Example of Credit Balance

The credit balance It is a term used in accounting and mainly in the banking field.

When balancing between the sum of the total values ​​of the Charges and the sum of the total of the values ​​of the credits of an account at the end of an accounting period, the total balance of the account.

When the result is positive, that is, when the total of the payments is greater than the charges, it is said that we have a Credit Balance. It is also known as credit balance

When the result is negative, in which the charges are greater than the credits, then we have a debit balance, also called a balance against.

Example:

Credit Balance

Credit balance: $ 30,000,000

Debit balance

Debt balance: $ 210,000,000