The accountant/CFO of some dental practices may need to prove to an auditor how the beginning and ending accounts receivable was calculated.
- Confirm transaction locking is tight and does not allow backdating.
- Run the AR Report on the first of the month. This shows total outstanding balance by patient as a snapshot – this report cannot be run for the past. Save this report. This final AR number will become your beginning balance.
- Run the AR Report on the first of the next month. Save this report as well. This final AR number will become your ending balance. Again, confirm the transaction locking is tight and does not allow backdating.
- Identify the date you ran each report.
- Now, to show where the difference in these two AR numbers, create a custom report.
- Use the Analysis Ledger Report Builder (found in the Financials tab)
- Select location - and filter by location to match the AR report
- Select primary guarantor
- Select the transaction date – filter to include the dates from the beginning balance to the ending balance
- Select production or collection
- Select category
Here is a screenshot of the report layout:
This custom report will show you the detailed activity and will show the final AR Total amount at the bottom.
(Article authored by J. Alldredge, J. Nesbitt 2019)
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