The following information about Tim the Toymans cash position for October 2020 is presented below.

• The business records reveal that the totals of the cash receipts and cash payments journal for October 2020 are $22,720 and $24,674 respectively before considering any of the items appearing on the bank statement.
• The following items appear on the October bank statement but not on the cash receipts or cash payments journals:
  • A dishonoured cheque from Shaw Pty Ltd for $290.
  • A deposit of $500 by the owner Tim Chander to his personal bank account held at the same bank incorrectly recorded in the business bank account.
  • Rent of $3,600 from a tenant who sublets space was deposited directly into the bank account.
  • A regular withdrawal of $820 for insurance premiums.
  • Bank fees of $30
• The following items appear in the cash receipts and cash payments journals but not on the bank statement:
  • Cheque number for $531 for 1,600 and cheque number 534 for $380.
  • A deposit on 31 October 2020 for $576.
  • A post-dated cheque (dated 1 November) number 539 for $365 was given to K. Adams.
• Additional information includes the following:
  • The business cash at bank account showed at credit balance of $610 at 30 September 2020.
  • On 31 October the bank statement showed a credit balance of $2,342.
  • Cheque number 528 for $120 appears twice on the bank statement.
  • Cheque number 522 was recorded correctly at $693 in the cash payment journal but was recorded as $396 in the bank statement.

Required:

1. Complete, where necessary, the cash receipts and cash payments journals.

(6 marks)

2. Post the totals from the cash receipts and cash payments journals to the cash at bank general ledger account.

(2 marks)

3. Prepare a bank reconciliation statement as at 31 October 2020 for Tim the Toyman.

(8 marks)

(Total: 6 + 2 + 8 = 16 marks)

1. (6 marks)

Cash Receipts Journal

Cash Payments Journal

b.

Cash at Bank account
Date	Explanation	Debit	Credit	Balance