Peachtree Manual1

CONTENT
PAGE
PART I .......................................................................................................................................................................... 6 1. PEACHTREE ACCOUNTING OVERVIEW ................................................................................................. 6 1.1 START UP ..................................................................................................................................................... 6 1.2 WHAT SORT OF DATA DO I NEED TO ENTER? .................................................................................. 6 1.3 THE CONVERSION DATE ......................................................................................................................... 7 1.4 BATCH VS. REAL-TIME POSTING ......................................................................................................... 7 1.5 CASH BASIS OR ACCRUAL ACCOUNTING .......................................................................................... 7 1.5.1 The benefits of cash basis accounting .................................................................................................... 8 1.5.2 The benefits of accrual accounting ........................................................................................................ 8 1.6 DATES AND ACCOUNTING PERIODS ................................................................................................... 8 1.7 YOUR CHART OF ACCOUNTS ................................................................................................................ 9 1.8 OTHER DECISIONS .................................................................................................................................... 9 1.8.1 G/L Beginning Balances ........................................................................................................................ 9 1.8.2 Coding systems ...................................................................................................................................... 9 1.8.3 Global options ..................................................................................................................................... 10 1.8.4 Assigning tasks..................................................................................................................................... 10 1.8.5 Entering all at once vs. entering as needed ......................................................................................... 10 1.8.6 Backup strategies ................................................................................................................................. 10 1.9 WORKSHHETS .......................................................................................................................................... 11 1.10 SETTING UP A NEW COMPANY ............................................................................................................ 11 1.11 DEFAULT INFORMATION ...................................................................................................................... 12 PART II ...................................................................................................................................................................... 12 2. NAVIGATING PEACHTREE........................................................................................................................ 12 2.1 DISPLAY THE STARTUP WINDOW WHEN PEACHTREE ACCOUNTING OPENS ........................ 12 2. 2 DISPLAY AND USE NAVIGATION AIDS ................................................................................................ 13 2.2.1 To display Navigation Aids .................................................................................................................. 13 2.2.2 To turn off Navigation Aids : ............................................................................................................... 13 2.3 USE THE PEACHTREE ACCOUNTING MENUS .................................................................................... 13 2.3.1 Mouse................................................................................................................................................... 14 2.3.2 Fields ................................................................................................................................................... 14 2.3.4 List items .............................................................................................................................................. 14 2.3.5 Menu items .......................................................................................................................................... 14 2.3.6 Keyboard ............................................................................................................................................. 14 2.4 PEACHTREE ACCOUNTING WINDOW BASICS .................................................................................................. 15 2.4.1 Icon Bar ............................................................................................................................................... 16 2.4.2 Entry Boxes .......................................................................................................................................... 16 2.4.3 To add a record ................................................................................................................................... 16 2.4.4 To list records ...................................................................................................................................... 16 2.4.5 Smart Data Entry Options ................................................................................................................... 16 2.4.6 Status Bar ............................................................................................................................................ 16 2.5 DISPLAY SMART GUIDES .......................................................................................................................... 17 2.5.1 To display Smart Guides ...................................................................................................................... 17 2.5.2 To move a Smart Guide ....................................................................................................................... 17 2.5.3 To turn off Smart Guides ..................................................................................................................... 17 PART III..................................................................................................................................................................... 18
3.
BASIC PROCEDURES ................................................................................................................................... 18 3.1 OPENING & CLOSING ............................................................................................................................. 18 3.1.1 Start Peachtree accounting .................................................................................................................. 18 3.1.2 Open a Peachtree Accounting Company ............................................................................................. 18 3.1.3 Log on to a Peachtree accounting company ........................................................................................ 19 3.1.4 Close a Peachtree accounting company................................................................................................ 20 3.2 EDIT DATA .................................................................................................................................................... 20 3. 2.1 Look up items in a list ............................................................................................................................. 20 3.2.2 Edit a record or transaction .................................................................................................................... 22 3.2.3 Erase a record or transaction ................................................................................................................. 23 3.2.4 Cut, Copy, or Paste Data ......................................................................................................................... 24 3.3 ADD OR REMOVE A LINE ITEM IN A RECORD OR TRANSACTION ............................................ 25 3.4 RECURRING ENTRIES ............................................................................................................................... 25 3.4.1 Create a recurring entry ...................................................................................................................... 25 3.4.2 Edit a recurring entry .......................................................................................................................... 26 3.4.3 Erase a recurring entry........................................................................................................................ 26 3.5 MEMORIZED TRANSACTION .................................................................................................................. 26 3.6 ACCOUNTING BEHINED THE SCREEN ................................................................................................ 28 EDIT A JOURNAL ENTRY USING ACCOUNTING BEHIND THE SCREENS ................................................ 28
PART IV .................................................................................................................................................................... 29 4. GENERAL LEDGER ...................................................................................................................................... 29 4.1 GENERAL LEDGER DEFAULTS .............................................................................................................. 29 4.2 CHART OF ACCOUNT ............................................................................................................................... 30 4.2.1 Maintain chart of accounts ...................................................................................................................... 30 4.2.2 Setting up your chart of accounts ............................................................................................................. 30 4.2.3 Delete an account from the chart of accounts .......................................................................................... 33 4.2.4 To make the account inactive ................................................................................................................... 33 4.2.5 Set up a rounding account for financial statements ................................................................................. 34 4.2.6 Enter and allocate budgets for your chart of accounts ............................................................................. 34 4.3 BEGINNING BALANCES FOR GENERAL LEDGER ............................................................................ 34 4.3.1 Enter beginning balances .................................................................................................................... 35 4.3.2 What if Im out of balance? ................................................................................................................. 36 4.3.3 When to enter a negative balance ........................................................................................................ 37 4.3.4 Add a new account in g/l beginning balances ...................................................................................... 37 4.3.4 Enter prior period adjustments ............................................................................................................ 37 4.4 GENERAL JOURNAL ENTRY ................................................................................................................... 38 4.4.1 Record a general journal entry ............................................................................................................ 40 4.4.2 Enter a reversing general journal entry .............................................................................................. 41 5. TASK (TRANSACTION) ................................................................................................................................ 44 5.1 SALES .......................................................................................................................................................... 44 5.1.1 Customer Defaults .................................................................................................................................... 44 5.1.2 Maintain Customers/Prospects ................................................................................................................ 45 5.2 QUOTES ........................................................................................................................................................ 48 5.2.1 Convert a quote to an invoice or sales order .......................................................................................... 48 5.2.2 Accounting Behind the ScreensQuotes ................................................................................................ 48 5.3 SALES ORDERS ............................................................................................................................................ 49 5.3.1 Ship Items from a Sales Order ............................................................................................................... 49 5.3.2 Accounting Behind the ScreensSales Orders ...................................................................................... 49 5.4 SALES/INVOICING ...................................................................................................................................... 51 5.4.1 Enter a Standard Invoice......................................................................................................................... 52 5.4.2 Enter a Service Invoice ........................................................................................................................... 54 5.4.3 Accounting Behind the ScreensSales/Invoicing ................................................................................... 57 5.4.4 Recurring Billing ..................................................................................................................................... 58
5.5 RECEIPTS ...................................................................................................................................................... 59 5.5.1 Enter a Deposit or Prepayment ............................................................................................................... 60 5.5.2 To enter customer payment on an invoice ............................................................................................... 61 5.5.3 Enter a Payment from a Customer Not on File ....................................................................................... 62 5.5.4 Enter a Cash Sale .................................................................................................................................... 62 5.6 FINANCE CHARGES ......................................................................................................................................... 63 5.6.1 Set Up Finance Charges ......................................................................................................................... 63 5.6.2 How Finance Charges Are Calculated ................................................................................................... 63 5.7 PURCHASES ............................................................................................................................................... 64 5.7.1 Vendor Defaults ....................................................................................................................................... 64 5.7.2 Maintain Vendors ..................................................................................................................................... 65 5.7.3 Enter a Vendor's beginning balance ........................................................................................................ 65 5.7.4 Review a Vendor's Status ........................................................................................................................ 66 5.8 PURCHASE ORDERS .................................................................................................................................. 66 5.8.1 Accounting Behind the ScreensPurchase Orders ................................................................................. 67 5.9 PURCHASES/RECEIVE INVENTORY..................................................................................................... 67 5.9.1 Enter a Purchase Invoice ........................................................................................................................ 68 5.9.2 Receive Inventory on a Purchase Order ................................................................................................. 70 5.9.3 Accounting Behind the ScreensPurchases/Receive Inventory ............................................................... 71 5.10 PAYMENTS .............................................................................................................................................. 71 5.10.1 Pay Vendors .......................................................................................................................................... 72 5.10.2 To select a range of vendors to pay invoices ......................................................................................... 73 5.10.3 Enter a Manual Check .......................................................................................................................... 73 5.10.4 Enter a Deposit or Prepayment ............................................................................................................. 74 5.10.5 Enter a Cash Purchase .......................................................................................................................... 75 5.10.6 Receive Payment from a Vendor ........................................................................................................... 76 5.10.7 Write a Check to a Customer ................................................................................................................ 77 5.10.8 Accounting Behind the ScreensPayments ........................................................................................... 77 5.11 SELECT FOR PAYMENT .......................................................................................................................... 77 5.12 VOID EXISTING CHECKS........................................................................................................................ 77 5.13 PAYROLL .................................................................................................................................................... 79 5.14 INVENTORY NAVIGATION AID ............................................................................................................ 79 5.14.1 Inventory items (over view) ................................................................................................................... 80 5.14.2 Inventory item defaults ........................................................................................................................... 81 5.14.3 General Ledger Accounts/Costing ........................................................................................................ 81 5.14.4 Taxes/Shipping ....................................................................................................................................... 82 5.14.5 Inventory Item DefaultsCustom Fields ................................................. Error! Bookmark not defined. 5.14.6 Creative Uses for Inventory ..................................................................... Error! Bookmark not defined. 5.14.7 Set up an inventory item ........................................................................... Error! Bookmark not defined. 5.14.9 Enter beginning balances for inventory ................................................. Error! Bookmark not defined. 5.14.10 Purchase an inventory item .................................................................... Error! Bookmark not defined. 5.14.11 Sell inventory items ................................................................................ Error! Bookmark not defined. 5.14.12 Delete an inventory item ....................................................................... Error! Bookmark not defined. 5.14.13 Adjust inventory items ........................................................................... Error! Bookmark not defined. 5.14.14 How does Peachtree handle costing? .................................................... Error! Bookmark not defined.
PART X................................................................................................................. Error! Bookmark not defined. 6. ACTION ITEM...................................................................................... ERROR! BOOKMARK NOT DEFINED. 6.1 USING ACTION ...................................................................................... ERROR! BOOKMARK NOT DEFINED. 6.2 SETUP ....................................................................................................... ERROR! BOOKMARK NOT DEFINED. 6.2 1 Creating events and action items ................................................................ Error! Bookmark not defined. 6.2.3 Viewing and acting on action items ........................................................... Error! Bookmark not defined. 6.3 SET UP ACTION ITEMS AND EVENT LOG OPTIONS ................... ERROR! BOOKMARK NOT DEFINED. 6.3.1 Create an event .......................................................................................... Error! Bookmark not defined. 6.3.2 Display a customer, vendor, or employee event log ................................... Error! Bookmark not defined. 6.3.3 ENTER A TASK IN THE TO DO LIST .......................................................... ERROR! BOOKMARK NOT DEFINED. 6.3.4 SET UP COMPANY ALERTS ...................................................................... ERROR! BOOKMARK NOT DEFINED. 6.3.5 Display company alerts .............................................................................. Error! Bookmark not defined. 6.3.6 Display or remove Peachtree accounting program tips............................. Error! Bookmark not defined. PART XI ................................................................................................... ERROR! BOOKMARK NOT DEFINED.
7. BUSINESS ANALYSIS ......................................................................... ERROR! BOOKMARK NOT DEFINED. 7.1 CASH MANAGER ................................................................................... ERROR! BOOKMARK NOT DEFINED. 7.1.1 Collection manager ................................................................................... Error! Bookmark not defined. 7.1.2 Payment manager....................................................................................... Error! Bookmark not defined. PART XII .................................................................................................. ERROR! BOOKMARK NOT DEFINED. 8 REPORTS .............................................................................................. ERROR! BOOKMARK NOT DEFINED. 8.1 REPORT BASIC ..................................................................................... ERROR! BOOKMARK NOT DEFINED. 8.1.1 Display a Report Onscreen ........................................................................ Error! Bookmark not defined. 8.1.2 Print a Report or Financial Statement ...................................................... Error! Bookmark not defined. 8.1.3 Drill Down on Transactions in Displayed Reports ................................... Error! Bookmark not defined. 8.1.4 Copy a Report to the Windows Clipboard................................................. Error! Bookmark not defined. 8.1.5 Erase a Report, Report Group, Form or Financial Statement .................. Error! Bookmark not defined. 8.1.6 Design a Report ..................................................................................... Error! Bookmark not defined. 8.1.7 To save a report ........................................................................................ Error! Bookmark not defined. 8.1.8 Save customized reports, forms, or financial statements ............................ Error! Bookmark not defined. 8.2 ACCOUNTS RECEIVABLE REPORTS .............................................. ERROR! BOOKMARK NOT DEFINED. 8.3 ACCOUNTS PAYABLE REPORTS ...................................................... ERROR! BOOKMARK NOT DEFINED. 8.4 GENERAL LEDGER REPORTS .......................................................... ERROR! BOOKMARK NOT DEFINED. 8.5 FINANCIAL STATEMENTS ................................................................. ERROR! BOOKMARK NOT DEFINED. 8.5.1 Financial Statements Basic ........................................................................ Error! Bookmark not defined. 8.5.2 Balance Sheet ............................................................................................ Error! Bookmark not defined. 8.5.3 Income Statement ...................................................................................... Error! Bookmark not defined. 8.5.4 Cash Flow ................................................................................................. Error! Bookmark not defined. 8.5.5 G/L Account summary report ..................................................................... Error! Bookmark not defined. 8.5.6 Statement of changes .................................................................................. Error! Bookmark not defined. 8.5.7 Income Statement 2 yrs. ............................................................................ Error! Bookmark not defined. 8.5.8 Income/budgets ......................................................................................... Error! Bookmark not defined. 8.6 INVENTORY REPORTS ....................................................................... ERROR! BOOKMARK NOT DEFINED. 8.7 ACCOUNT RECONCILIATION REPORTS ...................................... ERROR! BOOKMARK NOT DEFINED. 8.9 COMPANY .............................................................................................. ERROR! BOOKMARK NOT DEFINED. 8.10. REPORT GROUPS .............................................................................. ERROR! BOOKMARK NOT DEFINED. 8.10.1 Set up or edit a report group .................................................................... Error! Bookmark not defined. 8.10.2 To edit an existing report group .............................................................. Error! Bookmark not defined. 8.10.3 Print a report group ................................................................................ Error! Bookmark not defined. 8.10.4 Erase a report, report group, form or financial statement ...................... Error! Bookmark not defined. PART XIII ................................................................................................... ERROR! BOOKMARK NOT DEFINED. 9. COMPANY ADMINSTRATION ........................................................ ERROR! BOOKMARK NOT DEFINED.
9.1 PEACHTREE ACCOUNTING SECURITY ........................................ ERROR! BOOKMARK NOT DEFINED. 9.2 COMPANY USERS AND PASSWORDS .............................................. ERROR! BOOKMARK NOT DEFINED. 9.3 CONTROLLED USER ACCESS LEVELS .......................................... ERROR! BOOKMARK NOT DEFINED. 9.4 AUDIT TRAIL ......................................................................................... ERROR! BOOKMARK NOT DEFINED. 9.4.1 Use audit trail ........................................................................................... Error! Bookmark not defined. 9.4.2 What audit trail tracks .............................................................................. Error! Bookmark not defined. 9.4.3 Records and transactions ........................................................................... Error! Bookmark not defined. 9.4.4 Miscellaneous actions ............................................................................... Error! Bookmark not defined. 9.4.5 System functions ......................................................................................... Error! Bookmark not defined. 9.4.6 Activate Peachtree accountings audit trail .............................................. Error! Bookmark not defined. 9.4.7 Print the audit trail report .......................................................................... Error! Bookmark not defined. 9.5 MAINTAIN USERS ................................................................................ ERROR! BOOKMARK NOT DEFINED. 9.5.1 User rights and limited access .................................................................. Error! Bookmark not defined. 9.5.2 User rights and limited access .................................................................. Error! Bookmark not defined. 9.5.3 Set up company users and passwords ....................................................... Error! Bookmark not defined. 9.5.4 Log on to a Peachtree accounting company ............................................. Error! Bookmark not defined. 9.5.5 Change a user's password and access rights ............................................ Error! Bookmark not defined. 9.5.6 Copy user information to a new user ........................................................ Error! Bookmark not defined. 9.5.7 erase company users ................................................................................. Error! Bookmark not defined. 9.5.8 Remove user and password security ......................................................... Error! Bookmark not defined. 9.6 ACCOUNT RECONCILIATION ......................................................... ERROR! BOOKMARK NOT DEFINED. 9.7 BACKUP AND RESTORE ..................................................................... ERROR! BOOKMARK NOT DEFINED. 9.8 GLOBAL OPTIONS ............................................................................... ERROR! BOOKMARK NOT DEFINED. 9.8.1 Set up global options for Peachtree accounting ......................................... Error! Bookmark not defined. 9.8.2 Decimal point entry ................................................................................... Error! Bookmark not defined. 9.8.3 Improve performance ................................................................................ Error! Bookmark not defined. 9.8.4 Hide general ledger accounts ................................................................... Error! Bookmark not defined. 9.8.5 Hide inactive records ................................................................................ Error! Bookmark not defined. 9.8.6 Line item entry display .............................................................................. Error! Bookmark not defined. 9.8.7 Smart data entry options ........................................................................... Error! Bookmark not defined. 9.8.8 Warn if a data record was changed but not saved yet............................... Error! Bookmark not defined. 9.8.9 Warn if inventory item is out of stock ........................................................ Error! Bookmark not defined. 9.8.10 Recalculate cash balance automatically in receipts and payments .......... Error! Bookmark not defined. 9.8.11 Peachtree accounting color schemes ....................................................... Error! Bookmark not defined. 9.9 BACKUP STRATEGY ........................................................................... ERROR! BOOKMARK NOT DEFINED. 9.9.1 Backup strategies ...................................................................................... Error! Bookmark not defined. 9.9.2 Backup....................................................................................................... Error! Bookmark not defined. 9.9.3 Restore a backup of company data............................................................ Error! Bookmark not defined. 9.10 SYSTEM ................................................................................................. ERROR! BOOKMARK NOT DEFINED. 9.10.1 Post journal entries to the general ledger ............................................... Error! Bookmark not defined. 9.10.2 Unpost journal entries from the general ledger ...................................... Error! Bookmark not defined. 9.10.3 Change accounting periods ..................................................................... Error! Bookmark not defined. 9.10.4 Change the Peachtree accounting system date ....................................... Error! Bookmark not defined. 9.10.5 Close payroll year ................................................................................... Error! Bookmark not defined. 9.10.6 Close fiscal year ....................................................................................... Error! Bookmark not defined. 9.10.7 Purging unnecessary data ....................................................................... Error! Bookmark not defined. 9.10.8 Purge old transactions and inactive ........................................................ Error! Bookmark not defined. 9.10.9 What is saved and what is deleted during the purge process .................. Error! Bookmark not defined. 9.11 TROUBLESHOOTING THE PURGE PROCESS ............................. ERROR! BOOKMARK NOT DEFINED.
PART I 1.
1.1
PEACHTREE ACCOUNTING OVERVIEW

START UP
There are four basic steps in moving from a manual system of bookkeeping to using Peachtree Accounting: 1) Decide on a conversion date. 2) Gather all the information you will need: Names and addresses for customers, vendors, employees, sales reps
Beginning balances for your general ledger accounts, customers,vendors, employees, inventory items, and jobs, as of the conversion date
3) Create a company. 4) Enter the necessary information. Peachtree Accounting walks you through the process of setting up a new company, explaining each step along the way. Still, the more you prepare for this process, the smoother your transition will be.
1.2
WHAT SORT OF DATA DO I NEED TO ENTER?
In computer terminology, the information you enter, compute, and track is called data. In Peachtree Accounting, your data takes two basic forms: 1. Maintain data--information about your customers, vendors, employees, inventory items, and jobs 2. Task data--the daily transactions of your business (invoices, receipts, purchases, payments, paychecks, etc.) In converting from a manual system to Peachtree Accounting, much of the initial work is gathering and entering your Maintain data. You need also to enter some Task data: all outstanding invoices and purchases, and payroll data if you wish to track it.
1.3
THE CONVERSION DATE
The data you are entering must be accurate as of the conversion date you select. Ideally, this date would be the beginning of your fiscal year. Or, a little less ideally, the beginning of a fiscal period. One special feature of Peachtree Accounting is that you can have two years open at once (up to 26 periods). That means you can keep last year's records accessible. It also gives you a lot of flexibility as to when you convert. For example, you can set the first accounting period to the first period of your fiscal year. This will make next year's closing easier to manage.
1.4
BATCH VS. REAL-TIME POSTING
You must decide whether to post using a batch or real-time method. In batch posting, the transactions you enter are saved to a temporary holding area, where you can review them before posting the batch to the General Ledger. In real-time posting, the transactions you enter are posted as you save them. In fact, if you choose real-time posting, the Save button in Journals becomes a Post button. Check with your accountant to see which method you should use in your business. You must make a choice between real-time and batch posting when you create a new company. Unlike the next decision, about cash or accrual, you can change this option at any time. When you change from batch to real-time, all unposted batches are posted before the switch is made. We recommend real-time posting in a network environment for better performance.
1.5
CASH BASIS OR ACCRUAL ACCOUNTING
You must decide whether you will operate on a Cash- or Accrual-Basis. For tax purposes, you may want to postpone reporting sales revenue until you receive payment (cash-basis method ) rather than when you invoice the client (accrual method). Likewise, you can choose to record expenses when you disburse a check (cash basis), not when you enter the vendor invoice (accrual). Check with your accountant to see which method you should use in your business. If you choose cash-basis accounting, Peachtree Accounting updates your income or expense accounts only when you receive or disburse checks. But you can still record the invoice in the vendor or customer ledger. That way, you still have aging information available. Note: The choice between cash-basis and accrual accounting is final. You cannot change this decision later.
1.5.1 The benefits of cash basis accounting

Recommended for Fund Accounting System. In cash basis, you could choose to not record customer or vendor invoices, or to record less information for them, since you have no receivables or payables accounts. Of course, if you record no invoices, you lose the benefits of aging or projecting cash flow.
1.5.2 The benefits of accrual accounting

Accrual provides the truest picture of how your business is doing, because it includes booked sales and purchases (Accounts Receivable and Accounts Payable). Income and expenses are recognized when they are earned or incurred, regardless of when they are received or paid. Again, this choice may have been made for you, either by the Inland Revenue or by your accountant. The IR requires the accrual method if the production, purchase, and sale of merchandise is part of your business (in other words, if you sell inventory). Your accountant may require financial statements that are based on generallyaccepted accounting principles (GAAP). Only accrual statements meet GAAP requirements. Again, the choice between cash basis or accrual may have been made for you. If you sell traditional inventory items (Stock items, in Peachtree Accounting), you must use the accrual method.
1.6
DATES AND ACCOUNTING PERIODS
One of the most important decisions you must make is the Starting Date for converting to Peachtree Accounting. It must be a date on which you know all account balances, Customer Balances, Vendor Balances, etc. If possible, the starting date should be the end of the previous fiscal year. If you want reports comparing this year to last year, the starting date could be the end of the previous year. You can easily enter balances from last year at any time, if you have Beginning Balance password rights.
One special feature of Peachtree Accounting is that you can have two years open at once (up to 26 periods). That means you can keep last year's records accessible. It also gives you a lot of flexibility as to when you convert. For example, you can set the first accounting period to the first period of your fiscal year. This will make next year's closing easier to manage.
Next, you must decide how often you want financial statements. Keep in mind you
can have from 1 to 13 periods in the fiscal year.
1.7
YOUR CHART OF ACCOUNTS
The Chart of Accounts is nothing more than a list of places to enter transactions. It contains a code, sometimes called an account number, a description for each account, and a type code. Peachtree Accounting allows you a great deal of flexibility in designing your own chart. However, you can probably save a great deal of time by copying one of the sample charts and modifying it to meet your needs. For example, you can easily get an income statement by Donor, by Project, by Branches at any time if you design the suitable chart of accounts. Peachtree Accounting comes with several sample companies from which you can copy default or setup information, including the chart of accounts. See the online help of Peachtree Accounting to view the Chart Of Accounts for each sample company.
1.8
OTHER DECISIONS
This section describes some other important decisions you must make in customizing your Peachtree Accounting system.
G/L beginning balances Assigning tasks Coding systems Global options Entering all at once vs. as needed Backup strategies
1.8.1 G/L Beginning Balances

You need to gather beginning balances as of the conversion date you decide on. General Ledger beginning balances are entered through the Maintain Chart of Accounts option, using the Beginning Balances button. After you post a transaction to any General Ledger account, you cannot enter G/L beginning balances in the current fiscal year. You can only enter beginning balances for the prior year. When you enter beginning balances in your general ledger, you will want to make sure that your customer, vendor, item, and employee beginning balances total the amount shown in general ledger. (In other words, if you are using the Accrual accounting method, the Accounts Receivable total in General Ledger must match the total of outstanding invoices in Customer beginning balances; likewise, the Accounts Payable total in General Ledger must equal all outstanding bills.) The beginning balances for customers and vendors are not connected to the general ledger beginning balances, so you must check to make sure they match.
1.8.2 Coding systems
Peachtree Accounting allows a great deal of flexibility in the way you create codes for records. The coding system you use is up to you. However, it is important that you create a consistent, logical method that everyone in your office understands. Peachtree Accounting sorts lists by the code you enter. If others are looking for a record you entered, their job is easier if they know how you were likely to have coded that record. You cannot use the following characters: Asterisks (*), plus signs (+), or question marks (?) Leading or trailing spaces (spaces in the middle of codes are okay) Apply the same care and logic to setting up Type Codes.
1.8.3
Global options
You can set certain options that are in effect for all of the companies you set up. You can access this option from the Options menu. Remember that when you set global options for one company, you set them for all companies. Likewise, when you change Options for one company, you are changing them for all companies. It is important to realize all of the options you have, and what results your choices will have.
1.8.4
Assigning tasks
Depending on the size of your company, your conversion to Peachtree Accounting may proceed more smoothly if you establish certain tasks for certain individuals or departments. You may want to assign setting up the Accounts Receivable module to one person, setting up Payroll to another, and setting up Accounts Payable to another. The remainder of this guide shows you how to create a new company, and supplies forms you can use to gather information on the records you'll be entering: vendors, employees, customers, items, jobs, and general ledger accounts.
1.8.5
Entering all at once vs. entering as needed
You don't need to enter every record immediately. Peachtree Accounting's ability to let you enter vendors, employees, and customers when you need to by doubleclicking or typing a + in the text box makes it easy to enter many records at once, or to just enter records when you need to record a transaction.
1.8.6
Backup strategies
You should establish a regular procedure for backing up your data. Backups are the only way to insure the security of the accounting records you store in Peachtree Accounting. Without backups, you run the risk of losing weeks or months of work. How often you back up data is up to you, and depends on how you use Peachtree Accounting. If you enter transactions in a batch, every two weeks, you can get by with backing up every two weeks. If you enter transactions daily, you need to establish a daily backup routine.
1.9
WORKSHHETS
These worksheets are designed to help you gather the information in your current files and ledgers. They are particularly helpful if converting from a manual system of bookkeeping. They do not list all of the information you can store in Peachtree Accounting. See the chart of accounts worksheet on annex 1.
1.10 SETTING UP A NEW COMPANY

There are two slightly different versions of New Company Setup: one if you installed the diskette version of Peachtree Accounting, and one if you installed the CD-ROM. If you installed the CD-ROM, you can run a multimedia presentation, complete with audio and video. (You must insert the CD to view the multimedia version.) If you installed the disk version, you get basically the same information, although in context-sensitive text windows.
To set up a new company

From the File menu, select New Company. (First insert the CD to run the multimedia version.) To conserve your machine's resources, Peachtree Accounting closes down while the New Company Setup programs are running. Therefore, you cannot switch back and forth (ALT+TAB) between Peachtree Accounting and New Company Setup. When you close New Company Setup, Peachtree Accounting is opened for either: a) the last company you were in, or b) the company you just created, if you completed Part One of New Company Setup.
Setup Checklist
This lets you know what you have set up for Peachtree Accounting. Each time you enter a function from the setup checklist you'll be asked whether you want to mark the task as complete when you exit the task. If you select the Yes button, a check mark is put next to the task. You can still access options that are check marked; the mark just tracks your progress towards completing setup. You can always use the setup checklist by selecting Setup Checklist from the
Maintain menu.
1.11 DEFAULT INFORMATION

When you set up Peachtree Accounting, you may have also set up some of the defaults that determine how the program works. You may change certain defaults. In addition, there are some defaults that need to be set up before you can perform some operations. If you did not set them up when you first installed Peachtree Accounting, you can set them up here.
PART II 2. NAVIGATING PEACHTREE
2.1 DISPLAY THE STARTUP WINDOW WHEN PEACHTREE ACCOUNTING OPENS

The Startup Window displays when you first open Peachtree Accounting. It allows you to choose whether you want to open a company, set up a new company, convert a Quick Books or Quick Books Pro company to the Peachtree Accounting format, work with the sample company, or run the online tutorial. To display the Startup window when Peachtree Accounting opens I ii iii Open Peachtree Accounting (if it is not already open). From the Options menu, select View Startup Screen. When a check mark displays next to the View Startup Window selection, the Startup Window will display each time you open Peachtree Accounting. Exit Peachtree Accounting, then start Peachtree Accounting once again to display the Startup window.
iv
To not display the Startup window when Peachtree Accounting opens
I. II.
Open Peachtree Accounting (if it is not already open). There are two ways to avoid the Startup window from displaying. When the Startup window displays, select the check box at the bottom window. Then make another selection to close the window. From the Options menu, select View Startup Screen. When the check mark is not present next to the View Startup Screen selection, the Startup Window will not display each time you open Peachtree Accounting.
III
You must exit Peachtree Accounting for the change to take effect.
If you choose to not have the Startup window display, the next time you open Peachtree Accounting, the last company open will display. Note: If the last company open in Peachtree Accounting was the sample company, the Startup Window displays all the time.
2. 2 DISPLAY AND USE NAVIGATION AIDS

2.2.1
I.
To display Navigation Aids
From the Options menu, select View Navigation Aids. When a check mark displays next to the View Navigation Aids menu option, the Navigation Aid icon bar will display at the bottom of Peachtree Accounting.
II. Select the Navigation Aid folder you want to display at the bottom of the Peachtree Accounting window. The corresponding Navigation Aid displays. Sales Purchases Payroll Inventory Company Administration General Ledger Analysis
III. Select the icon representing the window you want to display or the task you want to accomplish.
2.2.2
To turn off Navigation Aids:
From the Options menu, select View Navigation Aids to clear the menu option.
2.3 USE THE PEACHTREE ACCOUNTING MENUS

Select an option from a menu by using either of the following:
2.3.1 1 2
Mouse Highlight it. Once the option is highlighted, release the mouse button to select it. If you are using a mouse to make selections in Peachtree Accounting, follow these basic steps: Fields
2.3.2
Point the arrow and click to select the field. Once the field is selected, you can click to place the cursor anywhere in the field. You can also click and drag to select part of the text, or the entire text in a field. 2.3.4 List items
Double-click a list item to select it. 2.3.5 Menu items
Each menu in Peachtree Accounting is a Windows pull-down menu. In Windows, pull-down menus display commands. Here's how to use a pull-down menu. To see the selections on a menu, click on the title of the menu with the mouse. Click the mouse button again to close the menu without selecting an option. To select a command from the menu, move the mouse pointer over the command on the menu and click the mouse button. For more information on basic skills in Windows, see the Windows Tutorial under the Help menu if you are using Windows 3.1, or select the Start menu, the Help option, and then the Tour: Ten Minutes to using Windows if you are using Windows 95. 2.3.6 1 Keyboard Press ALT plus the underlined letter in the menu name and the menu will drop down. For example, to select the Edit menu, select ALT+E. 2 From the menu, type the underlined letter in the option you want to select. For example, to select the Copy menu option press C.
Note: Some menus have items or options that may have shortcut keys. These can be used without selecting the menu. For example, to copy an item to the Windows Clipboard, press CTRL+C.
2.4 Peachtree Accounting Window Basics

Some Peachtree Accounting windows can be opened at the same time as others. However, having many windows open at the same time may slow down your processing. You can also resize the windows larger or smaller. Some windows display more information when made larger. For example, if you make the window larger while entering a sale more lines display on the invoice.
2.4.1
Icon Bar
The windows in Peachtree Accounting have several major areas. At the top of the window is the icon bar that contains the types of commands you may make in this window.
2.4.2
Entry Boxes
On certain text entry boxes you'll see the following next to the I-bar cursor: +? The plus sign indicates you can add a record such as a customer, vendor, employee, etc.; the question mark indicates you can display a list of all existing records of this type. The plus sign may not always display; this means that you cannot add a record in this area. There are few different ways to add or list records: 2.4.3 To add a record
Type a plus sign (+) in the entry box, or double-click. 2.4.4 To list records
Type a question mark (?) in the entry box, or click with the right mouse button, or if available, select the Lookup button. 2.4.5 Smart Data Entry Options
In the Global selection under the Options menu, you can set the entry fields for records in Peachtree Accounting. Automatically complete the name of the record when you type with the nearest match. This can save keystrokes when entering a record ID by preventing you from having to type the entire ID. For example, in the following illustration, if you type GEN2, the 00-02 is filled in automatically, and the GEN20002 line is highlighted. Show the list of records available when the cursor is positioned in the ID field by automatically dropping down a list. 2.4.6 Status Bar
At the bottom of the window is the status bar. It contains useful information about a field when you click on a field with the mouse, as well as the current date and the accounting period that Peachtree is in.
If you have set alerts for certain conditions, such as a customer going over the credit limit, an alarm clock displays in the Status Bar that you can select with your mouse to bring up the Alerts tab of Action Items. When a check mark displays next to the View Status Bar selection on the Options menu, the Status Bar displays.
2.5 DISPLAY SMART GUIDES

Smart Guides display at certain fields and windows to give you an extra level of help. Below is an example of a Smart Guide that displays in the Maintain Employees window. 2.5.1 To display Smart Guides
From the Options menu, select Smart Guides. When a check mark displays next to the Smart Guide menu option, the Smart Guides will display throughout Peachtree Accounting. 2.5.2 1 2 To move a Smart Guide Move your mouse pointer over the Smart Guide. The pointer shape will turn into a hand. While the cursor is a hand, click your mouse button and hold it down. Now, with the mouse button down, move the Smart Guide to a different location and release the mouse button. To turn off Smart Guides From the Options menu, select Smart Guides to clear the menu option.
2.5.3
PART III
3. BASIC PROCEDURES
3.1 OPENING & CLOSING

3.1.1 Start Peachtree accounting
After you have installed Peachtree Accounting, you are ready to begin. Starting Peachtree Accounting is essentially a two-step process.
Start Windows
If you are using Windows 95/98 , Windows normally opens automatically when you start your computer. If you have a menu option when booting your computer, select Windows 95/98. In Windows 95/98, select the Start button on the taskbar, then select Programs. Select the Peachtree Accounting folder. Then, select the Peachtree Accounting icon.
Exit Peachtree Accounting

If you would like to quit Peachtree Accounting or Windows follow these steps.
Quit Peachtree Accounting

From the File menu, select Exit. For a keyboard shortcut, select ALT-F4 to exit Peachtree Accounting. This closes the current company and exits Peachtree Accounting. Warning: Do not turn off your computer while a company is open in Peachtree Accounting. If you exit Windows (3.x or 95) without quitting Peachtree first, a message displays asking if you are sure you want to close the current company.
3.1.2
Open a Peachtree Accounting Company
The Open command gives you access to previously created companies. (Use the New command to set up a new company.)
Open a Peachtree Accounting company from the Startup window

1 After starting Peachtree Accounting the Startup Screen displays.
If the Startup window does not display, see the following procedure: Display the Startup window when Peachtree Accounting opens 2 3 Select Open (the Startup window first option). The Open Company window displays. Select the name of the company you want to open from the Company Name list box, and then select OK.
Open a Company within Peachtree Accounting

1. You can only have one company open at a time in Peachtree Accounting. 2. From the File menu, select Open Company. The Open Company window displays. If you already have a company open when you select to open another company, Peachtree Accounting will close the currently displayed company. This only closes the company window in Peachtree Accounting; it does not close the accounting period or year. 3. Select the name of the company you want to open from the Company Name list box, and then select OK. The menus now display for the company chosen. Any accounting transactions you enter are logged into the books for the company you opened. Notice that File is still the first menu available.
3.1.3
Log on to a Peachtree accounting company
If you have company users and passwords set up, you will be required to enter security check information (a user ID and password) prior to opening your Peachtree Accounting company. 1. Open the Peachtree Accounting company from either the Startup screen or the Open Company window. 2. Open a Peachtree Accounting company If company users have been set up, the Security Check window displays. 3. Enter the user ID.
The last user ID used displays for you. 4. Enter the users password. Then, select OK. The password will only display as asterisks (*****) when you enter it, for security reasons. Remember that user IDs and passwords are case sensitive. Menus now display for the company chosen. You can access the areas of the program to which you have rights.
3.1.4
Close a Peachtree accounting company
If you want to open a different company in Peachtree Accounting, Peachtree will automatically close the currently displayed company. If you want to exit Peachtree Accounting, Peachtree will close the company for you. Note: When closing a company in Peachtree Accounting; you no longer display the company data. Closing a company does not close the accounting period or year. Open a Different Company within Peachtree Accounting You can only have one company open at a time in Peachtree Accounting. 1. From the File menu, select Open Company. The Open Company window displays. Peachtree Accounting will close the currently displayed company. 2. Select the name of the company you want to open from the Company Name list box, and then select OK. The menus now display for the company chosen. Any accounting transactions you enter are logged into the books for the company you opened. Notice that File is still the first menu available.
3.2 EDIT DATA

3. 2.1 Look up items in a list To list and search for records
1 Type a question mark (?) in the record ID field, or click with the right mouse button, or if available, select the Lookup button (a magnifying glass).
This displays a list (accounts, vendors, customers, inventory items, etc.) from which you can choose a record. Depending on the type of lookup list, you can do the following before selecting a record. To search for a record in a list, select the Find button. This allows you to search for information anywhere within each line. You can enter either upper- or lower-case letters; Find is not case-sensitive. Press Enter after you type the text to find in the entry box. If there are multiple hits for your search, select the Find Next button. To update a record listed before selecting it, select the Edit button. This displays the maintenance window where you can change information for the record. To create a new record not listed, select the New button. The window will display the appropriate Maintain window where you can enter a new vendor, customer, etc. To rearrange the list, select the Sort button. You can choose to sort either alphabetically by the ID or name. Numbers sort before letters.
2. To choose a record, you can double-click it, or select it and click the OK button.
To use Smart Data Entry to list records

In the Global selection under the Options menu, you can set the entry fields for records in Peachtree Accounting to do the following: Automatically complete the name of the record when you type with the nearest match. This can save keystrokes when entering a record ID by preventing you from having to type the entire ID. For example, in the following illustration, if you type GEN2, the 00-02 is filled in automatically, and the GEN200-02 line is highlighted. Show the list of records available when the cursor is positioned in the ID field by automatically dropping down a list.
To look up a transaction
From within most task windows, you can open and edit previously entered transactions by selecting the Edit Records icon. A Select Transaction window displays. You can either double-click a specific transaction, or highlight it and select OK to open the original transaction in the task window. Then you can view the detail and edit it, if necessary.
To look up a transaction in a different period, select the Show drop-down list to select which period to view, then select the transaction as usual. If you use batch posting, you will have an additional drop-down list, so you can view posted or unposted transactions. To search for a transaction in a list, select the Find button. This allows you to search for information anywhere within each line. You can enter either upper- or lowercase letters; Find is not case-sensitive. Press Enter after you type the text to find in the entry box. If there are multiple hits for your search, select the Find Next button.
3.2.2 Edit a record or transaction

There are several ways to edit a record or transaction within Peachtree Accounting. Four common methods are listed below.
To edit records
The following are two common methods for editing maintenance records (for example, customers, vendors, employees, and accounts) in Peachtree Accounting. When a maintenance window is displayed, enter the record ID in the first field. To search through a list of records, select the lookup button (a magnifying glass) to display a list of records to select. Both methods display the record information in the maintenance window where you can review data and make changes, if necessary. Select Save to record your changes. When entering transactions that use record IDs select the lookup button ( a magnifying glass) to display a list of records to select. Select a record in the lookup list, then select the Edit button to display the record's maintenance window where you can update information.
To edit transactions
From within most task windows, you can open and edit previously entered transactions by selecting the Edit Records icon. A Select Transaction window displays. You can either double-click a specific transaction, or highlight it and select OK to open the original transaction in the task window. Then you can view the detail and edit it, if necessary. If a transaction was entered in a different period, select the Show drop down list to select which period to view, then select the transaction as usual. If you use batch posting, you will have an additional drop down list, so you can view posted or unposted transactions. In some windows that list transactions (for example, the Manager Series (Collection Manager, Cash Manager, and Payment Manager)), you can select the Detail icon to display and edit a transaction. You can display and edit transaction detail in certain reports. Double-clicking a transaction listed in a report displays the original transaction in its respective task window. This is called "drilling down." You can modify the transaction (if allowed), save or post the new transaction, and return to the report window. This feature is quite useful if you need to display or edit detail for a filtered group of transactions.
3.2.3 Erase a record or transaction

You can erase a record (for example, employees, inventory items, customers, or vendors).
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Open the record or transaction in its respective maintenance or task window. Select either Erase Record from the Edit menu, or the Erase icon to delete it.
If the record has outstanding transactions associated with it, you will not be allowed to delete the record. For example, you cannot erase a customer if there are invoices that use that customer. If the transaction has a "partner," you cannot erase the transaction. For example, you cannot erase a sales invoice if a receipt has been applied to it. Once you erase the receipt, you can then erase the invoice.
3.2.4 Cut, Copy, or Paste Data Peachtree Accounting uses the Microsoft Windows standard menu and keyboard shortcuts when cutting, copying, or pasting data. You can use the Windows Clipboard to transfer data from Peachtree Accounting to most any other Windows application. To copy information from field or document to another 1. In the document that contains the information you want to copy, select the information by highlighting it. 2. From the Edit menu, select Copy (or press CTRL+C). 3. In the document or field where you want the information to display, click the place where you want to put the information. 4. From the Edit menu, select Paste (or press CTRL+V). To move information from one field to another 1 2 3 4 In the document that contains the information you want to move, select the information by highlighting it. From the Edit menu, select Cut (or press CTRL+X). In the document or field where you want the information to display, click the place where you want to put the information. From the Edit menu, select Paste (or press CTRL+V).
Tips You can paste the information multiple times. You can also link information to another application using Copy Link. You can copy Peachtree Accounting report data that is currently displayed into another application such as a word spreadsheet or word processor.
3.3 ADD OR REMOVE A LINE ITEM IN A RECORD OR TRANSACTION

When entering most transactions and journal entries, the Add icon displays in the window icon bar. It allows you to add transaction lines to the distribution box. Remove displays for windows, such as the journal entry boxes. It allows you to remove transaction lines from the distribution box. Note: If you press Enter in a line item distribution box, this will also add a new line item.
3.4 RECURRING ENTRIES

3.4.1 Create a recurring entry
1. Enter the transaction and then select the Recur icon. 2. Fill out this information in the dialog box: Number of timesYou can enter any number up to 22. The maximum number of times you can recur an entry depends on the transaction's original date and what period you are currently operating in. You can only enter recurring transactions within the two open fiscal years of Peachtree Accounting. When to occurFor customer invoices, purchases, payments, and general journal entries, you can select a range of frequencies from weekly to yearly. For events, the range is from daily to yearly. Assign Invoice NumbersThis is optional for invoices, and mandatory for purchases. 3. Select the OK command button to accept the information.
3.4.2
1
Edit a recurring entry

Select the Edit Record icon at the top of the window for Sales Purchases, Payments, and General Journal Entries. For events, contact first, and then select Edit Record. Invoicing, select the
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Select the recurring entry you wish to change. If you wish to change several entries, select the first one. Make the change to the transaction line and select the Post or Save icon.
A dialog box displays and gives you the choice of changing just the entry you selected, or the entry you selected and all the entries that follow it. Select OK when you're finished.
3.4.3
1
Erase a recurring entry

Select the Edit Record icon at the top of the window. For events, select the contact first, and then select Edit Record. Select the recurring entry you wish to erase. If you wish to erase several entries, select the first one. Select the Erase icon at the top of the screen. A dialog box displays and gives you the choice of erasing just the entry you selected, or the entry you selected and all the entries that follow it. Select the option button of your choice. Select OK when you're finished.
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3.5 MEMORIZED TRANSACTION

You can enter and save common transactions for later use. For example, you may want to repeat a transaction previously used for a customer several times. Using memorized transactions can save time in repetitive data entry tasks. You can set up and use memorized transactions for the following:
Quotes Sales Invoices Purchase Orders Payments General Journal Entries
Each memorized transaction contains two key components: Transaction IDThis is a code used to identify the memorized transaction for later use. Enter up to 20 alphanumeric characters for a new memorized transaction ID. You cannot use *, ?, or + in the code. The code is case sensitive, so that codes A1 and a1 are seen as two different transaction IDs. Numbers sort before letters, and capital letters sort before non-capital letters. It's important to use consistent and logical coding. You might want to code your most popular items so that they will display first. DescriptionThis is text used to describe the transaction that displays in the Memorized Transaction lookup list box. Enter up to 30 alphanumeric characters. To enter a memorized transaction 1 From the Maintain menu, select Memorized Transactions, then select the type of transactions desired. 2 Enter a transaction ID and description that describes the transaction, then enter the transaction information. 3 When finished, select Save to record the memorized transaction for later use. Memorized transactions are not posted to journals or General Ledger. Note: Not all transaction fields are maintained in memorized transactions. Once the memorized transaction is selected for use in the Task window, you must enter unique fields such as the invoice number and date. To use a memorized transaction displayed Enter or select the transaction ID in the Maintain Memorized Transaction window, then select the Use icon. The transaction displays in its corresponding Task window. To select and use a memorized transaction from the Task window Choose Select Memorized Transaction from the Edit menu while the Task window is displayed.
3.6 ACCOUNTING BEHINED THE SCREEN

When you select the Journal icon in various task windows, the corresponding journal entries display. These are journal entries Peachtree Accounting records when saving a transaction. You can modify the journal entry by changing the account IDs for each distribution listed in the transaction. Depending on what type of task is open, the Accounting Behind the Screens window displays the journal tab(s) that correspond to the particular transaction. For example, if you are editing a payment, the Cash Disbursements Journal displays. If you are editing a sales invoice that has a payment applied to it in the Sales/Invoicing window, both the Sales Journal and Cash Receipts Journal display. Accounting Behind the Screens is available in the following task areas: Accounts ReceivableQuotes, Sales Orders, Sales/Invoicing, and Receipts Accounts PayablePurchase Orders, Purchases/Receive Inventory, and Payments PayrollPayroll Entry The icons at the top of the window are Cancel, OK, and Help. Select OK to return to the task window. Select Post, Save, or Print to record the modified journal entry(s).
EDIT A JOURNAL ENTRY USING ACCOUNTING BEHIND THE SCREENS

There are several ways to edit transactions. One method is to examine and modify journal entries using Accounting Behind the Screens. 1 Open the task window and enter a transaction or select the transaction using the Edit Records icon. With the transaction displayed in the task window, select the Journal icon in the window toolbar. This opens the Accounting Behind the Screens window and displays the transaction's corresponding journal entry. Accounting Behind the Screens is available in the following task areas:
Accounts Receipts
ReceivableQuotes,
Sales
Orders,
Sales/Invoicing,
and
Accounts PayablePurchase Orders, Purchases/Receive Inventory, and Payments PayrollPayroll Entry 3 If more than one journal tab displays, select the journal you want to examine or edit. Depending on what type of task is open, the Accounting Behind the Screens window displays the journal tab(s) that correspond to the particular transaction. 4 To modify a journal entry distribution, select the line item and Account ID field you want to edit. Then, enter or select an alternate account ID from the dropdown list. Standard debit and credit entries in journal transactions 5 When you have finished editing the journal entry, select OK to return to the task window. 6 Select Post, Save, or Print to record the modified journal entry(s).
PART IV
4. GENERAL LEDGER
4.1 GENERAL LEDGER DEFAULTS

Rounding Accountthis is used for collecting rounding differences when you choose to round totals on financial statements. Peachtree Accounting has the ability to round financial statements either to whole dollars or to whole thousands of dollars. The rounding account is used by Peachtree to store rounding differences for financial statements; it can be either a balance sheet account or an income statement account. However, Peachtree recommends that you use the Retained Earnings account.
SET UP A ROUNDING ACCOUNT FOR FINANCIAL STATEMENTS

In General Ledger Default Information, you can set the account that Peachtree Accounting will use when rounding odd amounts on financial statements. This account will temporarily store rounding differences when displaying financial statements. Though not required, set up a rounding account if you do want to round financial statements to either whole dollars or whole thousands of dollars. 1 From the Maintain menu, select Default Information, then General Ledger. The Rounding Accounts tab of the General Ledger Defaults window displays.
Enter or select an account ID that you want Peachtree Accounting to use as its rounding account on company financial statements. You can select any account, but it is recommended to select the Retained Earnings account. 3 Select OK when finished to close the window and save your default settings.
4.2 CHART OF ACCOUNT

4.2.1 Maintain chart of accounts Use this to
add a new account define an account type modify the description of an existing account delete an account create a budget for either or both the current and next fiscal years
The command bar at the top of the window contains the following icons: Close , Save, Erase, New, and Help.
4.2.2 Setting up your chart of accounts

Peachtree Accounting comes with over 70 sample charts of accounts for different types of businesses. You're probably better off to copy one of these when setting up your company. Then you can modify it to suit your requirements. There is a help file that contains all the sample charts of accounts you can copy from. To view the sample charts of accounts, click here.
Consult with your accountant when setting up your chart of accounts. There are special things you can do in this setup phase that will make your financial statements more useful.
SETTING UP YOUR CHART OF ACCOUNTS FOR THE FIRST TIME

If you are converting from another accounting system, please use the Import selection on the File menu. If you are currently using a manual system for your accounting, there are several things you need to know when you set up a Chart of Accounts: 1 2 Determine a conversion date and gather balances as of that date. You use these for your beginning balances. If you are setting up a new chart of accounts (instead of copying from one of Peachtree's sample businesses), you need to have all your account numbers and names written down. Have all of your transactions that have occurred after the conversion date ready to enter to bring your accounts up to date. Select the Chart of Accounts selection either from the Setup Checklist on the Maintain menu or from the Maintain menu itself. The Maintain Chart of Accounts window displays with the General tab in front. Enter an account ID for the account. Enter a description of the account. Select an account type from the drop-down list. Enter any debits or credits you've made against the account in the months listed for period history. Select Save.
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10 Enter the Beginning Balance on the General tab. 11 Select Close.
ADDING AN ACCOUNT TO AN ESTABLISHED CHART OF ACCOUNTS
You may set up an account using the General Ledger Navigation Aid, selecting Chart of Accounts from the Maintain menu, or using the Accounts fields on most windows accessed from the Tasks menu.
To set up an account using the Navigation Aid

Select the Chart of Accounts icon in the General Ledger Navigation Aid.
To set up an account using the menu

1 2 Select Chart of Accounts from the Maintain menu. The Maintain Chart of Accounts window displays with the General tab in front. Enter an account ID for the account. The account ID determines how the account is identified and sorted in the chart of accounts list. Most chart of accounts are set up with specific account types grouped together. Enter a description of the account. Select an account type from the drop-down list. Select Save. Note: Since this is a new account, Peachtree Accounting assumes a beginning balance of zero. You can immediately assign transactions to the account. If you try to enter a beginning balance, Peachtree Accounting assumes this is a prior-period adjustment, and will prompt you for the prior period. or 1 2 Select Setup Checklist from the Maintain menu. Select the button next to "Enter General Ledger chart of accounts" under the General Ledger heading. The Maintain Chart of Accounts window displays with the General tab in front. Enter an account ID for the account. The account ID determines how the account is identified and sorted in the chart of accounts list. Most chart of accounts are set up with specific account types grouped together. Enter a description of the account. Select an account type from the drop-down list. When you're finished filling in the window, select the Save icon.
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To set up an account from most windows accessed from the Tasks menu
1 2 3 4 5 Enter a + or double-click in the Account field. The Maintain Chart of Accounts window displays with the General tab in front. Enter an ID for the account. Enter a description of the account. Select an account type from the drop-down list. Select Save.
4.2.3 Delete an account from the chart of accounts

1 2 3 From the Maintain menu, select Chart of Accounts. The Maintain Chart of Accounts window displays. Enter or select the account ID you want to remove. Select the Erase icon to delete the account.
If the account has a non-zero balance in any accounting period within the two currently open fiscal periods, a message will display, not allowing you to delete the account. If you still want to remove an account that has had a non-zero balance at one time, examine the history of the account in the Maintain Chart of Accounts window. Then, display the General Ledger report including a date range of the two open fiscal years. Locate the account transactions, then double-click to display the corresponding task window where the transactions originated. Finally, erase these transactions and return to the General Ledger. To remove an account beginning balance entry, select the Beginning Balances button on the Maintain Chart of Accounts windows.
4.2.4 To make the account inactive

You can make the account inactive to ensure that no further transactions are associated with it. Then after two year-end closings, you can purge the account. 1 From the Maintain menu, select Chart of Accounts.
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Select the account you want to make inactive. Select the Inactive check box to the right of the account ID. (There is an X in the check box when it is selected.)
4.2.5 Set up a rounding account for financial statements See section VII, Item no. 1 General ledger defaults 4.2.6 Enter and allocate budgets for your chart of accounts
You can assign budget dollar amounts for each account for the two open fiscal years. You can enter individual amounts for each account period or allocate a dollar amount to be distributed throughout the fiscal year. Budget information can be displayed in reports and financial statements. 1 2 3 4 5 From the Maintain menu, select Chart of Accounts The Maintain Chart of Accounts window displays. Enter or select the account ID to which you want to add budget information. Select the Budgets tab. Enter budget amounts for this year and the next. There are two methods to entering budget amounts. You can enter different budget amounts for each accounting period. As you enter each amount, the total amount will be calculated. You can also enter one budget amount for the fiscal year and select Allocate. Peachtree will divide and distribute equal amounts that total the entered total for that fiscal year.
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Select the Copy icon to duplicate budget information from the first fiscal year to the second year. When finished, select Save to record the account's budget information.
4.3 BEGINNING BALANCES FOR GENERAL LEDGER

You use this to enter the beginning balance for the account or to adjust the balance for an account in a previous period. Although you enter beginning balances on the Chart of Accounts Beginning Balances window and prior period adjustments on the Chart of Accounts Prior Year Adjustments window, the fields
on the two windows are the same. The columns where you enter amounts for accounts on these two windows are set up to give you a better feel for how the different accounts in your chart of accounts affect the balance of your finances. When you finish entering balances for all of your accounts, the total of the amounts in the Assets, Expenses column must equal the total of the amounts in the Liabilities, Equity, Income column. Notice that the Trial Balance keeps a running total, or trial balance, of your entries. In addition, totals for your income and expenses are calculated. The icons at the top of the window are Cancel, OK , New, Find, Next, and Help. Fields Account IDThis an alphanumeric code that identifies the account. To enter a new account, select the New icon. Description--This is the description of the account entered on the Maintain Chart of Accounts window. You can edit this description by selecting the New icon, entering the ID of the account whose description you want to edit, and then making any changes you want to the description. Account TypeThis is the type of the account entered on the Maintain Chart of Accounts window. Assets, Expenses or Liabilities, Equity, IncomeDepending on the Account Type specified for this account on Maintain Chart of Accounts, you will either have to enter an amount in the Assets, Expenses column or in the Liabilities, Equity, Income column. Peachtree Accounting tells you which column to enter the amount in by graying out the other column. Enter a positive amount in the column, unless circumstances warrant a negative amount. For example, if you enter $5,000 as a beginning balance for your checking account in the Assets, Expenses column, you might enter $5,000 in the Liabilities, Equity, Income column for a capital account such as retained earnings to offset this entry. For normal balances, you will just enter positive numbers.
4.3.1
Enter beginning balances
If you are just starting out with your company and have not posted any transactions, Peachtree Accounting assumes that you are entering beginning balances for your accounts when you select the Beginning Balances button. If you have posted transactions, Peachtree Accounting assumes that you are entering adjustments to your accounts for a period in a prior year. If you enter a new account, Peachtree Accounting assumes that this account has a zero
balance. You may find it easier to add all necessary accounts and then create one cumulative beginning balance entry. 1 2 3 4 5 6 From the Maintain menu, select Chart or Accounts. The Maintain Chart of Accounts window displays. Select the Beginning Balances button. The Select Period window displays. Select the period in which you wish to enter beginning balances. You can select from previous, current, or future periods. Select OK. The Chart of Accounts Beginning Balances window displays. Click or Tab to any of the white cells in the grid to add an amount. (The gray cells are for viewing purposes only.) Enter all the beginning balances for the accounts. Scroll the list box to make sure the account amounts are correct. If necessary, you can enter a negative amount; just type a minus sign before the number. Note that for each period, a running beginning balance is kept. Thus, if you change an amount in Period 1, the amounts for subsequent periods are also changed. However, if you change an amount in Period 2, the same account balance in Period 1 is unchanged. Examples of when to enter a negative balance Select the OK icon when you're finished.
4.3.2
What if Im out of balance?
If you are out of balance, a message will display, warning you that an equity account will be created (or updated) to contain the difference or out-ofbalance amount. This account will be named Beginning Balance Equity, and its type is EquityDoesn't Close. This account does not appear in the Beginning Balances window, but it will appear in the list of accounts, and on financial statements and general ledger reports. Try to find the reason for the out-of-balance situation, and correct it if possible (select Cancel when the warning message displays). If you are entering beginning balances from financial statements supplied by your previous accounting system or by your accountant, you most likely made an error in data entry. Make sure you didn't leave out an account or balance, and that you entered all amounts correctly. If you still cannot find the error, you can select OK at the warning message. Your books will be in balance, and you can proceed with setting up your company. You can even begin entering and posting transactions. (Remember that once
you post transactions, you will need to enter Prior Period Adjustments rather than Beginning Balances. Although both are entered using the Beginning Balances button, Peachtree Accounting will display the proper window according to whether the transaction has been posted or not.) Then later, if you find the cause of the out-of-balance situation, you can go back to the Beginning Balances or Prior Period Adjustments window and correct the situation. Once the Beginning Balance Equity account has no transactions associated with it, you can delete the account.
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Continue entering beginning balances. Select OK when you are through.
When to enter a negative balance
You might want to enter a negative balance: 4.3.4 1 for contra accounts if you're a new company, still operating "in the red" (with a negative retained earnings account) if you are converting in mid-year and have recorded dividends paid, then this account balance would be entered as a negative. Add a new account in g/l beginning balances From the Beginning Balances window on Maintain Chart of Accounts, select the New icon. The Enter New Account window displays. Enter the new account ID. Enter a description of the account. Select a type for the account. Select OK. Enter prior period adjustments
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Peachtree Accounting also allows you to adjust account balances. If you are just starting out with your company and have not posted any
transactions, Peachtree Accounting assumes that you are entering beginning balances for your accounts. If you have posted transactions, Peachtree Accounting assumes that you are entering adjustments to your accounts for a period in a prior year. If you enter a new account, Peachtree Accounting assumes that this account has a zero balance. You may find it easier to add all accounts and then create beginning balance entries. 1 2 3 From the Maintain menu, select Chart of Accounts. The Maintain Chart of Accounts window displays. Select the Beginning Balances button to enter prior period adjustments. The Select Period window displays. Select the accounting period in which you want to enter or adjust balances. For prior-period adjustments, you can select from previous periods. Select OK. The Chart of Accounts Prior Year Adjustments window displays. Click or Tab to any of the white cells in the grid to change or add an amount. (The gray cells are disabled.) If necessary, you can enter a negative amount; just type a minus sign before the number. Note that for each period, a running beginning balance is kept. Thus, if you change an amount in Period 1, the amounts for subsequent periods are also changed. However, if you change an amount in Period 2, the same account balance in Period 1 is unchanged. Examples of when to enter a negative balance Select OK when you are finished.
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4.4 GENERAL JOURNAL ENTRY

You use the General Journal to enter those types of transactions that are not readily categorized in the Tasks menu. Depreciation would be an example of something that would be entered into the General Journal. You could also edit adjustments made in Account Reconciliation here. Unlike other screens in Peachtree, you provide all the accounting distributions in the General Journal. At other times, Peachtree
automatically distributes certain amounts, based on guidelines you set in Maintain menus. In the General Journal you enter both debits and credits, and when the amounts balance, you may post the General Journal by selecting the Post icon if you're using the real-time method. If you're in batch-method mode, select the Save icon, then use the Post option of the System selection of the Tasks menu. The command bar at the top of the window contains the following icons: Close, Save. or Post, Recur, Edit Record, Erase, Add, Remove, and Help.
4.4.1
Record a general journal entry
The General Journal is used to enter those types of transactions that are not readily categorized in the Tasks menu. Typical General Journal entries include: chart of account beginning balances, depreciation, and account transfers. You can also edit adjustments made in Account Reconciliation here. Unlike other screens in Peachtree, you provide all the accounting distributions in the General Journal. At other times, Peachtree automatically distributes certain amounts, based on guidelines you set in Maintain menus. 1 2 From the Tasks menu, select General Journal Entry. The General Journal Entry window displays. Enter or select the date of the transactions you want to enter. Peachtree defaults this date to the Peachtree Accounting system date. If you are in an accounting period that is different than the system date, then the first day of that period displays. You can also select the Edit Records icon to edit a General Journal entry in the current or alternate accounting period. 3 Select the Reverse check box to have the transaction automatically reversed the first day of the next accounting period. Reversing means that debits become credits and credits become debits. 4 Enter a reference for the transaction up to 20 characters. If you enter a number reference, Peachtree Accounting will increment future General Journal entries by one while this window is open. 5 For each line enter or select an account ID. Then, enter an amount in either the Debit or Credit columns. Debits and credits (Accounting Primer) Standard debit and credit entries in journal transactions 6 Enter a description of each line you are entering for the transaction.
The description will display in General Ledger and various reports. 7 If the transaction is associated with a job, enter or select a job ID. You can later apply the General Journal entry to a customer invoice, if needed. Once the Out of Balance field is zero (0.00), select Save or Post to record the transaction in the General Journal. Enter a reversing general journal entry
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Reversing entries are commonly used to adjust G/L accounts temporarily or record estimates. When a General Journal entry is selected to be reversed, Peachtree Accounting automatically enters a second, reversing entry on the first day of the following accounting period, negating the original adjustment. l Reversing entries are optional and relate to bookkeeping technique. Reversing entries are commonly used to reflect liabilities as they incur on financial statements. For example, you may want to include payroll tax liabilities in December, but enter the paycheck itself in January. Note: You cannot access or edit the reversing entry that Peachtree generates. However, the reversing entry is present in the General Journal for the following period. 1 2 From the Tasks menu, select General Journal Entry. The General Journal Entry window displays. Select the Reverse check box to have the transaction automatically reversed the first day of the next accounting period. Reversing means that debits become credits and credits become debits. Note: You cannot recur a reversing transaction.
4.5 General Ledger year-end Check List

At the end of each fiscal year, it is recommended to do the following: Complete all transactions for the fiscal year you intend to close
Complete all Fixed Assets deprecations and post them to Peachtree Accountings General Ledger (this only required if you currently use Peachtree Fixed Assets with Peachtree Complete Accounting) Reconcile all G/L accounts for the fiscal year you intend to close Print reports to keep a historical, hard copy of your accounting information Audit reports and make adjustments (if needed) Make a complete backup of your company data onto diskette or tape Close the current fiscal year (may not be required)
COMPLETE ALL TRANSACTIONS FOR THE FISCAL YEAR YOU INTEND TO CLOSE Before closing a fiscal year, all transactions must be completed for that year. For example, if you intend to close the 1998/99 fiscal year, complete all transactions dated 7/1/98 to 6/30/99 before closing the year. RECONCILE ALL G/L ACCOUNTS FOR THE FISCAL YEAR YOU INTEND TO CLOSE You cannot reconcile accounts (for example, checking or credit card accounts) whose bank statements are dated in a closed fiscal year. Therefore, it is recommended to reconcile these accounts before closing the fiscal year. Note: If you elect to not reconcile accounts using previous bank statements, the items will be available to clear in the new fiscal year. However, the account reconciliation will be difficult to manage and audit. PRINT REPORTS TO KEEP
A HISTORICAL, HARD COPY OF YOUR ACCOUNTING INFORMATION
The following is a list of reports Peachtree recommends that you print prior to closing the fiscal year. Keep these reports in a secure location. These reports will act as a hard copy of your historical Peachtree Accounting information; they can be helpful during audits. Accounts ReceivablePrint reports such as Sales Journal, Cash Receipts Journal, Customer Ledgers, Customer Statements, Aged Receivables, Taxable/Exempt Sales, and the Invoice Register. Accounts PayablePrint reports such as Check Register & Aged Payables General LedgerPrint reports such as G/L Trial Balance and General Ledger report.
Financial Statements Print reports such as Balance Sheet, Cash Flow, and Income Statement. Payroll Print reports such as Payroll Check Register. This is however, not applicable unless we want to maintain our employees in Peachtree accounting in addition to the existing in house made payroll program. InventoryPrint reports such as Inventory Valuation Report, Item Costing Report, Inventory Unit Activity Report, and the Inventory Profitability Report. JobsPrint reports such as Job Ledgers, Job Profitability Report, and Job Register. However we do not expect jobs in the East African Trading House. AUDIT REPORTS AND MAKE ADJUSTMENTS (IF NEEDED) Usually in the last accounting period of a fiscal year you need to make adjusting entries. These might include the following: Write off customer bad debts Record old outstanding checks re-entered back into the bank account as miscellaneous income Verify that fixed asset purchases and dispositions have been properly recorded Record depreciation expenses Record a physical inventory count and compare to Peachtree Accounting's quantity on hand Manage outstanding notes payable and receivable items and recording or adjusting interest expense or income
Once the above adjustments have been made (if necessary), you are ready to begin closing the fiscal year. The type of adjustment required depends on where in Peachtree Accounting the correction needs to be made. General Ledger adjustments are entered in the General Journal.
Record a General Journal entry Inventory adjustments are entered in the Inventory Adjustments Journal. Enter Inventory Adjustments Payroll adjustments can be made through Payroll Entry. Make payroll adjustments after printing reports Accounts Receivable adjustments Sales/Invoicing or Receipts. Write off a customer bad debt Accounts Payable adjustments can be made through Purchases or Payments. can be made through
Note: After you have made the necessary adjustments, reprint any affected reports so that you have a correct copy. If there is a procedure that you are not sure how to handle within Peachtree, for example, how to write off a bad debt, then visit the PeachFacts Technical Library at the Peachtree Software Internet web site http://www.peachtree.com. This same information is also available in Peach Fax documents, Peachtree Software's fax on demand system. There are many frequently asked questions and procedures available at our web site and available through fax on demand.
5.
TASK (TRANSACTION)
5.1 SALES
The Sales Navigation Aid displays maintenance records, tasks, and reports that affect Account Receivable areas of Peachtree Accounting. In the Tasks section, arrows illustrate relationships and workflow of tasks that you would most likely follow. 5.1.1 Customer Defaults
Peachtree Accounting lets you set up default information for customers. Use this feature like a template or model, upon which to build all your customer records. You enter the most-common information. Then, when setting up a new customer, this information automatically displays. In most cases, you won't have to enter anything. A name and address is all that's required; then you're ready to invoice! Default information for customers includes: Payment Terms General Ledger Accounts for Sales and Discounts Aging Information Custom Fields Finance Charge Rules
All of this information is set up for you in Part Two of the New Company Setup. Or, you can add or modify defaults through the Maintain, Default Information menu. 5.1.2 Maintain Customers/Prospects You use Customers/Prospects to enter, change, and store information about companies and people to whom you sell goods and services. You can also enter information about companies and people with whom you would like to do business (prospects). For customers and prospects, this includes information such as: name and address information, including separate billing and shipping information the date of the last invoice, statement, and payment received sales history, including year-to-date and period-to-date sales and monthly totals the usual sales account used for this customer terms of payment and the sales tax code the customer's beginning balance
The command bar at the top of the window contains the following buttons: Close, Save, Erase, New, Event, Log, and Help. To set up a customer using the menu
1. Select the MAINTAIN MENU 2. Select the Customer/Prospect, then after the customer/prospect windows will displayed Header Fields and Tabs Customer/Prospect header fields, General tab, Sales Defaults tab, Custom Fields tab, History tab Select Setup Checklist from the Maintain menu. 2 Select the button next to "Enter customer records" under the Accounts Receivable heading. 3 When you're finished filling in the window, select the Save icon. You can also select the Customers icon in the Sales Navigation Aid. To set up a customer from the Maintain Jobs or various task windows 1 Enter a + or double-click in the Customer field. This displays the Customers window. 2 When you're finished filling in the window, select the Save icon. Next, go to Enter a customer's beginning balance Enter a Customer's Beginning Balance Once you save a customer, you can enter beginning balances for the customer. When you are entering your customer's beginning balances, do not enter an invoice which you have already entered in the Sales/Invoicing window, or the amount in the Customer Ledger report will be doubled. 1 From the General tab on the Maintain Customers/Prospects window, select the Beginning Balance button. 2 Enter the customer's beginning balances. When you are setting up your company, it is important to remember that the total of the beginning balances entered here need to equal
the total amount you entered in your G/L beginning balances for all Accounts Receivable account types. There are two tabs on the Customer Beginning Balances window: Invoices for: and Customer Balances. The first tab is where you enter amounts for outstanding invoices. The second tab lets you select another customer and enter beginning balances for that customer. Review a Customer's Status To review a customer's status from the Maintain Customers/Prospects window: 1 2 3 Select Customers/Prospects from the Maintain menu. Enter or select the ID of the customer you want to view. To compare the customer's balance to his or her credit line, select the Current Balance button. This displays a balance forward and the transactions for the current accounting period. To see the customer's history, select the History tab. If you want to see historical information about the customer, you can display or print the Customer Ledger report from the Reports menu.
5.2 QUOTES
You use Tasks Quotes to enter quotes for customers. You can also print a quote for a customer from this window. When you post a quote, you do not actually update any accounting information. The accounting information is only updated when you convert the quote to a Sales/Invoice. You may enter up to 154 line items per quote. After you enter a quote for a customer you may convert it to an invoice or sales order by selecting the Convert icon. By using the Service icon, you can choose to have a quote appropriate for charging for services. The service quote window excludes the following fieldsShip Via, Ship Date, Quantity, Item ID, and unit price. To enter a quote for a customer from the Tasks menu, select Quotes/Sale Orders and then Quotes from the sub-menu. 5.2.1 Convert a quote to an invoice or sales order Once your customer has accepted a quote, you can then convert it to either a sales order or an invoice. Once you convert a quote, it is no longer displayed as a quote. To Sales OrderOnce you convert a quote to a sales order, you may edit the information in the Sales Order task. Converting a quote to a sales order allows you to ship only part of the order at a time, if, for instance, you are out of stock on an item. To InvoiceIf you have all the items on the quote and are ready to ship now, you can convert the quote to an invoice, shipping and billing the customer for the goods on the quote immediately. Once you convert a quote to an invoice, you edit it in the Sales/Invoicing task.
5.2.2 Accounting Behind the ScreensQuotes When you select the Journal icon in the Quotes window, the Accounting Behind the Screens window displays. The Quotes Journal tab displays the corresponding transaction's journal entry. You can modify the transaction by changing the account IDs of journal distributions listed.
Note: Quotes are not posted to the General Ledger. Once your customer agrees to your proposal, convert the quote to a sales order or sales invoice. When you invoice the customer or receive payment from the customer, the transaction is posted to the General Ledger.
5.3 SALES ORDERS

The Sales Order task lets you enter items for a customer, then invoice and ship the items as they become available in your inventory, tracking the backorders in the system. You can view inventory reports that show the number of items backordered for your customers to help you plan your purchases. Sales Orders can be printed as warehouse picking slips or package packing slips that can be marked up before shipping the product to your customer. After the sales order has been marked up, the shipped items can be applied to an invoice. Only one sales order can be applied to an invoice. However, multiple invoices can be entered from a single sales order. The command bar across the top of the window contains the following icons: Close, Save or Post, Print, Erase, Edit Record, Note, Add, Journal, Remove, Event, and Help. 5.3.1 Ship Items from a Sales Order
To ship items on a sales order, you open the Sales/Invoicing task and select the customer, then select the open sales order you want to invoice. Once you enter the quantity of items you are shipping, you may print this invoice and have Peachtree Accounting assign an invoice number, or you may enter an invoice number if the invoice was prepared manually and you will not print it from Peachtree Accounting. 5.3.2 Accounting Behind the ScreensSales Orders
When you select the Journal icon in the Sales Orders window, the Accounting Behind the Screens window displays. The Sales Orders Journal tab displays the corresponding transaction's journal entry. You can modify the transaction by changing the account IDs of journal distributions listed. Note: Sales Orders are not posted to the General Ledger. When you invoice the customer for shipped or delivered items in the order, the transaction is posted to the General Ledger.
For assistance on debits and credits, see Journal Entry Distributions Sales Orders. The icons at the top of the window are Cancel, OK, and Help.
5.4 SALES/INVOICING
You use Sales/Invoicing to enter invoices for customers. All entries made here are posted to General Ledger, customer records, and possibly inventory and job records. You have the choice of applying transactions to Jobs through the distribution list box. You can also use this program to print an invoice for a customer, and set up recurring invoices for customers. Sales/Invoicing allows you to enter up to 154 line items per invoice. By using the Service icon, you can choose to have an invoice appropriate for charging for services. The service invoice window excludes the following fieldsShip Via, Ship Date, Quantity, and Item. If you set up the distribution list box for two lines in the Global selection of the Options menu, descriptions of the item, account, and job display in the second line. Note: If you apply a sales order to a sales/invoice, then apply the sales order before changing any fields. This is because the default information will be taken from the sales order transaction. The command bar across the top of the window may contain the following icons, depending on what's displayed: Close, Save or Post, Print, Recur, Erase, Edit Record, Add, Remove, Ship All, Ship None, Note, Journal, Service or Standard, Event, and Help. Fields Customer ID Name and Bill to Ship Via Sales Rep ID Item Unit Price Job Freight Amt. Amount Due Shipped Unit Price Job Invoice Total
Apply Reimbursable Expenses
Invoice # Ship to Ship Date Apply to Sales Tab Description Tax A/R Account Invoice Total
Date Customer P.O. Terms Quantity GL Account Amount Sales Tax Amount Paid Apply to Sales Order Tab Item Remaining Description GL Account Tax Amount Sales Tax Freight Amt. Amount Paid Amount Due
5.4.1 Enter a Standard Invoice 1 2 From the Tasks menu, select Sales/Invoicing Select the Standard icon, if necessary. Peachtree remembers the type of invoice you used the last time, so if you entered a service invoice the last time you would need to select the Standard icon. 3 Enter or select the customer ID. When the customer is selected, Peachtree supplies the customer default information, including billing and shipping addresses, sales account, ship method, payment terms, and sales tax code. If this customer has open sales orders, the Apply to Sales Order tab displays in front. Select the Apply to Sales tab to enter new items on the invoice. Leave the Invoice # field blank if you want Peachtree to print an invoice. Peachtree will increase the invoice number by one when it is printed. Otherwise, enter an invoice number or other reference number. (If you print the invoice with an invoice number assigned or print it again later, the invoice will have the word DUPLICATE on it.) Enter the date of the transaction if it is different than the displayed date. If you have entered a default shipping address in the customer's record, the first shipping address will display on the invoice. You can select the Ship To button to add a new shipping address or select another shipping address from the choices available. Change the customer's ship to information, if necessary, by selecting the arrow button next to the Ship To address field. If you have entered a default P.O.# in the customer's record, it will display on the invoice. If not, you can enter the customer's purchase order number now or change the default to any other piece of information that will identify this invoice to the customer. If you have entered a default shipping method in the customer's record, it will display. You can select the Ship Via button if you want
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to select a different shipping method. You can also enter a Ship Date. 11 Peachtree uses the default terms you have entered for the customer, but you may want to select the Terms button to change the default discount dates or amounts for this invoice. When a receipt that qualifies for an early payment discount is applied against the invoice, Peachtree will calculate the discount. If you entered a default Sales Rep in the customer's record it will display. Otherwise, select the code of the sales representative, if applicable. Enter the information for each item included on the invoice on a separate line, including the item's quantity, item ID, description, unit price (the number of decimal places is selected in Global Options), sales tax status, and the job information to which it applies. The default G/L sales account that display for each line item is based on the customer sales account default or the item ID selected. You can change these, if necessary. Note: If the Hide General Ledger Accounts global option is activated, the G/L Account line item field will not display. Select the Journal icon to display the Accounting Behind the Screens window. You can then change the line item's sales account ID. Select OK to return to the Sales/Invoicing window. 15 16 Continue entering line items until you have entered them all. You can apply reimbursable expenses to the invoices if this customer is associated with a job and you have entered related job expense transactions. See Apply Reimbursable Expenses for more information. If you are using Peachtree Tickets/Reimbursable Expenses Complete Plus, see Apply
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17 If yours is an accrual-based company, you can select the Accounts Receivable G/L account for this potential sale. On financial statements this will be your accounts receivable asset account. If yours is a cashbasis company, this field will display <Cash Basis>.
Note: If the Hide General Ledger Accounts global option is activated, the A/R Account field will not display. Select the Journal icon to display the Accounting Behind the Screens window. You can then change the A/R account ID. Select OK to return to the Sales/Invoicing window. 18 19 20 Select the sales tax code for this sale. If you intend to charge freight for shipping this order, include an amount in the Freight field. If you have received a partial or full payment for this invoice, select the Amount Paid button. A window displays so you can enter the amount. Select the Print icon if you want to print the invoice. Otherwise, select Post or Save.
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5.4.2 Enter a Service Invoice Peachtree Accounting provides a service invoice in addition to the standard invoice if you want to create an invoice without inventory items. You may want to use this type of invoice if you provide a service and don't ship products to your customers. Make sure you select the invoice type before you begin entering information on the invoice. 1 2 From the Tasks menu, select Sales/Invoicing If necessary, select the Service icon. Peachtree remembers the type of invoice you used the last time, so if you entered a standard invoice the last time, you would need to select the Service icon. 3 Enter or select the customer ID. When the customer is selected, Peachtree supplies the customer default information, including billing and shipping addresses, sales account, ship method, payment terms, and sales tax code. If this customer has open sales orders, the Apply to Sales Order tab displays in front. Select the Apply to Sales tab to enter new items on the invoice. Leave the Invoice # field blank if you want Peachtree to print an invoice. Peachtree will increase the invoice number by one when it
is printed. Otherwise, enter an invoice number or other reference number. (If you print the invoice with an invoice number assigned or print it again later, the invoice will have the word DUPLICATE on it.) 6 7 Enter the date of the transaction if it is different than the displayed date. If you have entered a default shipping address in the customer's record, the first shipping address will display on the invoice. Change the customer's ship to information, if necessary, by selecting the arrow button next to the Ship To address field. You can select the Ship To button to add a new shipping address or select another shipping address from the choices available. If you have entered a default P.O.# in the customer's record, it will display on the invoice. If not, you can enter the customer's purchase order number now or change the default to any other piece of information that will identify this invoice to the customer. If you have entered a default shipping method in the customer's record, it will display. You can select the Ship Via button if you want to select a different shipping method. You can also enter a Ship Date. Peachtree uses the default terms you have entered for the customer, but you may want to select the Terms button to change the default discount dates or amounts for this invoice. When a receipt that qualifies for an early payment discount is applied against the invoice, Peachtree will calculate the discount. If you entered a default Sales Rep in the customer's record it will display. Otherwise, select the code of the sales representative, if applicable. Enter the information for the services that you provided. Enter each service item on a separate line, including the description, unit price (the number of decimal places is selected in Global Options), sales tax status, and the job information to which it applies. The default G/L sales accounts that display for each line item is based on the customer sales account default. You can change these, if necessary.
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Note: If the Hide General Ledger Accounts global option is activated, the G/L Account line item field will not display. Select the Journal icon to display the Accounting Behind the Screens window. You can then change the line item's sales account ID. Select OK to return to the Sales/Invoicing window. 15 16 Continue entering line items until you have entered them all. You can apply reimbursable expenses to the invoices if this customer is associated with a job and you have entered related job expense transactions. 17 See Apply Reimbursable Expenses for more information. If you are using Peachtree Complete Plus, see Apply Tickets/Reimbursable Expenses If yours is an accrual-based company, you can select the Accounts Receivable G/L account for this potential sale. On financial statements this will be your accounts receivable asset account. If yours is a cash-basis company, this field will display <Cash Basis>. Note: If the Hide General Ledger Accounts global option is activated, the A/R Account field will not display. Select the Journal icon to display the Accounting Behind the Screens window. You can then change the A/R account ID. Select OK to return to the Sales/Invoicing window. 18 19 Select the sales tax code for this sale. If you have received a partial or full payment for this invoice, select the Amount Paid button. A window displays so you can enter the amount. Select the Print icon if you want to print the invoice. Otherwise, select Post or Save.
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Enter a Manual Invoice If you already have written a manual invoice for a customer and do not want to print it from Peachtree Accounting, follow these steps: 1 Select Sales/Invoicing from the Tasks menu.
When you enter the invoice, be sure to enter the reference number (or anything) in the invoice number entry box. Otherwise, Peachtree will print an invoice.
Convert a Quote to an Invoice or Sales Order Refer the sales order topic above. Apply Reimbursable Expenses This is applicable to job costing . Hence, I found it to be irrelevant in our case. 5.4.3 Accounting Behind the ScreensSales/Invoicing When you select the Journal icon in the Sales/Invoicing window, the Accounting Behind the Screens window displays. The corresponding journal entry(s) for the sales invoice display that will post to the General Ledger. You can modify the transaction by changing the account IDs of certain journal distributions listed. You cannot change account IDs for cost of sale entries. Two tabs display depending on the type of information entered in the sales invoice. Sales JournalThis tab displays for all sales invoices entered. Distributions for the invoice display (for example, income and accounts receivable entries). If stock items, assembly items, labor items, or service items are selected as line items in the invoice, a cost of sales entry will also display in the Sales Journal tab. Note: You cannot edit "cost of sale" journal entries in the Accounting Behind the Screens window. In order to change this entry, you must return to the Sales/Invoicing window and select an alternate inventory item or change the inventory item G/L account defaults in Maintain Inventory Items. Cash Receipts JournalThis tab displays if an amount paid is entered at the bottom of the sales invoice (indicating you have received payment from the customer).
For assistance on debits and credits, see Journal Entry Distributions Sales/Invoicing.
The icons at the top of the window are Cancel, OK, and Help. Select OK in the Accounting Behind the Screens window to return to the Sales/Invoicing window. Select Post, Save, or Print to record the invoice in the Sales Journal, Cost of Goods Sold Journal (if costed inventory items are used), and the Receipts Journal (if a direct payment is entered). 5.4.4 Recurring Billing In most businesses, you have customers that you bill every month. In your business, you may bill the same customers every month, even for the same amount. No matter which situation is yours, you can probably save time by setting up recurring invoices. 1 2 From the Tasks menu, select Sales/Invoicing. Complete the transaction as you normally would. You do not have to enter an invoice number at this time. Note: You are actually creating an invoice here, not just a template. Even if the amount will differ next time, it's helpful to have all the other information filled out for you. 3 4 Instead of selecting Post or Save, select the Recur button. Enter the number of times to create the entry. This number includes the current invoice. (If you enter 1, a single transaction is saved, in the current period.) Under When to Recur, select a schedule for the recurring invoice. You can choose Weekly, Biweekly, Monthly, Per Period, Quarterly, or Annually. You have to assign a number, either here or when printing invoices. If you don't plan to print invoices, check the Assign Invoice Numbers box, then enter a number. If you do plan to print invoices, leave this box unchecked. Then, you can assign numbers when printing. If you check the box and assign a number, Peachtree will assign all the numbers now, incrementing each invoice number by 1.
Choose the OK command button. Peachtree posts or saves all transactions in the appropriate period. The first transaction is saved for the current transaction date.
5.5 RECEIPTS
This allows you to enter all checks, cash, and credit card slips you receive and deposit them in your checking account. There are two ways you can account for receipts in Peachtree Accounting: If you sent an invoice to a customer, you apply the receipt to the invoice. Invoices entered through the Sales/Invoicing selection display as distribution lines when you enter the Customer ID. You can check the Pay column beside each invoice being paid in full by this receipt. If you made a direct sale that didn't require an invoice, you use Receipts and enter it on the Apply to Revenues tab. This requires you to specify a check number and sales account.
You can enter up to 154 lines per receipt. If you set up the Distribution list box for two lines in the Global selection of the Options menu, descriptions of the item, account, and job display in the second line. If any field on this screen is grayed out, then it is unavailable for editing or entering information. The top of the window contains the following icons: Close, Save or Post, Erase, Edit Record, Add, Remove, Journal, Event, Recalc, and Help.
Fields Deposit Ticket ID Vendor ID Name Reference Prepayment Date Due Discount Date Customer ID Customer Address Field Receipt Amount Cash Account Balance Apply to Invoices Tab Invoice Amount Due Description Discount Account Amount
Pay Item Unit Price Sales Rep
Apply to Revenues Tab Quantity Description GL Account Tax Job Sales Tax Code Sales Tax Apply to Vendor Account Tab Description GL Account Unit Price Tax Amount Job 5.5.1 Enter a Deposit or Prepayment To enter a deposit or prepayment 1 2 3 From the Tasks menu, select Receipts. Enter or select the customer ID. This is required for a prepayment. Select the Apply to Revenues tab and check the Prepayment box. If you enter a prepaid income or customer deposit liability account instead of the default A/R account, your detailed Accounts Receivable aging report will not agree with your general ledger Accounts Receivable balance. The aging report uses the accounts receivable information, and does not include the deposit's liability account. 4 5 Enter a reference number for this transaction. This must be a unique number and is generally the customer's check number. Save or Post the prepayment.
When you later invoice the customer for a final sale, the invoice and prepayment display in the Receipts window for this customer, along with the other posted invoices. You can select the prepayment along with the other invoices. The prepaid amount will be subtracted from the receipt amount for this customer. Note: Once you apply a prepayment to an invoice, you will not be able to use the drill-down feature to get to the prepayment from reports which display the transaction. Also, when you select the Edit Records icon, the prepayment transaction will display with the words <Prepayment has payments> in the Reference
field and you will not be able to select it. To delete or edit the actual prepayment, you must first delete the transaction you entered to apply the payment to the invoice. Receive a Payment from a Customer When a customer pays an invoice, enter the amount in the Receipts window. 5.5.2 To enter customer payment on an invoice 1 2 From the Tasks menu, select Receipts. The Receipts window displays. Enter a deposit ticket ID that can easily represent the type and source of payment. This will make account reconciliation easier to manage. Peachtree automatically enters the deposit ticket ID as a numeric representation of the current date. All receipts that use the same deposit ticket ID will display as one lump-sum in Account Reconciliation. If you want this transaction to be reconciled as a separate item, enter a unique deposit ticket ID. 3 Enter or select the customer ID. After you enter the customer ID, the invoices owed by that customer will display in the Apply to Invoices tab. 4 5 Enter a reference number that will help identify the receipt (for example, the customer's check number). Select a Payment Method (for example, Cash or Check). Payment methods are set up in Customer Defaults; these are quite useful in reports when managing receipts. In the Cash Account list, enter or select the bank account in which the receipt is deposited. In the Apply to Invoices tab, select the Pay check box next to the invoices the customer is paying. If the customer has paid the invoice in full, place the cursor in the Amount column for the invoice and check the Pay box. The system will fill in the Amount Paid.
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If the customer has only paid a partial amount on the invoice, enter that amount; the Pay check box is then automatically selected. Note: If your customer overpays the amount, a credit is made to the customer's ledger; for underpayments, the payment amount is applied to the invoice balance. You will need a reference number in order to post or save the record. 8 Select Post or Save to record the receipt.
5.5.3 Enter a Payment from a Customer Not on File 1 2 Select Receipts from the Tasks menu. When you reach the Customer ID entry box, press ENTER to leave it blank. This allows you to enter the customer's name. This will update the General Ledger, but eliminate the need to keep a customer record. 3 4 5 Make sure you enter something in the Reference # field, like the check number. This is a required field. In the Cash Account list, enter or select the bank account in which the receipt is deposited. Select Save or Post when finished.
5.5.4 Enter a Cash Sale When a customer pays for an item and there is no invoice, enter a cash sale. 1 2 From the Tasks menu, select Receipts. Enter a reference number for this transaction. This must be a unique number and is generally the customer's check number. Avoid entering CASH as the reference for more than one transaction. In the Cash Account list, enter or select the bank account in which the receipt is deposited.
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Select the Apply to Revenues tab. Then, enter the line items on the receipt the same way as you do in Sales/Invoicing. Select Save or Post when finished.
5.6 Finance Charges

5.6.1 Set Up Finance Charges In order to apply finance charges to your customers, you must first activate and set up finance charges in Default Information. 5.6.2 How Finance Charges Are Calculated Finance Charges are calculated for all customers who have the Apply Finance Charges selected in the Maintain Customers Terms window, and meet the filter criteria selected in the Calculate Finance Charge window. Finance charges are calculated using the following formula for each overdue invoice: Finance Charge = (Number of Days Past Due)(Daily Rate)(Outstanding Invoice Amount) Number of Days Past Due is the number of days between the date that finance charges are calculated and one of the following: the invoice date if aging is set to Invoice Date in Customer Default Information OR the due date if aging is set to Due Date in Customer Default Information OR the date of the last finance charge calculation Daily Rate is the percentage (set up Customer Defaults for Finance Charges) divided by 365 days. Outstanding Invoice Amount is the amount due on the invoice.
5.7
PURCHASES
The Purchases Navigation Aid displays maintenance records, tasks, and reports that affect Account Payable areas of Peachtree Accounting. In the Tasks section, arrows illustrate relationships and workflow of tasks that you would most likely follow. Should I Enter Vendor Invoices? You do not have to enter purchases, or vendor invoices in Peachtree Accounting. You could certainly save data-entry time by only entering payments. If you are a cash-basis company, you might figure that there is no point in entering purchases, since you only recognize expenses when you disburse cash. However, even for cash-basis companies, there are still important benefits to entering vendor invoices in Peachtree Accounting. Vendor Aging If you enter vendor invoices, Peachtree Accounting will compute and track aging for payables, even for cash-basis companies. This includes automatically tracking discounts for timely payment. For purchases, you can select a batch of bills to pay, based on due date, discount date, and other criteria. In addition, you can use the Payment Manager to analyze payables, and to select bills to pay. Projected Cash Flow Cash-basis companies that record vendor invoices can still accurately project cash flow. The two main tools for this in Peachtree Accounting are the Cash Flow Statement and the Cash Manager. 5.7.1 Vendor Defaults This tells Peachtree Accounting the basic information that you want to use for all of your vendors. This default information displays for you automatically in various windows and saves you time when entering vendor transactions. The vendor default includes the Payment Terms, Account Aging and Custom Fields.
5.7.2 Maintain Vendors You use Maintain Vendors to enter, change, and store information about the companies and people from whom you purchase goods and services. This includes information such as name and address information of the vendor vendor history, such as last invoice and last payment information, period history, and the date of the first purchase from the vendor the General Ledger purchase account terms of payment and credit limit your balance with this vendor the type of 1099 form sent (if any) This is not applicable to the Ethiopian Case. You can add a vendor, change existing vendor information, or delete a vendor if no transactions have been entered for the vendor. The command bar at the top of the windows contains the following icons: Close, Save, Erase, New, Event, Log, and Help. Tabs Header Fields and Tabs Vendor Header Fields General tab Purchase Defaults tab Custom Fields tab History tab 5.7.3 Enter a Vendor's beginning balance Once you save a vendor, you can enter beginning balances for the vendor. When you are entering your vendor's beginning balances, do not enter an invoice which you have already entered in the Sales/Invoicing window, or the amount in the Vendor Ledger report will be doubled. 1 From the General tab on the Maintain Vendors window, select the Beginning Balance button.
Enter the vendor's beginning balances. When you are setting up your company, it is important to remember that the total of the beginning balances entered here needs to equal the total amount you entered in your G/L beginning balances for all Accounts Receivable account types. There are two tabs on the Vendor Beginning Balances window: Invoices for: and Vendor Balances. The first tab is where you enter amounts for outstanding invoices. The second tab lets you select another vendor and enter beginning balances for that vendor.
5.7.4 Review a Vendor's Status To review your general status with a vendor: 1 2 3 From the Maintain menu, select Vendors. Select the vendor you want from the vendor list box. You can select the History tab to display purchase and payment history, or select the Terms button to display your credit limit. (The current balance is on the General tab.) Select the Current balance arrow button to display a Vendor Ledger report for this vendor, listing this vendor's current transactions.
5.8 PURCHASE ORDERS

This is where you enter a purchase request for items from a vendor. When you post a Purchase Order, you do not actually update any accounting information. The accounting information is updated only when you actually receive the items on the purchase order through the Purchases/Receive Inventory task, or if you're using cash accounting, when you pay the vendor. Note: Before entering a purchase order, the vendor must already be entered in Maintain Vendors. To enter a one-time purchase from a vendor you don't want to keep on record, use Payments and leave the Vendor ID box blank. If you set up the distribution list box for two lines in the Global selection of the Options menu, descriptions of the item, account, and job display in the second line.
If any field on this window is grayed out, then it is unavailable for editing or entering information. To print a purchase order, either select the Print icon, or print the purchase order through Accounts Payable Reports. Do not enter a PO# if you plan to print the PO. Peachtree assigns a number at print time. The command bar across the top of the window contains the following icons: Close, Save or Post, Print, Erase, Edit Record, Note , Add, Remove, Journal, Event, and Help. To enter a Purchase Order, from the Tasks menu, select Purchase Order. The Purchase Order window displays. 5.8.1 Accounting Behind the ScreensPurchase Orders When you select the Journal icon in the Purchase Orders window, the Accounting Behind the Screens window displays. The Purchase Orders Journal tab displays the corresponding transaction's journal entry. You can modify the transaction by changing account IDs of journal distributions listed. Note: Purchase Orders are not posted to the General Ledger. When you record the purchase invoice for shipped or received items in the order, the transaction is posted to the General Ledger. For assistance on debits and credits, see Journal Entry Distributions Purchase Orders. The icons at the top of the window are Cancel, OK, and Help. Select OK to return to the Purchase Orders window. Then, select Post, Save, or Print to record the modified transaction in the Purchase Orders Journal.
5.9 PURCHASES/RECEIVE INVENTORY

This allows you to enter either vendor invoices or receive inventory for purchase orders. The vendor may be an already existing vendor, or you can add a new vendor. In the Purchases/Receive Inventory window, there are two tabs:
Apply to Purchase OrderWhen you select a vendor who has open purchase orders, the Apply to Purchase Order tab displays, allowing you to select which purchase order to receive items against. Apply to PurchasesIf you select a vendor with no open purchase orders, this tab displays by default, so you can enter a purchase that did not originate on a purchase order. In addition, even if you have selected a purchase order and received items against it in on the Apply to Purchase Order tab, you may select this tab to enter purchases not on the purchase order on the same invoice. If you set up the distribution list box for two lines in the Global selection of the Options menu, descriptions of the item, account, and job display in the second line. You may enter up to 160 distributions per purchase. If any field on this window is grayed out, then it is unavailable for editing or entering information. The top of the window contains the following icons, depending on which tab is in front: Close, Save or Post, Recur, Erase, Edit Record Note, Add, Remove, Receive All, Receive None, Journal, Event, and Help. 5.9.1 Enter a Purchase Invoice If you want to enter the purchase of an item that did not originate from a purchase order, enter purchases using the following steps. 1 2 3 From the Tasks menu, select Purchases/Receive Inventory. Enter or select the vendor ID. The name and address information is filled in automatically when you select an existing vendor. Enter the vendor's invoice number in the Invoice # field. This is a required field. If you have not yet received a vendor invoice (bill) for this shipment, select the Waiting on Bill from Vendor check box. Once your vendor sends you the bill, edit this invoice, clear the "Waiting on Bill from Vendor" check box, and enter the invoice number. Then, when you post the invoice with the invoice number, you will be able to select the invoice for payment.
Note: If you have received inventory from a vendor by entering a purchase using the "Waiting on Bill" option, Peachtree will warn you when you select this vendor so you don't enter the invoice for this vendor's order twice by mistake. 4 5 Enter the date of the transaction if it is different than the displayed date. Change the shipping address if necessary, and the method of shipment. Click on the arrow button to display the box with ship to information. To change the shipment method, select the method from the drop-down list. Change the discount amount if necessary, as well as the displayed terms. The Displayed Terms field automatically fills in with the default terms. 7 If the vendor used special terms, enter the new term information here. 8 If yours is an accrual-based company, you can select the Accounts Payable G/L account for this purchase. On financial statements this will be your accounts payable liability account. If yours is a cash-basis company, this field will display <Cash Basis>. Note: If the Hide General Ledger Accounts global option is activated, the A/P Account field will not display. Select the Journal icon to display the Accounting Behind the Screens window. You can then change the A/P account ID. Select OK to return to the Purchase/Receive Inventory window. 9 If there are open POs, the Apply to PO tab is in front. To enter a purchase, select the Apply to Expense tab. To apply a purchase order to the invoice, see the following: Receive inventory on a purchase order 10 Enter the information for each item being purchased on a separate line. Enter the quantity being purchased then enter or select the inventory ID (if the item is not in your inventory, you must add it first) for the item being purchased, if applicable. The description for purchases displays in the description field.
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Press Enter to accept the default description, or enter another description. The default G/L purchase accounts that display for each line item is based on the vendor's purchase account default or the item ID selected. You can change these, if necessary. Note: If the Hide General Ledger Accounts global option is activated the G/L Account line item field will not display. Select the Journal icon to display the Accounting Behind the Screens window. You can then change the line item's purchase account ID. Select OK to return to the Purchase/Receive Inventory window.
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Enter the unit price (the number of decimal places is selected in Global Options) for this item or enter an amount in the Amount field and the unit price will be calculated. The default is the last posted price for this item. Assign a job ID for each non-stock line item if you are tracking job costs. You cannot enter a purchase order for a stock or assembly item in your inventory and assign a Job to it. You can apply stock or assembly items to a job at the time of the sale, but not the time of purchase.
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Continue entering line items until you have completed the purchase invoice. If you have paid a partial or full payment at the same time you received this invoice, select the Amount Paid button. A window displays so you can enter the amount. When finished, select the Save or Post icon to record the purchase.
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5.9.2 Receive Inventory on a Purchase Order After you have entered a purchase order for your vendor, the next step is to receive the inventory for that purchase order as it arrives. Peachtree allows you to receive a different quantity for an item than you originally ordered, that is, you can receive less than or more than the originally ordered quantity.
From the Tasks menu, select Purchases/Receive Inventory. The Purchases/Receive Inventory window displays. From the Apply to Purchase Order # drop-down list, select the purchase order number you want to receive inventory against. The items on the purchase order display in the distribution lines.
5.9.3 Accounting Behind the ScreensPurchases/Receive Inventory When you select the Journal icon in the Purchases/Receive Inventory window, the Accounting Behind the Screens window displays. The corresponding journal entry(s) that will post to the General Ledger display. You can modify the transaction by changing the account IDs of journal distributions listed. Two tabs display depending on the type of information entered on the purchase invoice. Purchases JournalThis tab displays for all vendor invoices entered. Cash Disbursements JournalThis tab displays if an amount paid is entered at the bottom of the purchase invoice (indicating you made direct payment to the vendor). For assistance on debits and credits, see Journal Entry Distributions Purchases/Receive Inventory. The icons at the top of the window are Cancel, OK, and Help. Select OK in the Accounting Behind the Screens window to return to the Purchases/Receive Inventory window. Select Post or Save to record the invoice in the Purchases Journal and the Cash Disbursements Journal (if a direct payment is entered).
5.10
Payments
This allows you to write checks for vendor invoices, for payments that don't have a vendor invoice, and for prepayments or discounts. You can also write a check to a customer. Note the distribution list box at the bottom of the window. The fields of the distribution box differ depending on whether you're applying the payment to invoices or expenses. Note the Apply to Invoices and Apply to Expenses
headings at the top of the box. If a vendor has open invoices, the Apply to Invoices tab will be in front. However, if you are entering a payment to a one-time vendor not in the system, the Apply to Expenses heading is defaulted. You can also select the prepayment check box for a payment to an existing vendor where there isn't an invoice. If you set up the distribution list box for two lines in the Global Options, descriptions of the item, account, and job display in the second line. If any field on this window is grayed out, then it is unavailable for editing or entering information. The command bar across the top of the window contains the following icons: Close, Save or Post, Process (if this vendor is set up as an electronic payee), Print, Recur, Erase, Edit Record, Add, Remove, Journal, Event, Recalc, and Help. Fields
Vendor ID or Customer ID Pay to the Order of
Check Amount Prepayment Amount Due

Pay Discount Account
Description Job 5.10.1 Pay Vendors
Check Number Memo Cash Account Apply to Invoices Tab Invoice Description Discount Apply to Expenses Tab Quantity G/L Account Unit Price
Date Balance Date Due Amount Paid Item Amount
There are two basic methods of paying vendors: Apply vendor invoicespay Purchases/Receive Inventory. previously entered invoices in
Apply to expenses (cash purchase)pay a vendor without using a vendor invoice. See Enter a Cash Purchase for further information. To apply a payment to vendor invoices 1 2 From the Tasks menu, select Payments. Select the vendor you want to pay. The invoices for this vendor display in the list distribution box.
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Enter or select the cash account from which you will be writing the check. If you want to pay the invoice in full, place the cursor in the Description, Discount, or Amount Paid column, then check the Pay box, at the far right of the line. If you want to make a partial payment, enter the amount in the amount field of the invoices you want to pay. When you're finished, select the Print icon to print the check now. Or, Save/Post it and print it from Reports later. When you're finished, select the Post or Save icon. The program then debits Accounts Payable for the total amount and credits the cash account for the net check amount and also credits the discount taken account (if applicable).
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You can also use the Select for Payment selection. This allows you to pay invoices that meet certain criteria and then print checks for them. You can also partially pay invoices using this selection. 5.10.2 To select a range of vendors to pay invoices 1 2 3 4 From the Tasks menu, choose Select for Payment. After you enter the selection criteria on the first window, select OK to proceed to the next window. Enter or select the cash account from which you will be writing the checks. You must print the checks before closing the window. After making your selections, select the Print icon. Please note that you must print the checks selected to pay in this window. You cannot save the check payments and print them later. 5.10.3 Enter a Manual Check To enter a manual (handwritten) check, you need to: 1 From the Tasks menu, select Payments.
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Enter or select the vendor ID and the check date. Enter the check number. Peachtree Accounting considers all payments with a check number assigned as printed. If you print the check with a check number already assigned, the word "Duplicate" will display on the check.
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Enter the payment information the same way that you enter regular payments. When you're done, select the Save or Post icon.
5.10.4 Enter a Deposit or Prepayment A deposit or prepayment is money you have already paid to the vendor and which is applied towards expenses. Later, you will apply it to a vendor purchase. To enter a deposit or prepayment, follow these steps: 1 2 From the Tasks menu, select Payments. After selecting the vendor, select the Apply to Expenses tab. Then, select the Prepayment check box. When you select Prepayment, you can only enter a Description, the G/L Account, and an amount for payment. You cannot select an item ID or quantity. The G/L Account will typically be a Prepaid Expenses account. When you enter a prepayment, you can only enter one line item. 3 Save, Post, or Print the prepayment check. Once you receive and enter the vendor's invoice, you need to apply the prepayment to the vendor's invoice, to reflect the amount you have already paid the vendor for the invoice. If you are using the batch method of posting, you must post the Cash Disbursements Journal using the Post option from the System menu before applying the prepayment to an invoice. 4 To apply the prepayment, from the Tasks menu, select Payments.
When you select the vendor ID, the prepayment displays in the Apply to Invoices list. Select it and then select the Pay check box. A negative (credit) amount displays in the check amount box.
Select the invoice you want to apply this prepayment against. Enter the same, but positive, amount in the Amount Paid field. The check amount must be zero. You can also choose to pay the entire invoice.
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Save or Post the prepayment. If you selected to pay the entire invoice, you can print this disbursement check now by selecting the Print icon. This posts or saves the check, too.
Note: Once you apply a prepayment to a purchase, you will not be able to use the drill-down feature to get to the prepayment from reports which display the transaction. Also, when you select the Edit Records icon, the prepayment transaction will display with the words <Prepayment has payments> in the Reference field; you will not be able to select it. To delete or edit the actual prepayment, you must first delete the transaction you entered to apply the payment to the purchase 5.10.5 Enter a Cash Purchase A cash purchase can either be a check that you write to a vendor or other payee that you have not entered a purchase for, or it can be a purchase for which you have actually paid cash. A cash purchase needs to be applied to expenses. 1 2 3 4 From the Tasks menu, select Payments. Select the vendor to receive the cash purchase, or press Enter to skip the ID field and type in the name in the Pay to the Order of entry box. Leave the check box blank if you want to print a check or type in CASH01 if you paid cash for the purchase. If you chose a vendor with existing invoices, select the Apply to Expenses tab.
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Enter the line items on the payment the same way as you do in Purchases/Receive Inventory. If you intend to print the check, select the Print icon. Otherwise, select the Save or Post icon to record the payment.
5.10.6 Receive Payment from a Vendor If you have received payment from a vendor, such as a refund check, you must first enter a negative purchase, just as when you are entering a credit memo. When you receive the check from the vendor, apply the receipt to the negative purchase. 1 2 3 4 5 6 From the Tasks menu, select Purchases/Receive Inventory. Enter the purchase using negative quantities and amounts. Save or Post this purchase. From the Tasks menu, select Receipts. In the drop-down list next to the ID field, select Vendor ID, then select the appropriate one from the list. Enter a description in the Description field, then enter the GL Account if different from the Accounts Payable default. Enter the amount of the check received from the vendor in the Amount field. Once you have entered all the items, Save or Post the receipt. If you are using batch posting, you must post the Purchases and Cash Receipts journals before you can apply the check to the negative invoice. From the Tasks menu, select the System option. On the submenu, select Post. In the Post window, select the Cash Receipts Journal and the Purchase Journal, then select OK to post. 8 9 From the Tasks menu, select Payments. Select the vendor. In the Apply to Invoices tab, select to pay the negative purchase you entered. Then, select the vendor payment you received. The check amount must be 0.00.
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Save or Post the payment.
5.10.7 Write a Check to a Customer If you need to write a check to a customer, like a refund check, you must first enter a credit memo (negative invoice) on the Sales/Invoicing window, then enter a check on the Payments window. Then, apply the check to the invoice in the Receipts window. 5.10.8 Accounting Behind the ScreensPayments When you select the Journal icon in the Payments window, the Accounting Behind the Screens window displays. The Cash Disbursements Journal tab displays the corresponding transaction's journal entry. You can modify the transaction by changing the account IDs of journal distributions listed. For assistance on debits and credits, see Journal Entry Distributions Payments. The icons at the top of the window are Cancel, OK, and Help. Select OK to return to the Payments window. Then, select Post, Save, or Print to record the modified transaction in the Cash Disbursements Journal.
5.11 SELECT FOR PAYMENT

You can use this to select invoices from vendors to be paid as a batch. You can print the checks from this selection. However this section is not applicable to ETH since there will not be as such batch payment and inbuilt check( Rather we have manual check and payment voucher.)
5.12 VOID EXISTING CHECKS

After selecting Void Checks from the Tasks menu and selecting a cash account (usually a checking account), Peachtree builds a list of checks and this window displays. Only checks that have posted and not cleared in Account Reconciliation display in this list. You can void Accounts Payable and Payroll checks.
NumberThis represents the check number that has been posted, but not cleared in account reconciliation. DateThis is the date of the check. SourceThis indicates whether the check is an Accounts Payable disbursement check or a Payroll check. AmountThis is the total check amount. For paychecks this represents the employee's net pay. To void a check listed, select the Void button. The Enter Date to Void window displays where you can enter the date in which to void the check selected. 1 From the Tasks menu, select Void Checks. A window displays asking you for the correct cash account. The default is the Cash in Checking account. Enter the cash account you want to void checks from and select OK. Peachtree builds a list of checks and the Void Existing Checks window displays with a list of the posted checks from the cash account you specified. Scroll through the list to the check you want to void and highlight the check. Select the Void button. The Enter Date to Void window displays where you can enter the date in which to void the check selected.
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5 Make sure the displayed check is the one you want to void, and enter the date you want the check voided as of. 6 7 Select OK. The Void Existing Checks window displays again. If you want to void any more checks from this cash account, then repeat steps 3 through 6. Otherwise, select Close.
When you void a check The original check will be marked as clearedthis is for bank reconciliation purposes.
A copy of the original check with the amounts negated, will be generated. The copy will be given a number of the original check, plus a V (for example, if the original check was 108, then the copy will be 108V). The new check will be marked as clearedthis is for bank reconciliation purposes.
Using the Payments Manager

The Payment Manager provides a numerical and graphical analysis of your Accounts Payable, or the money you owe. You can drill down in each of the four aging brackets, and see details of the vendors and transactions that make up a balance. You can check off a batch of invoices to pay, and print checks. You can even drill down to see the original purchase transaction. Click on a column in the graph to see the vendors and invoices that make up that column. You can do the same thing in the Numeric display of this data. Check the boxes beside those vendors to whom you want to Pay, then select the Check icon at the top of the window. To see just the totals for a single vendor, highlight the invoice and click the Vendor icon. To see the original invoice, highlight the transaction and click the Detail icon, or just double-click the transaction.
5.13 PAYROLL
The Payroll Navigation Aid displays maintenance records, tasks, and reports that affect Employees and Payroll Entry areas of Peachtree Accounting. In the Tasks section, arrows illustrate relationships and workflow of tasks that you would most likely follow. For further details refer you user guide.
5.14 INVENTORY NAVIGATION AID

The Inventory Navigation Aid displays maintenance records, tasks, and reports that affect Inventory in Peachtree Accounting. In the Tasks
section, arrows illustrate relationships and workflow of tasks that you would most likely follow. 5.14.1 Inventory items (over view) Peachtree Accounting tracks the inventory items you buy and sell, and automatically updates the quantities after each posted transaction. It also allows you to store items you do not stock, but that you enter on invoices. This makes entering invoices faster for you. Tracking inventory in Peachtree Accounting is basically a three-step process: Enter item information, including Sales account, Inventory account, and Cost of Sales account. Use item codes when entering purchases and sales. Peachtree Accounting computes and tracks costs and quantities on a daily basis, based on transaction date. Enter adjustments if necessary, through the Inventory Adjustments Task. Peachtree Accounting does the rest, adjusting inventory levels each time you post a purchase or sale of an inventory item. In addition, the program will track the cost of each item on a daily basis, based on the transaction date. In addition to tracking costs and quantities, using inventory items makes entering transactions easier. Through Maintain Inventory Items, you set up the goods and/or services you sell. You can set a unit price and the account to be adjusted by the sale of this commodity (see Non-stock Items, above). Then, when you enter the sale, you need only select an inventory item, enter a quantity ordered, and Peachtree Accounting computes the total. The inventory item description and any detailed description print on the invoice. The command bar at the top of the window contains the following icons: Close, Save, Erase, New, Note, and Help. TABS Header Fields and Tabs Inventory Item Header Fields General tab Custom Fields tab
History tab Bill of Materials tab 5.14.2 Inventory item defaults Peachtree Accounting lets you set up default information for inventory items. Use this feature like a template or model, upon which to build all your item records. You enter the most-common information. Then, when setting up a new inventory item, this information automatically displays. In most cases, you won't have to enter anything. Default information for inventory includes: General Ledger Accounts and Costing Methods for each item class Tax and Shipping Information Custom Fields All of this information is set up for you in Part Two of the New Company Setup. Or, you can add or modify defaults through the Maintain, Default Information menu. Tabs General Ledger Accounts/Costing tab Taxes/Shipping tab Custom Fields tab 5.14.3 General Ledger Accounts/Costing This is where you set the default or most common general ledger accounts for each item's class of inventory. When entering a new inventory item, the default accounts are automatically filled in for you. This speeds up the process of entering new items. You can change any of these defaults when entering each item (in Maintain Inventory Items), if necessary. Note that some items are gray and inaccessible. For example, you cannot enter general ledger accounts for Description Only items, because no accounting is entered or tracked for this item class. You can only enter costing methods for Stock and Assembly items, since Peachtree only tracks costing for these item classes. Stock item Non-stock item
Service Assembly item 5.14.4 Taxes/Shipping
Labor Freight
The sales tax information will print out on the Taxable/Exempt Sales report. FieldThe number here that identifies the tax type. This number is used by Peachtree Accounting and is for display only. DescriptionEnter a tax type description (for example, taxable, exempt, or food). You can enter only one taxable description. TaxCheck this box if the item is taxable. Ship MethodsYou can use this to enter different ship methods for items (up to 10 fields).

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CONTENT

PEACHTREE ACCOUNTING OVERVIEW

WHAT SORT OF DATA DO I NEED TO ENTER?

THE CONVERSION DATE

BATCH VS. REAL-TIME POSTING

CASH BASIS OR ACCRUAL ACCOUNTING

1.5.1 The benefits of cash basis accounting

1.5.2 The benefits of accrual accounting

DATES AND ACCOUNTING PERIODS

can have from 1 to 13 periods in the fiscal year.

YOUR CHART OF ACCOUNTS

1.8.1 G/L Beginning Balances

1.8.2 Coding systems

Entering all at once vs. entering as needed

1.10 SETTING UP A NEW COMPANY

To set up a new company

1.11 DEFAULT INFORMATION

PART II 2. NAVIGATING PEACHTREE

2.1 DISPLAY THE STARTUP WINDOW WHEN PEACHTREE ACCOUNTING OPENS

To not display the Startup window when Peachtree Accounting opens

2. 2 DISPLAY AND USE NAVIGATION AIDS

To display Navigation Aids

To turn off Navigation Aids:

2.3 USE THE PEACHTREE ACCOUNTING MENUS

Double-click a list item to select it. 2.3.5 Menu items

2.4 Peachtree Accounting Window Basics

2.5 DISPLAY SMART GUIDES

3.1 OPENING & CLOSING

Exit Peachtree Accounting

Quit Peachtree Accounting

Open a Peachtree Accounting Company

Open a Peachtree Accounting company from the Startup window

Open a Company within Peachtree Accounting

Log on to a Peachtree accounting company

Close a Peachtree accounting company

3.2 EDIT DATA

To use Smart Data Entry to list records

3.2.2 Edit a record or transaction

3.2.3 Erase a record or transaction

3.3 ADD OR REMOVE A LINE ITEM IN A RECORD OR TRANSACTION

3.4 RECURRING ENTRIES

Edit a recurring entry

Erase a recurring entry

3.5 MEMORIZED TRANSACTION

Quotes Sales Invoices Purchase Orders Payments General Journal Entries

3.6 ACCOUNTING BEHINED THE SCREEN

EDIT A JOURNAL ENTRY USING ACCOUNTING BEHIND THE SCREENS

4.1 GENERAL LEDGER DEFAULTS

SET UP A ROUNDING ACCOUNT FOR FINANCIAL STATEMENTS

4.2 CHART OF ACCOUNT

4.2.2 Setting up your chart of accounts

SETTING UP YOUR CHART OF ACCOUNTS FOR THE FIRST TIME

10 Enter the Beginning Balance on the General tab. 11 Select Close.

ADDING AN ACCOUNT TO AN ESTABLISHED CHART OF ACCOUNTS

To set up an account using the Navigation Aid

To set up an account using the menu

4.2.3 Delete an account from the chart of accounts

4.2.4 To make the account inactive

4.3 BEGINNING BALANCES FOR GENERAL LEDGER

Enter beginning balances

What if Im out of balance?

Continue entering beginning balances. Select OK when you are through.

When to enter a negative balance