Question

Prepare a Bank Reconciliation Statement on 31st December 2009 for the following when overdraft as per pass book is Rs.20,000.

(1) Cheques issued,but not presented for payment Rs.25,000.

(2) Interest on bank overdraft charged by the bank,but not entered in cash book Rs.1,000.

(3) Cheque deposited but not collected Rs.22,000.

(4) Insurance premium Rs.500 paid by bank under standing order but not recorded in cash book.

Answer 1

Bank Reconciliation Statement

$\begin{array}{ccc}\text{Particulars}& \text{Detail Amount (Rs.)}& \text{Detail Amount (Rs.)}\\ \text{Balance as per passbook (overdraft)}& & 20,000\\ \text{Add:Cheque issued but not presented}& & \underset{–}{25,000}\\ & & 45,000\\ \text{Less:Insurance premium paid by the bank}& 500& \\ \text{Cheque deposited but not cleared}& 22,000& \\ \text{Interest on Overdraft}& \underset{–}{1,000}& \underset{–}{23,500}\\ & & \\ \text{Balance as per cash book (overdraft)}& & 21,500\end{array}$