Bank Reconciliation

Question 1

Balance per Bank Reconciliation

Answer 1

Balance per Bank Statement
\+ Deposits in Transit
\+ Cash on Hand
- Outstanding Checks
\+/- Errors made by the bank
= True Cash Balance

Question 2

Balance per Book Reconciliation

Answer 2

Balance per Book
\+ Interest Earned
\+ Notes Collected
- Service Charges
- Nonsufficient Funds (NSF) Checks 
\+/- Errors made by the bank
= True Cash Balance