Sales on Income Statement include Prior Year Sales

Probable Cause:

Sales accounts that belong on the Income Statement have been assigned numbers in the Balance Sheet range.

G/L accounts beginning with 100 - 499 are reserved for the Balance sheet.

G/L accounts beginning with 500 - 999 are reserved for the Income statement.

Some items should not post a "cost" figure to G/L. This is accomplished by giving a Sales G/L number to inventory items that is not in the 500 range. It is best to use the 700 G/L range of numbers for these "non-cost" items because both 500 and 700 are in the Income Statement ranges (500 - 999). 

Some customers have used the 300 range of G/L numbers for "non-cost" items and this causes a problem because the 300 range is a Balance Sheet account and G/L year end maintains a "Balance brought forward" from the previous year for ALL Balance Sheet accounts in the G/L YTD Master (Task 20 in the General Leger module).

Solution:

Contact us via fax at 248 583 4110 or e-mail, detailing which accounts need to be changed, and ask the programmers to run the incbal.scn program.  This program changes the account numbers on the following files from the, for example,  300 range to the 700 range.

G/L glamas.dat G/L master

G/L glamas.sav             G/L master last year

G/L ytdmas.dat             YTD master

G/L ytdmas.sav            YTD master last year

A/R sdbmas.dat            sales distribution

I/C invmas.dat              inventory master

O/E oedtrx.dat             new orders

O/E fodtrx.dat              finished orders