On examining the Bank Statement of Green Ltd., it is found that the balance shown on 31st March, 2018, differes from the bank balance of ₹ 23,650 shown by the Cash Book on that date. From a detailed comparison of the entries it is found that:
(i) ₹ 2,860 is entered in the Cash Book as paid into the bank on 31st March, 2018 but not credited by the bank until the following day.
(ii) Bank charges of ₹ 70 on 31st March, 2018 are not entered in the Cash Book.
(iii) A bill for ₹ 5,500 discounted with the bank is entered in the Cash Book without recording the discount charges of ₹ 270.
(iv) Cheques totalling ₹ 16,720 were issued by the company and duly recorded in the Cash Book before 31st March, 2018 but had not been presented at the Bank for payment until after that date.
(v) On 25th March, 2018, a debtor paid ₹ 1,000 into the Company's Bank in settlement of his account but no entry was made in the Cash Book of the comapny in respect of this.
(vi) No entry has been made in the Cash Book to record the dishonour on 15th March, 2018, of a cheque for ₹ 550 received from Ram Babu.
Prepare a Bank Reconciliation Statement as on 31st March, 2018.

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Solution

Bank Reconciliation Statement

as on March 31, 2018

S. No.

Particulars

Plus Items

(Rs)

Minus Items

(Rs)

Balance as per the Cash Book

23,650

(i)

Cash deposited into bank but not entered in the Pass book

2,860

(ii)

Bank Charges not entered the Cash Book

70

(iii)

Bank Charges for discounting bill not recorded in the Cash Book

270

(iv)

Cheques issued but not presented for payment

16,720

(v)

Amount directly deposited by the debtor

1,000

(vi)

Cheque received from Ram Babu was dishonoured and not recorded in Cash Book

550

Balance as per the Pass Book

37,620

41,370

41,370

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Similar questions

Q. On examining the Bank Statement of Green Ltd., it is found that the balance shown on 31st March, 2019, differs from the bank balance of ₹ 23,650 shown by the Cash Book on that date. From a detailed comparison of the entries it is found that:
(i) ₹ 2,860 is entered in the Cash Book as paid into the bank on 31st March, 2019 but not credited by the bank until the following day.
(ii) Bank charges of ₹ 70 on 31st March, 2019 are not entered in the Cash Book.
(iii) A bill for ₹ 5,500 discounted with the bank is entered in the Cash Book without recording the discount charges of ₹ 270.
(iv) Cheques totalling ₹ 16,720 were issued by the company and duly recorded in the Cash Book before 31st March, 2019 but had not been presented at the Bank for payment until after that date.
(v) On 25th March, 2019, a debtor paid ₹ 1,000 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.
(vi) No entry has been made in the Cash Book to record the dishonour on 15th March, 2019, of a cheque for ₹ 550 received from Ram Babu.
Prepare a Bank Reconciliation Statement as on 31st March, 2019.

Q. 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 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.

Q. Bank Statement of a customer shows bank balance of ₹ 62,000 on 31st March, 2018. On Comparing it with the Cash Book the following discrepancies were noted:
(i) Cheques were paid into the bank in March but were credited in April:
P–₹ 3,500; Q–₹ 2,500; R–₹ 2,000.
(ii) Cheques issued in March were presented in April:
X–₹ 4.000; Q–₹ 4,500.
(iii) Cheque for ₹ 1,000 received from a customer entered in the Cash Book but was not banked.
(iv) Pass Book shows a debit of ₹ 1,000 for bank charges and credit of ₹ 2,000 as interest.
(v) Interest on investment ₹ 2,500 collected by the bank appeared in the Pass Book.
Prepare Bank Reconciliation Statement showing the balance as per Cash Book on 31st March, 2018.

Q. Cash Book of a merchant showed bank balance of ₹ 23,000 on 31st March, 2018. On going through the Cash Book, it was found that two cheques for ₹ 5,000 and ₹ 7,000 deposited in the month of March were not credited in the Pass Book till 2nd April, 2018 and three cheques for ₹ 6,000, ₹ 8,000 and ₹ 12,000 issued on 28th March, were not presented for payment till 3rd April, 2018. In addition to this, bank had credited merchant for ₹ 125 as interest and had debited him for ₹ 100 as bank charges for which entries in Cash Book were not recorded. Bank charges of ₹ 500 were reversed by the Bank.
Prepare Bank Reconciliation Statement as on 31st March, 2018.

On comparing the cash book with passbook of Naman, it is found that on 31st March 2016, the bank balance of Rs. 40,960 showed by the cash book differs from the bank balance with regard to the following:

(i) Bank charges Rs. 100 on 31st March 2016, are not entered in the cash book.

(ii) On 21st March 2016, a debtor paid Rs. 2,000 into Naman's bank account in settlement of his dues, but no entry was made in the cash book in respect of this.

(iii) Cheques totaling Rs. 12,980 were issued by Naman and duly recorded in the cash book before 31st March 2016 but had not been presented at the bank for payment up to that date.

(iv) A bill for Rs. 6,900 discounted with the bank is entered in the cash book without recording the discount charges of Rs. 800.

(v) Rs. 3,520 is entered in the cash book as paid into the bank on 31st March 2016 but not credited by the bank until the following day.

(vi) No entry has been made in the cash book to record the dishonour on 15th March, 2016 of a cheque for Rs. 650 received from Bhanu.

Prepare a reconciliation statement as on 31st March, 2016.

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Bank Reconciliation Statement as on March 31, 2018
S. No.	Particulars	Plus Items (Rs)	Minus Items (Rs)
	Balance as per the Cash Book	23,650
(i)	Cash deposited into bank but not entered in the Pass book		2,860
(ii)	Bank Charges not entered the Cash Book		70
(iii)	Bank Charges for discounting bill not recorded in the Cash Book		270
(iv)	Cheques issued but not presented for payment	16,720
(v)	Amount directly deposited by the debtor	1,000
(vi)	Cheque received from Ram Babu was dishonoured and not recorded in Cash Book		550
	Balance as per the Pass Book		37,620
		41,370	41,370