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Zorluk: OrtaCauses of Discrepancies Between Cash Book and Bank Statement

On 31st July 2026, the Cash Book of Adebayo Traders showed an overdrawn bank balance of NGN 18,500\text{NGN } 18,500. A comparison with the Bank Statement revealed the following items:

- Unpresented cheques: NGN 6,200\text{NGN } 6,200
- Uncredited lodgements: NGN 4,100\text{NGN } 4,100
- Bank charges not yet entered in the Cash Book: NGN 850\text{NGN } 850
- Direct credit transfer from a customer: NGN 3,500\text{NGN } 3,500

What is the adjusted Cash Book balance?

  1. Overdraft of NGN 15,850\text{NGN } 15,850Cevap
  2. B
    Overdraft of NGN 13,750\text{NGN } 13,750
  3. C
    Overdraft of NGN 21,150\text{NGN } 21,150
  4. D
    Overdraft of NGN 9,650\text{NGN } 9,650

Cevap

Overdraft of NGN 15,850\text{NGN } 15,850
To arrive at the adjusted Cash Book balance, only unrecorded items like bank charges and direct credits are adjusted in the Cash Book. Starting with an overdraft of −NGN 18,500-\text{NGN } 18,500, adding bank charges of NGN 850\text{NGN } 850 increases the overdraft to −NGN 19,350-\text{NGN } 19,350. Deducting the direct credit of NGN 3,500\text{NGN } 3,500 reduces the overdraft balance to −NGN 15,850-\text{NGN } 15,850 (overdraft of NGN 15,850\text{NGN } 15,850).

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1
Identify items that require entries in the Cash Book before reconciliation
Bank charges (NGN 850\text{NGN } 850) must be credited (increasing overdraft), and direct credit transfer (NGN 3,500\text{NGN } 3,500) must be debited (reducing overdraft). Unpresented cheques and uncredited lodgements are timing differences to be placed in the Bank Reconciliation Statement.
Only items unknown to the business prior to receiving the bank statement (or errors made by the firm) are recorded in the Adjusted Cash Book.
2
Calculate the net adjustment to the overdrawn Cash Book balance
−NGN 18,500−NGN 850+NGN 3,500=−NGN 15,850-\text{NGN } 18,500 - \text{NGN } 850 + \text{NGN } 3,500 = -\text{NGN } 15,850
An overdrawn balance is negative. Bank charges increase the liability (negative impact), while a direct credit from a customer reduces the liability (positive impact).

Anahtar Kavram

Adjusted Cash Book preparation prior to Bank Reconciliation Statement
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Konular

Causes of Discrepancies Between Cash Book and Bank Statement

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