Problem 1.

In preparing the bank reconciliation for the month of December 2023, Case Company
provided the following data:
Balance per bank statement 3,800,000
Deposit in transit 520,000
Amount erroneously credited by bank to Case account 40,000
Bank service charge for December 2023 5,000
NSF Check 50,000
Outstanding checks 675,000

What is the adjusted cash in bank?

What is the unadjusted cash in bank balance per book?

Problem 2. Luzon Company provided the following data for the month of December.
Balance per book 1,000,000
Bank Service Charge 3,000
Outstanding checks 235,000
Deposit in transit 300,000
Customer note collected by the bank 375,000
Interest on customer note 15,000
Customer check returned – NSF 62,000
Depositor’s payment of note payable charged to account 250,000

What is the adjusted cash in bank?

What is the unadjusted cash in bank balance per bank statement?
 Problem 3. The cash records of Company X show the following for the month of January.

CASH RECEIPTS CASH DISBURSEMENTS

May 5 60,000 Check no. 721 5,000

May 13 20,000 Check no. 722 10,000

May 25 30,000 Check no. 723 18,000

May 31 40,000 Check no. 724 2,000

150,000 Check no. 725 37,000

Check no. 726 28,000

100,000

The balance of the cash in bank on the depositor’s book is 50,000.

The following is the bank statement for May received from the Neu Bank.

Date Check no. Withdrawals Deposits Balance

6-May 60,000 60,000

8-May 721 5,000 55,000

11-May 722 10,000 45,000

12-May 723 18,000 27,000

14-May 20,000 47,000

17-May 724 2,000 45,000

26-May 30,000 75,000

26-May 15,000 CM 90,000

30-May 5,000 RT 85,000

31-May 1,000 SC 84,000

NOTE: The CM represents proceeds of note collected by the bank in favor of the company. The RT
represents check of customer deposited previously but returned by the bank because of NSF. The SC
represents bank service charge.