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Lesson 7 - Activity FABM

1. The document provides an example reconciliation statement for Tope Company for the month of May 2016. It lists checks issued from the company's cash disbursement journal and checks paid by the bank. 2. The student is instructed to identify which checks from the cash disbursement journal had not cleared the bank as of the end of May 2016. The highlighted check for Payee Nicole in the amount of 4,500 was outstanding. 3. The document also contains an activity evaluating whether sample transactions are reconciling items in the book or bank and how they would affect the reconciliation.

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Zamantha Marquez
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970 views2 pages

Lesson 7 - Activity FABM

1. The document provides an example reconciliation statement for Tope Company for the month of May 2016. It lists checks issued from the company's cash disbursement journal and checks paid by the bank. 2. The student is instructed to identify which checks from the cash disbursement journal had not cleared the bank as of the end of May 2016. The highlighted check for Payee Nicole in the amount of 4,500 was outstanding. 3. The document also contains an activity evaluating whether sample transactions are reconciling items in the book or bank and how they would affect the reconciliation.

Uploaded by

Zamantha Marquez
Copyright
© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
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Download as DOCX, PDF, TXT or read online on Scribd
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Lesson 7: Basic Reconciliation Statement

Name: Zamantha Gie Marquez Grade&Strand: 12- ABM Score:_____


Date Submitted: DECEMBER, 06,2021 Date Recorded:____________________

V. EVALUATION
Activity 1
For the month of May 2016, Tope Company issued the following checks as recorded in its Cash
Disbursement Journal:
Check Date Check No Payee Amount
5/2/2016 1256 Jane 2,000
5/10/2016 1257 May 300
5/15/2016 1528 Nicole 4,500
5/18/2016 1259 Kathy 8,700
5/30/2016 1260 Perry 1,200
As per the bank statement received by Tope, the following checks were presented and paid by
the bank:
Check No Payee Amount
1256 Jane 2,000
1259 Kathy 8,700
1260 Perry 1,200

Instruction: Identify checks outstanding as of the end of May 2016


 The one with the highlights belong to the outstanding check because it is the checks that
have been written and recorded in the company’s cash account but have not yet cleared
the bank account or presented to the bank by the payee.
Activity 2
Identify whether the following independent transaction is a book or a bank reconciling. In
addition, determine the amount of the error and state whether the amount will be added or
deducted in the preparation of the bank reconciliation (use adjusted method):
1. Eagle Repairs received P1,500 from Jane. The bookkeeper recorded the amount as P500.
 Book. P1,000 will be added to the books.

2. Nation Bank collected from the customer of Eagle the sum of P5,000 representing payment
of the said customer to Eagle. No entry was made in the books of Eagle.
  This is a book reconciling item since no entry was posted in the cash account. The
amount of the error is P5,000. The amount will be added to the cash book balance in the
preparation for the bank reconciliation.
3. The bank teller deducted CK 123 for P3,500 from the account of Eagle. The said check was
issued by Egles Company a different depositor of the bank.
 Bank. P3,500 will be added to bank records
4. The bookkeeper of Eagle recorded Check No. 345 in the Cash Disbursement Journal as
P5,205. The correct amount of the check was P5,250.
 The transaction is a book reconciling item since the cash account was overstated by
P45. The amount of the error is P45. The amount will be deducted from the cash book
balance in the preparation of the bank reconciliation.
5. The deposits of Eagle earned interest of P100 for the month. Eagle does not know interest
earned until it receives the bank statement
  The transaction is a book reconciling item since the interest amount was not omitted
from the cash book. The amount in error is P100. The amount will be added to the cash
book balance in the preparation of the bank reconciliation.

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