What balance should match your paper and bank statement for a successful reconciliation?

Test your personal finance knowledge with our quiz. Practice using flashcards and multiple-choice questions with hints and explanations. Get ready to ace your exam!

The check register balance is the correct choice because it reflects all the transactions you have recorded for your checking account, including deposits and withdrawals. This balance is essential for reconciliation because it serves as your personal financial record, ensuring that every transaction you believe to have occurred is accurately tracked.

When you reconcile your check register with your bank statement, you are essentially verifying that the transactions listed in your register match those reported by your bank. A successful reconciliation means both documents agree, confirming that you have accounted for all checks written, deposits made, and other transactions during the reconciliation period. This process helps identify any discrepancies, such as missed transactions or bank errors, leading to accurate financial management.

In contrast, the other options do not provide a comprehensive view of personal transactions. The deposit balance only considers money added to your account, total income encompasses broader earnings beyond just what's in the checking account, and the expenditure balance focuses solely on money spent, which does not facilitate a thorough comparison with the bank's records. Therefore, the check register balance is the most appropriate balance to match against the bank statement for effective reconciliation.

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