- The cash book of Mr. Karan shows Rs.2,60,400 as the balance of bank as on 31st December, 2021 but you find that it does not agree with the balance as per the bank pass book. On analysis, you found the following discrepancies:
(i) On 15th ‘December, 2021 the payment side of the cash book was overcast by Rs.10,000.
(ii) A cheque for Rs. 1,18,000 issued on 6th December, 2021 was not taken in the bank Column.
(iii) On 20th December, 2021 the debit balance of Rs. 8,460 as on the previous day, was brought forward as credit balance in the cash book.
(iv) Of the total cheques amounting to Rs. 12,370 drawn in the last week of December 2021, cheques aggregating Rs. 9,360 were encashed in December, 2021.
(v) Dividends of Rs.35,000 collected by the bank and fire insurance premium of Rs.7,900 paid by the bank were not recorded in the cash book.
(vi) A cheque issued to a creditor of Rs. 1,75,000 was recorded twice in the cash book.
(vii) Bill for collection amounting to Rs.53,000 credited by the bank on 21st December, 2021 but no advice was received by Mr. Karan till 31st December, 2021.
(viii) A Customer, who received a cash discount of 3% on his account of Rs.60,000 paid a cheque on 10th December, 2021. The cashier erroneously entered the gross amount in the bank column of the cash book.
You are required to prepare the bank reconciliation statement as on 31st December,[2022 December – 10 Marks ]
Balance as per the Pass Book: Rs.4,25,630
- From the following particulars, prepare a Bank Reconciliation Statement on 31st March 2021
Particulars Amount (Rs.) Bank balance as per Pass Book 25,00,000 Bills discounted dishonored not recorded in Cash Book 12,50,000 Cheque received entered twice in Cash Book 25,000 Bank charges entered twice in Cash Book 5,000 Insurance premium paid directly by Bank under standing instruction 1,50,000 Cheque issued but not presented to Bank for payment 12,50,000 Cheque received, but not sent to Bank 28,00,000 Cheque deposited in Bank, but no entry passed in the Cash Book 12,50,000 Credit side of the Bank column cast short 5,000 [2022 May – 5 Marks ]
Balance as per Cash Book: Rs.42,25,00
- According to the cash book of G, there was a balance of Rs. 4,45,000 in his bank on 30th June, 2021. On investigation you find that :
(i) Cheques amounting to Rs.60,000 issued to creditors have not. been presented for payment till the date.
(ii) Cheques paid into bank amounting to Rs.1,10,500, out of which cheques amounting to Rs.55,000 only collected by the bank up to 30th June 2021.
(iii) A dividend of Rs.4,000 and rent amounting to Rs.60,000 received by the bank and entered in the pass-book but not recorded in the cash book.
(iv) Insurance premium(up to 31st December, 2021) paid by the bank Rs. 2, 700 not entered in the cash book.
(v) The payment side of the cash book had been under cast by Rs.500.
(vi) Bank charges Rs.150 shown in the pass book had not been entered in the cash book.
(vii) A bill payable of Rs.20,000 had been paid by the bank but was not entered in the cash book and bill receivable for Rs.6,000 had been discounted with the bank at a cost of Rs.100 which had also not been recorded in cash book.
You are required:
(1) To make the appropriate adjustments in the cash book, and
(2) To prepare a statement reconciling it with the bank pass book.[2021 December – 10 Marks ]
Balance as per Adjusted Cash Book Rs. 4,91,550 ; Bank Balance as per Pass Book: Rs.4,96,050
- From the following information, ascertain the Cash Book balance of Mr. Bajaj as on 31st March, 2021:
(i) Debit balance as per Bank Pass Book Rs. 3,500.
(ii) A cheque amounting to Rs.2,500 deposited on 15th March, but the same was returned by the Bank on 24th March for which no entry was passed in the Cash Book.
(iii) During March, two bills amounting to Rs. 2,500 and Rs. 500 were collected by the Bank but no entry was made in the Cash Book.
(iv) A bill for Rs. 5,000 due from Mr. Balaji previously discounted for Rs. 4,800 was dishonored. The Bank debited the account, but no entry was passed in the Cash Book.
(v) A Cheque for Rs. 1,500 was debited twice in the cash book.[2021 July – 5 Marks ]
Balance as per Cash Book: Rs.2,500
- Prepare a Bank Reconciliation Statement from the following particulars as on 31st December, 2020 :
Particulars Rs. Bank Balance as per Cash book (Debit) 1,98,000 Bank Charges debited by the bank not recorded in Cash Book 34,000 Received from debtors vide RTGS on 31st December, 2020 not recorded in Cash Book 1,00,000 Cheque issued but not presented for payment 45,000 Cheque deposited but not cleared 25,000 Cheque received and deposited but dishonoured. Entry for dishonour not made in the Cash Book 5,000 Instruction for payment given to the bank on 31st December, 2020 but the same effected by the Bank on 1st January, 2021 4,000 [2021 January – 5 Marks ]
Balance as per Pass Book: Rs.2,83,000
- On 31-3-2020, Mahesh’s Cash Book showed a Bank overdraft of Rs. 98,700, On comparison he finds the following:
(1) Out of the total cheques of Rs.8,900 issued on 27th March, one cheque of Rs.7,400 was presented for payment on 4th April and the other cheque of Rs.1,500 handed over to the customer, was returned by him and in lieu of the a new cheque of the same amount was issued to him on 1st April, No entry for the return was made
(2) Out of total cash and cheques of Rs.6,800 deposited in the Bank on 24th March, one cheque of Rs.2,600 was cleared on 3rd April and the other cheque of Rs.500 was returned dishonoured by the bank on 4th April.
(3) Bank charges Rs.35 and Bank interest Rs. 2,860 charged by the bank appearing in the passbook are not yet recorded in the cash book.
(4) A cheque deposited in his another account of Rs.1,550 wrongly credited to this account by the bank.
(5) A cheque of Rs.800, drawn on this account, was wrongly debited in another account by the bank.
(6) A debit of Rs.3,500 appearing in the bank statement for an unpaid cheque returned for being ‘out of date’ had been re-dated and deposited in the bank account again on 5th April 2020.
(7) The bank allowed interest on deposit Rs.1,000.
(8) A customer who received a cash discount of 4% on his account of Rs.1,00,000 paid a cheque on 20th March, 2020. The cashier erroneously entered the gross amount in the bank column of the Cash Book.
Prepare Bank Reconciliation Statement as on 31-3-2020.[2020 November – 10 Marks ]
- On 30th September, 2018, the bank account of XYZ, according o the bank column of the cash book, was overdrawn to the extent of Rs.8,062. An examination of the Cash book and Bank Statement reveals the following:
(i) A cheque for Rs.11,14,000 deposited on 29th September, 2018 was credited by the bank only on 3rd October, 2018.
(ii) A payment by cheque for Rs.18,000 has been entered twice in the Ca.sh book.
(iii) On 29th September, 2018, the bank credited an amount of Rs. 1,15,400 received from a customer of XYZ, but the advice was not received by XYZ until 1st October, 2018.
(iv) Bank charges amounting to Rs.280 had not been entered in the cash book.
(v) On 6th September 2018, the bank credited Rs.30,000 to XYZ in error.
(vi) A bill of exchange for Rs. 1,60,000 was discounted by XYZ with his bank. The bill was dishonoured on 28th September, 2018 but no entry had been made in the books of XYZ.
(vii) Cheques issued upto 30th September,2018 but not presented for payment upto that date totalled Rs.13,46,000.
(viii) A bill payable of Rs. 2,00,000 had been paid by the bank but was not entered in the cash book and bill receivable for Rs. 60,000 had been discounted with the bank at a cost of Rs. 1,000 which had also not been recorded in cash book.
You are required:
To show the appropriate rectifications required in the cash book of XYZ, to arrive at the correct balance on 30th September, 20l8 and to prepare a Bank Reconciliation Statement as on that date.[2019 November – 10 Marks ]
- Prepare the Bank Reconciliation Statement of M/s. R.K. Brothers on 30th June 2018 from the particulars given below
(i)The Bank Pass Book pad a debit balance off Rs. 25,000 on 30th June, 2018-
(ii) A cheque worth Rs. 400 directly deposited into Bank by customer but no entry was made in the Cash Book.
(iii) Out of cheques issued worth Rs.34,000, cheques amounting to Rs. 20,000 only were presented for payment till 30th June, 2018.
(iv) A cheque for Rs. 4,000 received and entered in the Cash Book but it was not sent to the Bank.
(v) Cheques worth Rs.20,000 had been sent to Bank for collection but the collection was reported by the Bank as under.
(l) Cheques collected before 30th June, 2018, Rs.14,000
(2) Cheques collected on lOth July, 2018, Rs.4,000
(3) Cheques collected on 12th July, 2018, Rs.2,000
(vi) The Bank made a direct payment of Rs.600 which was not recorded in the Cash Book.
(vii) Interest on Overdraft charged by the bank Rs.1,600 was not recorded in the Cash Book.
(viii) Bank charges worth Rs.80 have been entered twice in the cash book whereas Insurance charges for Rs.70 directly paid by Bank was not at all entered in the Cash Book.
(ix) The credit side of bank column of Cash Book was under cast by Rs. 2,000.[2019 May – 10 Marks ]
- Prepare a bank reconciliation statement from the following particulars as on 3s1 March, 2018.
(i) Debit balance as per bank column of the cash book Rs.18,60,000
(ii) Cheque issued, to creditors but not yet presented to the Bank for payment Rs.3,60,000
(iii) Dividend received by the bank but not entered in the Cash book Rs.2,50,000
(iv) Interest allowed by the Bank Rs. 6,250
(v) Cheques deposited into bank for collection but not collected by bank up to this date Rs. 7,70,000
(vi) Bank charges not entered in Cash Book Rs.1,000
(vii) A cheque deposited into bank was dishonored, but no intimation received Rs.1,60,000
(viii) Bank paid house tax on our behalf, but no intimation received from bank in this connection Rs. 1,75,000[2018 November – 10 Marks ]
- The Bank Pass Book of Account No.5678 of Mrs. Rani showed an overdraft of Rs.33,575 on 31st March 2018. On going through the Pass Book, the accountant found the following :
(i) A Cheque of Rs.1,080 credited in the pass book on 28th March 2018 being dishonoured is debited again in the pass book on 1st April 2018. There was no entry in the cash book about the dishonour of the cheque until 15th April 2018.
(ii) Bankers had credited her account with Rs.2,800 for interest collected by them on her behalf, but the same has not been entered in her cash book.
(iii) Out of Rs.20,500 paid in by Mrs. Rani in cash and by cheques on 31st March 2018 cheques amounting to Rs. 7,500 were collected on 7th April 2018.
(iv) Out of Cheques amounting to Rs.7,800 drawn by her on 27th March 2018 a cheque for Rs.2,500 was encashed on 3rd April2018.
(v) Bankers seems to have given her wrong credit for Rs.500 paid in by her in Account No.8765 and a wrong debit in respect of a cheque for Rs.300 against her account No.8765.
(vi) A Cheque for Rs.1,000 entered in Cash Book but omitted to be banked on 31st March , 2018.
(vii) A Bill Receivable for Rs.5,200 previously dishonoured (Discount Rs.200) with the Bank had been dishonoured but advice was received on 1st April, 2018.
(viii) A Bill for Rs.10,000 was retired/paid by the bank under a rebate of Rs.175 but the full amount of the bill was credited in the bank column of the Cash Book.
(ix) A Cheque for Rs.2,400 deposited into bank but omitted to be recorded in Cash Book and was collected by the bank on 31st March, 2018.
Prepare Bank Reconciliation Statement as on 31st March 2018.[2018 May – 10 Marks ]