The purpose of reconciliation is to ensure the accuracy and ethics of a business's financial records by comparing internal accounting records with external sources, such as bank records. This process helps detect errors, prevent fraud, ensure regulatory compliance, and provide reliable financial information for data-driven decision-making. This reconciliation process allows you to confirm that the records being compared are complete, accurate, and consistent. After finding evidence for all differences between the bank statement and the cash book, the balances in both records should be equal. You should prepare a bank reconciliation statement that explains the difference between the company’s...