A bank reconciliation should be prepared
A)whenever the bank refuses to lend the depositor money.
B)when an employee is suspected of fraud.
C)to explain any difference between the depositor's balance per books and the balance per bank.
D)by the person who is authorized to sign cheques.

Question

Quizplus · Accepted Answer

A bank reconciliation is prepared to explain any difference between the balance per depositor's books and the balance per bank statement. The other options do not relate to the purpose of a bank reconciliation.

A Bank Reconciliation Should Be Prepared