Reconciliation and verification: แบบฝึกหัด

Which type of error is made when a business transaction is entered in the correct class of account but the wrong person's account?

Identify two items that would appear in a bank reconciliation statement but would not requires an adjustment in the updated cash book.

A business has a credit balance in its Sales Ledger Control Account of \(\$12,450\). It was discovered that a sales invoice of \(\$350\) was recorded correctly in the sales journal but posted as \(\$530\) to the customer’s individual account. State the corrected total of the individual sales ledger balances and explain if the Control Account balance must be adjusted.

State one type of error that does not affect the balancing of a trial balance and explain why it remains undetected by this procedure.

Zahid, a sole trader, maintains a cash book and receives a bank statement at the end of each month. On 30 April 2024, his cash book showed a debit balance of \(\$2,450\). However, his bank statement showed a different balance.

Upon investigation, the following discrepancies were found:
1. A cheque for \(\$420\) issued to a supplier had not yet been presented to the bank.
2. Bank charges of \(\$35\) appeared on the bank statement but had not been recorded in the cash book.
3. A credit transfer of \(\$150\) from a customer was received in the bank but not entered in the cash book.

(a) Calculate the updated cash book balance at 30 April 2024.
(b) State one reason why it is important for a business to reconcile its bank statement with its cash book.

At the end of the financial year, the purchases ledger control account of a company had a credit balance of \(\$8,900\). The schedule of balances from the purchases ledger totaled \(\$9,240\).

The following errors were found:
1. A payment of \(\$450\) to a supplier had been entered in the cash book but was not posted to the supplier's personal account.
2. The purchases journal was overcast by \(\$200\).
3. A contra entry of \(\$110\) with the sales ledger had been recorded in the control account but not in the personal accounts.

(a) Calculate the corrected balance for the purchases ledger control account.
(b) Calculate the corrected total for the schedule of personal account balances.
(c) Briefly explain one limitation of using control accounts for verification.