My bank pass book for account No. 1 shows an overdraft of Rs 6500 on 31st March, 2012. This does not agree with the cash book balance. From the following particulars ascertain the cash book balance:

Cheques amounting to Rs 15000 were paid into Bank in March, out of which, it appears, only cheques amounting to Rs 4500 were credited by Bank. Cheques issued during March amounted in all to Rs 11000. Out of these cheques for Rs 3000 were unpaid on 31st March, 2012. The bank has wrongly debited Account No. 1 with Rs 500 in respect of a cheque drawn on Account No. 2 . The account stands debited with Rs 150 for interest and with Rs 30 for Bank charges. The bank has paid the annual subscription of Rs 100 to my club according to my instructions. The entries for interest charges and subscription have not yet been made in the cash book.

The answer given in the book is: Balance as per cash book= Rs 1780

Bank Reconciliation Statement

as on March 31, 2012

Particulars

Plus Items

(Rs)

Minus Items

(Rs)

 Overdraft as per Pass Book (Given Book)

 

6,500

Add: Cheques paid into bank but not yet credited (15,000 – 4,500)

10,500

 

Bank Account wrongly debited

500

 

Bank Interest and Bank Charges (150 + 30)

180

 

Annual Subscription paid by Bank

100

 

Less: Cheque issued but remaining unpaid

 

3,000

Balance as per Cash Book

 

1,780

 

11,280

11,280

 

 

 

 

  • 2
What are you looking for?