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gAENINATOV REVNENEE AUDITING PRO

98

5. Deposit in transit, Nov.


30, 2018 15,260
2018
6. Deposit in transit, Dec. 31, 16,140
to
7. A bank credit memo was issued in December
correct an erroneous charge made in November
1,500
8. Note collected by bank in December (company was
not informed ofthe collection) 2,060
9. A check for P2,020 (payable to a supplier) was
recorded in the Check Register in December
as P3,000
980
10. A check for P2,240 was charged by the bank
as P2,420 in December
180
11. Rodelio Co. issued a stop
bank in December. This payment order to the
written in December which pertains to a check
was not
received by the payee. A new check
was
written and recorded in the
in December. The old
Check Register
check was written off
by a journal entry also in December.
780
12. Bank service charge, Nov. 30, 2018
60

1. What is the total book


disbursements in December?
A. P367,660 C. P369,720
B. P244,780 D. P368,540

2. What is the total bank receipts in December?


A. P260,160 C. P306,060
B. P308,120 D. P309,020
ASH
1 AND
CASH EQUIVALE
CHAPTER I AUDI
EQUIVALENTS 99

What is the total outstanding checks on December 31?


3.
A. P100,220 C. P62,220
B. P38,000 D. P74,080

AWhat is the adjusted bank balance on November 30?


A. P636,300 C. P637,800
B. P685,180 D. P634,800

EWhat is the adjusted book receipts in December?


A. P307,500 .C. P303,380
B. P306,220 D. P305,440

6. What is the adjusted bank disbursements in December?


A. P353,980 C. P345,960
B. P365,840 D. P366,020

7. What is the adjusted book balance on December 31?


A. P577,500 C. P576,420
B. P577,400 D. P579,460

SOLOTION 1-32

1. Book balance, November 30 P637,860


Add: Book receipts in December 306,220
Total 944,080
Less: Book disbursements in December (SQUEEZE) 367.660
Book balance, December 31 P576.420
Answer: A

. Bank balance, November 30 P685,180


308,120
Add: Bank receipts in December (SQUEEZE)
993,300
Total 356.080
Less: Bank disbursements in December
P637.220
Bank balance, December 31
Answer: B
AEXAMINATJNRIREA n0DllnNG PROv
100 PROBLEM
December (P64,140 P26,140)
P38, 00
-

3. Checks issued prior to


Checks issued in December
31
Total outstanding checks, December P74
Answer: D
Balance December
Balance
Nov. 30 Receipts Disbursements Dec.
Balance per books P637,860 P306,220 P367,660 P576. Dec. 31
31
Note collected by P576,420
bank in December 2,060
Overstatement of 2,060
December book
disbursement
(P3,000 P2,020)
heck stopped for (980) 980
Bank service chargepayment
in
(780) (780)
November
Adj. book balances (60) (60)
P637.800 P307.500 2365,840
P579.460
Balance
Nov.30 December Balance
Bank balances Receipts
P685,180 P308,120 Disbursements Dec.31
Outstanding chedks: P356,080 P637,220
November 30
(64,140)
P637,220
December31
Deposits in transit: (64,140)
November 30 74,080 (74,080)
December 31 15,260
Erroneous bank dharge (15,260)
in November 16,140
1,500 16,140
Overstatement of (1,500)
bank disbursement
in December
Adj. bank balances
P637.800 P307 500 (180)
4.
Adjusted bank balance, November
30
P365.840 P579460
180
Answer: C
P637.800
HAPTER 1 AUDIT OF CASH AND CASH EQUIVALENTS 01

5.Adjusted book receipts in December P307.500


Answer: A

6. Adjusted bank disbursements in December P365.840


Answer: B

7. Adjusted book baiance, December 31 P579.460


Answer: D

PIOBLEM 1-33
Proof of Cash: Unadjusted to Adjusted Balances Format

Data for the ANNABELLE, INC. are shown below:


Nov. 30 Dec. 31
Cash account balance P 20,340 P 48,540
Bank statement balance 107,060 137,820
Deposits in transit 8,200 12,880
Outstanding checks 27,700 30,100
Bank service charges fur the month,
not shown on company books 720 600
NSF checks returned by bank, not
4,300 8,240
Shown on company books
Bank collections from company
72,40 80,900
Customers, not shown on company books

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