Bank reconciliation is the process of matching account balances in a company's records to the corresponding bank statement. This is done to equalize any differences between the two balances. Reasons for differences can include outstanding checks that have been written but not yet cashed, or deposits made but not processed by the bank in time to be included in the current statement. Performing regular bank reconciliations helps ensure accurate accounting records.

1. Bank Reconciliation
Presented by Sania Rizvi

2. Bank
Institute which purchases and sells money
and transacts other financial business

3. Accounts
Current Account: customer is allowed to deposit or withdraw
money as and when he likes.
Saving Account : in this case deposits can be made only up to
certain amount and withdrawal are allowed only twice or thrice a
week
Fixed deposit Account: Certain amount is deposited for fixed time
period. Amount can’t be withdraw before expiration

4. When you open a Account….
Pay in slip book: when money is depositing in bank the pay in slip is to be filled
up. It is receipt of money to be credited into customers account.
 Cheque book : it enables a customer to withdraw money from its account or make
payment to various parties by issue of cheques.
 Bank pass book:Passbook or Bank Statement is a copy of the account of the
customer as it appears in the bank’s books.

5. Kinds of cheques
1. Bearer Cheque: The bearer cheque is payable to the person
specified or to any other else who presents it to the bank However,
such cheques are risky, this is because if such cheques are lost, the
finder of the cheque can collect payment from the bank.
2. Order Cheque: When the word "bearer" appearing on the face
of a cheque is cancelled and the word "or order" is written on the
face of the cheque, the cheque is called an order cheque. Such a
cheque is payable to the person specified therein as the payee,

6. Crossed cheques: A crossed cheque cannot be encashed at
the cash counter of a bank but it can only be credited to the
payee's account.

7. What is bank reconciliation ?
A bank reconciliation is the process of matching
the balances in an entity's accounting records
for a cash account to the corresponding
information on a bank statement.

8. Why we make bank reconciliation
statement.?
To equalize the balance appearing in the bank
monthly statement and in depositor's account.
Certain transaction recorded by depositor but not by
the bank

9. Reasons
Outstanding checks: check issued and recorded by the
company but not presented by the bank for payment
Deposits in transit: cash receipts recorded by the depositor
but when reached the bank too late to be included in the
bank statement for the current month.