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Updating the ledgers

This option updates the sales and nominal ledgers with the invoice or credit note transaction information. Multiple invoices and credits can be updated at the same time, making the process quick and simple.

The customer records are updated with the total value of the invoices or credit notes in the batch, increasing or decreasing each account balance and turnover to date accordingly.

The debtors control account is updated with the gross amount, the sales tax control account is updated with the any VAT amount, and the sales nominal code is updated with the net amount, if VAT has been calculated, or the gross amount, if no VAT has been calculated.

To use the Update option

1.   From the Invoicing window, select the invoices or credit notes that you want to update to the ledgers > Update Ledgers.

   If no records are selected all unposted invoices and credit notes are updated.

2.  Choose the type of output you require for your report: Print, Preview or File > OK.
   • Print - The Print window appears. Use this to select which pages to print and change your printer settings if required.
   • Preview - The Update Ledgers Preview window appears showing the first page of the report in the batch. To print the report > Print.
   • File - The Save Report As window appears. Select a folder in which to store the file, enter the file name and from the drop-down list choose the type of file you want to create > Save.

On updating the invoices or credits the following actions take place automatically:

Sales Invoices

• A debit posting is made to the Debtors Control for the gross value.
• A credit posting is made to the nominal accounts specified for the net value.
• A credit posting is made to the VAT Sales Control for the VAT value.
• The In Stock quantity of each product on the invoice is reduced - Product Invoices not generated using the Sales Order Processing option only

Sales Credit Notes

• A credit posting is made to the debtors control account for the gross value.
• A debit posting is made to the nominal accounts specified for the net value.
• A debit posting is made to the VAT sales control account for the VAT value.
• The In Stock quantity of each product on the credit note is increased - Product Credit Notes only. If you do not wish to return these items into stock, you need to post an Adjustment Out for each product concerned.

Payments Against Invoices

• A debit posting is made to the selected bank account for the receipt value.
• A credit posting is made to the debtors control account for the receipt value.