What does this section cover?

What is Balance Calculation?

In CRM.COM the balance of an account is not saved but it is a dynamically calculated field. There are 2 different types of balance that are being used:

Accounts Receivable Balance: The aggregated amount of posted debits and credits allocated against the Accounts Receivable.

Accounts Receivable Outstanding Amount: The total outstanding amount which is owed by the customer, as of a specific date, which is the aggregated amount of posted debits which are not paid and are past their due date. 
 

Account Balance, and Account Outstanding amount are both available via the Accounts Receivable Summary and Data Entry pages.

Calculating the Accounts Receivable Balance

The Balance of an account's receivable is the total amount of debit and credit financial transactions which are posted against that account, as of a specific date.

The Accounts Receivable balance is calculated based on the following formula

Balance = Sum (Total amount of all debit transactions which were posted against that account) - Sum (Total amount of all credit transactions which ere posted against that account)

Calculating the Accounts Receivable Outstanding Amount

The outstanding amount of an Accounts Receivable is the total outstanding amount which is owned by the customer, as of a specific date, which is the aggregated amount of posted debits which are not paid and are past their due date.

The outstanding amount is calculated based on the following formula

Outstanding Balance =  (Total amount of all debit transactions which were posted against that account, having a due date greater or equal to current) - Sum (Total amount of all credit transactions)