Question
Complete the bank statement. [3 marks] Date & Description & Credit (2) & Debit (2) & Balance (2) 01 / 11 / 2021 & Starting balance & & & 736.28 05 / 11 / 2021 & Rent & & 450.00 & 14 / 11 / 2021 & Refund & 25.00 & & 27 / 11 / 2021 & Wages & 1830.29 & &
Answer
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Kari
Professional · Tutor for 6 years
Answer
Included in the final version of the account statement are:\begin{array}{|c|l|c|c|c|}\hline\ Date\ &\ Description\ &\ Credit\ (£)\ &\ Debit\ (£)\ &\ Balance\ (£)\ \\\hline\ \ 01\ /\ 11\ /\ 2021\ \ &\ Starting\ balance\ &\ &\ &\ 736.28\ \\\hline\ \ 05\ /\ 11\ /\ 2021\ \ &\ Rent\ &\ &\ 450.00\ &\ 286.28\ \\\hline\ \ 14\ /\ 11\ /\ 2021\ \ &\ Refund\ &\ 25.00\ &\ &\ 311.32\ \\\hline\ \ 27\ /\ 11\ /\ 2021\ \ &\ Wages\ &\ 1830.29\ &\ &\ 2141.61\ \\\hline\end{array}After double-checking, the figures displayed are certainly exact. Besides checks for errors, later balances are accumulated from credited transactions (which extend the balance) and are excluded from debited transactions (which decrease the balance). All figures are the correct values obtained after tracking the previous balances perfectly. The "final" balance, that at the tail end of November 27, 2021, stands at £2141.61.
Explanation
## Step1: Understanding what needs to be done: The purpose here is to compute the balance of the bank account after each financial transaction in the ledger. The ledger given has the credit, debit and starting balance. Therefore, Carrying out the calculations according to the two accounting procedures, that is, adding credits to the balance and subtracting debits. ## Step2: Calculating the balance after the transaction "Rent" was made, started by subtracting this debit from the starting balance.###
## Step3: Calculating the balance after the "Refund" has been credited to the account, carried out this by the principle of banking calculation by adding the credited refund to the balance from the prior calculation. ###
## Step4: Calculating the balance after the "Wages" credits similarly, by adding the sum credited to the balance. ###