- Knowledge Base Categories:
- School Accounting System
FAQ: How do I tell if my balance sheet is in balance?
How do I tell if my balance sheet is in balance?
- First, look at the balance sheet and verify that the Assets=Liabilities + Fund Balance. If they equal, then you are in balance. If they do not equal, you will need to find where you are out of balance.
- Second, take the Balance Sheet and compare it to the Revenue/Expenditure Summary report. The following items should match on the two reports:
- The Ending Balance for Budgeted Revenue (Account Type 3) on the Balance Sheet and the Revised Budget column total for revenues on the Revenue/Expenditure Summary report.
- The Ending Balance for Budgeted Expenditures (Account Type 6) on the Balance Sheet and the Revised Budget column total for expenditures on the Revenue/Expenditure Summary report.
- The Ending Balance for Less: Revenue Received (Account Type 3) on the Balance Sheet and the Year to Date column total for revenues on the Revenue/Expenditure Summary report.
- The Ending Balance for Less: Expenditures to Date (Account Type 6) on the Balance Sheet and the Year to Date column total for expenditures on the Revenue/Expenditure Summary report.