2. BANK
A Bank is a financial
intermediary and money
creator that creates
money by lending
money to a borrower,
thereby creating a
corresponding deposit
on the bank's balance
sheet.

3. The cash books are
simple accounting
books that are used to
enter basic data about
cash payments and
receipts.
CASH BOOK & PASS BOOK

4. CASH BOOK & PASS BOOK
FORMAT

5. BALANCING OF CASH BOOK AND PASS
BOOK
Balance

6. NOT BALANCING OF CASH BOOK AND PASS
BOOK

8. Bank Reconciliation Statement FORMAT

9. PARTICULARS AMOUNTS AMOUNTS
Balance as per Cash Book 200
Bank Reconciliation Statement as on Dec 31, 2003
Example sum of BRS , Pg. no.206

10. PARTICULARS AMOUNTS AMOUNTS
Balance as per Cash Book
LESS:
Cheques deposited but not credited by the
bank 1,500
200
Bank Reconciliation Statement as on Dec 31, 2003
CASH BOOK PASS BOOK
100 100
(+) 1500 -
1600 100≠(-)
1. Cheques deposited but not yet collected by the bank
Rs. 1,500

11. PARTICULARS AMOUNTS AMOUNTS
Balance as per Cash Book
ADD:
Cheques issued to Mr.Raju but not presented
for payment 2,500
2,500
200
Bank Reconciliation Statement as on Dec 31, 2003
CASH BOOK PASS BOOK
3000 3000
(-)2500 -
500 3000
(+)
≠
2. Cheque issued to Mr.Raju has not yet been presented
for payment Rs. 2,500

12. PARTICULARS AMOUNTS AMOUNTS
Balance as per Cash Book
LESS:
Bank charges as per pass book 200 200
200
Bank Reconciliation Statement as on Dec 31, 2003
CASH BOOK PASS BOOK
500 500
- 200 (-)
500 300
(+)
≠
3. Bank charges debited in the pass book Rs.200

13. PARTICULARS AMOUNTS AMOUNTS
Balance as per Cash Book
ADD:
Interest allowed by the bank 100
200
Bank Reconciliation Statement as on Dec 31, 2003
CASH BOOK PASS BOOK
500 500
- 100 (+)
500 600
(-)
≠
4. Interest allowed by the bank Rs.100

14. PARTICULARS AMOUNTS AMOUNTS
Balance as per Cash Book
LESS:
Insurance premium directly paid by the bank
as per standing instructions
500
200
Bank Reconciliation Statement as on Dec 31, 2003
CASH BOOK PASS BOOK
1000 1000
- 500 (-)
1000 500
(+)
≠
5. Insurance premium directly paid by the bank as per
standing instructions Rs.500

15. SOLUTION

16. RECALL

18. Assignment
- go through the example sum
- do the exercise sum 1 & 2
- write any two cases of disagreement between
the balance shown by the cash book & pass Book

19. THANK YOU