When a brs is prepared then if cash book has overdraft balance then is it necessary that the pass book - Accountancy - Bank Reconciliation Statement

Question

When a brs is prepared then if cash book has overdraft balance then
is it necessary that the pass book will also have overdraft balance
??

Jayati Jawa · Accepted Answer

Hey

It is not compulsory that if a book has overdraft balance then the
other book will also have an overdraft balance Rather it may be
possible that one book has overdraft balance while the other has
favourable balance

This is determined when reconciliation of both the books is done

When a brs is prepared then if cash book has overdraft balance then is it necessary that the pass book will also have overdraft balance. ....??