Entering opening balance
Introduction
To enter opening balances in a simplified way, select Finance ➔ Entries ➔ Opening balance. Alternatively,
you can enter the balance sheet opening balances for bank or cash, assets, accounts
payable, accounts receivable, and neutral accounts through Finance ➔ Entries ➔ General journal. For the second method, you need to
know the double entries and accounts involved.
Fields
You can choose to enter the opening balances by Reporting Group, Type or Balance / PL. This
should be done if you need to enter the specific opening balances entries or
avoid incorrect entries to the general accounts.
Debit
This displays the total amount of debit entries defined at
the Debit (EUR) column.
Credit
This displays the total amount of credit entries defined at
the Credit (EUR) column.
Balance
The balance displayed is the difference between the total debit amount
and total credit amount entered. When there is a negative balance, it means that
the total Credit amount is more than the Debit amount.
Reporting
Group
Select a Reporting Group to
display the general ledger accounts by Primary,
Secondary or G/L Number.
Type
Select Type to filter
the different types of general ledger accounts and to enter opening balances by the
specific account type. Leave this option blank to view all accounts
type.
Balance /
PL
Select B/S to
view general ledger accounts that are of balance sheet type or select Profit & Loss to view general ledger accounts
that belongs to profit and loss. Leave this option blank to view all general ledger
accounts.
Journal
number
Type or select a journal numberto create opening balance entries for that
journal.
GL
account
Type or select a general ledger account number that is used as a suspense account for
the opening balance entries.
Date
Type or select
the opening balance date. The general ledger transactions entered for the opening balance
are created with a date that is 1 day earlier. For example, when an opening
balance is created on 1 January 2005, the dates for the openings balance entries
will display as 31 December 2004.
The following are the descriptions for
the column and buttons found in the Opening balance
sheet.
G/L
This displays the
general ledger accounts number and its description.
Debit
(EUR)
Type a debit amount in this column. The currency displayed is the default
currency defined at System ➔ General ➔ Settings ➔ General
settings.
Credit
(EUR)
Type a credit amount in this column. The currency displayed is the default
currency defined at System ➔ General ➔ Settings ➔ General
settings.
Entries
This displays the number of entries created in the respective general
ledger account.
Assets
Click this to define the
details of the opening balances for the assets.
Accounts
receivable
Click this to
define the details of the opening balances for the accounts receivable. You can
allocate the opening balance amount for each debtor.
Accounts
payable
Click this to define the details
of the opening balances for the accounts payable. You can allocate the opening
balance amount for each creditor.
Bank
Click this to define the bank allocation
opening balances details through the bank account in default currency and foreign
currency. Direct entry in the opening balance screen is not allowed when the Bank button is displayed.
Note: This button is enabled only when the general ledger
account is in foreign currency.
Cash
Click this to define the cash
allocation opening balances details through the cash account in default
currency and foreign currency. Direct entry in the opening balance screen is
not allowed when the Cash button is displayed.
Note: This button is enabled only when the general ledger
account is in foreign currency.
CC/CU
Click this to define the details of the opening
balances for the cost center or cost unit.
Note: For
accounts payable and accounts receivable opening balances, the original invoice
date should be defined. This is to ensure that the correct aging of the
accounts payable and accounts receivable is used. More details of the opening balance for the accounts receivable will be displayed when you click Accounts receivable on the right
of the Opening balance sheet.
Block
Before splitting the amount to the different cost units or cost centers, you have to save the opening balance. When saving the opening balance, a general journal entry is created, for the specified amount and G/L that is selected in the entry section. After this, you can use the CC/CU button to split this amount.
When splitting the amount for CC/CU, the following logic is applied:
- When a project code is entered and the project has a default cost center or cost unit, the CC/CU field will be filled with the cost center or cost unit of the project.
- When project code is entered and the project does not have a default cost center or cost unit, the CC/CU field will be filled with the cost center or cost unit of the selected general ledger if the general ledger has a default cost center or cost unit.
- When no project is entered, then the CC/CU field will be filled with the cost center or cost unit of the selected general ledger. If there is no default cost center or cost unit defined for the general ledger, the CC/CU field will be filled with the topmost cost center or cost unit from the cost center or cost unit list of the general ledger.
- When there is no cost center or cost unit in the general ledger list, it will be filled with resource's cost center or cost unit.
This function is intended to split the amount that was entered in the opening balance to the different cost centers or cost units and not for allocating costs. For more information about allocating costs, see Defining cost allocation.
For example, when entering the opening balance, you have defined an amount of 500 euro in G/L 0020. This means that there is 1 line in this general ledger with the default cost center. Now you want to split this amount of 500 euro to the different cost centers, for instance, 10 euro to cost center A, 20 euro to cost center B, and the remaining amount to cost center C. You can do this by creating a general journal entry manually, or via the opening balance application.
For this, click the CC/CU button next to G/L 0020.
On the top left of the screen at Amount, the amount that is in this general ledger is displayed. At Allocated and To be allocated, the portion of this amount that has been allocated to the cost centers and the portion that still has to be allocated will be displayed.
For every cost center, you will need to enter a line.
Buttons
Save
Click this to save
the opening balances.
Close
Click this to exit.
Related documents
Main Category: |
Attachments & notes |
Document Type: |
Online help main |
Category: |
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Security level: |
All - 0 |
Sub category: |
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Document ID: |
12.312.737 |
Assortment: |
Exact Globe+
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Date: |
26-09-2022 |
Release: |
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Attachment: |
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Disclaimer |