Is it necessary to prepare a bank reconciliation statements?
submitted by mbasa

Redmond

Yes, prepping a bank reconciliation (bank rec) is a necessary control procedure. It ensures that the company's records line up with the bank's records. It helps you identify errors, omissions, or fraudulent activities. You may find you never deposited a check you received last month. Checking the bank against your own accounting will help you identify this kind of error.

Eegon

Yeah, you should do a bank reconciliation. It's like double-checking that what your bank says and what your books say are the same, so you catch any errors or fraud early. If your CPA has been skimming some off the top, or there's some other type of embezzlement, this is one way to find it. There's more embezzlement going on than you might think.