Pdc check entries

Dear members

 

1- PDC check received from customer and submitted into bank and discounting PDC before maturity

 

What entries

 

Replies (2)

You can do it in 2 ways - open check discounted a/c  & entries as follows

Bank a/c Dr 

To Check Discounted a/c Cr

On realisation

Check Discounted a/c Dr

S Drs (name of the party) Cr.

If you straightway give credit to party u may hv to face hurdles.

!) Giving Balance confirmation evenbefore his checks realised may not be a true picture.

2) If the checks were bounced if customer reacts on the above leads to unnecessary explanations to be given.

To Check Discounted a/c Cr

under which account we creat check discounted 

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