BankReconciliation2022-2023

On 1st January, 2022, Naresh had an overdraft of  `40,000 as shown by his Cash Book in the bank column. Cheques amounting to `10,000 had been deposited by him but were not collected by the bank by 1st January, 2022. He issued cheques of `7,000 which were not presented to the bank for payment up to that day. There was also a debit in his Pass Book of `600 for interest and `500 for bank charges.
Prepare a Bank Reconciliation Statement.

Tiwari & Sons find that the bank balance shown by their Cash Book on 31st March, 2022 is `40,500 (credit) but the Pass Book shows a difference due to the following reasons:
(i) A cheque for `5,000 drawn in favour of Manohar has not yet been presented for payment.
(ii) A post-dated cheque for `900 has been debited in the bank column of the Cash Book but it could not have been presented in any case.
(iii) Cheques totalling `10,200 deposited with the bank have not yet been collected and a cheque for `4,000 has been dishonored.
(iv) A bill for `10,000 was retired by the Bank under a rebate of `150 but the full amount of the bill was credited in the bank column of the Cash Book.
Prepare Bank Reconciliation Statement and find out the balance as per Pass Book.

On 31st March, 2022, Cash Book of a merchant showed bank overdraft of `1,72,985. On comparing the Cash Book with Bank Statement, following discrepancies were noted:
(i) Cheques issued for `60,000 were not presented in the bank till 7th April, 2022.
(ii) Cheques amounting to `75,000 were deposited in the bank but were not collected.
(iii) A Cheque of `15,000 received from Mahesh Chand and deposited in the bank was dishonoured but the non-payment advice was not received from the bank till 1st April, 2022.
(iv) `1,50,000 being the proceeds of a bill receivable collected appeared in the Pass Book but not in the Cash Book.
(v) Bank charges `1,500 and interest on overdraft `8,500 appeared in the Pass Book but not in the Cash Book.
(vi) Overdraft balance as per Cash Book of `500 on 28th February, 2022 was wrongly carried forward as debit balance. The error was noted at the time of preparing the Bank Reconciliation Statement as on 31st March, 2022.
Prepare Bank Reconciliation Statement.

Note: Overdraft balance has credit balance but taken as debit balance, so to correct the error credit cash book by double amount.
Therefore, 1,000 should be shown in the minus side. 

Prepare Bank Reconciliation Statement from the following:
On 31st March, 2022, a merchant's Cash Book showed a credit bank balance of `10,500 but due to the following reasons the Pass Book showed a difference:
(i) A cheque of `540 issued to Mohan has not been presented for payment.
(ii) A post-dated cheque for `100 has been debited in the bank column of the Cash Book but under no circumstances was it possible to present it.
(iii) Four cheque of `1,200 sent to the bank have not been collected so far. A cheque of `400 deposited in the bank has been dishonoured.
(iv) As per instructions, the bank paid `50 as Fire Insurance premium but the entry has not been made in the Cash Book.
(v) There was a debit in the Pass Book of `15 in respect of bank charges and a credit of `25 for interest on Current Account but no record exists in the Cash Book.
(vi) Cheque of `5,000 dated 15th April, 2022 issued to M & Co. was dishonored being post dated. It was also not recorded in the books of account yet.

Note: Cheque dated 15th April, 2022 issued to M & Co. dishonoured will have no impact as this statement is as on 31st March 2022.

Overdraft balance shown by the bank column in the Cash Book of Vivek is ` 45,000.

Prepare Bank Reconciliation Statement as on 31st December, 2017:

(i) A Bill Receivable for ` 5,000 previously discounted with the bank had been dishonoured and debited in the Pass Book.

(ii) Interest on investment collected by the bank and credited in the Pass Book ` 1,500.

(iii) Cheques deposited into bank but not yet collected ` 7,500.

(iv) Interest charged by the bank on overdraft balance ` 1,850.

(v) Cheques issued but not yet presented for payment ` 11,350.

(vi) Received a payment directly from a customer into bank account ` 12,500.

(vii) Cheques recorded in the Cash Book but not sent to the bank for collection was ` 17,500.

(viii) Bank charges debited as per Pass Book `500. (Delhi)