Read and understand the transaction. Prepare a Bank Reconciliation Statement using the following methods: Adjusted Method  Book-to-bank Method  Bank-to-book Method  Use the space provided for each method for you answer.   Moonlight Company maintains cash in ODB Bank. The following information was made available for the month of October 2021:   The bank statement at the of the month shows ₱10,000.   Deposits not yet reflected in the bank statement, ₱84,000.   Checks issued but not yet encashed by the payees, ₱65,000.   The bank made an error of debiting the account of Moonlight Company, which was actually a debit for Crescent Company, ₱4,000.   The ledger shows a cash-in-bank balance of ₱12,000.   Notes receivable collected by the bank for Moonlight Company amounted to ₱16,000.   Interest earned by Moonlight Company from keeping their cash at ODB Bank is ₱5,000.   ODB Bank charged Moonlight Company ₱1,000 service charges directly debited to their account as seen in the bank statement.   Moonlight Company received a check from BTS Company amounting to ₱7,000 but it was drawn against insufficient funds.   There was a bank-related transaction that erroneously credited the ledger balance of cash-in-bank account amounting to ₱8,000.

Century 21 Accounting General Journal
11th Edition
ISBN:9781337680059
Author:Gilbertson
Publisher:Gilbertson
Chapter5: Cash Control Systems
Section5.2: Bank Reconciliation
Problem 1OYO
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Read and understand the transaction. Prepare a Bank Reconciliation Statement using the following methods:

  1. Adjusted Method 
  2. Book-to-bank Method 
  3. Bank-to-book Method 

Use the space provided for each method for you answer.

 

Moonlight Company maintains cash in ODB Bank. The following information was made available for the month of October 2021:

 

  • The bank statement at the of the month shows ₱10,000.

 

  • Deposits not yet reflected in the bank statement, ₱84,000.

 

  • Checks issued but not yet encashed by the payees, ₱65,000.

 

  • The bank made an error of debiting the account of Moonlight Company, which was actually a debit for Crescent Company, ₱4,000.

 

  • The ledger shows a cash-in-bank balance of ₱12,000.

 

  • Notes receivable collected by the bank for Moonlight Company amounted to ₱16,000.

 

  • Interest earned by Moonlight Company from keeping their cash at ODB Bank is ₱5,000.

 

  • ODB Bank charged Moonlight Company ₱1,000 service charges directly debited to their account as seen in the bank statement.

 

  • Moonlight Company received a check from BTS Company amounting to ₱7,000 but it was drawn against insufficient funds.

 

  • There was a bank-related transaction that erroneously credited the ledger balance of cash-in-bank account amounting to ₱8,000.
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