To enter NSF cheques when deposit slips are used (receipts are recorded to a separate undeposited amounts account before entering them in the bank account)-

Question

Quizplus · Accepted Answer

To enter NSF (Non-Sufficient Funds) cheques when deposit slips are used, the best choice is to select the bank account in the receipts journal and enter negative amounts for the appropriate invoice. This will reduce the balance in the bank account and also indicate which invoices were affected by the NSF cheque. It is important to record all transactions accurately and keep track of any discrepancies in the receipts journal. Reversing the original receipt or notifying the customer may not be necessary or appropriate in all cases.

To Enter NSF Cheques When Deposit Slips Are Used (Receipts