Practicing Success
Why Bank Reconciliation Statement is prepared? |
To know payments made through cheques To know errors in the pass book To compare cashbook with passbook and ascertain differences for reconciling All of these |
To compare cashbook with passbook and ascertain differences for reconciling |
The correct answer is option 3- To compare cashbook with passbook and ascertain differences. Bank Reconciliation Statement is prepared to reconcile the bank balance as per cashbook with the balance as per bank passbook. The reason for differences are ascertained and prepared in the statement. |