what is bank reconcillation and cash recomcillation?
Answer / Anup Kumar Dwivedi
Bank reconciliation is the process of comparing a company's records of banking transactions to statements provided by the bank. This ensures that both sets of records match, helping to detect errors and unauthorized transactions. Cash reconciliation refers specifically to reconciling a company's cash account with physical cash on hand, bank deposits, and outstanding checks. Both processes are crucial for maintaining accurate financial records.
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