Opening Cash Balances

Opening Cash Balances

Didn't find your answer?

I am having an absolute brain blank.

It is my first experience of cash accounting for my first self employed client. We have an opening cash balance at the start of the year which differs from the actual cash balance. I believe this is unreconciled items. Accounting Cash and Actual Cash are both Dr entries.

Do I need to ask the previous accountant what this represents, or should I be able to work this out ? I have the appropriate bank statement, and it is not obvious.

Any guidance would be appreciated.

Thanks

Replies (2)

Please login or register to join the discussion.

Universe
By SteveOH
08th Jun 2011 15:22

I presume you are talking about the bank balance

If it is not obvious from the opening bank statement then you will need a copy of the bank reconciliation as at the end of the previous accounting year. Your client should have one. Otherwise you will need to ask the previous accountant for a copy.

Thanks (0)
avatar
By snez
08th Jun 2011 15:39

As I suspected

Thank-you. I thought this would be the case.

Thanks (0)