Prepared by – Manoj Sir (9818606913)

Cash/Bank Book
TALLY PRIME
What is Cash / Bank Book?

In business firms there will be many transactions relating to cash. To record cash transaction,
separate book is kept which is called Cashbook. The function of cashbook is to keep records of all cash
transactions. All cash transactions are directly recorded in cashbook without passing through other
subsidiary books. Cashbook takes the place of cash account that is it is not necessary to open separate
cash account in the ledger after keeping record in the cashbook.

A cashbook with discounts and bank Column is triple column cashbook. Three accounts are combined. In
business firm most of the payment are received and paid by cheque. Transactions are preformed
through bank. When business firm makes payment its creditor by Cheque then such payment is entered
on credit side in bank column.

✓ Step for Create Voucher Entry in Tally Prime

Create New Company→ Gateway of Tally → Ledger → Create or Create Short-cut while Entry
In Voucher
Create all ledger related to entry without amount (If Ledger create).
Note →
 Cash Ledger is already exist , Insert amount if given using Page Up/Down keys or pass
Amount in Alter.
 Cash amount or bank overdraft and bank balance - amount fill in ledger entry, which is
single entry Ledger (Opening Balance)
 After Create Ledger Goto Gateway Of Tally → Accounting voucher - (F2) Voucher Date
Press F4 /F5 or F6 (According to Voucher Entry) – For short Ledger create in voucher Press
(Alt+C) and create short-cut ledger no need for create duplicate ledger again.

✓ If Some Voucher Entry is wrong or wrong amount fill or Delete Voucher.

Day book →click on Voucher and press enter to modify entry if Want to delete Press
(Alt+D) for Delete voucher

✓ If Dr/Cr not shown in voucher entry then Press

 Press Ctrl + H (Change Mode View)

o Single Entry
o Double Entry

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Prepared by – Manoj Sir (9818606913)

Example
Prepare Cash Book of the following transaction.

2020 Rs 2020 Rs
Apr 1 Rashid started business with cash 8,000 Apr 2 Sold good for cash 1,500
Apr 1 Bought good by cash 5,000 Apr 2 Paid for stationery 15
Apr 1 Received cash from Sachin. 360 Apr 2 Paid for office furniture 185
Apr 1 Paid into Bank 3,000 Apr 2 Received cash from Mr. 680
Karan
Apr 1 Paid cash to Shivam 215 Apr 2 Paid for advertisement 90
Apr 1 Sold good for cash 100 Apr 2 Paid rent 100
Apr 1 Purchase postage stamps 8 Apr 2 Paid electric charges 15
(Cash book →Rs 2,012)

Q-1 Prepare Cash Book of the following transaction.

Rs.
Balance of cash in hand 1, 10,500
Bank Balance 95,000
Purchase good by cash 32000
Received commission 6500
Paid to veer on account 7,150
Sold good for cash 10,000
Paid Office rent 6000
Paid commission 550

(Cash book →Rs.81, 300,Bank Balance 95000)

Sol:

(L) → Cash - cash in hand - 110500

(L) → Bank - Bank A/c - 95000

(F5) → Purchase Dr. 32000

Cash Cr. 32000
Purchase → Purchase A/c
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Prepared by – Manoj Sir (9818606913)

(F6) → Cash Dr. 6500

Commission Rec Cr. 6500
Commission Rec → Indirect Income
(F5) → Veer Dr. 7150
Cash Cr. 7150
Veer → Sundry Creditor

(F6) → Cash Dr. 10000

Sales Cr. 10000
Sales →Sales A/c

(F5) → Office rent Dr. 6000

Cash Cr. 6000
Office rent → Indirect Expenses.

(F5) → Commission Dr. 550

Cash Cr. 550
Commission → Indirect Expenses.

Q- 2 Prepare Cash Bookand Bank Book of the following transaction

2019 Rs. 2019 Rs.
1-May Cash balance 500 2-May Drawn from bank 500
1-May Bank balance 1,750 2-May Paid office clerk salaries 400
1-May Cash received from sale 5,500 2-May Sold good and bank the same 800
1-May Paid into bank 5,000 2-May Paid rent by cheque 100
1-May Paid Sunil by cheque 1,250 2-May Paid into bank 750
1-May Received cheque from Anu 620 2-May Paid wages in cash 300
and deposit into bank

(Cash Book → 50 / Bank Book → 7,070)

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Prepared by – Manoj Sir (9818606913)

Q-3 Prepare Cash Book and Bank Book of the following transaction

2020 Rs.
April 1 Cash in hand 5,000
April 1 Bank Balance (Cr.) 1,000
April 1 Paid wages 1,500
April 1 Deposited into bank 2,000
April 1 Cash sales 7,500
April 2 Sold good and bank the same 5,000
April 2 Draw cash from bank for personal use 1,000
April 2 Paid to Vikas full settlement 3,500
April 2 Received cash from ram Rs 2,000

(Cash Book → 7,500 / Bank Book → 5,000)

Q- 4 .Prepare Cash Bookand Bank Book of the following transaction.

Date Transaction Rs.
Jan - 1 Cash in hand 300
Jan – 1 Bank overdraft 450
Jan – 1 Paid salaries for march 250
Jan - 1 Purchase good for cash 30
Jan – 1 Cash sales 80
Jan – 1 Issued cheque in favors of Krishna to settlement their account for Rs270 260
Jan - 1 Received cash from Naina& co. discount Rs 15 235
Jan - 2 Received cheque from Janvi Bros in full settlement of their debts of Rs. 200 and
paid the same into ban on the same day 190
Jan – 2 Cash sent to bank 200
Jan – 2 Cheque issue in favour of Mukesh for purchase of furniture 150
Jan – 2 Cheque of Janvi Bros dishonored bank debit in respect of charges 2 Rs Charge
Extra for cheque Dishonored (Bouns)
Jan – 31 Paid rent by cheque 100
Jan – 31 Bank collect interest on Available Balance 150
(Cash Book → 135 / Bank Book → 612)

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Prepared by – Manoj Sir (9818606913)

Q-5 You are required to prepare Cash Book for the following transaction

2020 Rs.
April-1 Balance from the last months 1879.17
April-1 Received cash from Simran 3400
April-1 Purchases a radio set for private use 1000
April-1 Purchases goods for cash 1500
April-1 Cash sales 1860
April-1 Paid salary 150
April-1 received from Nisha 1000
April-1 Paid Nareshchand in full settlement of his account of Rs. 250 225
April-1 Paid for Postage 243.58
April-1 Sent money order to satishchand 150
April-1 Money order commission 2.50
April-2 Krishna paid cash to us (Discount 13.75) 1236.25
April-2 Cash purchase 290
April-2 Paid for general expense 14.50
April-2 Received cash from Anand Prakash 280.60
April-2 Paid for stationary 25
April-2 Paid water rate bill 10.75
April-2 Paid for charity 5
April-2 Purchased a transistor for his son 200

(Cash balance – 5,839.69)

Q-6 Prepare Cash Book and Bank Book of the following transaction

2020 Rs.
June-1 Mahesh Started business with cash and deposit half amount into 40,000
bank account.
June-1 Received cheque from Megha 9000
June-2 Megha cheque deposit into bank
June-2 Withdraw cash by Proprietor. 3,000
June-2 Sold good and received one third amount in cheque and remaining 15,000
as cash
June-2 Paid Audit fees by cheque 5000
June-2 Draw cash from bank for office use 4,000
June-2 Issued cash to Praveen full settlement in 1890 2,000
June-2 Megha Cheque Dishonored by bank (Reason-Signature Mistake)
Bank charges on Megha cheque deposit Rs. 150

(Cash Book →29,110 / Bank Book →15,850)

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Prepared by – Manoj Sir (9818606913)

Q-7 Prepare Cash Book and Bank Book of the following transaction

2020 Rs.
April 1 Vikram Started business with cash 19,00,000
April 1 Vikram open Current A/c in HDFC Bank Using cash from capital 15,00,000
May 2 Paid wages by cheque 30,000
May2 Paid salary by Cheque 26,000
May 2 Paid Electric bill by cheque 19,000
May 2 Pay by cheque into ABC Charity 10,000
June-1 Vikram close HDFC Bank A/c and transfer all amount in Yes Bank
July-1 Paid to Vimal by cheque 8,000
July-1 Received Commission from Mahi 900
July-1 Paid to Nisha by NEFT 1560
July-1 Bank charges NEFT to Nisha 5.60
Aug-1 Received interest on Bank Balance. 90.55

(Cash Book →4, 00,900 / Bank Book →14, 05,524.95)

Q-8 Prepare Cash Book and Bank Book of the following transaction

2020 Rs.
April 1 Cash Balance 50,000
April 1 Owner invest capital in Business 2,50,000
April 2 Deposit into HDFC Bank 40,000
April 2 Transfer cash amount into Petty-cash Account 15,000
April 2 Deposit cash into ICICI Bank 25,000
April 2 Paid by HDFC Bank to Vishal 5000
April 2 Paid Printing Rs 200 , Postage Rs 300 and Paper sheet 150 by Petty-
Cash
April 2 Withdraw from ICICI bank and send to Petty-cash Account 1000
April 2 NEFT 2000 RS into HDFC Bank from ICICI Bank Account

Answer -
Cash - 2,35,350 (15350 - Petty) , Bank - 59,000 (ICICI -22000)

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