Asked by Nguyên Tr?ng on Jun 29, 2024
Verified
A bank reconciliation should be prepared periodically because
A) the company's records and the bank's records are in agreement
B) the bank has not recorded all of its transactions
C) any differences between the company's records and the bank's records should be determined, and any errors made by either party should be discovered and corrected
D) the bank must make sure that its records are correct
Bank Reconciliation
The process of comparing and matching figures from the accounting records against those presented on a bank statement to ensure they are in agreement.
- Understand the process and significance of bank reconciliation in ensuring the accuracy of cash records.
Verified Answer
AW
Aidan WagnerJul 01, 2024
Final Answer :
C
Explanation :
Bank reconciliations should be prepared periodically to ensure that any differences between the company's records and the bank's records are determined and any errors made by either party are discovered and corrected. It is important to reconcile bank accounts regularly to maintain accurate financial records and prevent fraud or errors.
Learning Objectives
- Understand the process and significance of bank reconciliation in ensuring the accuracy of cash records.