Multiple choice

The bank has charged commission Rs. 1,320 for its sevices provided to Rahul, but Rahul has entered Rs. 1,230 in the credit side of Bank Column. How will Rahul make amendments in the Two - Columnar Cash Book?

  1. Rs. 90 is entered in the debit side of bank column.

  2. Rs. 90 is entered in credit side of bank column.

  3. Rs. 90 is entered in the credit side of cash column.

  4. None of these
Reveal answer Fill a bubble to check yourself
B Correct answer
Explanation

This is correct. Rs. 90 is entered in credit side of bank column. Rahul had to enter Rs.1, 320 in the credit side of bank column because it is the commission charged by bank. But Rahul has entered only Rs. 1,230 in the credit side of bank column. Further, Rs. 90 is entered in credit side of bank column (Rs. 1,320 - Rs. 1,230).

Keep practicing — related questions