Urgent query

negative balance may be due to wrong classification of bank overdraft as bank account in tally.

Gross Profit percentage over the years are very important.  In case of difference better prepare reasons for the changes.

Ratio of certain expenditure to sales or expenditure to total expenses could also be a good find.

Some times if we issue postdated cheques, then also negative bank balance may appear .

In such case reconciliation statement can be taken from Tally too for refernce.

Agree with both the answers.. If you avail facility Of CC so it may be negative n overdraft also reason for negative cash n bank balances.. As per your 2nd question its up to your accounts r imp..in project finance n all regarding matters your net worth is imp element..or if you wish for loan for promotion of sales then your sales figurs r imp..so its depend upone situations..

Agree with both the answers.. If you avail facility Of CC so it may be negative n overdraft also reason for negative cash n bank balances.. As per your 2nd question its up to your accounts r imp..in project finance n all regarding matters your net worth is imp element..or if you wish for loan for promotion of sales then your sales figurs r imp..so its depend upone situations..