Explain the Importance of the Bank Reconciliation to the Audit

question 1

Essay

Explain the importance of the bank reconciliation to the audit and list some of the items found on the reconciliation.

---

Definitions:

Erroneous Decisions

Decisions that are wrong or incorrect due to errors in judgement, fact, or procedure.

Private Law

A branch of law that governs relationships between individuals and entities, such as contracts, property, and family law, as opposed to public law which involves the state.

Equitable Remedy

A judicial order enforcing a right or redressing a wrong, granted when monetary damages are not sufficient as relief.

Specific Performance

A legal remedy where the court orders the breaching party to fulfill the exact terms of a contract, rather than paying damages.