Opening balance

The opening balance for the current fiscal year represents the closing balance for the previous fiscal year. The opening balance includes the balance sheet accounts (permanent accounts) without the income statement accounts (temporary accounts) that are closed annually in the profit and loss account and this account appears in the balance sheet in the name of the working profits account (retained or carried forward earnings).

How can we use the opening balances feature for accounts in Afaky Integrated Accounting ERP System?

The opening balances are used to transfer the account data to the Afaky accounting program in the form of a movement of entries (debit - credit).

It includes all permanent accounts such as:

Asset Account: It expresses the economic resources owned by the enterprise such as: inventory (products and costs), bank, cash, debtors (customers).

Liabilities account: It expresses the firm's obligations towards others in return for obtaining goods, services or loans. For example: creditors (suppliers).

Owners' rights: It is the money owned by the owners of the establishment in the establishment. Such as: capital, retained earnings (working earnings).