Question

On 30th June, 2016, the bank Column of Anil's Cash Book showed a balance of

38,250. On examination of the Cash Book and bank statement you find that :
1. Out of total cheques amounting to 8,000 issued, cheques amounting to 55,800
have been presented for payment upto 30th June, 2016.
2. Out of total cheques amounting to 6,000 sent to bank for collection, cheques
of 54,100 were credited in Pass Book upto 30th June, 2016.
3. On 28th June a customer deposited 3,500 direct in the bank account but it was
entered only in the Pass Book.
4. Debit side of Anil's Cash Book (Bank Column) has been overcast by 100.
5. No entry has been made in the Cash Book for the Rent of 800 paid by bankers
according to Anil's standing instructions.
6. The Pass Book showed a credit of 320 for interest and a debit of 40 for bank
charges, but these have not been entered in the Cash Book.
Prepare a Bank Reconciliation Statement as on 30th June, 2016.​

Answer 1

he total amount of cash that should be reported on Chen Inc., balance sheet at June 30th is $15,250

The answer is option A.

Explanation:

The total amount of cash that should be reported on Chen Inc., balance sheet at June 30th is as follows:

$ $

Balance as per bank statement at June 30 16,750

Add: Deposit in transit ($10,000 - $7,900) 2,100

Less:

Outstanding Checks 3,600

Adjusted Cash Balance $ 15,250

Balance as per accounting records at June 30 16,170

Add: Interest Income 25

Less:

NSF Checks 935

Bank Fees 10 945

Adjusted Cash Balance $ 15,250

Explanation:

MARK ME BRAIN LESS