Bank Reconciliation and Journal Entries for August Transactions

This assignment presents a bank reconciliation statement for Witness Fitness Centre, along with the relevant journal entries for August. The document includes a detailed breakdown of transactions, such as deposits, cheques issued, and service charges, and their impact on the cash book and passbook balances. The assignment also includes the recording of various transactions, including capital introductions, payments for rent, sales, membership fees, equipment purchases, and expenses like repairs, payroll, and advertising. The reconciliation statement highlights the differences between the cash book and bank statement balances, accounting for items like outstanding cheques, deposits in transit, and service charges. The document aims to provide a comprehensive understanding of the bank reconciliation process and its importance in financial accounting. The assignment also includes the relevant journal entries for August.

Running head: BANK RECONCILIATION STATEMENT
Bank Reconciliation Statement
Name of the Student:
Name of the University:
Authors Note:

1
BANK RECONCILIATION STATEMENT
Contents
Recording entries:............................................................................................................................2
Bank Reconciliation Statement:....................................................................................................10

2
BANK RECONCILIATION STATEMENT
Recording entries:
Journal entries
Date Account titles Debit ($) Credit
($)
Aug-01 Bank 10,000.00
Partner's capital
10,000.00
(Being capital introduced by a partner in the business)
Petty cash 50.00
Bank
50.00
(Being petty chas withdrawn)
Rent 3,900.00
GST 273.00
Bank
4,173.00
(Being rent including GST paid)

3
BANK RECONCILIATION STATEMENT
The North 10,000.00
Bank
10,000.00
(Being a cheque issued to North)
Aug-05 Cash 77.04
Sales
72.00
GST 5.04
(Being sales made)
Membership fees 320.00
GST 22.40
Cash
342.40
(Being annual membership fees paid)
Aug-06 Cash 80.00
Accounts receivable 262.40
Membership

4
BANK RECONCILIATION STATEMENT
320.00
GST
22.40
(Being annual membership fees received)
Aug-08 Cash 60.00
Membership
60.00
(Being membership fees received)
Aug-10 Presto printing 212.00
Bank
212.00
(Being cheque drawn)
Aug-11 Bank 96.30
Membership fees
90.00
GST 6.30
(Bing membership fees received)

5
BANK RECONCILIATION STATEMENT
Aug-12 Bank 80.00
Accounts receivable 262.40
Membership fees
320.00
GST
22.40
(Bing membership fees received)
Aug-13 Partner's Drawings 750.00
Partner's Drawings 750.00
Bank
1,500.00
(Being cheque drawn)
Aug-15 Repair and maintenance 108.00
GST 7.56
Bank
115.56
(repaid expenses paid)

6
BANK RECONCILIATION STATEMENT
Payroll liabilities 376.46
Bank
376.46
(Being cheque drawn)
Gym equipment 420.00
GST 29.40
Accounts payable
449.40
(Being gym equipment purchased)
Aug-19 Reeling Rocking Recording Studio 99.98
Bank
99.98
(Being new cheque issued)
Aug-20 Petty cash (50.00 -7.28) 42.72
Bank
42.72
(Being petty cash reimbursed)

7
BANK RECONCILIATION STATEMENT
Petty cash expenses 42.72
Petty cash
42.72
(Being petty cash expenses recorded)
Aug-22 Bank 342.40
Membership fees
320.00
GST
22.40
(Being membership fees received)
Advertisement 850.00
GST 59.50
Bank
909.50
(Being expenses paid)
Aug-30 Telephone bill 46.50
GST 3.26

8
BANK RECONCILIATION STATEMENT
Bank
49.76
(Being telephone bill paid)
Aug-31 Partner's drawing 750.00
Partner's drawing 750.00
Bank
1,500.00
(Being cheques drawn for drawings of partners)
Petty cash (50 - 32.89) 17.11
Bank
17.11
(Being petty cash replenished)
Petty cash expenses 17.11
Petty cash
17.11
(Being petty cash expenses recorded)
Book keeping services 200.00

9
BANK RECONCILIATION STATEMENT
Bank
200.00
(Being book keeping services paid)
Salaries and wages 3,984.19
Bank
3,984.19
(Being cheque issued to employees)
Bank Reconciliation Statement:
Particulars Amount ($) Amount ($)
Balance as per cash book as on July 31 12,234.08
Add: Deposits made in August not recorded in cash book
Deposit in bank in August 10,000.00
Deposit 342.40
Deposit 80.00
Deposit 299.60
Deposit 60.00
Deposit 96.30

10
BANK RECONCILIATION STATEMENT
Deposit 80.00
Deposit 535.72
Deposit 590.64
Deposit 342.40
Deposit 547.84
12,974.90
Less: Cheques issued in August and services charges not receorded in
cash book
cheque issued in August
Cheque 225 50.00
Loan payment 10,000.00
cheque issued in August 4,173.00
Cheque 229 212.00
cheque issued in August 588.50
cheque issued in August 750.00
cheque issued in August 750.00
Return 60.00

11
BANK RECONCILIATION STATEMENT
cheque issued in August 99.98
cheque issued in August 376.46
cheque issued in August 42.72
Interest charge not credited in cash book 3.56
Service charge 5.08
17,111.30
Balance as per passbook as on August 31 8,097.68