Skip to content

CMA Foundation · Fundamentals of Financial and Cost Accounting · Cash Book, Bank Book, Petty Cash Book, Bank Reconciliation Statement

In a three-column cash book, the three money columns on each side are used to record:

A three-column cash book carries cash, bank and discount columns on both sides. Discount allowed appears on the debit side and discount received on the credit side, so all three items are recorded together in one book.

  1. ACash, bank and discountCorrect
  2. BCash, bank and petty cash
  3. CCash, bank and capital
  4. DCash, sales and purchases

Explanation

A triple column cash book has separate columns for discount, cash and bank on both debit and credit sides. Discount allowed is on the debit side and discount received on the credit side. Petty cash is kept in a separate book, not as a column here.

Did you get it right without looking?

One question tells you little. A timed set on Cash Book, Bank Book, Petty Cash Book, Bank Reconciliation Statement shows your real accuracy, how long you take and where you lose marks.

Practise Cash Book, Bank Book, Petty Cash Book, Bank Reconciliation StatementFree diagnostic mock

More Cash Book, Bank Book, Petty Cash Book, Bank Reconciliation Statement questions