n 10th January 2006, Martin Kinuthia, a sole trader received his monthly statement for December 2005.

The statement showed the following:

Date

2005 Particulars Debit

Sh. Credit

Sh. Balance

Sh.

Dec 1

5

5

5

8

10

13

14

20

20

21

21

24

27

28

29

29

31 Balance

Cheque No.417864 (Electricity)

Dividend

Local cheque deposit (Solomon Otieno)

Cheque No. 417866 (Jemima Nyambura)

Cheque No. 417867 (Young traders)

Miscellaneous credit (Kevin Kagai)

Standing Order

Cheque No. 417865 (Janet Aoko)

Local cheque deposit (Donald Korir)

Cheque No. 417868 (David Okoth)

Cheque No. 417870 (Rent)

Bank charges

Local cheque deposit (J. Nduta)

Direct debit

Cheque No. 417873 (Daniel Wambua)

Local cheque deposit (Joseph Ondieki)

Cheque No. 417871 (Moses Siringi)

24,300

17,400

1,700

3,200

30,700

9,500

16,100

1,800

8,800

1,200

2,500

2,600

21,200

18,500

11,800

4,700

27,900 186,200

161,900

164,500

185,700

168,300

166,600

185,100

181,900

151,200

163,000

153,500

137,400

135,600

140,300

131,500

130,300

158,200

155,700

Martin Kinuthi's Cash book for the month of December 2005 was as follows

CASH BOOK

2005 Sh. 2005 ChequeNo Sh.

Dec 1

4

9

19

24

27

29

30 Balance B/d

Solomon Otieno

Kevin Kagai

Donald Korir

Joy Nduta

Joseph Ondieki

Owen Ndubi

Walter Oyugi

186,200

21,200

18,500

11,800

4,700

27,900

9,800

13,400

293,500 Dec 1

2

5

6

10

14

16

20

21

22

31 Electricity

Janet Aoko

Jemimah Nyambura

Young Traders

David Okoth

Victor Karanja

Rent

Moses Siringi

Steve Mahithya

Daniel Wambua

Bal C/d 417864

417865

417866

417867

417868

417869

417870

417871

417872

417873

24,300

30,700

17,400

1,700

9,500

7,100

16,100

2,500

3,700

1,200

179,300

293,500

Required: a) Updated Cash book for Martin as at 31-12-2005b) Bank Reconciliation statement