An overdraft is an asset for the bank because it is money that they will receive with interest. From the customers point of view, an overdraft is a liability because we have to repay the money with interest. Overdraft accounts offer easy cash but at high interest rates. As you are going to return the money including any fees/interest, it will always be a liability for you as the customer.
yes it is an asset overdraft
Bank overdraft is shown in balance sheet either as a negative amount of bank in asset side or at liability side of balance sheet.
Asset - Liability = Net Asset / Liability * Net Asset - When Asset is more than Liability * Net Liability - When Liability is more than Asset
yes It is an Asset, not a Liability.
asset
asset liability
Yes Bank overdraft is always a liability, because banks charge interest on overdraft amount on current account interest rate. Since overdraft is an adhoc arrangement it has to be liquidated within a time frame. So, it is advisable to ask for overdraft arrangement only in dire needs.
asset
Asset.
asset
Asset