Figures on a Blance sheet

[Tina1]

Hello

I am using Sage and have printed out a balance sheet. Could any help me with the current liabilities area for bank acc for the period ie/ month of may. It shows a figure for the bank acc as a liability but how is this figure worked out. I understand the rest of the figures and if my acc was in DR it would show as an asset, but if its a CR how does sage work out this figure? Any advice would be much appreciated.

Thank you

Tina

 

[Woodcrest Accounting Serv]

Hi, The bank account figure is the balance of your bank statement less any cheques/payments that are cleared or uncleared, and plus any receipts, both cleared and uncleared.

Remember a DR balance on your bank statement will be the opposite to what is in your accounts package- an overdrawn bank balance will show as a liability CR balance in Sage.

 

[Tina1]

Thank you for your quick reply. It has been very helpful. Could i ask one more thing on this matter. If my o/b shows 257.18 and i add receipts and minus payments i am left with a figure of £177.62 as money i have left in the acc. When i do 257.18 minus 177.62 i am left with £79.56 which is showing on my balance sheet as a liability. Why is this?
Oh hold on i think i have just worked it out. Is it because i have put 257.18 into the business so i have a balance of 177.62 after all payments and receipts are dealt with for the month. So 177.62 minus 257.18 = -79.56 which is a liability to the company as this is what i owe back to the capital account. I am on the right track here. Please say i am as this has been bugging me. Thank you for your time.