Stephen used a reconciliation worksheet, but his checkbook balance does not match the final worksheet balance. Evaluate the following list of possible errors that he has made. Decide which items could potentially correct this problem if found and corrected.

Item number
Name of potential error
Explanation of what to verify
I
Clearing the checkbook
All the transactions on the statement that match transactions in the checkbook should be marked as cleared in the checkbook.
II
Correcting checkbook omissions
All transactions on the statement that were not found in the checkbook should have been entered into the checkbook.
III
Outstanding credits and debits
Verify that the sum of outstanding credits and the sum of outstanding debits are correct.
IV
Math
Verify that all addition and subtraction has been done correctly and there are no transpositions of numbers.
V
Previous reconciliation
Verify that the previous reconciliation was performed correctly, and that all cleared items are marked as such in the checkbook.

Choose the option below that correctly describes the items that could have caused this problem with Stephen’s reconciliation.