Question

What are 3 important reasons to reconcile bank and credit card accounts at set dates?

Answer 1

Answer:

a) To verify transactions have the correct date assigned to them

c) To verify that all transactions have been recorded for the period

d) To verify that previously reconciled transactions have not been changed since the last reconciliation

Explanation:

It is very important that one reconciles their bank and credit card accounts and some of the reasons are;

To ensure that transactions occurred on the correct date. This is important because it ensures that fraud has not been committed and that transactions are being recorded accurately.

To ensure that all transactions for the period have been recorded. This is to ensure that the balance on the card is reflective of what has actually transpired in the period.

To ensure that the previously recorded transactions have not changed. This is done to ensure that you are not incurring any costs that yu may be unable to trace.