What is opening balance in SAP SRD-FIN-CLM - FIN-Cash and Liquidity Management?

SAP Term: opening balance

• Component: SRD-FIN-CLM

• Component Name: FIN-Cash and Liquidity Management

• Description: The total amount stated on a bank statement as the starting amount. It equals the closing balance of the preceding bank statement.

Smart SAP Assistant

• Key Concepts: 
  Opening balance is a term used in SAP Cash and Liquidity Management (CLM) to refer to the amount of money that is available in a bank account at the beginning of a period. This amount is usually determined by the previous period's closing balance, which is the amount of money left in the account at the end of the period. 
  
  How to use it: 
  In SAP CLM, opening balance is used to track the amount of money available in a bank account at the beginning of a period. This information can be used to calculate the total cash flow for the period, as well as to compare actual cash flow with budgeted cash flow. 
  
  Tips & Tricks: 
  When entering opening balance information into SAP CLM, it is important to ensure that all transactions from the previous period have been accounted for. This will ensure that the opening balance accurately reflects the amount of money available in the bank account at the start of the period. 
  
  Related Information: 
  Opening balance is closely related to closing balance, which is the amount of money left in a bank account at the end of a period. Closing balance can be calculated by subtracting all transactions from the opening balance. Additionally, opening and closing balances are used to calculate cash flow for a period, which can be used to compare actual cash flow with budgeted cash flow.