Our Reconciliation Process
The account reconciliation starts after the close of the financial period. A company will check its internal accounting statements with the bank statement looking for discrepancies. Balance sheet reconciliation is performed monthly, quarterly, or at the end of the year.
Reconciliation Accounting Consists of:
- Cash reconciliation: Cash accounts reconciled with bank statement.
- Accounts receivable & accounts payable reconciled against aging schedules: Inventory and fixed assets are reconciled by physical count.
- Investigate discrepancies and take action: If we find a discrepancy, you can rest assured that we will work closely with management to determine the cause and find a workable solution.
Account Reconciliation Formula
A bank reconciliation is sometimes thought of as a formula. The bank reconciliation is complete, when the account reconciliation formula matches the bank statement.
(Cash account balance on your records) plus or minus (reconciling items) = Bank statement balance