Kleen $($Pty$)$ Ltd $($hereafter Kleen$)$ is a company that sells cleaning chemicals to a variety of

customers ranging from individuals to wholesalers in and around Johannesburg. The financial

reporting period end of Kleen is $31$ December. Kleen and all the entities it trades with are

registered VAT vendors.

You are assisting the bookkeeper of Kleen in preparing the financial reports for the financial

reporting period ended $31$ December $2023.$ The bookkeeper provided you with the following

information:

$1.$ The following is the bank reconciliation statement for November $2023$:

Bank reconciliation on $30$ November $2023$

R R

Debit Credit

Balance Current account statement $10020$

Items that must still appear on the bank statement:

Deposit Dep $1021882$

Payment to Payable Mr Muscle CAS$314555$

Payment to Payable Miss Sheen CAS$3162572$

Balance $-$ Bank account $8775$

$1190211902$

$2.$ On $1$ December $2023,$ the balance on the bank account in the general ledger showed a

favourable amount of R$8775.$

$3.$ The following represents the entries in the bank general account of Kleen during December

$2023$:

Date Contra account Ref Debit Credit Balance

$2023$

$01/12/23$ Balance bd $8775$ Dr

$01/12/23$ Payable B EFT$32121306645$ Dr

$02/12/23$ Various accounts Dep$104372710372$ Dr

$06/12/23$ Water and electricity EFT$3226889684$ Dr

$07/12/23$ Various accounts Dep$105188211566$ Dr

$13/12/23$ Payable D EFT$323111010456$ Dr

$14/12/23$ Telkom &

communication & VAT

EFT$32415008956$ Dr

$15/12/23$ Various accounts Dep$106142510381$ Dr

$20/12/23$ Various accounts Dep$10745710838$ Dr

$24/12/23$ Various accounts Dep$108489015728$ Dr

$31/12/23$ Payable F EFT$325134214386$ Dr

$31/12/23$ Various accounts Dep$109267017056$ Dr

$31/12/23$ Payable H EFT$326396013096$ Dr

$2$

$4.$ The following is the bank statement for Kleen for December $2023$:

Time Bank

Bank statement for Kleen $($Pty$)$ Ltd

Business Account Account number: $0984421$

Date Transaction details Debit Credit Balance

$01/12/2023$ Balance $1002010020$

$04/12/2023$ Deposit $-$ Dep $102188211902$

$06/12/2023$ Deposit $-$ Dep $104372715629$

$07/12/2023$ EFT# $32268814941$

$08/12/2023$ EFT# $321213012811$

$09/12/2023$ CAS$31455512256$

$10/12/2023$ Debit order insurance $148210774$

$11/12/2023$ Deposit $-$ Dep $105188212656$

$14/12/2023$ EFT# $323111011546$

$16/12/2023$ Deposit $-$ Dep $106142512971$

$21/12/2023$ Deposit $-$ Dep $10775413725$

$28/12/2023$ BS$233$ Shell fuel $60013125$

$31/12/2023$ Service fees $8213043$

$31/12/2023$ Monthly Management fee $29212751$

$31/12/2023$ Interest on account $31513066$

The deposit $($Dep $107)$ on $21$ December $2023$ was correctly reflected in the bank general ledger

account of Kleen as R$457.$

REQUIRED:

a$)$ Compare the entries in the bank account of Kleen during December $2023$ to the bank

statement received from Time Bank for December $2023$ and prepare the necessary journal

entries to account for the unmarked transactions. $(12)$

Journal narrations and dates ARE required.

Round off all amounts to the nearest Rand.

b$)$ Prepare the bank account general ledger of Kleen starting with the balance as at $31$ December

$2023$ as the opening balance. $(7)$

c$)$ Prepare the bank reconciliation of Kleen as at $31$ December $2023.(9)$

d$)$ Present the cash and cash equivalents line item in the statement of financial position of Kleen

as at $31$ December $2023.(3)$