Answer to Question #68441 in Accounting for lakakna l

Question

Which budgeted statement is the bank account reconciled to? What does reconciling the bank account reveal in regard to the cash flow budget?

Answer 1

When a bank statement is checked for consistency and fully reflect the movement of money in a bank account. Proven bank statement is the basis for displaying data in the statement of cash flows. In the statement of cash flows shows the account balance and activity on the account during the reporting period.