A-LevelAccountingReconciliation and verification9706/12 · Feb/Mar 2025 · Q101 Mark
A bookkeeper compared the business bank statement with the cash book. He then updated the cash book and finally prepared a bank reconciliation statement. Why was the bank reconciliation statement prepared?
Ato ensure no transactions had been omitted from the cash book
Bto establish the value of unpresented cheques
Cto explain the difference between the cash book balance and the bank statement balance
Dto find out if any cheques had been dishonoured
✓ Correct answer
C: to explain the difference between the cash book balance and the bank statement balance
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