Question

What is the journal entries for endorsement of a cheque?

Answer 1

ᴀɴsᴡᴇʀ :

• On endorsement of cheque to the third party the cash column must be reduced so that it gets recorded in the cash column on the credit side of the cash book.
• It should be noted that when the cheque was received, it must have been recorded in the cash column on the debit (receipt) side of the cash book.

Answer 2

Explanation:

On endorsement of cheque to the third party the cash column must be reduced so that it gets recorded in the cash column on the credit side of the cash book. It should be noted that when the cheque was received, it must have been recorded in the cash column on the debit (receipt) side of the cash book.