reconcilation of day books

hackett
hackett Registered Posts: 1 New contributor ?
I have a simulation test in this morning and am searching for a module answer for the following;
explain why reconcilations are important?
why do we keep day books?
how to keep authorisation controls in day books?

I am not sure what is meant by the last question can anyone help?

Comments

  • hannahh
    hannahh Registered Posts: 5 Regular contributor ⭐ ? ⭐
    1. Reconciliations make sure that all the figures and everything are correct. i.e. no errors or fraud going on.

    2. not really sure but maybe so reconciliations can be done.

    3. i think that means making sure that all expenditure is authorised again to prevent fraud etc

    sorry havnt been much help :crying:



    I have a simulation test in this morning and am searching for a module answer for the following;
    explain why reconcilations are important?
    why do we keep day books?
    how to keep authorisation controls in day books?

    I am not sure what is meant by the last question can anyone help?
  • numberjunky
    numberjunky Registered Posts: 88 ? ? ?
    I believe Day Books prevent the Ledgers getting overloaded with detailed information so that's why only the totals are posted
  • tammyariley
    tammyariley Registered Posts: 13 Regular contributor ⭐ ? ⭐
    I was taught that we keep Day books so we can record all day to day activities as they happen. Most companies only post to the main ledgers at month end!
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