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Financial Accounting and Reporting
Assignment: Bank Reconciliation
Gregorio, Wynona Jean C
...
"Asuna" Company provided the following information:
Balance per books, August 31
Deposits in transit
Bank service charge
Check written and recorded on August 31 but was mailed on September 5 (included in outstanding
checks)
Outstanding checks
Draw against insufficient fund (DAIF) checks
Proceeds of customer’s note collected by the bank:
Principal
Interest
Bank charges
Customer’s check recorded as receipt on August 25 (dated September 5) included in the deposit in
transit
Certified checks
Creditor's check written and recorded August 15 but dated September 23 (included in outstanding
checks)
Balance per bank statement
What is the adjusted cash balance on August 31?
a
...
P200,000
c
...
P215,000
Solution:

50,000
2,500
(500)

Balance per Book
Add: Credit Memo
Add: Proceeds of Customer's
Note Collected
Undelivered Check
Postdated CheckSeptember 23
Less: Debit Memo
Add: DAIF Checks
Bank Service Charge
Postdated Check-Sept
...
In preparing the bank reconciliation of "GON FREECS" Company for December 31, 2018 the following data were gathered:
Undeposited collections
NSF checks (of which P10,000 had been redeposited and cleared by the bank by December 28)
Proceeds of customer note collected by the bank
Proceeds of bank loan, December 1 discounted for 6 months at 12% not yet recorded on Company
books
Depositor’s note charged to account
December bank charges (of which P20,000 was recorded by the Company in December)

₱400,000
100,000
500,000
940,000
400,000
50,000

Checks written by the Company during December (of which P350,000 was not yet presented to the
bank)

950,000

Outstanding checks, November 30 (P50,000 was presented for payment during December)
Amount erroneously credited by the bank to the entity’s account

200,000
130,000

Gon also discovered a customer check for P50,000 payable to "Gon" that had not yet been deposited and had not been recorded
...

Q1
...
P1,550,000
b
...
P500,000
d
...
If the cash balance per bank as of December 31, 2018 is P760,000, How much is the cash balance per book as of December 31, 2018?
a
...
(P290,000)
c
...
P630,000
Solution:
Q1 Cash balance per book
Add: Credit Memos
Proceeds from note collection
Proceeds of bank loan
Outstanding Checks (350k + (200k-50k))
Bank Error
Book Error
Less: Debit Memos
Depositor's note
NSF Checks
Less: cleared portion
Bank Service Charges
Less: recorded portion
Deposit in Transit
Add: Undeposited Collections
Unrecorded Check
Bank Error

500,000
500,000
940,000

1,440,000
500,000
130,000
50,000

400,000

-

100,000
10,000
50,00020,000 -

90,000
30,000- -

520,000-

400,000
50,000

450,000
100,000

Cash Balance per bank

-

Book Statement
Cash balance per book
Add: Credit Memos
Proceeds from note collection
Proceeds of bank loan
Less: Debit Memos
Depositor's note
NSF Checks
Less: cleared portion
Bank Service Charges
Less: recorded portion
Book Error: Unrecorded Check
Adjusted Cash Balance

1,550,000-

500,000

Bank Statement
Unadjusted Bank Balance
Add: Deposit in Transit

1,440,000

Less: Outstanding Checks
Bank Error
Add: Bank Error
Adjusted Balance

500,000
940,000

400,000

-

100,000
10,000
50,00020,000 -

Deposit in Transit
Add: Undeposited Collections
Unrecorded Check
Bank Error
Less: Credit Memos
Proceeds from note collection
Proceeds of bank loan
Outstanding Checks

30,000- -

Q2 Cash balance per bank
Add: Debit Memos
Depositor's note
NSF Checks
Less: cleared portion
Bank Service Charges
Less: recorded portion

90,000
120,00050,000
1,470,000-

760,000
400,000
100,000
-

10,000
50,00020,000 -

90,000
30,000- 400,000
50,000

500,000
940,000

520,000-

450,000
100,000

1,440,000
500,000

Bank Error
Book Error
Cash balance per book

-

130,000
50,000
290,000-

3
...
credited by the bank in error to “Ezra” company
Erza company neglected to make an entry for the payment of an account payable
...
P2,680,000
b
...
P2,173,000
d
...
"Quincy" Company's accountant prepared the following bank reconciliation for March 2018:

Balance per book
Add: Credit Memo-Proceeds for promissory note
Less: Bank Error
Checkbook printing charges
Service Charge
Unrecorded Check
Adjusted Balance

Balance per bank statement, March 31
Add: Deposit in transit
Total
Less: Outstanding checks
Bank credit recorded in error
Balance per book, March 31

150,000
8,000

The bank statement for April 2018 contains the following:
Total deposits including credit memo of P10,000
Total charges including service charge of 2,000
All outstanding checks on March 31 including the erroneous bank credit were cleared in bank in April 2016
...


Q1
...
P230,000
b
...
P234,000
d
...
What is the cash balance per bank on April 30, 2018?
a
...
P238,000
c
...
P160,000
Q3
...
P230,000
b
...
P234,000
d
...
/12mos
...


8?

8?

-

-

1,550,000450,000
500,000
130,000
100,000
1,470,000-

omissory note

97k+3K=100k

2,249,000
100,000
80,000
6,000
3,000
80,000
2,180,000

200,000
118,000
318,000
158,000
160,000

190,000
156,000

cks of P15,000 and deposit in transit

Q2

Q3

April
230,000

10,000

(2,000)
238,000
234,000

19,000

(15,000)
238,000



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