Reference no: EM132466071
1. Bank Reconciliation
On writing up the cash book of Thomas Jones to 31 March 2019, you find that the totals for the month are debits $78630 and credits $80200, the bank balance brought forward from 28 February 2019 being included in these totals.
On obtaining the bank statement you find a debit balance of $1860 and find the following differences between the items recorded in the cash book and the bank statement Items on Bank Statement but not in Cash Book as at 31 March 2019
Point 1. Charge for cheque book $20
Point 2. Interest charged on overdraft $150
Point 3. Amount credit but which should have been paid into the account of Mrs Jones.. $380
Point 4. Direct deposits W.Wilson $50 and R.Davis $170
Point 5. Interest Credited $100
Items in Cash Book but not on Bank Statement as at 31 March 2019
1. Lodgement 31 March 2019... $1250
2. Cheques drawn but not presented for payment
- No. 463...$50
- No. 469... $180
- No. 470... $200
Question problem 1: Complete the writing up of the Cash Book and prepare Bank Reconciliation Statement. Note that a mcash book is a combined cash payment journal and cash receipts journal