Dishonour of a Cheque

What is the dishonour of a cheque?

When cheque presents for payment but there is not sufficient amount in the bank account, it is called dishonor of a cheque.

There are lots of reasons for dishonour of cheque.

Some major reasons are:

There is not sufficient amount at bank,

Date is not written correctly,

Name of payee is not written,

Amount of words and figure does not match,

Drawer’s signature does not match with computer or signature specification card,

Cheque is overwritten, spoiled, torn and spotted,

Drawer has given order to stop payment etc.

Here, Amount = Rs = $ = £ = € = ₹ = Af = ৳ = Nu = Rf = රු = 

Example

Extracted data is given by SB Traders:

Sep 5, Cheque received from Maya Rs 3,700.

Sep 12, Cheque received from Maya dishonoured.

Required: Show in cash book

SOLUTION    

Double Column Cash Book (Cash and Bank)

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ACCOUNTING EQUATION http://tiny.cc/c89jkz

BASIC JOURNAL ENTRIES IN NEPALI http://tiny.cc/uaakkz

BASIC JOURNAL ENTRIES http://tiny.cc/8aakkz

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SUBSIDIARY BOOK http://tiny.cc/399jkz

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TRIAL BALANCE & ADJUSTED TRIAL BALANCE http://tiny.cc/c59jkz

BANK RECONCILIATION STATEMENT (BRS) http://tiny.cc/q59jkz

DEPRECIATION http://tiny.cc/ugakkz

FINAL ACCOUNT: CLASS 11 http://tiny.cc/y89jkz

ADJUSTMENT IN FINAL ACCOUNT http://tiny.cc/keakkz

CAPITAL AND REVENUE http://tiny.cc/peakkz

SINGLE ENTRY SYSTEM http://tiny.cc/n19jkz

NON-PROFIT ORGANIZATION (NON-TRADING CONCERN http://tiny.cc/j09jkz

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GOSWARA VOUCHER (JOURNAL VOUCHER) http://tiny.cc/hcakkz

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