On 1 May 2018 the balance in the bank column of Nuri's cash book was $350 debit. Nuri received a bank statement dated 1 May 2018 which showed a balance of $400 credit. Nuri compared her cash book with the bank statement and found the following differences. 1 Entries recorded in the cash book but not in the bank statement April 20 Cheque number 270 paid to Jegan, $570 23 Cheque number 873 received and banked from Sofia, $245 28 Cheque number 272, drawings taken by Nuri, $150 29 Cash sales banked, $300 2 Entries recorded in the bank statement but not in the cash book | Date | Details | Debit $ | Credit $ | |:---------|:------------------------------------|:--------|:---------| | April 22 | Christan – Cheque (Refer to drawer) | 120 | | | 25 | Dividend received | | 150 | | 26 | West Gas - Credit transfer (DD) | 80 | | | 30 | Bank charges | 75 | |

1. (a)Update the bank columns in Nuri's cash book. Bring down the balance on 1 May 2018. Cash book (bank columns only) | Date | Details | $ | Date | Details | $ | |:---------|:------------|:----|:---------|:--------|:--| | 2018 | | | 2018 | | | | May 1 | Balance b/d | 350 | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |[5]
2. (b)Prepare a bank reconciliation statement at 30 April 2018. Start with the balance from the bank statement of $400 credit. Nuri Bank Reconciliation Statement at 30 April 2018[5]
3. (c)Explain the term 'Refer to drawer'.[2]