All 23 Reconciliations questions
More in Reconciliations
What is a three-way reconciliation (e.g., for trust/client accounts)? What makes a reconciliation 'review-ready' for audit? How do you reconcile petty cash and expense floats? What is the account reconciliation process at month-end close? How does reconciliation support the financial-close controls and audit? How do you reconcile cash across the bank statement, cash book, AR receipts, and AP payments? How do you handle timing differences in month-end reconciliations? How do you reconcile accounts payable to the trial balance and supporting sub-ledgers at consolidation? How do you reconcile a clearing/suspense account to zero at period-end?
Advertisement
Back to results for “Collections”
Accounts Payable & Receivable › Reconciliations

How do you deal with aged, unexplained reconciling items?

Advanced

Answer

Investigate root cause (posting errors, timing, disputes, duplicates), assign ownership and deadlines, and escalate persistent items. Immaterial residuals may be written off with proper approval after review; material or suspicious items require deeper investigation. Trending aged items highlights process weaknesses to fix at source.
Real-world example A clean-up assigns owners to reconciling items over 90 days old, resolving most and writing off small residuals with approval.

Common follow-ups: When can a reconciling item be written off? | Why track the age of reconciling items?

Reconciliations Aging Analysis Collections & Bad Debts
All 23 Reconciliations questions