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Answer Posted / vinod
Bank Reconciliation is Matching the company cash book with
the company bank pass book. (eg) We issue cheques from
company cash book, it debits the company cash book and when
customer presents the cheque with the bank, then it debits
the comapany bank pass book. The cheque may be issued from
company cash book on 19.10.2010. The customer presents the
cheque on bank on 30.10.2010. The difference between this 19
& 30th is the timing difference.
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