Once all the data has been entered, it needs to be reconciled to ensure it is accurate. Always start with the bank as all the othercontrol accounts will depend on this being correct. Not every control account needs reconciling all the time. The bank should always be kept up to date because this is usually the most dynamic account. The debtors and creditors may also need close attention, especially if there is a need for active credit control. Most of the other controls can be done once a month or even quarter.

Once the data is reconciled, check for adjustments, such as prepayments and accruals. There is more on adjustments in the year-end simulation here.