Explain the term bank reconciliation and state the reasons for its preparation. b) Koya, a sole trader received his bank statement for the month of June 2021 At that date the bank balance was Sh.706,500 whereas his cash book balance was Sh.2,366,500. His accountant investigated the matter and discovered the following discrepancies: 1) Bank charges of Sh.3,000 had not been entered in the cash book. 2) Cheques drawn by Koya totalling Sh.22,500 had not yet been presented to the bank. 3) He had not entered receipts of Sh.26,500 in his cash book. 4) The bank had not credited Mr Koya with receipts of Sh.98,500 paid into the bank on 30mJune 2021 5) Standing order payments amounting to Sh.62.000 had not been entered into the cash book. 6) In the cash book Koya had entered a payment of Sh.74,900 as Sh.79,400. 7) A cheque for Sh.15,000 from a debtor had been returned by the bank marked refer to drawer but had not been written back into the cash book. 8) Koya had brought forward the opening cash balance of Sh.329,250 as a debit balance instead of a credit balance. 9) An old cheque payment amounting to Sh.44,000 had been written back in the cash book but the bank had already honoured it. 10) Some of Koyas customers had agreed to settle their debts by paying directly into his bank account. Unfortunately, the bank had credited some deposits amounting to Sh.832,500 to another customers account. However, acting on information from his customers, Koya had actually entered the expected receipts from the debtors in his cash book. Required: i) A statement showing Koyas adjusted cash book balance as at 30 June 2021 ii) A bank reconciliation statement as at 30 June 2021