Explore topic-wise InterviewSolutions in Current Affairs.

(a) Rs. 1,950 credit balance

Correct option is (c) bank, trader

If the total of debit column exceeds, total of a credit column in a passbook, the difference is known as a bank overdraft. If the total of credit side is more, total of a debit side in a cashbook, the difference is known as a Bank overdraft.

Bank balance is receivable for the business hence it shows debit balance. The same are payable for the bank hence it shows credit balance for bank.

Correct option is (a) debit

Correct option is (b) debit

Correct answer is (a) can

Correct option is (d)All of the above

Amount wrongly debited by the bank implies a situation when the bank wrongly debits a Pass Book. The following are the common mistakes that occur in the Pass Book when bank wrongly debits in the Pass Book. Mistakes occurs in case a person has more than one account in a bank. For example, a cheque of Rs. 2,000 issued from his Current Account was wrongly paid through his Savings Account.

Correct option is (b) credit

Correct option is (a) debit

(i) Normal bank balance as per cash book means debit balance as per cashback.

(ii) The Bank column in cashback represents the business’s current account.

(iii) The current account is opened by traders for day-to-day business bank transactions.

(iv) A bank account is a personal account

(v) Interest charged by the bank on overdraft A/c is an expense for the business.

(b) Part of Bank Account

Correct option is (c) closing balance as per passbook and cashbook for respective period.

(b) A credit balance in the Bank Statement

This statement is False. 

Cashbook records only business transactions and not the personal A/c of the trader. The Bank column in Cash Book represents Business Current A/c and not the proprietor’s savings A/c.

Correct option is (a) abstract of trader’s account in the book of bank.

The need to prepare Bank Reconciliation Statement is given below: 

• It helps in finding out the errors and omissions committed in the Cash Book and the Pass Book. 

• It shows uncleared cheques, which have already been debited in the Cash Book but have not been yet recorded in the Pass Book. 

• It helps in checking embezzlement of money from the bank account. 

• It helps in measuring the accuracy of the transactions recorded in the Cash Book. 

• It facilities in preparing revised Cash Book that reflects true bank balance.

It is a current a/c. Where bank provide opportunity to withdraw more than deposit called (B.O.D.) Bank Over Draft.

(c) रोकड़ पुस्तक के बैंक कॉलम शेष या पास बुक के शेष से

1. BRS helps to know the real value of cash balance of business in particular period end. 

2. It helps to detect/errors irregularities and frauds committed by employees, in the business.

The Two methods of preparing BRS 

1. Statement method or one column method. 

2. Debit column and credit column method or two column method

The statement which explains causes of differences between the cash bank balance and the pass book balance called bank reconcilitation statement.

(a) Credit memo

(d) व्यापारी की इच्छानुसार

Statement helps the customer to reconcile the difference between pass book and cash book. 

• To know the real balance of pass book and cash book means real cash balance. 

• To keep track on cheque issues and cheque deposited into account.

(a) Pay – in – slip

बैंक समाधान विवरण की उपयोगिता/उद्देश्य बैंक समाधान विवरण का बनाया जाना वैसे तो आवश्यक या अनिवार्य नहीं है, परन्तु फिर भी निम्नलिखित उपयोगिताओं/उद्देश्यों/महत्त्व के लिए इसे बनाया जाता है|

1. रोकड़ बही में उचित संशोधन रोकड़ बही तथा पास बुक का मिलान करने से रोकड़ बही में उपयुक्त संशोधन करना सम्भव हो जाता है। यदि बैंक की पास बुक में ब्याज, बैंक-व्यय, ग्राहकों से रकम तथा चैकों की सीधी प्राप्ति, आदि के लेखे किए हुए हैं, तो रोकड़ बही में इनकी प्रविष्टियाँ करके संशोधित रोकड़ बही तैयार की जाती है।

2. त्रुटि को दूर करना यदि रोकड़ बही या पास बुक में लेखा करते समय कोई भूल या त्रुटि हो गई है, तो दोनों पुस्तकों का मिलान करके त्रुटि को ज्ञात करना और उसे दूर करना सरल हो जाता है।

3. भविष्य में चैक जारी करना बैंक समाधान विवरण तैयार करने से व्यापारी को बैंक शेष की सही जानकारी प्राप्त हो जाती है, जिससे उसे भविष्य में चैक जारी करने में सुविधा होती है।

4. भूल-चूक का ज्ञान यदि व्यापारी और बैंक के द्वारा लेन-देन का लेखा करने में कोई भूल-चूक हो गई है, तो इसका ज्ञान बैंक समाधान विवरण द्वारा हो जाती है।

5. चैक वसूली में अनावश्यक देरी का ज्ञान बैंक समाधान विवरण से बैंक द्वारा चैकों की वसूली करने में हुई अनावश्यक देरी की जानकारी प्राप्त हो जाती है।

6. अन्तर के कारणों का ज्ञान होना पास बुक और रोकड़ पुस्तक के शेष में अन्तर के कारण भी बैंक समाधान विवरण द्वारा ज्ञात हो जाते हैं।
बैंक समाधान विवरण बनाने की विधि/बैंक समाधान विवरण तैयार करना बैंक समाधान विवरण

निम्नलिखित दो प्रकार के शेषों को लेकर बनाया जा सकता है

1. रोकड़ बही के शेष द्वारा रोकड़ पुस्तक के बैंक खाते का शेष दो प्रकार का हो सकता है-एक ऋणी शेष, जो बैंक में धनराशि जमा होने की दशा में होता है तथा दूसरा धनी शेष, जो अधिविकर्ष की स्थिति बताता है।

(i) रोकड़ बही के ऋणी शेष द्वारा बैंक समाधान विवरण बनाना जब बैंक समाधान विवरण रोकड़ बही का ऋणी शेष (Debit Balance) लेकर बनाया जाता है, तो निम्नलिखित मदों को उस शेष में जोड़ दिया जाता है

⦁    चैक निर्गमित किए गए, लेकिन भुगतान के लिए बैंक में प्रस्तुत ही नहीं किए गए।
⦁    बैंक द्वारा व्यापारी को दिया गया ब्याज।
⦁    बैंक द्वारा ग्राहक की ओर से प्राप्त किया गया कोई भुगतान।
⦁    किसी ग्राहक द्वारा सीधे बैंक में धनराशि जमा कर देना।
⦁    चैक, जो रोकड़ बही में बिना लेखा किए बैंक में भेज दिए गए।

जब बैंक समाधान विवरण रोकड़ बही का ऋणी शेष (Debit Balance) लेकर बनाया  जाता है, तो निम्नलिखित मदों को उस शेष में से घटा दिया जाता है

⦁    चैक जो वसूली के लिए जमा किए गए, परन्तु अभी वसूल नहीं हुए।
⦁    बैंक चार्जेज या बैंक व्यय।
⦁    बैंक द्वारा ग्राहक की ओर से किया गया कोई भुगतान।
⦁    संग्रह के लिए भेजे गए चैक या बिल जो तिरस्कृत हो गए।
⦁    चैक जो रोकड़ बही में लिख दिए गए, लेकिन बैंक में वसूली के लिए भेजने से रह गए।

(ii) रोकड़ बही के धनी शेष द्वारा बैंक समाधान विवरण बनाना रोकड़ बही के धनी शेष द्वारा विवरण तैयार करने में ऋणी शेष में जुड़ने वाली ” मदों को घटाया जाता है और घटाई जाने वाली मदों को जोड़ा जाता है।

2. पास बुक के शेष द्वारा रोकड़ बही की भाँति पास बुक का शेष भी दो प्रकार का हो सकता है-एक धनी शेष, जो बैंक में धन जमा होने की दशा में होता है तथा दूसरा ऋणी शेष, जो अधिविकर्ष की स्थिति को बताता है। जब बैंक समाधान विवरण पास बुक के धनी शेष द्वारा बनाया जाता है, तो उपरोक्त विधि के अन्तर्गत जोड़ी जाने वाली मदों को घटाकर दिखाते हैं। तथा घटाई जाने वाली मदों को जोड़ते हैं। इसके विपरीत जब पास बुक के ऋणी शेष या अधिविकर्ष द्वारा बैंक समाधान विवरण तैयार किया जाता है, तो उपरोक्त जोड़ी जाने वाली मदों को इसमें जोड़कर तथा घटाई जाने वाली मदों को घटाकर दिखाया जाता है।

The differences between cash and pass book casuse are : 

• Cheque deposited into bank but not realised. 

• Cheque issued to parties but not presented. 

• Any expenses directly debited by bank book and not in the cash book. 

• Any income directly received by bank and not recorded by business.

Bank Reconciliation Statement: Bank balance as shown by the cash book must tally with the balance shown by the passbook. It is quite often seen that the balances as revealed by the cash book and the passbook do not tally. These differences may arise due to numerous reasons. In order to tally the balances of bank column of cash book and the passbook, a statement is prepared which  is known as the ‘Bank Reconciliation Statement’. Thus, Bank Reconciliation Statement may be defined as “The statement which is prepared to find out the reasons of differences in the balances of Cash Book and that of the Pass Book is known as Bank Reconciliation Statement”.

Importance of Bank Reconciliation Statement: 

The various reasons for the preparation of Bank Reconciliation statement are as follows: 

1. Cheques Issued but not Presented for Payment: As soon as any person is issued a cheque by the customer of the bank it is recorded on the credit side in the bank column of the cash book. The same cheque is presented by the person after a duration of time. Thus, if in between this duration the balances are reconciled there will be a difference in the two balances. 

2. Cheques Deposited but not Collected or Credited by the Bank: As soon as the cheques are deposited in the bank, the customer debits the bank column of the cash book. This will lead to an increase in the balance in the cash book. The bank will not increase the balance unless the amount is really received. The process of collection of cheques takes some time. If during this duration the balances are compared there will be a difference in the two because of these cheques.

3. Bank Charges: The bank provides many services to its customers. It provides services like collection of dividends, collection of interest, etc. The bank charges some extra amount for these services. Thus bank balance is reduced as this is debited from the customers account without giving any intimation. This reduces the bank balance and no entry is made in the cash book. 

4. Direct Deposits by Customers: There may be some customers who may deposit the money directly into the bank. Thus, the bank balance is increased while the balance in the cash book is not adjusted, accordingly this causing a difference in the balance. 

5. A collection made by the Bank on Behalf of Customer: The bank may collect dividend on shares, on government securities etc. on behalf of the customer. The bank credits the amount to the passbook. This increases its balance. While the 

6. Dishonour of Bill Discounted with the Bank: The customer gets the bill discounted from the bank before the due date but if on the due date it was dishonoured the bank will debit the amount and the passbook balance will be reduced whereas the cash book will remain unchanged. This will also lead to the difference in the balances.

7. Interest Charged and Allowed by the Bank: When there is overdraft, the bank may charge interest on overdraft. The bank, will record it on the debit side of the passbook. There will be no entry in the cash book to this effect unless some information is received by the bank, thus leading to a difference in the balances. The bank allows some interest on the amount deposited by the customer on a specific date but the customer is informed at a later date. The customer will not pass any entry to this effect in the bank column of the cash book. Hence, there will be a difference between the two balances. 

Reasons Liable for the Difference between the balance of Cash Book and Bank Pass Book.

The reasons liable for the difference may be summarised as below: 

1. Cheques Issued but not Presented for Payment: As soon as any person is issued a cheque by the customer of the bank, it is recorded on the credit side in the bank column of the cash book. The same cheque is presented by the person after a duration of time. Thus, if in between this duration the balances are reconciled, there will be differences in the two balances. 

2. Cheques Deposited but not Collected or Credited by the Bank: As soon as the cheques are deposited in the bank, the customer debits the bank column of the cash book. This will lead to an increase in the balance in the cash book. The bank will not increase the balance unless the amount is really received. The process of collection of cheques takes some time and if during this duration the balances are compared, there will be differences in the two because of these cheques. 

3. Bank Charges: The bank provides many services like collection of dividends, collection of interest, etc. The bank charges some extra amount for these services. Thus, the bank balance is reduced as this is debited from the customer’s account without giving any intimation. This reduces the bank balance and no entry is made in the cash book.

4. Direct Deposits by Customers: There may be some customers who may deposit the money directly into the bank. Thus, the bank balance is increased while the balance in the cash book is not adjusted accordingly, causing a difference in the balances. 

5. Collection by the Bank on behalf of Customer: The bank may collect dividend on shares, on government securities etc. on behalf of the customer. The bank credits the amount to the passbook, and this increases its balance. While the balance of the cash book is undercast. Thus, the two balances will differ from each other. 

6. Dishonour of Bill Discounted with the Bank: The customer gets bill discounted from the bank before the due date but if on the due date it was dishonoured the bank will debit the amount and the passbook balance will be reduced whereas the cash book will remain unchanged. This will also lead to the difference in the balances.

7. Interest Charged and Allowed by the Bank: When there is overdraft, the bank may charge interest on overdraft. The bank will record it on the debit side of the passbook. There will be no entry in the cash book to this effect unless some information is received by the customer leading to a difference in the balances. Similarly, the bank allows some interest on the amount deposited by the customer on a specific date but the customer is informed at a later date. The customer will not pass any entry to this effect in the bank column of the cash book. Hence, there will be a difference between the two balances.

Correct option is (D) Qualitative

Correct option is (c) Three

Cheque is a negotiable instrument under the provision of Negotiable Instrument Act 1881 in India.

There are two types of cheques :

1. Bearer / Simple cheque and
2. Crossed cheque.

Correct option is (C) 36%

Correct option is (A) 40%

Efficiency ratios are as follows :

• Stock turnover
• Working capital turnover
• Debtors turnover
• Creditors turnover.

Correct option is (c) Bank overdraft balance

Endorsement transaction is recorded in journal proper.

Correct option is (C) ₹ 15,00,000

The measurement of efficiency for the conversion of stock into sales means stock turnover.

When the cheque is received from the customers or debtors, the name of creditors or traders written on the backside of the cheque and the payment is made directly, then it is called Endorsement.

Correct option is (d) Bank and discount columnar cash book

Correct option is (A) ₹ 3,20,000

The increasing trend indicates that very often the stock is converted into cost of goods sold and finally into sales. Generally it is established that higher the ratio-higher the sales-higher the profit.

The objective of debt-equity ratio is to know the proportion of owners capital and borrowed funds which are acquired by the business as a long-term source of finance.

Non-cash and credit transactions are not recorded in the simple cash book.

Correct option is (b) Balance increases

Bank and discount columnar cash book is not very popular, because cash transactions do take place to some extent in any business along with the bank transactions.

Cash book is a type of subsidiary book in which only cash transactions are recorded.