Bank Reconciliation – Proof of Cash

Assignment

Shown below is the May 31, 2018, bank reconciliation prepared by your client’s staff.

RECONCILIATION
May 31, 2018
Bank balance 652,000
Add: Deposit in transit 10,000
Total 662,000
Less: Outstanding checks
No. 640 10,000
652 8,000
653 2,000
Adjusted bank balance P642,000

Book balance P570,800

Add: Proceeds of note receivable collected in May 70,000
Deposit on May 31 not recorded on books until June 2,000 72,000
Total P642,800
Less: Bank service charge 800
Adjusted book balance P642,000

The June 2018 bank statement is shown below:

Pasig Bank
Period covered: May 31, 2018 - June 30, 2018
Account No.: 0021261

Date Checks Deposits

June 1 8,000 10,000
June 8 2,000
June 11 14,000 20,000
June 13 1,000 – DM 1,000
June 16 4,000
June 21 12,000 56,000
June 27 18,000
June 29 1,000 – EC 1,000 – EC
June 30 200 – SV
June 30 3,000 – DM

SV- Service Charge

EC – Error Corrected
DM – Debit Memo
CM – Credit Memo

The paid checks accompanying this bank statement (all clearing in lune) are the following:
No. 652 P8,000
No. 653 P2,000
No. 654 P14,000
No. 655 P 4,000
No. 657 P12,000
No. 658 P18,000

The check register reveals that the last check issued in June is No. 659 for P5,000 and that check no. 656 is for
P2,600.

Cash received for the period June 22 through June 30 of P70,000 was deposited in the bank on July 1.
The debit memos on June 13 and June 30 represent customers' NSF checks returned by the bank. The June 13 NSF
check was immediately redeposited without entry. The June 30 NSF check was redeposited on July 1 without entry.

Compute the following: Provide your solutions:

1. Total Bank Receipts in June
2. Total Bank Disbursements in June
3. Balance per bank statement on June 30, 2018
4. Total Book Receipts in June
5. Total Book Disbursements in June
6. Book Balance on June 30, 2018