A-1

VALLEY PUBLISHING COMPANY

#111 - Central State Bank
12/31/20x2
[Prepared by client]

Balance per bank, 12/31/x2

Add: Deposits in transit
Bank error - check paid by bank wasn't our check

227,069
33,224
7,784
41,008
268,077

Less: Outstanding checks

Check #
1720
1790
1793
1794
1795
1797
1798
1800
1801

Amount
Dec. 8
Dec. 23
Dec. 23
Dec. 28
Dec. 28
Dec. 30
Dec. 30
Dec. 31
Dec. 31

340
1,204
13,025
3,800
3,640
842
45
6,590
140,000
169,486

Balance per General Ledger, 12/31/x2

98,591

A-2
VALLEY PUBLISHING COMPANY
RB

#112 - Central State Bank - Payroll

12/31/20x2
[Prepared by client]

Balance per bank, 12/31/x2

1/16/x3

2,000 C, U

Add: Deposits in transit

0V

Less: Outstanding checks

0V

Balance per general ledger

2,000 TB-1
T

T
C
U

Footings checked
Confirmed by bank, A-3
Traced to the cut-off bank statement

Auditor agrees that there are no deposits in transit or outstanding checks at year end.
All December deposits and checks per client's journal have cleared the December bank statement.

NOTE:

Obtained bank statement cut-off through 1/12/x3 directly from the bank.
A review of the cut-off bank statement revealed that the only deposits during the cut-off period were
two transfers from account #111, which cleared the bank on Jan. 2, 20x3 and Jan. 6, 20x3, respectively.

NOTE:

All checks were payroll checks dated January 2, 20x3 or route carrier checks dated January 6, 20x3.
All January 2 payroll checks cleared the bank with the cut-off statement except check #1429 to Alan
Thompson for $1,086. See A-7.
All January 6 route carrier checks cleared the bank with the cut-off statement.

NOTE:

No other items were included with the cut-off bank statement.

A-4
VALLEY PUBLISHING COMPANY
#113 - Albany National Bank
12/31/20x2
[Prepared by client]

Balance per bank, 12/31/x2

Add: Deposits in transit

135,270
35,000
170,270

Less: Interest
Balance per General Ledger, 12/31/x2

(3,170)
167,100

VALLEY PUBLISHING COMPANY

#115 - Petty Cash
12/31/20x2

Fund counted by auditor with cashier, Ms. Mabel Styles:

CURRENCY:

UNIT
$
$
$
$

20
10
5
1

$
$
$
$

0.25
0.10
0.05
0.01

COINS:

CHECKS:

As of 1/2/x3: Alan Thompson [petty cash voucher for $1,086, dated 12/31/x2 a
attached]

PETTY CASH VOUCHERS:

ACCOUNT
Misc Expense
Supplies
Repair & Maint
Newsprint Exp

PAYEE
City Ice
Apple Valley Supply
City Welders
Motor Carriers

TOTAL FUND BALANCE:

The above fund was counted in my presence and returned to me intact on January
6, 20x3.
431 Payroll

$1,086

835 Supplies
846 Repair & Maint

$281
$380
115 Petty Cash

$1,747

[W] Per Ms. Styles, a payroll advance was made to Alan Thompson, a reporter, on 12/30/x2 for the amou
check. He covered the petty cash voucher with his payroll check #1429, on 1/2/x3. Mabel plans to c
check when she next reimburses the petty cash fund.
T

Totals checked.

IA 2/10/15

20x2 unrecorded disbursements. SEE AJE 1

IA 2/10/15

A-7

G COMPANY
IA

ash

2/10/15

QUANTITY
4
2
3
22

60
40
20
100

$
$
$
$

$
$
$
$

80.00
20.00
15.00
22.00
$

137.00 T

21.00 T

1,086.00 [W]

1,244.00 T

756.00 T

2,000.00 T

$
$

(1,747.00)
253.00 T

15.00
4.00
1.00
1.00

or $1,086, dated 12/31/x2 and marked 'PAID',

DATE
1/2/x3
12/31/x2
12/31/x2
1/5/x3

AMOUNT
$
28.00
$
281.00
$
380.00
$
67.00

AJE 1
Adjusted Balance
X

Mabel Styles

TB-1

r, on 12/30/x2 for the amount of his net

on 1/2/x3. Mabel plans to cash the payroll