HiFinance
4
SECTION
6.3.3.2 - GENERAL LEDGER JOURNALS (REVERSING)
USAGE: To enter shift balances from one accounting period
to another. Normally, HiFinance will not let you enter Journals in mixed
periods. This is required, so that the Trial Balance will balance in each
period. If, however, you wish to shift a balance to another accounting period,
eg to apportion large bills to the date they are due rather than the date they
were paid, you would have to enter a NORMAL JOURNAL (see SECTION 6.3.3.1) removing the balance from the current
period and then enter another identical (but reversed) NORMAL JOURNAL in
the new period. This is tedious and can lead to data entry errors. The REVERSING
JOURNALS PROGRAM allows you to enter the first part, as if you were
entering a NORMAL JORNAL, but you are also asked for the date of the
revering entry. When you choose to update, HiFinance will update both the
reversal and re-entry for you, at the appropriate dates.
Batch type systems, that require an end-of-month
procedure would normally update the first half of the transaction and set a
flag to update the second half (the reversal) when the end-of-month is run.
Because HiFinance is an “instant update” system, with no formal end-of-month
procedure, the whole transaction proceeds immediately. So, a two line reversing
journal would automatically generate all four transactions, at once.
DISCUSSION: When you start the REVERSING JOURNALS program, the computer will
initially ask:
POST JOURNALS FROM [30/03/2006] MARCH 2006
This is the date you wish to apply the journal.
Enter a valid date and press <Enter> or <F10>.
Next you will be asked:
TO [30/01/2006] JANUARY 2006
This is the date you wish to reverse to. The date
must also be a valid date and must be in a different accounting period to the
first date. Neither dates may be in Last-Year.
The procedure for entering transactions is the same
as NORMAL JOURNAL (see SECTION 6.3.3.1)
except that no dates are asked for, because you have already entered it, above.
As with NORMAL JOURNALS, you cannot exit the
sequence until the total of the journal is zero.
At each point you may press <ESC> to abort the line or the whole transaction.
If you have entered at least one line of a dissected
transaction, you may press <F5> (at the ACCOUNT field) to enter the REVIEW
function. This function allows you to view your entries, and if necessary
change or delete a line. To move between lines use <CsrUp>, <CsrDn>, <PgUp>, <PageDn>, <Home> and <End>. If there are a
particularly large number of lines, you can also use <F9> to go to a specific line number. To modify a line,
make sure it is displayed in full in the bottom window and press <F3>. You can then re-enter any of the details. To leave
the REVIEW function, press <ESC> or <F10>, once.
To finally update your transaction, press <F10>. <F10> will not be available
unless there is at least one line entered and the BALANCE is zero.
Files updated by the General Ledger Journal program:
General
Ledger master-file: Each account balance
is updated in the chosen period with the value of each line.
General
Ledger transaction-file: A
transaction is posted for each transaction line with the POST JOURNALS FROM date.
Then the whole process is repeated with exactly the
reversed values applied to the same accounts at the TO date, effectively shifting balances from the FROM period to the TO period.
