List four possible methods to detect bank balance error(s)

Question

What will be an ideal response?

Answer 1

Answers will vary but should include any four of the following:
1. Review the previous month's statement to make sure that any differences were corrected.
2. Check to make sure that all outstanding checks are listed. Again, refer back to the prior month's reconciliation and, if all of those items have not cleared on the current statement, they are still outstanding and should appear on the list again.
3. Check addition and subtraction if using a manual check register.
4. Make sure all the deposits that have been made after the cut-off date of the statement are listed.
5. Make sure all the miscellaneous charges and fees are recorded.
6. Double-check the cancelled checks against the check register, making sure that the amounts are the same and that numbers have not been transposed.