How to Prepare a Bank Reconciliation Statement



How to Prepare a Bank Reconciliation Statement

  1. Compare the records of books and bank statements.
  2. Identify the reconciling items for both.
  3. Fill up the  proforma bank reconciliation with the unadjusted cash balance per books and per bank and reconciling items gathered.
  4. Each reconciling item per books must be journalized and posted by the depositor. (Only reconciling items per books are journalized and posted. The bank will make its adjusting entries on the succeeding month.)

Sample of proforma Bank Reconciliation Statement

how to prepare a bank reconciliation




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Bank Reconciliation Statement Sample Problem

Jovelyn Corp. gathered the following information from its own records and from the bank statement records for August 31, 2017:

  • Book balance P50000             
  • Bank balance 84000                
  • Deposit in transit   40000        
  • Outstanding check   65000
  • Note collected   15000
  • NSF check     5000
  • Service charge    1000

Required: Prepare a Bank Reconciliation Statement

Solution

Shown below is the adjusted balance method bank reconciliation statement that reconciles the differences in the cash balance per books and the cash balance per bank.

Bank Reconciliation Statement

Bank Reconciliation Statement