Question 4 [27] The following bank reconciliation statement was prepared by the bookkeeper of Veggie Stores for January 2020. The financial year of the business ends in January each year. Bank overdraft as per bank statement R35 000 Outstanding deposit on 10 January 2020 R12 900 28 January 2020 R10 000 Outstanding deposit: Cheque received from B Brother dated 24 February 2020 R1 800 Outstanding cheques: No. 1642 (dated 20 July 2019) R7 000 No. 9172 (dated 25 January 2020) R9 800 No. 9753 (dated 3 March 2020) R4 800 Bank charges R570 Balance as per bank account in the General Ledger ? . . SBS Page 8 of Assignment Sethenes School Required: 4.1. Is the opening balance of R35 000 as per the bank statement a debit or a credit balance on the bank statement? Explain your answer. (2) 4.2. Explain why the business has entered cheque no. 9753 in the bank reconciliation statement. (3) 4.3. The business has made three other errors. Identify the amounts relating to these errors and explain why they are errors. Specify the corrective action that should be taken to correct these errors. (9) 4.4. Prepare a corrected bank reconciliation statement for January 2020. (7) 4.5. The owner is concerned about the outstanding deposit of R12 900. Explain why he is concerned. (2) 4.6. Propose TWO steps the owner should take to prevent things such as those described in Question 4.5 above from occurring again in the future. CSScanned with CamScanner