Multiple choice

The receipts side of the cash book (bank column) has been undercast by Rs. 4,100. How to make amendments in the Cash Book to rectify this mistake?

  1. Rs. 4,100 is entered in the debit side of cash column.

  2. Rs. 4,100 is entered in the credit side of bank column.

  3. Rs. 4,100 is entered in the debit side of bank column.

  4. Rs. 4,100 is entered in the credit side of cash column.

Reveal answer Fill a bubble to check yourself
C Correct answer
Explanation

This is correct. We have undercast the debit side of bank column by Rs. 4,100 as receipts side is the debit side. Rs. 4,100 is entered less in the debit side of bank column. Therefore, Rs. 4,100 is entered in the debit side of bank column to rectify the mistake made.