Question

Write short note on the following.

Importance of a pay-in-slip

Answer 1

Pay-in-slip is a form that contains a counter foil. At the time of making a deposit, the counter foil is duly signed and is returned to the depositor. This counter foil acts as a proof of receipt of the amount by the cashier. This form contains some important details of the transactions namely, date of receipt, amount so deposited, details of cheque and cash details (denomination of currency used) and name of the depositor besides his/her contact number and address.

Importance of Pay-in-Slip
The following points highlight the importance of pay-in-slip.
1. It acts as a basis for recording transactions in the books of accounts.
2. It acts as a receipt for the depositor.
3. It is considered as a legal evidence of depositing cash or cheque.