PEACHTREE ACCOUNTING

Introduction
This chapter presents relevant information on Peachtree accounting. Peachtree
accounting is about the most popular and widely used accounting package with the
special feature of flexibility that made it relevant in processing financial transactions
in the public and private sectors (i.e. relevant to profit and non-profit making
organizations). The chapter highlights the following: Meaning of Peachtree
accounting, features of Peachtree accounting. Basic steps in using Peachtree
accounting, Account reconciliation in Peachtree and Report generation.
Meaning of Peachtree Accounting
Peachtree accounting software is a complete accounting solution package with
robust resources to perform accounting and financial functions. It is one of the most
popular and generally accepted accounting packages that is flexible and possess
peculiar characteristics that enables both profit and nonprofit making organizations
build their own charts of accounts and process their financial transactions, prepare
and present their financial statements electronically.
As earlier stated in chapter one, the Peachtree accounting software comes in
different flavors depending on the number of users. Peachtree Pro. Peachtree
Complete, Peachtree Premium and Peachtree Quantum. Buyers can choose from
among several features, depending on what they specifically require. Of these,
Peachtree Premium and Peachtree Quantum also have Accountants' Editions, which
can prove to be of great use for professional accountants.

Features of Peachtree Accounting

i.Cost Effectiveness: It is affordable to the user and save cost.
ii. Comprehensiveness: It has various configurations that satisfy users' requirements.
iii.Reliability: It has been used by many organizations for a considerable length of
time with proven degree of-success.
Flexibility: Fairly easy to be amended, modified and upgraded meet users need.
Portability: Suitable for use with any computer system and wit optional features for
upgrading the operating system.
vi.Interfacing: Able to link conveniently with existing system and othe application
packages like excel, word etc.
vii. Storage: Capacity for extensive storage facility with backup processed
Information.
viii.
Timing: The Process time/speed is very high.
ix. Peripherals: The input and output hardware devices required by the Peachtree
readily conform to existing modality.
xi. Documentation: The procedures for input, processing and output of documents
make reference easy (user guide manual).

Basic Steps in Using Peachtree Accounting

1. SETTING UP A NEW COMPANY
Creating a Company
Peachtree walks you through the process of creating a new company. This makes it
easier to get a new company started. You only need to enter relevant information to
initially set up your company. This information includes the chart of accounts, your
accounting method, your posting method, and your accounting periods. After you
complete New Company

up your default information, data records, and beginning balances for the following:
General Leger
Accounts Payable
Accounts Receivable
Payroll
Inventory items
Jobs
SET UP A NEW COMPANY
> Click Start button
> Click on program, select and click Peachtree Accounting
Note: Peachtree Window dialog box will display
Click on set up a new company
Peachtree new company set up wizard/dialog appears. Click next
> Type the Company information e.g. Company Names, Addresses, City, State etc.
Click Next-,
Select a chart of Account e.g. set up a new company on using Samples, Copy Chart
from existing Peachtree Accounting Company etc
Click next and select chart of accounts as related to your business line
> Select accounting method e.g. Accrual or cash and Click next
> Select posting method e.g. Real Time or Batch and Click Next
> Select Accounting period and click next
Select the monthly accounting periods e.g. Jan-Dec 2011. The first month of Data
entry e.g. Jan. 2011, first year 2011 and click next. of entering payroll select 4
> Click finish.

Once you open Peachtree and a company, you have access to all Peachtree menu
options, (if you don't have a company open, you will ha limited menu access.). The
following menus are available in Peachtree.
The Peachtree Menu Options:
File: Allows you to open an existing company, create a new company print, print
preview, set up the printed page, backup and restore compan data, import or export
files, edit payroll tax tables, and exit Peachtree.
Edit: Allows you to cut, copy, and paste objects from one place to anothe via the
Windows clipboard. You can check spelling, change record ID edit or delete records,
select or save memorized transactions, and displa accounting behind the Screens for
a selected transaction. In addition, you can add or remove lines when you are
working with transactions. The options on this menu vary, depending on which area
of Peachtree you ar using. In addition, you can send e-mail to customers and vendors
as well a visit their Web-sites by using the options on this.
Maintain: Allows you to enter, view, or edit required information for your company's
customers, vendors, employees, and sales reps. chart of accounts, inventory items,
item prices, and job cost items. You can also eds company information, set up
memorized transactions, enter sales tax codes users/passwords, and default
parameters for how you want your accounting handled.
Tasks: Allows you to enter quotes, sales orders, sales invoices, receipts purchase
orders, purchase invoices, payments, write checks, time an expense tickets, payroll
transactions, and General Journal entries. You can also calculate financial charges,
select bills to pay, select employees to pay, make inventory adjustments, reconcile
bank statements, void checks, enter transaction- items, post and un-post
information to the general ledger (balance forward), change the accounting period,
close the fiscal and payroll years, and purge inactive items and old transactions.
Analysis: Allows you to view company to analyze cash flow, payments due to
vendors, and financial
Options: Allows you to set global preferences for a company and to change the
system data. You can turn on (or off) the status bar, Navigation aid, and start Screen.
You can also set up an internet connection within Peachtree.
Reports: Allows you to get a list of reports for printing or viewing. You can also
create and edit the format for reports, forms, and financial statement.
Services: Allows you to access and synchronize with various Peachtree Web
resources online and manage and process downloaded Web transactions. You can
also view Peachtree Today, set up online credit card authorization, or check for
Peachtree product updates.
Window: Allows you decide how you want your desktop to look.
Help: Allows you to open windows of context-sensitive help, run a tutorial for
Peachtree display data file statistics for the currently opened company, and see
which version of Peachtree is currently installed. You can see information on
ordering checks or invoice forms for printing. You can access and print a technical
support request form for relaying any problems,quest as well as access
Peachtree information on the Web. Registration information is also accessed
through the help menu.
General Leger
The general ledger is the heart of any accounting system. All of the transactions you
process in your business eventually get posted or stored in the set of accounts
known as your general ledger. This set of accounts in called the chart of accounts.
You can think of these accounts as holding places for money either money that you
have in hand or money you can reasonably expect to receive or pay. Each time you
post a transaction Peachtree makes an entry to at least two accounts in your general
ledger One of these accounts is called a credit and one a debit. Once you've selected
a chart of accounts and set up your company, most of these accounting activities
take place behind the scenes. As a true double-entry accounting system, Peachtree
make sure the credits always equal the debits so your books stay in balance and
whenever you or your accountant needs to see that accounting activities, it's all
there, stored in your general ledger.
Peachtree provides full accounting functionality with innovative features. For
example, you can create memorized transactions. With memorized ansactions, you
can enter and save common transactions for later use.
redits = Debits
Record recurring general journal entries. This saves you time because you don't have
to repeatedly enter similar transactions, such as depreciation.
Reverse general journal entries. Use this feature, among other reasons to show the
expenses current by your company as reflected on a monthly financial statement.
For example, you may want to include payroll tax liabilities in December but enter
the paycheck itself in January.
Keep two years open at once because the program does not required you to rush
into a year-end close at the end of the year. This provides you the option to continue
working in another fiscal year, even though you have not cleared the previous year's
data.
Use the standard default financial statements, or customize them. You can generate
customized reports that suit a variety of purposes and fulfill specific needs of your
business.
2. WORKING WITH CHART OF ACCOUNTS
Setting up General Ledger
Before you begin recording you company's activity, you must set up general ledger
information, including your chart of accounts.
ACCOUNTS TYPES
You can choose from several different account types while setting up a new account
in Peachtree. The account type you select determines where the account appears on
financial statements and how its amounts are handled at fiscal year end. Account
type codes also can be used as selection criteria for some reports. Below are the
Peachtree account types you can choose from:
Accounts Payable: Represents balances owed to vendors for goods, supplies, and
services purchased on open account. Accounts payable are used in accrual-based
accounting, are generally due in 30 or 60 days, and do not bear interest. Select this
account type if you are setting up one Creditors accounts or credit card (purchase)
accounts.
Accounts Receivable: Represents amounts owed by customers for items or services
sold to them when cash is not received at the time of sale Typically, accounts
receivable are recorded on sales invoices that include terms of payment. Accounts
receivable are used in accrual-based accounting. Select this account type if you are
setting up accrued income that customers owe.
Accumulated Depreciation: This is a contra asset account used to
depreciable (fixed) assets such as Buildings, Machinery, and Equipment. The
depreciable basis (expense) is the difference between an asset's cost and its
estimated salvage value. Recording depreciation is a way to indicate that assets have
declined in service potential. Accumulated depreciation represents total
depreciation taken to date on the assets. Select this account type if you are setting
up depreciation accounts for known fixed assets.
Cash: Represents deposits in banks available for current operations, plus cash on
hand consisting of currency, un-deposited checks, drafts, and money orders. Select
this account type if you are setting up bank checking accounts, petty cash accounts,
money market accounts, money market accounts, and certificates of deposits (CDs).
Cost of Sales: Represents the known cost to your business for items of services when
sold to customers. Cost of sales (also known as cost of goods sold) for inventory
items are computed based on the inventory costing method (FIFO, or Average Cost).
Select this account type if you are setting up cost-of-goods-sold accounts to be used
when selling inventory items.
Equity- Doesn't Close: Represents equity that is carried forward from year to year
(like common stock). Equity is the owner's claim against the assets or the owner's
interest in the entity. These types of accounts are typically found in corporation-type
businesses. Select this account type if you are a corporation and want to record
common stock or other equity intended as owner investment.
Equity - Gets Closed: Represents equity that is zeroed out at the end of the
fiscal year with the amounts moved to the retained earnings account. Equity, also
known as capital or net worth, is owners' (partners' or stockholders') claims against
assets they contributed to the business. Select this account type if your business is a
proprietorship and you want to record dividends paid to partners or if you are a
corporation and want to record dividends paid to stockholders.
Equity Retained Earning: Represents the earned capital of the enterprise. Its balance
is the cumulative, lifetime earnings of the company that have not been distributed to
owners. You can have only one retained earnings account in Peachtree.
Expenses: Represents the costs and liabilities incurred to produce revenues. The
assets surrendered or consumed when serving customers measure expenses. If
income exceeds expenses, net income results; if expenses exceed income, the
business is said to be operating at a net loss. Select this account type if you are
setting up accounts such as operation expense, supplies expense, salary and wage
expense, travel expense, or charity expense.
Fixed Assets: Represents property, plant, or equipment assets that are acquired for
use in a business rather than for resale. They are called fixed assets because they are
to be used for long periods of time, select this account type if you are setting up any
of the following fixed assets:
Land: Property, storage space, or parking lots.
Buildings: Structures in which the business is carried out.
Machinery: Heavy equipment used to carry out business operations; for example,
you may want to set up any of the following: store equipment or fixtures, factory
equipment or fixtures, office equipment or fixture (including autos, trucks and vans
used primarily in make deliveries to customers).
Income: Income (also known as revenue) represents the inflow of assets
resulting from the sale of products and services to customers. If income exceeds
expenses, net income results; if expenses exceed income, the business is said to be
operating at a net loss. Select this account type if you are setting up sales revenue
accounts- It is common practice to create different income accounts for each
category of revenue that you want to trace (For example, retail income, service
income interest income, and so on).
Inventory: Represents the quantity (value) of goods on hand and available for sale at
any given time. Inventory is considered to be an asset that is purchased,
manufactured (or assembled), and sold to customers for revenue. Select this account
type If you are setting up assets that are intended for resale. It is common practice to
create different accounts for each category of inventory that you want to track (for
example, retail inventory, raw materials inventory, work in progress inventory
finished goods inventory, and so on).
Long Term Liabilities: Represents those debts are not due for a relatively
long period of time, usually more than one year. Portions of long-term loans due and
notes payable with maturity dates at least one year or more beyond the current
balance sheet date are considered to be long-term liabilities. Select this account type
if you are setting up long-term liabilities (for example, long-term loans and non-
current notes payable).
Other Assets: Represents those assets that are considered nonworking
capital and that are not due for a relatively long period of time, usually more than
one year. Notes receivable with maturity dates at least one year or more beyond the
current balance sheet date are considered to be "current" assets. Select this account
type if you are setting up assets such as deposits, organization cost, amortization
expenses, noncurrent notes receivable, and so on.
Other Current Assets: Represents those assets that are considered
nonworking capital and are due within a short period of time, usually less than a
year. Prepaid expenses, employee advances, and notes receivable with maturity
dates of less than one year of current balance sheet date are considered to be
"current" assets. Select this account type if you are setting up assets such as prepaid
expenses, employee advances, and current notes receivable, and so on.
Other Current Liabilities: Represents those debts that are due within a short period
of time usually less than a year. The payment of these debts usually requires the use
of current assets, select this account type if you are setting up accrued expenses
from a vendor, extended lines of credit, short. term loans, sales tax payables. payroll
tax payables, client accounts, suspense (clearing) accounts, and so on. At the end of
the fiscal year, the balance amounts on the income, cost of Sales, expenses, and
equity gets closed account types become zero. The net difference is added to the
retained earnings account. You can only create one account using the Equity
Retained Earnings account type.
CHART OF ACCOUNTS
TIPS/PROCEDURES:
Option 1: Set Up a New Chart of Accounts
> Click on "MAINTAIN MENU"
> Click on Chart of Accounts
A dialog box will appear:
> Type Account ID Number
> Type the Accounts description
> Select account type e.g. Cash, Income, and Expenses etc.
> Click Save
Option 2: Modify Existing Chart of Accounts.
> Click on "MAINTAIN MENU"
> Click on Chart of Accounts

A dialog box will appear:

> Click on Account ID and Select the accounts chart to be modified
> Type a new ID Number and description as necessary.
> Click on save option.
Option 3: Delete chart of accounts
> Click on "MAINTAIN MENU"
> Click on Chart of Accounts
A dialog box will appear:
> Click on Account ID and select the account chart to be deleted.
> Click on Delete option, a dialog box appears asking you "Are you sure want 10
delete this record?"
> Click yes
Entering of Accounts Beginning Balances or Prior Period Adjustments
Peachtree also allows you to adjust account balances. If you are just starting out with
your company and have not posted any transactions, Peachtree assumes that you
are entering beginning balances-for your accounts. If you have posted transactions,
Peachtree assumes that you are entering adjustments to your accounts for a period
in a prior year: When you save a prior-period entry, the system creates a journal
entry in the General Ledger. You can do this through chart of accounts, select the
beginning balance, specify date/period the balances represent, enter the figures and
click save.
Maintain Budgets
The Maintain Budgets window lets you assign amounts to each income and expense
account for each fiscal period for the current ^ear and the two fiscal years following.
Also for each account you can enter revised amounts to reflect the actual amounts
allocated to the account for each fiscal period of the current year. This will help you
appraise your projections by seeing how closely budget amounts compare to actual
amounts allocated. If you plan on having different amounts for each period, you can
enter each amount individually in the boxes next to the accounting periods. The box
at the bottom shows the accumulation of the amounts you entered for the
accounting periods. You can eater your budget through the chart of accounts under
maintain menu.
WORKING WITH BUDGET/FORECAST
TIPS/PROCEDURES:
> Click on Maintain menu
> Select Budgets
> Input Budget Name & Description and Budget Type
> input figures for each month
> Click save
3. SETTING UP CUSTOMERS/DEBTORS ACCOUNTS
You can view or enter basic information about your business clients in the Maintain
Customers/Prospects window. You can customize terms information, set up other
invoice defaults, and enter billing and shipping information, contacts, and SO forth.
To open the Maintain Customers/Prospects window, do the following:
Customer information is divided into seven areas:
i Header fields
ii. General tab
iii. Sales Defaults tab

iv. Terms and Credit tab

V. Payment Defaults tab
vi.
Custom Fields tab. and
vii. History tab
Header Information
Use the General tab to enter general customer information, such as billing, shipping,
and e-mail addresses.
Use the Sales Defaults tab to enter customer sales information, such as sales account
number, sales rep, and terms.
Use the Payments Defaults tab to enter default credit card, payment type, and
general ledger I cash account information.
Use the Header fields above the tabs to set up customer ID, customer name, and
determine whether the customer is a prospect or an actual customer with recorded
sales.
Use the History tab to enter historical information, such as the customer- since date
and invoice and payment dates and amounts.
Use the Custom Fields tab to customize customer information with five fields, which
you can add to customized reports.
Use the Terms and Credit tab to enter payment terms, credit limit, and credit status.
In the header fields, you can enter a new customer ID and name. You can also
choose whether to make the customer record inactive or not.

Customer ID: Enter a new ID of up to 20 alphanumeric characters, or select an

existing customer ID from the list. This field is case sensitive Peachtree sees AAA001
and aaa001 as different IDs. To view or modify a current customer record, you can
use the Lookup button to select the customer from a list or type a question mark to
view the fist.
Prospect: Select if this record is a potential customer. Prospects do not appear on
the Aged Receivables or Customer Ledger reports. You can also select just prospects
when printing customer lists and mailing labels. A prospective customer becomes a
regular customer when this check box is cleared or when an invoice or receipt is
entered for the prospect.
Inactive: Select this check box to mark the customer record as inactive and eligible
for purging. If you try to enter a transaction with this customer, you will be warned
of the inactive status.
General includes the customer's billing and shipping addresses, sales tax
information, customer type, telephone and fax numbers, e-mail address, and Web
site address.
Customer Type: Allows you classify your customer records as best suits your
business. This is useful because it is a filter option for many sales reports. When
printing these reports, you can select a range of types, which is a way of limiting the
customers included.
Billing and Shipping Addresses: Specifies various locations for your customer.
You can enter total of 10 addresses -one

Billing address and nine shipping addresses for the customer: The billing name and
address are used as the default when entering a sales transaction. They also print on
the invoice and are used for customer mailing labels. All shipping addresses have a
field for the ship Name since it may be different. To enter different addresses, open
the address drop-down fist, and choose which address to enter.
Sales Tax: identifies the sales code default used for the selected billing or shipping
address. You can select a different sales tax code for each of the 10 customer
addresses.
Web Site: Identifies the customer's primary e-mail address and Web site address.
Click the buttons to the right of these fields to quickly create an e- mail message or
open your Web browser and access their Web site.
Do not select the Beginning Balances button until you have entered the rest of the
customer information and are ready to save the customer record. If you select an
existing customer record in the Customer ID field, the Current Balance button will
appear below the Beginning Balances button. Click the Current Balance button to see
customer sales and receipts from the start of the current accounting period to the
current (system) date.
Sales Defaults Specifies the default sales (income) genera! ledger account to credit
when a sale is recorded with this customer and the default sales representative
associated with this customer. Sales reps are added in Maintain Employees/Sales
Reps. You can track sales to an individual sales representative by entering his or her
sales rep ID on the invoice. Then you can print the Safes Rep report to see a
breakdown of sales for each representative.

Resale #, Open PO #, and Ship Via: In addition, you can also enter the customer's
reseller tax ID number, the customer's, open purchase order (PO) number, and a
preferred shipping method When you enter an address, open this drop-down list to
select whether it is the billing address or one of the nine shipping addresses. Click
either of these buttons to quickly create an e-mail message or visit a Web site based
on the addresses entered.
Sales Rep and Form Delivery Options
On the Sales Defaults tab, you also set up a sales rep, an employee in your
organization who will act as chief of sales for the chosen customer. Besides this, you
set form-delivery options for the customer. These options let you choose either
paper or e-mail as the default method of form delivery to the customer whenever
you print a batch of forms. However, even if you choose e-mail as a customer's
default Delivery method, Peachtree still gives you the option of providing paper
copies for the customer whenever you e- mail or print forms in batch
Terms and Credit Includes payment terms, credit limit amount, and credit status.
• Use Standard Terms arid Credit: To set up special terms for the customer clear the
Use Standard Terms check box, and then enter the new terms.
Otherwise, this customer will use the same terms you set up on the Terms and Credit
tab of the Customer Defaults window.
Charge Finance Charges: Select this check box if you want to charge the customer
finance charges set up in Customer Defaults.

C.O.D. or Prepaid: You can specify a customer as Cash on Delivery or Prepaid by

selecting the appropriate option.
Due in Number of Days, Due on day of next month, or Due at end of month:
Select one of these options to set when payment is due.
Net due in a days: Depending on the Due options you selected above, enter the days
or date of when the payment is due,
Discount in days: Enter the number of days past the invoice date in which the
customer must pay to qualify for a discount.
Credit Limit: Enter the amount of credit you allow this customer.
Credit Status: Enter a credit status for this customer. The default is Notify over Limit.
For more detail on credit-status options see Enter Customer Defaults.
Payment Defaults: Includes the customer's address, credit card number, expiration
date, and Receipt window settings.
Cardholder's Name: Choose the credit card you want to use as this
customer's default, and enter the name as it appears on the credit card in the
Cardholder's Name field.
Address: Enter the customer's billing address. As the default, the address fields
(address fines 1 and 2, city, state, ZIP Code, and country) will

initially display the information you entered as the Bill to Address on the General
tab.
Credit Card Number: Allows you to enter a default credit card number to
use for this customer. You can enter dashes, spaces, or stashes as separators. The
credit card number in the Payment Defaults tab will be displayed unencrypted.
Therefore, you may want to control user access to the Payment Defaults tab.
You can give users No Access or Full access to the Customer Payment Defaults
program area.
For more information about Expiration Date: Enter the expiration date listed on the
front of the customer's credit card.
Enter the expiration date using the month/year (MM/YY) format. Expiration years
(YY) appear as two digits (for example, 03 represents 2003). If a card expiration date
is 5/31/03, enter 05/03 Note: You can set up an alert to notify you when a
customer's "default credit card is about to expire.
Receipt Settings: In the Receipt Settings area of the Payment Defaults
tab, you can specify the default payment settings for the selected customer. By
default, the Payment Method and Cash Account fields in the Receipts and Receive
Payment windows will populate with the information used in the last saved receipt.
Custom Fields: Allows you to customize customer information with five fields. You
can add these fields to your customized reports. These fields are set up in the
Customer Defaults window. For example, if you have set up a Second Contact field in
Customer Defaults, here on the Custom Fields tab you would enter the actual name
of the additional contact for the customer.
History Shows information about the selected customer record, including the
customer-since date and invoice and payment dates and amounts. When entering a
new customer record, you may edit the information on this tab. Once you save the
customer record, however, you can no longer edit the history data.
SET UP CUSTOMERS/DEBTORS ACCOUNTS
TIPS/PROCEDURES:
Click on MΑΙΝΤΑΙΝ MENU
Click on Customer/Prospectus
Type customer ID No e.g CCA/001
Type customer names
Type contact person
Complete the customer addresses
Click on sales default, Select GL sales account code.
Select the pricing level e.g. Price level 1, Price level 2 etc.
Click on term and set up the term of payment e.g. use standard terms, COD, Prepaid
etc and set the customer credit limit. Click ok.
Click Save.
Enter Customer Beginning Balances
Customer beginning balances are essentially unpaid sales invoices you have issued to
customers prior to the first transaction dale in Peachtree. Let's say that your first
fiscal year with Peachtree begins Jan 1. In this case, you can enter beginning balance
invoices with dates Dec 1 or carlier. Beginning balance invoices are not posted to the
general ledger. It is assumed that all unpaid sales invoices prior to starting Peachtree
are entered as a single beginning balance amount for your accounts receivable
account in Maintain Chart of Accounts.
To enter beginning balance invoices for customers, do the following:
From the Maintain menu, select Customers/Prospects.
> In the maintain customers/prospects window, enter or select the customer ID that
you want to enter a beginning balance, then click the Beginning Balances button on
the General tab.
There are two tabs in the Customer Beginning Balances window: Invoices for and
Customer Balances. Invoices for Lists each outstanding customer invoice dated prior
to when you started using Peachtree. You can adjust these transactions until you
apply a receipt to them. When a receipt is applied to a beginning balance invoice, the
invoice line appears on a gray background. To modify a paid invoice, you must delete
the receipt (in Peachtree's Receipts window).
4. SETTING UP SUPPLIES/CREDITORS ACCOUNTS
The Maintain Vendors window stores information about the companies and people
from whom you purchase goods and services. It is also where you set up government
agencies to whom you pay taxes, or bank institutions if you pay your taxes to banks.

SET UP SUPPLIERS/CREDITORS ACCOUNTS

TIPS/PROCEDURES:
Click on MAINTAIN MENU
Click on vendor
Type vendor/supplier ID
<
Type vendor/supplier names
Complete the supplier addresses and other personal profile details.
Click on purchase defaults and select purchase account GL
<<
>
Click on term and set up term of payment e.g. use standard terms, COD, Prepaid etc
and click ok.
Click save
Enter Vendor Beginning Balances.
Vendor beginning balances are essentially unpaid purchase invoices (bills) you have
received from vendors prior to the first transaction date in Peachtree. For example,
let's say that your first fiscal year with Peachtree begins Jan 1. In this case, you can
enter beginning balance invoices with dates Dec 31 or earlier.
Beginning balance invoices are not posted to the general ledger. It is assumed that
all unpaid purchases prior to starting Peachtree are entered as a single beginning
balance amount for your accounts payable account in Maintain Chart of Accounts.
To enter beginning balance invoices for vendors, do the following:
> <<
From the Maintain menu, select Vendors. In the Maintain Vendors window,

> Enter or select the vendor ID that you want to enter a beginning balance for and
then click the Beginning Balances button on the Genera/tab.
There are two tabs in the Vendor Beginning Balances window: Purchase from and
Vendor Balances. Purchases from Here, enter amounts for each outstanding vendor
invoice dated prior to when you started using Peachtree You can adjust these
transactions until you apply a payment to them.
If you have set up your company on an accrual basis, you must enter an accounts
payable (A/P) general ledger account. If your company is set up on a cash basis, the
words <Cash Basis> will appear in the A/P Account field, and the field will not be
available. The beginning balance amount should not include any transactions that
you have already entered in task windows, such as the Purchases window. Be sure
that the total amount of your vendor beginning balances is equal to the amount you
entered as a beginning balance in your chart of accounts for your A/P account(s).
This insures that your Aged Payables report will balance with your general ledger.
5. SETTING UP EMPLOYEES PROFILE SET UP NEW EMPLOYEE PROFILE
TIPS/PROCEDURES
1. Design
> Click maintain menu
>
Click payroll
> Select payroll set up wizard for gross pay
>
>
>
Click next
Select do it yourself
Click next

In company information, select a state

Click next
Go to pay types
Go to salary and type in basic, transport, utilities and other allowances.
Click next, skip benefits
Go to taxes
Select tax liability a/c (payee)
Select tax expense a/c
Click next
Click finish
Deductions
> Click maintain menu
> Go to payroll
Go to employee default
Go to employees fields
Type in payee in field name
Don't calculate (no need to use formulae)
Type in various deductions e.g. loan. Pension.
> For company field, type in the field name what the company is contributing
2. Data Entries for Employees
Gross Pav
> Go to maintain
> Click on employees/Sales Reps
> Insert employees ID, Name etc

<
Go to pay information
Select salary
>
> Insert the Basic salary and other allowances
Deductions
>
>
>
Go to employee fields
Disable the use defaults
Type the deductions and with a minus(-) for deductions
Save

3.
Processing
Click on task
Click on payroll entry
Click on ok and ok
Select employee ID
Click save
Go to next employee
4.

Reports
Go to reports
Go to payroll register
6.
SETTING UP INVENTORY/STOCK STEMS
Inventory Overview
Peachtree tracks the inventory "items you buy and sell, and automatically updates
the quantities after each posted transaction. It also allows you to store items you do
not stock, but that you enter on invoices This makes entering invoices faster for you.
Tracking inventory in Peachtree is basically a three-step process;

Enter the item information, including sales, inventory, and cost of sales accounts.
Use item codes when entering purchases and sales.
Peachtree computes and tracks costs and quantities on a daily basis, based on
transaction date.
Enter inventory adjustments if necessary Peachtree does the rest, adjusting
inventory levels each time you post a purchase or a sale of an inventory item. In
addition, Peachtree can track the cost of each item on a daily basis, based on the
transaction date.
Advantages of Using Inventory
In addition to tracking costs and quantities, using inventory makes entering
transactions easier. Through Maintain Inventory Items, you set up the goods and/or
services you sell. You can set a unit price and the account to be adjusted by the sale
of this commodity. Then, when you enter the sale, you need only select an inventory
item enter a quantity ordered, and Peachtree computes the total. The inventory
item description and any detailed description print on the invoice.
SET UP INVENTORY/STOCK ITEMS
TIPS/PROCEDURES
>
Click on MAINTAIN MENU
Click on Inventory Items
Type the inventory ID
Type the inventory description
Select Item class e.g. Stock item, Non Stock Item etc.

> Click on price level button and type the product/stock/ invent to sales price.
> Select item tax type e.g. regular, exempted etc.
< Type last unit cost.
< Select cost method e.g. FIFO, LIFO etc.
> Select sales account GL in the inventory/ stock
> Select GL Inventory on the inventory
Select UPC/SKU
> Type item/product type e.g. household, industrial etc.
> Type the inventory location or store.
> Type cost of unit
> Type the minimum stock/ re order quantity.
> Click save
Inventory Beginning Balances
You can enter a single-quantity and unit cost for each inventor item. You can modify
the beginning balance whenever you like, until you close the fiscal year. Once you
close the fiscal year, you can no longe change beginning balances for any item that
was used in any transaction in the closed year. You could, however, do an inventory
adjustment on the first day of period one. The total amount of your inventory
beginnite balances entered here should be the same amount you entered in your
Char of Accounts beginning balance for Inventory, if you don't do this, you general
ledger and financial reports will not match your inventory reports.
Adjust Inventory
Occasionally, you may, need to record adjustments to on-han quantities of inventory
items. The Inventory Adjustment task makes it easy to make these adjustments, and
to track them. There are two types of inventory adjustments: increase in quality and
decrease in quantity. For an Adjustment up enter a positive Quantity, you can also
enter a unit cost. This will increase your quantity on hand and total inventory value
much as a purchase would. You might use an adjustment up if you previously
miscounted your inventory and now have more units on hand than you thought you
had. For an adjustment down enter a negative quantity: a unit cost.
Peachtree will figure out the cost value that these units are being removed at, much
like a sale. An inventory adjustment down will decrease the quantity on hand as well
as the total value. You might use an adjustment down if something was stolen, for
breakage, or if inventory was previously miscounted. When you make an
adjustment, the cost of goods sold, inventory total value, and inventory general
ledger accounts are all updated.
This can only be an item classified as a stock item or assembly item. The Name field
is automatically filled in with the name that was entered for the selected item in the
Maintain Inventory Items window.
7. SETTING UP SALES TAX/VAT
Set Up Sales Taxes
Sale taxes are set up in two areas:
Sales Tax Codes: The overall rate applied to taxable items on customer invoices,
which is composed of rates entered as sales tax authorities.
Sales Tax Authorities: The governments or other taxing agencies and their tax rates
that are used to assemble the sales tax codes. You can enter a default sales tax code
when you set up a customer record. The total rate for a sales tax code is used when
entering a sale to a customer based on th ship-to address. When you enter an
invoice to a customer, the sales t code is used to calculate sales tax. Each sales tax
code is composed of one or more sales tax authorities.
Enter Sales Tax Authorities: Sales tax authorities are components of sate tax codes,
which calculate taxes on sales to customers. You must first ente a vendor (usually a
government or government agency). Then you assig this vendor and a sales tax-
payable general ledger account to the sales tan authority.
* Add the agency to whom you pay taxes as a vendor. This is the agene where you
send sales tax checks.
* From the Maintain menu, select Sales Taxes, then select Sales Ta Authorities.
Fields in the Maintain Sales Tax Authorities window include:
* ID and Description: Identifies the sales tax authority record. (To edit existing
authority, select it from the lookup list.}. For reference, you migh also include
information such as which column this tax occupies on tin state or local tax form.
* Tax Payable To: Identifies the vendor who is the taxing authorit governing this tax
(for example, the state department of revenue). This the vendor you selected in step
1.
Sales Tax Payable G/L Account: Indicates which liability account to update when
sales transactions are recorded. Typically this is a sales tax payable account.
Tax Calculation: identifies the sales tax as based either on a single tax rate or a
formula. If your state charges at a single tax rate, select
Single Tax Rate, and then enter the rate as a percentage. For example, to enter 1
percent, type 1.00, if your state has a two-tier tax or imposes a dollar limit on taxed
sales, select Formula, and then set up the appropriate tax calculation formula to
meet your state's tax regulations.
Enter Sales Tax Codes Sales tax codes are made up of one or more sales tax
authorities.
From the Maintain menu, select Sales Taxes; then select Sales Tax Codes.
Enter each sales tax authority that should be included when computing the rate for a
sales tax code. For example, if you are entering the sales tax code for a county, you
may need to enter the state authority, the county authority, and some local public
transportation authority.
Fields in the Maintain Sales Tax Codes window include:
ID and Description: Identifies the sales tax code that is listed in sales transaction
windows such as Quotes and Sales/Invoicing. Descriptions could be a region where
the sales tax combination applies.
*Tax Freight: Indicates whether or not freight charges included on sales invoices
should be considered in sales tax calculations.

SET UP SALES TAX/VAT

TIPS/PROCEDURES
STEP 1
> Set up Federal Board of Internal Revenue as a supplier / creditor contained in set
up procedures for suppliers/creditors accounts.
STEP 2:
Click on MAINTAIN MENU
Select tax authority. Type TAX ID number / description. E.g. VAT
>
Select payable to (FIBR)
Select Tax payable Account code
Type the VAT rate e.g. 5%
Click save
STEPS:
Then click on maintain
> Select sales tax
Click on Tax code
Type the tax code & Description
Click of button & bring out Vat
Click save
8. SETTING UP JOB/PROJECT ACCOUNTS WORKING WITH PROJECT/JOB TRACKING
TIPS/PROCEDURES
Click on maintain menu
>
Click on job costs
> Select jobs
Input details
Click save

TASKS MENU
Accounts Receivable
Peachtree organizes and monitors the money that comes into your business from
your customers. The money that you receive from customers is tracked in accounts
receivable (also known as sales). In accounts receivable, you can enter and save
customer information, set payment terms, set finance charges, enter sales tax
information, and determine your aging categories. Peachtree provides you with the
ability to print customer quotes, sales orders, invoices, statements, credit memos,
and collection letters. Using Peachtree, you can also produce a variety of accounts
receivable reports. Accounts receivable provides four different flexible tasks. All of
the tasks work together. You can use the tasks that best suit your business. These
tasks include:
* Quotes: Allows you to send a customer a quote that includes the price of items you
sell, services you provide, freight charges, sales taxes, and so on. Once your
customer accepts the quote, you can convert it to a sales order or sales invoice.
* Sales Orders: Allows you to track customer backorders for items you do
not have in stock and invoice for items you do have in stock. You can invoice a
customer multiple times from one sales order. You can view reports on items you
have backordered for a customer.* Sales/invoicing: Allows you to enter and print
invoices for your customers and ship and prepare invoices for items entered on sales
orders. Even if you are a cash- basis company, you can use invoicing to track your
sales and gain a better picture of your outstanding balances, although the amounts
entered in the task do not affect your general ledger.

* Receipts: the central accounts receivable tasks, where you enter th money you
receive from your customers. If you invoice customers, you ca apply customer
receipts directly to particular invoices. If you generall make cash sales, you can also
enter these directly into the Receipts task.

Tasks menu other uses

This section shows you how to perform the following tasks:
• Making entries to the General Journal
• Using the Account Register
• Posting and un-posting transactions
• Changing the accounting period
• Reconciling your account
HOW TO RAISE QUOTATION/SALES ORDER
Entering Quotes
Quotes are estimates for goods and services that you provide to your customers or
potential customers (prospects). When you enter a quote for customer, you are not
updating any accounting information or inventorj levels. Peachtree calculates what
the total cost of a sale will be for customer, including sales tax and freight. You can
then print the quote for the customer. When your customer agrees to the sale,
quotes can easily be converted to sales order or sales invoices.

Entering Sales Orders

A sales order is a document containing a list of items or services your customers
want to buy from you. You might think of it as representing intent to sell. When you
post a sales order, none of the accounting information is updated, since you have
not actually shipped the items on the sales order.
QUOTES/SALES ORDERS
TIPS/PROCEDURES
Click on Task
Click on Quote / Sales under button
Click customer ID number to activate the customer names
Select the various items requested
Types the Quote numbers / reference / date
Click print or save.
HOW TO USE SALES/INVOICING OPTION
Invoicing Your Customers
Sales invoices are documents that list goods and services that your customers
receive from your business. Customer invoices are entered or maintained in the
Sales/Invoicing window. The Sales / Invoicing Window has two (2) tabs allowing you
to ship items on a previously entered sales order or add new items you sold to a
customer not included on a quote or sales order.

Apply to Sales Order: When you select a customer who has open sales
orders, the Apply to Sales Order tab appears, allowing you to select which sales
order to ship (invoice) items from Apply to Sales: If you - select a

customer with no open sales order, this tab appears by default, so you can record a
customer invoice. In addition, when you ship items from a sales order (on the Apply
to Sales Order tab), you can also select this tab to enter additional items that are not
on the sales order but which are in the same shipment. When you invoice your
customers, entries are made to the Sales Journal. Likewise, when you receive
payment from your customers, entries are made to the Cash Receipts Journal. Unlike
quotes and sales orders, sales invoice transactions are posted to the general ledger.
You can track unpaid invoices in the Aged Receivables report. There are several
methods by which to build sales invoices. You can build an invoice from scratch or
use other information that is already entered.
SALES/INVOICING OPTION
TIPS/PROCEDURES
> Click on Task
< Click on sales/invoicing
>Click on customer ID number to activate the customer names & particulars
Select the various item/ stock/ products needed e.g. Quantity etc.
Type the invoice reference numbers
Change the date as may be appropriate
Select taxable option if VAT charges is needed / required
Click on save.
HOW TO USE RECEIPT TO RECORD INCOME/REVENUE
Collecting Receipts from Customers
When a customer pays your company for goods and services sold to them, you must
record the receipt. Most receipts are applied to sales invoices. However, you can
also enter cash sales (transactions in which no
invoice is entered or required), prepayments, and customer refunds, Peachtree
permits you to receive multiple methods of payment such as cash, check, and credit
card. After recording receipts, you can combine them into one or more daily
deposits, which are posted to your business bank accounts. Combined deposits are
easily reconciled with your bank statements in Peachtree's Account Reconciliation
Window. When you enter a receipt in Peachtree; the transaction is posted to the
Cash Receipts Journal, and the general ledger is updated. If you are applying a
receipt to a sales invoice, the invoice payment status is also updated accordingly.
Unpaid invoices are tracked in the Aged Receivable report and Collection Manager. If
customers have not paid sales invoices in a timely manner, you can apply finance
charges to their open accounts. You can even print collection letters in Peachtree.
Unpaid invoice amounts, receipts, finance charges, and credit memos appear in
customer statements that you print each accounting period.
OPTION 1: Payment from Debtors / Existing Customers
TIPS/PROCEDURES
> Click on Task option
< Click on Receipt
> Select the customer ID number
> Select the date
> Type the amount paid
> Type Receipt/Reference numbers
> Select method of payment of cash, cheque etc
> Select where the amount collected will be lodge e.g. cash at hand, bank etc.
> Click on save.

OPTION 2: Dealing With Walk-in-Buyer Sales/Direct Sales/Other

income
Procedures
> Click on Task option
> Click on Receipt
> Type the name of the customer or source of income
> Change the Date
> Type the Reference/Receipt numbers
> Select the item/product/Quantity or amount paid
> Click on journal at toolbar to select necessary account codes necessary
> Select the payment method e.g. cash or cheque
> Select account designation e.g. cash at hand, bank
> Click on save.
ACCOUNTS PAYABLE
Peachtree organizes and monitors accounts payable, the money yo pay to suppliers
or vendors. You can set up vendors, payment terms, agin guidelines, and more.
Creating a list of these items makes enterin purchases and payments simple and fast.
The main tasks in account payable are;
Purchase Orders: When you need to make a purchase, you can create
purchase order. Once you enter the vendor's ID. Peachtree automaticall fills in the
vendor name and address, your standard payment terms, an even the usual general
ledger purchase account. You can edit this information, but in most cases you won't
need to.

Purchases/Receive Inventory: Once the items you have ordered arrive,

you receive the items on the purchase order. Peachtree allows you to receive partial
amounts of an item, or amounts greater than what you originally ordered. You can
also enter new items that may not have been on the original purchase order. If you
are not using purchase orders, you can enter a traditional purchase invoice.
Payments: Paying for purchases is easy. When you select the vendor ID in the
Payments window, a list of open invoices for that vendor appears. Select the Pay box
next to the invoices you want to pay. You can print a check then, or print a batch of
checks when it's more convenient. Also, you can pay a group of vendors at once,
using the Select for Payment task.
HOW TO USE PURCHASE ORDER OPTION
Entering Purchase Orders
A purchase order is a document containing a list of items or services you want to buy
from a vendor. You might think of it as representing an intent to purchase. When
you post a purchase order, none of the accounting information is updated, since you
have not actually received the items on the purchase order. Once items begin
arriving, you use the Purchases / Receive Inventory Task to receive items on the
purchase order. You can receive partial shipments on a purchase order, and you can
over-receive items on a purchase order as well. This allows you to update your
inventory and accounts payable information as the shipments actually arrive.
Peachtree closes purchase orders automatically when all items have been received,
or you can close a purchase order before all items are received. You can also keep a
purchase order open when all items have been received.

PURCHASE ORDER OPTION

TIPS/PROCEDURES
>
>
>
>
>
>
>
Click on Tasks
Click on purchase orders
Select the vendor ID
Type purchase order numbers (PO)
Select the date
Select the Quantity/items/order
Click on save.
HOW TO WORK WITH PURCHASE/RECEIVE OPTION
Receive Inventory from a Purchase Order
After you have entered a purchase order for your vendor, the next step is to receive
the inventory for that purchase order as it arrives, Peachtree allows you to receive a
different quantity for an item than you originally ordered; that is, you can receive
less or more than the originally ordered quantity. You can also receive items into
your inventory, even if you have not yet received the invoice from your vendor.
Receiving items on the purchase order creates an open vendor invoice in the system,
updating your inventory and accounts payable information. You can have multiple
invoices based on the same purchase order; however, you cannot receive items from
more than one purchase order on the same invoice.
WORK WITH PURCHASE/RECEIVE INVENTORY OPTION TIPS/PROCEDURES
>
>
Click on Tasks
Select the vendor/supper ID No.

Type the invoice numbers

Select the date
Type the quantity / items receive
Click on save.
Record a Cash Purchase
In Peachtree, cash purchases are disbursements that don't require entry of a vendor
invoice as a purchase. There are two (2) basic types of cash purchases, which you can
enter in the Payments Window:
You can enter a payment to a vendor not stored in Peachtree, by leaving the Vendor
ID field blank.
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You can enter a cash purchase from an existing vendor by selecting the Apply to
Expresses tab. If you select the Apply to Expenses tab, the columns have different
headings, similar to the Purchases window. You can use these fields to enter a cash
purchase, one where you do not have a vendor invoice.
Enter Unit Price: Enter the unit price for this item if you like, or you can have it
calculated if you enter an amount and the quantity. If you have previously purchased
this item, the last unit cost you paid will display.
Enter a Job ID: Enter a job ID if you would like to apply this line item to a specific job.

HOW TO WORK WITH PAYMENT OPTION

Option 1: PAYMENT/SETTLEMENT OF CREDITOR/ACCOUNTS
PAYABLE
TIPS/PROCEDURES
Click on Task
Click on payment
>
>
Click on Payment
Select the vendor name
> Select the date
Select the method of payment e.g cash/bank
Type the amount to be paid
> Click save
Enter Vendor Credit Memos
Use the Vendor Credit Memo window to enter credit memos for returns to and
credits from a vendor. You can apply credit memos either to an existing vendor
invoice or to a direct sale without an invoice.
>
From the Tasks menu, select Vendor Credit Memos.
PAYMENT OF EXPENSES/VOUCHERS POSTING
Generally, you will use the payments window whenever you want to pay specific
invoices to make prepayments.
Expenses: Payments can work hand in hand with vendor invoices. Once you have
entered the vendor invoice in purchases window and posted the invoice, you can
select the invoice from the Vendor's transaction list in the Payments window and
post or print. Peachtree then:

Debits accounts payable for total amount (if you are on accrual method), credits the
cash account for the net check amount.
Credits the Discount taken account (if applicable) These G/L link accounts and
discount terms are set up in either Maintain Vendors or in Vendor Defaults, both
accessed through the maintain menu. Where possible, you should take advantage of
the purchases and payments tasks. Using these tasks not only makes your Job easier
by disbursing amounts and tracking discount eligibility automatically, it also provides
a more detailed and complete transaction history and picture of your financial
position.
TIPS/PROCEDURES
Click on tasks
>
>
Click on Payment
Type the payee name (Receiver)
> Type the payment purpose in Description & amount
< Click on GL Account to select the related account code e.g. Transport, printing &
stationary etc.
>
>
Select the payment mode e.g. Cash/Bank name
Click save
WORKING WITH GENERAL JOURNAL ENTRY
Making Entries to the General journal
The General Journal is unique it's the only journal in which you provide all the
accounting distributions. In all the other journals, Peachtree automatically
distributes certain amounts based on defaults you establish. But her in the General
Journal, you enter both debits and credits to balance the transaction.

In the General Journal, you can:

> Enter a transaction that doesn't fit into the other journals - for example,
depreciation
< Reverse a transaction
> Set up a recurring transaction
You can view the running total of your entries in your Out of Balance field.
When the out of Balance total is zero, the distribution is correct, and you can save
and/or post this journal entry.
Remember, in the general journal Entry window you are responsible for balancing
this journal entry making sure debits equal credits. You can check your progress in
the Out of balance field. It reads fil when the transaction has been entered properly.
ENTER A GENERAL JOURNAL TRANSACTION TIPS/PROCEDURES:
< Click on General journal entry
> Select Date
> Type Reference numbers
> Select Account number to be Debit/Credit
> Type Descriptions
> Click save

USING THE ACCOUNT REGISTER

The Account Register lets you enter a payment to a vendor or a receipt from a
customer an easy-to-use, checkbook-register windendo
The transactions that display here depends upon the cash account you select and on
the date range or period you select.
The register will use two tines for each entry or a single line depending on the option
you choose in Global Options
Editing Transactions on the Account Register
You can directly edit only those transactions that originated on the Account
Register. An icon in the Edit column marks these transactions: You can drill down to
most transactions on the register that originated from other Task windows.
Some of the transactions you cannot drill down on are:
>
The reverse portion of a general journal entry
Beginning balances
Opening balance lines
Applied prepayments for receipts
ACCOUNT RECONCILIATION IN PEACHTREE
Peachtree reconciles the selected G/L account against your monthly statement. You
can reconcile any general ledger account in Peachtree. Typically, you would reconcile
bank accounts, cash accounts (such as petty cash), and credit card accounts. You
should systematically reconcile accounts each period so that you can quickly detect
bank errors, match real- world data with Peachtree data, and identify possible
fraudulent activity.

To avoid fraud and quickly detect errors, attempt to have your bank statements
toward the end of a period or month. Then always reconcile your account as soon as
it arrives.
You can apply (or clear) transactions in three different categories:
> Deposits in transit
>
Outstanding checks
> Other outstanding items (such as General Journal entries)
Reconciling bank statements: To reconcile an account, you enter the bank
statement date and the ending bank balance. Then, you need to clear transactions
that are reported on the bank statement. Each time you clear a transaction, the
difference is reflected in the Outstanding Checks, Deposits in Transit, and Un-
reconciled Difference fields. Peachtree allows you to reconcile any account in your
chart of accounts. Typically, you wou'd reconcile bank accounts, cash accounts (such
as petty cash), and credit card accounts.
If you are using the batch posting method, post your accounts to the General Ledger
before you reconcile. This ensures that you are using up-to- date information.
STEPS/PROCEDURES
1. From the Tasks menu, click Account Reconciliation. Peachtree now displays the
Account Reconciliation window.
2. Enter or select the account you want to reconcile. To display a list of existing
accounts, type? In the Account to reconcile field, or select the Lookup button.
3.
Enter the closing date from the bank statement as at the Statement Date.

The statement date you select must be within the current accounting period.
4. Enter the Statement Ending Balance (the ending balance amount included on the
bank statement) in the lower-right section of the window.
Transactions that are available to be cleared are listed at the center of the window;
you can use the Show drop-down arrow button to select which transactions you
would like to appear. For each transaction, reference information such as check
numbers, amounts, dates, and vendor/payees or descriptions are listed. By default,
checks are sorted by check number.
You can change the sort order by clicking the heading of the column you want to sort
by.
5. Enter interest income:
In the interest Income box, enter any interest earned by the account.
In the Date box, enter the date when the interest was earned.
In the" Account box, enter or select the appropriate interest income account to act
as offsetting account for the interest. Do not choose the account you are reconciling.
When you select Save, this information will be saved as a general Journal entry.
> In the Service Charges box, enter any charges incurred by the account.
> In the Date box, enter the date when the charges were incurred.
>
In the Account box, enter or select the appropriate service charge account to act as
the offsetting account for the charge.

When you select Save, this service charge information will be saved as general
journal entry.
7. Peachtree Complete Accounting and higher only: The Imported Interest and
Imported Charges fields indicate amounts imported electronically into Peachtree
along with bank statements. Check to see if these amounts are correct. Select the
arrow button next to the Motras field; the imported interest / Charges window will
fist information about the imported item(s). If any items represent duplicate entries
or bank errors, you can delete them in this window.
8. Select the Clear check box next to each item that is included on the bank
statement. You can also use the right-click menu or Quick Action buttons that appear
when you select a row; both give you additional options.
In addition, you can select the All button to select all transactions as cleared. Or you
can select the Range button to choose a range of Ammoni checks or deposits to
clear.
Rod Peachtree keeps track of how many transactions recorded in the general ledger
are cleared, how many are not, and the associated totals.
When all transactions listed on the bank statement are entered and cleared in
Peachtree and outstanding transactions have been accounted for, the un-reconciled
difference should be zero (0.00). If not, check the bank statement to make sure that
each transaction listed is also entered in Peachtree. For example, a service charge
listed on the statement may need to be entered in Peachtree.

9.Peachtree Accounting: If the list of transactions includes bank records imported

electronically, some may not have been auto cleared by Peachtree. These
transactions will need to be manually matched to existing Peachtree records and
cleared. For information, click.
If any unmatched bank records represent duplicate entries or bank errors, delete
them using the Banking toolbar button, right-click menu, or Quick Action buttons.
10. If this is the first reconciliation for the selected account, you might have
outstanding transactions not listed on the bank statement that also do not appear in
the Account Reconciliation window because these amounts were entered as a lump-
sum beginning balance in the general ledger. This may cause you to have an un-
reconciled difference. Select the Beginning Transactions button to enter these
outstanding transactions so that they can be reconciled.
11. Select the Adjust button to enter adjusting journal entries the bank statement
included but which are not included in Peachtree's general ledger. For example, you
may have a small discrepancy between the amount noted on a customer check and
what the bank reports to you as credit on this transaction; say the bank rounds oft to
$10 a check for $10.10. Rather than contact the bank to make the change, losing
more time and money than the discrepancy is worth, you'll probably want to make
the adjustment manually instead. Adjustments are made in the General Journal
Entry window. Once the adjustment is entered and saved, you can close the General
Journal Entry window and return to Account Reconciliation.
12. If you entered adjusting entries, select the Clear check box next ti each of these
items.mo
13. When you have successfully reconciled the account (the un- reconciled
difference is zero), select OK to close the window.
Tip: If you are interrupted during the middle of reconciling, select OK, and exit the
window. Later, while still in the same accounting period, you can resume where you
left off. All your cleared items and other reconciliation information for the account
will remain. You can also change accounting periods to edit previous account
reconciliations, if necessary.

GENERATING ACCOUNT RECONCILIATION REPORT

After you have reconciled the balance of your cash ledger account to the ending
balance shown on the bank statement, you are now ready to generate the bank
reconciliation statement using Peachtre's account reconciliation report functionality.
There are many ways to display and print an account reconciliation report in
Peachtree.
One way is to open the Account Reconciliation window that is used to prepare the
bank reconciliation. To do this, click on task then scroll down to account
reconciliation.
This opens the Account Reconciliation window. To generate a report for a particular
account, click the magnifying glass icon next to the Account to reconcile field and
select the appropriate ledger account. Peachtree will then show details of the most
recent reconciliation for that account. Next, click the Reports icon at the top of the
window and select Account Reconciliation from the list of options provided to obtain
a preview of the account reconciliation report.

Note that there are other ways to generate the account reconciliation report for a
ledger account. We encourage you to explore Peachtree to find the way that best
works for you
USING THE ANALYSIS
>
Click Analysis Menu
> Select Financial Manager
>
Click on Ok balances, Spreadsheet
Click close
Click Analysis menu
Select Cash-flow Manager
Click expected incoming cash button, Expected Outgoing Cash
Click Close
Click Analysis menu
Click collection Manager/Payment Manager
Click on numeric
Click on bracket
Click on source
Click Close
GENERATING REPORTS IN PEACHTREE ACCOUNTING
General Ledger Reports: A variety of genera! ledger reports, including account
reconciliation reports are available for your use.
Chart of Accounts: Lists each genera! ledger account number, account description,
and account type.

General Journal: Lists transactions in journal format. You can use this listing to view
entries made in the General Journal.
General Ledger: Lists all transaction in each account for the specified period.
You can choose to be a detailed report, or you can filter the report so that you see
only a summary of transactions limited by any of the following criteria: day, Journal,
period, or transaction, for example, if you want to see only the total debits and
credits per day for a given account and period, you can filter the report to provide
just that information.
General Ledger Trial Balance: Lists the current balance for each general Jedger
account.
Working Trial Balance: provides a worksheet that you can use to make adjustments
to account balances.
Account Reconciliation: Shows the beginning balance, plus receipts, less
disbursements, and the ending balance for the account, in other words, it lists the
bank balance along with unclear transactions.
Bank Deposits: Lists all bank deposits made within a period you specify, the deposits
are grouped together by deposit ticket ID. The Bank Deposit report is available in
both summary and detail format.
Deposits in Transit: Detailed listing of deposits that have not yet cleared your bank.

Outstanding Checks: Detailed listing of checks that have not yet cleane your bank.
Other Outstanding Items: Detailed listing of miscellaneous transactio that have not
yet cleared our bank
USING ACCOUNTS RECEIVABLE REPORTS AND FORMS
The Accounts Receivable reports detail transactions and other information for all of
your sales both those invoiced and cash sales. Al Accounts Receivable reports have
windows that help you select and sort the information displayed on the report.
Accounts Receipts Reports shows outstanding receivables age by invoice date or due
date, depending on what you selected in Customer Defaults.
Cash Receipts Journal lists the cash receipts in journal format, showing the debit and
credit accounts in full detail or in summary by transaction or account.
You can sort by check date, GL account, or reference number for each customer you
specify. You can use this report to reconcile cash received and verify general ledger
posting accounts.
Customer Ledger shows each customer with a balance, displaying the balance
forward and Debit and credit transactions for the selected period You can sort the
report by ID code or customer name and limit the range of customers displayed.

Customer List shows all customers names, addresses, contact, telephone numbers,
and tax resale numbers. You can also include prospective customers in this report.
Customer Master File List shows all of the pertinent information you need to interact
with customers efficiently- The information in the list can include customer name, ID,
phone numbers, addresses, contacts, and other Information about accounts, taxes,
purchases, and so on.
Customer Sales History shows total sales by customer, including both credit and cash
sales. The report includes transactions entered on the sales/invoicing window, as
well as direct sales that are not associated with an invoice (entered on the Receipts
window).
Invoice Register: Lists all invoices that have been printed by the system or were
entered with an invoice number. You can specify a range of invoice numbers, a range
of customer Ids, a range of match for customer type, or unprinted invoices.
You can also limit the report to current period invoices.
Items Sold to customers': Lists quantity, amount, and profit of items sold to
customers.
Pick List Report: Lists items on open sales orders. This report prints in
worksheet format to assist you in pulling items needed to fulfill sales orders. You can
display this report in order of sales order number, customer ID, item ID, or location
and show ranges of customers. You can also choose to view drop shipments. To help
you keep abreast of an order, if you entered a Ship By fate when you created the
sales order, the Pick list report still display this date to let you know when the order
should ship.

Prospect List: Shows all customers names, addresses, contact, telephone numbers
and-tax resale number. You can also include customers in thi
report.
Quote Register: Lists for review all quotes that have been entered in the Quotes task.
You can view by Quote number, customer ID, Type, of Printed/Unprinted.
Sales-Journal: Useful-for-reconciling sales and verifying general ledg posting: It lists
each receipt in full detail, in transaction summary, or in accounts summary, in order
by invoice Rate, GL Account, or Invoice number.
Sales Order Register: Lists all sales orders and their status, open or
closed. You can view by sales order number, customer ID, type, or sales order state,
open or closed. To help you keep abreast of an order, if you entered a hip by date
when you created the sales order, the sales order Register will display this date to let
you know then the order should ship.
Sales Order Report shows the sales orders and status, listing what items are on the
sales order, how many were ordered, how many were shipped, and how many
remain. To help you keep abreast of an order, if you entered a ship by date when
you created the sates order, the sales order report will display this date to let you
know when the order should ship.
Sales Backorder Report allows you to plan your ordering to make sure you have
enough of your inventory on hand to fulfill your order. It shows you the quantity of
each item on each sales order, then the total items on order.
It also displays the total number of the items you have in stock as of the date of the
report and the quantity you have entered on purchase order. To help you keep
abreast of an order, if you entered a ship by date when you created the sales order,
the sales Backorder report will display this date to let you know when the order
should ship.

Sales Rep Report shows commissioned sales, noncommissioned sales, and total sales
for all sales' reps for the time period you specify. The report also includes a % of
Total column, this column, based on the sales reps total sales, shows you the
percentage of the company's total sales this rep earned.
Sales Tax Codes list all sales tax codes for reference and maintenance. It shows the
component tax authorities and each authority's tax rate, general ledger account and
vendor.
A taxable/Exempt sale lists each tax authority's taxable, exempt and total sales in
detail or primary view with other report options. This report is a worksheet for
preparing sales tax reports as required by the government.
Accounts receivable Forms All forms can be printed from the select a Reports
window. In the select a reports window, forms are included in folder. Double-click
the form folder to display a list of related forms. Some forms (specifically quotes,
sales orders, sales invoices, and receipts) can be printed from their respective task
windows. You can also design your own form.
Collection Letters: Forms that can be sent to customers as a reminder that an
account is past due. Peachtree provides several predefined collection letter formats
depending on the age of unpaid customer balances.
Customer Labels Prints mailing labels for all the customer records you've entered in
Peachtree. You can choose to print by ID, type, Status ZIP code, or date in the
custom fields. In addition you can adjust the form design for labels to match the
labels you print on.
Customer Quotes Prints the quotes you've entered customers. You can print for
customers or prospects or both.

Customer Statements Prints monthly customer activity. The way statements print is
largely defined in Statement/invoice defaults.
Invoices/Credit Memos/Packing Slips Includes forms that allow you print sales
invoices that have not been printed yet or all invoices with invoice numbers it also
allows you to print credit memos and packing slip The default options that
determine how invoices/credit memos packing slips are printed are located in
State/invoices defaults.
Sales Orders Givers you the ability to confirm or acknowledge customer and fill
orders more efficiently. You can use the printed sales order as picking slip for ware
house personnel to mark up. One copy of the marked. up picking slip can be shipped
with ordered items as a spackling ship and another copy can be sent to the
accounting department for invoicing. For more formation about printing sales order,
look up "sales order" in the
Peachtree help index.
Using Accounts payable Reports and Forms
The accounts reports described below detail transactions and other information for
the purchases you make. All accounts payable reports have additional filters that
help you select and sort the information in the report.
Accounts Payable Reports Aged Payables: Allows you to analyze vendor account
vendor account balances in our ageing brackets, computed by invoice date or due
date (you select which in Vendor defaults)
Cash Disbursements Journal: List all payments (checks) made in either the Payments
or the Write Checks'-'window. The report lists each payment in full detail, and each
transaction summary or account summary in date of payment order.

Cash Requirements: Shows by Vendor, how much you owe for a given check run
date. You can sort this report by vendor ID, vendor name, or invoice due date.
Check Register: Lists all checks. If you accept the default printing, then you will get all
the checks (both those that have been printed and not printed) for the current
accounting period. For each check, the register shows the check number, date,
payee, cash account, and the amount of the check, you can limit the checks on the
report by number, accounts payable or payroll, current period only, and printed or
unprinted.
Items Purchased from Vendors: Lists all purchases by vendor. These include
transactions entered in the Purchases/Receive Inventory window and in the
Payments window, on the Apply Expenses tab for purchases with no associated
invoice. Use the report to help reconcile vendor statements.
Purchase Journal: Lists each invoice in journal-entry format by invoice number, date,
or account ID.
Purchase Order Journal: Shows, in journal format, purchase orders in the range of
dates you specify. You can order the report by purchase order number, date or
account ID.
Purchase Order Register Lists purchase order for review. The report shows the
purchase order number, date, good through date, vendor ID, and amount.
Purchase Order Report detailed view of the current status of purchase orders and
the Quantity of item ordered, received, and remaining. You can sort this report by
purchase order number Vendor ID, or item ID. You can view information on purchase
orders created in a certain time name, such as a range of dates, the current period,
quarter, or year, or the week, month period, quarter or year to date.

Vendor Ledgers Allows you to review vendor account activity listing the venders
name. Address, contact, telephone number, credit term and other information.
Vendor List Allows you to display on the screen or print a list of vendor including the
vendor's name, Address, contact, telephone number, credi terms, and other
information.
Vendor Master File List: Shows all of the pertinent information
about your vendors. The information in the list can include vendor name, ID, Phone
number, address, contacts and other information about accounts, taxes etc.
Accounts Payable Forms: All forms can be printed from the select a reports window.
In the select a Reports window, forms are included in folders. Click the form folder to
display a list of related forms. Some forms (specifically purchase orders and checks)
can be printed from their respective task windows. You can also design your own
form.arabardatum
Disbursement Checks: Allows you to print those checks that have not
been printed yet - checks to Vendors (or customers) that were entered into the
Payments window and posted or saved with the Check Number field left blank.
Checks can only be printed from this option; they cannot be displayed on the screen.
You enter the last check date or the last transaction date to print checks for. At the
end of this process, a message box appears asking if the check printed OK and if the
journal can be updated.
Inventory Reports
Peachtree includes a variety of reports for organizing and monitoring the inventory
process. These reports list inventory items, cost, and quantity On hand, assembly
components, adjustments, and general ledger activity

Peachtree "accounting uses the weighted-average method of average costing. This

relevant on the Profitability reports, the Inventory valuation report, and the cost of
Goods sold Journal. The inventory reports can be displayed, printed, or customized
in the same manner as other Peachtree reports. Most inventory reports have
additional windows that help you select and sort information that appears in the
report. The inventory reports are:
Assemblies Adjustment Journal shows you the build and un-build transactions for
adjusting assemblies and the quantities involved. This report is used to verify the
general ledger posting accounts used during assembly adjustments. If you accept the
default printing, you will get all assembly adjustments entered for the current
accounting period.
Assembly List provides a listing of all inventory items using the assembly Item class,
The inventory Items about the items he or she is responsible for buying.
Buyer Report lists each buyer for your company and information (taken from
Maintain inventory items) about the items he or she is responsible for buying
Component Use List allows you to see which components are used in which
assembly item. The report lists the component ID and the assembly items that the
component is a part of.
Cost of Goods Sold Journal allows you to reconcile the cost of inventory items and
verify general ledger posting accounts. The report lists each adjustment in full
details, transaction summary or account summary. Besides the cost of goods sold,
this also includes the cost of goods used in assemblies.
Inventory Adjustment Journal allows you to reconcile inventory adjustments and
verify general ledger posting accounts. The report lists each adjustment in full detail,
transaction summary, or account summary.

‫لو‬
Inventory Profitability Report Identifies gross profit margins for inventor items sold
and percentages of profit based on the current accounting perio
Inventory Reorder Worksheet Serves as a guide to determining number of items to
reorder based on current quantities and backorders the established minimum stock
level. This report can be printed on a dailin basis. Only stock and assembly items are
listed in this report. This repon b should be printed in landscape orientation.
Inventory Stock Status Report Serves a reorder report to identif inventory items on
hand for the current period and points out balances the are below the minimum
stocking level. Only stock and assembly items ant listed in this report.
Inventory Unit Activity Report Analyzes unit purchases, sales adjustments, and
assembly quantity for a specified period of time. The report shows the beginning
quantity, purchases, sales, and other information for each item. The defaulted report
is based on the curren accounting period and refers only to quantity amounts and
not item cost Only stock and assembly items are list in this report.
Inventory Valuation Report Helps you determine the quantity on hand of inventory
items and then value of what is stock. Only stock and assembly items are listed in
this report.
Item Costing Report Shows the cost and quantity information for inventory items. It
includes alt sales, purchases, inventory adjustments. assembly builds/un-builds,
automatic cost adjustments made by Peachtrec purchase return adjustments, and
assembly un-build adjustments for particular inventory item. It displays the
remaining quantity and value after every transaction only stock and assembly items
are listed in this report What makes this report unique is that it can be filtered by a
specific date range rather than a period like other inventory reports. This makes the
report very useful for investigation a discrepancy about a particular items quantity
on hand or value. The report should be printed orientation. in landscape
Item Master List Shows all the data you have entered concerning the inventory items
in the maintain Inventory Item window. This report should be printed in landscape
orientation.
Item price List serves as a company price sheet for inventory items. The report lists
the item ID, description, unit of measure, and space to fill in the item count.
Physical Inventory List Serves as a worksheet for counting inventory items; the
report lists the item ID, description, unit of measure, and space to in the item count.
Serial Number History Report Lists the status of serial numbers and their transaction
history.
Work Ticket Register Lists all work tickets and their status. This report list open, in
progress and closed work tickets
Work Ticket Register Plain Allows you to print work tickets that can be used as the
paper authorization for shops to begin manufacturing assembly items.
TIPS/PROCEDURES
> Click on Reports Option
>
Select the Report area required e.g. Accounts Receivable, Accounts payable,
payment etc.
> Select Report List e.g. on Account Receivers and double click on
Cash Receipt Journal
Select the Report Date from Option
Click on Print
>
Select the default printer
Select the copies required
Click OK