Question

Credit balance in the bank column of cash book shows:

Answer 1

Answer:

Credit balance in the bank column of a cash book means unfavourable balance. It clearly means that withdrawals have been more than deposits.

Explanation:

This a very basic thing to understand. Credit balance as per cash book is same thing written as credit balance in the bank column of cash book.

Basically cash book is prepared by a business on its own and thus when a credit balance appears in its books it means that money is owed by the business.