Define "opening balance"

Answer 1

The "opening balance" refers to the amount of money or assets that a business or individual has at the beginning of a specific period, such as the start of a fiscal year or the commencement of a bank account. It represents the cumulative balance from the previous period or the initial investment made. It serves as a starting point for financial transactions and calculations in subsequent periods. The opening balance can include funds in cash, bank accounts, investments, inventory, accounts receivable, or any other assets held by the entity.