Balance Sheet Negative Cash
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Or you can also include the amount in accounts payable. The more theoretically correct approach is to segregate the overdrawn amount in its own account, such as overdrawn checks or. Web cash overdraft in balance sheet. A negative cash balance results when the cash account in a company's general ledger has a credit.
In The Balance Sheet, Show The Negative Cash Balance As Cash Overdraft In The Current Liabilities.
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