Out of balance information for Trade Debtors account and Analyse Debtors window

Out of balance information -- Trade Debtors

If you compare the balances of the Trade Debtors account in the Accounts List window and the Analyse Debtors window, you may find out of balance amounts. This can occur because the amounts are incremented differently:

The balance in the Accounts List window reflects all transactions that have been applied to the Debtors account. That is, it's the balance of all transactions in any command centre on which the Trade Debtors account has been used.

The balance in the Analyse Debtors window is the balance due on open sales only. That is, it's the balance of open sales entered in the Sales Command Centre.

Using the Debtors Reconciliation report

Use the Debtors Reconciliation Exceptions report to compare the total of all the balances from all your customers and the current balance of the linked trade debtors account. (You specified the account that is your linked debtors account in the Sales Ledger Linked Accounts window.)

If the Debtors Reconciliation Exceptions report shows an out of balance amount:

Any entries to the linked trade debtors account that have been generated outside of the Sales command centre are displayed.

Any entries in which the linked trade debtors account was used as the allocation account on a sale are displayed.

While displaying the report in the Report Display window, click the transaction that is causing the out-of-balance. The window in which the transaction was created opens; edit the transaction as necessary.

Situations that can cause a discrepancy in the balance of your Trade Debtors account

If you allocate funds to the Trade Debtors account in any transaction other than those performed correctly in the Sales Command Centre, such as a cheque, deposit or Nominal Journal entry, the Trade Debtors account reflects the transaction, but the Analyse Debtors window doesn't, because no invoice was recorded. (Use the Debtors Reconciliation Exceptions report to find these situations.)

If you use the Trade Debtors account as the allocation account in a sales transaction, the balance of the Trade Debtors account isn't affected because the Trade Debtors account is both debited and credited by the transaction. This leaves the account balance unchanged. However, the Analyse Debtors window displays the transaction because there's a balance due on the sales transaction. (Use the Debtors Reconciliation Exceptions report to find these situations.)

If you've entered an incorrect opening account balance for your linked trade debtors account or you've entered incorrect historical sales there will be a non-zero amount displayed in the Out of Balance window of the Customer Balances window. (To understand an out of balance amount -- historical sales)

Note: Use this information to understand Out of Balance amounts on Aged Debtors and Debtors Reconciliation reports