3.3.4 - Step 4: Adjust for Errors or Omissions
Enroll to start learning
You’ve not yet enrolled in this course. Please enroll for free to listen to audio lessons, classroom podcasts and take practice test.
Practice Questions
Test your understanding with targeted questions
What is a cash book?
💡 Hint: Think about where a company logs its money flows.
Why do adjustments need to be made?
💡 Hint: What happens if records are wrong?
4 more questions available
Interactive Quizzes
Quick quizzes to reinforce your learning
What is the purpose of adjusting errors in the Bank Reconciliation process?
💡 Hint: Why do we need accurate financial records?
True or False: All errors in the cash book must be ignored during reconciliation.
💡 Hint: What happens to financial reporting if we ignore errors?
Get performance evaluation
Challenge Problems
Push your limits with advanced challenges
A company found that its cash book balance was $5,000, while the bank statement shows $5,700 after corrections. List the potential errors that could have caused this discrepancy.
💡 Hint: Consider all aspects of transactions that might not have aligned.
If a bank charge recorded was $50 but the actual charge was $30, how would this affect the cash book, and what adjustment should be made?
💡 Hint: What correction does your balance need to reflect accurately?
Get performance evaluation
Reference links
Supplementary resources to enhance your learning experience.