Question:

We utilized the Temporary Opening Account to adjust the opening balance. Despite updating the balance in all Balance Sheet accounts, there remains a balance in the Temporary Account. What could be causing this balance, and how can it be zeroed out?

Answer:

When updating the opening balance in BizCentric, it’s crucial to ensure that the Balance Sheet from the previous system reconciles (Assets = Liabilities).

Begin by updating the opening balances for the aforementioned statement, using the Temporary Opening Account to balance the entries. Once the opening balances for all Asset and Liability accounts are updated, the balance in the Temporary account should automatically reach zero.

If a balance persists in the Temporary Account, it may be due to one or both of the following reasons:

1. The Balance Sheet used for updating the opening balance wasn’t properly closed, resulting in an imbalance between Assets and Liabilities.
2. The Temporary Opening Account wasn’t consistently utilized when updating opening balances in BizCentric.

Please review the aforementioned points as they could explain the balance remaining in the Temporary Opening Account.