Module 01

Introduction of Computer
A computer is a programmable machine designed to sequentially and automatically carry out a sequence of arithmetic or logical operations. consisting of many components. Some of those components, like central processing unit (CPU), monitor, keyboard, mouse, speaker and all your other programs, are software.

Computer Hardware All the technical or physical tangible items are computer hardware. EG: Monitor, Key board, Mouse, CPU. Computer Software Software is a genetic term of a organized data collection of computer. Often broken in to two
major categories , System software, Application software.

Computer storage Mainly computer has two storages, those are RAM & ROM. RAM call Random access memory & ROM call Read only Memory. Ram is a temporally memory, when power is cut it loss its storage. Rom is a memory that cant be changed by a program a list of information written by program language.

IDM/CC3/DICAP

pg. 1

Computer blog Diagram

Computer classification Computers are classified based on 3 main concept. Data representation (Digital, Analog, Hybrid Computers. Purpose of use(Special purpose computer, General purpose computer). Size , Cost & Performance (Super computer, Mini computer, Mainframe, Micro computer). Windows Windows is a personal computer operating system designed to control the hardware of a specific data- processing system in order to allow users and application programs to make use of it. Features of windows Menu bar & extensive menus in each window. Availability of many colors on the window Rapid searching facility User management & Sharing of resources

Windows family Windows 1.0

IDM/CC3/DICAP pg. 2

 Windows 2.0 Windows 3.0 Windows NT Windows 95 Windows 98 Windows ME Windows 2000 Windows XP Windows Vista Windows 7

Module 02
IDM/CC3/DICAP pg. 3

Basic Concepts & Book Keeping

Accounting is recording, analyzing, summarizing, interpreting & reporting business transaction in money terms. Types of Accounts

Assets: Assets are the resources of the business mainly divided in to two types. Fixed Asset Ex: Land & building, Motor vehicle. Current Asset Ex: cash balance, bank balance Liabilities: Amounts are owed by the business to outsiders. Liabilities are mainly dividend in to two, Long term liability Ex: Long term bank loan, Short term liability: Creditors, Bank overdraft. Revenue: The amount business earns by its activities. Expenses: The cost of doing business. Capital: The owners right or claim to the property.

Accounting Equation Assets + Expenses = Capital + Liability + Income When Assets & Expence are increase, its recorded in debit side. When Cappital, Liability & Income increases its recorded in credit side.

Errors not disclosed by trial balance I.

II.

Error of omission: Transaction are completely left out from the account

Error of commission: Double entry is completed with the same value. But one entry is recorded on wrong account of similar type

III. Error of Principle: Double entry is completed with the same value but one entry is recorded on the wrong account of a different type IV. V.
VI.

Error of Original entry: Double entry is completed with the wrong amount Error of Reversal: Double entry is reversed & recorded Compensating error: The errors arise when the transaction is entered only one side (Debit side) but later time another transaction for the same amount is also entered on one side (Credit side).

Depreciation Depreciation means basically usage of fixed assets. There are two methods to calculate depreciation.
IDM/CC3/DICAP pg. 4

 Straight line method Depreciation usage = cost - disposal Reducing Balance method Net book value = cost Accumulated depreciation

Assignment-3

SINGLE COLUMN CASH BOOK

Date Description Capital Sales Folio no Amount 85,000 5,000 Date Description Purchase Electricity bill Balance c/d 90000 Balance b/f 68500 Folio no Amount 15,000 6,500 68500 90000

Assignment-4

SINGLE COLUMN CASH BOOK

Folio no Folio no

Date

Descrption Capital Sales

Amount 150000 1200

Date

Description Purchase Salary Telephone bill Balance c/d

Amount 4500 12000 2300 132400 151200

151200 Balance b/f IDM/CC3/DICAP 132400

pg. 5

Assignment-5

SINGLE COLUMN CASH BOOK

Date Description Capital Sales Folio no Amount 400000 4500 Date Description Purchase Rent Purchase
(computer)

Folio no

Amount 4500 650 54000 345350 404500

Balance c/d 404500 Balance b/f 345350

Assignment-6

DOUBLE COLUMN CASH BOOK

Date Description Capital Cash Sales Sales Folio no 5600 8900 464500 395500 50000 45000 Cash 450000 Bank 50000 Date Description Bank Purchase Purchase (typewriter) Rent Balance c/d Folio no Cash 50000 15000 Bank

5000 4000 395500 464500 45000 50000

Balance b/f

IDM/CC3/DICAP

pg. 6

Assignment-7

DOUBLE COLUMN CASH BOOK

Date Folio Description no Balance b/f Sales Cash Bank Cash 250000 4500 50000 Bank Date Description 300000 Purchase (M/V) Bank 4500 Telephone bill Drawings Salaries Balance c/d 304500 250000 Folio no Cash 56000 4500 2000 242000 304500 50000 250000 304500 Bank

4500

Balance b/f

304500 242000

Assignment-8

JOURNL
Date 1st Jan Description Drawings Purchase (being recording of goods drawings) Salaries Cash (being recording of salaries paid) Bank Stock Motor vehicle (being recording of sale of m/v and Folio no DR 4500 CR 4500

3rd Jan

10000 10000

4th Jan

10000 3000 13000

IDM/CC3/DICAP

pg. 7

Assignment-9

JOURNAL
Date 1st Mar Description Mr.Thomson Mr.Thompson (being recording of cr entry to Thomson a/c) Furniture ABC motor Ltd (being recording of cr furniture purchase) Motor vehicle Ishara Traders (being recording of m/v purchase) Salaries Cash (being recording of salaries paid) Folio no DR 450 CR 450

2nd Mar

7500 7500

3rd Mar

80000 80000

4th Mar

6000 6000

Assignment-10 IDM/CC3/DICAP pg. 8

Motorvehicle A/c 1/1 Cash 160,000 c/d 160,00 0 B/f 160,00 0 B/f 160,00 0 160,00 0 1/1 Prov. Depr.

De preciation A/c 35000 c/d 35000 35000 35000 c/d 70000 70000 35000 c/d 105000 105000 35000 c/d 140000 140000 35000 35000

1/1 Prov. Depr

70000 70000 10500 0 10500 0 14000 0 14000 0

B/f 1/1 Prov. Depr

B/f Provision for depreciation A/c 1/1 Dep r c/d 35000 35000 B/f Dep 70000 r 70000 B/f 10500 Dep 0 r 10500 0 B/f 14000 Dep 0 r 14000 0 B/f 35000 B/f 35000 35000 35000 70000 70000 35000 10500 0 10500 0 35000 14000 0 14000 0 1/1 Prov. Depr

c/d

c/d

c/d

Assignment-11 Electrcity A/c 5000 600 c/d 5600 Insurance A/c 8000 2000 c/d

Cash Accural

Cash Accurals

1000 pg. 9

IDM/CC3/DICAP

0 1000 0

B/f

5600 5600

5600 B/f

10000 10000

Telephone bills A/c Cash 3000 Prepayment c/d 3000 2500 2500 3000 500 c/d

Accurals A/c Electricit y Insuranc 2600 e 2600 B/f

600 2000 2600 2600

B/f

Assignment-12

Purchase Return A/c c/d 1200 Kamal Super 1200 Omal Traders 2000

Sales Return A/c c/d 2000

1200 B/f

1200 1200 B/f

2000 2000

2000

IDM/CC3/DICAP

pg. 10

Kamal Super A/c Purchase Return c/d 1200 3300 Purchase 4500 Sales

Omal Traders A/c 10500 Sales Return c/d 2000 8500

4500 B/f

4500 3300 B/f

10500 8500

1500

Assignment-13

Purchase Return A/c c/d 700 Malika Grocery 700 Rohan Entpr. 1870

Sales Return A/c c/d 1870

700 B/f

700 700 B/f

1870 1870

1870

Malika Grocery A/c Purchase Purchase Return c/d 700 6000 B/f 6700 B/f 6700 6000 6700 Sales

Rohan Enterprises A/c Sales Return 7800 1870 c/d 5930

7800 5930

7800

Purchase A/c IDM/CC3/DICAP

Sales A/c pg. 11

Malika Grocery 6700 6700 B/f 6700

6700

c/d

Rohan Entpr. 7800 7800

6700

7800 B/f

7800 7800

IDM/CC3/DICAP

pg. 12

IDM/CC3/DICAP

pg. 13

IDM/CC3/DICAP

pg. 14

IDM/CC3/DICAP

pg. 15

IDM/CC3/DICAP

pg. 16

IDM/CC3/DICAP

pg. 17

IDM/CC3/DICAP

pg. 18

IDM/CC3/DICAP

pg. 19

IDM/CC3/DICAP

pg. 20

IDM/CC3/DICAP

pg. 21

Assignment-14 TRIAL BALANCE Description Sales Capital Purchase Furniture Bank Loan Stock Sales Return Rent Wages Purchase Reurn Carriage in Carriage out Creditors Debtors 30000 77000 77000 1000 1000 22000 15000 200 1000 2000 5000 20000 5000 10000 DR CR 10000 30000

Assignment-15 Part 1 Trading Account Sales (-) Sales Return Cost of goods sold Opning stock Purchase (-) Purchase Return 80000 -16000 64000 (+) Carriage in 1000 65000 97000 (-) Closing Stock Gross profit IDM/CC3/DICAP -40000 -57000 3000 pg. 22 32000 80000 -20000 60000

Module 03

Simply Accounting
IDM/CC3/DICAP pg. 23

Simply accounting is a commercial accounting package.

How to start simply Accounting? Start Programs Simply Accounting Enterprise 2010

Creating a new Company file I. II. III. IV. V. VI. VII. VIII. IX. X. XI. XII. Click on File menu New Company Select No, Help me create my company Click next Enter the company information Click Next Enter the Companys fiscal year start and end dates, and the earliest date Select Let me build the list of account my self after the company is created to create your own list of account Click on Next Select industry type and Next Give the name & location Click Next Click Finish pg. 24

IDM/CC3/DICAP

Types of Accounts Account Asset Liabilities Equity Revenue Expenditure Code Range (1000-1999) (2000-2999) (3000-3999) (4000-4999) (5000-5999)

Account classes Debtors Creditors Stock Cash Bank COGS Retained Earnings Accounts Receivable Accounts payables Inventry Cash Bank Cost of goods sold Retained earnings

Adding a new Account I. Click on chart of accounts icon in general ledger II. Click on file menu & select create (ctrl+N) III. Type the account number, account name & operating Balance & select the coloumn type in account tab IV. Select the relevant class option in class option tab V. Click on create another button VI. After finished entering all opening balances click on save & close button

Link a General ledger i. ii. iii. iv. Click on set up menu Click on settings Open General (Accounts) and select linked accounts Select an account for Retained earnings from the list pg. 25

IDM/CC3/DICAP

v.

Click on ok

Link the payable Ledger i. ii. iii. iv. v. Click on setup menu Click on settings Open Vendors & Purchases and select Linked Accounts Select the appropriate accounts from the lists Click on ok

Link Receivable ledger i. ii. iii. iv. v. Click on set up menu Click on setting Open customers & sales and select Linked accounts Select the appropriate accounts from the list Click on ok

Create a Vendor Record i. ii. iii. iv. v. vi. vii. viii. Click on Vendors icon in venders & purchase ledger Click on file menu & select create (ctrl+N) Enter the Vender information in Address tab Enter the early payment terms in option tab You can enter historical invoices and payments for your venders in Historical transaction tab To enter old invoices, click the invoices button. Enter the information and click record. To enter old payments, click the payments button. Enter the receipt number for the payment in the number box, and then select which invoices the payments applies to. & Record to save your entries. Click save and close.

Create a vendor Record i. ii. Click on customer icon in vendors & in venders & purchases ledger Click on file menu & select create

IDM/CC3/DICAP

pg. 26

iii. iv.

Enter the customer information in Address tab , enter the early payment terms in option tab you can enter historical transactions tab Make the entries click save & close

Creating an inventory item i. ii. iii. iv. v. vi. Click on Inventory & services icon in inventory ledger Click on file menu & file menu & select new On the right side of window, in the type section, select inventory. In the item number box, enter an item for the inventory item In the description box, type in a brief description of the item. Click on history tab to enter opening quantity & opening value

Click on linked tab Asset Revenue COGS select stock Accounts select sales revenue accounts Select cogs Accounts (cost of good sold)

Click on save & close

Enter a purchase invoice i. ii. iii. iv. v. vi. vii. Click on purchase, orders & quote icon in payable ledger Select transaction type as invoice Select the method of payment from the payment method list. Select a vender from the vender the list In the invoice no. box, enter the purchase invoice number Enter date Select an item from the list pg. 27

IDM/CC3/DICAP

viii. ix.

Enter a quantity for each itm When you have finished making additions or changes to the invoice, select either process or print& process

Enter a sales Invoices i. ii. iii. iv. v. vi. vii. viii. ix. Click on sales, orders& quotes icon in receivable ledger Select transaction type as invoice Select the method of payment from the payment method list Select a customer from the customer list In the invoice no. box, enter the sales invoices number Enter a date In the item number column, select an item from the list Enter a quantity for each item When you have finished making additions or changes to invoice, select either process or print & process

Sales Return Sales orders & Quotes Invoice payment method customer credit note number Enter return details process Purchase Return Purchase order & quotes Invoices select the payment method supplier & debit note number enter for return process

Fancy foot ware Balance Sheet As at 01/01/2003

ASSET

Fixed Assets Land & buildings 2,300,000.00

IDM/CC3/DICAP

pg. 28

Motor vehicles Equipments Computers Furniture Total Fixed Assets

945,000.00 600,000.00 250,000.00 54,000.00 4,149,000.00

Current Assets Stock Receivables Seylan Bank Commercial Bank Cash in hand Total Current Assts 567,500.00 350,000.00 1,200,000.00 1,350,000.00 60,000.00 3,527,500.00

TOTAL ASSET

7,676,500.00

LIABILITY

Long term liability Seylan Bank loan Total Long term Liabilities 800,000.00 800,000.00

Current liabilities Creditors Vat out put Total Current Liabilities 260,000.00 0.00 260,000.00

TOTAL LIABILITY

1,060,000.00

EQUITY

Equity accounts Owners Capital Retained Earnings 6,616,500.00 0.00

IDM/CC3/DICAP

pg. 29

Current Earnings Total Equity accounts

0.00 6,616,500.00

TOTAL EQUITY

6,616,500.00

LIABILITIES AND EQUITY Generated On: 03/28/2012

7,676,500.00

Fancy footware Trial Balance As at 01/01/2003

Account Account Number Description 1001 Land & buildings 1002 Motor vehicles 1003 Equipments 1004 Computers 1005 Furniture 1501 Stock 1502 Receivables 1503 Seylan Bank 1504 Commercial Bank 1505 Cash in hand 2001 Seylan Bank loan 2501 Creditors 2503 Vat out put 3001 Owners Capital 3002 Retained Earnings 4001 Sales revenue IDM/CC3/DICAP

Debits 2,300,000.00 945,000.00 600,000.00 250,000.00 54,000.00 567,500.00 350,000.00 1,200,000.00 1,350,000.00 60,000.00 0.00 0.00 0.00 0.00 0.00 0.00

Credits 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 800,000.00 260,000.00 0.00 6,616,500.00 0.00 0.00 pg. 30

4002 Discount Received 4003 Revenue 5001 Cost of goods sold 5002 Discount Allowed

0.00 0.00 0.00 0.00

0.00 0.00 0.00 0.00

7,676,500.00

7,676,500.00

Generated On: 03/28/2012

Buddika Tyre & Battery services Income Statement 01/01/2011 to 01/31/2011

REVENUE

Revenue Sales Revenue Discount received Total Revenue 57,000.00 0.00 57,000.00

TOTAL REVENUE

57,000.00

EXPENSE

Expenditure Cost of goods sold Discount allowed Insuarance a/c Telephone bills Stationary IDM/CC3/DICAP -115,500.00 0.00 4,728.00 500.00 800.00 pg. 31

Total Expenditure

-109,472.00

TOTAL EXPENSE

-109,472.00

NET INCOME

166,472.00

IDM/CC3/DICAP

pg. 32

Buddika Tyre & Battery services Balance Sheet As at 01/31/2011

ASSET Fixed Assets Land & Building Motor vehicles Computers Furniture Computer chair Total Fixed Assets Current Assets Stock Receivables Seylan Bank Hatton national Bank Cash Total Current Assets TOTAL ASSET LIABILITY Long term Liabilities Long term Bank loan Total Long term Liabilities Current Liabilities Creditors Total Current Liabilities TOTAL LIABILITY EQUITY Capital Owners equity Current Earnings Total Capital TOTAL EQUITY
IDM/CC3/DICAP

1,200,000.00 850,000.00 150,000.00 40,000.00 3,500.00 2,243,500.00

484,500.00 81,400.00 1,195,500.00 996,500.00 74,472.00 2,832,372.00 5,075,872.00

800,000.00 800,000.00

120,200.00 120,200.00 920,200.00

3,989,200.00 166,472.00 4,155,672.00 4,155,672.00

pg. 33

Buddika Tyre & Battery services Trial Balance As at 01/31/2011

Account Number Account Description 1001 Land & Building 1002 Motor vehicles 1003 Computers 1004 Furniture 1005 Computer chair 1501 Stock 1502 Receivables 1503 Seylan Bank 1504 Hatton national Bank 1505 Cash 2100 Long term Bank loan 2510 Creditors 3100 Owners equity 4001 Sales Revenue 4002 Discount received 5001 Cost of goods sold 5002 Discount allowed 5003 Insuarance a/c 5004 Telephone bills 5005 Stationary

Debits 1,200,000.00 850,000.00 150,000.00 40,000.00 3,500.00 484,500.00 81,400.00 1,195,500.00 996,500.00 74,472.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 4,728.00 500.00 800.00

Credits 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 800,000.00 120,200.00 3,989,200.00 57,000.00 0.00 115,500.00 0.00 0.00 0.00 0.00

5,081,900.00

5,081,900.00

IDM/CC3/DICAP

pg. 34

Davidson (Pvt) Ltd Balance Sheet As at 01/20/2003

ASSET

Fixed Assets Land & Building Motor vehicles Furniture Total Fixed Assets 1,200,000.00 800,000.00 40,000.00 2,040,000.00

Current Assets Stock Receivables Bank Commercial Bank Seylan Cash Total Current Assets 858,588.10 614,666.00 516,180.00 315,000.00 334,530.00 2,638,964.10

TOTAL ASSET

4,678,964.10

LIABILITY

Long term Liabilities Long term Bank Loan Total Long term Liabilities 500,000.00 500,000.00

Current Liabilities Payables IDM/CC3/DICAP 1,050,200.00 pg. 35

Accruals VAT output Total Current Liabilities

20,000.00 45,486.00 1,115,686.00

TOTAL LIABILITY

1,615,686.00

EQUITY

Equity Owners Capital Retained earnings Current Earnings Total Equity 3,030,000.00 0.00 33,278.10 3,063,278.10

TOTAL EQUITY

3,063,278.10

LIABILITIES AND EQUITY

4,678,964.10

Davidson (Pvt) Ltd Income Statement 01/01/2003 to 01/30/2003

IDM/CC3/DICAP

pg. 36

REVENUE

Revenue Sales Revenue Discount received Total Revenue 651,860.00 0.00 651,860.00

TOTAL REVENUE

651,860.00

EXPENSE

Expenditure Cost of Goods Sold Discount allowed Total Expenditure 618,581.90 0.00 618,581.90

TOTAL EXPENSE

618,581.90

NET INCOME

33,278.10

Davidson (Pvt) Ltd Trial Balance As at 01/20/2003

IDM/CC3/DICAP

pg. 37

Account Number Account Description 1001 Land & Building 1002 Motor vehicles 1003 Furniture 1501 Stock 1502 Receivables 1503 Bank - Commercial 1504 Bank Seylan 1505 Cash 2001 Long term Bank Loan 2501 Payables 2502 Accruals 2503 VAT output 3001 Owners Capital 3501 Retained earnings 4001 Sales Revenue 4002 Discount received 5001 Cost of Goods Sold 5002 Discount allowed

Debits 1,200,000.00 800,000.00 40,000.00 858,588.10 614,666.00 516,180.00 315,000.00 334,530.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 618,581.90 0.00

Credits 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 500,000.00 1,050,200.00 20,000.00 45,486.00 3,030,000.00 0.00 651,860.00 0.00 0.00 0.00

5,297,546.00

5,297,546.00

Module 04

Quick Books
IDM/CC3/DICAP pg. 38

Quick Books automates double entry accounting, tracking transactions throughout the accounting cycle from creating purchase orders and reciving item to selling goods and sevices and depositing payments. Advantages of Quick Books Organize your finances all in one place See how your essential business tasks fit together on the QuickBooks Home page. Tasks are organized by group, like Vendors, Customers, and Banking. Workflow arrows show you how tasks relate to each other, helping you decide what to do next.

Easily create invoices and track sales & expenses Create invoices quickly and save time tracking your sales, bills, and expenses. QuickBooks organizes everything in one place, so you can access all past invoices, payments, and bills with just a few clicks. Get reliable records for tax time Gain understand into your business and prepare for tax season with one-click tax reports. Drill down to see the details behind the numbers, and export your reports and all of your QuickBooks formatting to Excel.1

Manage customer, vendor, and employee data Use the Customer, Vendor, and Employee Centers to manage key data easily. The Customer Center, for example, gives you a single place to edit a customer's billing address, company name, phone number and more, and gives you quick access to related transactions.

Get a consolidated view of your business with Company Snapshot Stay on top of your business by customizing your Company Snapshot. Look briefly year-over-year income and expense trends, along with details, and top customers.

Balance sheet of Atlanta (Pvt) ltd

Dec 31, 10 ASSETS Current Assets

IDM/CC3/DICAP

pg. 39

Checking/Savings Bank Commercial BAnk Seylan Cash Total Checking/Savings 328,180.00 615,000.00 343,950.00 1,287,130.00

Accounts Receivable Accounts Receivable Total Accounts Receivable 443,716.00 443,716.00

Other Current Assets Inventory Asset Undeposited Funds VAT input Total Other Current Assets 810,460.00 180,500.00 87,110.00 1,078,070.00

Total Current Assets

2,808,916.00

Fixed Assets Furniture Land & Buildings Motor Vehicles Total Fixed Assets 65,000.00 2,000,000.00 1,150,000.00 3,215,000.00

TOTAL ASSETS

6,023,916.00

LIABILITIES & EQUITY Liabilities Current Liabilities Accounts Payable Accounts Payable Total Accounts Payable 807,700.00 807,700.00

Other Current Liabilities Accruals VAt out put Total Other Current Liabilities 14,400.00 45,706.00 60,106.00

Total Current Liabilities

867,806.00

Long Term Liabilities Long term Bank loan Total Long Term Liabilities 400,000.00 400,000.00

Total Liabilities

1,267,806.00

Equity Owners Equity 4,671,600.00

IDM/CC3/DICAP

pg. 40

Net Income Total Equity

84,510.00 4,756,110.00

TOTAL LIABILITIES & EQUITY

6,023,916.00

Trial Balance of Atlanta (Pvt) Ltd

Debit Bank Commercial BAnk Seylan Cash Accounts Receivable Income Sales Inventory Asset Total Income Undeposited Cost of Goods SoldFunds VAT input Cost of Goods Sold Furniture Total COGS Land & Buildings Gross Profit Motor Vehicles Expense Accounts Payable Net Income Accruals VAt out put Long term Bank loan Opening Balance Equity Owners Equity Sales Cost of Goods Sold TOTAL 590,600.00 6,614,516.00 84,510.00 328,180.00 615,000.00 343,950.00 Jan - Dec 10 443,716.00 675,110.00 810,460.00 675,110.00 180,500.00 87,110.00 590,600.00 65,000.00 590,600.00 2,000,000.00 84,510.00 1,150,000.00 0.00

Credit

Profit & Loss Account of Atlanta (Pvt) Ltd

807,700.00 14,400.00 45,706.00

400,000.00

0.00 4,671,600.00 675,110.00

6,614,516.00

IDM/CC3/DICAP

pg. 41

Module 05

Myob Accounting
Myob Accounting is for business that need to streamline accounts procedures, & would benift from improved inventory management, better management of customer & supplier relationship and advanced business reporting Best for Business that want to keep track of recivables and payables Business that sell items Business that track cost centers and jobs.

Introduction about MYOB Accounting

There are 8 Command Centres. The Banking Command Centre contains options for receiving and paying money. This includes electronic payments and bank deposits. The other principal option in this Command Centre is Reconcile Accounts and this is used mainly for bank reconciliations. The Sales Command Centre is used to record invoices for goods and services sold to customers on credit and to record payments received from them. There are also options for printing or emailing documents.
IDM/CC3/DICAP pg. 42

The Card File Command Centre is used to maintain (add/edit/delete) information about customers, suppliers, employees and personal contacts. Options are also available to use the card information for labels and form letters Enter sales Sales Command Centre Pay bills from suppliers Purchases Command Centre Spend money Banking Command Centre Set item prices Inventory Command Centre Print Payment Summaries Payroll Command Centre Prepare time billing invoice Time Billing Command Centre Reconcile accounts Banking Command Centre

Registers The Registers are journal search and edit facilities for banking, purchases, sales and inventory transactions. For example, in the Purchases command centre there is an option called Purchases Register. This option is used to search for purchase quotes, orders, open bills (unpaid supplier invoices), closed bills (paid supplier invoices), debit notes and recurring purchase templates. Similar registers are found in the Sales, Banking and Inventory command centres.

How to use the Purchases Register to search

Step
1 2 3

Instruction
Select the Purchases command centre. Select the Purchases Register option. If necessary, use a tab at the top of the Purchases Register window to narrow the search to the type of purchase required.

4 5

Set the search criteria and the dates if necessary. Click on a detail (zoom) arrow next to the document required.

The above method is to follow to enter other registers.

Backing up a file You will see reminders throughout this book to back up the MYOB data file. You should put the backup file in a separate location (not on the same disk that contains your original file). The backup file is a condensed zip file that you should rename if necessary to distinguish it from other backups.

IDM/CC3/DICAP

pg. 43

How to backup a data file

Step
1 2

Instruction
Select the File pull-down menu. Select Backup option.

Select Backup Company File and M-Powered Services Centre only and either with or without checking for errors and click on Continue. If you selected Check Company File for errors a message will report any errors found. Check it and click the OK button. Type in the file name of the backup file (it usually has a .zip extension).
Note: MYOB Accounting Plus default backup name is MYOBmmdd.zip The mmdd is the date in the format of month and day. For example, if you are backing up on 30 June the default name would be MYOB0630.zip. Usually a business would only have one MYOB Accounting Plus data file but numerous backup files, each identified by the date in the name. As a student you will be working with a number of data files and it is necessary to name the backup files differently (i.e. use the original file name but with the .zip extension)

5
6

Change Drive and Folder if necessary (the default is a folder called Backup in the directory containing the main file). Click the OK button.

IDM/CC3/DICAP

pg. 44

IDM/CC3/DICAP

pg. 45

IDM/CC3/DICAP

pg. 46

IDM/CC3/DICAP

pg. 47

IDM/CC3/DICAP

pg. 48

Module 06
IDM/CC3/DICAP pg. 49

Sage Accounting
Sage is a friendly software in accounting Backups Ensure regular backups are taken and stored off site. File Backup (Check data yes periodically) Click advance options tick data files only, choose all files if report templates have been customised. On company tab: Filename: call file: Sage at x date Location - Browse to choose drive (A - floppy discs, C hard drive, D - CD drive) OK

IDM/CC3/DICAP

pg. 50

Creating a New Customer Record This can be created through the record or the wizard option. Choosing the record option, ensures that only the relevant fields are completed as detailed. Record From the Main menu bar choose customer and then edit customer. The customer record screen will appear showing the details tab first. Create an account name being up to 8 characters (letters and/or numbers), it is easier to use the first letters of the customers name i.e. Mr Nevett would have an account name as NEVETT or NEVETT01 Complete the remaining detail fields accordingly in the boxes provided Choose the Defaults tab; choose Def N/C this should be a 4000 code for sales, check how the sales are to be posted. Choose Def Tax Code, if the sales to this customer are vatable the code will be TI for 17.5% if the goods are zero rated this will be T0 for 0% VAT, refer to the tax codes schedule on page 14. Choose the Credit Control tab and tick the box terms agreed, this will stop a warning appearing on the screen advising that terms have not been agreed. One can choose any of the tabs from the record and enter information about the customer. Wizard From the main menu bar choose customer, new customer. The wizard will guide you through the procedures to follow and input the information required. (Please note that not all of the fields will need to be completed) If the information you have entered is correct and you wish to save the account created click save in the bottom corner. If you do not wish to save any of the information click discard. The screen will now be blank and new record details can be posted, to exit the record click close. Creating a New Supplier Record

This can be created through the record or the wizard option. Choosing the record option, ensures that only the relevant fields are completed as detailed. Record From the Main menu bar choose supplier and then edit supplier. The supplier record screen will appear showing the details tab first. Create an account name being up to 8 characters (letters and/or numbers), it is easier to use the first letters of the suppliers name i.e. Integra Accounting Limited would have an account name as INTEGRA or IAL etc Complete the remaining detail fields accordingly in the boxes provided Choose the Defaults tab, choose Def N/C this should be a 5000 onwards code for a profit and loss expense (Refer to the nominal code list Purchases for resale would be 5000, accountancy is 7601). Choose Def Tax Code, if the supplier and supply is vatable the code will be TI for 17.5% if the goods
IDM/CC3/DICAP pg. 51

are zero rated this will be T0 for 0% VAT, refer to the tax codes schedule on page 14. Choose the Credit Control tab and tick the box terms agreed, this will stop a warning appearing on the screen advising that terms have not been agreed. One can choose any of the tabs from the record and enter information about the supplier. Wizard From the main menu bar choose supplier, new supplier. The wizard will guide you through the procedures to follow and input the information required. (Please note that not all of the fields will need to be completed) If the information you have entered is correct and you wish to save the account created click save in the bottom corner. If you do not wish to save any of the information click discard. The screen will now be blank and new record details can be posted, to exit the record click close.

Customer Invoices

This option is used for invoices produced manually; this will therefore not produce a printable sales invoice. If you require a printable invoice refer to Integra Accounting Limited or the sage users/help guide for further assistance. Choose customer from the main toolbar and then invoice In the A/C field choose the customers name i.e. NEVETT, you can click the blue arrow and scroll or just type NE to go straight to the customer. Date - as invoice date Ref - as invoice number E/X Ref - does not need to be completed N/C 4000 depending on the sales structure Dept - does not need to be completed Project Ref - does not need to be completed, this can be used for project costing Details - Refer to invoice or type in the details from the invoice raised Net - Amount charged before VAT T/C - T1 17.5%, T0 0% (see tax code schedule on page 14) VAT Amount of VAT charged Ensure that the total box on sage agrees to the invoice. The VAT box can be overtyped for any small rounding differences. Press Save If you do not wish to save the information press discard To exit this screen press close The invoice will now be showing on sage as a Debtor (Being money due from a customer) and as sales revenue generated on the profit and loss.

Supplier Invoices
IDM/CC3/DICAP pg. 52

This option is used for invoices received from suppliers, which are due for payment. Choose supplier from the main toolbar and then invoice In the A/C field choose the suppliers name i.e. INTEGRA, you can click the blue arrow and scroll or just type IN to go straight to the supplier. Date - as invoice date Ref - Each invoice should be numbered in the top right hand corner from 001.. onwards and filed in number order for ease of reference at a later date E/X Ref - does not need to be completed N/C 5000 depending on the expense (see nominal codes list) Dept - does not need to be completed Project Ref - does not need to be completed, this can be used for project costing Cost Code does not need to be completed, this can be used for project costing Details - Inv number and brief detail of the goods purchased Net - Amount charged before VAT T/C - T1 17.5%, T0 0% (see tax code schedule) VAT Amount of VAT charged Ensure that the total box on sage agrees to the invoice. The VAT box can be overtyped for any small rounding differences If the invoice does not list the VAT separately - In the NET box type in the total of the invoice and then click the cursor in to the tax box and press the calculate net button at the bottom of the screen. NOTE: A VAT invoice is required to claim VAT on the purchase. A detailed receipt is required for purchases over 250.00, which will list the VAT separately. Ensure that the total agrees to the value of the invoice. Press Save If you do not wish to save the information press discard To exit this screen press close The invoice will now be showing on sage as a Creditor (Being money due to a supplier) and as an expense on the profit and loss. Customer Receipts

This option is for funds received from customers, where a sales invoice is already posted on to Sage. Choose bank from the main screen This will list all the bank accounts held including credit card and petty cash. If the funds are being paid in to the main current account highlight 1200. If it is a cash receipt which is not being paid in to the bank choose 1230 for petty cash. Press the customer icon A/C - Customer name, click arrow and scroll or type NE for NEVETT etc highlight and press OK Date - date funds received if bacs or from paying in book Ref - paying in book number, credit or bacs Amount - Amount received from customer Click the cursor in the receipt box against the invoice that is being paid and press the pay in full button If several invoices have been paid with one cheque/bacs press pay in full next to all the invoices paid If a discount has been taken type the full amount of the invoice in the receipt box and the discount amount taken in the discount box. Disputed - a 'd' will be shown if the invoice/s are in dispute Ensure
IDM/CC3/DICAP pg. 53

analysis total at the bottom agrees to received total Press Save If you make an error or do not wish to save choose discard To exit the screen press close The receipt will now be showing on Sage as a credit to the debtor (being money paid from a customer) and as revenue received in to the bank as a debit. Supplier Payment

This option is for payments made to suppliers, where a purchase invoice is already posted on to Sage. Choose bank from the main screen This will list all the bank accounts held including credit card and petty cash If the funds are being paid from the main current account highlight 1200. If it is a cash payment choose 1230 for petty cash. Press the supplier icon A/C - Supplier name, click arrow and scroll or type IN for Integra Accounting limited etc highlight and press OK Date - date from cheque book or from bank statement if direct transfer Ref - cheque number, debit D/D S/O, bacs etc Amount Amount paid to supplier Click the cursor in the payment box, against the invoice being paid and press the pay in full button Disputed - a 'd' will be shown if the invoice/s are in dispute If several invoices have been paid with one cheque/bacs press pay in full next to all the invoices paid If a discount has been taken type the full amount of the invoice in the payment box and the discount amount taken in the discount box. Ensure analysis total at the bottom agrees to paid total Press Save If you make an error or do not wish to save choose discard To exit the screen press close The payment will now be showing on sage as a debit to the creditor (being money paid to a supplier) and as a payment from the bank as a credit.

IDM/CC3/DICAP

pg. 54

Bank Payments

This option is used for money paid out .i.e bank charges, interest, direct debits, credit card transactions etc. Not for money paid for invoices already posted on to sage to the supplier ledger. Choose bank from the main screen This will list all the bank accounts held including credit card and petty cash If the funds are being paid from the bank account highlight 1200, if it is a cash payment choose 1230 for petty cash, or 1240 for credit card. Press payment from the toolbar Date - date from chequebook, bank statement or credit card Ref - cheque book number, DD, SO, Chg, if an invoice number as 001 etc or CC01 for credit cards N/C 5000 refer to nominal list for expense codes Dept - does not need to be completed Project Ref - does not need to be completed, this can be used for project costing Cost Code - does not need to be completed, this can be used for project costing Details - Charges, Insurance etc Net - Amount paid T/C - T2 for bank charges paid, other expenses T1 17.5%, T0 0% (see tax code schedule) VAT - VAT value. No VAT for bank charges Ensure that the total box on sage agrees to the expense amount. The VAT box can be overtyped for any small rounding differences. Press Save If you do not wish to save the information press discard To exit this screen press close The expense will now be showing on sage as a credit to the bank (being money paid out) and as a debit to the expense nominal on the profit and loss

To reconcile the bank account

This option is used to reconcile the bank accounts, credit card and petty cash. This should be undertaken regularly as it ensures all transactions are posted on to sage and will highlight any transactions that may have been duplicated or omitted. From the bank screen choose bank Highlight the account to be reconciled Click reconcile The chosen account screen will appear to be reconciled If reconciling to a bank statement only reconcile one sheet at a time. A box will appear showing statement summary Reference as bank statement sheet number In the statement end balance box click with the cursor and type in the balance of the bank statement after the final transaction. Enter the date of the last transaction on the bank statement OK Highlight the transactions that appear on the bank statement by clicking on them in the unmatched items
IDM/CC3/DICAP pg. 55

Click match transactions When all of the items have been clicked the difference box in the bottom right corner should be zero. If a difference occurs the end balance may have been keyed in wrong, an item has not been clicked, an extra item has been clicked or an item has a different value on the statement to sage, which will need to be corrected. Once the statement has been agreed click reconcile If you make an error click clear and start again or click the items in the matched against statement box and choose unmatch transactions, or close the screen and choose discard, do not save the items highlighted.
Date: Time: From: To: 17/04/2012 15:51:09 Month 1, April 2011 Month 12, March 2012 Default Layout of Accounts Period Sales Other Sales Purchases Purchases Direct Expenses Sales Promotion Gross Profit/ (Loss): Overheads Printing and Stationery Depreciatio n General Expenses Suspense & Mispostings Net Profit/ (Loss): 40,000.00 4,000.00 19,100.00 (1,996,000.00) (1,932,900.00) (4,057,824.00) 40,000.00 4,000.00 19,100.00 (1,996,000.00) (1,932,900.00) (4,057,824.00) 4,500.00 4,500.00 (5,990,724.00) 4,500.00 4,500.00 (5,990,724.00) 6,002,224.00 6,002,224.00 6,002,224.00 6,002,224.00 16,000.00 16,000.00 16,000.00 16,000.00 Year to Date

Sky Trading Profit & Loss

Page:

Chart of Accounts:

Date: Time: From: To:

17/04/2012 15:22:31 Month 1, April 2011 Month 12, March 2012

Sky Trading Balance Sheet

Page:

IDM/CC3/DICAP

pg. 56

Chart of Account:

Default Layout of Accounts Period Year to Date

Fixed Assets Property Plant and Machinery Motor Vehicles Current Assets Stock Debtors Deposits and Cash Bank Account VAT Liability 12,990,000.00 110,000.00 1,029,657.68 12,000.00 382,395.32 14,524,053.00 Current Liabilities Credit Card (Creditors) Creditors : Short Term 100,000.00 10,687,877.00 10,787,877.0 0 Current Assets less Current Liabilities: Total Assets less Current Liabilities: Long Term Liabilities 0.00 Total Assets less Total Liabilities: Capital & Reserves Share Capital Reserve s P&L Account Previous Year Adj 8,938,176.00 8,846,000.00 4,150,000.00 (4,057,824.00) 8,846,000.00 4,150,000.00 (4,057,824.00) 30,000.00 8,968,176.00 8,857,176.00 0.00 8,887,176.00 3,736,176.00 100,000.00 10,687,877.00 10,787,877.0 0 3,766,176.00 12,990,000.00 140,000.00 1,029,657.68 12,000.00 382,395.32 14,554,053.0 0 3,000,000.00 121,000.00 2,000,000.00 5,121,000.00 3,000,000.00 121,000.00 2,000,000.00 5,121,000.00

8,857,176.00

8,887,176.00

Date:

17/04/2012

Sky Trading

Page:

IDM/CC3/DICAP

pg. 57

Time:

15:21:49 12 Name Land & Buildings Plant and Machinery Motor Vehicles Motor Vehicles Depreciation Stock Debtors Control Account Prepay Main cash Sampath bank Bank Seylan Petty Cash Hsbc Credit Commercial Creditors Control Account Debuntures Accruals Purchase Tax Control Account 10% Ordinary Shares Reserves Profit and Loss Account other income Materials Purchased Advertising Telephone Plant/Machinery Depreciation Rent Water bill Travellimg Suspense Account

Period Trial Balance

To Period: N/C 10 20 50 51 1001 1100 1103 1200 1210 1211 1220 1230 1240 1252 2100 2104 2109 2201 3000 3100 3200 4906 5000 6201 7502 8001 8207 8209 8210 9998

Debit 3,000,000.00 121,000.00 1,996,500.00 3,500.00 12,990,000.0 0 115,000.00 25,000.00 12,000.00 288,257.68 551,000.00 190,000.00 400.00

Credit

100,000.00 81,000.00 6,547,877.00 4,150,000.00 10,000.00 382,395.32 8,846,000.00 4,000,000.00 150,000.00 16,000.00 6,002,224.00 4,500.00 40,000.00 4,000.00 15,000.00 3,500.00 600.00 2,026,000.00 Totals: 25,835,877.00 25,835,877.00

IDM/CC3/DICAP

pg. 58

IDM/CC3/DICAP

pg. 59

IDM/CC3/DICAP