002-060 - Bank Reconciliation Statements
A set of financial accounts cannot be finalised unless an accurate bank reconciliation has been prepared.
This paper sets out a step by step procedure explaining how a Bank Reconciliation Statement is prepared.
The paper includes an example of a Bank Reconciliation Statement Calculation and covers the following key headings:
- Accurate Records Are Essential
- Treatment Of Cash Receipts
- Treatment Of Cash Payments
- Two Sets Of Records Are Kept
- Bank's Records
- Transactions In Both Records
- Why The Records Vary
- Bank Reconciliation Preparation
- Example Of A Bank Reconciliation
- Points To Note In The Preparation Of A Bank Reconciliation