Banking and bank transactions - class-XI

A pay in slip is blank form given by the bank which is duly filled by the customer to deposit cash in the bank. it has 2 part one is kept with the bank and the other is given to the customer. The smaller part which is given to the customer is known as the counter foil. It acts as the only proof that the customer has deposited money in the bank either by cheque or cash because it is stamped by the bank which acts as an acknowledgement for payment.

False. The pay in slips provided by the bank have specific denominations mentioned for particulars of cash to be deposited. Specific denominations are given so that customer can mention the number of denominations the customer is depositing. 

A pay in slip is a document that has 2 parts one is  counterfoil and the other longer part is kept with the bank. Pay in slips are serially numbered. It acts as a document of all the entries of deposits in the bank. All the deposit transactions are entered in the bank with the help of pay in slip. They are a proof of all the deposits.

A pay in slip has 2 parts one being a counter foil and the other longer part which is kept with the bank. The counter foil is given to the customer which is acknowledged in a form of the rubber stamp. It is a proof that the money is been given to the bank and is being acknowledged by the bank. 

A bearer cheque is just like a withdrawal slip. A bearer cheque is payable over the counter. It is transferable by mere delivery. A withdrawal slip is a slip that to be filled by the customer to withdraw money from the bank account. In both the cases money can be received over the counter. Money can be withdrawn from the customer account using both a cheque and withdrawal slip.

A pay in slip is a blank document that is filled by the customer with all the details of the customer to deposit money in the bank account either by cash or by cheque filling all the details needed. 

True. The pay in slip of the bank requires the deposit amount to be specified in figures and words both. The figures and words both are to be written for the clarity of the banker and to be assured the amount.

False. A pay in slip is a document that is used to deposit money in the bank both in the form of cash as well cheque.  

Generally, the use of withdrawal slips are restricted to savings account. Many times a cheque is not issued to savings account holders to help customers withdraw money they are generally used in savings account.

The pay in slips for different types of account are different. The details asked in the pay in slips do not ask whether the account is current or savings and therefore different pay in slips are given so as to differentiate between them. 

The signatures of withdrawal slips and specimens available with the bank should match compulsorily. The bank has a specimen of the signature that is the signature that you do while you are opening your bank account. Both should match so that the bank is sure that the right person is withdrawing money and the transaction is real.

False. The person withdrawing money from a withdrawal slip should write the name and other details so asked in the withdrawal slip. 

A withdrawal slip is a bearer document. A withdrawal slip is paid to the person who presents the same having the right to do so just like a bearer document. Bearer means the person holding the document,

True. The signatures of withdrawal slips and specimens available with the bank should match compulsorily. The bank has a specimen of the signature that is the signature that you do while you are opening your bank account. Both should match so that the bank is sure that the right person is withdrawing money and the transaction is real.

The various documents of the bank are withdrawal slip to withdraw money, pay in slip to deposit money and a cheque to make payments and receive payments. In the given question all the documents are bank documents except a land agreement.

True. The amounts on the withdrawal slips are to be mentioned in figures as well as words. Both are to be mentioned to confirm the figures and to ensure that the banker is able to read properly. The cheque will be passed only when both the figures match. 

A bearer cheque is just like a withdrawal slip. A bearer cheque is  payable over the counter. It is transferable by mere delivery. A withdrawal slip is a slip that to be filled by the customer to withdraw money from the bank account. In both the cases money can be received over the counter and amount can be withdrawn by the customer.

All the documents which are used by the account holders to facilitate transactions with bank are collectively known as bank documents. Bank documents include pay in slip to deposit money, withdrawal slip to withdraw money and cheques to make and receive payments.

A bank advice is a notice that the bank gives to the customer when a transaction takes place. Whenever any amount is deducted or added in the bank account the bank intimates the customer about the same. 

An open cheque is the bearer cheque. It is payable over the counter on presentment by the payee to the paying banker. While a crossed cheque is not payable over the counter but shall be collected only through a banker. 

A cheque in which bank makes cash payments to anyone who presents cheque on the counter of the bank is a Bearer cheque. It is payable to bearer i.e, anyone who presents it in the bank for encashment. Bearer cheques can be transferred by mere delivery.

Pay in slip as the name suggests is a slip that is filled by the customer to deposit money in the bank account either by cash or by cheque. The things that need to be filled in a pay in slip are the account details in which the money is to be deposited, amount to be deposited by cash or by cheque, and the signature of the depositor.

True. Account holders should always carry passbook when they visit the bank for doing any transactions. The passbook has all the bank details needed to do the transactions. 

True. 

False. A Bearer cheque is as good as cash.

True. Account holders are not allowed to carry the withdrawal slips at home as there is only one part in the withdrawal slip which is kept with the bank for record purpose.

True. A bearer cheque is just like a withdrawal slip. A bearer cheque is  payable over the counter. It is transferable by mere delivery. A withdrawal slip is a slip that to be filled by the customer to withdraw money from the bank account. In both the cases money can be received over the counter.  

True. A bearer cheque is a form of cheque which is payable to the bearer i.e, anyone who is holding the cheque. This can be transferred by mere delivery and there is no need for endorsement. Hence, it can be said that a bearer cheque can be encashed by anyone.

True. In case of "A/c Payee" crossing further transferability of cheque is not possible as by writing the words "A/c Payee" it is made clear that the cheque cannot be paid to anyone else other than the person whose name is mentioned as the payee. In case of crossed cheque it can be further transferred. A crossing is basically drawing 2 parallel lines either on the whole cheque or on the top left corner of the cheque, and in "A/c Payee" crossing the word "A/c Payee" are written in between the 2 parallel lines.

False. A pay in slip is a slip which is used to deposit money in the bank account. A counter folio is that small part of the pay in slip that is kept with the depositor for record purpose. 

This is an error of omission. In the given question a cheque of rupees 112 has been omitted to be entered. When balance as per cash book is the starting point the adjustments are to be made in the cash book hence Rs 112 is to be subtracted from the balance of cash book.

False. A bearer cheque is always payable across the bank counter. A cross cheque is a cheque which has to be directly deposited in the bank account of the person so mentioned. It cannot be made payable over the counter.

When balance as per passbook is the starting point adjustments are to be made in the passbook. Unpresented cheques are the cheques which are issued to a person and he/she has not presented it for payment. In this case the cash book is credited by the cheque issued and passbook is not. So the cash book balance is less than passbook, hence unpresented cheques are subtracted from the passbook balance. 

In accounting, transactions are recorded chronologically in journals or books of original entry as they occur throughout the accounting period.

When balance as per cashbook is the starting point adjustments are to be made in the cashbook. Uncollected cheques are the cheques which are deposited in the bank but not cleared by the bank or not credited in the bank account. In this case the cash book is debited by the cheque deposited and passbook is not so the cash book balance is more than passbook, hence uncollected cheques are subtracted from the cashbook balance so that both the books come at par.

When balance as per passbook is the starting point adjustments are to be made in the passbook. Uncollected cheques are the cheques which are deposited in the bank but are not yet cleared by the bank or credit in the account. In this case the cash book is debited by the cheque deposited and passbook is not so the cash book balance is more than passbook, hence uncollected cheques are added from the passbook balance to bring both the books at par.

When cash is withdrawn from the bank, the bank balance decreases. According to the rules of accounting, a decrease in an asset (bank) is credited.

When cash is withdrawn from the bank, the cash balance increases. According to the rules of accounting, an increase in an asset (cash) is debited.

Under the Negotiable Instruments Act, a cheque must be presented within its validity period, which is currently three months in India, or six months as per older statutory references often cited in textbooks.

A cheque is specifically drawn on a bank, whereas a bill of exchange is a more general instrument that can be drawn on any person, including a bank.

All listed options (unconditional order, specified bank, amount in figures/words) are standard features of a cheque. Therefore, none of the options are 'not' a feature.

Crossing a cheque does not affect its negotiability (it can still be transferred), but it restricts the mode of payment by requiring it to be deposited into a bank account rather than paid over the counter.

Bearer, Order, and Crossed cheques are standard legal classifications under the Negotiable Instruments Act. A 'blank cheque' is a colloquial term for a signed cheque without an amount, not a formal legal category of cheque.