,100
have not yet recorded by the bank

E) Service & collection charges for the month of March birr 20

F) The bank erroneously charged the Nunn Company’s account of birr 400 check of
another Company

G) The bank credited the Company’s account with birr 2,000 proceeds to non-interest
bearing notes that it collected for the Company

H) A customer’s of birr 150 check marked NSF was returned with the bank statements

I) As directed the bank paid charged to the company’s account of birr 1,015 non-interest
bearing notes, Nunn Company. The Company has not recorded this payment

J) A cash receipt of birr 263 was recorded in the cash receipt journal as birr 236

K) The bank credited the Company’s account for birr 40 interest earned on the
Company’s checking account

Required Tasks:
Task 2.1 prepare bank reconciliation as of March 31,2008
Task 2.2 prepare the necessary journal entries

Project 3:
A) On May 31, 2002 Selam Company showed a balance in its cash account of Br
38,820.

B) On June 2, Selam received its bank statement for the month ended May 31,
which showed an ending balance of Br 66,040.
 C) A matching of debits to the cash account on the books with deposits on the bank
statement showed that Br 10,040 receipts of May 31, are included in cash but not
included as deposit on the bank statement.

D) An examination of checks issued and checks cleared showed three checks

outstanding:

✓No 9544 …………….. Br 6,440

✓No 9545 …………….. Br 3,360

✓No 9546 …………….Br 14,460

Total ……………….Br 24,260

E) Include with the bank statement a credit memo for Br 24,500 (principal of Br
24,000 + 600 interest) for collection of a note owed to Selam by ship Company.

F) Include with the bank statement is a Br 20,400 debit memo for an NSF check
written by Kemal and deposited by Selam.

G) Charges made to Selam’s account include Br 240 for safe deposits box rent
and Br 160 for service charge.

H) Check No 9550 for 10,160 to Taylor Company for the statement of account
payable recorded in the cash payments journals as Br 18,460.

Required Tasks:
Task3.1 Prepare Bank Reconciliation
Task 3.2 Pass the necessary journal entries