BANK RECONCLATION SOLVED EXAM QUESTION QUESTION | Princples of accounts paper (two)2

Bank reconciliation bank reconciliation is an aspect of hamonising bank statement records with company's cash book records a bank reconciliation statement is a financial report that reconciles the cash book balance and the bank statement balance to ensure both balances match. 1.updating cash book: this is done by recoding transactions which show on the bank statement but do not appear in the cash book extract .Receipts are debited and payments are credited. 2. Bank Reconciliation statement: Here we are focusing on transactions that appear on the cash book but not showing on the bank statement. Cheques not presented for payments by our suppliers which we paid.Cheques not yet deposited to our account by the bank(uncredited cheque) If you start with revised cash book balance,add unpresented cheques and the less uncredited cheques. NB:Unpresented cheques appear on the credited side of the cash book and uncredited cheques appear on the debit side of the cash book