9. Bank reconciliations

counter credit

cash and cheques paid into the business’s bank account at the bank’s counter by someone from the business

dishonoured cheques

cheques paid into the business’s bank, and is returned by the bank unpaid

unpresented cheques

money OUT

have been recorded in the cash book (Cr), but don’t appear in the bank statement

unrecorded lodgement

money IN

money that has been received and recorded in the cash book (Dr), but does not appear in the bank statement

what is the primary reason for bank reconciliation being performed?

business can check the accuracy of it’s cash book

bank statement adjustments

outstanding lodgements