Chart of accounts

                        HOW TO MAKE CHART OF ACCOUNTS

STEP: 1

Now if you want to enter your data to proceed your company, then first you go and make your chart of accounts by your own, because when you create this company you did not select any option regarding your chart of accounts that you want to copied it from any other company. So create your own charts of account, and for that you first click on the “maintain” which is shown above in the window.

               

STEP: 2

Now you select the “chart of accounts” in the maintain toolbar which you opened above:   

                                                  

STEP: 3

Now by clicking on charts of accounts, a window will open which is shown below:

                              

STEP: 4

By filling all the three columns which are:

Account ID

Description:

Account type:

Your one account will be formed, like if you want to make cash account then first you write account id of your own choice suppose 100, then you write cash in “description” and cash in “account type”.

          

                            

           

STEP: 5

After filling all three columns you will press “Alt+S” through which your cash account will be saved automatically, to assure that your account is save now you will see that after pressing “Alt+S” your cursor will automatically goes to first column which “account id”so that you can create your next account..

            

STEP: 6

When you enter all of your company accounts and your charts of account complete, then to see the list of those accounts you will click on round shaped icon , and the list page will be open in front of you:

                

      

STEP: 7

If you mistakenly wrote wrong id of any of your account or you want to change your account due to any reason then for this, the process is that when you open the charts of account page you enter on  “round shaped mirror ” to open your account list, then you select the account whom you want to change your id,you will see that in this window option for “change id” is shown in light colour which means you can not select it, so for that purpose you firstly select your account so that you will select the option of change id”, Now for example if you want to change the id of petty cash then you select it:

                 

STEP: 8

After selecting petty cash to change its id,now you can see that “change id” is in dark colour and you select it easily.

So press it  

            

STEP: 9

The page which will open after selecting “change id” is shown below, in this you will see your previous id of petty cash in “current account id” and the next option is “enter new account id” in which you enter the new id which you want to write for petty cash account and then click on “OK”

                                   

STEP: 10

Now after some time you feel that you do not want your petty cash account any more, then you can inactive this account as well. For doing this you select your petty cash account and then click on "unticked box of inactive" ,after click on it you will see this tick which means that your account will be inactive now ,after tick on it you press “ALT+S” to save the changing’s you made:

                       

STEP: 11

To confirm this that your petty cash account is inactive now, you will open the list of your charts of account. In the below window you can see that now petty cash is shown as inactive account. Now if you activate it again, then you double click on this account:

                

STEP: 12

There is another way to see that either your account is inactivate or not, but first you  will shut down your previous window which is of charts of account.

            

STEP: 13

Now you go to above icons and click on “reports”

               

STEP: 14

Now you select the option “GENERAL LEDGER”

                                               

STEP: 15

After opening general ledger a window will open which is shown below, from this window you will select “chart of accounts” which you can see in middle column of REPORT LIST

               

STEP: 16

Your all chart of accounts are shown in the below window, in which you can see that  in “active” column your petty cash is inactivate.

       

           

STEP: 17

The below window will appear, now you click on it to activate it again ,after clicking on this it will activate and will be marked as ticked.

            

STEP: 18

If you want to delete any account then open that account, for example you want to delete cash account then click on it to open.

           

STEP: 19

Cash account will be open in front of you as u can see in the below window, now in the above icons you click on “delete” to delete this account.

               

STEP: 20

After this a small window will open infront of you, that are you sure you want to delete your account? So you click on “yes”

                            

 From above procedure you can easily make your chart of accounts

                                         ENTERING BEGINNING BALANCES

STEP: 21

To start entering your data, you again open your chart of accounts and a window will open in which we have to click the “beginning balance” button.

       

             

                                        

STEP: 22

                                            SELECTION OF ACCOUNTING PERIOD

Now after selecting “beginning balances” a window will open infront of you in which you have to select your accounting period. And the period depends upon the month in which you want to start entering data of your company for example if you are going to start it from 1^st February 2012  the you will firstly enter the beginning balance in the month of January i.e from 1^st January till 31th January, so that it will be the closing balance of January 2011 and will be the opening balance of February 2012.

So you will select your desire period and click on it:

                                    

                              

STEP: 23

                          NOW YOU WILL START ENTERING DATA

The below window will open in which you have to enter data in two rows, which is the rows of ASSETS & EXPENSES at the left side and LIABILITIES & EQUITY is at the right side, same as of a trial balance and their balances are also given at the end as “Total”. If the amount showing in the trial balance is positive then the total of debit side is greater, and if the amount of trial balance is negative then the total of credit side is greater.Now  you  simply have to enter the figures on both the sides and the trial balance will automatically show the difference.

To enter the beginning balances you should first have an account of “retained earnings”, otherwise the data will not save. Therefore if you don’t have a retained earning account then make one by going back to chart of accounts.

                 

STEP: 24

The one thing which you kept in mind that in the above window the data which you entered will become the opening balance of the next month , for example if you have entered this data for the month of January 2012, then it will be the closing balance of January and opening balance of February 2012.

                             

STEP: 25

Now we enter the data in both rows, and must remember that after entering data your trial balance must showing the zero balance which means that the both sides are equal.

                

          

STEP: 26

To change any figure simply click on that figure and delete it using backspace and then enter the new one, you can also edit it after saving.

            

STEP: 27

When you finished all the procedure of entering data then you have to save it,for that you will click on “OK” which is at the top left of this window.