- When money, is paid into the » Arle phone re Chapter |: B66. 280 | fonk reconciliation statements Teat yourself let Bank veconciliotion should be coxsied out in ordey to explain why O94 diPPesences have arisen. honk, the arnount appeass ov the cvedit side of the bank statement because if io the larmount owed by the bank to the customer. Test yourself 4:2 «| "Cheque nok opt presented” °° 199 ) These ase the cheques which howe been paid by the | business and entered on the cxedit side of the cashbooks but nek hover’: appeased on the bonk statement, + Dishonoused cheque, cheque recieved whieh A dishorroused cheque 1% > The debtows bank veluses to POY: bill [salary to he staf? | othes boxes [electsicity ‘bill: > W-B. pg- 18 @? |- 3.ta |- To exploin why the diPRxences between cosh book and eo] | staternent have avisen - a To identity armounts not yet cxedited. | et identify cheques nok yet psesentted | “Ta veflect accurabe sneorne and expenses. chy. the bank account im the cash book ig a secosd of ronsaction a3 they offect the business. ‘Money paid into the honk 19 debited and money drain | From the bonk 19 credited. | cey| becouse these was on unpreserrted cheque vehich vo: 28454 which had been xecorded in the bonk account of cash back fe in August but hed not appear on the bank statement in the sa Same month. a Updated Cashbook CBank eslumm only) pate Details __ $ [date Details $Y | 2008 | lek Dividend vecieed ZN | oct Balance b/d nae lock Balorce. eld 434] Lock Tasusance Ws lock Fast @ West 290 Cashorouxed cheque) | VOck Bank chaxges Soe | Total 138 Total 938 2008 onary co | 10ck — Balonce bla 34 eciut |sok Olea Sa Wendy ak |_ Bonk seconciliation statement at 80 Septernbex 20-8 eee Balonce shown- on bank stoternent fea Ind: Arndunts not yot credited Tice : | Cosh Sales | 10% 5S Pee nee! |Less: Cheque nok yet psesented . es) oe C1500) 3 Bolomce shown in cash book aGssa5 I \ Dwight rata meres Rohe 0443 3} WO] back veconciliatton statement on 30 June 20-0 | 3 $ | Bark Balance shown on bonk statement 3540 Ada papa not yet credited Cash sales 435 | Chere eecieved Prom Hi- fashion L 4d a4e | Berrnuda Road Boutique ee 1364 jessy Cheques, not yet cxedited | beach Stseet Stoses 245 | ¥ 182 Torraica Road Botique ‘ | Kingston Kids Ltd 304 Cs) 5 ares [Balance shown in cash book| 4s | a Rosnindey oe | biadates cath book (Bank columa ae Date eos g [dete Details (200% ‘root ‘Van Balanee eld S280|10 Jan ALP Ton Aswan. 2400|I7 Tan Hasson 30 Tan Ahmed Ba /ee Tan Rates 24 Ton Wages 31 Tan Balance ¢/d Tota) Lag Total foot 2004 31Ton Balance b/d S2eYS Ton 36 Londlosds Ltd Cxent) 9) Tan Bank charges Sian Balonee eld | “Total 5224 Total | 200 Feb Bolonce b/d 41669 ernie ee Se | le ne 950, 3059 685 1850 5224 11464 45 COC 110 4 664 5224 it «dyRernainder a a Bank reconciliation atoteroent at Tamuasy 20-4 es folanee shown on bank stoternent Su35 Add: Amounts not yet cxedited Ahmed aS Jess: Cheques not yet preserrted Woges Balance Shown in cosh book 0) ones cheques ae ay y These ase “cheques ushich have been paid by the business and entesed on the cxedit side of the cash book, but which do rot appeay on the bank stotement. iy Dengunts nok cxedited These ose cosh and cheques that have been paid into he bank statement ond entesed onthe debit side of the cosh beck, beat which do not appeax on the bank statement. eC Memeepee iad |) lt id ovoid time delay, cash con be given. Fos speedy payerent , credit. transPew by bank can be used.a 2 Christina susie ae @ Lpdated cash book (Bank columns only = j a aa —__ te D Detail Date Detasls $ _ | Sate a $ 0-4 (ried Pee 31 0ct Balotee b/d Bes Oct Bank chovges 194 ‘. 31 Oct Trsuvance ep | at Oct Balance old ea] Total 3280) Total 3289 20041 | INov Balance bid 23el| ieee nae eee a b Cheating Bank veeoncilintion statement at 31 Oct 20-4 te $ $ ‘z Balance shown on bank statement 203 Add: Armounts not yet exedited Coah sales ors | Bonk esro~ 450 239d | Less: Cheques not get presented : é | Wilma, oa | eae | Balance shocn in cash bee e5tl f {© |Bank - Curvent Asset —— c Zeger e [Test gowsell \4.3 wa] cassenk asset p Debit bolanee - SiN * Fam atyle - questions grey 50] Ello S . Updated Cash Book Chank colurans only) Date Detsbils $ Dole Details feo-7 20-4 Bi May Balance bld QO |51 Moy Dishonaured cheque | Imag Bank charges i Moy Overcarted 31 May Balance eld | Tatel 410 Total 20-4 | Notes: Motor insusance $46 * charge bo Ella’s personal account B.6. 2022by > bi se | 64 Bank reconciliation stateroent at 3) May Pony 5 [Balance shown on bank statement Ane Add: Aroounts not get exedited 6a4 Sales \ Bank exvor (motor insurance of personal x6 | vehvele) — Te Less: Cheques nok yet psesented Tames (4 Balance shown on cash book ay Ello. —__, Statement of fimomeial position at 3] May %-F $ 76.09 Yotiah Bank xeconciliation statement at 30 June % $ 4$ Balance shown on bank stotement (2018) |Add: Amounts wot yet pxoseaked credited = | Cash sales sae Bank exxor aaa ne |Loss: Cheques nok get presented Hernish 428 Ben } A10 c13%8) OE TY Cashed | Balance Shown on cash book gy +1000 = (39B =-e36e 4 = - 2556 + 338 | | | y = ~ 2018 | |rien statementis correct about a b 1 1 tecontains bank charges and standing orders is partof the double entry book-kee ¢ Itisprepared by the bank. ping records, {p itisprepared by the trader. bank reconciliation statement was prepared starting with the b the bankstatement. Which item would be deducted? [A bank error resulting in the account being incorrectly di B cash book error resulting in the balance being ¢ cheque not yet credited _/ cheque not yet presented ebited overstated 3 The bank column of a trader's cash book shower a «i agree with the balance on the bank statement on tt were found: Cheque not yet presented 134 Bank charges a Rent paid by credit transfer 310 What was the balance on the bank statement? B $765 debit © $1139 credit ast two reasons why it is useful for Zafar to reconcile his cash book with the bank tevery month. WB 92, 1% Ne ete the following table by placing tick in the correct, ank reconciliation statement? lance at bank shown or D $1139 debit column to indicate ‘each item would be used to update the cash book or would appear in the 1