a. The cash book of Dupe Enterprises showed an overdrawn balance of #216,126 and her bank statement also showed #905,625 overdrawn. On 31/12/2016, a detaile...

Assessment: WAEC SSCE - Financial Accounting - 2022 (Essay) Subject: Financial Accounting

Question 1 Report

a. The cash book of Dupe Enterprises showed an overdrawn balance of #216,126 and her bank statement also showed #905,625 overdrawn. On 31/12/2016, a detailed examination of the records showed the following differences:

(i) A cheque drawn for #697,550 had been entered in the cash book as #365,050.

(ii) A standing order of #420,000 and bank charges of #8,750 entered in the bank statement has not been recorded in the cash book.

(iii) Bank lodgment of #1,922,375 on 27th December 2016 has not been credited by the bank.

(iv) Dividend received of #315,000 had been recorded in the bank but not entered in the cash book.

(v) Cheques paid to suppliers totalling #1,165,500 has not been presented for payment.

(vi) A cheque for #700,000 received from Tunde was dishonoured by the banki but no entry had been made in the cash book.

(vii) A cheque of #256,813 received from a customer was entered as a payment in the cash book.

(viii) A cheque for #350,000 recorded in Dupe Enterprises cash book had been credited by the bank to Dudu Enterprises' account.

(ix) An amount of #1,050,000 received from customer was paid directly to Dupe Enterprises account but no entry was made in the cash book.

You are required to prepare:


Dupe Enterprises Adjusted Cash Book

b. The cash book of Dupe Enterprises showed an overdrawn balance of #216,126 and her bank statement also showed #905,625 overdrawn. On 31/12/2016, a detailed examination of the records showed the following differences:

(i) A cheque drawn for #697,550 had been entered in the cash book as #365,050.

(ii) A standing order of #420,000 and bank charges of #8,750 entered in the bank statement has not been recorded in the cash book.

(iii) Bank lodgment of #1,922,375 on 27th December 2016 has not been credited by the bank.

(iv) Dividend received of #315,000 had been recorded in the bank but not entered in the cash book.

(v) Cheques paid to suppliers totalling #1,165,500 has not been presented for payment.

(vi) A cheque for #700,000 received from Tunde was dishonoured by the banki but no entry had been made in the cash book.

(vii) A cheque of #256,813 received from a customer was entered as a payment in the cash book.

(viii) A cheque for #350,000 recorded in Dupe Enterprises cash book had been credited by the bank to Dudu Enterprises' account.

(ix) An amount of #1,050,000 received from customer was paid directly to Dupe Enterprises account but no entry was made in the cash book.

You are required to prepare:


Bank Reconciliation Statement as at 31st December 2016

Answer Details

DUPE ENTERPRISES
Dr Adjusted Cashbook Cr

  #   #
Dividend 315000 Balance c/d 216126
Receipt 513626 Payment Undercast 332500
Credit transfer 1050000 Standing order. 420000
    Bank charges 8750
    Dishonored cheque 700000
    Balance c/d 201250
  1878626   1878626

 

b. 

BANK RECONCILIATION STATEMENT AS AT 31ST DECEMBER 2016

  # #
Balance as per adjusted cash book   201250
Add Unpresented cheque   1165500
    1366750
Less: Uncredited cheque 1922375  
Bank errors 350000 2272375
Overdraft as per bank statement   905625

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