Double Entry Accounting System
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I have to design double entry accounting systems as part of the package, Where Do I start?
Tapas Shome System Software Engineer Keen Computer Solutions 1408 Erin Street Winnipeg, Manitoba Canada R3E 2S8 http://www.keencomputer.com www.ias-research.com/blog
May I offer some assistance. (I speak from some level of expertise, I am an accountant). This is actually quite a large undertaking. It is more than just "Adding a value to one column and adding it's inverse to another". There are entries to be made directly to the Nominal Ledger. Enntries to the Bought and Sales Ledgers with the corresponding entries to the Nominal. The ability to make one entry that is posted to several accounts. (Example Adding £100 to the Bought Ledger Control Account and having £50 posted to, say, Expenses and £50 to Fuel Costs). There is also a corresponding entry for VAT (or Whatever your sales tax(es) is called). There are payment entries to be made. Don't forget also that you need Control Accounts (Bought Ledger Control, Sales Ledger Control, Vat Control etc). Some codes are Profit and Loss, some are Balance Sheet. You also have to allow for an Asset register and it's assigned Depreciation Accounts (One being P&L, the other being BalSheet). On top of this there are various legal controls, for example ensuring there can be no single sided entries. Then you have the various flag controls for Periods, Dates, Paid/Unpaid, Held/Released, Invoices/Credits etc. You will need a way to run period ends that clear period totals, but hold the year totals. The same for year end procedures. Then there is the Reporting. Apart from the legally required reports, you will want to have various useful reports for management figures and other administative purposes. Then there is the requirement to have Archiving procedures, and other useful housekeeping chores. Then, once you have planned all this, there is the actual development of the project, which will be quite large in terms of time/man hours/money. Alongside this you will need to ensure security provisions and access controls. Seriously, if you are not 'hot' on accountancy, get hold of an accountant at the planning and developing stages, and ask questions, and keep asking them. Best of luck.
------------------------------------ I will never again mention that I was the poster of the One Millionth Lounge Post, nor that it was complete drivel. Dalek Dave CCC League Table Link CCC Link[^]
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You scare me with your consistency... :) Clickey
I wasn't, now I am, then I won't be anymore.
What scares me is that: a) you found that link and b) it was an answer to exactly the same question by the same poster.
I have CDO, it's OCD with the letters in the right order; just as they ruddy well should be
Forgive your enemies - it messes with their heads
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Hey let's just leave the live porcupines out of this! Don't they have enough on their plate without having to deal with being crammed down your trousers?
¡El diablo está en mis pantalones! ¡Mire, mire! SELECT * FROM User WHERE Clue > 0 0 rows returned Save an Orange - Use the VCF! Personal 3D projects Just Say No to Web 2 Point Blow
Sometimes, when dealing with those who don't listen, porcupines are the only sane solution.
I have CDO, it's OCD with the letters in the right order; just as they ruddy well should be
Forgive your enemies - it messes with their heads
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May I offer some assistance. (I speak from some level of expertise, I am an accountant). This is actually quite a large undertaking. It is more than just "Adding a value to one column and adding it's inverse to another". There are entries to be made directly to the Nominal Ledger. Enntries to the Bought and Sales Ledgers with the corresponding entries to the Nominal. The ability to make one entry that is posted to several accounts. (Example Adding £100 to the Bought Ledger Control Account and having £50 posted to, say, Expenses and £50 to Fuel Costs). There is also a corresponding entry for VAT (or Whatever your sales tax(es) is called). There are payment entries to be made. Don't forget also that you need Control Accounts (Bought Ledger Control, Sales Ledger Control, Vat Control etc). Some codes are Profit and Loss, some are Balance Sheet. You also have to allow for an Asset register and it's assigned Depreciation Accounts (One being P&L, the other being BalSheet). On top of this there are various legal controls, for example ensuring there can be no single sided entries. Then you have the various flag controls for Periods, Dates, Paid/Unpaid, Held/Released, Invoices/Credits etc. You will need a way to run period ends that clear period totals, but hold the year totals. The same for year end procedures. Then there is the Reporting. Apart from the legally required reports, you will want to have various useful reports for management figures and other administative purposes. Then there is the requirement to have Archiving procedures, and other useful housekeeping chores. Then, once you have planned all this, there is the actual development of the project, which will be quite large in terms of time/man hours/money. Alongside this you will need to ensure security provisions and access controls. Seriously, if you are not 'hot' on accountancy, get hold of an accountant at the planning and developing stages, and ask questions, and keep asking them. Best of luck.
------------------------------------ I will never again mention that I was the poster of the One Millionth Lounge Post, nor that it was complete drivel. Dalek Dave CCC League Table Link CCC Link[^]
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May I offer some assistance. (I speak from some level of expertise, I am an accountant). This is actually quite a large undertaking. It is more than just "Adding a value to one column and adding it's inverse to another". There are entries to be made directly to the Nominal Ledger. Enntries to the Bought and Sales Ledgers with the corresponding entries to the Nominal. The ability to make one entry that is posted to several accounts. (Example Adding £100 to the Bought Ledger Control Account and having £50 posted to, say, Expenses and £50 to Fuel Costs). There is also a corresponding entry for VAT (or Whatever your sales tax(es) is called). There are payment entries to be made. Don't forget also that you need Control Accounts (Bought Ledger Control, Sales Ledger Control, Vat Control etc). Some codes are Profit and Loss, some are Balance Sheet. You also have to allow for an Asset register and it's assigned Depreciation Accounts (One being P&L, the other being BalSheet). On top of this there are various legal controls, for example ensuring there can be no single sided entries. Then you have the various flag controls for Periods, Dates, Paid/Unpaid, Held/Released, Invoices/Credits etc. You will need a way to run period ends that clear period totals, but hold the year totals. The same for year end procedures. Then there is the Reporting. Apart from the legally required reports, you will want to have various useful reports for management figures and other administative purposes. Then there is the requirement to have Archiving procedures, and other useful housekeeping chores. Then, once you have planned all this, there is the actual development of the project, which will be quite large in terms of time/man hours/money. Alongside this you will need to ensure security provisions and access controls. Seriously, if you are not 'hot' on accountancy, get hold of an accountant at the planning and developing stages, and ask questions, and keep asking them. Best of luck.
------------------------------------ I will never again mention that I was the poster of the One Millionth Lounge Post, nor that it was complete drivel. Dalek Dave CCC League Table Link CCC Link[^]
Wow! This is why I am not an accountant. I had no idea that all that would be involved.
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You could start by doing some google searches on the topic. As well, this is really a question and not a general lounge topic. It would be good to post it in the appropriate place for answers. (BTW: It totally pisses me off that we have 5cm of snow in Calgary and you don't have any yet...) BTW... You haven't learned anything on the topic since March? That's when you posted the question the first time... Clickey! What kind of research have you done in the meantime?
I wasn't, now I am, then I won't be anymore.
PogoboyKramer wrote:
since March
Dang I cannot remember what happened this morning!
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May I offer some assistance. (I speak from some level of expertise, I am an accountant). This is actually quite a large undertaking. It is more than just "Adding a value to one column and adding it's inverse to another". There are entries to be made directly to the Nominal Ledger. Enntries to the Bought and Sales Ledgers with the corresponding entries to the Nominal. The ability to make one entry that is posted to several accounts. (Example Adding £100 to the Bought Ledger Control Account and having £50 posted to, say, Expenses and £50 to Fuel Costs). There is also a corresponding entry for VAT (or Whatever your sales tax(es) is called). There are payment entries to be made. Don't forget also that you need Control Accounts (Bought Ledger Control, Sales Ledger Control, Vat Control etc). Some codes are Profit and Loss, some are Balance Sheet. You also have to allow for an Asset register and it's assigned Depreciation Accounts (One being P&L, the other being BalSheet). On top of this there are various legal controls, for example ensuring there can be no single sided entries. Then you have the various flag controls for Periods, Dates, Paid/Unpaid, Held/Released, Invoices/Credits etc. You will need a way to run period ends that clear period totals, but hold the year totals. The same for year end procedures. Then there is the Reporting. Apart from the legally required reports, you will want to have various useful reports for management figures and other administative purposes. Then there is the requirement to have Archiving procedures, and other useful housekeeping chores. Then, once you have planned all this, there is the actual development of the project, which will be quite large in terms of time/man hours/money. Alongside this you will need to ensure security provisions and access controls. Seriously, if you are not 'hot' on accountancy, get hold of an accountant at the planning and developing stages, and ask questions, and keep asking them. Best of luck.
------------------------------------ I will never again mention that I was the poster of the One Millionth Lounge Post, nor that it was complete drivel. Dalek Dave CCC League Table Link CCC Link[^]
Dalek Dave wrote:
You also have to allow for an Asset register and it's assigned Depreciation Accounts (One being P&L, the other being BalSheet).
Seriously though, you accountants just made all this shit up so it would seem like it was more complicated than adding columns in excel, just so we would hire more accountants, right?
He said, "Boy I'm just old and lonely, But thank you for your concern, Here's wishing you a Happy New Year." I wished him one back in return.
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May I offer some assistance. (I speak from some level of expertise, I am an accountant). This is actually quite a large undertaking. It is more than just "Adding a value to one column and adding it's inverse to another". There are entries to be made directly to the Nominal Ledger. Enntries to the Bought and Sales Ledgers with the corresponding entries to the Nominal. The ability to make one entry that is posted to several accounts. (Example Adding £100 to the Bought Ledger Control Account and having £50 posted to, say, Expenses and £50 to Fuel Costs). There is also a corresponding entry for VAT (or Whatever your sales tax(es) is called). There are payment entries to be made. Don't forget also that you need Control Accounts (Bought Ledger Control, Sales Ledger Control, Vat Control etc). Some codes are Profit and Loss, some are Balance Sheet. You also have to allow for an Asset register and it's assigned Depreciation Accounts (One being P&L, the other being BalSheet). On top of this there are various legal controls, for example ensuring there can be no single sided entries. Then you have the various flag controls for Periods, Dates, Paid/Unpaid, Held/Released, Invoices/Credits etc. You will need a way to run period ends that clear period totals, but hold the year totals. The same for year end procedures. Then there is the Reporting. Apart from the legally required reports, you will want to have various useful reports for management figures and other administative purposes. Then there is the requirement to have Archiving procedures, and other useful housekeeping chores. Then, once you have planned all this, there is the actual development of the project, which will be quite large in terms of time/man hours/money. Alongside this you will need to ensure security provisions and access controls. Seriously, if you are not 'hot' on accountancy, get hold of an accountant at the planning and developing stages, and ask questions, and keep asking them. Best of luck.
------------------------------------ I will never again mention that I was the poster of the One Millionth Lounge Post, nor that it was complete drivel. Dalek Dave CCC League Table Link CCC Link[^]
With all that is involved, doesn't it beg the question why they aren't considering buying some existing software (I'm of course assuming that you can get such software) as opposed to paying someone to re-invent the wheel?
¡El diablo está en mis pantalones! ¡Mire, mire! SELECT * FROM User WHERE Clue > 0 0 rows returned Save an Orange - Use the VCF! Personal 3D projects Just Say No to Web 2 Point Blow
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May I offer some assistance. (I speak from some level of expertise, I am an accountant). This is actually quite a large undertaking. It is more than just "Adding a value to one column and adding it's inverse to another". There are entries to be made directly to the Nominal Ledger. Enntries to the Bought and Sales Ledgers with the corresponding entries to the Nominal. The ability to make one entry that is posted to several accounts. (Example Adding £100 to the Bought Ledger Control Account and having £50 posted to, say, Expenses and £50 to Fuel Costs). There is also a corresponding entry for VAT (or Whatever your sales tax(es) is called). There are payment entries to be made. Don't forget also that you need Control Accounts (Bought Ledger Control, Sales Ledger Control, Vat Control etc). Some codes are Profit and Loss, some are Balance Sheet. You also have to allow for an Asset register and it's assigned Depreciation Accounts (One being P&L, the other being BalSheet). On top of this there are various legal controls, for example ensuring there can be no single sided entries. Then you have the various flag controls for Periods, Dates, Paid/Unpaid, Held/Released, Invoices/Credits etc. You will need a way to run period ends that clear period totals, but hold the year totals. The same for year end procedures. Then there is the Reporting. Apart from the legally required reports, you will want to have various useful reports for management figures and other administative purposes. Then there is the requirement to have Archiving procedures, and other useful housekeeping chores. Then, once you have planned all this, there is the actual development of the project, which will be quite large in terms of time/man hours/money. Alongside this you will need to ensure security provisions and access controls. Seriously, if you are not 'hot' on accountancy, get hold of an accountant at the planning and developing stages, and ask questions, and keep asking them. Best of luck.
------------------------------------ I will never again mention that I was the poster of the One Millionth Lounge Post, nor that it was complete drivel. Dalek Dave CCC League Table Link CCC Link[^]
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Wow! This is why I am not an accountant. I had no idea that all that would be involved.
And that is just for a very simple accounting system. You should see what happens once you start adding order control, budgeting, job-costing, payroll, contracting ledger, etc... There is a reason that accountants earn their money. (And all this is just basic bookkeeping, once you start getting involved with corporation tax, forward buying, FOREX, capital gains etc you start running out of aspirin to ease the brain-aching! :) )
------------------------------------ I will never again mention that I was the poster of the One Millionth Lounge Post, nor that it was complete drivel. Dalek Dave CCC League Table Link CCC Link[^]
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Dalek Dave wrote:
You also have to allow for an Asset register and it's assigned Depreciation Accounts (One being P&L, the other being BalSheet).
Seriously though, you accountants just made all this shit up so it would seem like it was more complicated than adding columns in excel, just so we would hire more accountants, right?
He said, "Boy I'm just old and lonely, But thank you for your concern, Here's wishing you a Happy New Year." I wished him one back in return.
No, you voted for Politicians to make the tax laws so complicated that accountants need to do all this :)
------------------------------------ I will never again mention that I was the poster of the One Millionth Lounge Post, nor that it was complete drivel. Dalek Dave CCC League Table Link CCC Link[^]
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No, you voted for Politicians to make the tax laws so complicated that accountants need to do all this :)
------------------------------------ I will never again mention that I was the poster of the One Millionth Lounge Post, nor that it was complete drivel. Dalek Dave CCC League Table Link CCC Link[^]
Dalek Dave wrote:
No, you voted for Politicians to make the tax laws so complicated that accountants need to do all this
Not me. I voted for politicians so that they can claim multiple allowances for doing very little, and then tell me that I'm a hypocritical middle class child molesting Daily Mail reader.
I have CDO, it's OCD with the letters in the right order; just as they ruddy well should be
Forgive your enemies - it messes with their heads
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Two sets of books is what lands you up in prison! :) Double entry is so called because for every entry on the left side there is a corresponding entry on the right. Example: Credit Petrol Costs £30 Debit Bank Account £30 or... Credit Purchase Ledger Account "Joe Bloggs Contruction" £117.50 Debit Purchase Ledger Control Balance £117.50 Credit Debit Purchase Ledger Control Account £117.50 Debit Sundry Items £100.00 Debit Vat Control £17.50 Credit Job Ledger Account "Job21" £100 Debit Job Ledger Control £100 This second item could be one entry on a system but which produces seven postings.
------------------------------------ I will never again mention that I was the poster of the One Millionth Lounge Post, nor that it was complete drivel. Dalek Dave CCC League Table Link CCC Link[^]
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With all that is involved, doesn't it beg the question why they aren't considering buying some existing software (I'm of course assuming that you can get such software) as opposed to paying someone to re-invent the wheel?
¡El diablo está en mis pantalones! ¡Mire, mire! SELECT * FROM User WHERE Clue > 0 0 rows returned Save an Orange - Use the VCF! Personal 3D projects Just Say No to Web 2 Point Blow
There are many options available, from very simple to highly industry specialised. They range from a few hundred Pounds to, well, £Millions.
------------------------------------ I will never again mention that I was the poster of the One Millionth Lounge Post, nor that it was complete drivel. Dalek Dave CCC League Table Link CCC Link[^]
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Two sets of books is what lands you up in prison! :) Double entry is so called because for every entry on the left side there is a corresponding entry on the right. Example: Credit Petrol Costs £30 Debit Bank Account £30 or... Credit Purchase Ledger Account "Joe Bloggs Contruction" £117.50 Debit Purchase Ledger Control Balance £117.50 Credit Debit Purchase Ledger Control Account £117.50 Debit Sundry Items £100.00 Debit Vat Control £17.50 Credit Job Ledger Account "Job21" £100 Debit Job Ledger Control £100 This second item could be one entry on a system but which produces seven postings.
------------------------------------ I will never again mention that I was the poster of the One Millionth Lounge Post, nor that it was complete drivel. Dalek Dave CCC League Table Link CCC Link[^]
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Dalek Dave wrote:
No, you voted for Politicians to make the tax laws so complicated that accountants need to do all this
Not me. I voted for politicians so that they can claim multiple allowances for doing very little, and then tell me that I'm a hypocritical middle class child molesting Daily Mail reader.
I have CDO, it's OCD with the letters in the right order; just as they ruddy well should be
Forgive your enemies - it messes with their heads
That does beg the question: are you a hypocritical middle class child molesting Daily Mail reader? If so, please stop immediately!
¡El diablo está en mis pantalones! ¡Mire, mire! SELECT * FROM User WHERE Clue > 0 0 rows returned Save an Orange - Use the VCF! Personal 3D projects Just Say No to Web 2 Point Blow
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There are many options available, from very simple to highly industry specialised. They range from a few hundred Pounds to, well, £Millions.
------------------------------------ I will never again mention that I was the poster of the One Millionth Lounge Post, nor that it was complete drivel. Dalek Dave CCC League Table Link CCC Link[^]
Right, so why would they pay to write yet another one? It just seems like a lot of expense for very little gain, unless they have some really weird set of requirements.
¡El diablo está en mis pantalones! ¡Mire, mire! SELECT * FROM User WHERE Clue > 0 0 rows returned Save an Orange - Use the VCF! Personal 3D projects Just Say No to Web 2 Point Blow
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That does beg the question: are you a hypocritical middle class child molesting Daily Mail reader? If so, please stop immediately!
¡El diablo está en mis pantalones! ¡Mire, mire! SELECT * FROM User WHERE Clue > 0 0 rows returned Save an Orange - Use the VCF! Personal 3D projects Just Say No to Web 2 Point Blow
Yeah, if it's true then it's disgusting, and I would have nothing more to do with him! He should read something better!
------------------------------------ I will never again mention that I was the poster of the One Millionth Lounge Post, nor that it was complete drivel. Dalek Dave CCC League Table Link CCC Link[^]
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Yeah, if it's true then it's disgusting, and I would have nothing more to do with him! He should read something better!
------------------------------------ I will never again mention that I was the poster of the One Millionth Lounge Post, nor that it was complete drivel. Dalek Dave CCC League Table Link CCC Link[^]
Poor Pete - first he finds out that Carlo is two timing him, then we find out he has issues with porcupines and his trousers, presumably some weird animal fetish, now he comes out as a Daily Mail reader! What's next?
¡El diablo está en mis pantalones! ¡Mire, mire! SELECT * FROM User WHERE Clue > 0 0 rows returned Save an Orange - Use the VCF! Personal 3D projects Just Say No to Web 2 Point Blow
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Right, so why would they pay to write yet another one? It just seems like a lot of expense for very little gain, unless they have some really weird set of requirements.
¡El diablo está en mis pantalones! ¡Mire, mire! SELECT * FROM User WHERE Clue > 0 0 rows returned Save an Orange - Use the VCF! Personal 3D projects Just Say No to Web 2 Point Blow
Two things spring to mind. Firstly it could be a security issue. They do not want an off the peg solution because they do not want the original developers to have any kind of access. (Paranoid, but possible) Secondly it could be that they want it tailor made to connect to an existing system for reporting or data input reasons that a ready-made package may not be able to handle.
------------------------------------ I will never again mention that I was the poster of the One Millionth Lounge Post, nor that it was complete drivel. Dalek Dave CCC League Table Link CCC Link[^]