Types of accounting entries generated (advanced)

Record expense/revenue

When you use the expense/revenue entry module, the accounting categories to be impacted are automatically deduced from the information you enter:

• The nature of the entry: a revenue account (Assets) for revenue or an expense account (Liabilities) if it is an expense.
  • The type of the third party linked to the entry: Accounts Receivable Contact, Accounts Payables(A/P), or Account Receivables. By default, the 401 will be used for an expense and the Account Receivables Client for revenue.
• The payment method: Bank Account if the payment arrives directly to your bank account, Bank - Check Deposit for a check pending remittance, Petty Cash for cash, or Online Account for online payment.

Example: Cash purchase of pens for $10

This is an expense, and the category is "purchase of supplies," so the debit account will be Cost of Sales - Inventory Sales. The payment is immediate, and the account used will be Petty Cash since it is paid in cash. Finally, the third-party account is Payables since it is a purchase from a supplier.

Accounting record 1: Commitment entry (expenditure)

Accounting record 2: payment entry (cash)

Payment at a later date

If it is indicated that the payment has not been made at the time the entry is made, a debt or receivable is recorded. This means that the commitment (expense or revenue) has not yet been honored and that any amount remains to be paid:

• Receivable: for an amount debited to a third-party account (class 4).
• Debt: for an amount to the credit of a third-party account.

The payment can be made in several installments, and several documents can be created to record the subsequent payments. It is even possible to enter various installments in advance.

Revenue linked to ticketing

When a transaction is recorded, entries are also generated according to the:

• Payment method: As with a traditional entry.
• Type of transaction: Event, Store, Donations, or Membership

If the default Liabilities accounting categories used are inappropriate, you can link each fare in your ticketing/campaign to a specific category.

Online payments
For the same ticketing, all transactions are grouped by invoice. Thus, if there are ten sales on the invoice, there will not be ten entries in accounting, only one. This choice was made to simplify the readability in accounting and not to create hundreds of entries.

The software will generate a global entry with as many lines as there are types of tickets/campaigns. If you offer memberships and donations, you will have the following:

• An overall total of sales for the period.
• A subtotal of memberships.
• A subtotal of donations.

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