Which of the following statements regarding a Bank Reconciliation Statement (BRS) is TRUE?
A. It is prepared by the bank manager.
B. It is prepared on a specific date to reconcile the balances.
C. It updates the cash book balances.
D. It is a part of the double-entry system.
Answer: Option B
Solution (By JKSSB Mock Tests)
A BRS is prepared by the account holder (customer) on a specific date to explain differences between the cash book and pass book. It is a statement, not an account, so it does not involve journal entries.
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