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 A debit balance in the depositor’s Cash Book will be shown as:
  • a)
    A debit balance in the Bank Statement.
  • b)
    A credit balance in the Bank Statement.
  • c)
    An overdrawn balance in the Bank Statement.
  • d)
    None of the above.
Correct answer is option 'B'. Can you explain this answer?
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A debit balance in the depositor’s Cash Book will be shown as:a)...
A debit balance in the depositor's account refers to a negative balance. This means that the amount of money withdrawn from the account exceeds the amount of money deposited into the account. It could be due to overdrawing the account, fees or charges, or other debits that have not been offset by credits. Having a debit balance can result in additional fees or penalties from the bank.
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A debit balance in the depositor’s Cash Book will be shown as:a)A debit balance in the Bank Statement.b)A credit balance in the Bank Statement.c)An overdrawn balance in the Bank Statement.d)None of the above.Correct answer is option 'B'. Can you explain this answer?
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