Proof of Cash (four-column bank reconciliation)
Description: Auditors love the idea of a four-column bank reconciliation also known as a Proof of Cash because of its ability to shed light on error, misstatements, and fraud. The proof of cash reconciles the bank balance and general ledger over a specified period of time, whereas, the standard bank reconciliation reconciles the two at a specific date. Need a template to complete this process monthly? Download the monthly proof of cash template here.
To prepare a Proof of Cash:
Note, remember the data included in this example, is just that, example data. There could be items included that are not relevant to your situation, or items missing that will be necessary for your reconciliation. Additionally, assumptions have been made surrounding the nature of the reconciling items, changes in these assumptions could impact how the entry is recorded.
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* Note, utilizing the features of this excel template requires Microsoft Excel® 2007 or later - some of the attributes such as the shading, and other formatting are not compatible with earlier versions.