Bank Reconciliation Statement
Chapter notes, video classes, MCQ practice tests and quick-revision one-liners for Accounting and Financial Management for Bankers — JAIIB.
One-liners from this chapter
Free sample — 8 of 101 rapid-fire Q&A cards.
What is a Bank Reconciliation Statement (BRS)?
Schedule explaining gaps between Cash Book and Pass Book balances by listing reconciling items.
Is BRS preparation statutorily compulsory?
No, not legally mandatory, but essential internal control practice in well-run organisations.
Why does Cash Book balance differ from Pass Book on a given date?
Timing differences, direct bank entries, errors, and dishonoured cheques create gaps.
What happens when a cheque is issued but not yet presented?
Cash Book credited immediately; Pass Book debited later at presentation. Pass Book balance temporarily higher.
What happens when a cheque is deposited but not yet collected?
Cash Book debited on deposit; Pass Book credited after clearing (T+1/T+2). Pass Book balance temporarily lower.
Give three examples of direct debits by the bank.
Bank charges, overdraft interest, standing-instruction payments (insurance/EMI/utility bills).
Give three examples of direct credits by the bank.
Customer NEFT/RTGS deposits, dividend/interest collections, fixed-deposit interest auto-credit.
What is the impact of a dishonoured deposited cheque on Pass Book?
Bank reverses credit and deducts cheque-return charges (₹150–₹500 plus GST).
Video classes for this chapter
MCQ practice tests
Chapter-wise mock tests with instant scoring.
PDF study notes
More chapters in Module A - Accounting Principles and Processes
Master the full AFM syllabus
Every chapter of Accounting and Financial Management for Bankers — videos, tests, notes and one-liner decks in one place.