Ignoring GST, what is the correct accounting entry that would need to be made for a customer's cheque for $2800 that has been dishonoured?

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When a customer's cheque is dishonored, it means the payment is not received. Hence, it needs to be reversed in the books of accounts. The correct accounting entry for this would be to debit Accounts receivable account for $2800 (as the customer failed to make the payment) and credit Bank account for $2800 (since the payment was not received). Hence, Option B is the correct choice. Option A is incorrect as it shows an incorrect debit to the Bank account. Option C is incorrect as it mentions Accounts payable account which is not applicable in this scenario. Option D is incorrect as it does not represent the correct transaction.

Ignoring GST, What Is the Correct Accounting Entry That Would