The bank portion of the bank reconciliation for Lordline Limited as

Total 25 Marks Suggested time allocation: 45 Minutes

Lordline Limited

Bank Reconciliation As at the 31 May 2020

Cash Balance per bank Add: Outstanding deposits

Less: Un-presented Cheques

Cheque number

2451

2470

2471

2472

2474

Adjusted cash balance per bank agreed with the cash balance per the books

$18,790.00 1,633.60 20,423.60

at 31 May 2020 was as

follows.

Cheque Amount $1,260.40 730 945.6 503.6 1,050.00

4,489.60 $15,934.00

The June 2020 bank statement showed

the following cheques and

deposits:

Withdrawals

Date 1-Jun 2-Jun 5-Jun 4-Jun 8-Jun 10-Jun 15-Jun 18-Jun

18 Jun 27-Jun 30-Jun 29-Jun

Total

Deposits

Cheque number 2470

2471

2474

2475

2476

2477

2479

2480

cheque book charge 2481

2483 2486

Amount $ 730.00 945.60 1,050.00 1,640.70 2,830.00 600.00 1,750.00 1,330.00 80.00 695.40 575.50 900.00 13,127.20

Date

1-Jun cheque 4-Jun cheque 8-Jun cheque 13-Jun cheque 18-Jun cheque 21-Jun cheque

22 Jun direct debit 25-Jun cheque 28-Jun cheque 30-Jun cheque Total

Amount $ 1,633.60 1,211.60 990.1 2,575.00 1,472.70 2,945.00 1,505.00 2,567.30 1,650.00 1,186.00 17,736.30

Semester 1, 2019 FINAL EXAMINATION Page 3 of 8

ACT501 - Accounting Principles

THIS EXAMINATION PAPER AND SUPPLIED MATERIALS ARE NOT PERMITTED TO BE REMOVED FROM ANY EXAMINATION VENUE IN ANY CIRCUMSTANCE. THIS EXAMINATION IS PRINTED DOUBLE-SIDED.

The records per books for June 2020 showed the following.

Cash Receipt Journal

Date Amount $

3-Jun 1,211.60 7-Jun 990.1 12-Jun 2,575.00 17-Jun 1,472.70 20-Jun 2,945.00 24-Jun 2,567.30

27-Jun 1,650.00 29-Jun 1,186.00 30-Jun 1,338.00 Total 15,935.70

Cash Payment Journal

Date Cheque number

1-Jun 2475 2-Jun 2476 2-Jun 2477 4-Jun 2478 8-Jun 2479 10 Jun 2480 15-Jun 2481 18-Jun 2482 20-Jun 2483 22-Jun 2484 23-Jun 2485 24-Jun 2486 29-Jun 2487 30-Jun 2488 Total

Amount $

1,640.70 2,830.00 600.00 800.00 1,750.00 1,330.00 695.40 566.00 575.50 850.20 952.80 900.00 388.70 1373.30 15,252.60

Additional information:

i. The credit of $1,505.00 shown on the bank statement was for the collection of a $1,400.00 note for Lord

Limited plus interest of $120.00 and less a collection fee for $15.00. Lordline Limited has not accrued any

interest on the note.

ii. The Bank did not make any errors; two errors were made in Lord-line Limited.

iii. On 30 June, the cash balance per books was $16,806.10.

Required:

(a) Calculateandshowtheasat30June2020,thecashbalanceperthebankstatement.

(b) Prepare the bank reconciliation as at 30 June 2020

(c) As at 30 June 2020, compute and prepare the adjusted bank balance starting from the book balance.

(5 Marks)

(d) Prepare the adjusting entries based on the reconciliation. (Hint: The correction of any errors pertaining to

recording cheques should be made to Accounts Payable. The correction of any errors relating to recording cash receipts should be made to Accounts Receivable). (