Below is a description of the accounting close process. The sequence is to work with transactions, post, run a trial balance to check, work with transactions to balance, post (final), run trial balance and then run the financial statements.
Listed steps are:
HELP is available for each of the choices on the FINANCIAL MENU. To get instructions and help, read the 'hover help' or press the F Key (F1,F2) correspondining to the menu choice for which you want help.
Open Ledger
This is the first step in the accounting process. To use the program, you must open the ledger first. The ledger name is password protected. As needed, You can create a password with proper credentials.
In addition, you may set up multiple ledgers, one for each business unit, if you wish.
Close Ledger
It is wise to close a ledger on leaving the program. Of course, if you have multiple ledgers, one must be closed before another may be opened.
Please Keep in mind that most transactions have been put in automatically from the various programs and your entries.
Allows you to add to and modify your chart of accounts to set up and tailor to your specific business, where necessary. Once there are amounts in accounts, It is possible to drill down to view individual entries.
This is where the few accounting entries you actually make are entered. Any entry you make goes into to a single account.
This means you must make a match- ing entry with the opposite sign for each transaction you enter.
EXAMPLE
Subtract from Cash (Amt. Minus)
Make a second transaction:
Add to Expense (Amount Plus).
Just be sure to BALANCE
This menu choice will print the current chart of accounts for review or modification. The chart of accounts printed is the one which will be used for this ledger.
Modifications would be made using Choice number three, WORK WITH ACCOUNTS.
HELP - TRIAL BALANCE
This menu choice will create and print the trial balance for the company's accounts. This is a good way to check the few entries you made to see that they were balanced.
If they do not balance, just make the balancing entry and post using Choices Number (4) and (7).
NOTE DO NUMBER (7) BEFORE THIS
POST TO GENERAL LEDGER REPORT
/ SAVE AUDIT DETAILS
So that any mistakes can be found and corrected BEFORE the preparation of the company's accounting records and financial statements, you POST first. It's basically automatic. Unless you ask, journals and ledgers will not be printed. The current period accounts and transactions are, however, saved on disk, as SO + No. of month + .PRN and .PRA files, for review, as Journal/Acct Balances to Files (Audit).
HELP - FINANCIAL STATEMENTS
This is the final step in the accounting process; (and the key management tool for you.)
Normally, you would work with transactions, post, run a trial balance to check up, work with transactions to balance, post (final), run trial balance and then run the financial statements. Only if they balance will you be asked if you wish to close and set up for next month.
This Display shows the account balances at the present time.
This balance may be used as an alternative to (3).
Keep in mind that you may run multiple copies of the financial statements, as long as you have not said YES to the question; 'Do you wish to prepare for next month?'