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Standard XI

Accountancy

Journal for Dishonour Incase of Holding till Maturity

A bill of Rs....

Question

A bill of Rs.12,000 was discounted by A with the banker for Rs. 11,880. At maturity, the bill returned dishonoured, noting charges Rs. 20. How much amount will the bank deduct from A’s bank balance at the time of such dishonour?

Rs. 12,000

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Rs. 11,800

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Rs. 12,020

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Rs. 11,900

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Solution

The correct option is C
Rs. 12,020

Bank will deduct
= Rs. 12,000 + Rs. 20
= Rs. 12,020.

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A bill of Rs.12,000 was discounted by A with the banker for Rs. 11,880. At maturity, the bill returned dishonoured, noting charges Rs. 20. How much amount will the bank deduct from A’s bank balance at the time of such dishonour?

The correct option is C Rs. 12,020 Bank will deduct = Rs. 12,000 + Rs. 20 = Rs. 12,020.

The correct option is C
Rs. 12,020

Bank will deduct
= Rs. 12,000 + Rs. 20
= Rs. 12,020.