Question

State whether the following statement is True or False.
Bank balance as per pass book means debit balance as per pass book.

• A. True
• B. False

Answer 1

The correct option is B False

False. Bank balance as per pass book means credit balance in the passbook. This is because passbook is credited when the balance increases and debited when balance reduces as it is prepared by bank with the bank's point of view. So, unless specified otherwise, bank balance means favourable or credit balance as per passbook.