Question

difference between cash book and credit book ​

Answer 1

Answer:

There are end number of transactions occur in the normal course of business, where in receipt or payment is made in cash or cheque. To record these transactions the entity uses cash book and contains all the details of the receipts and disbursements that are recorded chronologically. Many times cash book is juxtaposed with Passbook, but there is a slight difference in the two.

Passbook is a book issued by the bank to the account holder which records the amount deposited in/withdrawn from the respective account dring a particular period is tracked. It is a snapshot of customer’s account in the bank’s book. With the help of pass book, banks inform their customer about the status of their account.