Why does the AR Aging report not tie to the balance sheet?
The AR Aging report and the AR balance sheet account should always tie to each other. Unanet will not allow them to go out of balance unless the responsible personnel perform data entry activity outside of the normal prescribed procedures. Note possible causes and solutions below.
If AR Aging > Balance Sheet:
A customer invoice was posted prior to the General Ledger Effective Date or with the General Ledger disabled.
|Review customer invoice post dates via Invoice List and compare to GL properties audit trail.|
|A General Journal Entry was made crediting Accounts Receivable.||Review the GL Details report for the affected period to see if a General Journal entry was made. if so, reverse the General Journal entry and properly record the transaction.|
|Prior to the Go Live date, the Accounts Receivable Aging and General Ledger accounts were not properly reconciled.||Reconcile the aging and general ledger as of the Go Live date and make any required adjustments.|
|A cash receipt was not correctly entered for a payment that was received or was incorrectly entered as a General Journal entry.||Enter the missing cash receipt against the outstanding invoice prior to closing the period. Check the bank reconciliation for the period to ensure there are no reconciling deposit items. Review the General Ledger to identify if a cash receipt was recorded via a General Ledger Journal Entry. If so, reverse the General Ledger Journal entry and record the cash receipt for the invoice.|
|An additional item was used on an invoice (in a live system with the General Ledger on) that has a debit to something other than billed.||Before finalizing an invoice, ensure that any additional items entered on the invoice are set to "Billed" and not any other additional item type.|
If AR Aging < Balance Sheet:
|A customer payment was posted prior to the General Ledger Effective Date or with the General Ledger disabled.||Unpost the incorrect customer payment and post it subsequent to the General Ledger Effective Date so that the Accounts Receivable Aging and General Ledger maintain balance.|
|A General Ledger Journal entry was mistakenly made debiting Accounts Receivable.||Review the General Ledger details report for Accounts Receivable for the affected period. Reverse the General Journal entry in the period it was entered. Properly record the transaction.|
|Accounting personnel enter an accrual entry directly to the Accounts Receivable account.||Set up a separate accrued revenue General Ledger account to capture these type of period end general adjusting entries.|