Question No. 4 The books of STUVWXYZ Corp. disclosed at year-end a cash balance of P687,570 while the bank statement showed a balance of P547,800 on December 31, 2022. The balances in the bank reconciliation statement submitted by the accountant are not in agreement. However, in the audit of the cash book record of the company, the auditor discovered the following information that were not recorded and excluded in the reconcilement report: • Check number 748 for P30,000 was originally recorded on the books as P45,000 A customer's note dated September 25 was discounted on October 12. The note was dishonored on December 29 (maturity date). the bank charged the company's account for P142,650. • The deposit of December 24 was recorded on the books as P28,950, but it was actually a deposit of P27,000. Outstanding checks totaled P98,850 as of December 31. There were bank service charges for December of P2,100 not yet recorded on the books STUVWXYZ's account had been charged on December 26 for a customer's NSF check for P12,960.
Question No. 4 The books of STUVWXYZ Corp. disclosed at year-end a cash balance of P687,570 while the bank statement showed a balance of P547,800 on December 31, 2022. The balances in the bank reconciliation statement submitted by the accountant are not in agreement. However, in the audit of the cash book record of the company, the auditor discovered the following information that were not recorded and excluded in the reconcilement report: • Check number 748 for P30,000 was originally recorded on the books as P45,000 A customer's note dated September 25 was discounted on October 12. The note was dishonored on December 29 (maturity date). the bank charged the company's account for P142,650. • The deposit of December 24 was recorded on the books as P28,950, but it was actually a deposit of P27,000. Outstanding checks totaled P98,850 as of December 31. There were bank service charges for December of P2,100 not yet recorded on the books STUVWXYZ's account had been charged on December 26 for a customer's NSF check for P12,960.
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
Related questions
Question
question 4; give complete solutions;
Transcribed Image Text:• The company cashier made a deposit of P6,000 on December 3 that was not recorded by the
bank
•
Receipt of December 31 for P134,250 were recorded by the bank only on January 2.
•
A bank memo stated that a customer's note for P45,000 and interest of P1,650 had been
collected on December 27, and the bank charged a P360 collection fee.
Requirement: Prepare an adjusted bank reconcilement report as of December 31, 2022 based on
the audit findings.
Transcribed Image Text:Question No. 4
The books of STUVWXYZ Corp. disclosed at year-end a cash balance of P687,570 while the bank
statement showed a balance of P547,800 on December 31, 2022. The balances in the bank
reconciliation statement submitted by the accountant are not in agreement. However, in the audit of
the cash book record of the company, the auditor discovered the following information that were not
recorded and excluded in the reconcilement report:
.
Check number 748 for P30,000 was originally recorded on the books as P45,000
•
A customer's note dated September 25 was discounted on October 12. The note was
dishonored on December 29 (maturity date). the bank charged the company's account for
P142,650.
• The deposit of December 24 was recorded on the books as P28,950, but it was actually a
deposit of P27,000.
Outstanding checks totaled P98,850 as of December 31.
There were bank service charges for December of P2,100 not yet recorded on the books
• STUVWXYZ's account had been charged on December 26 for a customer's NSF check for
P12,960.
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