Which of the following procedures is not part of preparing a bank reconciliation of a checking account?
A)Tracing deposits listed on the bank statement to the books to identify deposits in transit
B)Arranging canceled checks in numerical order and tracing them to the books to identify outstanding checks
C)Identifying items added on the bank statement which have not been recorded as cash receipts by the company
D)Preparing adjustments to reverse the transactions recorded for checks that are still outstanding

Question

Quizplus · Accepted Answer

Preparing adjustments to reverse the transactions recorded for checks that are still outstanding is not part of preparing a bank reconciliation. The other options - tracing deposits in transit, identifying outstanding checks, and identifying unrecorded bank transactions - are all steps in the process.

Which of the Following Procedures Is Not Part of Preparing