Clean Up Her Books

by Marti
(Florida)

A friend has asked me to enter some data for her, reconcile her books, and in general, get her on the right track. She is carrying unpaid checks on her checking account dating back 3 and 4 years. Obviously, they haven't been cashed, or have been voided, and definitely very much forgotten. How can I clean these up?

Cleaning Up Non-Profit Books

I am working woth a new non-profit. They did not keep accurate records for the year 2010. While thier bank statements show more income that they show invoices for, the invoices do not match the deposits. This is a small group that provides housing and services to adults with mental illness. The person who sent out the invocies aleays billed for the standard amount. However, if the client was served for less than the month invoiced they got paid based on the actual length of time in the agency's care. So, I have invoices marked paid but the amount was wrong. I don't see any misuse of funds - in fact the deposits recorded by the bank are considerably higher than the total of invoices. I know that the founders put considerable amounts of their own money into the agency to get it started.

How do I reconcile this so that the accounts balance?