What is meant by the term "cheque not yet presented?"

What will be the effect of interest charged by the bank, if the balance is an overdraft?

From the following information, prepare bank reconciliation statement as on 31^st December, 2017 to find out the balance as per bank statement.

	Particulars	Rs
(i)	Overdraft as per cash book	10,000
(ii)	Cheques deposited but not yet credited	5,000
(iii)	Cheque issued but not yet presented for payment	1,000
(iv)	Payment received from the customer directly by the bank	500
(v)	Interest on overdraft debited by bank	1,000
(vi)	Amount wrongly debited by bank	300

Prepare bank reconciliation statement as on 31^st December 2017 from the following information:
(a) Balance as per bank statement (pass book) is Rs.25,000.
(b) No record has been made in the cash book for a dishonour of a cheque for Rs.250.
(c) Cheques deposited into bank amounting to Rs.3,500 were not yet collected.
(d) Bank charges of Rs.300 have not been entered in the cash book.
(e) Cheques issued amounting to Rs.9,000 have not been presented for payment.

In the following illustration, what will be the cash book balance, if the balance as per bank statement is favourable?

	Particulars	Amount Rs
(i)	Overdraft balance as per bank statement	6500
(ii)	Cheque deposited into the bank but not yet credited	10,500
(iii)	Cheques issued, but not yet presented for payment	3,000
(iv)	Wrong debit by the bank	500
(v)	Interest and bank charges debited by bank	180
(vi)	Insurance premium on goods directly paid by the bank as per standing instructions	10