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BANK RECONCILIATION - Addtl Probs
BANK RECONCILIATION - Addtl Probs
Additional Problems
Try to solve these first on your own. Without further notice, I will post the final answers on or before February 28, 2023.
PROBLEM 1
The bank statement for the checking account of Cisco Systems, Inc. (CSI) showed a December 31, 2023 balance of P1,463,212.
Information that might be useful in preparing a bank reconciliation is as follows:
Required:
a. Prepare bank reconciliation.
b. Prepare adjusting entries.
PROBLEM 2
During your audit of Kim Possible Corporation, you established the following data concerning the cash position as of December 31, 2023:
Required:
a. How much is the cash shortage/(overage)?
b. What is the adjusted cash balance?
PROBLEM 3
The following data pertaining to the cash transactions and bank account of Act, Count & See Company for the month of May are available
to you:
Cash balance per records, P17,194; Cash balance per bank statement, P31,948; Debit memo for the cost of printed checks
delivered by the bank, P125; Bank service charge, P109; Outstanding checks, P6,728; Deposit of May 30 not recorded by bank
until June 1, P4,880; Proceeds of a bank loan of May 30 (net of interest of P300), P5,700; Proceeds from a customer’s promissory
note (including interest of P100), P8,100; Check no. 2772 issued to a supplier entered in the accounting records at P2,100 but
deducted in the bank statement at an erroneous amount of P1,200; Stolen check lacking an authorized signature deducted from
Act, Count & See’s account by the bank in error, P800; Customer’s check returned by the bank marked NSF wherein no entry
has been made in the accounting records to record the returned check, P760
PROBLEM 4
Shanghai Knights Company has prepared its bank reconciliation at March 31 taking the following information into account: Deposit in
transit, P1,500; Outstanding checks, P2,800; Bank charges shown in the bank statement but not recorded in the cash book, P125. The
adjusted cash book balance per bank reconciliation was a debit balance of P2,060. What was the balance as shown on the bank
statement at March 31?
a. P760 b. P885 c. P3,360 d. P3,485
PROBLEM 5
The August 31 bank statement of Winx Club Company showed a balance of P113,000. Deducted in arriving at this amount was a
customer’s NSF check for P2,400 that had been returned. Winx Club had received no prior notice concerning this check. In addition to
the bank statement, other records showed there were deposits in transit totaling P17,200 and that outstanding checks totaled P10,800.
What is the cash balance per books at August 31 prior to adjustments?
a. P115,400 b. P117,000 c. P119,400 d. P121,800