How to prepare a bank reconciliation statement?

Question

Can u give an example of illustrstion & solution.

Answer 1

http://intranet.yorkcollege.ac.uk/yc/les...

hope it works...

Answer 2

you  should have cashbook and passbook of the client and then you should see the difference between the books and you should add or subract to tally .

Answer 3

A bank reconciliation statement is to keep your bank statements in balance with your books. I've only studied this for a short while and im no expert, but in its simplest for you need to have two coloums, your closing bank balance and your closing books balance at one date (end of month in question). Then you need to correct each of them for any differences. Add interest earned to your books, minus no-sufficient fund cheque to books (and anything else that will account for the difference in balances. Then to your bank side, you need to add cheque's in transfer and anything else that due to the time lag between the statements creation and the end of the books has not been included. Then you tally up all the coloums, and the balances in both books and bank should balance. If not you have not accounted for any differences. I hope you were asking for a very simple illustration and not planning on presenting your boss with a real life bank reconsilition :)

Answer 4

To Prepare a Bank Reconciliation Statement

(a) Compare transactions that appear on both Cash Book and Bank Statement

(b) Update Cash Book from details of transactions appearing on Bank Statement

(c) Balance the bank columns of the Cash Book to calculate the revised balance

5

Complete a Bank Reconciliation Statement

(a) Enter correct date of the statement

(b) Enter the balance at bank as per the Cash Book

(c) Enter details of unpresented cheques

(d) Enter sub-total on reconciliation statement

(e) Enter details of bank lodgements

(f) Calculate balance as per Bank Statement

Page 2

THE NEED FOR AN ACCURATE CASH BOOK

Most organisations keep a record of their cash and bank transactions in a

cash book (see Chapter 13). The cash book contains a record of both the cash

account and the bank account and shows the balance in each account at the

end of a period. Once the cash book has been balanced off it is usual to check

the details with the records of the firm’s bank transactions as recorded by the

bank.

To enable this check to be made the cashier will need to ensure that the cash

book is completely up-to-date and a recent bank statement has been obtained

from the bank.

Often,when a comparison is made between the bank balance as shown in the

firm’s cash book with that shown on the bank statement, the two balances

will be different. It is for this reason that a bank reconciliation statement

is prepared to reconcile (‘tally up’) the two balances. The reconciliation may

identify errors that may have been made in either the firm’s cash book or in

the bank’s records. Any corrections can then be made.

An example of a bank reconciliation statement is shown below. As you can

see, it is a very simple calculation. The process of drawing up a bank

reconciliation statement will be explained in full on pages xx-xx.

for more

http://72.14.235.104/search?q=cache:fg2d...

Answer 5

go through some accounting books u'll get some important info abt BRS