The balance shown on a bank statement is always less than the month-end balance of a company's cash account in the general ledger.

Question

Quizplus · Accepted Answer

The month-end balance of a company's cash account in the general ledger should match the balance shown on a bank statement if all transactions have been properly recorded and reconciled. Therefore, the balance shown on a bank statement should not always be less than the month-end balance in the general ledger.

The Balance Shown on a Bank Statement Is Always Less