Question: How Do You Reconcile GL Accounts?

What are the different types of reconciliation?

Types of reconciliationBank reconciliation.

Vendor reconciliation.

Customer reconciliation.Intercompany reconciliation.

Business specific reconciliation.

Accurate annual accounts must be maintained by all businesses.

Maintain good relationships with suppliers.

Avoid late payments and penalties from banks.More items….

How do I reconcile AR to GL?

How to reconcile Accounts Receivable to General LedgerRun the Aging By Customer report in summary: -From the Report Manager select Accounts Receivable. … Run the Aging By Receivable Account: -From the Report Manager select Accounts Receivable. … Run the Ledger report: … If you do not balance, then run an Account Detail report on the GL accounts:

How do you write a general ledger?

When creating a general ledger, divide each account (e.g., asset account) into two columns. The left column should contain your debits while the right side contains your credits. Put your assets and expenses on the left side of the ledger. Your liabilities, equity, and revenue go on the right side.

What is general ledger account reconciliation?

General Ledger Reconciliation is the process performed by accountants to verify the integrity of account balances on the company’s general ledger of accounts.

What is the best way to compare two sets of data?

Common graphical displays (e.g., dotplots, boxplots, stemplots, bar charts) can be effective tools for comparing data from two or more data sets.

What is the formula for bank reconciliation?

A bank reconciliation can be thought of as a formula. The formula is (Cash account balance per your records) plus or minus (reconciling items) = (Bank statement balance). When you have this formula in balance, your bank reconciliation is complete.

How do you do reconciliation?

Bank Reconciliation: A Step-by-Step GuideCOMPARE THE DEPOSITS. Match the deposits in the business records with those in the bank statement. … ADJUST THE BANK STATEMENTS. Adjust the balance on the bank statements to the corrected balance. … ADJUST THE CASH ACCOUNT. … COMPARE THE BALANCES.

What are difference between accounts receivable and general ledger?

Accounts payable and accounts receivable are general ledger entries you record if you use accrual accounting. Both accounts are recorded when revenues and expenses are incurred, not when cash is exchanged. Create an accounts receivable entry when you offer credit to your customers.

How do I reconcile GL accounts in Excel?

How to Use Excel to Reconcile GL AccountsType the name of the general ledger account and the general ledger account number at the top of the Excel spreadsheet. … Enter the month and year to be reconciled below the GL name and number.Type “Ending Balance per GL” in the first column of the spreadsheet a couple of lines below the heading.More items…

How do you do a balance sheet account reconciliation?

Balance sheet reconciliation checklist: 4 stepsGather documentation and records. Before you can look over your balance sheet and reconcile it, gather the proper documentation. … Compare information. … Make adjustments, if needed. … Check to see if your sheet is balanced.

How do you reconcile two sets of data in Excel?

Here are the steps to do this:Select the entire data set.Click the Home tab.In the Styles group, click on the ‘Conditional Formatting’ option.Hover the cursor on the Highlight Cell Rules option.Click on Duplicate Values.In the Duplicate Values dialog box, make sure ‘Duplicate’ is selected.Specify the formatting.More items…