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CA Foundation · Accounting · Bank Reconciliation Statement

The cash book of Rao Traders on 31 March shows a bank balance of ₹36,500 (debit). On comparing with the pass book, it is found that a cheque for ₹8,000 deposited on 30 March was credited by the bank on 2 April. What would be the balance as per pass book, considering only this item?

The pass book balance is ₹28,500. The cheque of ₹8,000 deposited but not yet credited by the bank is already in the cash book but not the pass book, so it must be deducted from the cash book balance of ₹36,500.

  1. A₹44,500
  2. B₹28,500Correct
  3. C₹36,500
  4. D₹38,500

Explanation

The cheque deposited but not yet credited is already in the cash book as a debit but not in the pass book. Pass book balance = 36,500 − 8,000 = ₹28,500. Adding 8,000 would wrongly treat it as a cheque issued but not presented.

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