Out of balance information for Accounts Receivable account and Analyze Receivables window

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Out of balance information -- Accounts Receivable

If you compare the balances of the Accounts Receivable account in the Accounts List window and the Analyze Receivables 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 Receivables account. That is, it's the balance of all transactions in any command center on which the Accounts Receivable account has been used.

The balance in the Analyze Receivables window is the balance due on open sales only. That is, it's the balance of open sales entered in the Sales Command Center.

Using the Receivables Reconciliation report

Use the Receivables Reconciliation Exceptions report to compare the total of all the balances from all your customers and the current balance of the linked accounts receivable account. (You specified the account that is your linked receivables account in the Sales Linked Accounts window.)

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

Any entries to the linked accounts receivable account that have been generated outside of the Sales command center are displayed.

Any entries in which the linked accounts receivable 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 Accounts Receivable account

If you allocate funds to the Accounts Receivable account in any transaction other than those performed correctly in the Sales Command Center, such as a check, deposit or General Journal entry, the Accounts Receivable account reflects the transaction, but the Analyze Receivables window doesn't, because no invoice was recorded. (Use the Receivables Reconciliation Exceptions report to find these situations.)

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

If you've entered an incorrect opening account balance for your linked accounts receivable 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 Receivables and Receivables Reconciliation reports