A company's general ledger shows a bank balance of K150,000.00 while the bank statement indicates a balance of K148,000.00. after analysing the bank statement,
A company's general ledger shows a bank balance of K150,000.00 while the bank statement indicates a balance of K148,000.00. after analysing the bank statement, you discover the following discrepancies: Outstanding checks total K8,000. The bank has collected K5,000 on the company's behalf. Bank service charges amount to K3,000. A deposit of K10,000 was recorded in the company's books but hasn't yet been credited by the bank. The company recently changed its depreciation method for an asset. The assets original cost was K75,000, with an estimated useful life of 10 years and no salvage value. The company had been using straight line depreciation, but now they want to switch to the double declining balance method. a) Calculate the adjusted bank balance b) Calculate the depreciation expense for the current year under the new method
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