Question

Cheque of 50,000/- received as advance against sale, paid into bank. Make a cash book entry for this.​

Answer 1

Answer:

Explanation:

Journal entry will be

Bank A/c Dr  50,000.00

   To Advances from Customers  A/c        50,000.00

(Being a cheque of 50,000/- received as advance against sale, paid into bank.)

Treatment of cheque in case of triple column cash book

You will enter in Receipt column of Cash book but in the Bank account

means nothing in cash but bank column will be debited.  Narration may be given as "Advances from customer against sale of goods)