CRA DENIS- Ward (Pruduit Atation Faileit)REFERENCESMAILNGSREVIEWVEWEE91 E1Normal 1No Spac Heading t Heading 2TeleParagraphStylesa) An entity has to maintain its records property so that the business can run efficiently and thatmanagement can look at the accounts to see how the business is performing. Hank reconciliationstatements ate prepared to determine the differences between the cash book and the bankstatement.REQUIRED: Explain four main purposes of preparing a bank reconcilation statement.b) You are working as accounting trainee employed by Masumbuko Ltd. One of your duties is toprepare bank reconcilaticin, the bank statement sent to you on monthly basas by the local branchof the CBD bank pic. On 30th lunie 2015 the cash book balance showed an overdraft ofTZ5.60,000,000 whilst the bank statement showed that on the same date Masumbuko Lta hasTZ5.620,000,000 in credit with the bank Checking through both the cash book and the bankstatement you discover the followirig:A chenue for T2S 126,000.000 payable to Malingumu has been entered twice into thecash book.Bank charge TZS.50,000.000 debited to the bank statement do not appear in the cashbooki.A dividend for TZs.240,000.000 received by the bank on 20th June 2015 has not enteredin the cash book.Chequts issued totaling TZ5.62000.000 and entered into cash book have not beenpresented to the bank for paymentA direct debt for TZ5.42.000.00 paid correctly by the bank on 2sth June 2015 does notappear in the cash bookvi.iv.V.Receipts from various customers amounting to TZS 187,000,000 have been entered intocash book but do not appear on the bank statement.A cheque for T25.87,000,000 isued to Makusaro shown incorrectly on the bankstatemient as 1zs.78,000,000.vii.viii.A customer cheque has been returned unpaid by hit bank and the amount ofT25.36,000,000/ shows as adjustment on the banktatement. No entry has been madeTOSHIBA&78YUP

Hi student Since there are multiple questions, we will answer only first question.

a) An entity has to maintain its records property so that the business can run efficiently and that management can look at the accounts to see how the business is performing. Bank reconciliation statements are prepared to determine the differences between the cash book and the bank statement. REQUIRED: Explain four main purposes of preparing a bank reconcilation statement.

a) An entity has to maintain its records property so that the business can run efficiently and that management can look at the accounts to see how the business is performing. Bank reconciliation statements are prepared to determine the differences between the cash book and the bank statement. REQUIRED: Explain four main purposes of preparing a bank reconcilation statement.

Financial And Managerial Accounting

15th Edition

ISBN:9781337902663

Author:WARREN, Carl S.

Publisher:WARREN, Carl S.

Chapter7: Internal Control And Cash

Section: Chapter Questions

Problem 3BE

See similar textbooks

Similar questions

Bank reconciliationThe following data were gathered to use in reconciling the bank accountof Reddan Company: a. What is the adjusted balance on the hank reconciliation?b. Journalize any necessary entries for Reddan Company based on thebank reconciliation.
Match definitions with vocabulary terms) Use theseterms to complete the statements that follow. You can use a term more than once or not at all.Bank reconciliation Firewall Misappropriation of assetsCash equivalents Fraud triangle Outstanding checkController Fraudulent financial reporting PhishingDeposits in transit Imprest system Remittance adviceFidelity bond Internal control Treasureri. A/An_______________ is prepared to explain the difference between the cash on the booksversus the bank cash balance.
Match definitions with vocabulary terms) Use theseterms to complete the statements that follow. You can use a term more than once or not at all.Bank reconciliation Firewall Misappropriation of assetsCash equivalents Fraud triangle Outstanding checkController Fraudulent financial reporting PhishingDeposits in transit Imprest system Remittance adviceFidelity bond Internal control Treasurerb. ___________________occurs when management prepares misleading financial statements
Match definitions with vocabulary terms) Use theseterms to complete the statements that follow. You can use a term more than once or not at all.Bank reconciliation Firewall Misappropriation of assetsCash equivalents Fraud triangle Outstanding checkController Fraudulent financial reporting PhishingDeposits in transit Imprest system Remittance adviceFidelity bond Internal control Treasurerk. Petty cash can be accounted for using a/an .____________________-
Knowledge Check 01 Identify the type of activity by choosing the best answer for each question. Select each item listed below as being an identifying, recording, or a communicating activity. Items Preparing and entering a list of checks issued. Using a cash register to enter sales. Entering a list of the sales invoices, including the prices and quantities, for the company's recordke Interpreting information from financial reports. Preparing financial statements for creditors.
Which of the following is a benefit of online banking a business can reconcile to the banks balance at any time be a companies book balance will always equal the banks balance see the bank reconciliation is not necessary D the business can reduce their internal controls over cash receipts
Match definitions with vocabulary terms) Use theseterms to complete the statements that follow. You can use a term more than once or not at all.Bank reconciliation Firewall Misappropriation of assetsCash equivalents Fraud triangle Outstanding checkController Fraudulent financial reporting PhishingDeposits in transit Imprest system Remittance adviceFidelity bond Internal control Treasurerh. The _____________________is typically responsible for cash handling and cash management.
Match definitions with vocabulary terms) Use theseterms to complete the statements that follow. You can use a term more than once or not at all.Bank reconciliation Firewall Misappropriation of assetsCash equivalents Fraud triangle Outstanding checkController Fraudulent financial reporting PhishingDeposits in transit Imprest system Remittance adviceFidelity bond Internal control Treasurerc. A/An______________________ is an optional attachment to a check that lists the payer, date, andamount of the payment
Instructions: Read and understand the transaction. Prepare a Bank Reconciliation Statement using the following methods: a. Adjusted Method | b. Book-to-bank Method c. Bank-to-book Method Use the space provided for each method for you answer.
Select the banking terms from drop down to match with the correct definition. Definitions Banking Terms a. A check that has been paid by the bank on behalf of the depositor. select a banking term Automated teller machine (ATM)Electronic funds transfer (EFT)MakerDepositorDebit memorandumPayeeBank statementPayerCredit memorandumDeposit slipCheckCanceled checkSignature cardEndorsement b. A disbursement system that uses wire, telephone, or computers to transfer cash balances from one location to another. select a banking term EndorsementBank statementDeposit slipDebit memorandumCheckDepositorElectronic funds transfer (EFT)PayeeSignature cardPayerCanceled checkCredit memorandumAutomated teller machine (ATM)Maker c. A document provided by the bank that requires the signature of all authorized signers of checks. select a banking term…
What is the main purpose of factoring in accounts receivables? a. To meet immediate cash needs of the business b. To create an additional guarantee of collection c. To invest accounts receivable in another business d. To establish a legal proof for future use
What is a key prerequisite for using electronic bank account management (eBAM) to reduce paperwork? Bank-provided treasury management system Upgrade from BAI2 to BTRS TWIST standards Initial relationship development