A bank reconciliation statement is a _________.

part of cash book

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part of financial statements

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part of pass book

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none of the above

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Solution

The correct option is C none of the above
A Bank Reconciliation Statement is an independent statement prepared to reconcile the balance between the bank column of cash book and pass book.
It is neither a part of cash book nor pass book.
A Cash flow statement may be a part of financial statement but not Bank Reconciliation Statement.

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Similar questions

Q. A business firm periodically prepares a bank reconciliation statement to reconcile the bank balance as per the cash book with the pass book as these two show different balances for various reasons.

The following are the Cash Book and Pass Book extracts of Mr. Anil for the month of May 2011. From this information you are required to prepare a Bank Reconciliation Statement as on 31^st May 2011.

Cash Book (Bank Column Only)
Dr.			Cr.
Date	Particulars	Rs	Date	Particulars	Rs
2011 May 4	Ankita’s A/c	2,300	2011 May 1	By Balance b/d	7,500
11	To Kavita;s A/c	3,700	4	By Roky’s A/c	2,000
14	To Sales A/c	14,500	6	By Mamata’s A/c	2,500
15	To Furniture A/c	2,000	9	By Sonali’s A/c	4,000
22	To Anita’s A/c	1,500	15	By Manjiri’s A/c	1,500
26	To Ganesh’s A/c	4,000	17	By Purchases A/c	7,000
28	To Kamal’s A/c	3,000	20	By Drawings A/c	2,400
30	To Prakash’s A/c	1,000	24	By Machinery A/c	10,000
30	Too Balance’s c/d	8,500	27	By Archan’s A/c	3,600
		40,500			40,500

Pass Book
Dr.			Cr.
Date	Particulars	Rs	Date	Particulars	Rs
2011 May 1	To Sonali’s A/c	4,000	2011 May 1	By Balance b/d	13,400
2	To Manjiri’s A/c	1,500	4	By Anita’s A/c	1,500
14	To Cash A/c	10,000	6	By Ganesh’s A/c	4,000
17	To Archana’s A/c	3,600	17	By Cash A/c	14,500
			18	By Kamal’s	3,000
			19	By Prakash’s A/c	1,000

Explain the process of preparing a bank reconciliation statement with amended cash balance.

Q. While preparing a Bank Reconciliation Statement, if you start with a debit balance as per the cash book, then cheques issued but not presented within the period are _____________.

Q. The proper treatment of outstanding cheques on a bank reconciliation when balance as per cash book is the starting point is __________ .

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