LESSON 4 Opening Balances

Transcription

1 LESSON 4 Learning Objectives In this lesson you will: 1. set up current year opening balances 2. create a new year 3. check data integrity 4. print a balance sheet 5. print a trial balance Entering Prior Year History When you activated the General Ledger module, you indicated on the Data Activation window that the Oldest Fiscal Year Start Date was 01/01/2015. The General Ledger module sets the current year to the year before the Oldest Fiscal Year Start Date so that historical data can be entered for the years prior to the current year, thus creating history and the opening balances for the current year. It is important to know what the current year is in the General Ledger because Sage 300 ERP cannot post to future years. Remember that Sage 300 ERP Premium edition can keep up to 99 years of history. Keep this in mind when you are entering the Oldest Fiscal Year Start Date. Transactions can only be entered in the current year until you perform the Create New Year function and move to the next year. Once you have moved to the next year, you can post back to previous years in the fiscal calendar. For example, let s assume that you entered 01/01/2013 as the Oldest Fiscal Year Start Date and the company s Current Fiscal Year is The current year would be 2012 in the General Ledger (one year prior to the oldest fiscal year start date). In this example, before you can begin entering transactions for the current year, 2014, you must process each of the historical years beginning with The following must be performed for the year 2012 and each subsequent year until you reach the current fiscal year of 2014: 1. The closing balances for all balance sheet and retained earnings accounts must be entered and posted for the current fiscal year in the General Ledger. Balances for income statement and expense accounts do not have to be entered, as they will automatically be closed into the retained earnings account during the Create New Year function that must be performed to move the current year to the next year. 2. The Create New Year function must be performed to move the current year to the next year. You continue doing the steps above for each year until you reach the company s current fiscal year. In this example, you would repeat steps 1 and 2 for each year until you reach the year While you are doing this, if you realize that there were balances that should have been entered in any of the previous years in the Fiscal Calendar, you can turn on the Allow Posting to Previous Years option on the Posting tab of the G/L Options form and post a batch to the appropriate year. 130 M04_HEAN4508_01_SE_C04.indd 130

2 LESSON FOUR 131 In the example above, let s assume that you entered 01/01/2013 as the Oldest Fiscal Year Start Date but intended to enter 01/01/2014. The current year in the General Ledger would be 2012 (one year before the date entered as the Oldest Fiscal Year Start Date). In this case, you do not have historical transactions to enter for the year 2012 so you would skip step 1 and proceed directly to step 2. You still have to perform the Create New Year function in order to move to the next fiscal year. Viewing the Current Fiscal Year Before you begin entering the current year opening balances, you will see where you can determine the current year for Omni Electrical Supplies Ltd. Exercise 4-1 Viewing the Current Fiscal Year 1. Open Sage 300 ERP, select Omni Electrical Supplies Ltd., and use 01/01/2015 as the session date 2. Double click on the Options icon from the G/L Setup folder 3. Click on the Posting tab 4. You should see the following information on the right side of the screen: Figure 4-1 NOTE It is important to know the current year of your company to determine whether you need to post your batch to the current year or a previous year. You cannot post to a future year. 5. Close the G/L Options form Setting Up Current Year When you activated the General Ledger module for Omni Electrical Supplies, you indicated on the Data Activation window that the Oldest Fiscal Year Start Date was 01/01/2015. Therefore, the current year in the General Ledger module is 2014 (one year prior to the Oldest Fiscal Year Start Date). Although Omni Electrical Supplies has been in business for many years, they only want to enter historical data for 2014 in the new accounting system. The ending balances for 2014 must be entered in order to create the opening balances for the current year, which is Historical balances are entered as a journal entry in a batch and posted to the last fiscal period of the year. To enter the current year opening balances, take these steps: M04_HEAN4508_01_SE_C04.indd 131

3 132 PART ONE General Ledger 1. Create a batch containing the balances of your accounts as at the end of the year prior to the Oldest Fiscal Year Start Date. Use the last fiscal period (12 or 13 depending on the number of fiscal periods selected in the Fiscal Calendar) to post the batch. The year will be 2014 for Omni Electrical Supplies. 2. Print the batch listing and check it for accuracy 3. Post the batch 4. Print the posting journal and file this report as part of your audit trail 5. Make a backup of your data prior to performing the Create New Year function 6. Run the Create New Year function to transfer the balance of any income and expense accounts entered to the retained earnings accounts and set up the opening balances for the current year, which is 2015 for Omni Electrical Supplies Ltd. 7. Make a backup of your data after performing the Create New Year function 8. Check the integrity of your data 9. Print a Balance Sheet and file this report as part of your audit trail 10. Print a Trial Balance as at fiscal period 1 of the new year to make sure that it balances with the previous accounting system Exercise 4-2 Setting Up Current Year 1. Double click on the Journal Entry icon from the G/L Transactions folder 2. The following window will be displayed: Figure 4-2 M04_HEAN4508_01_SE_C04.indd 132

4 LESSON FOUR 133 Batch Entry Journal entries to record historical balances and current year transactions are recorded in batches on the G/L Journal Entry window as shown in Figure 4-2. Each batch is given its own sequential number by the program and must contain at least one journal entry with a balancing debit and credit amount. The fields on the journal entry page are as follows: Batch Information Batch Number When you click on the New icon beside the Batch field, a new batch is automatically created. General Ledger keeps track of the batch numbers sequentially. The number of batches you can create is limited only by your hard-disk space. If an open batch exists, you can enter the batch in the Batch field, use the browse buttons to move through the existing list of batches, or use the finder to select the batch, and it will be displayed on the screen. Batch Description You can use up to 60 characters to describe the batch. This description will be displayed on batch listings and when you use the finder to look up open batches. Journal Entry Information Entry Number When you click on the New icon beside the Entry field, a new entry is automatically created. General Ledger keeps track of the entry numbers in a batch sequentially. You can use the browse buttons to move through the existing list of journal entries, or use the finder to select the entry, and it will be displayed on the screen. Each entry must balance for it to be posted. Entry Description You can enter a 60-character description to describe the entry. This description will appear on batch listings and when you use the finder to look up entries. Date This is the date of the transaction and is used for information purposes only. An entry can have one date assigned to it, or each detail line can be assigned its own date. The default date for all journal entries is the date you entered when you opened your company database (the session date). This date does not determine which year and period the transaction will be posted to. The posting year and period are determined by the entry in the Year/Period field. Year/Period The default year and period reflect the transaction date of the entry. You can change the year and period so that you can post to any year and period in your Fiscal Calendar other than that of the transaction date. The transaction will be posted to the year and period entered in this field. If you wish to post to a previous year in the fiscal calendar, you must turn on the Allow Posting to Previous Years option found on the Posting tab of the G/L Options form. The transaction will be posted to the previous year and period entered in this field. M04_HEAN4508_01_SE_C04.indd 133

5 134 PART ONE General Ledger Source Code You must enter a valid source code for each journal entry. If you click on the finder beside the Source Code field, you will view all available source codes. If you wish to use a source code that has not been set up, you can create it in the G/L Source Codes window before entering the journal entry. Entry Mode You can choose between two entry modes when you create journal entries: Normal Quick Auto Reverse As you press [ TAB ] in the detail area of the journal entry window, the cursor stops at each field for you to complete. For the first detail line of an entry, the cursor stops at each field for you to complete; however, for the rest of the detail lines, the information from the reference and description fields entered on the first line is automatically entered. This information can also be modified. If this option is selected, a reversing journal entry is automatically created for the entry on the first day of the next fiscal period or a selected period. You can select any year or period in the fiscal calendar. If you make an auto-reversing journal entry in the last fiscal period of a year, Sage 300 ERP will create a batch containing your reversing entries for the new fiscal year, which you can post once that year becomes the current fiscal year in the General Ledger. Batch Information Batch information is displayed on the right-hand side of the screen. Here you can easily see the number of entries in the batch, the total debits and credits of all of the saved entries in the batch, the batch type, and the batch status. Transaction Details The following information is available for each detail line of a journal entry. The quantity column will be available only if you selected the Maintain Quantities option on the Account tab of the G/L Options form: Figure 4-3 Figure 4-4 Figure 4-5 Line Number Each detail line in a journal entry is assigned a sequential line number by the program. M04_HEAN4508_01_SE_C04.indd 134

6 LESSON FOUR 135 Reference and Description Each detail line can contain its own reference (up to 60 characters) and description (up to 60 characters). If you use Quick as the Entry Mode, the reference and description on the first line of the journal entry will be repeated on each subsequent line, although this information can be modified on each line. The reference and descriptions are printed on various reports and give detail to the transaction. Since you can print source journal reports by reference, keep this in mind when entering them. Account Enter the account you are posting to here. Account Description When you have typed in an account number, the account description is displayed so that you can confirm that you have entered the correct account. Debit or Credit Enter the amount to be posted to the account on the detail line as either a debit or credit to the account. Quantity Enter the quantity associated with the general ledger account. This column is available only if you selected the option to maintain quantities on the Account tab of the G/L Options form. Only those accounts that have been set up to accept quantities can have a value entered in this column. Date You can enter a different date for each detail line of the journal entry without affecting the fiscal year and period to which the transaction will be posted. The default date will be the one entered with the entry information. Source Ledger This indicates which ledger the transaction originated in. Source Type Each detail line in the journal entry can have its own source code; this means that each detail line from a journal entry can be found on different source journals. The default source code is the one entered with the entry information. This field must contain a source code. Optional Fields If Optional Fields were set up in the General Ledger that can be associated to transactional details, and you want to associate one with this journal entry, enter it here. Comment You can use an additional comment of 255 characters to describe the journal entry detail line. This information is printed on batch listings and posting journal reports. M04_HEAN4508_01_SE_C04.indd 135

7 136 PART ONE General Ledger Customizing the Journal Entry Form Rearranging the Transaction Detail Columns You can move each transaction detail column so that it is in a position that best suits your data entry. You can point and click on any one of the column headings and drag it to a new location. Try rearranging the columns and then putting them back to their original position. Restoring Rearranged Transaction Detail Columns Back to the Default Settings To restore rearranged columns back to the default settings, right click on any column heading and select the Restore Defaults option. Hiding a Column in the Transaction Detail Line To hide a transaction detail column, right click on the column heading and select Hide column name. Restoring a Hidden Column in the Transaction Detail Line To restore a hidden transaction detail column, right click on any column heading in the journal entry. For each heading that has been hidden, there will be an option to restore it. Alternatively, you can select the Restore Defaults option to restore all hidden columns. Viewing a Transaction Detail Line in a Separate Transaction Window You can use the Zoom key to view the contents of a transaction line in a separate journal detail window rather than in a spreadsheet format. If you press the F9 ( Zoom ) key while working on a transaction line, a separate journal detail window will be displayed with all of the fields displayed on a single screen. Total Line Debits The total debits of the saved entries in the batch are displayed. Credits The total credits of the saved entries in the batch are displayed. Out of Balance By This is the total amount by which the current entry is out of balance. An entry must be balanced before it can be posted. Any entries that do not balance when a batch is posted are placed in an error batch and must be corrected before it can be posted. The following commands are available at the bottom of the window: Figure 4-6 M04_HEAN4508_01_SE_C04.indd 136

8 LESSON FOUR 137 Add/Save Delete Clear Detail Exercise 4-2, continued The Add button is available before a journal entry is saved. Click it to save the journal entry. After the journal entry has been saved, the add button will change to Save, allowing you to save changes to the journal entry. Clicking on the Delete button will allow you to delete the journal entry currently displayed on the screen. You will be prompted with a warning before deletion. This delete function will delete the entire journal entry and all of its transactions. The deleted journal entry will NOT be assigned to a new entry and will be listed on the posting journal as deleted for audit trail purposes. If you want to delete one line in a journal entry, select the line and use the Delete key on the keyboard. Click the Clear button to delete the entire journal entry before it is saved. Click on the Detail button to view the highlighted transaction in a separate journal detail window. 3. Click on the New icon beside the Batch Number field 4. The batch number created should be 1 (created by the program) 5. Type Set up General Ledger as the batch description and press [TAB] 6. Press [TAB] to accept entry number 1 7. Type as the entry description and press [TAB] 8. Type 12/31/2014 as the date and press [TAB] (this is the last day of the last fiscal period for the year prior to the Oldest Fiscal Year Start Date and also the last day of the current year in the General Ledger) 9. Press [TAB] to accept as the year and period (the year and period reflect the entry date) 10. Click on the finder beside the Source Code field to view the source codes available 11. Scroll through the list of Source Codes until you find the Setup source code 12. Double click on the Setup source code 13. Click on Quick as the Entry Mode and press [TAB] 14. Press [TAB] to bypass the Auto Reverse option 15. Type J01 as the Reference on the first transaction detail line and press [TAB] IMPORTANT If you cannot click in the detail line, press the <INS> key on the keyboard to access the table. 16. Type Opening Balance as the Description and press [TAB] 17. Type 1000 in the Account number field and press [TAB] (notice that the account description is displayed) 18. Type in the Debit column (you do not need to enter the comma or the cents unless they are not.00) 19. Press [TAB] 20. Press [TAB] to bypass the Credit column 21. Press [TAB] to accept 12/31/2014 as the date. Each detail line in the journal entry can have a different date. However, the journal entry will be posted to the year and period defined in the Year/Period field entered with the entry information M04_HEAN4508_01_SE_C04.indd 137

9 138 PART ONE General Ledger Exercise 4-2, continued 22. The Source Ledger field is bypassed This field cannot be modified and represents the source ledger from which the transaction originated. 23. Press [TAB] to accept SU as the source type Each detail line in the entry can have a different source code and therefore be included on different source journal profile reports. 24. Press [TAB] to accept No in the Optional Fields column You did not define optional fields for transaction details in the General Ledger. 25. Press [TAB] to leave the Comment field blank Comments are printed on the batch listing and posting journal reports. 26. You should now be on the second transaction detail line TIP If you did not press [TAB] after entering the first detail line but rather clicked on other fields within the journal entry to make corrections, you will not be able to click on the second detail line. In order to reach the second detail line, you MUST highlight the first detail line and press the [Insert] key. This will move you down to the second detail line. Note that the Reference and Description columns have already been entered on the second detail line because you selected Quick as the Entry Mode. 27. Press [TAB] to accept J01 as the Reference 28. Press [TAB] to accept Opening Balance as the Description 29. Type 1010 in the Account field and press [TAB] 30. Type in the Debit column and press [TAB] 31. Press [INSERT] to move down to the next detail line Notice that you did not have to tab through all of the fields in the transaction detail line before moving down to the next line. This is true only if there are no changes necessary in the rest of the fields on the detail line. 32. Rearrange the transaction detail line so that the first five columns are in the following order: Line Number, Account, Debit, Credit, Account Description. This will save you time when entering transaction detail lines since you will no longer have to tab past the Reference and Description fields to get to the required fields 33. Continue adding the rest of the entry shown below using the same Reference and Description fields NOTE The first two accounts have already been entered. They have been displayed again in the batch so that you can view the entire entry and see the entry total. M04_HEAN4508_01_SE_C04.indd 138

10 LESSON FOUR 139 Exercise 4-2, continued Acc. No. Description DR CR 1000 Bank - Chequing $ 15, (already entered) 1010 Bank - Payroll 13, (already entered) 1100 Accounts Receivable 75, Allow. for Doubtful Accts $ 3, Inventory 75, Manufacturing Equipment 52, Furniture & Fixtures 12, Office Equipment 15, Building 98, Vehicles 32, Acc. Dep. Manufact. Equip. 18, Acc. Dep. Furn. & Fixtures 5, Acc. Dep. Office Equipment 7, Acc. Dep. Building 25, Acc. Dep. Vehicles 6, Accounts Payable 57, GST/HST Payable 7, GST/HST Recoverable 5, Income Tax Payable 4, CPP Payable EI Payable 1, Vacation Payable 4, Bank Loan 60, Common Stock 45, Retained Earnings 148, $394, $394, Press [INSERT ] after the last transaction detail line to include it in the entry total Note that the debits and credits do not balance. The entry should be out of balance by $100.00; you will learn how to correct the entry in the next exercise. 35. Click Add to save the batch 36. You will receive the following warning: Figure 4-7 M04_HEAN4508_01_SE_C04.indd 139

11 140 PART ONE General Ledger Exercise 4-2, continued Although you will receive this warning message, you will still be able to save the batch; however, each entry must balance before it can be posted. If you post a batch with entries that do not balance, those unbalanced entries will be placed in an Error Batch awaiting correction. 37. Click Close to exit the warning window 38. Click Close to exit the Journal Entry window Editing a Batch You can edit batches as long as they have not been deleted or posted. Batches that have been provisionally posted can also be edited. (Provisional posting will be covered in a later chapter.) If you made a mistake in an open journal entry, click on the detail line that you would like to change and type the correct information. Inserting a Transaction Detail Line To insert a transaction detail line, highlight the detail line that is above where the new line will be inserted and press [INSERT] on the keyboard. A new line will be inserted below the current line. Deleting a Transaction Detail Line To delete a transaction detail line, highlight the line to be deleted and press [DELETE] on the keyboard. You will be prompted to confirm deletion of the current detail line. Do not mistake the [DELETE] key on the keyboard with the Delete button on the screen, which will delete the entire journal entry. Clearing an Entry If you are working on an entry and have not saved it but would like to remove the entire entry, click on the Clear button on the bottom of the screen. You will be prompted to delete all of the details for the current entry. Deleting an Entry Once an entry has been saved, the Delete button on the bottom of the screen will be available to delete the entire contents of the entry. You will be prompted to delete the entire entry. Auto Clear The Journal Entry form includes an Auto Clear option in the Settings menu. If this option is selected, a new entry is automatically started when you add an entry. This effect is similar to clicking the Add button to save the current entry and then clicking the New button to create a new entry. M04_HEAN4508_01_SE_C04.indd 140

12 LESSON FOUR 141 Accessing an Open Batch To edit an entry in a batch, you must know how to access the required batch as well as the entry you wish to modify. This is why the previous exercise had you exit the Journal Entry window. Exercise 4-3 Editing a Batch The $ mistake in the opening balance batch was made in account number The $5, amount originally entered should have been $5, Double click on the Journal Entry icon in the G/L Transactions folder 2. Click on the finder beside the Batch field 3. The following window will be displayed: Figure 4-8 The Finder Batches Window This window displays all open batches that can be edited or deleted. As long as a batch has not been deleted or posted, it will be displayed in this window and is available for editing. M04_HEAN4508_01_SE_C04.indd 141

13 142 PART ONE General Ledger Exercise 4-3, continued 4. Double click on Batch 1 or click on the Select button 5. The following window will be displayed: Figure 4-9 NOTE The top right-hand corner of the window indicates the number of saved Entries in the batch, its total Debits and Credits, the batch type, and its status. Figure Scroll down looking for the transaction for Account 2510 using the scroll bars on the right side of the screen 7. Click on the credit amount of 5, Type 5, and press [TAB] (the Out of Balance By field still shows ; this field does not change until you move off the modified transaction detail line or until you save the entry) 9. Click Save to save the change you have just made (the Out of Balance By field should now be 0.00) 10. Click Close to exit the Journal Entry window M04_HEAN4508_01_SE_C04.indd 142

14 LESSON FOUR Processing the Batch When processing a single batch, perform the following steps: Print and check the batch for accuracy 2. Back up your data 3. Process the batch from the Batch List window by performing the following tasks: a) Print the batch b) Post the batch c) Print the Posting Journal These tasks can be performed individually by using various icons within the Sage 300 ERP General Ledger module or they can be performed directly from the Batch List window. You will use the Batch List window to perform these tasks for the batch. Exercise 4-4 Processing the Batch Print and check the batch for accuracy 1. Print the batch on the screen and check it for accuracy Back up your data 2. When backing up your data, you should back up both the system database and company database. Ask your instructor which method you should use to back up your data TIP When you are working with live accounting data, you should also include the site, user, and company folders found within the x:\program Files\Sage\Sage 300 ERP folder in the backup procedure Process the batch from the Batch List window The batch list window can be used to print a batch, post it, and then print the posting journal. 3. Double click on the Batch List icon from the G/L Transactions folder 4. The following Batch List window will be displayed: Figure 4-11 M04_HEAN4508_01_SE_C04.indd 143

15 144 PART ONE General Ledger The Batch List Window The Batch List window is used to view all General Ledger batches, even those that have been imported from other Sage 300 ERP modules. The Batch List window is a single window where you can perform all necessary tasks to your batches. The Batch List window is used to: limit the batches shown in the Batch List window to those from a starting batch number or from a single subledger view all batches, including posted and deleted batches create a new batch or select a batch for editing, deleting, posting, provisional posting, or printing delete an unposted batch post a single batch print a batch listing for the highlighted batch by selecting the Print button or by selecting Print from the File menu print a batch status report by selecting Print Batch Status Report from the File menu print Posting Journals for posted batches by double clicking in the Posting Sequence column print Posting Error Reports for posted batches by double clicking in the Number of Errors column give the batch a Ready to Post status update the information in the list using the Refresh button if it has changed since you opened the form As you can see in Figure 4-11, batch number 1 was created in the General Ledger, it was last edited on 12/08/12 (this is the date the author last edited this batch and your date will reflect the date you last edited the batch), it has not been set as ready to post, it was entered, it has an open status, and it has not yet been printed. While a batch has a status of open, it can be edited, deleted, printed, and posted. The Ready to Post column indicates whether a batch is ready to be posted. Open batches will initially display a No in this column; however, double clicking in this field will change it to a Yes. Only batches with a status of Ready to Post can be posted through the Post Batches icon. If you post a batch that does not have a status of Ready to Post directly from the Batch List window, you will be asked if you want to make the batch ready to post before proceeding. Keep in mind that you can only post one batch at a time within the Batch List window. Multiple batches can be posted using the Post Batches icon if they have first been set to Ready to Post in the Batch List window. Printing a Batch from the Batch List Window To check a batch for accuracy, you should print it. If you selected the Force Listing of Batches option on the Posting tab of the G/ L Options form, the batch must be printed to a printer, screen, or file before it can be posted. With the Force Listing of Batches option selected, you must also reprint a previously printed batch if it has been edited. TIP In earlier versions of Sage 300 ERP, you could only print a batch listing report for unposted batches. You can now print batch listings for posted batches. M04_HEAN4508_01_SE_C04.indd 144

16 LESSON FOUR 145 Exercise 4-4, continued Print the batch from the Batch List window 5. Highlight Batch 1 (if it isn t already highlighted) 6. Click the Print button at the bottom of the screen 7. The GL/Batch Listing Report will be displayed: Figure 4-12 G/L Batch Listing Report On the G/L Batch Listing Report dialog box, you can select the batches to print by specifying: a selected range of batches; all unprinted open batches will be printed unless you indicate otherwise the ledgers the batches were created in; e.g., GL, BK, AP, AR the dates the batches were created; the default date is the beginning of the current year to the session date The following information can be included in the report: previously printed batches; reprint batches that have already been printed by selecting the Include Previously Printed Batches option the reference and description, transactional optional fields, and comments entered for each journal entry can be displayed by clicking on the required option M04_HEAN4508_01_SE_C04.indd 145

17 146 PART ONE General Ledger these batch types: Entered Subledger Imported Generated Recurring these batch statuses: Open Ready to Post Posted Prov. Posted Exercise 4-4, continued Posting a Batch A batch that has been created in the Journal Entry window of the General Ledger module Batches from Sage 300 ERP subledgers or ACCPAC Plus subledgers Batches imported into the General Ledger using the Import batches function. These batches can be from non-sage 300 ERP programs or from another Sage 300 ERP General Ledger. They could also be batches that were exported from your own General Ledger and then imported at a later time Batches created by the General Ledger, such as allocation batches, error batches, and the closing batch created by the Create New Year function Batches of recurring entries that were created in the Create Recurring Entries Batch window or that were processed through a user s reminder list A batch that has not yet been posted A completed batch that is ready for posting A batch that has been posted A batch that has been provisionally posted (this option is only available if the Allow Provisional Posting option has been selected on the Posting tab of the G/L Options form) 8. Click Print to accept all of the default settings 9. View the report using the scroll bars TIP You can also print the Batch Listing Report by double clicking on the Batch Listing icon in the G/L Reports folder. 10. Close the report when you have finished viewing it 11. Click Close to exit the G/L Batch Listing Report dialog box All transaction batches are held open by Sage 300 ERP until they have been posted. Posting is the process of adding transaction amounts and quantities to accounts in the General Ledger. When you post batches in the General Ledger, the account balances are permanently updated with the transaction in the journal entry (unless you provisionally post a batch) and the batch is closed to further editing. If you realize you have made an error in a batch after posting, you can enter another batch to reverse the original transaction and post it to correct the error. When using this method, be sure to post the correction in the same year and period as the original transaction in order to reverse it in the same period. In Lesson 6, exercise 6 14, you will learn that you can reverse a single posted General Ledger batch entry or you can reverse an entire batch in the Journal Entry window. If you are posting a batch of transactions to a year prior to the current year, be sure to turn on the Allow Posting to Previous Years option on the Posting tab of the G/L Options form. In order to determine the current year, open the G/L Options form; the current fiscal year will be displayed on the Posting tab. In Sage 300 ERP, you cannot post batches to a future year. Individual batches can be posted in the Batch List window, or you can post one or more batches that have a status of ready-to-post through the Post Batches icon in the G/L Transactions folder. You will learn how to post batches using the Post Batches icon in Lesson 6. M04_HEAN4508_01_SE_C04.indd 146

18 LESSON FOUR 147 Exercise 4-4, continued Post a batch from the Batch List window As you will notice in Figure 4-11, batch number 1 does not have a status of Ready to Post. We will not change the status in this window before posting to see how the system handles the posting of the batch if it is not set as Ready to Post. 12. Click the Post button (with batch 1 highlighted) 13. The following confirmation message will be displayed: Figure 4-13 This confirmation is displayed only because you did not set the batch status to Ready to Post before selecting the Post button. 14. Click Yes to post the batch 15. The following message will be displayed: Figure 4-14 This message indicates whether the batch was posted successfully. If you had any posting errors the entries containing the errors would be placed in the next sequential batch. A message would be displayed indicating the batch number where the errors have been placed. 16. Click Close to exit the message window and return to the Batch List window Posting Journal The posting journal lists all entries that have been posted to the General Ledger. This report is an important part of your audit trail. Each posting is assigned a sequential number called a posting sequence number, which is printed on the posting journal and displayed on the Batch List window. The posting sequence number is different from the batch numbers. For example, if you post 10 batches together and it is only the second time you have posted in the General Ledger module, the posting sequence number will be 2. M04_HEAN4508_01_SE_C04.indd 147

19 148 PART ONE General Ledger Exercise 4-4, continued Print the Posting Journal from the Batch List window 17. Confirm that the print destination is set to preview 18. Use the scroll bars on the bottom of the Batch List window to display the Posting Seq. column 19. Double click on Posting Sequence 1 displayed in the column for the batch 20. The following window will be displayed: Figure 4-15 G/L Posting Journals Report The following options are available on the G/L Posting Journals dialog box: Select Journal Posting Journal Posting Journal Errors Sort By Posting Sequence Account Number All posted transactions for the posting sequence selected will be displayed. Any posting errors found during posting are displayed on the last page of this report. If an error message was displayed after posting, indicating that errors were found during posting, you can select to print the Posting Journal Errors report. Only posting errors are displayed on this report. To help you solve the problem, this report shows all transactions with errors found in the selected posting sequence and the reason they occurred. This option prints the selected posted transactions in order of their posting sequence number. This option prints the selected posted transactions in order of account numbers. M04_HEAN4508_01_SE_C04.indd 148

20 LESSON FOUR 149 From Posting Sequence To Posting Sequence Reprint Previously Printed Journals Include Trans. Optional Fields Exercise 4-4, continued This is the first posting sequence that is to be included in the print run. This is the last posting sequence that is to be included in the print run. This option prints posting journals that fall within the selected range that have already been printed. If transactional optional fields were assigned to journal entries, they can be displayed by selecting this option. 21. Confirm that the following defaults are selected: Select Journal Posting Journal Sort By Posting Sequence From Posting Sequence 1 To Posting Sequence 1 Reprint Previously Printed Journals No (the box is blank) Include Trans. Optional Fields No (the box is blank) TIP If you have to reprint a Batch Listing, be sure to select the Reprint Previously Printed Journals option. 22. Click Print 23. View the report using the next page arrow Note that you are printing on the screen to save paper; however, in a work environment, you would print a hard copy of the posting journal and file it as part of your audit trail. TIP The Posting Journal can also be printed by double clicking on the Posting Journals icon in the G/L Reports folder. 24. Close the report when you have finished viewing it 25. Click Close to exit the Batch List window Creating a New Year When you have finished entering transactions for one year and are ready to start a new year, you must use the Create New Year icon found in the G/L Periodic Processing folder to advance to the next year. During this procedure, income and expense accounts are closed to the retained earnings accounts, and opening balances are established for the new year from the previous year s ending balances. A batch is automatically created and posted during this process. Before you select the Create New Year icon, you must create a Fiscal Calendar for the new year in the Common Services Fiscal Calendar. When you activated the General Ledger module for Omni Electrical Supplies Ltd., you indicated that the Oldest Fiscal Year Start Date was January 1, At that time, the program automatically created the years 2014 and 2015 in the Fiscal Calendar. You will not have to create a new year in the Fiscal Calendar for 2015 since it has already been created; however, when you close the year 2015 and want to move to 2016, you will have to create 2016 in the Fiscal Calendar before selecting the Create New Year icon. M04_HEAN4508_01_SE_C04.indd 149

21 150 PART ONE General Ledger The Create New Year function will automatically remove transaction history that is older than the number of years of fiscal sets and the number of years of transaction detail defined as to be kept on the Posting tab of the G/L Options form. TIP During this process, you are warned that the transaction history will be removed. Check the values entered in the Keep # of years of Fiscal Sets field and the Keep # of years of Transaction Detail field on the Posting tab of the G/L Options form. The default for both of these fields is 99; however, you changed it to 7 in Exercise 2 3. All information exceeding the number entered in these fields will automatically be removed when you run this function. Since Sage 300 ERP Premium 2012 can keep track of 99 years of history, set this field to the number of years of history you want to keep to ensure that you do not accidentally erase history. Exercise 4-5 Creating a New Year 1. Double click on the Create New Year icon in the G/L Periodic Processing folder 2. The following window will be displayed: Figure 4-16 TIP This is an important time to do a backup. Perform a backup before performing the Create New Year process. 3. Click on the Process button (all open windows must be closed) M04_HEAN4508_01_SE_C04.indd 150

22 LESSON FOUR 151 Exercise 4-5, continued 4. If you did not assign a default closing account on the Account tab of the G/L Options form, the following error message will be displayed: Figure 4-17 This error message indicates that you must assign the default retained earnings account before you can create the new year. During the Create New Year function, income and expense accounts are closed to the retained earnings account; therefore, a default retained earnings account must be entered on the Account tab of the G/L Options form. If you receive this error message, correct it before completing this exercise. 5. The following message will be displayed after the new year has been created: Figure 4-18 This message indicates that the year 2015 has been created, no history has been removed, and the current year is now Click Close to close the message The values entered in the Keep # of years of Fiscal Sets field and the Keep # of years of Transaction Detail field on the Posting tab of the G/L Options form are used by the program to determine whether any transaction history or fiscal records will be removed during the Create New Year process. 7. Click Close to exit the G/L Create New Year window M04_HEAN4508_01_SE_C04.indd 151

23 152 PART ONE General Ledger Data Integrity You can use the Data Integrity icon to ensure that your data has not been damaged. This can happen if your computer is moved and the hard drive is physically damaged, or if a power interruption causes the computer to write inaccurate data. Your data can also be damaged if files are accidentally erased. More information on data integrity can be found in Lesson 1. To perform a data integrity check, you must sign on as the System Administrator or be assigned to a security group with access to the Data Integrity icon that is found in Administrative Services. Do a data integrity check before backing up your data. If you want the data integrity check to fix minor errors, back up your data before performing the data integrity check. Exercise 4-6 Checking Data Integrity 1. Double click on the Data Integrity icon in the Administrative Services folder 2. The following window will be displayed: Figure Click on the All button to include all available modules in the data integrity check 4. Leave the Fix Minor Errors box blank This option will try to fix minor errors and should only be selected after your data has been properly backed up. 5. Click on the Check button 6. After the data integrity check has completed, a log file indicating all errors that were found is printed to the current print destination (printer, screen, file, or ). 7. Close the Integrity check log after you have finished viewing it 8. Click Close to exit the Data Integrity window Printing a Balance Sheet To verify your opening balances, print a Balance Sheet and compare it to the Balance Sheet from your previous accounting system. File it as part of your audit trail. M04_HEAN4508_01_SE_C04.indd 152

24 LESSON FOUR 153 If you selected the Use Account Groups option on the Account tab of the G/L Options form, Sage 300 ERP generates twenty-three financial reports. These financial reports are generated after you have entered your Chart of Accounts and indicated to which Account Group each account belongs. Of these twenty-three financial reports, three are Balance Sheets, four are Income Statements, fifteen are financial analysis reports, and one is a forecasting report. You need Microsoft Excel 2003 (32-bit) or higher to print the financial reports. TIP You must purchase Microsoft Excel 2003 or higher separately in order to print and edit your financial statements. Exercise 4-7 Printing a Balance Sheet 1. Double click on the Print Financial Statements icon in the Financial Reporter folder 2. The following window will be displayed: Figure 4-20 M04_HEAN4508_01_SE_C04.indd 153

25 154 PART ONE General Ledger Financial Statement Print Options Statement Name Fiscal Option Report Type Report As Include DrillDown Information Sort By Select Account Groups by Sort Code Range Select Account Groups Print Destination Enter the name of the financial statement specification file here. The browse button allows you to scroll through your folders and files until you find the correct specification name. The default financial statements are found in x:\program Files\Sage\Sage 300 ERP\GL61A\ENG. Select the year and period for which you would like to print the financial data. You can select any year and fiscal period in your fiscal calendar. Actual: Includes amounts that have been permanently posted to General Ledger accounts. Provisional: Includes amounts that have been permanently posted to the General Ledger accounts as well as amounts that have been provisionally posted. Separate: You can print a financial statement separately for different account segments other than the natural account segment. In the case of Omni Electrical Supplies, you can choose to print separate statements for each division. In order to print separate statements, you must sort your report by any segment other than the natural account segment. Consolidated: You can print a financial statement that includes all account segments. In the case of Omni Electrical Supplies, a consolidated financial statement would include all divisions. Report Options: Prints a page that lists all of the financial statement options that you selected, including the financial statement specification file name, the fiscal year and period, and the report type. This option is available only if you save the report as an Excel document or as an attachment. This option will allow the report to include drilldown capabilities. You can sort your financial statement by account number, segment, or account group. For Omni Electrical Supplies, if you wish to print separate financial statements for each division, you must select Segment and then select any segment in the drop-down list other than the natural account segment. You can also select specific items to be included in the report by defining them in the From and To boxes. This option allows you to print non-sequential account groups. This option lets you further define the accounts to be included on your financial statement. This option allows you to select the destination for the financial statement. This setting overrides the print destination in the Sage 300 ERP desktop. M04_HEAN4508_01_SE_C04.indd 154

26 LESSON FOUR 155 Exercise 4-7, continued 3. Insert the CD that accompanies the textbook 4. Click on the Browse button NOTE The financial statement formats are generally found in x:\program Files\Sage\ Sage 300 ERP\GL61A\ENG, where x is the drive where your Sage 300 ERP program files are installed; however, for this exercise, you will be using the financial statement format on the CD that accompanies this textbook. 5. Click on the drive that contains the CD from the textbook 6. Double click on the Financial Statement Formats folder 7. Double click on quikbal1.xls 8. Select as the year and period under Fiscal Option 9. Accept the rest of the defaults 10. Click on the Preview option on the bottom of the window to print the report on the screen 11. Click Print and the Balance Sheet will be generated in Excel 12. Click the Zoom button to increase the font size of the report 13. Click the Next button to view the next page 14. Click the Close Print Preview button when you have finished viewing the report 15. Click the Close button to exit the Print Financial Statements window Printing a Trial Balance Print a Trial Balance to confirm that you have entered the opening balances correctly and that your general ledger balances. Exercise 4-8 Printing a Trial Balance 1. Double click on the Trial Balance icon in the G/L Reports folder M04_HEAN4508_01_SE_C04.indd 155

27 156 PART ONE General Ledger Exercise 4-8, continued 2. The following window will be displayed: Figure 4-21 Trial Balance Report Formats The trial balance can be printed in seven different report formats depending on the options selected in the G/L Options form: 1. Report A standard trial balance listing the debit and credit amounts for each account selected. 2. Worksheet A standard trial balance listing, plus a worksheet for manual entries. M04_HEAN4508_01_SE_C04.indd 156

28 LESSON FOUR Quantity A standard trial balance listing, plus the quantities and units of measure Report for each account. This option is available only if you selected the Maintain Quantities option on the Account tab of the G/L Options form. 4. Provisional A standard trial balance listing, plus the quantities and units of measure Quantity for each account including any provisionally posted information. This option is available only if you selected the Allow Provisional Posting option on the Posting tab of the G/L Options form and the Maintain Quantities option on the Account tab of the G/L Options form. 5. Provisional A standard trial balance listing with the debit and credit amounts including Included any provisionally posted information. This option is available only if you selected the Allow Provisional Posting option on the Posting tab of the G/L Options form. 6. Provisional A standard trial balance with provisional amounts reported next to the Separate actual amounts. This option is available only if you selected the Allow Provisional Posting option on the Posting tab of the G/L Options form. 7. Provisional A standard trial balance with the amounts including provisionally posted Worksheet amounts plus a worksheet for manual entries. This option is available only if you selected the Allow Provisional Posting option on the Posting tab of the G/L Options form. Exercise 4-8, continued 3. Select Report as the Report Format (this may already be selected as it is the default) 4. Select as the year and period 5. Click Print 6. View the report 7. Close the report when you have finished viewing it 8. Click Close to exit the G/L Trial Balance Report window M04_HEAN4508_01_SE_C04.indd 157