In accounting, the balance is the difference between the debit and credit of a particular account. This indicator is used to identify balances for this type of economic assets for a certain period and is calculated when compiling the balance sheet. In order to find the balance, you must first determine the nature of the account.
Instructions
Step 1
Create a table with 7 columns. The first one is intended for the name of the account for which the calculation will be carried out. In the second and third, indicate the credit and debit balances of the accounts that are recorded in accounting at the beginning of the reporting period. The fourth and fifth columns contain information on turnovers for the reporting period. The last two columns are used to enter data on the debit or credit of the calculated balance.
Step 2
Determine the nature of the account for which you want to find the balance. Active accounts are characterized by the fact that the receipt of funds on them is recorded on the debit, and the outflow on the credit, while they characterize the state and change of economic assets. To account for the state and change the sources of funds, passive accounts are used, in which the increase is recorded on credit, and the decrease on debit. Active-passive accounts simultaneously reflect the properties of property and sources of formation.
Step 3
Find the balance for the active account. It is equal to the sum of debit balances and turnovers minus credit turnovers. The resulting value is debit the balance.
Step 4
Calculate the balance for the passive account, which is the sum of the balance and the turnover credit minus the turnover debit and is reflected on the credit side of the table.
Step 5
Calculate the balance for the active-passive account. Sum up the debit balances and turnovers and subtract the amount of the balance and turnovers from the resulting value. If the indicator turned out to be positive, then it is written to the debit balance, if negative, then to the credit side without a minus.
Step 6
Draw up a balance sheet every month to check that the accounting is correct. Based on the results of this table, you can easily draw up an annual balance sheet or other accounting report.
