SELECT GENERAL LEDGER THEN SELECT
POST JOURNAL
ENTRIES
This screen found in
ADVANTAGE Salon Software
and Spa Software is where you would enter journal entries that are not
automatically created by the accounts payable or payroll functions.
You will notice that the General Journal is the default journal to
enter journal entries. You can select another
journal that you setup to enter transactions in if you want. There is a selection for accounting method type to
select either this is a cash or accrual type of accounting transaction. The accrual transaction will go into the GL
transactions database while the cash type transactions will go into the GL cash
transactions database.
The date of the GL transaction will default to the current date. You can change the date to any date in the future
or you can back date the transaction to the last time you closed the general ledger
module. The closed date is also displayed on
this screen.
You chose to enter a standard journal entry or a recurring entry. If you select a recurring entry you can select
from a list of previously setup journal entries. To
add line items to your journal entry just select the account you want to post to and enter
the appropriate debit or credit.
All journal entries must balance out to zero. That means that the debits must equal the credits. Select the post button to save the transaction or
you can choose the save as recurring button to use this transaction again.
CASH Basis vs. ACCRUAL Basis
This accounting
software system can report on both cash and accrual basis for
its accounting reports. Essentially, you can
run either type of report at anytime. The tax
regulations let businesses figure their taxable income on a cash basis, rather than on the
accrual basis. Cash basis accounting can
result in the postponing the payment of income tax, although it ordinarily does not reduce
the total amount of income tax over a period of years.
Cash basis means that you recognize revenue the time you receive the revenue or the
time when you pay the expense. Accrual basis
means that you recognize the expense when you actual receive the bill not when you pay it
or recognize the revenue when you bill for your services not when you get paid for them.
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