Problem 8 – 18:

Beacon Company provided the following information for the month of December:

Cash balance per bank statement 4,000,000

Checks outstanding, including certified check of P 100,000 500,000
Customer note collected by bank for Beacon 150,000
NSF checks of customers returned by bank 200,000
Bank service charge shown in December bank statement 20,000
Error made by Beacon Company in recording a check that
cleared the bank in December (check was drawn in
December for P 100,000 but recorded at P 10,000) 90,000
Deposit in Transit 1,300,000

What is the cash balance per ledger on December 31?

a) 4,900,000
b) 5,060,000
c) 4,880,000
d) 4,970,000

Problem 8 – 19:

On March 31, Decent Company received a bank statement which revealed the following
information:

February 28 book balance 1,460,000

Noted collected by bank 100,000
Interest earned on note 10,000
NSF check of customer 130,000
Bank service charge on NSF check 2,000
Other bank service charges 3,000
Outstanding checks 202,000
Deposit of February 28 placed in night depository 85,000
Check issued by Deceit Company charged to Decent account 20,000

What is the cash balance per bank statement?

a) 1,435,000
b) 1,532,000
c) 1,338,000
d) 1,557,000