When Bank Reconciliation Statement is started with favourable balance as per cash book, which of the following will be added?
Direct payment by customer in Pass Book only.
The correct answer is option 1. Direct payments made by the customer, which are recorded in the Pass Book but not in the Cash Book, will be added in the Bank Reconciliation Statement. This is because they have already increased the bank balance but are not yet reflected in the Cash Book. The other options involve adjustments or omissions that do not lead to additions under this method.
Important Questions from Bank Reconciliation statement
A credit balance in the bank passbook indicates a/an ___________ balance and a debit balance in the cash book indicates a/an ____________ balance.
Mr. A draws a 6-month trade bill on B for Rs. 25,000 on 1 January 2021. After holding the bill for 2 months. A decided to discount the bill with the bank at the rate of 10% p.a. The amount of discount on the bill is ______________ approximately (select the answer with the closest value).
When starting balance is debit, i.e., favourable balance as per cash book, identify which of the following transactions will be added?
The objective of preparing a Bank Reconciliation Statement is to ______.
If the balance as per Cash Book is Rs.5,800; cheques amounting to Rs.2,000 are issued but not yet presented; cheques of Rs.1,500 sent for collection, but not yet collected, and an amount of Rs.200 is wrongly debited by the bank, what will be the balance as per Pass Book?
