CTC Classes. Ltd., has two accounts with Ever Bank Ltd. The account were known as ‘Account-I’ and
‘Account-II. As at December, 31, 2005 the balance as per A/c books reflected the following:
Account-I ₹
1,25,000 Regular balance. Account-II ₹
1,11,250 Overdraft balance.
The accountant failed to tally the balance with the Pass Book and the following information was
available:
1. The Bank has charged Interest on Account-II, ₹
11,375 and credited Interest on Account-I, ₹
1,250. These were not recorded by the accountant.
2. ₹
12,500 drawn on Dec. 10, 2005, from Account-I was recorded in the books of Account-II.
3. Bank charges of ₹
150 and ₹
1,125 for Account-I and Account-II were not recorded in the books.
4. A deposit of ₹
17,500 in Account-I was wrongly entered in Account-H in the books.
5. Two cheques of ₹
12,500 and ₹
13,750 deposited in Account-I, but entered in Account-II in
books, were dishonoured. The entries for dishonoured cheques were entered correctly in AccountII.
6. Cheques issued for ₹
1,50,000 and ₹
15,000 from Accounts-I and II respectively, were not
presented till 5th January, 2006.
7. Cheques deposited ₹
1,25,000 and ₹
1,17,500 in Accounts-I and II respectively, were credited by
bank only on February, 2, 2006.
You are required to prepare the Bank Reconciliation Statement for Accounts-I and II.