Bank Statement Reconciliation
A Grade 12 Math worksheet focusing on the principles and procedures of reconciling bank statements, including identifying discrepancies and making adjustments.
Includes
Topics
Bank Statement Reconciliation
Name:
Date:
Score:
Read each question carefully and provide your answers in the space provided. For reconciliation problems, show all your work.
1. Which of the following items would typically appear as a deduction on a bank statement but not yet recorded in the company's cash ledger?
Outstanding checks
Deposits in transit
Bank service charges
Interest earned on the account
2. What is the primary purpose of reconciling a bank statement?
To track daily expenditures
To ensure the bank's records match personal records
To prepare for tax season
To apply for a loan
3. A check that has been written but has not yet cleared the bank is called an check.
4. When a bank collects a note receivable for a customer, it is an example of a .
5. A deposit in transit will increase the bank's balance on the bank reconciliation.
True
False
6. Bank service charges require an adjustment to the company's cash balance.
True
False
7. Briefly explain the difference between a 'deposit in transit' and an 'outstanding check'.
8. Prepare a bank reconciliation for Smith Co. as of May 31, 2024, given the following information:
Bank statement balance: $8,500 Company cash balance: $7,900 Deposits in transit: $1,200 Outstanding checks: $600 Bank service charges: $50 Interest earned on account: $20