Question

She opened a bank account with her saving account cheque? Double column cash book

Answer 1

The double column cash book (also known as two column cash book) has two money columns on both debit and credit sides – one to record cash transactions and one to record bank transactions.

In other words, we can say that if we add a bank column to both sides of a single column cash book, it would become a double column cash book.

The cash column is used to record all cash transactions and works as a cash account whereas bank column is used to record all receipts and payments made by checks and works as a bank account.

Both the columns are totaled and balanced like a traditional T-account at the end of an appropriate period which is usually one month.