What would you like to do?

How do you calculate average balance on bank statements?

already exists.

Would you like to merge this question into it?

already exists as an alternate of this question.

Would you like to make it the primary and merge this question into it?

exists and is an alternate of .

The average monthly balance is calculated by adding the ending monthly balance for the period (usually 12 months) and dividing this by the period. e.g. For a period of 12 mos with an ending balance at the end of each month of $12 you would have 12+12+12+12+12+12+12+12+12+12+12+12=144 and 144/12= $12. Therefore the average balance over the period is then $12. Hopes this helps.


It is the sum of the end of day balance in the account for each day in the quarter, divided by the number of days in the quarter.

http://www.hdfcbank.com/personal/accounts/aqb_pop_up.htm#3


The question did not indicate the period. It is the sum of the end of every day balance in the account divided by the period for which calculations are made. To amplify the sum of daily balances will be divided by number of days, if you need average daily balance, and by months in case you need monthly average etc.
+ 15 others found this useful
Thanks for the feedback!

Why does your bank statement show a credit for an increase in your cash balance?

It's because the bank statement is written from the POV (bank's point of view). In the double entry system, a debit entry is an increase in an asset or expense/decrease in i

What is the average person's bank balance in the UK?

A survey done in 2009 showed that the average person's bank balance in the UK is £-57. That's minus 57 pounds. The main reason for this is because all the major banks are b

Why does the bank statement have to be reconciled with the bank balance in the cash book?

This is mainly done when your cashbook balance doesn't match with the statement balance. But some companiess also follow the principle for security sake. Also, if you are well

Why does a cash book bank column balance differ from the bank statement balance?

This happens when some transactions are recognized as unpresented and uncredited, they can be in forms of cheque or normal transactions. likewise, transactions like Income c

Why bank balance as per the cash book does not tally with the bank statement?

When totalling a balance in an accounts system the company has paper records of monies expended and income. When the bank run their system the cash is still moving - some bill

Difference between a cash book balance and bank statement?

1.cheques issued to creditors but not presented for payment 2.cheques recieved from debtors depositted in to bank and not credited by the bank 3.cheques written and entered in

How do you calculate a 12 month average balance on a loan?

  The answer depends on when interest is calculated, how frequently payments are made, the interest rate being charged and the life time of the loan. There are a number of