Verifying Accounts Receivable & Accounts Payable Ledger Balances

Task/Problem Overview

The best way to verify your Accounts Receivable and Accounts Payable ledger balances to make sure they are correct is to use the Reporting Engine. The Customer Balance Detail and Vendor Balance Detail reports should be used. Here is how you should expect the balances on the reports to line up with the ledger accounts.

AR Aging Detail Report

• AR Aging Detail Report Total = Accounts Receivable Ledger (Asset) - Customer Credit Ledger (Liability)

AP Aging Detail Report

• AP Aging Detail Report Total = Accounts Payable Ledger (Liability) - Vendor Credit Ledger (Asset) - Discount Available Ledger (Liability)

If the numbers do not match, then this indicates that there are some inaccuracies on your ledger accounts. Comparing individual entries on the ledgers with entries on the report will be necessary.