Cash withdrawl and deposit entry

Before going to actual accounting entry, one should know the basic of accounting and debit and credit rules to under stand which account in tally should be debited and which should be credited

On special request of one tally nine reader, I am posting here how to make cash depositand withdrawal entry in tally.I will let you know a very simple way to record deposit and withdraw transactions in tally whereby you don’t need to use contra (F4) button in tally.

Go to voucher entry and press F12 Configuration
Use single entry for payments/receipts/contra “Yes”
Now Set use payment as contra to “yes”

and accept the screen by pressing CTRL+A

now suppose if you have to withdraw cash by self cheque from axis bank
then put the date of transaction.Then in the first ledger account type the name of the bank say axis bank and press enter.Now for the second ledger account select cash account and type the value of the amount to be withdrawing from bank say rs. 1,00,000.00 and press enter

write the narration and accept the screen and its done!

on the same way, you may enter transaction of cash deposit. in that case the first ledger you have to enter is cash and the second is of the bank e.g. one that ask for amount.
This is very simple