Account reconciliation provides a mechanism for you to reconcile all transactions performed on an account with those from an independent source, usually a bank account statement. This allows you to check that all transactions that have been performed on the account are valid and have been assigned the correct dates.
An account transaction is considered to be reconciled if it has been assigned a reconciliation date by entering a date for the transaction using the account reconciliation form. No transactions are reconciled unless done explicitly using the account reconciliation method.