You are to write up a three-column cash book for M. Kibicho from the details which follow. Then balance off at the end of the month and show the discount accounts in the general ledger.

2020
May	1	Balances brought forwards Cash in hand Shs.580 Bank overdraft Shs.14,700
"	2	Kibicho pays further capital into the bank Shs.10,000
"	3	Bought office fixtures by cheque Shs.7,800
"	4	Cash sales Shs.2,000
"	5	Banked cash Shs.2,000
"	6	We paid the following by cheque, in each case deducting 212% cash discount. B. Ngundi Shs.800; T.Tharao Shs.2,400; M. Makuyu Shs.5,000
"	8	Cash sales Shs5,000
"	12	Paid motor expenses in cash Shs.770
"	15	Cash withdrawn from the bank Shs.4,000
"	16	Cash drawings Shs.1,200
"	18	The following firms paid us their accounts by cheque, in each case deducting a 5% discount: E. Olesuki Shs.800; B. Chemutai Shs.1,400; D. Kombo Shs.2,200
"	20	Salaries paid in cash Shs.2,100
"	22	T. Kaungu paid us his ccount in cash Shs. 2,040
"	26	Paid insurance by cheque Shs.1,500
"	28	We banked all the cash in our possession except for Shs.200 in the cash till
"	31	Bought motor van, paying by cheque Shs.49,200

1. Kariukis cash book showed credit balance of sh. 36080 on June 30 1987 whereas the bank statement received from his bank showed a credit balance of sh. 49320 on the same date. The following differences were discovered:-

1. Cheques totaling 61450 issued by Kariuki did not appear in the bank statement.
2. Cheques totaling 39450 deposited on the last day of the month were credited by the bank on 5^th July, 1987.
3. Bank charges for the month amounted to sh. 2410
4. The bank made payments of sh. 8000 to Kariukis land lord and another of sh. 2000 to an insurance company as per his standing orders.
5. A cheque for 6050 deposited on June 23 1987 was returned unpaid by the bank on July 4 1987.
6. A debtor remitted sh. 9700 direct to Kariukis account

Required to prepare

1. Adjusted cash book
2. bank reconciliation statement