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<< Click to Display Table of Contents >> Navigation: MLS 2026 Fully Integrated Accounting > General Ledger > General Ledger Balance Analysis |
One of the most difficult aspects of maintaining a General Ledger is keeping the accounting system in balance.
Even with extensive safeguards built into MLS 2026, accounting errors can still occur due to:
•Incorrect manual entries
•Incomplete postings
•Damaged data
•Incorrect account numbers
•Improper balance adjustments
The Analysis utility helps identify these problems quickly and isolate where the imbalance occurred.
This option is available from:
•Ledger → Analysis
The Analysis routine performs several automated tests on the General Ledger, including:
•Verifying account balance totals
•Checking transaction balancing
•Isolating out-of-balance months and dates
•Identifying invalid account numbers
The goal is to help operators locate accounting problems before performing a closing.
The first test examines the General Ledger master file.
MLS 2026 compares:
•Total Debit-balance accounts
against
•Total Credit-balance accounts
If the totals match:
👉 the ledger is considered balanced.
If they do not match:
👉 the system reports that the ledger is out of balance.
The most common cause of this problem is:
👉 manual changes to Beginning Balance fields.
This often occurs when:
•Balances are adjusted manually between accounts
•A closing has not yet been performed
•Totals were edited incorrectly
If an imbalance is reported:
1.Print a Trial Balance
2.Compare:
oBeginning Balances
oEnding Balances from the previous closing
3.Review:
oProfit & Loss statements
oBalance Sheets
The Beginning Balance shown on the Trial Balance should match the Ending Balance from the previous accounting period.
⚠️ Beginning Balance fields should be modified carefully.
Improper changes can:
•Distort financial reports
•Create balancing problems
•Affect future closings
After reviewing master balances, MLS 2026 evaluates all current transaction postings.
The system compares:
Total Debits=Total CreditsTotal\ Debits = Total\ CreditsTotal Debits=Total Credits
If the totals do not match, MLS 2026 reports:
Your Transactions Are Not In Balance
When an imbalance exists, MLS 2026 automatically:
1.Reviews each accounting month
2.Identifies months that are out of balance
3.Performs day-by-day analysis
4.Displays specific dates containing problems
These dates may then be reviewed using:
•Ledger → Transaction Posting
This dramatically reduces the time required to locate posting errors.
The most common transaction imbalance is:
👉 one-sided posting.
Example:
A payment is posted to:
•Accounts Receivable
but the corresponding:
•Cash entry
was never created.
This leaves:
•Debits and Credits unequal
and places the ledger out of balance.
The final step examines:
•Account numbers
•Transaction references
•Posting integrity
The system identifies:
•Missing account numbers
•Invalid account numbers
•Incorrectly posted transactions
Dates associated with these problems are displayed for correction.
Most General Ledger corrections are made through:
•Ledger → Transaction Posting
Using Transaction Posting, you can:
•Add missing entries
•Correct account numbers
•Remove invalid postings
•Restore ledger balance
•Run Analysis before monthly closing
•Avoid manually changing Beginning Balances unless necessary
•Review Trial Balance reports regularly
•Correct transaction errors immediately
•Verify all manual postings remain balanced
Accounting systems occasionally encounter balancing issues—especially when manual adjustments are involved.
The Analysis utility was designed specifically to:
•Locate problems quickly
•Reduce troubleshooting time
•Help operators maintain accurate accounting records
For many businesses, this becomes one of the most valuable troubleshooting tools in the entire accounting system.