Bank Reconciliation

murthy

Hi all,

I'm having difficulty with Bank Reconciliation.

- I have uploaded the closing balance as on Mar 31' 2007 and posted transactions for the month of Apr'2007.
- While doing bank reconciliation there are many items for the prior months that have hit the bank for April and there are some which are still open items for Mar'07 and before. How do i treat these items?
- Should i input the "Balance Last Statement" value?

Please let me know if anyone has an answer
Thanks
Venkat

ssingla

The unreconciled open bank entries should have been entered as opening balance i.e the opening balance should have been
Balance as per bank statement + open (unreconciled entries) = closing balance.

jeffb_r4

You should be able to enter any open transactions by creating an entry that has one side as a "bank entry' and the the other as a journal entry to the bank account.
The net effect (from a general ledger point of view) will be zero as the bank entry and the g/l entry create equal offsetting general ledger entries.
However, this will allow these items to show up as bank transactions, which is what the bank reconciliation program is looking for.
Hope this helps.