Unit F Banking

1
Unit F Banking

• 7.05 Demonstrate Bank Account Transactions

2
CHECK REGISTER

• Should be prepared as checks are written.
• Check number or transaction code should be
  recorded.
• Date should be recorded.
• Payee's name and purpose of the check should be
  written.

3
CHECK REGISTER

• Amount of payment or withdrawal (ATM) or the
  amount of the deposit should be entered.
• Calculate new balance
• Subtract checks, withdrawals, fees, or any other
  type of payment from the previous balance.
• Add deposits to previous balance to get new
  balance.

4
RECONCILING A BANK STATEMENT

• Bank statement should be examined to determine
  outstanding checks and outstanding deposits.
• Outstanding deposits should be added to the bank
  statement balance.
• Total outstanding checks should be subtracted
  from the adjusted bank statement balance.

5
RECONCILING A BANK STATEMENT

• Service charges and automatic payments should be
  subtracted from the checkbook balance.
• Any interest earned should be added to the
  checkbook balance.
• The adjusted bank statement balance should equal
  the adjusted checkbook balance.

6
ELECTRONIC SPREADSHEETS

• Can be used to maintain checkbook register.
• Can be used to reconcile a bank statement.

7
PRE-PACKAGED PERSONAL FINANCE SOFTWARE

• Several software programs are available to help
  manage personal finances.
• Microsoft Money
• Quicken