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View Full Version : Is there an equation to finding the beginning cash balance?


Imhiding
Sep 24, 2011, 05:10 PM
I have the cash receipts, the cash payments and the ending cash balance, but I can't figure out the beginging cash balance.

pready
Sep 26, 2011, 06:44 AM
You need to work the problem backwards to get the beginning balance.

Your basic formula is:

Beginning Cash balance + Cash Receipts - Cash payments = Ending Cash balance.

So:
Beginning Cash Balance = Ending Cash Balance - Cash Receipts + Cash Payments.