Question

Favorable balance means_____________.
a)Credit balance in the cash book
b) Credit balance in bank statement c) Debit balance in cash book
d) Both b and c​

Answer 1

Answer:

BOTH B AND C

Explanation:

Favourable balance is the excess of total of debit side over total of credit side of a bank column of a cash book. It is also known as debit balance as per the cash book. In other words, favourable balance means excess of deposits over withdrawals