Hi there,  We are having problem with our bank reconciliation in a USD account.  (we are a CDN company)

1.  The Cleared Balance matches the bank statement and there is no Variance. (we balance to the bank statement)

2.  But the outstanding balance has a Variance of .01.  The ending total is .01 more than the book balance. 

3. With the exchange rate for the month end the CDN value of the G/L is .01 less than the bank.

4. We thought if we did a journal entry to correct the .01 exchange/ gain loss difference it would correct it but it did not.  (We did a journal entry and debit US Bank account .01 CDN and credit exchange g/l .01).  This makes the GL balance but there is still a variance in cash management.

We know this is only .01 but it will not go away and we are finishing up a year end and want it to work out.

Any ideas would be greatly appreciated.