Most Millennials and Gen Z have never seen a "check register" and cannot imagine not looking at the "app" to find their current bank balance. Your friend, Tom, relies entirely on the Wells Fargo app to know how much he has in the bank. Tom uses Venmo or his debit card for most of his transactions, although he has to write a check for his rent every month. His parents transfer money to Tom's account each month, but it is irregular, and the amounts differ. Tom periodically receives a check from a guy he does some work for - some of the checks are NSF, although the guy always pays up in the end. Tom also has a regular job on campus, but his hours are erratic and he never knows what his paycheck will be.

Please create a thread using your first and last name, and respond to the following:

1. What might Tom miss by not reconciling his bank statement to his records each month?
2. Give reasons why Tom should perform a formal monthly bank reconciliation? Does he need to do the journal entries formally too?
3. Are there potential costs for Tom that he could avoid?