Question

What is the reason that a bill honoured by bank is not treated in amended cash book?

Answer 1

hello!

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↪An amended cash book is prepared by taking cash book balance as the starting point and then rectifying any entries that affect the cash balance.

↪Cheques issued but not presented for payment.

↪Cheques deposited but not credited by bank.

↪Any wrong entry in the pass book.

↪All the above adjustments do not affect the cash balance rather they affect the bank.

hope help u

↪ balance as per pass book and cash book and so all of the above entries will not be considered while preparing an amended cash book.