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A Business enterprises B Statutory Auditor D Customer
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It is generally experienced that when a comparison is made between the bank balance as shown in the firm's cash book, the two balances do not tally. Hence, to first ascertain the causes of difference thereof and then reflect them in a statement called Bank Reconciliation Statement to reconcile (tally) the two balances. It is process of matching the balances in a n entity's accounting records for a cash account to the corresponding information on a bank statement. The bank reconciliation statement is prepared by the business enterprises.
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