Scribd
Upload
781 views5 pages

Proof of Cash Problem 3-1

The document contains calculations and reconciliations for Sassy Company's book and bank balances for June 30 and July 31. It computes beginning balances, additions and subtractions to arrive at adjusted book and bank balances, which are then reconciled to ensure they are equal. Deposit in transit, outstanding checks, notes collected and service charges are accounted for in the reconciliations for both months.

Uploaded by

Coleen Lara Sedilles
Copyright
© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
Available Formats
Download as XLSX, PDF, TXT or read online on Scribd
781 views5 pages

Proof of Cash Problem 3-1

The document contains calculations and reconciliations for Sassy Company's book and bank balances for June 30 and July 31. It computes beginning balances, additions and subtractions to arrive at adjusted book and bank balances, which are then reconciled to ensure they are equal. Deposit in transit, outstanding checks, notes collected and service charges are accounted for in the reconciliations for both months.

Uploaded by

Coleen Lara Sedilles
Copyright
© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
Available Formats
Download as XLSX, PDF, TXT or read online on Scribd
You are on page 1/ 5

Computation of book balance Computation of deposit in transit

Book balance - June 30 1,000,000.00 Deposit in transit - June 30


Add: Book debits for July 4,000,000.00 Add: Book debits
Total 5,000,000.00 Less: June CM
Less: Book credits for July 3,600,000.00 Total
Book balance - July 31 1,400,000.00 Less: Bank credits
Less: July CM
Computation of bank balance Deposit in transit - July 31

Bank balance - June 30 1,650,000.00 Computation of outstanding checks


Add: Bank credits for July 3,500,000.00
Total 5,150,000.00 Outstanding checks - June 30
Less: Bank debits for July 2,500,000.00 Add: Book credits
Bank balance - July 31 2,650,000.00 Less: June DM
Total
Less: Bank debits
Less: July DM
Outstanding checks - July 31
putation of deposit in transit

400,000.00
4,000,000.00
300,000.00 3,700,000.00
4,100,000.00
3,500,000.00
500,000.00 3,000,000.00
1,100,000.00

utation of outstanding checks

854,000.00
3,600,000.00
104,000.00 3,496,000.00
4,350,000.00
2,500,000.00
1,000.00 2,499,000.00
1,851,000.00
Sassy Company
Bank reconciliation
June 30 xxxx

Book balance 1,000,000.00


Add: Notes collected for June 300,000.00
Total 1,300,000.00
Less: NSF for June 100,000.00
Service charge for June 4,000.00 104,000.00
Adjusted book balance 1,196,000.00

Bank balance 1,650,000.00


Add: Deposit in transit for June 400,000.00
Total 2,050,000.00
Less: Outstanding checks for June 854,000.00
Adjusted bank balance 1,196,000.00
Sassy Company
Bank reconciliation
July 31 xxxx

Book balance 1,400,000.00


Add: Notes collected for July 500,000.00
Total 1,900,000.00
Less: Service charge for July 1,000.00
Adjusted book balance 1,899,000.00

Bank balance 2,650,000.00


Add: Deposit in transit for July 1,100,000.00
Total 3,750,000.00
Less: Outstanding checks for July 1,851,000.00
Adjusted bank balance 1,899,000.00
Sassy Company
Proof of cash
For the month of July

30-Jun Receipts Disbursements 31-Jul


Book balance 1,000,000.00 4,000,000.00 3,600,000.00 1,400,000.00
Notes collected:
June 300,000.00 (300,000.00)
July 500,000.00 500,000.00
NSF check
June (100,000.00) (100,000.00)
July
Service charge
June (4,000.00) (4,000.00)
July 1,000.00 (1,000.00)
Adjusted book balance 1,196,000.00 4,200,000.00 3,497,000.00 1,899,000.00

Bank balance 1,650,000.00 3,500,000.00 2,500,000.00 2,650,000.00


Deposit in transit
June 400,000.00 (400,000.00)
July 1,100,000.00 1,100,000.00
Outstanding checks
June (854,000.00) (854,000.00)
July 1,851,000.00 (1,851,000.00)
Adjusted bank balance 1,196,000.00 4,200,000.00 3,497,000.00 1,899,000.00

You might also like