What kind of effect are seen in

which accounts of Bank Cash

Book while clearing excess

expenditure rather than

advance amount?

The bank's cash account is an essential accounting document of the government sector. This will be consistently organized by following the guidelines of the double-entry accounting method. The result of one financial transaction is already on the debit portion of one account as well as on the credit portion another's.

Whether the expenditure is greater than the value of the interest charge, the company will pay the additional amount of the spending.

Whenever the expenditure meets the value of the deferred charge, the payment will impact the credit portion of the loan account, the planned expense account as well as the credit side of that same bank account.