Why is opening cash balanced of preceding month higher then closing balance on that month?

Answers (1)

let me understand the question, let take an example, january. is your question: why is the opening cash balance of january higher than the closing cash balance of january? if so, simple answer: because there were cash inflows and outflows during the month of January and the outflows here higher than the inflows.

if you talk about closing balance of january vs opening balance of february, then there is a mistake, they must be the same

Votes: +0 / -0