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about bank reconciliation

Answer Posted / pollitirumaleswarareddy

It is a statement reconciling the balance as shown by bank
passbook and balance as shown by cash book. The main
objective is to know the difference and pass necessary
correcting , adjusting entries in books.

The following are the reasons for difference is

1. Outstanding Checks
2. Deposits in transit
3. Service charges etc.

Is This Answer Correct ?    2 Yes 0 No



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