Give two examples of errors committed by the firm in recording transactions in the cash book.
Asked by Topperlearning User
| 15th Jul, 2016,
04:31: PM
Expert Answer:
Errors committed in recording transactions by the firm:
- A cheque of Rs.500 received from the debtor was recorded in the cash book but not sent to the bank for collection.
- A cheque of Rs.1500 issued by the firm is wrongly recorded as Rs.150 on the credit side of the cash book.
Answered by
| 15th Jul, 2016,
06:31: PM
- What is the need and purpose of preparing a bank reconciliation statement?
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- Explain briefly 4 reasons for disagreement between the cash book balance and the passbook balance caused because of time gap.
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- What is debit balance and credit balance as per cash book and bank pass book?
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