Opening Balance and Closing Balance Not Matching - General Ledger

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Posted on by Marwan Jumaan

Hi,

I have a scenario whereby the Closing Balance of a specific period does not match with the immediate next period opening balance.

Example :-

Closing balance for period 201902 = 100 and

Opening balance for 201903 = 120

This issue was observed when the client was auditing his previous financial year, and the above issue only happened with some ledger accounts to be specific his bank ledger accounts.

This difference is observed when previewing the "Detail General Ledger" and when previewing the "Trial Balance" for the specific account it shows the Closing balance for 201902 = 120 even though the General Ledger reported 100 for the specific period closing balance.

i.e "Detail General Ledger" reports different figures from the "Trial Balance" for the specific account.

Any suggestions on this matter?

Thanks.

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Erich Strelow F 16 on at

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This kind of gap between closing balance and opening balance is not that rare in this kind of system.

Roughly, there are two tools available to sort it out:

You can perform an integrity check via the 01.990.00 screen. What the screen shows about Verify YTD or compare YTD to PDT it's precisely to recalculate all the starting and closing balances so they match. Beware that this can be a messy process to launch on a medium to large database.

You can use the Account History (01.300.00) to pinpoint fix the gap. Even though this screen is supposed to be a query screen, you can actually edit the values if you launch it on Initialize mode. Please resist to do it immediately for one account only, even if you know the right amount. If you have an asset account with a $20 gap it means that you have a liability account with a $20 gap also. Or maybe another asset account with a -$20 gap. If you can pinpoint only a few offending accounts with marching gaps, you can use the Account History for this.

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