bank OD will be shown under which head in bal. sheet?cash nd equivalents or curr. liabi.?
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Bank overdraft is a credit facility availed to the customer by the banks through which the customer can draw an amount more than the available balance in that account upto a certain limit....
It is a liability to the customer.
Bank overdraft is provided for a period Less than 1 year.So this is a current liability.
Hence Bank overdraft is shown under the current Liabilities of the balance sheet
It is a liability to the customer.
Bank overdraft is provided for a period Less than 1 year.So this is a current liability.
Hence Bank overdraft is shown under the current Liabilities of the balance sheet
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