Given: Balance as per cash book...................N20,000 Unpresented cheques........................N5, 200 Direct credit to the bank..................N1, 000 Direct debit from the bank.................N1, 000 Credit in the cash book....................N500 Calculate the balance as per bank statement at the end of the year?
A. N24,700 B. N25,200 C. N26,200 D. N27,700
Correct Answer: A
Explanation
Balance per bank is the ending cash balance appearing on a bank statement. Hence we have; cashbook balance + unpresented cheques + direct bank debit - (direct credit + cashbook credit) 20,000+5200+1000 - (1000+500) = 24,700
