In preparing its August 31, 2023 bank reconciliation, Kenie Rogers Company has the following information: Balance per bank statement, August 31, 2023 - P180,500; Balance per book, August 31, 2023 - P160,000; Return of customer's check for insufficient funds - P12,000; Outstanding checks - P27,500; Bank service charge - P1,000; Proceeds of bank loan in the same bank (with auto credit arrangement) not yet recorded in the book - P250,000; Total deposits per book - P682,000 and total deposits per bank - P727,000.

Question 1: How much is the correct cash balance as of December 31, 2023?

Question 2: How much is the balance of deposit in transit as of December 1, 2023 (DIT, beginning)?

Answer rating: 100% (QA)

Question 1 Correct Cash Balance as of December 31 2023 1 Starting Point Balance per bank statement August 31 2023 P180500 Balance per book August 31 2023 P160000 2 Adjustments Add Return of customers ... View the full answer