Proof of Cash

PROBLEM 1: (CPAR Final Preboards October 2015 Auditing Problems)
The cash account of SERAPH COMPANY shows the following activities:

Date
Nov. 30
Dec 2
.
4
1
5
2
0
2
1
3
1
3
1
Debit
Balance
November bank charges
November bank credit for notes receivable collected
NSF check
P30,000
Loan proceeds
145,500
December bank charges
Credit
P150
Balance
P345,000
344,850
3,900
374,850
370,950
516,450
180
Cash receipts book
2,121,90
0
Cash disbursements book
516,270
2,638,170
1,224,00
0
1,414,170
CASH BOOKS
Date
Dec.
1
2
3
4
5
8
9
10
11
12
15
16
17
18
19
22
23
23
23
26
28
28
29
29
29
Totals
RECEIPTS
OR No.
110-120
121-136
137-150
151-165
166-190
191-210
211-232
233-250
251-275
276-300
301-309
310-350
351-390
391-420
421-480
481-500
501-525
526-555
556-611
612-630
-
Amount
P33,000
63,900
60,000
168,000
117,000
198,000
264,000
231,000
63,000
90,000
165,000
24,000
57,000
27,000
51,000
63,000
96,000
222,000
15,000
114,000
2,121,900
PAYMENTS
Check No.
Amount
801
P6,000
802
9,000
803
3,000
804
9,000
805
36,000
806
57,000
807
78,000
808
90,000
809
183,000
810
21,000
811
24,000
812
48,000
813
60,000
814
66,000
816
108,000
817
33,000
818
150,000
819
21,000
820
12,000
821
9,000
822
36,000
823
39,000
824
87,000
825
6,000
826
33,000
1,224,000
BANK STATEMENT
Date
Dec.
1
2
3
4
5
8
9
10
11
12
15
16
17
18
19
22
23
23
23
26
28
28
29
29
29
Totals
Check
792
802
804
EC
805
CM 16
799
DM 57
808
803
809
DM 61
813
CM 20
815
816
811
801
814
818
DM 112
821
CM 36
820
Charges
P7,500
9,000
9,000
243,000
36,000
21,150
3,900
90,000
3,000
183,000
180
60,000
18,000
108,000
24,000
6,000
66,000
150,000
360
9,000
12,000
1,059,090
Credits
P25,500
33,000
63,900
60,000
243,000
285,000
36,000
462,000
231,000
63,000
255,000
24,000
57,000
145,500
141,000
96,000
222,000
15,000
36,000
2,493,900
Additional information:
1. DMs 61 and 112 are for service charges.
2. EC is error corrected
3. DM 57 is for an NSF check.
4. CM 20 is for loan proceeds, net of P450 interest charges for 90 days.
5. CM 16 is for the correction of an erroneous November bank charge.
6. CM 36 is for customers notes collected by bank in December.
7. Bank balance on December 31 is P1,776,810.
Based on the preceding information, determine the following:
1. Outstanding checks at November 30.
2. Outstanding checks at December 31.
3. Deposit in transit at November 30.
4. Deposit in transit at December 31.
5. Adjusted book balance at November 30.
6.
7.
8.
9.
Adjusted bank receipts for the month of December.

Adjusted book disbursements for the month of December.
Adjusted bank balance at December 31.
Unadjusted bank balance at November 30.
PROBLEM 2:
The following information was obtained in connection with the audit of X Co.s cash account as of
December 31, 2016:
Outstanding checks, Nov. 30, 2016
Outstanding checks, Dec. 31, 2016
Deposit in transit, Nov. 30, 2016
Cash balance per general ledger, Dec. 31, 2016
Actual company collections from its customers during December
Company checks paid by bank in December
Bank service charges recorded on company books in December
Bank service charges per December bank statement
Deposits credited by bank during December
November bank service charges recorded on company books in December
P16,250
12,500
12,500
37,500
152,500
130,000
2,500
3,250
145,000
1,500
The cash receipts book of December is underfooted by P2,500.

The bank erroneously charged the companys account for a P3,750 check of another depositor. This bank
error was corrected in January 2017.
1.
2.
3.
4.
5.
6.
7.
8.
9.
10.
How much is the deposit in transit on December 31, 2016?

The total unrecorded bank service charges as of December 31, 2016 is
What is the total book receipts in December?
What is the total amount of company checks issued in December?
What is the total book disbursements in December?
What is the book balance on November 30, 2016?
What is the bank balance on November 30, 2016?
What is the total bank receipts in December?
What is the total bank disbursements in December?
What is the bank balance on December 31, 2016?
PROBLEM 1 Answers:
1. P28,650
2. P459,000
3. P25,500
4. P114,000
5. P374,850
6. P2,303,400
7. P1,246,440
8. P1,431,810
9. P342,000
PROBLEM 2 Answers:
1. P20,000
2. P2,250
3. P150,000
4. P126,250
5. 128,750
6. P16,250
7. P18,500
8. P145,000
9. P137,000
10.P26,500
END

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PROBLEM 1: (CPAR Final Preboards October 2015 Auditing Problems)

The cash account of SERAPH COMPANY shows the following activities:

December bank charges

Cash receipts book

Cash disbursements book

Adjusted bank receipts for the month of December.

The cash receipts book of December is underfooted by P2,500.

How much is the deposit in transit on December 31, 2016?

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