Page 1
Question 1
Rim Zim Ltd. maintains a current account with the State Bank of India. On 31st March 2017,
the bank column of its cash book showed a debit balance of ? 1,54,300. However, the bank
statement showed a different balance as on that date. The following were the reasons for the
difference.
Particulars ?
(i) Cheques deposited, but not yet credited by the bank 75,450
(ii) Cheques issued, but not yet presented for payment 80,760
(iii) Bank charges not yet recorded in the cash book 1,135
(iv) Cheques received by the bank directly from trade debtors 1,35,200
(v) An insurance premium paid by the bank as per standing instructions, but not
yet recorded in the cash book
15,400
(vi) Dividend collected by the bank, but not yet recorded in the cash book 1,000
Solution:
Bank Reconciliation Statement as on March 31, 2017
Sl.
No.
Particulars
Plus Items
?
Minus Items
?
Debit Balance in Cash Book 1,54,300
Add: (ii) Issued cheques but not sent to bank 80,760
(iv) Trade debtor sent cheque directly to bank 1,35,200
(vi) Dividend was received but not posted in Cash
Book
1,000
Page 2
Question 1
Rim Zim Ltd. maintains a current account with the State Bank of India. On 31st March 2017,
the bank column of its cash book showed a debit balance of ? 1,54,300. However, the bank
statement showed a different balance as on that date. The following were the reasons for the
difference.
Particulars ?
(i) Cheques deposited, but not yet credited by the bank 75,450
(ii) Cheques issued, but not yet presented for payment 80,760
(iii) Bank charges not yet recorded in the cash book 1,135
(iv) Cheques received by the bank directly from trade debtors 1,35,200
(v) An insurance premium paid by the bank as per standing instructions, but not
yet recorded in the cash book
15,400
(vi) Dividend collected by the bank, but not yet recorded in the cash book 1,000
Solution:
Bank Reconciliation Statement as on March 31, 2017
Sl.
No.
Particulars
Plus Items
?
Minus Items
?
Debit Balance in Cash Book 1,54,300
Add: (ii) Issued cheques but not sent to bank 80,760
(iv) Trade debtor sent cheque directly to bank 1,35,200
(vi) Dividend was received but not posted in Cash
Book
1,000
Less: (i) Deposited cheques but bank did not
credited
75,450
(iii) Bank charges was not posted in the Cash Book 1,135
(v) Bank paid insurance premium as per advice 15,400
Credit Balance in Pass Book 2,79,275
3,71,260 3,71,260
Question 2
The balance of cash at bank as shown by the Cash Book of Pan & Co. on 31st December,
2016, was ? 7,500. On checking the entries in the Cash Book with the Pass Book, it was
ascertained that cheques of ? 500 and ? 700 respectively paid in on 30th December, were not
credited until the 2nd January following and three cheques of ? 600, ? 800 and ? 1,200
issued on the 28th December were not presented until the 3rd of January. There was a credit
of ? 125 in the Pass Book in respect of interest under date 31st December, which was not
entered in the Cash Book. There were also Bank Charges debited in the Pass Book amounting
in all to ? 10 which were not entered in the Cash Book.
Prepare a Bank Reconciliation Statement as at 31st December, 2016.
Solution:
Bank Reconciliation Statement as on December 31, 2016
Sl.
No.
Particulars
Plus Items
?
Minus Items
?
Debit Balance in Cash Book 7,500
Add: Issued cheques but not sent for payment
(600 + 800 + 1,200)
2,600
Bank credited interest 125
Less: Deposited Cheques in the bank but not yet
credited
(500 + 700)
1,200
Bank Charges 10
Credit Balance in Pass Book
9,015
Page 3
Question 1
Rim Zim Ltd. maintains a current account with the State Bank of India. On 31st March 2017,
the bank column of its cash book showed a debit balance of ? 1,54,300. However, the bank
statement showed a different balance as on that date. The following were the reasons for the
difference.
Particulars ?
(i) Cheques deposited, but not yet credited by the bank 75,450
(ii) Cheques issued, but not yet presented for payment 80,760
(iii) Bank charges not yet recorded in the cash book 1,135
(iv) Cheques received by the bank directly from trade debtors 1,35,200
(v) An insurance premium paid by the bank as per standing instructions, but not
yet recorded in the cash book
15,400
(vi) Dividend collected by the bank, but not yet recorded in the cash book 1,000
Solution:
Bank Reconciliation Statement as on March 31, 2017
Sl.
No.
Particulars
Plus Items
?
Minus Items
?
Debit Balance in Cash Book 1,54,300
Add: (ii) Issued cheques but not sent to bank 80,760
(iv) Trade debtor sent cheque directly to bank 1,35,200
(vi) Dividend was received but not posted in Cash
Book
1,000
Less: (i) Deposited cheques but bank did not
credited
75,450
(iii) Bank charges was not posted in the Cash Book 1,135
(v) Bank paid insurance premium as per advice 15,400
Credit Balance in Pass Book 2,79,275
3,71,260 3,71,260
Question 2
The balance of cash at bank as shown by the Cash Book of Pan & Co. on 31st December,
2016, was ? 7,500. On checking the entries in the Cash Book with the Pass Book, it was
ascertained that cheques of ? 500 and ? 700 respectively paid in on 30th December, were not
credited until the 2nd January following and three cheques of ? 600, ? 800 and ? 1,200
issued on the 28th December were not presented until the 3rd of January. There was a credit
of ? 125 in the Pass Book in respect of interest under date 31st December, which was not
entered in the Cash Book. There were also Bank Charges debited in the Pass Book amounting
in all to ? 10 which were not entered in the Cash Book.
Prepare a Bank Reconciliation Statement as at 31st December, 2016.
Solution:
Bank Reconciliation Statement as on December 31, 2016
Sl.
No.
Particulars
Plus Items
?
Minus Items
?
Debit Balance in Cash Book 7,500
Add: Issued cheques but not sent for payment
(600 + 800 + 1,200)
2,600
Bank credited interest 125
Less: Deposited Cheques in the bank but not yet
credited
(500 + 700)
1,200
Bank Charges 10
Credit Balance in Pass Book
9,015
10,225 10,225
Question 3
On 30th June 2014, the bank column of Mohan Kapoor’s Cash Book showed a debit balance of
? 12,000. On checking the Cash Book with bank statement you find that:-
1. Cheques paid into Bank ? 8,000, but out of these only cheques of ? 6,500 were cleared and
credited by the Bankers up to 30th June.
2. Cheques of ? 9,200 were issued but out of these only cheques of ? 7,000 were presented
for payment up to 30th June.
3. The receipt column of the Cash Book has been undercast by ? 200.
4. The Pass Book shows a credit of ? 330 as interest on investments collected by bankers and
debit of ? 60 for bank charges.
5. On 29th June a Customer deposited ? 3,000 direct in the bank account but it was entered
only in the Pass Book.
Prepare a Bank Reconciliation Statement.
Solution:
Bank Reconciliation Statement as on June 30, 2014
Sl.
No.
Particulars
Plus Items
?
Minus Items
?
Debit Balance in Cash Book 12,000
Add: 2. Cheques issued but not sent for payment (9,200
– 7,000)
2,200
3. Cashbook receipt column was undercast 200
4. Bank collected interest on investment 330
5. Customer deposited the amount directly in the bank
account
3,000
Less: 1. Deposited cheques, not yet credited (8,000 –
6,500)
1,500
4. Bank Charges 60
Page 4
Question 1
Rim Zim Ltd. maintains a current account with the State Bank of India. On 31st March 2017,
the bank column of its cash book showed a debit balance of ? 1,54,300. However, the bank
statement showed a different balance as on that date. The following were the reasons for the
difference.
Particulars ?
(i) Cheques deposited, but not yet credited by the bank 75,450
(ii) Cheques issued, but not yet presented for payment 80,760
(iii) Bank charges not yet recorded in the cash book 1,135
(iv) Cheques received by the bank directly from trade debtors 1,35,200
(v) An insurance premium paid by the bank as per standing instructions, but not
yet recorded in the cash book
15,400
(vi) Dividend collected by the bank, but not yet recorded in the cash book 1,000
Solution:
Bank Reconciliation Statement as on March 31, 2017
Sl.
No.
Particulars
Plus Items
?
Minus Items
?
Debit Balance in Cash Book 1,54,300
Add: (ii) Issued cheques but not sent to bank 80,760
(iv) Trade debtor sent cheque directly to bank 1,35,200
(vi) Dividend was received but not posted in Cash
Book
1,000
Less: (i) Deposited cheques but bank did not
credited
75,450
(iii) Bank charges was not posted in the Cash Book 1,135
(v) Bank paid insurance premium as per advice 15,400
Credit Balance in Pass Book 2,79,275
3,71,260 3,71,260
Question 2
The balance of cash at bank as shown by the Cash Book of Pan & Co. on 31st December,
2016, was ? 7,500. On checking the entries in the Cash Book with the Pass Book, it was
ascertained that cheques of ? 500 and ? 700 respectively paid in on 30th December, were not
credited until the 2nd January following and three cheques of ? 600, ? 800 and ? 1,200
issued on the 28th December were not presented until the 3rd of January. There was a credit
of ? 125 in the Pass Book in respect of interest under date 31st December, which was not
entered in the Cash Book. There were also Bank Charges debited in the Pass Book amounting
in all to ? 10 which were not entered in the Cash Book.
Prepare a Bank Reconciliation Statement as at 31st December, 2016.
Solution:
Bank Reconciliation Statement as on December 31, 2016
Sl.
No.
Particulars
Plus Items
?
Minus Items
?
Debit Balance in Cash Book 7,500
Add: Issued cheques but not sent for payment
(600 + 800 + 1,200)
2,600
Bank credited interest 125
Less: Deposited Cheques in the bank but not yet
credited
(500 + 700)
1,200
Bank Charges 10
Credit Balance in Pass Book
9,015
10,225 10,225
Question 3
On 30th June 2014, the bank column of Mohan Kapoor’s Cash Book showed a debit balance of
? 12,000. On checking the Cash Book with bank statement you find that:-
1. Cheques paid into Bank ? 8,000, but out of these only cheques of ? 6,500 were cleared and
credited by the Bankers up to 30th June.
2. Cheques of ? 9,200 were issued but out of these only cheques of ? 7,000 were presented
for payment up to 30th June.
3. The receipt column of the Cash Book has been undercast by ? 200.
4. The Pass Book shows a credit of ? 330 as interest on investments collected by bankers and
debit of ? 60 for bank charges.
5. On 29th June a Customer deposited ? 3,000 direct in the bank account but it was entered
only in the Pass Book.
Prepare a Bank Reconciliation Statement.
Solution:
Bank Reconciliation Statement as on June 30, 2014
Sl.
No.
Particulars
Plus Items
?
Minus Items
?
Debit Balance in Cash Book 12,000
Add: 2. Cheques issued but not sent for payment (9,200
– 7,000)
2,200
3. Cashbook receipt column was undercast 200
4. Bank collected interest on investment 330
5. Customer deposited the amount directly in the bank
account
3,000
Less: 1. Deposited cheques, not yet credited (8,000 –
6,500)
1,500
4. Bank Charges 60
Credit Balance in Pass Book 16,170
17,730 17,730
Question 4
On 30th June 2014, the bank balance as per Sanjay Yadav’s Cash Book was ? 1,500. On
comparing with the Pass Book the following information was received:-
1. Cheques amounting to ? 7,290 were issued on 28th June, of which one cheque of ? 1,300
was presented in the bank for payment on 4th July.
2. Cheques deposited into a bank for ? 10,000, but of these cheques for ? 4,000 were cleared
and credited in July.
3. Interest and Dividend on investments ? 580 collected by bank and credited to his account
but he did not have any information for this.
4. Life Insurance Premium ? 750 paid by the bank according to his standing orders.
5. Bank Charges ? 25 not recorded in the Cash Book.
Prepare a Bank Reconciliation Statement.
Solution:
Bank Reconciliation Statement as on June 30, 2014
Sl.
No.
Particulars
Plus Items
(Rs)
Minus Items
(Rs)
Debit Balance in Cash Book 1,500
Add: 1. Issued cheques but not sent for
payment
1,300
3. Bank collected dividend and interest 580
Less: 2. Deposited cheques but bank did not
credited
4,000
4. Bank paid premium for Life Insurance 750
5. Bank charges was not registered in Cash Book 25
Debit Balance (Overdraft) in Pass Book 1,395
4,775 4,775
Page 5
Question 1
Rim Zim Ltd. maintains a current account with the State Bank of India. On 31st March 2017,
the bank column of its cash book showed a debit balance of ? 1,54,300. However, the bank
statement showed a different balance as on that date. The following were the reasons for the
difference.
Particulars ?
(i) Cheques deposited, but not yet credited by the bank 75,450
(ii) Cheques issued, but not yet presented for payment 80,760
(iii) Bank charges not yet recorded in the cash book 1,135
(iv) Cheques received by the bank directly from trade debtors 1,35,200
(v) An insurance premium paid by the bank as per standing instructions, but not
yet recorded in the cash book
15,400
(vi) Dividend collected by the bank, but not yet recorded in the cash book 1,000
Solution:
Bank Reconciliation Statement as on March 31, 2017
Sl.
No.
Particulars
Plus Items
?
Minus Items
?
Debit Balance in Cash Book 1,54,300
Add: (ii) Issued cheques but not sent to bank 80,760
(iv) Trade debtor sent cheque directly to bank 1,35,200
(vi) Dividend was received but not posted in Cash
Book
1,000
Less: (i) Deposited cheques but bank did not
credited
75,450
(iii) Bank charges was not posted in the Cash Book 1,135
(v) Bank paid insurance premium as per advice 15,400
Credit Balance in Pass Book 2,79,275
3,71,260 3,71,260
Question 2
The balance of cash at bank as shown by the Cash Book of Pan & Co. on 31st December,
2016, was ? 7,500. On checking the entries in the Cash Book with the Pass Book, it was
ascertained that cheques of ? 500 and ? 700 respectively paid in on 30th December, were not
credited until the 2nd January following and three cheques of ? 600, ? 800 and ? 1,200
issued on the 28th December were not presented until the 3rd of January. There was a credit
of ? 125 in the Pass Book in respect of interest under date 31st December, which was not
entered in the Cash Book. There were also Bank Charges debited in the Pass Book amounting
in all to ? 10 which were not entered in the Cash Book.
Prepare a Bank Reconciliation Statement as at 31st December, 2016.
Solution:
Bank Reconciliation Statement as on December 31, 2016
Sl.
No.
Particulars
Plus Items
?
Minus Items
?
Debit Balance in Cash Book 7,500
Add: Issued cheques but not sent for payment
(600 + 800 + 1,200)
2,600
Bank credited interest 125
Less: Deposited Cheques in the bank but not yet
credited
(500 + 700)
1,200
Bank Charges 10
Credit Balance in Pass Book
9,015
10,225 10,225
Question 3
On 30th June 2014, the bank column of Mohan Kapoor’s Cash Book showed a debit balance of
? 12,000. On checking the Cash Book with bank statement you find that:-
1. Cheques paid into Bank ? 8,000, but out of these only cheques of ? 6,500 were cleared and
credited by the Bankers up to 30th June.
2. Cheques of ? 9,200 were issued but out of these only cheques of ? 7,000 were presented
for payment up to 30th June.
3. The receipt column of the Cash Book has been undercast by ? 200.
4. The Pass Book shows a credit of ? 330 as interest on investments collected by bankers and
debit of ? 60 for bank charges.
5. On 29th June a Customer deposited ? 3,000 direct in the bank account but it was entered
only in the Pass Book.
Prepare a Bank Reconciliation Statement.
Solution:
Bank Reconciliation Statement as on June 30, 2014
Sl.
No.
Particulars
Plus Items
?
Minus Items
?
Debit Balance in Cash Book 12,000
Add: 2. Cheques issued but not sent for payment (9,200
– 7,000)
2,200
3. Cashbook receipt column was undercast 200
4. Bank collected interest on investment 330
5. Customer deposited the amount directly in the bank
account
3,000
Less: 1. Deposited cheques, not yet credited (8,000 –
6,500)
1,500
4. Bank Charges 60
Credit Balance in Pass Book 16,170
17,730 17,730
Question 4
On 30th June 2014, the bank balance as per Sanjay Yadav’s Cash Book was ? 1,500. On
comparing with the Pass Book the following information was received:-
1. Cheques amounting to ? 7,290 were issued on 28th June, of which one cheque of ? 1,300
was presented in the bank for payment on 4th July.
2. Cheques deposited into a bank for ? 10,000, but of these cheques for ? 4,000 were cleared
and credited in July.
3. Interest and Dividend on investments ? 580 collected by bank and credited to his account
but he did not have any information for this.
4. Life Insurance Premium ? 750 paid by the bank according to his standing orders.
5. Bank Charges ? 25 not recorded in the Cash Book.
Prepare a Bank Reconciliation Statement.
Solution:
Bank Reconciliation Statement as on June 30, 2014
Sl.
No.
Particulars
Plus Items
(Rs)
Minus Items
(Rs)
Debit Balance in Cash Book 1,500
Add: 1. Issued cheques but not sent for
payment
1,300
3. Bank collected dividend and interest 580
Less: 2. Deposited cheques but bank did not
credited
4,000
4. Bank paid premium for Life Insurance 750
5. Bank charges was not registered in Cash Book 25
Debit Balance (Overdraft) in Pass Book 1,395
4,775 4,775
Question 5
On comparing the Cash Book with Pass Book of Naman it is found that on March 31, 2017,
bank balance of ? 40,960 showed by the Cash Book differs from the bank balance with regard
to the following:
(a) Bank charges ? 100 on March 31 2017, are not entered in the Cash Book.
(b) On March 21, 2017, a debtor paid ? 2,000 into the company’s bank in settlement of his
account, but no entry was made in the Cash Book of the company in respect of this.
(c) Cheques totalling ? 12,980 were issued by the company and duly recorded in the Cash
Book before March 31, 2017, but had not been presented at the bank for payment until after
that date.
(d) A bill for ? 6,900 discounted with the bank is entered in the Cash Book without recording
the discount charge of ? 800.
(e) ? 3,520 is entered in the Cash Book as paid into a bank on March 31st 2017, but not
credited by the bank until the following day.
(f) No entry has been made in the Cash Book to record the dishonour on March 15, 2017, of a
cheque for ? 650 received from Bhanu.
Prepare a reconciliation Statement as on March 31, 2017.
Solution:
Bank Reconciliation Statement as on March 31, 2017
Sl.
No.
Particulars
Plus
Items ?
Minus
Items ?
Debit Balance in Cash Book 40,960
Add: (b) Debtors paid the amount directly to the
company’s bank account
2,000
(c) Issued cheques but not sent for payment 12,980
Less: (a) Bank charges not registered in Cash Book 100
(d) In cash discounting charges was not recorded 800
(e) The amount deposited to the bank but not credited 3,520
(f) Dishonoured cheque entry was not mentioned in Cash
Book
650
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