Bank Reconciliation Statement
Chapter 5: Bank Reconciliation Statement · ACCOUNTANCY · EN medium
From your actual textbook ✓
What does your textbook say about Bank Reconciliation Statement?
on standing instructions and debited by the bank in the passbook but not entered in cash book, bills and cheques dishonoured etc. are deducted. (vi) All the credits given by the bank such as interest on dividends collected, etc. and direct deposits in the bank are added. Adjustment for errors are made according to the principles of rectification of errors. (The rectification of errors has been discussed in detail in (viii) Now the net balance shown by the statement should be same as shown by the passbook. It may be noted that treatment of all items shall be the reverse of the above if we adjust passbook balance as the starting point.(see illustration )
📖 Accounts 5 (1) · Page 8
Read from the source
Complete lesson
on standing instructions and debited by the bank in the passbook but not entered in cash book, bills and cheques dishonoured etc. are deducted. (vi) All the credits given by the bank such as interest on dividends collected, etc. and direct deposits in the bank are added.
Adjustment for errors are made according to the principles of rectification of errors. (The rectification of errors has been discussed in detail in (viii) Now the net balance shown by the statement should be same as shown by the passbook. It may be noted that treatment of all items shall be the reverse of the above if we adjust passbook balance as the starting point.(see illustration )
Related topics
Want this shaped for your exam marks?
Get an AI answer grounded in your actual textbook — with the exact page reference.
Ask AI about this topic →