Question

The pass book shows a debit balance of 4,500 and a customer has
directly deposited 2,000 in the bank account which is not recorded
in cash book. What will be the balance as per cash book?
a) 6,500 b) 2,500 (for favourable)
c) 6,500 (over draft) d) 2,500 (overdraft)

Answer 1

Answer:

(d)2500(overdraft)

Explanation:

Debit balance as per pass book means credit balance as per cash book,which is unfavourable balance or simply overdraft.(The excess amount withdrawn over the amount  deposited in the bank)

Thus,4500 (od)-2000=2500(od)