Answer Posted / ramgopal somasundaram

A bank reconciliation statement is a statement prepared by
organizations to reconcile the balance of cash at bank in a
company's own records with the bank statement on a
particular date.

The difference between the two records on a given date may
arise because of the following:
Cheques drawn but not yet presented to the bank.
Cheques received but not yet deposited in the bank.
Interest credited and not recorded in the organization's
books.
Bank charges debited but not recorded in the organization's
books.

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