Accounting Behavior and Balances

Accounting behavior in remoteEaze is driven by product type and normal balance side. These rules affect transaction entry, balance display, and Close of Business rollover.

Product types and normal balance side

The current product type model includes:

• ASSET
• LIABILITY
• INCOME
• EXPENSE
• CONTINGENT_ASSET
• CONTINGENT_LIABILITY

Normal balance side is derived from product type.

Debit-normal types:

• ASSET
• EXPENSE
• CONTINGENT_ASSET

Credit-normal types:

• LIABILITY
• INCOME
• CONTINGENT_LIABILITY

Debit and credit effect

Transaction behavior follows this rule:

• debit increases assets and expenses, decreases liabilities and income
• credit decreases assets and expenses, increases liabilities and income

Product closing balance rule

Closing balance calculation depends on normal side.

For debit-normal products:

closing balance = open balance + debit movement - credit movement

For credit-normal products:

closing balance = open balance + credit movement - debit movement

The same debit-normal versus credit-normal split is used in day, month, and year rollover.

Display balance versus raw balance

For some internal GL views, display balance is not a direct copy of stored raw balance. Presentation rules may apply a sign flip so the value aligns with accounting display expectations.

Posting is still double-entry

Regardless of product type, transaction submission requires balanced postings in tenant base currency.

The platform enforces:

• at least one debit line
• at least one credit line
• total debits equal total credits in base currency

Other controls that affect posting

Product type is not the only control. Posting is also constrained by account status, transaction code direction, and supporting configuration status.

Interest and provisioning mappings

Interest accrual, tax posting, and provision configuration also validate expected product categories (for example liability versus expense) for specific posting roles.