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Bank Reconciliation

 

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Bank Reconciliation

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Every individual should check their bank statements thoroughly when they receive them because mistakes do occur. This becomes even more necessary in business due to the sheer volume of transactions likely to have taken place since the last statement. The balance shown at the bottom of the statement may look good (or perhaps not!) but please do not be fooled. This is not the current situation it is the situation at the time the statement was printed. This means there may have been cheques issued since that date, cheques issued prior to the date that have not been paid in by the recipient and, on the brighter side, payments received but not yet cleared. All need to be taken into account to provide information on the current situation.

   
       
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