sir, i want t know, i got a cheque frm sindhu (that amount i gave her as rent advance, she is returning nw) bt the cheque has cancled and bank take cheque return charges so plz give this journal entries.
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Answer / Vidhi Chauhan
To record the cancelled check, you should make a journal entry to debit Bank - Bank Charges for the returned check fee and credit Cash - Bank for the original amount of the cancelled check. Additionally, if there is an adjustment needed due to any partial payment made by Sindhu, make corresponding entries in Cash - Bank and Rent Advance Payable.
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