What is an unpresented cheque or check and does it require an adjustment to the balance sheet?

Definition of Unpresented Cheque or Check

An unpresented cheque is a check that a company has written, but the check has not yet been paid by the bank on which it is drawn. An unpresented check is also referred to as an outstanding check or a check that has not yet cleared the bank.

In the bank reconciliation, the unpresented or outstanding check is deducted from the balance per the bank in order to arrive at the adjusted or corrected balance per bank.

Effect of Unpresented Check on Balance Sheet

When a company writes a check, the company records it with a credit to the Cash account in the company's general ledger. Whether the check has or hasn't cleared the bank account, the company's Cash account balance is proper. Hence, the company's general ledger Cash account will not require an adjustment for the unpresented or outstanding check when it is reported on the balance sheet.

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