How to Produce a Bank Reconciliation Statement?

To produce a bank reconciliation statement, start by comparing the bank statement with the company’s ledger to identify any discrepancies between the two records. Adjust the company’s cash balance for any outstanding checks, deposits in transit, and bank fees or interest not yet recorded in the ledger. Finally, ensure that the adjusted bank statement balance matches the adjusted ledger balance, confirming that all transactions have been accurately accounted for.