Fill in the two missing values in the bank statement.
Let’s have a look at this bank statement more closely. And first, we need to make sure we understand the language that has been used. Credit means money that is being paid in to the account, for example, your wages or a birthday check. Debit means money going out of the account, for example, to buy something or to pay the bills. Balance means how much money is in the account at any particular time.
Let’s go through this statement then and see what happens. We see that the starting balance, the amount of money that’s in the account on the first of January 2019, is 317 pounds and 95 pence. In the next row of the table, we see that the balance changes. It’s now 87 pounds and 18 pence, which means some money must have gone out of the account, because the balance has decreased.
We can see that there is indeed a blank cell in the debit column. So we need to work out how much money has left the account. In the description column, we see that this is described as a standing order for electricity. Now a standing order is just money that leaves the account every month to pay bills, like the electricity bill.
To work out how much money left the account to pay the electricity bill, we need to look at the difference in the balances. We subtract 87.18 from the starting balance of 317.95. That gives 230.77. So we can fill in this value in the debit column. 230 pounds and 77 pence left the account on the 10th of January to pay the electricity bill. And this took the balance down from 317 pounds and 95 pence to 87 pounds and 18 pence.
In the next row of the table, we see that the cell which has been left blank is the balance of the account. We also see that, on the 25th of January, there is a cheque for the amount of 108 pounds and 53 pence. Now this number is listed in the credit column, which means this amount of money is being paid in to the account.
The amount of money in the account or the balance will increase by this amount. So we take the balance at this point, which was 87 pounds and 18 pence, and we add the value of the cheque onto it. That gives 195.71 or 195 pounds and 71 pence. So we see that the ending balance in this account is 195 pounds and 71 pence. Notice that we don’t write down the pound signs within the table because they’ve been included in the titles for each column.
Let’s just remind ourselves then of what happened during the month of January. The starting balance in the account was 317 pounds and 95 pence. 230 pounds and 77 pence was then paid out of the account to pay the electricity bill, which took the balance in the account down to 87 pounds and 18 pence. On the 25th of January, a cheque for 108 pounds and 53 pence was paid in to the account, which took the final balance in the account to 195 pounds and 71 pence. We’ve filled in the two missing values in this bank statement. And we therefore completed the problem.