A report that compares the existing bank balance adjusted by outstanding items (uncashed checks, missing withdrawals, missing deposits) to the cash ledger in the books of record for a business. The cash ledger is adjusted by unrecorded items including bank activity that has yet to be posted to the books (deposits, withdrawals and loan payments).
In accounting there are books (journals) and ledgers for source entry of information. A trial balance is used to monitor the types of accounts. With the use of parent-child accounts and control accounts bookkeepers […]
The bank reconciliation is a daily accounting function for every small business. In order to fully appreciate its value, the small business owner needs to understand the fundamentals of how bank reconciliations are performed. In […]