Hello friends, let's move ahead again and learn new things,
and the question is one more on your computer screen.
Steps, I would like all the students to revise the steps of
BRS once, because now it is not going to be theoretical,
everything is happening practically.
From the last example, we have adopted this trend that we
are doing everything practically.
We are doing it totally practically with the help of those
steps that when you join an organization, you will have to
do BRS there.
Or you will have to do BRS in running business, so how will
you do it, you are doing it from there.
A question is presented on the computer screen, let's start
reading it once with all the lovely children.
On December 30, 2019, the bank column of A. Phillips Cash
Book showed a debit balance of Rs. 4,610.
Oh my God, there is a debit balance of Rs. 4,610 in the
cash book of A. Phillips.
On examination of the cash book and bank statement, you
find that there is a debit balance of Rs. 4,610 in the cash
book.
And some things have been told to you, let's do it one by
one.
Cheques amounting to Rs. 6,30,000 which were issued to
trade payables and entered in the cash book before December
30, 2019 were not presented for payment until that date.
Issue a cheque for Rs.
6,30,000, so what will we do by issuing a cheque? Will we
minus Rs.
6,30,000 from the cash book?
Yes, entered in the cash book, that is, we minus Rs.
6,30,000 from the cash book before December 30, 2019, were
not presented for payment until that date.
It has not reached the bank yet, so there is no entry in
the passbook yet.
I have some issues, friends, I would like you to adjust a
little and go.
What happens is that there is no problem in normal days,
but as soon as I start recording, due to lighting or camera
issues, I have an issue of itching here.
I am taking medicines for this, you will get it right in
the coming videos, you need a little cooperation till then.
On examination of the cash book and bank statement, you
find that the cheque amounting to Rs. 2,50,000 had been
recorded in the cash book as having been paid into the bank.
We deposited the cheque in a bank of Rs. 2.5 lakhs.
Paid into the bank means deposit, and what will we do by
depositing the cheque?
We will add Rs. 2.5 lakhs to the cash book on December 30,
2019.
But were entered in the bank statement on January 1, 2020.
And the bank statement was added to the passbook on January
1.
And we are doing BRS on December 30, so on December 30, the
position will be that it has been added to the cash book,
but there will be no entry in the passbook.
Third point, a cheque amounting to Rs. 73,000 had been
dishonored prior to December 30, 2019, but no record of
this fact appeared in the cash book.
We deposited a cheque amounting to Rs. 73,000 in the bank,
but it was dishonored.
We deposited the cheque amounting to Rs. 73,000 in the
bank, but it was dishonored.
But no record of this fact appeared in the cash book.
A dividend of Rs. 380,000 paid directly to the bank had not
been recorded in the cash book.
A dividend of Rs. 380,000 has not been recorded in the cash
book, but has been added to the passbook.
The bank has deducted interest and charges of Rs. 4,200
from the passbook and has not yet entered the cash book.
No entry has been made in the cash book for a trade
subscription of Rs. 10,000 paid.
White bankers order in November 2019.
We bought something of Rs. 10,000 and we have not yet
entered it in the cash book.
We have made an online payment and have deducted money from
the account.
A cheque amounting to Rs. 27,000 was drawn by B.Philip.
Who are you? You are A.Philip.
A cheque amounting to Rs. 27,000 was issued by B.Philip to
his creditor.
Had been charged to A.Philip's bank account by mistake in
December 2019.
Let me explain this to you.
This is the bank.
There are two people's accounts in this bank.
One's name is A.Philip and the other's name is B.Philip.
B.Philip issued a cheque to his creditor.
When B.Philip will issue a cheque to his creditor, what
will B.Philip do?
He will deduct from his cash book.
What will the bank do?
They will deduct from B.Philip's cash book when B.Philip's
creditor will come to the bank.
They will deduct this amount from B.Philip's cash book.
But look at the mistake of the bank.
The bank has not deducted this money from B.Philip's cash
book.
The bank has deducted this money from A.Philip's cash book.
A.Philip is saying that you are in trouble with the bank.
You are deducting money from someone else's cheque for my
sake.
We will see how this mistake was found out.
For now, remember that this is a mistake.
The bank deducted money from A.Philip's account.
Did A.Philip enter this money in his cash book?
Not at all.
A.Philip's creditor has not entered this money in his cash
book.
If we talk about this mistake, then the scenario is that
there is no entry in the cash book.
But the bank has deducted money from A.Philip's cash book.
And there is no entry in A.Philip's cash book.
Okay, my dear friends.
Let's move ahead.
Now I will show you how this cash book has reached here.
Now friends, come back to the question.
There is a debit balance in the cash book.
A.Philip's money has been deposited in the bank.
4,610 rupees.
How did this 4,610 balance come?
How did this positive 4,610 balance come?
I am writing positive.
Without any mark, it is positive.
Yes, sir.
How did this come?
There will be a balance in the beginning which we take as X.
Yes, yes.
If we are doing monthly, then there will be a balance in
the beginning of the month.
If we are doing BRS on 30th December, then there will be a
balance in the beginning of the month.
Yes, sir.
Then what will happen?
This is the first point.
Cheques amounting to 6,30,000 which were issued to trade
people and entered in cash book.
We issued a cheque of 6,30,000.
So we must have deducted 6,30,000 from here.
Yes, sir.
I assumed the opening balance of our cash book to be X.
Then I deducted 630 from it.
I deducted 630 from it because this is the first point.
Yes, sir.
I deducted 630 from it.
Thereafter, there is a cheque amounting to 2,50,000 which
we deposited in the bank.
Having been paid into the bank.
So we must have added this in that balance.
Yes, sir.
We must have added 2,50,000 in receipt entry.
Minus means we must have added 6,30,000 in payment entry.
Plus means we must have added 2,50,000 in receipt voucher.
Yes, sir.
Third point.
A cheque for 73,000 had been dishonoured prior to 30th
December, 2019.
But no record of this fact appeared in the cash book.
There was a cheque for 73,000.
We deposited it in the bank.
What would we have done after depositing?
We would have added it in receipt voucher.
But it has been dishonoured.
It has not been added in the passbook today or ever.
We will have to remove it.
But not now.
Right now, we are reaching 4,610.
So we must have added it to reach 4,610.
We will remove it when we get to know.
Okay, sir.
Fourth point.
3,80,000 paid direct to the bank had not been recorded in
cash book.
Okay.
So we have not made any entry in its cash book.
Okay.
We have not made any entry in the cash book of bank
interest charges.
No entry had been made in the cash book for trade
subscription.
We have not made any entry for this too.
And the 27,000 mistake that the bank has made.
We must have made a mistake in our cash book for this too.
We must have not made any entry for this too.
Okay.
Can you tell me how much my X will be?
What all do you remember after listening to X?
What should I do? 4,610.
All this will be plus here.
630 and 2.5 and 73 will be minus.
Plus 630.
Minus 2,50,000.
Minus 73,000.
X is coming.
3,11,610.
Means the opening balance would have been 3,11,610.
3,11,610.
After that, these entries would have been put.
3 and 4,610.
The cash book is standing in the debit balance.
Should I show you?
I will show you.
Come to teleprime.
I have already prepared all this for you.
I have already prepared all this.
Look at this, friend.
I will come to A flip.
I will open the balance sheet of A flip.
Look here.
The balance is coming in my bank account.
4,610.
The balance is coming in my bank account.
4,610.
How did this come?
You are starting from here in some business.
You are sitting in some business and starting from here.
You are doing PRS.
And you saw how much is the bank balance in my cash book.
4,610.
You entered inside and opened.
And saw how this 4,610 came.
So you got to know that it started from 3,11,610 3,11,610
And then 6,30,000 minus credit entry
To issue the cheque
And 2.5,73,000 cheque deposit entry
After that this balance is coming 4,610
See what I have written in my equation
What I have written in my equation is exactly the same
This is exactly the same
X i.e.
3,11,610 minus 6,30,000 plus 2.5,73,000
This is what is coming 4,610
The question is made from the tally, not from the question,
keep in mind
You put the capital of 3,11,610 in the beginning of the
business
Which is your opening balance
Then you issued the cheque of 6,30,000 in the cash book
And 2.5,73,000 cheque deposit entry
And now you are standing in the position of 4,610
This is what your question has written in the first three
points
This is what your question has written
The question is made from the tally
The situation is made from the tally
Okay sir, okay, okay, okay
So come on my dear friends
Now we discuss the next
Now we come to our steps
Now come to our steps
So how I have already set the data in the tally
I have shown you this
Okay Now let's go to the steps
What happens many times
We have to check the data of the tally
How did we reach 4,610
Which bills are there, which are there
We have to see that too
Sometimes we have to check our cash book before doing BRS
So you should know that too practically
Okay sir
These are our steps
Our first step
Some entries would have already been made in your cash book
Yes, absolutely right
Some entries have already been made in our cash book
Number 2
Download passbook
Now it's time to download the passbook
Let's download the passbook
Passbook download
Gili gili shoo gili gili shoo
Passbook download
Gili gili shoo gili gili shoo
Passbook has been downloaded
Sir, will we do practically gili gili shoo?
No, no, you know very well
Go to the site and log in
Whatever bank it is, download it from there
So sir, show it with your magic
Show it with magic 1 2 3 See this
Passbook has come
Gili gili shoo can also come
Every time it doesn't come from the login ID
Remember Okay Passbook downloaded
Our second step is over
We have downloaded the passbook
What is our third step?
Our third step
Hey mouse, what happened to you?
Mouse is angry with me
Mouse is saying that you use the same pen as a mouse by
using the writing pad
I won't go
I said okay, I will use the pen
Go No.
Match entries in cashbook and passbook
And look for the entries pending to be passed in the
cashbook
The third step says
Look at which entries are happening in the passbook
And which are not happening in the cashbook
The third point is not saying
The entry that is happening in the passbook is not
happening in the cashbook
Do them
That thing says the fourth step
The third step is just saying
Look Just look and see
Which are the entries
Which are happening in the passbook
But are not happening in the cashbook
Just look
Don't put them in the cashbook
It will tell you the fourth step
Okay, let's take a look
Let's take a look at the passbook
And I showed you the cashbook a while ago
Otherwise, I will show you one more time
All dear children, click a photo with you on your mobile
Take this
I will show you the cashbook one more time
First This is the limit
OBS software
Absolutely It's the limit
Believe me
Why do you do this?
Take this
Look at this
What are the entries happening with us
Let's open the default display in the default daybook
All dear children click a photo of it once
I also click it
I will also have to change the screen again and again
This will tell us which entry is in the passbook
But not in the cashbook
I also click it once
Camera is also angry with me
Why is the blur coming so much
Today it seems that the day is angry
Everyone is angry
My goodness
Let's go
So we have seen
What are the entries here
630 311 610 250,000 And 73
Now let's see if there are entries in the passbook
Match with the passbook
Start with the passbook
Don't match with the passbook
Pick it up from the passbook and see if it is in the
cashbook
There is a difference between these two things
Start picking up from the passbook 311,610 Where there is
311,610 in your photo
Entry is done
Entry of 311,610 is done
No problem
Okay sir
Keep in mind that it is in the receipt voucher
The bank has credited 311,610 in the passbook
What does this mean
The bank has put money in your account
So you have to do this entry in the receipt voucher
You should be in the entry receipt voucher
Yes sir, it is in the receipt voucher
After that 3,80,000
There is no entry of 3,80,000 in the dividend
There is no entry
Mark it
How to mark
Let's make it red
Okay sir
We have made it red
The PDF that you will download
Bank statement
Convert it into word
Make it red
Or you can also edit the PDF
Mark it in that
What is the problem
Okay sir
After that 4,200 rupees bank charges
There is no entry of this too
Mark it red too
Look for means
Now you just have to see
Which entries are happening in the passbook
But not happening in the cashbook
Trade subscription 10,000
Is there an entry of this
There is no entry of this too
In the cashbook
My God
Mark it red too
Entry of 27,000
We can't even see this
My God
Mark this too
So only one entry is happening in the cashbook
And in the passbook
All other entries
Which are in the passbook
Are not happening in the cashbook
Only one entry is happening in the cashbook
Only 3,11,610
Which is also present in the passbook
We have looked for
We have completed the third step
Our fourth step
Pass the entries selected in step 3
The entries which we have marked red in step 3
Pass them
To fully update your cashbook
In your cashbook
Accept those entries
Erroneously made by a bank in the passbook
He is saying
All entries which are marked red in the passbook
Pass them in the cashbook
But If there is any wrong entry in the passbook
Don't pass that
Now how will we know this sir
How will we know this
Now we will go through the bank one by one
We will ask the bank
What is 380
The bank said the dividend came
Then we will see
That yes, our company
From whose share we have bought
So much dividend had to come
Confirmed So we will pass
So we will pass
Okay Now come to teleprime
And pass the entry of 380 dividend received
Come to teleprime
Pass the entry of 380 dividend received
V for Voucher
F6 Received Voucher
Credit Alt C
Dividend D I V I D E N D Dividend
Under Indirect Income
Control A 3,80,000 rupees 3,80,000 Debit ICICI Bank
3,80,000 Control A
Save Control A
Save Now what we will do
Now what we will do
Now we will come here
Back in the passbook
We will come back in the passbook
And for once
Make it black here again
Come on, make the red one black
This entry has come there too
Okay 4,200 rupees
We are asking the bank
What is this 4,200 rupees
The bank is saying
Interest and charges have been deducted
We said okay
Let's do its entry in the cash book
Come on
Do its entry in the cash book
Come to teleprime
Do the entry of bank charges of 4,200 rupees
It will be in the payment voucher
Remember Yes, sir
It will be in the payment voucher
F5 payment voucher
Debit will be there
Instead of payment
Bank charges
Under indirect expenses
Control A
How much is it? 4,200 rupees
Credit Your bank account
Save it by pressing Control A
Credit the bank account
And put the amount 4,200 And save it by pressing Control A
Okay, sir
Okay, no problem
After that
Let's go to the passbook
Mark it in the passbook
Make it black too
Here it is
Okay, sir
Trade subscription 10,000 We asked the bank
What is the withdrawal of 10,000
It has been deducted from our passbook
The bank is saying
Did you buy anything?
Did you take any subscription?
Did you take any subscription plan?
That is 10,000 rupees
We have not deducted in any free fund
We said okay
I remembered
Yes, we took
Let's do its entry
So we will come to teleprime
We will put the entry of a payment
Direct
Write in the name
Trade subscription
Your indirect expense will be made
Press Control A
It is of 10,000 rupees 10,000 rupees
Credit ICICI Bank
Save it by pressing Control A
If you want to write a narration
Your faith
If you want to write a narration
Your faith
Come to the passbook
And make it black
Here Make it black
Yes sir, we made it black
Okay Now we asked this 27,000 from the bank
We asked the bank
What is the weight of 27,000
The bank said
One cheque was cleared
You issued a cheque
The same mistake
Which the bank has done
What mistake did the bank make?
Now we will know how this mistake happened.
We asked the bank for 27000.
The bank said that you issued a cheque.
Your creditor came and we gave him 27000.
We asked which creditor did we give 27000?
All our creditors were clear.
We did not give the cheque of 27000.
How will anyone know?
We have a cheque book.
We keep a record of how many cheques we issued.
And to whom we issued the cheque.
We have a complete record.
Whenever you issue a cheque in teleprime, there is an
option of cheque number.
We have not seen that yet.
But there is an option of cheque number.
You can put the cheque number there.
Who issued how much cheque.
You have a complete summary of the cheque.
You looked at the summary and found that there is no entry
of 27000.
In teleprime, there is a complete summary of who issued how
much cheque and how much number.
You saw that there was no cheque of 27000.
You asked the bank for the cheque of 27000.
We did not issue any cheque of 27000.
Then the bank found out.
This is wrong.
This was a cheque of B. Philip.
We cut it from your account.
Sorry.
Will you do this entry in the cash book?
No.
You will not do this entry in the cash book.
So the point that was written in the question came out from
here.
That is why I am continuously saying that questions are
made from telly and passbook.
Questions are not made from telly and passbook.
Okay sir.
So now this 27000 will be of red mark.
Its entry will be in the passbook.
We don't have to do anything.
Its entry will be in the passbook.
Okay.
Because what did our step say?
What did our step number 4 say?
Pass all the entries which are in the passbook and not in
the cash book.
But Accept those erroneously made by the bank in the
passbook.
Leave those which the bank has entered in the passbook by
mistake.
Leave those.
Okay sir.
Next Go for reconciliation in telly prime.
Now let's do reconciliation in telly prime.
Now come and start the reconciliation in telly prime.
Now start the reconciliation in telly prime.
N for banking.
B for bank reconciliation.
ICICI bank.
What is the meaning of reconciliation?
The entry which is in the passbook and also here.
Put a date on it and clear it.
311610 Yes, it is happening.
That entry is in the passbook.
There is no entry of 630000 in the passbook.
There is no entry of 250000 in the passbook.
There is no entry of 730000.
There is 380000.
Even we have done that by looking at the passbook.
We have done 4200 by looking at the passbook
We have done 10,000 by looking at the passbook
So you save this for now
And open it again
So you would find that we have completed our 5th step
Come back to the steps
We have completed the 5th step
Go for bank reconciliation in teleprime
We went to teleprime for bank reconciliation
And reconcile the entries which are present both in
cashbook and passbook
We have also done the 6th step
The 5th step is to start the reconciliation
And the 6th step is to reconcile the entries and clear the
finish
Which are present both in cashbook and passbook
For this, what do we do?
We keep our reconciliation sheet open
And see that this amount was in the passbook
Put a date and clear it
This amount was in the passbook, put a date and clear it
If it was not there, don't put a date, move ahead 7th step
Now only those items will be pending for reconciliation
Which are pending on bank's behalf or errors in cashbook
Now only those entries are pending for reconciliation
Which are either pending on bank's behalf or errors in
cashbook
Only those are pending
Let's see in teleprime which entries are pending for
reconciliation
Which are not reconciled yet 6,30,000, why it is not there?
It is pending on bank's behalf
The cheque has been issued but not cleared 2,50,000, cheque
has been deposited but not cleared
It is pending on bank's behalf 73,000, cheque has been
deposited but not cleared
This is also pending on bank's behalf
This is also pending on bank's behalf 73,000, okay
Till now we thought that all these are pending on bank's
behalf
Okay So there is nothing to worry
Because see this cheque of 73,000
We are assuming that this cheque came
We deposited it in the bank and it should be cleared in the
bank
So from our angle, these three entries are pending on
bank's behalf
And we move ahead to our next step
We move ahead to our next step
What does our next step say?
Our next step says
Send the RICO sheet to bank
Now we have sent this RICO sheet to the bank
And bank people saw that
They are showing 6,30,000, okay
This cheque has been issued, it is pending on clearing
Okay, the creditor has not come yet
Either it will be pending on clearing or the creditor has
not come to us yet
This deposit of 2,50,000, okay
This has been deposited, it is pending on clearing
It will be N-cash
Now they are saying that the entry of 73,000 has been
dishonored
Why have they kept this entry in their cash book?
Bank people are saying that
This entry of 73,000 has been dishonored
Why have they kept this entry here?
Now bank people inform you
Let's see what is written in the next step
Bank will inform about queries in RICO sheet
Example, dishonor
If there is any dishonor or any repetition entry
You have put twice
Now bank will inform about it
And correct queries in cash book
Now you correct the queries in your cash book
Did the bank inform you?
Did the bank tell you, dear accountant
This entry of 73,000 is wrong
This has been dishonored
This cheque will never be plus in our passbook
This cheque has been dishonored
Remove it from your cash book
Otherwise, it will never be reconciled
Sir, if the next cheque is made
Then it will be reconciled in the name of the next cheque
This cheque has been spoiled
This has been dishonored
End of the matter
Okay, so what we will do
We will delete this entry
Escape and come out
Either we can reverse or delete
You delete
Come to D4 display, D4 daybook
Find the entry of 73,000
Come to this
D4 display, D4 daybook
Come to the entry of 73,000
And press D with ALT
Press D with ALT and press YS
And you would find that it ends with you
It is gone
Now go to reconciliation
N for banking, B for reconciliation
See this
Now we have corrected the query
Now we have corrected the query completely
We have corrected the query in our cash book
The shortcoming was erased
Okay So what is the line written here?
Now Rico sheet will only have reconciliation item pending
on behalf of bank
We On the 7th step
We were thinking that now in our Rico sheet
Only those items are pending
Which is pending on behalf of the bank
But when we sent Rico sheet to the bank
Then we found out that there were some mistakes in our cash
book
When we fixed them
Then finally we found out
That now our cash book is completely fine
Now whatever item remains is pending on behalf of the bank
Okay Now after some time that entry will be passed in the
bank
After some time that entry will be passed in the bank
Then we will pass our Rico
Let's come to Rico sheet and see which entries remain 630
and 250,000 630 A cheque has been issued
That money will be deducted from our account
Okay sir
And 250,000 rupees
What to do with 250,000 rupees?
We have to be receipt of 250,000 rupees
Okay After some time that entry will be seen in the passbook
Let's see
Passbook When some time will pass
What will happen in the passbook?
First the bank will rectify this mistake
First the bank will rectify the mistake of 27,000
They will reverse it and make it disappear from here
They will reverse it and make it set off
I made it disappear
Okay sir
And what will happen?
And this entry must have come there 630,000 rupees cheque
will be cleared and payment will be done from our account
After some time
Cheque cleared
Money will be withdrawn from our account 630,000 And one
cheque will be encashed and money will come in our account
Which one is it?
250,000 rupees
After doing so much work
Now see how much balance will come in your passbook
Pick up the calculator
And start from 311610
Plus the credit of 380
And minus 4200 10,000 630,000 And 250,000 250,000
250,000
Friends, there is a correction
Wait, wait, wait
This is wrong 250,000 will come in the deposit
Cheque will be encashed and money will come
Let's do it again 311610 Plus 380
Plus 250,000
Minus 4200
Minus 10,000
Minus 630,000 297,410 Positive means
Credit balance 297,410 Credit balance 297,410 Credit balance
This balance should come in my cashbook
My cashbook should be tallied
Let's see the cashbook
This is 297,410
Try DAC
This is 297,410
Both books have reached the final updated balance
Cashbook and Passbook
Both books have reached the final updated balance
297,410 has stopped at one place
Okay Okay We are following the steps this time
If you follow those steps, there is no problem in
reconciliation
Those steps are invaluable for you
Write it down
Take a photo
Mail it
Keep it as you want
But according to me
You should keep it carefully
Not only for today
Forever My dear friends
If you follow those steps in any organization
There will be no problem
Okay And what I tell you in between
We will inform the bank
Will tell about the reco sheet
You go and find out
What is their status
Going to the bank
Okay, there is nothing like that
You will mail the bank
They will check and reply
we will send it to the person and we will find out how the
entries are most often what we do is we wait for the next
bank statement and in that we get to know that first of
all, there is no error, as we see in our questions this
error will be very less, in very rare cases, that the bank
has made a mistake that someone else's cheque has been
deducted from your account this will be very rare, first of
all second thing, all type of errors are basically that
cheque is in clearing or cheque has been
that cheque has not been presented for payment yet so we
wait for the next month, and in the next month it comes in
clearance if there is a dishonor, then it comes in the next
month's bank statement we see that there is a dishonor, or
we get the information so we return the dishonor entry in
our cash book somehow we get the news, we don't need to go
to the bank
I say this to make you understand that we informed the bank
ok sir, ok