1.

When Bank column of a Cash Book shows a credit balance, it means overdraft or amount due to the bank

2.

When the bank statement shows a credit balance, it means balance per bank statement or amount due from bank

3.

When Bank column of a Cash Book shows a debit balance, it means balance per Cash Book

4.

When the bank statement shows a debit balance, it means overdraft as per bank statement

5.

An unpresented cheque is a cheque given to company’s creditor but the creditor has not presented it for payment to your company’s bank account.

6.

When your customer pays you a cheque but it is still not credited into the bank, then it is called a bank lodgement which is not yet credited

7.

Cheques given by debtors not honored by their banks are dishonored cheques

8.

Bank reconciliation statement is prepared by the auditors

9.

Bank reconciliation statement is to reconcile cash at Bank Account with Bank Statement

10.

A bank overdraft is defined as a company which has too much receipts than payments