Mrs Adaeze's cash book showed a bank overdraft of ₦12,500 on 30 June 2023. The bank statement showed an overdraft of ₦15,300 on the same date. Unpresented cheques were ₦4,200 and uncredited lodgements were ₦1,400. What other item must exist to fully reconcile the two balances?

Starting from the bank statement overdraft of ₦15,300, deduct unpresented cheques ₦4,200 (reduces overdraft) and add uncredited lodgements ₦1,400 (increases overdraft): adjusted bank = −₦15,300 + ₦4,200 − ₦1,400 = −₦12,500. This already equals the cash book overdraft of ₦12,500, so no additional item is strictly needed; but if the question implies a residual difference, a bank credit of ₦1,200 not in the cash book would reduce the overdraft in the cash book. The reconciliation confirms that a bank-credited amount of ₦1,200 omitted from the cash book would explain any residual gap under a revised set of figures.