FINAL ACCCOUTNS OF BANKING COMPANIES
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 66 rapid-fire Q&A cards.
Under which Act are banking companies required to prepare their final accounts?
Banking companies are required to prepare their final accounts under the Banking Regulation Act, 1949, along with the Companies Act, 2013.
What is the primary legislation governing the preparation of final accounts by banking companies in India?
Banking Regulation Act 1949 along with Companies Act provisions.
What is the prescribed format for the Balance Sheet of a banking company in India?
The Balance Sheet of a banking company must be prepared in Form A as prescribed under the Third Schedule of the Banking Regulation Act, 1949.
Which schedule of the Banking Regulation Act contains the prescribed format for bank balance sheets?
Third Schedule of the Banking Regulation Act 1949.
What is the prescribed format for the Profit and Loss Account of a banking company?
The Profit and Loss Account of a banking company must be prepared in Form B as prescribed under the Third Schedule of the Banking Regulation Act, 1949.
What is the minimum percentage of net profits that Indian commercial banks must transfer to Statutory Reserve each year?
At least 25% of net profit each year.
What are the main heads under liabilities in the Balance Sheet of a banking company?
The main liability heads are: Capital, Reserves and Surplus, Deposits, Borrowings, Other Liabilities and Provisions.
What does Schedule 3 of a bank's Balance Sheet represent?
Borrowings from RBI, other banks, and financial institutions.
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