Professional Documents
Culture Documents
of
Tally Accounting Software
With Full Accounting Knowledge
Prepared for
DOT NEPAL EDUCATIONAL ACADEMY
Kathmandu, Nepal
2006
For Comment:
yoursown.p@gmail.com
This book is based on Tally eis 5.4, but it helps to operate recent versions.
Part I Tally Entry System:
How to open Tally?
Click on Start
Go to Programs
Go to Tally for win95
Click on Tally 5.4
Or there may be shortcut on the Desktop. If that appear on there, double click on Tally icon
Create Company
We have to create company to prepare the function on Tally. Creating company means we are
crating our separate file on Tally. Follow this process to Create New Company:
Start Tally; window displays Gateway of Tally then choose Create Company and press Enter. Then
window displays a form, fill the form as follows:
Name : Name of Company
Mailing Name : Automatically displayed
Address : Address of Company
Income Tax no : PAN NO (9 digit Stating from 3 or 5)
Currency Symbol : Rs.
Maintain : (Choose) Account Only; Account with Inventory; Inventory only*
Financial Year From : The starting date of Fiscal Year. (Date must be in AD)
Book beginning From : It will be same as financial year, if you start your company from the middle of
the financial year it will be different.
Tally Vault Password : Password to open the Tally Software; if need.
Use Security Control : if you choose Yes; Tally asks for User name & password to open.
Base Currency Information
Select Company
Start Tally When window displays Gateways of Tally> Company Info. Choose Select Company &
press Enter. Then choose your company from the list and press Enter. Your company will open. You
can see the Folder Number in bracket which is lies on Directory.
Menus on Tally
When you open your company, you will see the main menus named Gateway of Tally it displays the
10 menus on Screen they are:
Accounting Info
Inventory Info
Voucher Entry
Import Of Data
Balance Sheet
Profit & Loss A/c
Stock Summary
Ratio Analysis
Display
Multi-Account Printing
There are only 2 more menus on Tally 7.2. They are Import MastErs and InvenTory Vouchers. We
can open the menu by pressing Highlighted key of that menu. For example we can open the Account
info by pressing A.
Account Info:
Group: Group means the secondary Account head (Primary are Assets, Liabilities & Capital) where
the ledger is. Tally creates 34 Groups so we don't need to create the Groups.
Voucher Types: Tally creates 19 types of voucher (see Voucher Entry) so we don't need to create it.
Ledger
Ledger is the title of transaction. It is also a sub-group.
Creation
Account Info>Ledger>Create
We have to create ledger to prepare account in different accounting transactions. Cash and Profit &
Loss A/c are pre-created by Tally, because these ledgers take place in each and every company. To
create ledger follow this process:
Units of Measure
We count everything in a specific unit of measure. Therefore we have to create units of measure to
count our stock items in a reasonable unit.
Create
Gateway of Tally > Inventory Info > Units of Measure > Create
Type : Simple (can choose Compound also.)
Name : Name of unit
Formal Name : Full Name
Decimal Place : 2/0 (0 for pcs, pair etc & 2 for Kg, Ltr etc.)
Display
To View Created Units, Inventory Info > Units of Measure > Display
Then Choose the Unit and Press Enter.
Alter
To Edit Created Unit, Accounting Info > Units of Measure > Alter
Then Choose the Unit to edit and Press Enter.
Stock Items
Gateway of tally > Inventory info>Stock Items > Create
Name : Name of Item
Under : Group
Units : Unit
Opening balance (if you have; put Quantity & Rate.)
Display
To View Created Items, Inventory Info > Stock Items > Display.
Then Choose the Stock Item and Press Enter. (Multiple: Display>All Items)
Alter
To Edit Created Unit, Inventory Info > Stock Items > Alter
Then Choose the Stock Item to edit and Press Enter. (Multiple: Display>All Items)
Exercise
Create the following Items with Groups and Units
Tea Food Pack
Rice Food Bags
Pen Stationary Pcs
Shirt Cloth Pcs
Sun silk shampoo Cosmetic Pcs
Exercise
Entry the following vouchers put the suitable Date and Narration.
Purchase:No. 1
Cr. L/C No 001245 67,800
Dr. Purchase 60,000
Sun silk shampoo 200pcs90 18,000
Sugar 500kg40 20,000
Bulb 100Pcs20 2,000
Shirt 50pcs400 20,000
Dr. VAT A/c 7,800
No. 2
Cr. Choudary Group 61,020
Dr. Purchase 54,000
Waiwai 2,000pkt11 22,000
Tom yam 1000pkt10 10,000
Waiwai Quick 2,000pkt11 22,000
Dr. VAT A/c 7020
No. 3
Cr. Balaram khadya udhog 7,03,000
Dr. Purchase 7,03,000
Rice 1000bgs700 7,00,000
Salt 300kgs10 3,000
No. 4
Cr. Cash 31,640
Dr. Purchase 28,000
Pen 200pcs15 3,000
Copy 1000pcs25 25,000
Dr VAT A/c 3,640
No. 5
Cr. Balaram khadya udhog 10,170
Dr. Purchase 9,000
Tea 75pkt40 3000
Coffee 50pkt120 6,000
Dr. VAT A/c 1170
No. 6
Cr. Nepal Cusmatic 31,357.50
Dr. Purchase 27,750
Fairever 200pkt80 16,000
fair&Lovely 175pkt 50 8,750
Lux 100pkt 30 3,000
Dr. VAT A/c 3607.50
No. 7
Cr. Nepa Fasion Collection 1,44,357.5
Dr. Purchase 12,7,750
Shirt 200pcs 400 80,000
T-shirt 85pcs 350 29,750
Jacket 20pcs 900 18000
Dr. VAT A/c 16,607.5
No. 8
Cr. Universal Electronics 23,956
Dr. Purchase 21,200
Bulb 200pcs 20 4,000
T.V. 2set 7,000 14000
DVD player 1set 3,000 3,000
Cord wire 1pcs 200 2,00
Dr. VAT A/c 2,756
No. 9
Cr. Nepal Cosmetic 73,450
Dr. Purchase 65,000
Sun silk Shampoo 200pcs 90 18,000
Detol Soap 200pcs 75 15,000
Life boy soap 200pcs 30 6,000
Clinic plus 200pcs 80 16,000
Fair &Lovely 200pcs 50 10,000
Dr. VAT A/c 8,450
No. 10
Cr. Universal Electronic 62,150
Dr. Purchase 55,000
Telephone set 50set 300 15,000
Fm Radio 200set 175 35,000
Blank C.D 1000pcs 5 5,000
Dr. VAT A/c 7,150
No. 11
Cr. Cash 10,735
Dr. Purchase 9,500
Paper 20rim 400 8,000
Pen 100pcs 15 1,500
Dr. VAT A/c 1,235
Sales:No. 1
Dr. Baneshwor Department Store 19,888
Cr. Sales A/c 17600
Waiwai 1000pkt12 12,000
Tomyam 400pkt11 4400
Waiwai Quick 100pkt12 1200
Cr. VAT A/c 2288
No. 2
Dr. Gausala Kirana Pasal 234550
Cr. Sales 234550
Rice 300Bags750 225000
Salt 50Kgs11 550
Sugar 200Kgs45 9000
No. 3
Dr. Cash 18080
Cr. Sales 16000
Pen 5opcs20 1000
Copy 500pcs30 15000
Cr. VAT A/c 2080
No. 4
Dr. Cash 3729
Cr. Sales 3300
Tea 20pkt45 900
Coffee 10pkt130 1300
Waiwai 50pkt12 600
Bulb 20pcs25 500
Cr. VAT A/c 429
No. 5
Dr. Cash 12260.50
Sales 10850
Sun silk shampoo 50pcs100 5000
Fair & Lovely 30pkt55 1650
No. 9
Cr. Kamal Dress 10,000
Dr. Cash 10,000
Payment Voucher:No. 1
Dr. Telephone Expenses 500
Dr. VAT A/c 65
Cr. Cash 565
No. 2
Dr. Salary 4500
Cr. Cash 4500
No. 3
Dr. Universal Electronic 12000
Cr. Himalayan Bank 12000
No.4
Dr. Nepal cosmetics 45000
Cr. Cash 45000
No. 5
Dr. Balaram khadya udhog 35000
Cr. Cash 35000
No. 6
Dr. L/C No 001245 60000
Dr. L/C charge & commission 2500
Cr. Himalayan Bank 62500
No.7
Dr. Nepa fashion collection 1, 20,000
Cr. Himalayan Bank 1, 20,000
Contra:No. 1
Cr. Himalayan Bank 20,000
Dr. Cash 20,000
(Cash withdraw)
No. 2
Cr. Cash 7,500
Dr. Himalayan Bank 7,500
(Cash Deposit)
Journal:No. 1
Dr. Telephone Expenses 1,500
Cr. Telephone Expenses Payable 1,500
No. 2
Dr. Nepa Fashion collection 11,000
Cr. Gausala Kirana 11,000
Stock Journal
Source (Consumption) Destination (Production)
Name of Item Qty Rate Amount Name of Item Qty Rate Amount
Water 12cup 30 Tea 15 cup 65
Milk 1 Pkt. 15
Sugar 0.25 Kg 10
Green Tea 0.15 Kg 10
We can make production entries like this. We also can make single entry here, for example we
bought Sunsilk Shampoo and get a Hair Oil free, we put the entry of Sunsilk Shampoo purchase on
Purchase Voucher and make a entry on Stock Journals Production side for free Hair Oil. We also
can create the Inventory Items adjustment entries in Stock Journal. Normal shortage deduction, free
scheme etc.
Additional Cost of Purchase:
When we purchase goods there may another costs and that affects on the Rate of Item. After tracked
them, the rate of item will increase. Tally allows us to entry such costs on Purchase voucher. First of
all we need to change the Features by pressing F11 on Voucher Entry menu and change the
Inventory Feature: (Tally 9 Press F11 Then Press F2)
Track additional costs of Purchase? Yes
Then entry the purchase voucher, when we put the Inventory Value and press enter a new box
appear where we put the additional costs Name and Amount; such like Carriage Inwards (@ 10% of
amount or) Rs. 500. Finally we must credit the same amount on related ledger and if we pay them
we have to show the payment entry on Payment Voucher.
For Example:
If we purchase Fair & Lovely 120 Pcs @ 35.62 and pay Rs. 500 as carriage and Lux Soap 300 Pcs
@ 30 Rs and pays Rs. 700. We have to make a purchase entry and put the carriage as additional
cost. It increases the rate of item which shows as Actuals: below. At last the amount of additional
cost should be credit respectively. This feature is applicable in Accounts with Inventory feature only.
Additional Costs sf] af/]df hfgsf/L
;fdfg vl/b ug]{ 7fpFsf] cfwf/df vl/bnfO{ @ efudf afF9\g ;S5f}FM :yflgo vl/b / cfoft (Local Purchase &
Import Purchase) . b]zleq}af6 ul/Psf] vl/bnfO{ xfdL :yflgo vl/bdf /fV5f}F / cGo b]zaf6 ul/Psf] vl/bnfO{
-h:df s/sf] lx;fjn] Invoice geO{ eG;f/ k|1fkg kq a9L dxTjk"0f{ x'G5_ xfdL cfoft eGg] ub{5f}F . h'g;'s}
dfWodaf6 ;fdfg vl/b ul/Ptfklg vl/bdf nfUg] cGo vr{x ;a} xfd|f nflu Direct Costs x'g h;n] ;fdfgsf] d'Nodf k|
efj kfb{5g . tL vr{xsf] af/]df hfgsf/L xfdL lgDg :yfgaf6 kfpg ;S5f}FM
L/c Related Costs Bank Statement
Custom Related (Duty, LD Fee, Special Fee etc) e+;f/ k|1fkg kq
Freight and other Shipment Related (Beyond the home Nation) Transporters Documents
Carriage, Collie & other (In the Nation) Delivery Challan (rnfg / ekf{O)
e+;f/ k|1fkg kq
ljb]zjf6 cfoft ul/Psf ;fdfgx e+;f/df hfFrkf; ePkl5 dfq ;DalGwt ;+:yfn] Nofpg] cfb]z kfpF5 . j:t'sf] hfFr
ubf{ Invoice df ePsf] j:t' jf kl/df0f / jf:tljs j:t' jf kl/df0f ldN5 ldNb}g ;f] s'/fnfO{ x]g]{ ul/G5 . o;df km/s k/]df
P]gdf plNnlvt ;hfo lbOG5 ;fy} hl/jfgf ;d]t ul/G5 .
olb ;xL ePdf P]gn] Joj:yf u/] cg'?ksf z'Nsx nufOG5 / pQm z'NsxnfO{ a:t'sf] d'Nodf hf]8L pQm /sddf
Eof6 nufOG5 . oL z'Nsxdf e+;f/ z'Ns, :yflgo ljsf; z'Ns, ljz]if z'Ns, cGtMz'Ns cflb k5{g\ . oL z'Nsx j:t'sf]
k|sf/cg';f/ km/s km/s k|ltztn] nufO{G5 . cfwf/e"t cfjZostfsf j:t'xdf of] k|ltzt sd / ljnfzLtfsf j:t'xdf a9L x'G5
. o;nfO{ cy{ dGqfnon] a]nf a]nfdf ;dfof]hg ul/ /fhkqdf k|sflzt klg u5{ .
cGTodf j:t'sf] hfFrkf; ul/;s]kl5 ;fdfgwgLnfO{ e+;f/n] pQm ;fdfg, hfFrkf;sf] ljj/0f, nfu]sf] z'Ns / cGo hl/jfgf
;d]t -eP_ pNn]v ul/Psf] sfuhkq lbG5 pQm sfuhkqnfO{ e+;f/ k1fkg kq elgG5 .
Bank Statement
Bank is the essential parts of business. Most of business activities are handling through bank today.
To do such activities we have to create a bank account in a bank. Bank always dose fair and legal
activities and provides us a note of our activities through bank, which we say bank statement or pass
book. Bank statement is verification (proof) of our banking activities.
The entries of bank statement take place only on Receipt, Payment and Contra voucher. A specimen
of bank statement is present below:
Himalayan Bank Ltd. Bank Statement
New Baneshwor, Ktm.
Current A/c From 1 jul. 200 to 31jul. 200
Date Particular Debit Credit Balance
the day, including inventory vouchers. Its purpose is to show you a days transactions. However, you
can display any report for any period by using the change period option.
Modifying reports
Once you have selected a report and its screen appears, you can modify the display to suit your
requirements using the appropriate buttons on the button bar. You will get to know the functions of
the various buttons as you become more familiar with Tally but some buttons perform similar
functions in all reports, providing they are appropriate to the screen you are viewing.
Display Account books & statements
Books of account record the individual transaction details you have entered. Although you may post
items to many different ledgers, Tally brings all the transactions of one category together into a book
of account for viewing and printing. For example, the Cash Book records all the transactions
affecting cash; the Sales Book records all the sales transactions.
Statement of Accounts pertain to cost centres and outstanding analysis. These are derived from
individual transactions but are not statutory requirements.
Financial statements on the other hand are still derived from individual transactions but tend to show
summary totals, ratios and statistics, analyzing a companys financial data in a wide variety of ways.
Typical financial statements include the Balance Sheet, Profit & Loss A/c, and Cash Flow Analysis.
Financial statements are usually statutory requirements in most countries. All books are displayed
first as a monthly summary with opening and closing balances. Select a month and press [enter] to
display all transactions for the month. The opening and closing balances as well as transaction totals
are also displayed. Select a transaction to bring up the voucher. This voucher comes up either in
display or in alteration mode depending upon the access rights available to you.
Viewing Bank books
Gateway of Tally> Display> Account Books> Bank Books
This displays the Bank Group Summary. Select a bank account if there are more than one. Press
Enter to display the Ledger Monthly Summary. Select F12: Configure to bring up the
configuration/Graphs option menu. Use the Tab key to tab down to Show with graph? And type Yes
and press Enter. Select Bar and press Enter to return to the Ledger Monthly Summary, now
displaying a graph of the figures. With the highlight bar over one months, say Julys figures, press
Enter to display the Ledger Vouchers screen. Note that all the vouchers for July are listed. Press
[Esc] to return to the Ledger Monthly Summary screen. Select F12: Value to bring up the Value to
Calculate in Report screen. From the Particulars menu, select Voucher Type. From the next
Particulars menu, select Name (the only option). From the Range of Info. Menu select equal to. Then
type Contra and press Enter. From the Condition menu select End of List and press Enter twice.
Notice in the Ledger Monthly Summary that the figures are now reduced as they only show Contra
vouchers. To check this, position the highlight bar over the July figures and press Enter to display the
details. Keep pressing [Esc] until you return to the Gateway of Tally menu.
Viewing the Balance Sheet
Gateway of Tally> Balance Sheet
Notice the format of the display. Select Detailed to give break-up of the grouped figures. Select F12:
Configure to bring up the Configuration screen. Select the following options and observe the new
display.
Configuration
Show vertical balance sheet? Yes
Show percentages? Yes
Show working capital figures? Yes
Method of showing balance sheet? Assets/Liabilities
Scale factor for values Default
Select New Column and enter a date range, e.g., 1-1-2006 to 1-5-2006 to show the change in the
balance sheet since 1st May.
Viewing the Profit & Loss A/c
Gateway of Tally> Profit & Loss A/c
Configuration
Show vertical balance sheet? Yes
Show percentages? Yes
Show Gross Profit? Yes
Appearance of Names? Name Only
Scale factor for values Default
Viewing Stock Report
Gateway of Tally> Stock Summary
Tally prepares the Stock Register if we activate the Account with Inventory feature while creating
company. By following above process we can check the status of inventory. We can check item wise
also, to do so choose the item and press Enter:
Configuration
Show Quantities? Yes
Show Rates? Yes
Show Values? Yes
Show Opening Balance? Yes
Show Goods Inwards? Yes
Show Goods Outwards? Yes
Show Closing Balance? Yes
F12= Configuration
Configuration
Select Vouchers to Show Dr, Cr or All (Choose)
Format Detail or Condensed
Show Billwise Details Also? If need Yes or No
Show Cost Centre Details Also? If need Yes or No
Show Inventory Details Also? If need Yes or No
Show Narrations Also? If need Yes or No
Include Opening Balances? If need Yes or No
Appearance of Names Name Only
Sorting Method Default
Sales/ Purchase Register
Gateway of Tally> Display> Account Books> Sales/ Purchase Register
For the purpose of VAT we must prepare the Purchase and Sales Register including Seller/Buyers
Name, Tax regn No, Gross amount and Tax with transaction date. Tally prepares all registers itself
which help us to reconcile and find errors.
When we follow above process Tally displays monthly view of Purchase/Sales Register where:
F4= Voucher Type (Journal, Sales, Purchase)
F5= (Quarterly/ Monthly View)
Then choose required month and press enter to view the transactions of this month.
F5= Columnar
The columnar and configuration are as like as ledger views.
The End
The following are the accounts of National (Pvt) Ltd. for the month of April 2012.
Complete the Assignment within 2 hours and half. It is recommended for the
biginners of studying Accounting package.
Question 01
Create the following chart of the accounts.
Assets:
Fixed assets:
Motor Vehicle - motor Vehicle at cost
Office equipments - office equipments at cost
Building Building at cost
Current Assets:
Cash In Hand
HSBC
Commercial Bank
Cash Drawler
Inventory
Liabilities:
Long Term Liabilities:
Bank Loan HSBC
Bank Loan BOC
Debentures
Current Liabilities:
Electricity Payable
Incomes:
Sales:
Accounting Books
Song Books
Science Books
Magazines
Novels
English Song CDs
Games CDs
Expenses:
Advertising Fee
Postage
Fuel Expenses
Depreciation:
Motor Vehicle
Office equipment
Building
Cost of Sales:
Purchase
Accounting Books
Song Books
Science Books
Magazines
Novels
English Song CDs
Game CDs
Question 02
Following are the balances as of 01/04/2012.
Fixed Assets:
At Cost: (Dr)
Motor Vehicle
Rs. 125,000.00
Office Equipment
Rs. 52,000.00
Building
Rs. 200,000.00
Rs. 400,000.00
Commercial Bank
Rs. 250,000.00
Cash Drawer
Rs. 35,000.00
Rs. 500,000.00
Rs. 500,000.00
Debentures
Current Liabilities
Rs. 50,000.00
Electricity Payable
Rs.
2,000.00
Invoice #
Rs. 75,000.00
0058741
Hello Limited
Rs. 86,000.00
0064891
Rs. 80,000.00
0000256
Invoice #
A. Ranjith
Rs. 25,000.00
0008978
Rs. 56,800.00
0041542
Naveens Stores
Rs. 35,800.00
0009012
Inventory
Code
Description
Units
Cost
ACB-01/201
Accounting Books
20
Rs. 500.00
SCI-01/301
Science Books
30
Rs.1,000.00
MAG-01/801
Magazines
18
Rs. 650.00
COM-01/479
Computer Books
15
Rs. 850.00
NOV-02/01
Novels
05
Rs. 3,000.00
Rs. 750.00
SGB-02/01
Song Books
10
CDIS-02/01
50
CDIG-02/01
Game CDs
20
Rs. 350.00
Rs. 450.00
Question 03
2nd April
Purchase the following books for credit from Free Book (pvt) Ltd.
Description
Units
Cost
Accounting Books
10
Rs. 500.00
Song Books
15
Rs. 750.00
Computer Books
15
Rs. 1,000.00
Magazines
30
Rs. 650.00
5th April
Cheque #
Account Name
Amount
725099
VAT
Advertising
Rs. 22,000.00 +
725099
Postage
Rs.
2,500.00
725099
VAT
Utilities
Rs.
1,250.00 +
725101
Fuel Expenses
Rs.
5,500.00
On the same day sold the following items for credit to Asian Book Depot.
Invoice #00058973, Customer p/o #258741
Description
Units
Accounting Books
10
Computer Books
05
Game CDs
02
14th April
Invoices #
Amount
Cheque #
Dilshan Books Services
897456
0058741
Rs. 50,000.00
Hello Limited
457866
0064891
Rs. 60,000.00
21st April
Description
Science Books
Units
30
Magazines
18
Novels
05
25th April
Description
Motor Vehicle
Amount
Rs. 5,000.00
Office Equipment
Rs. 6,275.00
Building
Rs. 10,500.00
26th April
Cheque #
Account Name
Amount
725102`
Salary
Rs. 15,000.00
725103
Salary
Rs. 20,500.00
27th April
Index #
Account Name
Amount
701200
500.00
Postage
Rs.
701201
10,500.00
Fuel
Rs.
29th April
after completing all the activities, create a backup in the shared
folder with your name.