4.Neno Trading is preparing their monthly account closing for December 2021. Christine, the account manager, just received the bank statement and she needs to prepare the Bank Reconciliation Statement. Below are the details as at 31 December 2021.

Cash book (bank balance) showed debit balance of RM3,500.

Bank statement credit balance of RM8,480.

After cross check all the transactions in both documents, Linda found out these information had not been entered in the cash book:

Received dividends of RM350 had been paid directly to the bank.

A credit transfer from ABC Shop amounting RM2,500 had been collected by the bank.

Bank charges RM120.

A standing order for bank loan RM2,500

Direct debit for news subscription had been paid by the bank RM100.

Business owner transferred RM5,000 from his personal bank account to business bank account.

Meanwhile, the following information recorded in cash book but not in the bank statement.

Issued 3 cheques to KCL Enterprise RM300, Moving Traders RM500 and Bloom Excel RM250.

Cash and cheques amounting RM1,200 had been paid into the bank but not credited in the bank.

Based on the above information, you are required to update the cash book, prepare Bank Reconciliation Statement and answer the following questions.

Compute the updated balance of the cash book (bank column).

Select one:

a. Credit balance RM3,630

b. Credit balance RM8,630

c. Debit balance RM3,630

d. Debit balance RM8,630

14. Why do we have to add depreciation in finalizing cash flow statement?

Select one:

a. Depreciation reducing the non current assets value.

b. Depreciation is deducted from non current assets (at cost).

c. Depreciation is non - cash expense.

d. Depreciation because of physical deterioration.

35. Neno Trading is preparing their monthly account closing for December 2021. Christine, the account manager, just received the bank statement and she needs to prepare the Bank Reconciliation Statement. Below are the details as at 31 December 2021.

Cash book (bank balance) showed debit balance of RM3,500.

Bank statement credit balance of RM8,480.

After cross check all the transactions in both documents, Linda found out these information had not been entered in the cash book:

Received dividends of RM350 had been paid directly to the bank.

A credit transfer from ABC Shop amounting RM2,500 had been collected by the bank.

Bank charges RM120.

A standing order for bank loan RM2,500

Direct debit for news subscription had been paid by the bank RM100.

Business owner transferred RM5,000 from his personal bank account to business bank account.

Meanwhile, the following information recorded in cash book but not in the bank statement.

Issued 3 cheques to KCL Enterprise RM300, Moving Traders RM500 and Bloom Excel RM250.

Cash and cheques amounting RM1,200 had been paid into the bank but not credited in the bank.

Which of the following statements are not true?

i) Total of unpresented cheques is RM1,050

ii) Bank lodgement amounting RM1,200

iii) Dividend of RM350 should be updated on the credit side of cash book (bank column)

iv) Bank charges of RM120 increased the bank account.

Select one:

a. None of the above

b. iii and iv

c. ii and iii

d. i and ii

47.

Neno Trading is preparing their monthly account closing for December 2021. Christine, the account manager, just received the bank statement and she needs to prepare the Bank Reconciliation Statement. Below are the details as at 31 December 2021.

Cash book (bank balance) showed debit balance of RM3,500.

Bank statement credit balance of RM8,480.

After cross check all the transactions in both documents, Linda found out these information had not been entered in the cash book:

Received dividends of RM350 had been paid directly to the bank.

A credit transfer from ABC Shop amounting RM2,500 had been collected by the bank.

Bank charges RM120.

A standing order for bank loan RM2,500

Direct debit for news subscription had been paid by the bank RM100.

Business owner transferred RM5,000 from his personal bank account to business bank account.

Meanwhile, the following information recorded in cash book but not in the bank statement.

Issued 3 cheques to KCL Enterprise RM300, Moving Traders RM500 and Bloom Excel RM250.

Cash and cheques amounting RM1,200 had been paid into the bank but not credited in the bank.

Based on the above information, you are required to update the cash book, prepare Bank Reconciliation Statement and answer the following questions.

Compute the balance as per bank statement.

Select one:

a. RM8,480 overdraft

b. RM3,480 overdraft

c. RM8,480

d. RM3,480