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Negative cash payment can be ignored.

MANNU (Senior Article Assistant) (49 Points)

22 February 2014

negative cash payment can be ignored.

If Company is having any other branch at any centre such balance can be utilised

in transfering the balance to avoid negative balance in cash

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Manoj Mehta (Head Of Department (Accounts & Finance)) (1479 Points)
Replied 03 March 2014

Originally posted by : MANNU

negative cash payment can be ignored.

If Company is having any other branch at any centre such balance can be utilised

in transfering the balance to avoid negative balance in cash

Dear mannu

Your Question is not Clear...

But i must tell you that. While auditing you should ask reasons for the negative balnces of cash. Also if the company is having multiple brances then the entries should be posted in Branch accounting manner for cash and bank. Negative Cash Balance should never be shown in books of A/c..