You are working on the bank reconciliation for Cadman Corp. for the year ended October 31. You're reperforming the bank reconciliation as part of the audit. You have gathered the following information: From the general ledger: From the bank statement: Opening balance, Oct 1 41,531 Opening balance, Oct 1 82,833 Cash receipts journal 285,107 Deposits 280,627 Cash disbursements journal (244,283) Cheques cleared (264,488) Ending balance, Oct 31 82,355 Loan pymt withdrawn (68,320) NSF cheque returned (3,483) Bank charges (142) Ending balance, Oct 31 27,027 * these amounts have not yet been recorded on Cadman Corp.'s books You also have the following information: The September 30 bank reconciliation had $45,952 of outstanding cheques, and $4,650 of deposits-in- transit. The client provided a list of outstanding cheques and deposits-in-transit as at Oct 31 as follows: O/S cheques: 4414 $2,704 Deposits-in-transit 4417 7,112 Oct 30 $4,537 4418 4,999 2,800 4419 3,615 Oct 31 1.792 4420 8,217 9,130 25,747 What journal entries are needed to record the transaction on the bank statement that are not yet in Cadman Corp.'s books? Prepare the bank reconciliation for October 31: Balance per bank, October 31 Balance per books, October 31 Foot the O/S cheques list. Assume the difference you see was intentional. What motive would the client's staff member have for trying to pass off this total? You later check that the O/S cheques cleared. You note that they cleared on Nov 2 (4414), Nov 15 (4417, 4419), Nov 16 (4420), and Nov 17 (4418). Does this raise any concerns? Assuming this was done intentionally, what motive would the person behind it have? - When you were doing the bank reconciliation for another bank account controlled by the company, you noticed a transfer of $2,800 out of that account the same as the deposit in transit noted on the listing). On further investigation, you confirm that the $2,800 deposit-in-transit was in fact a transfer from another Cadman Corp. bank account. You also notice that the transfer out was dated November 2 in the books. Again, assume this was done intentionally. What is the person behind this trying to achieve? You are working on the bank reconciliation for Cadman Corp. for the year ended October 31. You're reperforming the bank reconciliation as part of the audit. You have gathered the following information: From the general ledger: From the bank statement: Opening balance, Oct 1 41,531 Opening balance, Oct 1 82,833 Cash receipts journal 285,107 Deposits 280,627 Cash disbursements journal (244,283) Cheques cleared (264,488) Ending balance, Oct 31 82,355 Loan pymt withdrawn (68,320) NSF cheque returned (3,483) Bank charges (142) Ending balance, Oct 31 27,027 * these amounts have not yet been recorded on Cadman Corp.'s books You also have the following information: The September 30 bank reconciliation had $45,952 of outstanding cheques, and $4,650 of deposits-in- transit. The client provided a list of outstanding cheques and deposits-in-transit as at Oct 31 as follows: O/S cheques: 4414 $2,704 Deposits-in-transit 4417 7,112 Oct 30 $4,537 4418 4,999 2,800 4419 3,615 Oct 31 1.792 4420 8,217 9,130 25,747 What journal entries are needed to record the transaction on the bank statement that are not yet in Cadman Corp.'s books? Prepare the bank reconciliation for October 31: Balance per bank, October 31 Balance per books, October 31 Foot the O/S cheques list. Assume the difference you see was intentional. What motive would the client's staff member have for trying to pass off this total? You later check that the O/S cheques cleared. You note that they cleared on Nov 2 (4414), Nov 15 (4417, 4419), Nov 16 (4420), and Nov 17 (4418). Does this raise any concerns? Assuming this was done intentionally, what motive would the person behind it have? - When you were doing the bank reconciliation for another bank account controlled by the company, you noticed a transfer of $2,800 out of that account the same as the deposit in transit noted on the listing). On further investigation, you confirm that the $2,800 deposit-in-transit was in fact a transfer from another Cadman Corp. bank account. You also notice that the transfer out was dated November 2 in the books. Again, assume this was done intentionally. What is the person behind this trying to achieve