8 mark

17. (a) What is suspense account? How do you clear the suspense account? Explain. Or (b) From the following particulars, prepare the bank reconciliation statement of Shri Krishan as on March 31, 2020. (1) Balance as per passbook is Rs.10,000 (11) Bank collected a cheque of Rs.500 on behalf of Shri Krishan but wrongly credited it to Shri Krishan's account. (i) Bank recorded a cash book deposit of Rs.1,589 as Rs.1,598. (iv) Withdrawal column of the passbook under cast by Rs.100. (v) The credit balance of Rs.1,500 as on the pass-book was recorded in the debit balance. (vi) The payment of a cheque of Rs.350 was recorded twice in the passbook. (vii) The pass-book showed a credit balance for a cheque of Rs.1,000 deposited by Shri Kishan