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What is the account reconciliation process at month-end close? How do you deal with aged, unexplained reconciling items? 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 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?
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How do you handle timing differences in month-end reconciliations?

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Answer

Identify items recorded in one place but not yet the other due to cut-off (deposits in transit, outstanding checks, receipts not yet banked, invoices in transit). List them as reconciling items that will clear next period—no adjusting entry is needed for pure timing, only documentation—while genuine errors get corrected.
Real-world example Outstanding checks and a deposit in transit explain the bank-book gap and are carried as timing items to clear next month.

Common follow-ups: Do timing differences need a journal? | How do timing items differ from errors?

Cash Application Payment Runs Reconciliations
All 23 Reconciliations questions