Jo’s bank ledger account shows a balance of $190 credit. Her bank statement reports a balance of $250 credit. Which of the following will explain the difference in full?

Which of the following statements about bank reconciliations are correct?

(1) In preparing a bank reconciliation, unpresented cheques must be deducted from a balance of cash at bank shown in the bank statement.

(2) A cheque from a customer paid into the bank but dishonoured must be corrected by making a debit entry in the cash book.

(3) An error by the bank must be corrected by an entry in the cash book.

(4) An overdraft is a debit balance in the bank statement.

The following bank reconciliation statement has been prepared by an inexperienced bookkeeper at 31 December 20X5:

What should the final cash book balance be when all the above items have been properly accounted for?

A bank reconciliation statement for Dallas at 30 June 20X5 is being prepared. The following information is available:

(1) Bank charges of $2,340 have not been entered in the cash book.

(2) The bank statement shows a balance of $200 Dr.

(3) Unpresented cheques amount to $1,250.

(4) A direct debit of $250 has not been recorded in the ledger accounts.

(5) A bank error has resulted in a cheque for $97 being debited to Dallas’ account instead of Dynasty’s account.

(6) Cheques received but not yet banked amounted to $890.

The final balance in the cash book after all necessary adjustments should be:

The following information relates to a bank reconciliation:

(1) The bank balance in the cash book before taking the items below into account was $8,970 overdrawn. (2) Bank charges of $550 on the bank statement have not been entered in the cash book. (3) The bank has credited the account in error with $425 which belongs to another customer. (4) Cheque payments totalling $3,275 have been entered in the cash book but have not been presented for payment. (5) Cheques totalling $5,380 have been correctly entered on the debit side of the cash book but have not been paid in at the bank.

What was the balance as shown by the bank statement before taking the items above into account?

Sharmin’s bank statement at 31 October 20X8 shows a balance of $13,400. She subsequently discovers that the bank has dishonoured a customer’s cheque for $300 and has charged bank charges of $50, neither of which is recorded in the cash book. There are unpresented cheques totalling $1,400 and an automatic receipt from a customer of $195 has been recorded as a credit in Sharmin’s cash book. Sharmin’s cash balance, prior to correcting the errors and omissions, was: A

Wimborne’s bank statement shows a balance of $715 overdrawn. The statement includes bank charges of $74 which have not been entered in the cash book. There are also unpresented cheques totalling $824 and lodgements not yet credited of $337. In addition the bank statement erroneously includes a dividend receipt of $25 belonging to another customer. The bank overdraft in the statement of financial position should be:

The cash book shows a bank balance of $5,675 overdrawn at 31 August 20X5. It is subsequently discovered that a standing order for $125 has been entered twice, and that a dishonoured cheque for $450 has been debited in the cash book instead of credited. The correct bank balance should be:

An organisation’s cash book had an opening balance of $485 credit.

During the following week, the following transactions took place:

Cash sales $1,450 including sales tax of $150.

Receipts from credit customers of $2,400.

Payments to suppliers of debts of $1,800 less 5% cash discount.

Dishonoured cheques from customers amounting to $250.

What was the resulting balance in the cash book after the transactions had been recorded?

The bank statement at 31 October 20X7 showed an overdraft of $800.

On reconciling the bank statement, it was discovered that a cheque drawn in favour of Smith for $80 had not been presented for payment, and that a cheque for $130 from a customer had been dishonoured on 30 October 20X7, but that this had not yet been notified to you by the bank. The correct bank balance to be shown in the statement of financial position at 31 October 20X7 is:

Your firm’s cash book at 30 April 20X8 showed a balance at the bank of $2,490. Comparison with the bank statement at the same date revealed the following differences :

The correct bank balance at 30 April 20X8 was :