Question 4 At 31 March 20X1, the records of Gimel Motors Limited show the following balances: Balance per cash book 511 Dr Balance per Bank Statement 1,541 in hand (positive balance) Your investigation of the books of account and bank statements show the following: 1. Bank charges in March 20X1 of 205 have not been entered. 2. A cheque of 2,680 was entered in the cash book as 2,860. 3. A cheque for 190 in August 20X0 had not been presented to the bank by 28 February 20X1. The cheque was reissued on 31 March 20X1 and was entered in the cash book. 4. Bank receipts of 1,440 banked on 31 March 20X1 were not credited in the bank statement until 4 April 20X1. 5. Cheque payments of 1,905 issued in March 20X1 appeared on the bank statement in April and May 20X1. 6. The bank statement showed a receipt of 400 on 20 March 20X1, paid directly via the bank clearing system. The company was unaware of the identity of the payer. The bank confirmed that this receipt had been credited to the account of Gimel Motors, in error. Required a. Correct the cash book, showing the correct closing balance. (10 Marks) b. Prepare a bank reconciliation statement, reconciling the corrected cash book balance in (a) with the bank statement balance. (10 Marks) c. List 5 reasons that cause the cash book and the bank statement to be different? (5 Makes)