QUESTION 3 You were recently recruited as a trainee accountant for FAMA Limited, a printing company with a sizeable number of customers. The company has been in existence for more than three years. In the recent past, the company has been doing well as evidenced by its profits which have been rising by an average of 15% annually. However, the company has been facing challenges with the production of regular Bank Reconciliation Statements by its cashier. As a result of these concerns, the company terminated the cashier's employment. One of your tasks is to enter transactions in the company's cash book, check entries on receipt of the Bank Statement, update the cash book and make any amendments as necessary. The following details are available for the month of March 2020: Company's Cash Book PARTICULARS 2020 CR K'000 DR K'000 10,000 3,000 6,000 1/03 4/03 4/03 7/03 10/03 15/03 17/03 19/03 27/03 30/03 30/03 31/03 Balance b/f Deposit- Mumba Cash sale Cheque No 000153 Cheque No 000154 Cheque No 000155 Cheque No 000156 Cash sale Cash sale Cheque No 000158 Cheque No 000159 Balance c/d 6,000 4,000 3,600 3,300 7,000 8,000 3,300 10,000 3,800 34,000 34,000 On 5th April, 2020, the Banker to the company, MIDLAND BANK, provided the following Bank Statement for the month of March 2020: 2020 PARTICULARS DEBIT CREDIT BALANCE K'000 K'000 K'000 1/03 Balance b/f 10,000 6/03 Deposit 3,000 13,000 8/03 Deposit 6,000 19,000 9/03 Cheque No 000153 6,000 13,000 10/03 Cheque No 000154 4,000 9,000 20/03 Deposit 7,000 16,000 22/03 Credit Transfer 5,000 21,000 23/03 Standing order 3,000 18,000 30/03 Cheque No 000159 3,300 14,700 31/03 Bank charges 300 14,400 Required: a) Prepare an Adjusted Cash Book a at 31st March, 2020 (10 marks) b) Prepare a Bank Reconciliation Statement as at 31st March, 2020 (10 marks) (Total = 20 marks)