A bank reconciliation should be prepared

A) whenever the bank refuses to lend the company money
B) to explain any difference between the company's balance per books with the balance per bank
C) by the company's bank
D) by the person who is authorized to sign checks

Bank Reconciliation

The process of matching the balances in an entity's accounting records for a cash account to the corresponding information on a bank statement.

Company's Balance

The total net worth or financial position of a company at a specific point in time, often reflected in the balance sheet.

Balance Per Bank

The ending cash balance in a company's bank account as per the bank's records.