Final Answer:
In accounting, the process of resetting the beginning balance to the previous period without altering bank service charges or interest income is known as a "bank statement reconciliation."
Step-by-step explanation:
Bank Statement Reconciliation: The key phrase from the question is "resets the beginning balance to the previous period." Bank statement reconciliation involves adjusting the beginning balance in the bank statement to match the closing balance from the previous period.
No Changes to Charges or Interest Income: During the reconciliation process, adjustments are made to ensure that discrepancies between the company's records and the bank statement are corrected. However, bank service charges and interest income from the previous period remain untouched. The primary aim of bank statement reconciliation is to ensure the accuracy and consistency between the company's accounting records and the bank statement. This is essential for identifying errors, unauthorized transactions, or any discrepancies that may have occurred during the accounting period.