Accounting with MYOB v15 - Studespace · Sutherland - MYOB Accounting Plus v18 - Cash Accounting - Page 45 3 Two Accounting Methods Accrual –Buy things on credit. –Sell things

Accounting withMYOB v18

Chapter Three

Cash Accounting

Sutherland - MYOB Accounting Plus v18 - Cash Accounting - Page 44 2

Cash AccountingActivities

1. Receive and pay money using Banking.

2. Create and use Recurring Templates.

3. Combine receipts for banking.

4. Identify and record Bank Entries.

5. Reconcile MYOB’s records with the bank statement.

6. Print a Bank Reconciliation report.


Two Accounting Methods

Accrual

– Buy things on credit.

– Sell things on credit.

– Record transactions when you buy or sell.

– Responsible for GST immediately.

– May have to pay GST collected before its actual receipt.

Cash

– Buy for cash or credit.

– Sell for cash or credit.

– Record transactions when the payment occurs.

– Responsible for GST afterpayment.

– Best for small business.


Cash AccountingImportant points

Receipts.

– Cash sales.

– Received from debtors.

Cash Drawer.

– Used to hold receipts from all sources until banking.

Bank Deposit.

– Only once on any day.

Payments.

– All payments made by cheque.

– A separate cheque for each payment.

– Use the recurring cheques feature for regular payments.

– The ‘To Do List’ helps with regular payments.


Record a ReceiptProcedure

Click Receive Money in the Banking module.

Insert the details.

Click Save as Recurring.

Create the recurring template.

Record the receipt.


Receive MoneyInsert the details

Insert the given sales information

Then click Save as

RecurringClick


Receive MoneySave the Recurring Template

Set the Frequency at

NeverClick

Then click SaveClick

Then Recordthe current

receipt


Receiving Money (1)Background

Bank reconciliation relies on MYOB’s record of receipts being the same as those of the bank.

Receipts from different sources must be grouped in a holding account.

Then each time you take money to the bank, you do a Bank Deposit in MYOB.


Receiving Money (2)Procedure

1. Change the destination account to 1-1160 Undeposited Funds.

2. Put all receipts into this account until you go to the bank.

3. Prepare an MYOB bank deposit that is identical to the deposit slip and cash taken to the bank.


Grouping ReceiptsThe first receipt

Group with Undeposited

FundsClick


Then click Record

Click


Grouping ReceiptsThe second receipt

Group with Undeposited

FundsClick


Then click Record

Click


Grouping ReceiptsThe bank deposit

Set the Date

ClickClick

Deposit

Click

Then click RecordClick


Correcting ErrorsUsing the Journal

Click the Journal button.

Select the journal you want:

– e.g. Receipts or Disbursements.

Set a date range that includes the error.

Locate your transaction from the list.

Click the Zoom arrow to display the invoice.

Make your correction. Click OK.



Select the Journal

Set the Dates

Scroll to the

transaction

Click the Zoom Arrow

Click

Dates

ScrollClick

Continues on Slide 15.

Choose Receipts



The Zoom Arrow brings

up the transaction

In this view you can make any changes

you want

Then click OK

Click


Spending MoneyBackground

Use a separate cheque for each payment.

– This provides a clear audit trail for the expenses.

Payments are recorded Tax Inclusiveas this is how you receive the bills.

Insert a clear memo to assist with the audit trail.


Spending MoneyProcedure

Click Spend Money in the Banking control centre.

Insert the first cheque number.

– Future cheques update automatically.

Insert the details of the cheque.

Insert the allocation account.

Save as Recurring, or Record.


Spending MoneyThe first cheque

Insert the given payment

information

Click Save as Recurring

Click

Then click Record

Click


Bank ReconciliationImportant Points

Work from your records:– Using printouts or on-screen.

Click items that appear in your records and those of the bank.

Don’t click items not in the bank statement.

Add to your records any Bank Entriesof receipts or payments.


Bank ReconciliationProcedure

Click Reconcile Accounts.

Select the Cheque account number.

Insert the closing balance from the bank statement and its date.

Click in the ‘’ column items appearing in the bank statement.

Use the Bank Entry button to add new items from the bank statement.


Bank ReconciliationInitial information

Select 1-1110 Cheque Account

Click

Insert the New

Statement Balance

Click

Insert the Bank

Statement Date

Click

Then press Tab and all the transactions will appear.


Bank ReconciliationInput Bank information (1)

Click against all items that are in the Bank Statement

Click

ClickThen click

Bank Entry

We will now enter the Bank Fee and the account Interest.


Bank ReconciliationInput Bank information (2)

Insert the given charge and interest information

Then click Record

Click


Bank ReconciliationThe final act

The Out of Balance figure must be Zero

Zero

Then click ReconcileClick

Items not ticked this month can be expected to appear on next month’s bank statement.

Documents

Accounting with MYOB v15 - Studespace · Sutherland - MYOB Accounting Plus v18 - Cash Accounting - Page 45 3 Two Accounting Methods Accrual –Buy things on credit. –Sell things