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Unit 13: Bank Reconciliation Statement

Illustration 6: (Unfavourable balance of pass book) Notes

From the following particulars of Neha and Co. prepare Bank Reconciliation Statement on March
31,2006
`
Overdraft as per pass book 16,500

Interest on overdraft 1,600
Insurance premium paid by the bank 800
Cheques deposited but not yet credited 5,500
Cheques issued but not present for payment 6,000

Wrongly credit to firm account by the bank 1,000
Solution:
Bank Reconciliation Statement of M/s Neha & Co
as on March 31, 2006

Caselet Probe Blames Lack of Internal Controls

n independent legal counsel appointed by IT major Wipro has found that lack of
internal controls led to the embezzlement committed by one of the former junior
Aemployees between November 2006 and December 2009.
The legal counsel submitted the probe report last week to the audit committee set up to
investigate the fraud early.

Based on the findings of the legal counsel, Wipro said that if corrections were to be carried

out to the annual financial results of the company in view of the “mis-statements identifi ed
during the probe together with other “uncorrected audit adjustments’’, profi t-after-tax for
2009-10 would have been higher by 2.1 per cent (approximately ` 92 crore). Wipro’s Chief

Financial Officer, Mr Suresh C. Senapaty, told Business Line that the external legal counsel
was appointed on the advice of the SEC. “He formally submitted the report this month and
measures have already been taken to tighten the system,” he said.

Contd....

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