Question

Which of the following is not the salient feature of bank reconciliation statement?

• A. Reconciliation is done by the bankers.
• B. Reconciliation statement will help in finding the person doing any fraud.
• C. Any undue delay in the clearance of cheques will be shown up by the reconciliation.
• D. Reconciliation is done by the account holder.

Answer 1

The correct option is A Reconciliation is done by the bankers.

A bank reconciliation statement is a statement prepared by the account holder to reconcile the differences arising between the bank balances as per pass book and the cash book.

It helps to detect any undue delay in the clearance of cheques and also to find out any cases of fraud in the business.