Home › CBSE Class 11 (Commerce) › Accountancy › Bank Reconciliation Statement › If withdrawals exceed deposits, the passbook sho…
If withdrawals exceed deposits, the passbook shows what kind of balance?
AA credit balance
BA zero balance
CAn overdraft balance
DA favourable balance
Answer & Solution
Correct answer: C. An overdraft balance
When more has been drawn than deposited, the account turns negative and the bank shows a debit balance, called an overdraft.
Related questions
Wrong totalling in the bank's records of deposits is which type of difference?Why do unpresented cheques create a difference?Insurance premium paid by bank on standing order: passbook versus cash book?Unpresented cheques make a favourable cash book balance what versus the passbook?Cash book Rs 48,000, passbook Rs 51,500; only unpresented cheques differ. Their total?Payment side was undercast by Rs 100; balance shown Rs 10,000. Correct balance?A debit balance of Rs 1,500 was carried forward as credit. The balance is wrong by?Cash book shows Rs 20,000, but a Rs 5,000 issued cheque was entered twice. Correct balance