Reasons why the Debtors or Creditors Control Accounts do not agree with the aged debtors or creditors reports, and how to take corrective action
As part of your weekly or monthly routines, you may produce and reconcile your Aged Debtors report with the balance on the Debtors Control Account. This enables you to keep track of your customers’ payment performance and chase any outstanding debts. You are also able to check that the Debtors Control Account balance agrees with the balances on the Customers ledger.
Note: This article explains why the balance on your Debtors Control Account may disagree with your Aged Debtors Analysis report. To use this article to check your creditors balance, substitute debtor with creditor and customer with supplier.
To produce an accurate Aged Debtors report, you must ensure that there are no searches applied to the Customers list, you have selected the Exc Later Payments check box and if you are using the detailed reports that you use a Transaction Date Range from 01/01/1980 to the end of the period being reconciled.
If the two balances do not agree it could be due to one of the following:
- A genuine discrepancy in the accounts, for example…
If you would like to read the rest of this article, please fill out this contact form and we will email you a pdf version.