👉 In the context of business, a reconciliation is an act or process where two or more financial statements are compared and adjusted to ensure that they represent the same financial position at a given point in time. This can be done by adjusting the amounts reported on both sides of the balance sheet or income statement to reflect changes in assets, liabilities, equity, and other relevant items. Reconciliability is important because it helps identify any discrepancies between the two sets of financial statements. When the reconciled balances are
