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Bill Of Rs 40000 was discounted by p with his bank for 39000 at maturilty the bill returned dishonoured noting charges amounted to 500 how much amount will the bank deduct from p’s bank balance at he time of such dishonour?
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Bill Of Rs 40000 was discounted by p with his bank for 39000 at maturi...
Calculation of Deduction from P's Bank Balance

Discounted Amount
- The bill was discounted by P's bank for Rs 39,000.

Noting Charges
- The bill was returned dishonoured with noting charges of Rs 500.

Total Deduction
- The total deduction from P's bank balance would be Rs 39,500 (Rs 39,000 discounted amount + Rs 500 noting charges).

Explanation
- When a bill is discounted, the bank pays the bill amount to the holder of the bill (in this case, P) before the bill's maturity date.
- At maturity, the bank collects the bill amount from the drawer of the bill (the person who owes the money).
- If the drawer fails to pay the bill amount, the bill is returned dishonoured, and the bank incurs noting charges.
- The noting charges are the expenses incurred by the bank for recording the dishonour of the bill.
- The bank deducts the discounted amount and noting charges from P's bank balance at the time of such dishonour.
- In this case, the bank will deduct Rs 39,500 from P's bank balance when the bill is returned dishonoured.
Community Answer
Bill Of Rs 40000 was discounted by p with his bank for 39000 at maturi...
40500
40000 for the bill, and 500 for noting charges
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Bill Of Rs 40000 was discounted by p with his bank for 39000 at maturilty the bill returned dishonoured noting charges amounted to 500 how much amount will the bank deduct from p’s bank balance at he time of such dishonour?
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