Setup General Ledger

Use this screen to set up general ledger information for your business. The Setup General Ledger screen has been divided into several categories, each containing important settings. Select the category on the left side of the screen, and the settings for that section will appear on the right.

Keep in mind that not all sections may apply to your business. In addition, the sections in the setup list may be hidden based on the features included with your license and/or general options not chosen.

When checked, the general ledger features of the application will be enabled. Uncheck to hide these features and any others dependent upon general ledger capabilites. You must close and re-open the software to have these changes take effect.

Select the default method of accounting that is to be used when creating accounting reports in ManageMore.

Select this option to post all transactions to the general ledger immediately upon creation. This will allow the user to run up-to-the-minute financial statements. However, very large companies with high transaction volumes may consider leaving this option unchecked and post to the general ledger on a periodic basis.

ManageMore allows the business owner the ability to run Financial Reports (e.g. Profit and Loss, Balance Sheet) on both the Cash basis, or the Accrual Basis. Although it is not a "Generally Accepted Accounting Principle," the Cash-Based method of accounting is very popular among U.S. small businesses. This is primarily due to tax regulations, which allow this method, and the thought that as a business owner, "I do not want to pay taxes on any money I haven't collected yet!"

Although the system is always recording all transactions as they happen, in accrual mode, the system is capable of computing the Cash-Basis effect of any transaction, as of a certain date. This only applies to Sales Invoices and Purchase Receipts, which may be paid at a later date. The Cash-Basis effect of a transaction is calculated as follows:

Thus, the transaction is considered for general ledger effect as the cash is collected or paid on the transaction. If partial payments are made to the transaction, the cash basis effect may result in a slight rounding difference, usually no more than 0.01. Over the course of a financial report, this rounding difference will normally balance out, and should not exceed one currency unit.

Select this option to use a fiscal period length other than monthly, or if closing fiscal periods is desired.

Click this button to setup and/or close fiscal years and periods. This button is dependent upon the Allow Fiscal Periods check box.

Enter or select a date through which the books should be marked as closed. This date must be a period end date.

Check the box to allow letters and numbers, or leave blank to allow only numbers.

The length of the second segment of the GL Account. This field is accessible when alphanumeric GL accounts are not used.

The length of the third segment of the GL Account. This field is accessible when alphanumeric GL accounts are not used.

The GL Account segments can represent anything you want. For example, you can use the segments to represent subaccounts, departments, divisions, etc. However, this is normally used only by very large companies. For most small to medium businesses, a four or five-digit account number format is appropriate. Check with your accountant to find out what kind of account number format your company should use. Note that it is not necessary to include a location inside your account number. Financial reports may be run for a specific location only, without having to include the location in the account number.

Select the titles for each of the basic types of financial statements the program will create.



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