22 Chart of accounts

22.2 Account configuration

Headers don’t have any configuration, other than their number and description. Accounts also have a number and description, but require additional configuration for the application to work correctly. The settings are described in the sections that follow.

22.2.1 Account options

  • •

    Contra This checkmark identifies the account as a contra account, which means that the account is going to hold the opposite of an account it’s associated with. A good example of this kind would be the depreciation account associated with a fixed asset account where the depreciation account contains the credit amount to be added to the original asset (debit) value to get the current asset value.

  • •

    Recon This checkmark identifies the account as one which needs reconciliation as described in Section 39.3 on page 39.3.

  • •

    Tax This checkmark identifies the account as a Tax (VAT) account. Tax accounts need to be further configured. See Chapter 23 starting at page 23 for further discussion of the subject.

22.2.2 Summary accounts

There are currently three types of summary accounts:

  1. 1.

    AR Marking an account as a summary account for AR means that all outstanding receivable amounts will be posted to this account. The Accounts Receivable administration will contain the details of which amount is owed by which customer.

  2. 2.

    AP Same as the AR account, except for amounts owed to vendors.

  3. 3.

    Inventory This account holds the monetary value equal to the items on stock.

22.2.3 Account inclusion in drop down lists

@@@ Add summary

Receivables & payables UI

  • Income (AR_amount)

    This check mark adds the account to the list of accounts in the transaction and invoice screens which are used to post income on.

  • Payment (AR_paid)

    This check mark adds the account to the list of accounts to choose from in the Receipts (AR) and Payments (AP) screens. Additionally, it adds the account to the part entry screen as described in Section 21.1.1 on page 21.1.1.

  • Tax (AR_tax)

    This check mark makes the account show up as a check mark on the customer (AR) or vendor (AP) entry screen. See Chapter 23 starting at page 23 for further discussion.

  • Overpayment (AR_overpayment)

    Adds the account to the receipts screen as discussed in Section 38.5 on page 38.5.

  • Discount (AR_discount)

    Adds the account to the customer entry screen’s selection list for accounts to post

The payables UI works the same way as the receivables UI. The difference is that the technical names of the configuration identifiers are prefixed by AP_ instead of AR_.

Tracking Items

The items on this line relate to stocked items, i.e. those tracked for inventory: parts and assemblies.

  1. Income (IC_sale)

    Adds the account to the selection list of income accounts on the part and assembly definition screens.

  2. COGS (IC_cogs)

    Adds the account to the selection list of COGS @@@ accounts on the part, assembly and overhead definition screen.

  3. Tax (IC_taxpart)

    Adds a check mark to the part and assembly definition screen for the applicable account. See Chapter 23 starting at page 23 for more details on how taxes work in LedgerSMB.

@@@ Question: Labor/Overhead accounts == inventory accounts??

Non-tracking items

The items on this line relate to untracked (non stocked) items, i.e. services.

  1. Income (IC_income)

    Adds the account to the income account selection list in the service definition screen.

  2. Expense (IC_expense)

    Adds the account to the expense account selection list in the service definition screen.

  3. Tax (IC_taxservice)

    Adds a check mark to the service definition screen for the applicable account. See Chapter 23 starting at page 23 for more details on how taxes work in LedgerSMB.

Fixed assets

  1. Fixed asset (Fixed_Asset)

    Marks the account as holding the original asset value for the fixed assets module, for some classes of fixed assets.

  2. Depreciation (Asset_Dep)

    Marks the account as holding the cumulative depreciation amount for the fixed assets module, for some classes of fixed assets.

  3. Expense (asset_expense)

    Adds the expense account to the selection list of the fixed assets accounting module. See Section 39.6 on page 39.6 for more details.

  4. Gain (asset_gain)

    Account to hold book value gain upon disposal of a fixed asset.

  5. Loss (asset_loss)

    Account to hold book value loss upon disposal of a fixed asset.