1. The following items are provided by Ayala Land Inc. regarding the bank reconciliation of one of its current accounts in the Bank Philippine Islands for the year ended December 31, 2020:

Ayala Land Inc. Bank Statement Balance3,000,000

Current Account in BPI Bank2,500,000

Bank Service Charge for the year 2020200,000

Note Receivable Collected by Bank300,000

NSF Check from Ayala Land Inc.'s Customer400,000

Interest on Note Receivable100,000

Pre-authorized payment for electric bill (Ayala Land Inc. authorized BPI

to automatically pay its electric bill as submitted directly to BPI)300,000

Outstanding check (including P100,000 certified check by BPI's manager)400,000

Deposit in Transit1,000,000

Check of P300,000 drawn and issued to a supplier

but recorded by Ayala Land Inc. as P200,000100,000

Ayala Corporation's Deposit credited by BPI to Ayala Land Inc.500,000

Notes Payable of Ayala Property Management charged by BPI to Ayala Land Inc.300,000

Time deposit of Ayala Land Inc. of P1,000,000 matures on Dec. 31, 2020

and credited by BPI to Ayala Land. Inc. Account on that date500,000

Note: The bank has not committed any error during 2020 except those specifically stated above. Any remaining difference after reconciliation pertains to the cash shortage resulting from the cashier and accountant's defalcation of the company's cash.

Required: Based on the result of your audit, determine the following as of December 31, 2020:

I. Adjusted balance per bank

II. Adjusted balance per book

III. Cash shortage arising from the cash defalcation by the company's cashier and accountant

2. The following data are presented by Globe Inc. concerning its Deposits in Transit and Outstanding Checks for the year month of December 2020:

December 1, 2020 - Deposits in Transit200,000

December 1, 2020 - Outstanding Checks300,000

December Total Debits per book1,200,000

December Total Credits per book2,400,000

December Total Debits per bank2,000,000

December Total Credits per bank1,000,000

The following reconciling items are also provided:

Reconciling ItemsNovemberDecember

Bank Service Charge10,00020,000

NSF Check100,000 100,000

Note Receivable Collected200,000 300,000

Interest Earned50,000 60,000

Book error150,000

Bank error200,000

NSF Check - redeposited by Globe customer 100,000

Note:

a. The book error refers to a check issued and drawn by Globe for 150,000 but recorded in the cash disbursements journal as 200,000.

b. The bank error refers to a note payable of Gloves Inc. charged to Globe Inc. account.

c. All reconciling items in November were recorded, adjusted, and cleared by Bank and Book on the month of December.

Required: Based on the result of your audit, determine the following:

I. Total Deposits by Globe on the month of December

II. Total Deposits of Globe credited by bank on the month of December

III. Deposits in Transit on December 31, 2020

IV. Total Checks issued by Globe on the month of December

V. Total Checks debited by the bank on the month of December

VI. Outstanding Checks on December 31, 2020