On 10th October 2021, a cheque of GH 3,425.00 was issued to Ghana Revenue Authority (GRA) for the payment of Withholding Tax deducted on the supplied examination stationery* for the month of September 2021. This cheque was duly paid to GRA and receipted on the same date, but as of 31st December 2021, the cheque has not been presented to the bank to effect payment and it was later cleared on 20th January 2022.

What would be the Accounting treatment for this cheque for the month(s) under review and its effect on the Financial Statement as of 31st December 2021?

Answer rating: 100% (QA)

On 10th October 2021 a cheque of GH 342500 was issued to Ghana Revenue Authority GRA for the payment ... View the full answer