Which one of the following procedures is not part of preparing a bank reconciliation of a checking account? A) Tracing deposits listed on the bank statement to the books to identify deposits in transit B) Arranging canceled checks in numerical order and tracing them to the books to identify outstanding checks C) Identifying items added on the bank statement which have not been recorded as cash receipts by the company D) Preparing adjustments to reverse the transactions recorded for checks that are still outstanding

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Preparing adjustments to reverse the transactions recorded for checks that are still outstanding is not part of preparing a bank reconciliation. The other three procedures (tracing deposits, arranging canceled checks, and identifying unrecorded items) all help to ensure that the company's records match the bank's records, which is the goal of a bank reconciliation.

Which One of the Following Procedures Is not Part of Preparing