Question

The accountant of a firm is required to prepare a bank reconciliation statement for the month of March. The opening balance of cash on 1st March was Rs 1,20,000 while the opening balance as per bank column of cash book was Rs 9,50,000. The closing balance of cash as on 31st March was Rs 90,000 while the closing balance as per bank column of cash book was Rs 15,40,000. Which of the following shall be taken by him for starting the preparation of BRS?

• A. Rs 1,20,000
• B. Rs 15,40,000
• C. Rs 90,000
• D. Rs 9,50,000

Answer 1

The correct option is B

Rs 15,40,000

Closing balance of bank column of cash book i.e., Rs 15,40,000 shall be taken and will be compared with closing balance as per bank statement.