What is cheque and it's validity? What is Reconciliation? What is suspence account? What is demand draft?

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Cheque is a written order to a bank to pay a specific amount of money. Reconciliation is the process of comparing two sets of records to ensure they are in agreement. Suspense account is an account used to temporarily hold transactions that cannot be classified. Demand draft is a type of check used to make a payment from one bank account to another.

Cheque is a negotiable instrument that directs a bank to pay a specific amount of money to the bearer or a named person.
Cheques have a validity period of 3 months from the date of issue.
Reconciliation involves comparing two sets of records, such as bank statements and accounting records, to ensure they match.
Suspense account is used to temporarily hold transactions that cannot be classified, such as unidentified payments or receipts.
Demand draft is a type of check used to make a payment from one bank account to another, and is guaranteed by the issuing bank.

What is cheque and it's validity? What is Reconciliation? What is suspence account? What is demand draft?

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