5.2 Blue Land plc’s financial year ends on 22’ May 1998. A number of activities must be undertaken before the final accounts can be prepared.

Update Blue Land plc’s cash book and reconcile it with the bank statement. (10 marks)
ICSA, Paper 6, Introduction to Accounting, June 1998 (adapted)

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(a) DR CASH BOOK OF BLUE LAND PLC CR Cheque Date Date number 18.05.98 Vitenter Plc. 7,389 18.05.98 Balance b/d 860 20.05.98 Riolettan Inc. 119,432 18.05.98 T Singh 10988 1,716 21.05.98 Solway 9.371 19.05.98 A Inglis 10989 73,429 21.05.98 Tranding Ltd. 10,000 20.05.98 Salaries 10990 32,487 22.05.98 Clavern 4,237 20.05.98 Busses Ltd 10991 1,496 21.05.98 M Sand & Co. 10992 8,500 21.05.98 Auster 10993 11,235 Partners 22.05.98 Petty Cash 10994 500 22.05.98 Balance c/d 20,206 150,429 150,429 Bank statement of Blue Land pic for week ending 22 May 1998 Date DR CR Balance 18.05.98 Balance b/d 1,100 Cr 18.05.98 Ch.no. 10987 1,960 860 Dr 18.05.98 Interest 38 822 Dr 19.05.98 Credit 7,389 6,567 Cr 19.05.98 Standing order-Lease 16,654 10,087 Dr 20.05.98 Ch.no. 10988 11,716 21,803 Dr 20.05.98 Ch.no. 10990 32,487 54,290 Dr 21.05.98 Bank charges 730 55,020 Dr 21.05.98 Ch.no. 10989 73,429 128,449 Dr 22.05.98 Transfer from Investment Account 100,000 28,449 Dr 22.05.98 Ch.no. 10994 500 28,949 Dr