Fundamentals of

Accounting, Business
and Management 2
Quarter 2 – Module 1:
Bank Reconciling Items
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 Fundamentals of
Accounting, Business
and Management 2
Quarter 2 – Module 1:
Bank Reconciling Items
Introductory Message
For the facilitator:

Welcome to the Fundamentals of Accounting, Business and Management 2 – Grade

12 Alternative Delivery Mode (ADM) Module on the Bank Reconciling Items!

This module was collaboratively designed, developed, and reviewed by educators

both from public and private institutions to assist the teacher or facilitator in helping
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As a facilitator you are expected to orient the learners on how to use this module.
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learners as they do the tasks included in the module.

1
For the learner:

Welcome to the Fundamentals of Accounting, Business and Management 2 – Grade

12 Alternative Delivery Mode (ADM) Module on the Bank Reconciling Items!

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 What I Can Do This section provides an activity which will
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 What I Need to Know

Most successful businesses make use of banks as a medium of cash transaction,

whether for payments or deposits. It eases the flow of cash from the seller to the
buyer and vice versa. For this reason, cash transactions with banks should also be
monitored and balanced with that of the books.

At the end of the month, the bank will release a bank statement. To monitor and
balance the records of cash in the bank and records of cash of the company, we need
to do bank reconciliation. This module will let us understand bank reconciliation.
We will start with the Bank Reconciling Items.

At the end of the lessons, you should be able to:

1. Describe the nature of a bank reconciliation statement

(ABM_FABM12-IId-10)

2. Analyze the effects of the identified reconciling items

(ABM_FABM12-IId-12)

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 What I Know

Select the letter of the best answer.

1. Which of the following is NOT a cash item?

a. Saving account
b. Checking account
c. Cash on hand
d. None of the above

2. These are deposits already recorded in the company’s book balance but not
yet recorded in the bank records.
a. Deposit in transit
b. Bank errors
c. Outstanding checks
d. None of the above

3. These are items mistakenly recorded by the bank to the company’s account.
a. Bank error
b. Book error
c. Bank checks
d. None of the above

4. These are items erroneously recorded in the company’s books.

a. Bank error
b. Book error
c. Bank deposits
d. None of the above

5. These are deposits made by the bank to the company’s account but not yet
reflected in the company’s books.
a. Bank credits
b. Bank debits
c. Bank checks
d. None of the above

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 Lesson

1 Items for Reconciliation

From the last module, you have learned about the elements of a bank statement. You
have learned that every end of the month, the bank will release a bank statement.
However, the records of the bank are not always in agreement with how we record
cash transactions in our books. To monitor and balance the (1) records of cash in
the bank and (2) records of cash of the company, we need to do bank reconciliation.

To reconcile means to make an account consistent with another (Oxford Languages

n.d.). That is why in bank reconciliation, the bank’s balance (in the bank statement)
should reconcile with the books balance (cash records in the books).

Illustrative example: Suppose both accounts are updated.

=
BANK STATEMENT CASH LEDGER
“Bank” “Book”

XYZ Bank Account: CASH

Limay, Bataan Reference No. 101
ABM Consultancy Services Account No. 00345
Date Description Debits Credits Balance
Duale, Limay, Bataan July 31, 2020 30-Jun ₱ 25,000
1-Jul Sales ₱ 13,000 38,000
Date Debits Credits Balance 4-Jul Sales 9,000 47,000
30-Jun ₱ 25,000
1-Jul ₱ 13,000 38,000
9-Jul Loans Payable 150,000 197,000
4-Jul 9,000 47,000 13-Jul Miscellaneous expense ₱ 2,500 194,500
9-Jul 150,000 CM 197,000 15-Jul Chk No. 00100 12,000 182,500
13-Jul ₱ 2,500 DM 194,500
18-Jul Sales 30,000 212,500
15-Jul Chk No. 00100 12,000 182,500
18-Jul 30,000 212,500 20-Jul Chk No. 00101 6,000 206,500
20-Jul Chk No. 00101 6,000 206,500 21-Jul Chk No. 00102 20,000 186,500
21-Jul Chk No. 00102 20,000 186,500 23-Jul Accounts Receivable 21,000 165,500
23-Jul 21,000 NSF 165,500
26-Jul Chk No. 00103 9,900 155,600
26-Jul Chk No. 00103 9,900 155,600

Debit entries are Debit entries are Credit entries are

“subtracted” to Credit entries are “added” to the “subtracted” to
the balance “added” to the balance the balance
because these are balance because
withdrawals these are deposits

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Note: For the ease of discussion, we will use the term “bank” to refer bank reconciling
items and “book” for book reconciling items. It is important to note that to increase
the cash in the books we need to debit it. However, it is not the same for bank records.
The bank recognizes the company’s cash as a liability in its balance sheet, therefore
cash of the company is increased by crediting the amount to its account.

Here are the items to reconcile for both bank and book records.

Bank Reconciling Items

1. Deposit in transit - deposits already recorded in the company’s books but not
yet recorded by the bank.
2. Outstanding checks - checks issued by the company but not yet paid by the
bank.
3. Bank errors - items erroneously recorded by the bank.

Book Reconciling Items

1. Bank debits - bank charges that the bank deducts against the company’s
account and not yet reflected in the books.
2. Bank credits - deposits made by the bank but not yet reflected in the books.
3. Book errors - item erroneously recorded by the company in its books.

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 What’s In

There is a lot to figure out about reconciling items, isn’t it? Let us have a quick review
by filling out the table with the reconciling items. Choose the answers from the box
below and define each.

DEPOSIT IN TRANSIT BANK ERRORS

BANK DEBITS OUTSTANDING CHECKS
BOOK ERRORS BANK CREDITS

Bank Reconciling Items Book Reconciling Items

1. 1.

2. 2.

3. 3.

Notes to the Teacher

Always remember to have a copy of both book and bank records.
The bank reconciliation should be done within a few days after the
month ends and getting bank statement is a click away, when the
business is registered to an online banking.
Unlike back in the days that you needed to go to the bank to update
passbook details.

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 What’s New

Bank Reconciling Items

1. Deposit in transit consists the following items:
• Deposit in transit, beginning of the month – deposits made from the
previous month but reflected in the current working month or simply
the ending of last month’s DIT.
• Deposit made per books- all deposits recorded in the book during the
month
• Deposits shown in the bank statement – deposits which are reflected in
the bank during the month

2. Outstanding checks consist of the following items:

• Outstanding checks, beginning of the month – checks from last month’s
issue only reflected in the current month or simply the ending of last
month’s OC.
• Checks issued per books – all checks issued and recorded in the book
during the current month
• Checks paid by the bank – all checks that have been issued that are
encashed in the bank during the month.

3. Bank errors - items erroneously recorded by the bank during the month.

Book Reconciling Items

1. Bank debits entry to update the book:

• Accounts Receivable P xxx
Cash in bank P xxx
To record returned check.

• Miscellaneous Expense P xxx

Cash in bank P xxx
To record bank service charges.

2. Bank credits entry to update the book:

• Cash in bank P xxx
Miscellaneous Expense xxx
Notes Receivable P xxx
To record collection of note less bank charges.

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 • Cash in bank P xxx
Loan Payable P xxx
To record proceeds of the loan.

3. Book errors are corrected through reversal entry of the affected accounts.

Activity: Finding bank reconciling items are sometimes complicated. Let us have a
drill to understand these reconciling items better. This will help us analyze the
process of computing for deposit in transit and outstanding checks and necessary
adjusting entries.

Identify the items being described. Select the letter of the best answer.

1. On Jan 31, Mr. Ahn deposits P100,000 in his checking account. The deposit
was reflected on Feb 2. The P100,000 is the __________.
a. Deposit in transit, beginning of the month
b. Outstanding check, beginning of the month
c. Deposits made per book
d. Checks issued per book

2. Upon checking the books, all deposits for the month amounted to P10,000,
P12,000 and P23,000, respectively. How much are the deposits made per
book?
a. P46,000
b. P23,000
c. P45,000
d. P12,000

3. Checks issued on Jan 24 was paid by the bank on Feb 12. The checks cleared
on Feb 12 is called __________.
a. Outstanding check, end of the month
b. Outstanding check, beginning of the month
c. Checks that should have been cleared
d. Deposit in transit

4. WWW Bank recorded a P34,000 deposit as P43,000. What do you call this
error?
a. Book error
b. Bank error
c. NSF
d. Bank debit

5. Super Bank returned an NSF check and collected charge for it. What is the
entry for the bank charge for the NSF?
a. Debit: Bank charge | Credit: Cash in bank
b. Debit: Miscellaneous expense | Credit: Cash in bank

10
 c. Debit: Accounts Receivable | Credit: Cash in bank
d. Debit: Loans Payable | Credit: Cash in bank

6. Makabayan School Supplies registered its business and applied for a loan in
Makatao Bank amounting to P2,000,000. The bank approves the loan and
deposited it in Makabayan’s checking account.
The transaction is called _______.
a. Bank Credits
b. Bank Debits
c. Bank Charges
d. Checking account

7. On item #6, what is the journal entry to update the books?

a. Debit: Bank charge | Credit: Cash in bank
b. Debit: Cash in bank | Credit: Accounts payable
c. Debit: Cash in bank | Credit: Loans payable
d. Debit: Miscellaneous expense | Credit: Cash in bank

8. A deposit of P67,897 is recorded in the book as P67,789. What do you call this
error?
a. Book error
b. Bank error
c. NSF
d. Bank debit

9. On item #8, what is the journal entry to correct the cash account?
a. Debit: Cash in bank P108 | Credit: Sales P108
b. Debit: Sales P108 | Credit: Cash in bank P108
c. Debit: Cash in bank P67,897 | Credit: Sales P67,897
d. No entry

10. Malikhain Bank collects notes receivable for ABM Merchandise. The note
amounted to P55,000 and the bank charges P300 for the collection. What is
the entry to update the books?
a. Debit: Bank charge P300 | Credit: Cash in bank P300
b. Debit: Cash in bank P55,000 | Credit: Notes receivable P55,000
c. Debit: Cash in bank P55,000 and Miscellaneous expense P300 | Credit:
Notes receivable P55,300
d. Debit: Cash in bank P54,700 and Miscellaneous expense P300 | Credit:
Notes receivable P55,000

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 What is It

ITEMS TO RECONCILE

A. BANK Reconciling Items – these are the items that need to be computed in
order to balance it with the book. These items will be adjusted by the bank in
its records. No book entry is needed.

Bank Reconciling Items

DEPOSITS IN TRANSIT – Deposit in transit, beg. of the month P xxx

Add: Deposit made per books xxx
deposits already recorded in the
Total amount that should have been recorded P xxx
company’s books but not yet Less: Deposits shown in the bank statement xxx
recorded by the bank. Deposits in transit, end of the month P xxx

Example scenario:
Jan 3. The company’s everyday sales are deposited in the bank. December 31 deposits
are reflected on January 3 amounting to P10,000. Adding all the deposits recorded in
the book, it amounts to P100,000, however, in the bank statement only P90,000 is
reflected. Compute for the deposit in transit at the end of January.

Deposit in transit, beg. of the month P 10,000

Add: Deposit made per books 100,000
Total amount that should have been recorded P 110,000
Less: Deposits shown in the bank statement 90,000
Deposits in transit, end of the month P 20,000

Analysis: P20,000 worth of deposit has not reached the bank.

Outstanding checks, beg. of the month P xxx

OUTSTANDING CHECKS – Add: Checks issued per books xxx
checks issued by the company but Total checks that should have been cleared P xxx
not yet paid by the bank. Less: Checks paid by the bank xxx
Outstanding checks, end of the month P xxx

Example scenario:
Jan1. The company pays its suppliers by issuing checks. Checks issued from December
purchases amounting to P25,000 was reflected in January bank statement. As per the
records in the book, all checks issued amounting to P230,000. However, of all checks
issued, only P200,000 was cleared by the bank. Compute for the outstanding checks at
the end of January.

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Outstanding checks, beg. of the month P 25,000
Add: Checks issued per books 230,000
Total checks that should have been cleared P255,000
Less: Checks paid by the bank 200,000
Outstanding checks, end of the month P 55,000

Analysis: P55,000 of worth of checks issued to suppliers have not yet been paid by the
bank.

Example: Check payment of P 200,000 has been

recorded by the bank as P20,000.
BANK ERRORS – item
erroneously recorded by the bank.
The bank will adjust the error. No entry is
required in the books.

B. BOOK Reconciling Items – these are the items that need journal entries to
adjust the accounts in the books.

Book Reconciling Items

Journal entry to update the books:

Ex1. A client has notes receivable, the client

went to the bank and paid his NR. The bank
collected the company’s notes receivable. The
bank records are updated but the books are
not, so to update the books, here is the entry:

BANK CREDITS – deposits Cash in bank P xxx

made by the bank but not yet Miscellaneous Expense xxx
reflected in the books. Notes Receivable P xxx
To record collection of note less bank
Ex: charges.
1. Bank collections
2. Proceeds of loans
Ex2. The company applied for a loan and got
approved. The bank deposited the proceeds of
the loan. Again, to update the book, here is the
entry:

Cash in bank P xxx

Loan Payable P xxx
To record proceeds of the loan.

13
 Journal entry to update the books:

Ex1. A client paid for merchandise by issuing a

check. However, upon clearing of the bank, the
check has No Sufficient Fund (NSF). Thus, the
bank will deduct (or debit) the payment from
BANK DEBITS – bank charges our account. The books have to be updated, so
that the bank deducts against the entry should be:
the company’s account and not
yet reflected in the books. Accounts Receivable P xxx
Cash in bank P xxx
Ex. To record returned check.
1. Returned checks (NSF)
2. Bank charges for NSF Ex2. The company orders another booklet of
checks and bank service checkbook from the bank. The bank collects
charge charges to print the checkbook.

Miscellaneous Expense P xxx

Cash in bank P xxx
To record bank service charges.

(Same entry for bank charges for NSF

checks)

Journal entry to update the books:

Ex: A deposit of P200,000 has been recorded

as P20,000.

Wrong Entry:
Cash in bank P 20,000
Sales P 20,000

To correct the balances:

Cash in bank P 180,000
BOOK ERRORS – item
Sales P 180,000
erroneously recorded by the
company in its books.
Another example:
A deposit of P 20,000 has been recorded as P
200,000.

Wrong Entry:
Cash in bank P 200,000
Sales P 200,000

To correct the balances:

Sales P 180,000
Cash in bank P 180,000

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Activity: The previous activity should have prepared you for a more advanced
computation. Identifying items from the previous activity will help you understand
bank reconciliation better. Let us complete the concept by answering the problems
below. Each will represent situations for reconciling items.

Compute or journalize in good form.

1. March 31 deposits are reflected on April 1 amounting to P44,800. Adding all

the deposits recorded in the book, it amounts to P329,000 however, in the
bank statement only P312,000 is reflected. Compute for the deposit in transit
at the end of April.

2. Checks issued from August purchases amounting to P67,300 was reflected in

September bank statement. As per the records in the book, all checks issued
amounts to P654,310. However, of all checks issued, only P567,349 were
cleared by the bank. Compute for the outstanding checks at the end of
September.

3. The bank collected the company’s notes receivable of P230,000 and collected
a charge of P300. It was reflected in the bank statement. What is the entry to
update the books?

4. The company is approved for P500,000 loan. The bank deposited the proceeds
of the loan. What is the entry to update the book?

5. A customer bought merchandise and paid a check for it amounting to

P15,000. The company deposited the check and records in its book. Upon
clearing, the check issued by the customer is a No Sufficient Fund (NSF) check.
The bank returned the check and deducts P15,000 from the company’s
account. What is the journal entry to update the books?

6. There is a P50 service charge for the request of a new check booklet. What is
the entry for the bank service charge?

7. The company records a deposit of P15,381 as P15,000 in the book. What is

the entry to correct the cash balance?

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 What’s More

Let us try to figure out more about bank reconciling items and how do they appear
in the process of bank reconciliation.

Case Problem 1: ABM Consultancy Services Bank Reconciling Items

Analyze the transactions of ABM Consultancy Services in the July bank

statement below:

Matapat Bank
Limay, Bataan Branch

ABM Consultancy Services Account No. 00345

Duale, Limay, Bataan July 31, 2020

Date Description Withdrawals Deposits Balance

30-Jun ₱ 25,000
1-Jul ₱ 13,000 38,000
4-Jul 9,000 47,000
9-Jul 150,000 CM 197,000
13-Jul ₱ 2,500 DM 194,500
15-Jul Chk No. 00100 12,000 182,500
18-Jul 30,000 212,500
20-Jul Chk No. 00101 6,000 206,500
21-Jul Chk No. 00105 20,000 186,500
23-Jul 21,000 NSF 165,500
26-Jul Chk No. 00103 9,900 155,600
30-Jul Chk No. 21090 11,000 144,600

1. This is the Description of the transactions. In this example, the check we

issued for payment to suppliers are detailed here. These checks are those that
the suppliers have already encashed. The check number may not always be
in order. If there are still missing check numbers, these could count as
outstanding checks.

2. Debit Memo of P2,500 is a bank service charge.

3. No Sufficient Fund (NSF) check amounts P21,000.

16
 4. The loan of the company is approved and been credited to the bank account
amounting P150,000.

5. Check No. 21090 is a bank error.

Analyze the July transactions of ABM Consultancy Services as recorded in its

books:

July 4 - Deposited P9,000 in the checking account.

July 5 - Issued the following checks to the suppliers:

Check No. 00101 P 6,000
Check No. 00102 P 3,000
Check No. 00103 P 9,900

July 18 - Deposited P30,000 in the checking account.

July 20 - Issued the following checks to the suppliers:

Check No. 00104 P15,000
Check No. 00105 P20,000

July 24 - Deposited P23,000 in the checking account.

July 28 - Deposited P5,400 in the checking account.

Activity 1. Compare the bank and book transactions for July. Answer the following
guide questions with YES or NO.

_______________1. Is there any deposit found in the bank that is not seen in the book
transactions for July?
_______________2. Is there any check number that is found in the bank that is not seen
in the book transactions for July?

_______________3. Is there any check number found in the book that is not yet reflected
in the bank?
_______________4. Is there any deposit found in the book that has not reflected in the
bank?

_______________5. Is there a need for journal entry for the bank error of P11,000?
_______________6. Is there a need for journal entry for the credit memo of P150,000?

_______________7. Is there a need for journal entry for the debit memo of P2,500?

_______________8. Is there a need for journal entry for the NSF check of P21,000?

17
 What I Have Learned

Learning is a give-and-take relationship. It is your turn to discuss something about

the lesson. Give your simple explanations on the questions below.

1. What are the documents we need in the preparation for bank reconciliation?
___________________________________________________________________________

2. What are the bank reconciling items?

___________________________________________________________________________

3. What are the book reconciling items?

___________________________________________________________________________

4. How do we recognize beginning deposit in transit?

___________________________________________________________________________

5. How do we recognize beginning outstanding check?

___________________________________________________________________________

6. How do we compute for ending deposit in transit?

___________________________________________________________________________

7. How do we compute for ending outstanding check?

___________________________________________________________________________

8. What is the entry for NSF check?

___________________________________________________________________________

9. What is the entry for bank charges?

___________________________________________________________________________

10. What is the entry for overstated cash sales?

___________________________________________________________________________

18
 What I Can Do

Activity 1: Base on the Case Problem 1 of ABM Consultancy Services Bank

Reconciling Items, answer Case Problem 2 with the correct details.

Case Problem 2: Comparison of Bank and Book of ABM Consultancy Services.

The first row is answered for your reference.

BANK BOOK

List of checks paid by the Bank List of checks issued in the Book

Chk No. 00100 12,000 Chk No. 00101 6,000

BANK BOOK

List of deposits in the Bank List of deposits recorded in the Book

July 1 13,000 July 4 9,000

19
 Assessment

A. Identify the items being described. Select the letter of the best answer.

1. On June 30, Ms. Montenegro deposits P150,000 in her checking account. The
deposit is reflected on July 2. The P150,000 is the __________.
a. Deposit in transit, beginning of the month
b. Outstanding check, beginning of the month
c. Deposits made per book
d. Checks issued per book

2. Upon checking the books, all deposits for the month amounted to P90,620,
P112,000, and P23,080, respectively. How much is the deposits made per
book?
a. P202,620
b. P135,080
c. P225,700
d. P112,000

3. Checks issued on January 24 was paid by the bank on January 25. The
checks cleared on January 25 is counted as __________.
a. Outstanding check, end of the month
b. Outstanding check, beginning of the month
c. Checks that should have been cleared
d. Checks paid by the bank

4. BTS Company recorded a P12,000 deposit as P21,000 in its books. What do

you call this error?
a. Book error
b. Bank error
c. NSF
d. Bank debit

5. Palugit Bank returned an NSF check and collected charge for it. What is the
entry for the NSF?
a. Debit: Bank charge | Credit: Cash in bank
b. Debit: Miscellaneous expense | Credit: Cash in bank
c. Debit: Accounts Receivable | Credit: Cash in bank
d. Debit: Loans Payable | Credit: Cash in bank

6. The bank approves the P20,000 loan and the proceeds were deposited in the
account. The transaction is called _______.
a. Bank Credits

20
 b. Bank Debits
c. Bank Charges
d. Checking account

7. A check of P67,897 is recorded in the bank as P67,789. What do you call this
error?
a. Book error
b. Bank error
c. NSF
d. Bank debit

8. On item #8, what is the journal entry to correct the cash account?
a. Debit: Cash in bank P108 | Credit: Sales P108
b. Debit: Sales P108 | Credit: Cash in bank P108
c. Debit: Cash in bank P67,897 | Credit: Sales P67,897
d. No entry

B. Answer the following problems in good form.

1. May 31 deposits are reflected on June 3 amounting to P16,800. Adding all the
deposits recorded in the book, it amounts to P84,000. However, in the bank
statement, only P79,000 is reflected. Compute for the deposit in transit at the
end of June.

2. Checks issued from November purchases amounting to P90,100 was reflected

in December bank statement. As per the records in the book, all checks issued
amounts to P 764,290. However, of all checks issued, only P607,300 was
cleared by the bank. Compute for the outstanding checks at the end of
December.

3. The company is approved for a P2,000,000 loan. The bank deposited the
proceeds of the loan. What is the entry to update the books?

4. The company records a deposit of P34,956 as P33,956 in the book. What is

the entry to correct the cash balance?

5. The bank mistakenly withdraws a check amounting P75,000 on the

company’s account. What is the journal entry to correct the bank record?

21
C. Using your answers in Case Problem 2 on Comparison of Bank and Book
of ABM Consultancy Services, match by putting a check mark on both
items.

The first item is answered for your reference.

BANK BOOK

List of checks paid by the Bank List of checks issued in the Book

Chk No. 00100 12,000 Chk No. 00101 6,000

Chk No. 00101 6,000 Chk No. 00102 3,000

BANK BOOK

List of deposits in the Bank List of deposits recorded in the Book

July 1 13,000 July 4 9,000

July 4 9,000 July 18 30,000

22
 Additional Activities

Activity 1. Use Case Problem 1 to answer these questions. Show computations or

journal entry in good form.

_______________1. How much is the deposit found in the bank that is not seen in the
book transactions for July?

_______________2. How much is the total amount of check that is found in the bank
that is not seen in the book transactions for July? Do not include bank errors.

_______________3. How much is the total amount of check found in the book that is
not yet reflected in the bank?

_______________4. How much is the deposit found in the book that has not reflected in
the bank?
_______________5. What is the journal entry for the bank error of P11,000?

_______________6. What is the journal entry for the credit memo of P150,000?

_______________7. What is the journal entry for the debit memo of P2,500?

_______________8. What is the journal entry for the NSF check of P21,000?

23
 24
What Is It (Present in good form) What I Know:
1. DIT, end = 61,800 1. D
2. A
2. OC, end = 154,261 3. A
4. B
3. CIB 229,700 5. A
ME 300
NR 230,000
What’s in
4. CIB 500,000 Bank Recon Items
LP 500,000
1. DIT
5. AR 15,000 2. OC
CIB 15,000 3. Bank Errors
Book Recon Items
6. ME 50
CIB 50 1. BD
2. BC
7. CIB 381 3. Book errors
SALES 381
What’s New
What’s More
1. A
Activity 1. 2. C
3. B
1. YES 4. B
2. YES 5. B
3. YES 6. A
4. YES 7. C
5. NO 8. A
6. YES 9. A
7. YES 10. D
8. YES
Answer Key
 25
What Can I Do
Activity 1
BANK BOOK
List of checks paid by the List of checks issued in the
Bank Book
Chk No 00100 12,000 Chk No 00101 6,000
Chk No 00101 6,000 Chk No 00102 3,000
Chk No 00105 20,000 Chk No 00103 9,900
Chk No 00103 9,900 Chk No 00104 15,000
Chk No 21090 11,000 Chk No 00105 20,000
BANK BOOK
List of deposits recorded in
List of deposits in the Bank
the Book
July 1 13,000 July 4 9,000
July 4 9,000 July 18 30,000
July 18 30,000 July 24 23,000
July 28 5,400
What I Have Learned
1. Book records and bank statement
2. DIT, OC, Bank error
3. BD, BC, Book Error
4. From the last month’s deposit reflected in the Bank statement
on the date of the bank recon
5. Checks from the last month’s issuance reflected in the bank
statement at the date of the bank recon
6. The beginning DIT adding total deposits for the month less
deposit reflected in the bank
7. The beginning OC adding all the total checks issued for the
month less checks reflected in the bank statement.
8. Account receivable
Cash in bank
9. Miscellaneous expense
Cash in bank
10. Sales
Cash in Bank
 26
Assessment C:
BANK BOOK
List of checks paid by the List of checks issued in the
Bank Book
Chk No 00100 12,000 Chk No 00101 6,000
Chk No 00101 6,000 Chk No 00102 3,000
Chk No 00105 20,000 Chk No 00103 9,900
Chk No 00103 9,900 Chk No 00104 15,000
Chk No 21090 11,000 Chk No 00105 20,000
BANK BOOK
List of deposits recorded in
List of deposits in the Bank
the Book
July 1 13,000 July 4 9,000
July 4 9,000 July 18 30,000
July 18 30,000 July 24 23,000
July 28 5,400
Assessment A:
1. A
2. C
3. D
Additional Activities: 4. A
5. C
Activity 1. 6. A
7. B
1. 13,000
2. 12,000 8. D
3. 18,000
4. 28,400 Assessment B: (Answer in good
5. No entry form)
6. Dr: CIB 150,000 Cr: LP 150,000
7. Dr: ME 2,500 Cr: CIB 2,500 1. DIT, June 30 = 21,800
8. Dr: AR 21,000 Cr: CIB 21,000
2. OC, June 30 = 247,090
3. CIB 2,000,000
LP 2,000,000
4. CIB 1,000
Sales 1,000
5 No Entry
References
Ong, Flocer Lao, and Janelle Gomendoza. 2017. Fundamentals of Accounting,
Business and Management 2 for Senior High School. C & E Publishing,
Inc.
n.d. Oxford Languages. Accessed September 20, 2020.
https://www.google.com/search?q=reconcile&rlz=1C1SQJL_enPH910
PH910&oq=recon&aqs=chrome.1.69i57j0l7.2788j0j15&sourceid=chro
me&ie=UTF-8.

27
For inquiries or feedback, please write or call:

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Email Address: [email protected]