Which one of the statements appearing below is correct regarding bank reconciliations?

a. After preparing a bank reconciliation, no journal entries need to be made for outstanding checks or deposits in transit.

b. If a company's records show a different cash balance from that shown on the company's bank statement, either the company or the bank has made an error.

c. The up-to-date ending cash balance on the bank statement side should not equal the up-to-date ending cash balance on the book side.

d. A bank reconciliation is an external report prepared to report the cash balance to investors and creditors.

The correct answer is letter "B": If a company's records show a different cash balance from that shown on the company's bank statement, either the company or the bank has made an error.

Explanation:

A bank reconciliation is a match between a company's bank balances in its accounting books and the information of the company in its bank statement. Adjustments are typically registered using journal entries when checks and deposits are in transit but must be recorded in the firm's books.  

In front of discrepancies between the balance of the company's book and the bank statement, there must be an error whether from the bank or the firm.

the answer is b. the events might happen and are based on crimes.