How This Workflow Works
This workflow automates the bank reconciliation process by systematically comparing internal cash book transactions with external bank statement records. It identifies matching entries, highlights inconsistencies, and generates a reconciliation statement that summarizes any differences and adjustments needed.
Key Features:
- Detect discrepancies between internal and external transaction records
- Classify and explain the nature of inconsistencies (such as errors, omissions, or timing differences)
- Automate the calculation of adjusted balances for both records
- Generate a clear reconciliation statement for review and audit
Step-by-step:
1. Compare Transaction Records:
The workflow aligns and matches transactions from the internal cash book with those from the bank statement. It systematically checks for corresponding entries, ensuring that each transaction is accounted for in both records.
2. Identify and Classify Discrepancies:
Any unmatched transactions are flagged and categorized based on their nature—such as errors, omissions, or timing differences. This step helps pinpoint the source of inconsistencies and provides a basis for further investigation or correction.
3. Calculate Adjusted Balances:
Adjustments are applied to both the cash book and bank statement balances to account for the identified discrepancies. The workflow recalculates closing balances, ensuring that both records reflect the true financial position after reconciliation.
4. Visualize and Share Insights:
The results are presented in a structured reconciliation statement, with clear tables and summaries that highlight matched transactions, outstanding items, and final adjusted balances. This output supports transparent review and facilitates communication with stakeholders.