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Consider the following statements with respect to the transactions shown only in the cash book:
(i) Cheques issued but not yet presented in the bank for payment.
(ii) Cheques deposited into the bank but not yet credited or collected.
(iii) Cheques deposited into the bank but dishonoured.
Identify the correct statement/statements:
  • a)
    (i), (ii) and (iii)
  • b)
    (ii) and (iii)
  • c)
    (ii) only
  • d)
    (i) only
Correct answer is option 'A'. Can you explain this answer?
Verified Answer
Consider the following statements with respect to the transactions sh...
A cash book is a subsidiary of the general ledger in which all cash transactions during a period are recorded. The cash book is recorded in chronological order, and the balance is updated and verified on a continuous basis. There are three common types of cash books: single column, double column, and triple column. Banking & FinanceFinance ManagementGrowth & Empowerment. Cash book records all the transactions related to cash in an organization. Transactions are recorded according to their type (debit or credit). These are recorded in chronological order. Cash book can be both a journal and a ledger.
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Consider the following statements with respect to the transactions shown only in the cash book:(i) Cheques issued but not yet presented in the bank for payment.(ii) Cheques deposited into the bank but not yet credited or collected.(iii) Cheques deposited into the bank but dishonoured.Identify the correct statement/statements:a)(i), (ii) and (iii)b)(ii) and (iii)c)(ii) onlyd)(i) onlyCorrect answer is option 'A'. Can you explain this answer?
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