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Former Member

How to deal with Cash Deposited/Withdrawn from Bank

Gurus,

How to deal with Cash Deposited/Withdrawn from Bank for office use.

<b>Here is the senario:</b>

When Cash is deposited in Bank the entry is

Bank Main A/c Dr

To Cash A/c

and when Withdrawn from Bank the entry was

Cash A/c Dr

To Bank Main Account

Now my question is, How we will deal with these transactions while creating Bank Reconcilation Statement. As per my knowledge.

Bank Main Account Balance = Sum of all Bank Clearing Accounts.

If the difference occurs with cheques we deposit it or make note of issue while BRS, which effect the Clearing Accounts, But, How about Cash Deposit and Cash Withdrawn, coz these won't effect any of the Clearing Accounts.

How do deal with this.

please advice.

Satish

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4 Answers

  • Best Answer
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    Former Member
    Aug 17, 2007 at 12:00 PM

    Hi Satish,

    Through FBCJ transaction you can do the cash receipt / cash payment to Bank (Bank clearing Account). By using the Business transaction "Receipt from Bank" and "Payment to Bank".

    Hence bank posting will happen in the Bank clearing account. As soon as BRS is done, it will hit the Bank Main account.

    Hope it is clear for you. If my reply is useful than please assign points for the same.

    Thanks & best regards,

    nms

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    Former Member
    Aug 17, 2007 at 01:12 PM

    In case the transactions are Cash based only, then Cash Journal is a good tool to use as it gives all the incoming/outgoing options in a single screen. Also the cash can be tractked easily with its use. The config for Cash journal is also very basic.

    In case you are using manual bank reconcl for this.. u might not use any clearing account as all is cash andd there has to be no step for clearing there.... u can directly post f-02 with cash a/c and office work a/c.

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    Former Member
    Aug 17, 2007 at 01:05 PM

    In the Cash Journal Entry (FBCJ), Use the transaction types for cash deposit and cash withdrawal through bank.You can define the trsanction types for the same. In your bank account configuration, also define accounts for cash transactions just as you define accounts for clearing payments and reciepts.

    Assign points if this is useful

    Regards

    Sanil Bhandari

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    Former Member
    Aug 17, 2007 at 01:52 PM

    Thanks Every one. Points assigned accordingly.

    Satish

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