Problem 3-6

POV of the BOOK Previous For the month of September

JULY 31 BOOK DEBITS
Unadjusted Balances 1,200,000.00 4,400,000.00
NSF CHECK
FOR JULY 100,000.00
FOR AUGUST
Note collected by bank
FOR JULY 200,000.00 200,000.00
FOR AUGUST 300,000.00

BOOK ERROR in INFLOW - Understated 180,000.00

BOOK ERROR in OUTFLOW - Understated

Adjusted Balances 1,300,000.00 4,680,000.00

POV of the BANK Previous For the month of September

JULY 31 BANK CREDITS
Unadjusted Balances 800,000.00 5,000,000.00
Deposit in transit
FOR JULY 600,000.00 600,000.00
FOR AUGUST 480,000.00
Outstanding checks
FOR JULY 100,000.00
FOR AUGUST

BANK ERROR in OUTFLOW - not the owner 200,000.00

BANK ERROR in OTFLOW - not the owner

Adjusted Balances 1,300,000.00 4,680,000.00

or the month of September Current
BOOK CREDITS AUGUST 31
3,600,000.00 2,000,000.00

100,000.00
50,000.00 50,000.00

300,000.00

180,000.00

540,000.00 540,000.00

4,090,000.00 1,890,000.00 1,890,000.00

or the month of September Current

BANK DEBITS AUGUST 31
3,940,000.00 1,860,000.00

480,000.00

100,000.00
650,000.00 650,000.00

200,000.00

400,000.00 400,000.00

4,090,000.00 1,890,000.00 1,890,000.00