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Trial Balances:
If the trial balance does not result in a "0", the various records will need to be reviewed to pinpoint the spot where the unbalance occurred and any necessary adjustments will be made.
At various intervals trial balances would need to be drawn up. Trial balances look to the ledgers to ensure that all entries have an equal credit and debit entry. The books are said to balance of the total of the ledgers credit and debit sides equal "0".
Bank Reconciliation:
Once the trial balance is completed and a result of "0" is confirmed, a reconciliation is carried out. The bank reconciliation compares the entries in the organisations books with those outlined in the applicable bank statement. If the two reports match then the books are said to be reconciled.
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