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FINANCE MANAGER II GENERAL LEDGER Lite USER'S MANUAL Version 1.3f Hooper International P.O. Box 62219 Colorado Springs, CO 80962 Copyright (C) 1986-1989 by Hooper International, Inc. All rights reserved. COPYRIGHT NOTICE FINANCE MANAGER is not a public domain program. It is Copyright (C) 1986-1989 by Hooper International. No part of this manual may be reproduced, translated, in any form or by any means, without the prior written permission of Hooper International. The software described in this manual is protected by copyright laws. Copyright (C) 1986-1989 Hooper International RESTRICTED PERMISSION TO COPY Clubs and other non-profit organizations are granted permission by Hooper International to copy the evaluation version of this program, as well as its documentation, for member use only. It is imperative that you be aware that said member use is subject to the following strictly-enforced restrictions: No price may be charged, by club or user group, for the software or documentation. A distribution fee may be charged solely for the cost of the diskette, as long as the total charge does not exceed $8. It is imperative that club members be informed of the user-support concept, which allows them to become familiar with FINANCE MANAGER through evaluation and hands-on use. It is also imperative that member users be informed that the program as well as its documentation is the sole property of Hooper International. Members, without exception, must be encouraged to support its use by sending their user payments directly to Hooper International. This software and documentation is fully copyrighted by Hooper International and may not be modified in any way or manner whatsoever. The complete package must be distributed intact, as a self-complementing unit. i WARRANTY INFORMATION HOOPER INTERNATIONAL LICENSES THIS SOFTWARE AND MANUAL "AS IS" WITHOUT WARRANTY OF ANY KIND, EITHER EXPRESSED OR IMPLIED, INCLUDING, BUT NOT LIMITED TO, THE PARTICULAR PURPOSE. HOOPER INTERNATIONAL DOES NOT WARRANT THAT THE "FINANCE MANAGER" SOFTWARE WILL MEET YOUR REQUIREMENTS, OR THAT THE OPERATION OF FINANCE MANAGER WILL BE UNINTERRUPTED OR ERROR FREE. IN NO EVENT WILL HOOPER INTERNATIONAL BE LIABLE FOR CONSEQUENTIAL, INCIDENTAL, INDIRECT OR OTHER DAMAGES, INCLUDING ANY LOST PROFITS, LOST SAVINGS, OR OTHER INCIDENTAL OR CONSEQUENTIAL DAMAGES ARISING OUT OF THE USE OF, OR INABILITY TO USE, THESE PROGRAMS, EVEN IF HOOPER INTERNATIONAL HAS BEEN ADVISED OF THE POSSIBILITY OF SUCH DAMAGES, OR FOR ANY CLAIM BY ANY OTHER PARTY. Please keep in mind, WE DO NOT ACCEPT RETURNS OR GIVE REFUNDS ON REGISTERED COPIES. Instead, we give you every opportunity to try the software before you decide to register your copy. We will, however, replace defective disks for a minimal shipping and handling charge of $5.00, for up to a period of 90 days from initial shipping date. Please note that defective disks must be returned prepaid and insured by sender. In this way, we are assured of complete customer satisfaction. And, as you can see, we value your business. Information in this manual is subject to change without notice and does not represent a commitment on the part of Hooper International. This product could include technical inaccuracies or typographical errors. Changes are periodically made to the information herein; these changes may be incorporated in new additions of this publication. PRODUCT INFORMATION FINANCE MANAGER II is an extraordinary, easy-to-understand, user-supported software package. Since we are dedicated to customer satisfaction, we heartily recommend that you take advantage of the incredible money-saving opportunity that we offer, allowing you to use the evaluation copy in order to determine its suitability to your individual financial application. Please do this, and discover for yourself that this software is easy to use and certainly what you've been hoping it would be, before registering your copy with us. We sincerely value customer satisfaction. Since we are so confident of your satisfaction with our software, we are able to offer evaluation copies at an unbelievable minimal cost to you. We therefore urge you to take advantage of inspecting and ii evaluating this software, including hands-on use for your particular needs and financial applications. This is an unprecedented opportunity for complete customer satisfaction before you make any outlay of money for an individually-registered copy. We want your name to be added to our ever-growing list of satisfied customers throughout the world! Finance Manager II General Ledger is User-Supported (Shareware) software. If you are using this software, and find it to be of value to you, your payment is necessary and appreciated. You are encouraged to copy this software and share it freely with others. You have the luxury of trying out the complete programs, at your own pace and in the comfort of your own home or workplace. This is not a crippled or "demo" copy, but the complete working version of the program. After you have used Finance Manager for a reasonable evaluation period you should either discontinue use of the program or purchase a licensed copy from Hooper International or from an authorized dealer. Your support is important and greatly appreciated. With it, User-supported (Shareware) authors are encouraged to design and distribute new products. Without it, a great deal of high quality, low cost software will cease to be available. _______ ____|__ | (tm) --| | |------------------ | ____|__ | Association of | | |_| Shareware |__| o | Professionals -----| | |-------------------- |___|___| MEMBER Hooper International is a member of the Assocication of Shareware Professionals and agrees with the association's standards of integrity in software distribution. iii FINANCE MANAGER II - GENERAL LEDGER Lite PREFACE Before Reading Any Further . . . If you are eager to get started, you might save time by reading the guidelines listed in this preface. Depending on your level of bookkeeping and computer expertise, certain sections of the manuals are more essential than others. If You've Already Used FINANCE MANAGER . . . If you already have a working knowledge of some of the earlier versions of FINANCE MANAGER, you will be pleased to see all of the specially-enhanced features of the FINANCE MANAGER II program. Before you start working, read the "Getting Started" section of this manual, which explains the new installation procedures. If you have any questions while you are working, simply refer to the documentation. If You Are An Experienced User of Menu-Driven Software . . . If you have used quite a few software packages, especially those designed for the IBM PC or compatibles, you are more familiar with the terms used for configuring your system. You might, therefore, want to take the following shortcuts: - Read the Introduction and Getting Started section of this manual. - Take a look at the sample accounts (HOME and WORK) on the DOCUMENTATION AND DEMO disk, while using the documentation as a guide and a reference. - Set up your own set of books by using the sample accounts as an example, or as a framework. Be sure to follow the guidelines and procedures as presented in the manual, and you'll be on your way to incredibly-easy, hassle-free bookkeeping. If You Are An Experienced Bookkeeper . . . If you have a working knowledge of bookkeeping and accounting, you will have an easier time understanding the terms used in the FINANCE MANAGER manuals. Initially, however, we recommend that you read all of the manuals in order to learn how to properly and completely utilize all of the fantastic features available to you. If You Have Little Or No Experience With Software Or Bookkeeping... PAGE 1 FINANCE MANAGER II - GENERAL LEDGER Lite If you have used few menu-driven software packages in the past, and you're not an expert bookkeeper, you would do well to make the whole thing easier for yourself by reading all manuals completely -- mentally following all of the procedures outlined. We strongly suggest that you read completely through the documentation at least once, merely to become familiar with some of the terms you will be expected to know. Next, repeat the documentation process, this time using the program. For All Users ... When using FINANCE MANAGER, keep in mind the steps listed below: - Format your new disks before beginning. (Inexperienced users sometimes forget this basic DOS step.) - Always use a backup copy of your program disk. (Inexperienced users are inclined to forget to save their original disk, to fall back on, should something happen to the disk they are using.) - Carefully follow all instructions in the manuals, for optimum understanding, before using FINANCE MANAGER. This guide is intended for use by all users of FINANCE MANAGER II. It does not assume that the user has extensive accounting expertise. It is suggested, however, that users with no accounting or bookkeeping background obtain a basic accounting textbook as a supplemental reference. If You Have Any Questions . . . If you have any questions or opinions about FINANCE MANAGER II, please return the User-Comment Form in the back of the manual. PAGE 2 FINANCE MANAGER II - GENERAL LEDGER Lite AUTHOR'S NOTES History of FINANCE MANAGER The FINANCE MANAGER series was created as a result of our own basic need for an affordable financial software package. We needed a simple and workable system, to keep track of both income and expenses. Unfortunately, the price for available software packages was prohibitive. Consequently, it became clear that a new and affordable program would have to be created and written by us, and it would have to eliminate the piles of notes and receipts that were needed each year in order to compute income taxes. In 1981, therefore, the original version of FINANCE MANAGER was created. It was written for the Atari 800, with 64K bytes of memory. This program provided a one-timeframe look at the entire fiscal year, while storing all necessary information from the inevitable notes and receipts. If bookkeeping was to become a "piece of cake", this was surely a sweet start! In 1983, the initial basic FINANCE MANAGER was converted to the widely accepted IBM PC format. This second version was splendidly enhanced, and was able to track finances by month instead of merely by year. Furthermore, it was now able to categorize assets and liabilities. At this stage, it became a true mini-bookkeeping system, and it was available to fit the limited budget of those who could not before afford an expensive software package. Friends and acquaintances, consequently, began using FINANCE MANAGER. Some of these early users were small business owners and entrepreneurs, while others simply needed FINANCE MANAGER to assist them with their ordinary, everyday personal finances and bookkeeping. They all, however, told their friends about the incredibly low cost and easy system they were using, inviting them to try it. This first group of users, many of whom had no accounting background, sent us valuable input in the form of suggestions and ideas. Expressing our sentiments, they wanted easy-to-use software that required minimal setup time. And, like us, they disliked the idea of spending outrageous amounts for expensive software packages. User needs in mind, FINANCE MANAGER evolved into a simple, but comprehensive, financial software package, yet offered at an incredibly low price that any computer user could afford. By early 1984, many more people were using our program, and telling us they loved it! Availability of FINANCE MANAGER An exceptional and workable program in hand, we decided to distribute as many copies as needed to people in need of an inexpensive, comprehensive bookkeeping system. As you are perhaps aware, we PAGE 3 FINANCE MANAGER II - GENERAL LEDGER Lite employed a user-support method of distribution, feeling it would prove to be a viable method of exposing computer users to our grass-roots, user-friendly program. By mid 1984, the program became available throughout the country, distributed through users' groups and computer clubs. We owe the success of FINANCE MANAGER to all of these interested early supporters who stood with us in the belief of quality, easy-to-use software, at unbelievably low cost. Today, most of our first users continue to use FINANCE MANAGER, and they continue to feel it is the best bookkeeping package available to them. Through the years, we have listened to what they needed and, because of their comments, ideas, and suggestions, FINANCE MANAGER has evolved and expanded to the greatly enhanced package that it is today. We sincerely thank all of our users for their continued support. By purchasing our program, and telling their friends how greatly it helps them, while easing their record-keeping burden, they have made it possible for us to offer further enhancements and welcome updates. There is no doubt that user support has put us where we are today. And it is gratifying to know that there are people who, on their own, pay for something that they have been invited to try without any initial pre-paid cash outlay. Our final pleasure and thanks comes when these same people send us their check, to pay for the product, because they genuinely enjoy using it. At this time, we continue to employ the user-support concept of distributing FINANCE MANAGER, knowing that most of you will register your copies with us, making it legal for you to use them. Your registration fee provides the resources to continually enhance FINANCE MANAGER, thus providing newer, updated versions for your ongoing needs. Needless to say, we are proud to present this new version for your inspection and, should you choose to use it, ask that you continue to support FINANCE MANAGER by promptly paying your registration fee. With your help, you may continue to count on our help. Moreover, we want you to know that we sincerely appreciate your cooperation, as well as your faith in us. PAGE 4 FINANCE MANAGER II - GENERAL LEDGER Lite FINANCE MANAGER SYSTEM FLOWCHART ------------------- | FINANCE MANAGER | | MASTER MENU | ------------------- | -------------------------------- | | | | | | | | SYSTEM GENERAL PRODUCT ORDER UTILITIES LEDGER INFORMATION FORM MENU MENU -------------------- | SYSTEM UTILITIES | | MENU | -------------------- | ------------------------- | | | | | | CHANGE CHANGE CHANGE DATE COMPANY SYSTEM NAME DEFAULTS PAGE 5 FINANCE MANAGER II - GENERAL LEDGER Lite TABLE OF CONTENTS COPYRIGHT NOTICE ............................................... i RESTRICTED PERMISSION TO COPY .................................. i WARRANTY INFORMATION ........................................... ii PRODUCT INFORMATION ............................................ ii PREFACE ........................................................ 1 AUTHOR'S NOTES ................................................. 3 SYSTEM FLOWCHARTS .............................................. 5 INTRODUCTION ................................................... 8 SECTION ONE - GETTING STARTED .................................. 9 1a - Essential hardware .................................... 9 1b - Installing Finance Manager ............................ 9 1c - Starting up the Finance Manager program ............... 11 1d - The sample accounts ................................... 13 1e - Unique functions of Finance Manager ................... 13 SECTION TWO - FINANCE MANAGER II MASTER MENU.................... 16 2a - System utilities menu ................................. 16 2b - Changing the date ..................................... 17 2c - Changing the company name ............................. 17 2d - Changing the system defaults .......................... 18 SECTION THREE - USER SUPPORT ................................... 21 3a - The user-supported concept ............................ 21 3b - If you have comments, suggestions, or questions ....... 22 3c - Why should I pay? .................................... 22 3d - Upgrade policy ........................................ 23 SECTION FOUR - GETTING STARTED - THE GENERAL LEDGER 4a - Introduction .......................................... 24 4b - General Ledger flowcharts ............................. 25 4c - Setting up your own books ............................. 27 SECTION FIVE - THE GENERAL LEDGER MAIN MENU .................... 28 SECTION SIX - THE CHART OF ACCOUNTS ............................ 29 6a - What is a Chart of Accounts? ......................... 29 6b - Types of account numbers .............................. 29 6c - Organization of the Chart of Accounts ................. 30 6d - Subtotals ............................................. 31 6e - Chart of Account data fields .......................... 31 6f - Getting familiar with the Chart of Accounts ........... 32 6g - Entering your Chart of Accounts ....................... 33 6h - Making changes/modifying the Chart of Accounts ........ 35 6i - Deleting Chart of Account numbers ..................... 35 6j - Creating a new set of books with the same Chart of Accounts ..................................... 36 6k - Suggested method for setting beginning balances ....... 36 SECTION SEVEN - INCOME AND EXPENSE BUDGET ...................... 38 PAGE 6 FINANCE MANAGER II - GENERAL LEDGER Lite SECTION EIGHT - TRANSACTIONS ................................... 40 8a - Entering transactions ................................. 40 8b - Entering multiple debit or credit transactions ........ 42 8c - Changing transactions ................................. 44 8d - Deleting transactions ................................. 45 8e - Points to remember .................................... 46 SECTION NINE - REPORTS ......................................... 47 9a - Explanations of reports ............................... 47 9b - General instructions for generating reports ........... 49 SECTION TEN - SORTING TRANSACTIONS ............................. 53 SECTION ELEVEN - CHANGING ACCOUNT NUMBERS ...................... 54 SECTION TWELVE - ENHANCEMENTS & HINTS .......................... 55 12a - Enhancements by version .............................. 55 12b - Helpful hints and suggestions ........................ 57 SECTION THIRTEEN - FINANCE MANAGER II DISK FILE NAMES .......... 58 APPENDIX A - BASIC ACCOUNTING PRINCIPLES ....................... 59 APPENDIX B - SAMPLE REPORTS .................................... 65 USER COMMENT FORM .............................................. 81 ORDER FORM ..................................................... 82 PAGE 7 FINANCE MANAGER II - GENERAL LEDGER Lite INTRODUCTION The proper management of financial resources is the determining factor in the survival of any business, large or small, public or private. FINANCE MANAGER II is a splendid tool for you, the small business owner or individual, to easily manage your financial resources. The program, moreover, is easy to follow and designed for those with a minimum of bookkeeping experience. General Information FINANCE MANAGER is a personal or small-business financial-management program for the IBM PC, XT, AT, and PS/2 (or compatibles ). It is thorough, efficient, and simple to use, consisting of a series of modules designed to assist the beginning or advanced user in managing all types of financial/bookkeeping systems. The modules may be used exclusive of one another (except for Account Reconciliation), or they may be used together, in any combination. The Accounts Payable, Receivable, and Payroll modules do however require the General Ledger module. Available separately, the modules are as follows (see order form at the back of this manual to order): General Ledger Account Reconciliation Accounts Payable Accounts Receivable Payroll Financial Utilities FINANCE MANAGER II will become an essential part of your own business and/or personal financial-management program. An exceptionally easy and low-cost way to manage your financial resources, FINANCE MANAGER II provides the best and most comprehensive personal or small-business financial program available. We look forward to hearing from you, and any comments about this program may be included on the user comment form on the last page of this manual. PAGE 8 FINANCE MANAGER II - GENERAL LEDGER Lite SECTION ONE - GETTING STARTED Before you initially start using FINANCE MANAGER II, be sure you take the time to learn some of the basic preliminary procedures necessary to operate the program, as well as being certain you know some of the basic overall system features. In this section, these elements are discussed in detail. 1a - ESSENTIAL HARDWARE The minimum system hardware requirements and options are as follows: REQUIRED: - IBM PC, XT, AT, or PS/2 (or compatibles) - Monochrome or color graphics board with 80-column display - 256K bytes memory - 2 floppy disk drives (or 1 high-density drive) - PC-DOS or MS-DOS (DOS Version 2.0 through 4.0) OPTIONAL: - Hard disk - 80-column (or 132-column) printer - Up to 640K memory - Hercules graphics card - EGA graphics card 1b - INSTALLING FINANCE MANAGER In order to run FINANCE MANAGER II for the first time, on your own computer, be sure to format your new blank disks (beginners tend to overlook this step). And remember, if you have received a new version of FINANCE MANAGER, you need to re-install it as if it were a new module. If you are installing a new version we suggest that you use new blank disks or if you are using a hard disk to delete all the old Finance Manager program files (be sure you do not delete your data files). The procedures for installing the disks are outlined in the steps below: Quick install for advanced DOS users: Make a backup copy of all the Finance Manager disks by using the DOS COPY *.* command and put the original disks away. Next copy all of the "HOME.*" and "WORK.*" files from these disks to a blank data disk. If you are using a hard disk, simply copy all of the Finance Manager disks into any directory (suggest directory name \FMGL). PAGE 9 FINANCE MANAGER II - GENERAL LEDGER Lite Next copy the CONFIG.SYS file from the General Ledger Master Program disk to your DOS power-up disk (or root directory for hard disk users). If you already have a CONFIG.SYS file be sure that you add the two commands "FILES=20" and "BUFFERS=20". To run Finance Manager type in "RUN" or "FMGL". You may also add a filename parameter when running FMGL (e.g. FMGL C:\FMGL\WORK). If you have two 360K floppy disk drives: 1. Using the DOS "FORMAT" command, format two blank disks. When installing Finance Manager the install procedure will ask you for your DOS disk used when you power-up your computer. It will add a CONFIG.SYS file to this disk (see DOS manual for details). If a CONFIG.SYS file already exists on this disk it will modify it (if nessessary). You will also need one additional disk to be used as your data disk when setting up your own set of books. (When formatting disks beginners should remember that the DOS disk goes in drive A, and the blank disk goes in drive B. Then type FORMAT B:). 2. Label each set of two disks as follows: The first is labeled "Program Disk", the second is labeled "Documentation and Demo Disk". Also label the additional data disk "Data Disk". 3. Put the ORIGINAL (not the blank disk) Finance Manager II General Ledger Master Program Disk in drive A. 4. From the A> prompt type in the command: INSTALL 5. Follow the instructions on the screen while running the INSTALL procedure. 6. After completing the INSTALL procedures, FILE AWAY the original FINANCE MANAGER II disks for safe keeping. You should never use the original disks. 7. Place your DOS power-up disk in drive A. 8. Re-boot the computer by using "Ctrl Alt Del" or by turning the power off and on. 9. Take the DOS power-up disk out of drive A and put in your newly-created FINANCE MANAGER II program disk (any module). 10. Place the Documentation and Demo Disk in drive B, in order to use the demo accounts. 11. Type in the command: RUN (or FMGL). 12. You should now be running FINANCE MANAGER II. If you are not, simply repeat steps 1 - 11. PAGE 10 FINANCE MANAGER II - GENERAL LEDGER Lite If you have a high density or 3 1/2" (at least 720K) disk drive: Follow instructions for two floppy-disk drives above. After you have completed the INSTALL procedure, you may opt to copy all of the files from the PROGRAM DISK and the DOCUMENTATION AND DEMO DISK on to one high-density disk. Another option, if you have more than one module, would be to copy all of the "FMGL.COM", "*.CHN", & "*.00?" files to one "PROGRAM DISK" (* and ? = any character) which would eliminate the need to swap disks when running different modules. If you have a hard disk: 1. Create a directory on your hard disk (e.g., MD \FMGL). 2. Change to this newly-created directory by using the DOS "CD" command (e.g., CD \FMGL). Remember, all programs, documentation and data will be placed in this directory. 3. Put the ORIGINAL (not the blank disk) Finance Manager II General Ledger Master Program Disk in drive A. 4. From the A> prompt type in the command: INSTALL 5. Follow the instructions on the screen while running the INSTALL procedure. 6. After completing the INSTALL procedures, FILE AWAY the original FINANCE MANAGER II disks for safe keeping. You should never use the original disks. 7. Re-boot the computer by using "Ctrl Alt Del", or simply by turning the power off and on. 8. Change to the newly created directory (as above). 9. Type in the command: RUN (or FMGL). 10. You should now be running FINANCE MANAGER II. If you are not, simply repeat above steps 1-9. 1c - STARTING UP THE FINANCE MANAGER II PROGRAM After you have installed your disks as outlined above, you are ready to start using FINANCE MANAGER II. To execute FINANCE MANAGER II on a regular basis, follow the procedures below: 1. Insert the FINANCE MANAGER II Program Disk, which you have created, into drive A. If you use a hard disk, simply change to your FINANCE MANAGER directory as above. 2. Insert your Data Disk (or Documentation and Demo Disk, to use the PAGE 11 FINANCE MANAGER II - GENERAL LEDGER Lite demo accounts) in drive B. This step is not necessary if you use a hard disk. 3. Type RUN. 4. The first screen contains a FINANCE MANAGER II logon notice. Press any key to continue. 5. The next screen asks you for your data disk drive, directory, and file name: ENTER DISK DRIVE(A-H):_: ENTER DIRECTORY:_______________________ ENTER FILE NAME:________ 6. Insert your Data Disk (or your Demo Disk, if using demo accounts) in drive B:. Then answer the "ENTER DISK DRIVE" prompt with "B". If using a hard disk, answer with "C". For advanced hard-disk users, you may wish to enter the directory (see your DOS manual) to select files in other directories. If you are using directories, enter your directory at the "ENTER DIRECTORY:" prompt. If not, simply press RETURN at this point. NOTE: When using the Demo accounts, use your DOCUMENTATION AND DEMO DISK. And when you want to set up your own set of books, use your blank DATA DISK which you created above. 7. At the "ENTER FILE NAME" prompt, type in the name of the file, or simply press ENTER to accept the name as shown. The existing files are listed at the bottom half of the screen. By using the left and right keypad arrows, you can change the default value in the "Filename" field. Typing in a filename which does not exist automatically creates a new data file with that name. To eliminate the need to enter the disk drive and the file name each time you run FINANCE MANAGER, you should modify the RUN.BAT file by adding a command line parameter to the "FMGL" command. For example, if you want to use drive B: at all times, and also want to use the file name "MYFILE", you should change (edit) the RUN.BAT file command "FMGL" to "FMGL B:MYFILE". (See your DOS manual on how to edit files using EDLIN). When you run FINANCE MANAGER, it will automatically use the selected file in drive B:, without again asking you. 8. You should now be at the FINANCE MANAGER II Master Menu (referred to as the "Master Menu"). 9. If, for example, you now want to run the General Ledger, press the F2 key (use the "F2" key on the left (or top) side of your keyboard) to run the General Ledger Main Menu. PAGE 12 FINANCE MANAGER II - GENERAL LEDGER Lite 1d - THE SAMPLE ACCOUNTS The HOME and WORK files mentioned above are two demo accounts which are included on the FINANCE MANAGER II Documentation & Demo Disk. They include a typical Chart of Accounts, to allow you to demo while you are learning the different functions of FINANCE MANAGER. They also provide you with a sample of the different types of transactions you may employ on the module you are using. If you are new to FINANCE MANAGER, print some reports while using the demo accounts, in order to familiarize yourself with the reports and functions of the module (see the reports section) Thoroughly analyze these reports, noting the types of transactions and which accounts were being used. This will be a tremendous help when you are entering your transactions, since most people employ similar types of transactions. It is important for you to understand that the sample packages included in the program have been created exclusively as instruction tools, to be used to help those who are learning to use FINANCE MANAGER. Please, do not try to expand them for use as your own Chart of Accounts, since they contain beginning balances as well as existing transactions. They are intended to be used merely as samples to facilitate the learning process. In order to use these sample accounts, follow all of the steps in "Starting Up the FINANCE MANAGER II Program" section above, selecting either the "HOME" or "WORK" file at the file name prompt. 1e - UNIQUE FUNCTIONS OF FINANCE MANAGER II THE ESCAPE (ESC) KEY: The Escape key plays a vital role when using FINANCE MANAGER II. First of all, it allows you to stop virtually any function, and get you back to where you were before you called something up. (Beginners, especially, will appreciate this function.) If you are at an input screen, and you do not want to continue to a new screen or a new transaction, the Escape key allows you to return to the menu. If you are entering data and you make an error in a certain field, the Escape key allows you to exit the function and return to the menu before any input data is saved. If you are already at a menu, Escape allows you to return to a previous menu. Selection ESC on the Master Menu is used to end the program, as well as to select a different set of books. If you would like to stop a report from printing, you can do so via the Escape key. PAGE 13 FINANCE MANAGER II - GENERAL LEDGER Lite INPUT and EDIT MODE: There are two different modes for entering data: the input mode and the edit mode. Certain keystrokes allow you to switch from input mode to edit mode. When entering data, the default is INPUT mode. To enter edit mode, press keypad "right arrow" when in position 1 of any field. While in edit mode, you may use the keypad arrows, as well as the Home, End, Ins, Del, and Backspace keys. To leave edit mode and enter input mode, move to the first position of the field by using the keypad "left arrow". Press the Backspace key. You are now in input mode. You can differentiate between edit and input mode by the highlighting shades. Simply remember that when the shading is solid, you are in input mode; when it is dotted, you are in edit mode. THE FUNCTION KEYS: At each of the FINANCE MANAGER II Menus, there is a series of "F" selections. The "F" or "function" keys are the two vertical rows of keys located on the far left side of the keyboard. These keys are used at the screen menus, in order to select the function you wish to do. BACKING UP TO When you are entering data in various fields, PREVIOUS FIELDS for instance, when you are entering the Chart of Accounts or transactions, you can back up to a previous field by pressing the Backspace key when you are in the first position of a given field. Likewise, you can move back to a previous field by pressing the keypad UP arrow key. You cannot use the keypad UP arrow when you are in a "Select" field. Examples of a "Select" field is the "Enter Filename" prompt discussed earlier in this section. Other examples of "Select" fields are the fields used for selecting account numbers in Chart of Accounts, budget, and transaction input. PRINTER PAUSE KEY When you are printing reports to your printer, or to the disk, you may "PAUSE" the report by pressing any key (except Esc) while it is printing. This will cause the report to pause until you press any key to continue. When using this feature, please remember that some printers PAGE 14 FINANCE MANAGER II - GENERAL LEDGER Lite have print buffers which will cause the printing to continue until this buffer is completely printed. It will only stop printing at that time. PAGE DOWN KEY (PgDn) The PgDn key may be used to accept the remaining default inputs on the screen (i.e. skip to bottom of screen) without the need to press the Enter (or Return) key at each input field. This is very useful, for example, when you need to change only one input field on a screen and need a fast way to skip to the bottom of the input screen. TAB & SHIFT TAB The Tab and Shift Tab keys duplicate the Enter and Backspace keys respectively. PAGE 15 FINANCE MANAGER II - GENERAL LEDGER Lite SECTION TWO - FINANCE MANAGER II MASTER MENU The FINANCE MANAGER II Master Menu is the first menu to appear after you log on (enter filename) to the system. The Master Menu appears as follows: --- FINANCE MANAGER II MASTER MENU --- | | | ESC End/Restart Program | | F1 System Utilities Menu | | F2 GENERAL LEDGER | | F3 Product Information Menu | | F4 Order Form | | | | | | | | | | | | ENTER YOUR SELECTION: | | | | | -------------------------------------- This documentation discusses getting started, as well as the System Utilities Menu. For explanations on how to use the other master menu selections, see the Users Manual for that selection. In the sections which follow, we will briefly discuss features of each of the other financial modules. 2a - SYSTEM UTILITIES MENU The System Utilities Menu, which is selection F1 on the Master Menu, contains functions which affect all of the modules. By selecting option F1, the System Utilities Menu appears as follows: PAGE 16 FINANCE MANAGER II - GENERAL LEDGER Lite ------- SYSTEM UTILITIES MENU -------- | | | ESC Return to Main Menu | | F1 Change Date | | F2 Change Company Name | | F3 Change System Defaults | | | | | | | | | | | | | | ENTER YOUR SELECTION: | | | | | -------------------------------------- The System Utilities menu allows you to change the system date (the date that prints on your reports), as well as the company name that prints on your reports, and the system defaults. 2b - CHANGING THE DATE Changing the date is only necessary if you have not set the date at the time you powered up your computer (either manually using the DOS DATE command, or automatically with an internal clock board). This is the date which will appear on your screen and on your printed reports. It is not used for any other function. Remember, it does not change the date of your system clock, and it will be automatically reset if you exit the program. If your computer does not set the time automatically, you should set a new date every time you run FINANCE MANAGER, or your reports will have the wrong date. The currently set date is shown in the upper left-hand corner of your screen. 1. To change the date, select F1 on the System Utilities Menu. The following prompt appears: REPORT HEADING DATE:__-__-__ 2. After typing in the desired date, press ENTER. 2c - CHANGING THE COMPANY NAME The "company name" is a two-line name which will appear at the top of your screen and on all reports. This name is tied to the current Chart of Accounts you are working on. It is, however, only used for report purposes and does not change your data file name. 1. Select F2 from the System Utilities menu. The following prompts appear: PAGE 17 FINANCE MANAGER II - GENERAL LEDGER Lite HEADING 1:______________________________ HEADING 2:______________________________ 2. At Line 1, type the new company name. 3. At Line 2, type any title which you would like on all reports. 2d - CHANGING THE SYSTEM DEFAULTS The system defaults are preset in the program. Remember, they do not have to be changed in order to run the program. Some of the parameters, however, may be reset or changed by you, depending on what type of hardware you have. Each set of books (data file) has its own configuration file, and must be set separately while using that set of books. To change the system defaults, follow the procedures listed below: 1. Select F3 from the System Utilities menu. The following screen appears: NUMBER OF LINES PER PAGE (Usually 66):__ SELECT PRINTER PORT:____ PRINTER CONTROL CODES (Escape Sequences): Optional Initialization Setup:___ ___ ___ ___ ___ ___ ___ ___ ___ ___ Compressed Mode (17 cpi):___ ___ ___ ___ ___ ___ ___ ___ ___ ___ Normal Mode (10 cpi):___ ___ ___ ___ ___ ___ ___ ___ ___ ___ 100% IBM COMPATIBLE (Y/N):_ DO YOU WANT NETWORK SUPPORT(Y/N):_ DO YOU WANT SOUND ON(Y/N):_ MOUSE SENSITIVITY 1=FAST,99=SLOW:_ DISPLAY DATE IN U.S. FORMAT(Y/N):_ DISPLAY SCREEN IN COLOR (Y/N):_ DOES PRINTER HAVE 14 INCH PAPER(Y/N):_ Foreground Color(0-15):_ PRINT ACCOUNTS WITH ZERO AMOUNTS(Y/N):_ Background Color(0-15):_ 2. "NUMBER OF LINES PER PAGE" refers to the number of lines on a page. This is usually 66 on 11-inch-long paper, printing at 6 lines per inch. For example, if the length of your paper is 11 inches long, you would multiply the paper length by the number of lines per inch (e.g. 11 X 6 = 66) to arrive at the 66 lines per page of paper. The number of actual lines printed is determined by the system, and is somewhat less, in order to leave a top and a bottom margin. 3. "SELECT PRINTER PORT" allows you to select the port you would like your printed reports to be sent to. If you have a parallel port printer enter "LPT1", "LPT2", "LST:", or "PRN:". If you have a serial port printer enter"COM1" or "COM2". If in doubt try "LST:" first. 4. The "PRINTER CONTROL CODES" are used to customize FINANCE MANAGER to your printer. The inputs for these fields are the escape sequences which change your printer modes (see your printer manual for proper codes). All inputs are numbers from 0 to 255. If you PAGE 18 FINANCE MANAGER II - GENERAL LEDGER Lite do not know what codes to use for your printer, simply leave all fields blank. a. The "Optional Initialization Setup" will allow you to send a special setup string to the printer when you run FINANCE MANAGER. It is usually blank, and usually is used only by advanced users. It may, for example, be used to move your printer's default left margin, or it may be used to change printer font you are using. b. The "Compressed Mode" is used to change your printer font to its 17-characters-per-inch compressed-font mode. For Epson, use "15" in the first field. c. The "Normal Mode" is to change your printer font back to its normal 10-characters-per-inch mode. For Epson, use "18" in the first field. 5. Answer the "100% IBM compatible" with "Y" (yes) if you have an IBM PC or a 100% clone equivalent to this machine. 6. Answer the "DO YOU WANT SOUND ON" prompt with "Y" if you want beeps and other sound effects activated. Otherwise enter "N". 7. If you live in the U.S.A., you will probably want to answer the "DISPLAY DATE IN U.S. FORMAT" prompt with "Y" (yes). This will cause all date displays and prompts to be in the MM-DD-YY format. If you answer with "N" (no), you will be using the DD.MM.YY date format. Be sure to note that when using the DD.MM.YY format, the time displays will be using a 24-hour time display, without "am" or "pm" (i.e. 18:00 instead of 6:00pm). 8. If you happen to have a wide-carriage printer, and are using 14'' paper, you should answer "DOES PRINTER HAVE 14" PAPER" with a "Y" (yes). This will allow you to print trended reports on the entire width of the paper. A "N" (no) answer to this prompt will keep all printouts within 8 1/2" (80 characters) of paper width. 9. If you prefer to skip the printing of accounts with zero amount balances, on reports, answer the "PRINT ACCOUNTS WITH ZERO AMOUNTS" prompt with a "N" (no). 10. Answer "DO YOU WANT NETWORK SUPPORT" with "Y" if you are using Finance Manager on a multi-user network. Otherwise answer with a "N". 11. Answer "MOUSE SENSITIVITY" with a number 1 through 99. The lower the number makes the sensitivity (motion detection) more sensitive. If you do not have a mouse enter zero "0". 12. Answer "DISPLAY SCREEN IN COLOR" with "Y" (yes) if you have a color display board and you would like FINANCE MANAGER to use color. If you select color, you will next be prompted for a "Foreground Color" and "Background Color". You must enter a number between 0 and 15 (as requested), and the Foreground Color must be different from the Background Color. A list of PAGE 19 FINANCE MANAGER II - GENERAL LEDGER Lite approximate colors selections is as follows: 0 = Black 4 = Red 1 = Blue 5 = Magenta 2 = Green 6 = Brown 3 = Cyan 7 = White 8 - 15 Give you the same colors as above but brighter (e.g. 9=light blue). Change or add any necessary default parameters. To do this, refer to the documentation for your individual hardware. After adding any data, press ENTER. If you wish to leave any field as is, press ENTER. In order to clear a field, enter a blank space. The above procedure will create a file called "????.CNF" on your data disk. The "????" will be replaced with the name of the data file you are working on (i.e. if you are using the HOME demo files, the file created will have a name of "HOME.CNF"). You should create a configuration file for each of your data files. Each data file thus has its own configuration. If you wish to save time, you may copy the configuration file from one set of books to another set by using the DOS "COPY" command. Four sample printer configuration files are on the GENERAL LEDGER DOCUMENTATION & DEMO DISK. These files can be copied to your DATA DISK and renamed to "????.CNF", where the "????" is the name of your data files. Select whichever file matches your printer brand. However, it is not necessary to use these files since they are only provided as sample configurations. These configuration filenames are as follows: EPSON.CNF, HP-LASER.CNF, JUKI.CNF, PROWRITE.CNF PAGE 20 FINANCE MANAGER II - GENERAL LEDGER Lite SECTION THREE - USER SUPPORT FINANCE MANAGER II IS USER-SUPPORTED SOFTWARE! If you are using this software, and find it to be of value to you, your payment is necessary and appreciated. The suggested purchase price is a true bargain. Please send your check or money order to: HOOPER INTERNATIONAL P.O. Box 62219 Colorado Springs, CO 80962 (719) 528-8989 24 HOUR ORDER LINE 1-800-245-7789 As a user of FINANCE MANAGER II, we invite you to share with your friends, and other users, by making a copy of the evaluation version of this program. For payment, we continue to employ the honor system, which has worked for us and for you, our user. In the long run, the $49.95 suggested price is incidental when compared to the many benefits and time-saving factors derived from using this superb program. We invite you to use, share, and enjoy! 3a - THE USER-SUPPORTED CONCEPT User-supported software is an experiment in the distribution of computer programs. It is based on the following beliefs: - The value and utility of software is best assessed by the user on his or her own system. - The creation of personal computer software can and should be supported by the computing community. - The copying of programs should be encouraged, rather than restricted. - Quality software should be available at reasonable cost. Anyone may request a copy of a user-supported program by sending a blank, formatted disk to the author of the program. An addressed, postage-paid return mailer must accompany the disk. A copy of the program, with documentation on the disk, is then sent by return mail. The program carries a notice suggesting a payment of the registration fee to the program's author. Free distribution of software, and voluntary payment for its use, eliminates costs for advertising and copy-protection schemes. Users obtain quality software at reduced cost. They have the advantage of trying the software before buying, and they can do so at their own pace and in the comfort of their own home or office. We all know the best programs survive, based purely on their quality and usefulness. Please join in the experiment. If you believe in these ideals, and PAGE 21 FINANCE MANAGER II - GENERAL LEDGER Lite use the program, your payment is necessary and solicited to help make the experiment viable and workable. 3b - IF YOU HAVE COMMENTS, SUGGESTIONS, OR QUESTIONS . . . It is our express goal to provide you with the highest-quality, easiest-to-use programs at the lowest price. The best way to receive help with your questions, or response to your suggestions, is to call or send a letter to us. Or simply use the User Comment Form on the last page of this manual. Be sure to carefully detail the problem and all symptoms (perhaps providing a printout as an example, if applicable). Please include a stamped, self-addressed return envelope. We will respond to all such questions, as soon as possible. Before writing or calling, however, we encourage you to please read over the documentation one more time, looking for an answer to your questions or a solution to your problem. If you are a REGISTERED USER you may call us at (719) 528-8989 for instant help with your problem or question. We do not charge for customer support like others. If you are NOT a REGISTERED USER (not having paid for your copy of the program), we may not be able to answer your questions specifically. The honor system must prove to be a viable method of distributing this program, and registering it in your name, in order for us to answer your questions about its use or specific applications of your needs. We're sure you understand that our time is a limited resource, and that it is only fair to spend it on our registered paid-in-full users. As you know, that's the way the system works! If you have any comments or suggestions regarding FINANCE MANAGER II, please let us know. We appreciate all comments and, in future versions of FINANCE MANAGER II, we will certainly implement the suggestions that are advantageous to other users as well. 3c - WHY SHOULD I PAY? You are trusted to use this copy of FINANCE MANAGER II for evaluation purposes only, until the requested payment is made. Some of the obvious reasons for sending in your payment are listed below: - When we receive your payment, we will send you a FREE COPY of our latest version of FINANCE MANAGER II. This is the version with the newest features and enhancements. Please note: NEW FEATURES ARE BEING ADDED REGULARLY TO THIS PROGRAM. - You will also receive the latest version of our complete Professional General Ledger package which includes many additional features. Some of these additional features include, Graphics, datafile merge capability, automatic updating of beginning balances at the beginning of each year, income & expense departments, PAGE 22 FINANCE MANAGER II - GENERAL LEDGER Lite interface to our other financial modules, etc.. - You will receive the complete documentation on the disk, and also have the option of purchasing a printed manual, as well as options to purchase our other available financial modules. - You will receive our quarterly newsletter which provides hints on using Finance Manager as well as keeps you abreast of new enhancements which become available. - You will be entitled to our free customer support whenever you have any questions or problems with operational procedures. - We will add your name to our list of registered users. As each new version comes out, you will automatically receive a mailing which gives you the option of buying the new version for a very nominal upgrade fee. - MAKE MONEY! When your friends register their copies and put your registration number on their order form YOU WILL RECEIVE A $10 COMMISSION CHECK FROM US. This commission does not apply for subsequent orders and will be paid once a quarter. - You will also receive a FREE CONVERSION PROGRAM (if necessary) to convert your existing Finance Manager II data files into the latest format without re-entering any of your data. - You will feel better about using FINANCE MANAGER II if you know you are a paid-in-full registered user. - Last, but not least, you will receive priority treatment if you call or write to us with problems or questions. 3d - UPGRADE POLICY As more fully outlined above, when you send in your payment with the version number of your copy, we will send you a registered copy of the latest version of FINANCE MANAGER II. You will then be automatically notified of all future releases. These will be available to you for a nominal upgrade fee (usually under $10). PAGE 23 FINANCE MANAGER II - GENERAL LEDGER Lite SECTION FOUR - GETTING STARTED - THE GENERAL LEDGER 4a - INTRODUCTION The FINANCE MANAGER - General Ledger module is a menu-driven, double-entry bookkeeping system which is suitable for personal or small business use. It is easy to use, but you must understand double-entry (debits and credits) bookkeeping. For the novice, sample accounts are provided to assist you in setting up your accounts, and examples of basic transactions are provided. The General Ledger keeps track of assets, liabilities, net worth, income, and expenses. It also assists the small business owner in spotting financial trends. The program records transactions, categorizes them into various accounts, and generates a variety of financial statements, reports, and graphs. In addition to being a powerful management tool for the small business, this module assists you, the individual, in the tasks necessary to keep track of your financial standing. It performs day-to-day functions such as monitoring the balances of bank accounts, credit cards, loans, etc. In addition, this module tracks how closely you are sticking to a budget. It documents all of your belongings, thus providing a backup record for insurance purposes. The General Ledger Module also provides a record of earnings and expenses, to assist you in preparing your income tax paperwork. The outstanding bookkeeping features in the General Ledger program include the following: * Maintains Accounts - Stores up to 1999 accounts - Tracks monthly budget for income and expense accounts - Maintains multiple sets of books (e.g. home and work) - Provides three subtotal levels - Maintains a detailed list of everything you own and everyone you owe - Variable fiscal year or accounting period capability * Records Transactions - Allows up to 32,000 transactions per year (3,800 with floppy disks) - Sorts transactions by date order or by input order - Permits multiple debits and credits per transaction - Allows user to easily correct and/or delete transactions - Provides a check number input field when entering transactions - Allows user to enter transactions from a previous month or year * Creates Financial Reports - Provides full range of financial reports PAGE 24 FINANCE MANAGER II - GENERAL LEDGER Lite - Reports by month, quarter or year - Provides summary or trended (by month) reports System Features of the FINANCE MANAGER General Ledger Program The advanced system features of FINANCE MANAGER include the following: * Defaults for input fields to minimize data entry * Validation of all inputs * Customized configuration * Ability to store reports to a disk file * Pop-up Chart of Accounts listing window when entering transactions. 4b - System Flowcharts ------------- | MAIN MENU | ------------- | ---------------------------------------------- | | | | | INPUT CHANGE/DELETE REPORTS CHART OF UTILITY TRANS TRANSACTIONS MENU ACCOUNTS MENU MENU ---------------- | REPORTS MENU | ---------------- | ---------------------------------------------------------------- | | | | | | | | | GENERAL | INCOME | SOURCES | CHART OF | TRIAL JOURNAL | STATEMENT | & USES | ACCOUNTS | BALANCE ACCOUNT BALANCE OF BUDGET BUDGET HISTORY SHEET FUNDS VARIANCE LISTING PAGE 25 FINANCE MANAGER II - GENERAL LEDGER Lite -------------------------- | CHART OF ACCOUNTS MENU | -------------------------- | --------------------- | | UPDATE INPUT/CHANGE CHART OF ACCOUNTS INCOME & EXPENSE BUDGETS ------------------ | UTILITIES MENU | ------------------ | --------------- | | SORT CHANGE TRANSACTIONS ACCOUNT NUM FOR ALL TRANSACTIONS PAGE 26 FINANCE MANAGER II - GENERAL LEDGER Lite 4c - SETTING UP YOUR OWN BOOKS Below is a list of steps to follow when using the FINANCE MANAGER General Ledger for the first time. This list assumes that you have read the getting started sections, and that you are now ready to set up your own "live" data files. These brief steps are not intended to replace reading the manual, but are merely intended to provide a systematic step-by-step way of getting going on your own. 1. If you have not already done so, follow the INSTALL procedures in section 1b. 2. Start FINANCE MANAGER (section 1c). To set up your own books you should have a blank data disk in drive B: (not necessary if you have a hard disk). 3. At the Disk drive prompt enter the drive letter where you want to put your data files, usually B: (or C: if you have a hard disk). 4. At the Enter Filename prompt, enter the name (any name) of the data file you want to create. Next, answer the Create File (Y/N) with a "Y". 5. Enter the two line company name you wish to see on your reports. (See Changing the company name in section 2c). 6. You will now be at the Master Menu. 7. OPTIONAL: If you wish you may go to the System Utilities Menu and change any system defaults. This may, however, be done at any time, and it is not necessary in order to run the General Ledger. 8. Next you must set up your Chart of Accounts (See Section Six - The Chart of Accounts). 9. After setting up your Accounts, you may print a copy of it using the Chart of Account Report (Section Nine - Reports). 10. You are now ready to Enter Transactions (Section Eight - Transactions). 11. After you have entered some transactions you may print a General Journal Report to see what you have done so far (Section Nine - Reports). 12. Print any other reports as required. The two most useful financial reports are the Income Statement and the Balance Sheet. Again these basic steps are only intended to show you the order of getting started with your own books. Please read all related sections before beginning. PAGE 27 FINANCE MANAGER II - GENERAL LEDGER Lite SECTION FIVE - THE GENERAL LEDGER MAIN MENU The General Ledger Main Menu is a starting point for virtually all of the FINANCE MANAGER features which are needed to perform the General Ledger functions. It may be compared to a "Table of Contents" for the General Ledger program. It can also guide you to all of the other sub-menus for the entire General Ledger program. The General Ledger Main Menu appears as follows: ------ GENERAL LEDGER MAIN MENU ------ | | | ESC Return to Master Menu | | F1 INPUT TRANSACTIONS | | F2 CHANGE/Delete Transactions | | F3 REPORTS Menu | | F4 CHART OF ACCOUNTS Menu | | F5 Utility Menu | | | | | | | | | | ENTER YOUR SELECTION: | | | | | -------------------------------------- Note that many of the selections are used to go on to other menus. All of the "F" selections are discussed in later sections in this documentation. PAGE 28 FINANCE MANAGER II - GENERAL LEDGER Lite SECTION SIX - THE CHART OF ACCOUNTS The Chart of Accounts is the foundation upon which your financial management program is built. Creating an accurate and logical Chart of Accounts is imperative, if you wish to correctly input and retrieve data. We strongly recommend that you review the sample Chart of Accounts on the two demo files, and use them as guides in setting up your own accounts. In this section, we first describe the elements included in a Chart of Accounts; then we describe the procedures for entering, changing, or deleting account numbers. If you don't have much expertise in double-entry bookkeeping, or in the terminology used, you will find it worthwhile to become acquainted with some of the basic principles described in Appendix A. The Chart of Accounts Menu is selection F4 at the General Ledger Main Menu. It appears as follows: ------ G/L CHART OF ACCOUNTS MENU ----- | | | ESC Return to GL Main Menu | | F1 Update Chart of Accounts | | F2 Input/Change Budgets | | | | | | | | | | | | | | | | ENTER YOUR SELECTION: | | | | | --------------------------------------- 6a - WHAT IS A CHART OF ACCOUNTS? The Chart of Accounts is a detailed listing of all your financial accounts. This listing includes all assets, liabilities, income and expenses. Also included are a Capital account and a Retained Earnings account. 6b - TYPES OF ACCOUNT NUMBERS Each transaction posted to FINANCE MANAGER, must be posted to at least two accounts from the Chart of Accounts. At least one account is debited, and at least one account is credited, during each transaction. A total of 1999 different accounts may be listed in your Chart of PAGE 29 FINANCE MANAGER II - GENERAL LEDGER Lite Accounts. Each account must be assigned a type code, and a number between 1 and 9999. The account types are represented as follows: A = ASSETS Money you have. Things you own. Money owed to you (includes cash, car, furniture, etc.). L = LIABILITIES Debts (e.g., loans, credit cards). C = CAPITAL OR EQUITY Starting net worth or money invested in company. R = RETAINED EARNINGS Used by the system to record net income and net equity (shows all profit related increases or decreases in equity). I = INCOME Earnings, paychecks, cash received. E = EXPENSE Money you pay out for goods or services (e.g., rent, gas, food, etc.). 6c - ORGANIZATION OF THE CHART OF ACCOUNTS A sample Chart of Accounts listing is included in Appendix B. After reviewing this listing, notice the following characteristics: - The Asset accounts are assigned the lowest numbers. Followed by Liabilities, Capital/Equity, Retained Earnings, Income, and then Expenses. - There is only one Retained Earnings "R" account type. - All accounts of the same type are grouped together. - Numbers are not assigned in immediate sequence. This helps when inserting new account numbers at a later date. New account numbers can be inserted in the most logical sequence. - We suggest assigning account numbers as listed below, so that all accounts of the same type are grouped together in the same series of account numbers: 1 - 1999 Assets 2000 - 2999 Liabilities 3000 - 3999 Capital and Retained Earnings 4000 - 4999 Income 5000 - 5999 Expenses - Account numbers ending with a 9 or a 99 are subtotal account numbers. PAGE 30 FINANCE MANAGER II - GENERAL LEDGER Lite 6d - SUBTOTALS Account numbers which end in "9" or "99" are reserved for subtotals in the Chart of Accounts. They are provided exclusively for you to use in defining your own subtotal groups. Again, by referring to the sample Chart of Accounts listing in Appendix B, or by looking at the Sample Accounts on your screen, you can see how the subtotals may be labeled and used. By referring to the sample Income Statement in Appendix B, you can see how FINANCE MANAGER calculates your designated totals and subtotals: - Subtotal group 1 consists of account numbers ending in "9". These account numbers provide a subtotal of all accounts of the same type since the last group 1 subtotal. - Subtotal group 2 uses accounts ending in "99". These accounts subtotal back to the previous 99. Also, group 2 accounts clear the balance of any group 1 subtotal account. - You do not need to assign an account number for Grand Totals. On reports, the FINANCE MANAGER program automatically creates a bottom line figure, or a Grand Total, for each account type. - You may set up as many or as few subtotal accounts as you wish. The only restriction is in the number of eligible account numbers between 9 and 9999. The General Ledger Program allows a total of 1999 actual accounts. - Subtotal numbers should be assigned the same account type as the group of accounts for which they are creating subtotals. - Subtotals should each be assigned a unique, descriptive name. As mentioned above, these accounts are for subtotals only. They do not have beginning balances, and you are not allowed to post transactions to them. 6e - CHART OF ACCOUNTS DATA FIELDS Each account in the Chart of Accounts includes several elements. These elements, or fields, are used when entering data for each account. The method for entering accounts is described later in this section. The data fields are defined below: ACCOUNT NUMBER The first field entered is the account number. If the account is a normal account (as opposed to a subtotal account), FINANCE MANAGER prompts you for all of the fields listed below. If the account is a subtotal account (determined by whether or not the number ends with a "9"), the program prompts you for all of the information listed below except the Beginning Balance. PAGE 31 FINANCE MANAGER II - GENERAL LEDGER Lite ACCOUNT NAME The account name entered should clearly identify the specific account or subtotal field. ACCOUNT TYPE This field consists of a one-character account identification. The following values are the only values allowed: A, L, C, R, I, or E. BEGINNING BALANCE The beginning balance is usually zero, but the beginning-balance option is provided for your convenience. Any time you enter a beginning balance of more than zero, or make a change to a beginning balance, you run the risk of an out-of-balance situation. The default value for the beginning balance is zero. You cannot enter a beginning balance on subtotal accounts. PLEASE NOTE: Income & expense accounts are period accounts and thus do not have a beginning balance. Balances for these accounts are changed by entering transactions. NOTE: When you enter amounts, use a positive number. A positive beginning balance is always the normal balance associated with that specific account type (e.g., Assets = debit, Liabilities = credit, etc.) See Appendix A for a detailed explanation. 6f - GETTING FAMILIAR WITH THE CHART OF ACCOUNTS Before beginning to enter your own Chart of Accounts, follow the procedures listed below, using only the Demo Accounts. 1. After starting FINANCE MANAGER , select your "set of books" (see the Getting Started section). For learning purposes, select the file "HOME". At the FINANCE MANAGER Master Menu, select F2. 2. Now you are at the General Ledger Main Menu. Select F4. This brings you to the General Ledger Chart of Accounts Menu. 3. At the General Ledger Chart of Accounts Menu, select F1. The next screen displays the following fields: Enter Account Number (1-9999):____ Enter Account Name:_________________________ Enter Account Type (A,L,C,R,I,E):_ Enter Beginning Balance:_________ 4. The cursor will be positioned at the "Enter Account Number" prompt. On the lower half of your screen, you can see a portion of the PAGE 32 FINANCE MANAGER II - GENERAL LEDGER Lite active Chart of Accounts. Seeing your accounts as they appear in the Chart of Accounts is helpful when you are inserting new accounts into an existing Chart of Accounts. The highlighted account is a pointer, showing the selected account. To move the highlighted account up or down, press the up or down arrows on the keypad while the cursor is positioned at the Enter Account Number prompt. If you move the default pointer down a few lines, notice how the list scrolls. You may select an existing account number by moving the highlighted pointer up or down to the desired account and then press ENTER. To set up a NEW account number you must type in a new account number. Again, notice how the Demo file Chart of Accounts is organized. These are typical examples of Chart of Accounts. 5. If you like, enter some data into the Sample Accounts for practice. 6. To return to the Chart of Accounts Menu, press ESC. Before entering your own Chart of Accounts, practice by entering a new account number into one of the existing sample accounts. This will familiarize you with how to enter/change account numbers. 6g - ENTERING YOUR CHART OF ACCOUNTS When you actually enter your own Chart of Accounts, it would be a good idea to collate your paperwork, checks, statements, etc. in a logical account number and order type (i.e. Put all assets together in the order you want them to appear on reports, but don't forget about possible subtotals). When you enter your Chart of Accounts, be sure to have an organized plan of the different accounts you wish to enter. You may wish to use the sample accounts as an example, but you should not use the Demo files as your own accounts. You must create a new file and enter all new accounts. To create a new file, first return to the FINANCE MANAGER Master Menu (Press the ESC key until your are there). When you are at the Master Menu, enter one more ESC. The program will then prompt "DO YOU WANT TO RESTART (Y/N):_" Enter "Y". Read over the Getting Started Section for detailed instructions on assigning/creating a filename and new database. NOTE: Remember, if you have a hard disk, your new file should be created on drive C:. If you have two floppy disks, your new file should be created on drive B:. Keep this in mind when you are entering the disk drive prompt data. PAGE 33 FINANCE MANAGER II - GENERAL LEDGER Lite After creating a new file, you are ready to enter your new Chart of Accounts. The procedures listed below may be used as an example either when trying to enter new accounts into the existing Sample Accounts, or when entering your own Chart of Accounts. 1. Select F1 at the Chart of Accounts Menu. 2. At the input screen, the cursor should be positioned at the "Enter Account Number" prompt. Unless you are entering your very first account number into a new Chart of Accounts, there should already be default data in this field. 3. Instead of using the default data, enter a new number. For example, you might want to enter an account for a Certificate of Deposit. Since this account is an asset, it would be assigned a number between 1 and 1999. 4. First, enter the account number. For example: Enter Account Number (1-9999):550_ 5. Assign the account name: Enter Account Name:Certificate of Deposit___ 6. Assign the account type: Enter Account Type (A,L,C,R,I,E):A 7. Enter the beginning balance: Enter Beginning Balance:0________ When entering beginning balances the program will inform you that you are out of balance. This is normal until you have entered all of your beginning balances. See section 6k - Setting Beginning Balances for more information. 8. If you make a mistake in a previous field and would like to change it, you can go back to a previous field by pressing the Backspace key. 9. Once all of the data has been entered correctly, answer "Y" at the "ARE INPUTS CORRECT Y/N:". (If you want to answer "N", the cursor returns to the account number prompt and the previous input is ignored.) 10. Your new account is now entered into the FINANCE MANAGER Chart of Accounts. NOTE: Please note that the account number just added is now inserted into the Chart of Accounts window at the bottom half of your screen. Use the cursor keys, when at the account number field described above, when you wish to scroll through the active account numbers to find the one you just added. If you have added your account PAGE 34 FINANCE MANAGER II - GENERAL LEDGER Lite correctly, it will now be in numeric order in this list. 11. The cursor should once again be at the account number field. Repeat steps 2 - 10 until you have finished entering all of your initial Chart of Account accounts. To return to the Chart of Accounts menu at any time, enter ESC. 12. Any time you need to print a current Chart of Accounts listing, you can do so by using the Reports Menu (see Section 9 - Chart of Accounts report). 6h - MAKING CHANGES/MODIFYING THE CHART OF ACCOUNTS The steps below outline the procedure for making a change in the Chart of Accounts. 1. Select F1 at the Chart of Accounts Menu. 2. With the cursor at the account number prompt, type in the account number you wish to change. Instead of typing a number, you may accept the default account by simply pressing ENTER. To choose a different account, move the highlighted pointer line by using the up and down keypad arrows. 3. Because the account number you have entered is an existing account, the system prompts: ACTIVE ACCOUNT Modify/Delete/Quit(M/D/Q):_ Answer this prompt with "M". You are now in the change mode. 4. Make any desired changes. Press ENTER to leave any field as is. (the account number itself can not be modified, to change account numbers you must delete the account and add a new account). 5. If you would like to go back to a previous field while you are entering data, you may do so by pressing the Backspace key. 6. After you have entered data in and/or skipped over all of the input fields, the system prompts "ARE INPUTS CORRECT Y/N:" Press "Y" to accept your changes. If you enter "N" instead, the system ignores any modifications and the cursor returns to the account number field. 6i - DELETING CHART OF ACCOUNT NUMBERS When deleting account numbers from the chart of accounts there must be a zero beginning balance on the account, and there may be no transactions using that account number. If there is a beginning balance or transactions for the account to be deleted, FINANCE MANAGER will not allow the account to be deleted. If you have a beginning PAGE 35 FINANCE MANAGER II - GENERAL LEDGER Lite balance, or transactions for the account, you must follow the steps listed below in order to delete the account. Practice deleting accounts from the Sample Accounts before deleting an account from your own Chart of Accounts. 1. If there is a beginning balance on the account, you must move the beginning balance amount to a new account number. Do this by ADDING the beginning balance from this account, to the beginning balance of another account. Next, change the beginning balance to zero on the account to be deleted. This procedure will ensure that after you delete the account you will still be in balance. 2. If there are any transactions for the account number you are trying to delete, FINANCE MANAGER will tell you so. In order to remove these transactions, you should follow the procedures in Section Eleven - Changing Account Numbers. 3. After successfully following steps one and two, as shown above, you will now be allowed to delete the account. 4. To actually delete the account, select F1 at the Chart of Accounts Menu. 5. Then enter the number of the account to be deleted while at the Enter Account Number prompt. The system will then prompt: ACTIVE ACCOUNT Modify/Delete/Quit(M/D/Q):_ 6. Select "D". The account is removed. If the account has either a beginning balance, or transactions, the system will tell you and the deletion will not be completed. 6j - CREATING A NEW SET OF BOOKS WITH THE SAME CHART OF ACCOUNTS To create a set of books for a different company or name, but with the same Chart of Accounts, copy the "[filename].CHR" file from your data disk to a new data disk. Then, rename the file. By doing this, you can avoid the process of re-entering the Chart of Accounts. Next, it is important that you set the beginning balances for all accounts to zero. 6k - SUGGESTED METHOD FOR SETTING BEGINNING BALANCES When setting up your books for the first time, you must set your beginning balances. If you are starting a new company, your beginning balances would be zero, so this section obviously wouldn't apply to you. PAGE 36 FINANCE MANAGER II - GENERAL LEDGER Lite The method for setting the beginning balances is explained below: 1. This method is to enter beginning balances when setting up your Chart of Accounts. Please note that while you are setting up account numbers with beginning balances, the system will tell you how much you are out of balance. Do not be concerned with this out-of-balance condition before all of your Asset and Liability accounts are added, and your beginning balances are set. 2. After you have finished entering all of your Asset and Liability beginning balances, you would normally be out of balance by the difference between your total assets, less your total liabilities (this is the out-of-balance amount shown on your screen). Enter this difference in your first Capital/Equity type "C" account beginning balance. This amount is your starting Equity. After doing this, the out-of-balance message will go away. PAGE 37 FINANCE MANAGER II - GENERAL LEDGER Lite SECTION SEVEN - INCOME AND EXPENSE BUDGET FINANCE MANAGER allows you to keep track of your budget for any given income or expense account. You can determine how closely you are adhering to your budget by printing the Budget Variance report (See section nine "Reports" and also Appendix B for examples). The procedures in this section describe how to add budget amounts to your FINANCE MANAGER database: 1. At the Chart of Accounts Menu, select F2. 2. The following screen appears: Enter Month of Budget (1-13):__ (13=ALL MONTHS) Enter Account Number (1-9999):____ Enter JANUARY Budget:_______ 3. Enter the month number of the budget you would like to enter. Enter Month of Budget (1-13):13 Month 13 is used for all months. For example, if you want to set up a budget for your car payment, which is the same every month, you would select month 13. When entering the monthly Budget amount, this amount would be entered in all 12 months. This eliminates having to enter the same budget figure 12 times (one for each month). 4. At the Enter Account Number, you should enter the account number for which you would like to set up a budget. Enter Account Number (1-9999):5000 This account number must be an active Income or Expense account which has previously been set up during your Chart of Accounts setup. This field works similar to the account number field used in the Chart of accounts setup. The active income and expense accounts which may have budget amounts assigned to them, are listed at the bottom half of the screen. The current selected account, and it's default data, are highlighted in the Chart of Accounts window. Remember, the highlighted default account pointer can be moved up/down via the up/down keypad arrow key. The selected budget month can also be changed by using the left/right keypad arrow keys to move to the next or previous month. The keypad arrow keys are only active when at the Enter Account Number field. 5. Next,enter the monthly budget amount for the selected month. Enter ALL MONTH Budget:200____ After you have entered this amount you will return to the Enter PAGE 38 FINANCE MANAGER II - GENERAL LEDGER Lite Account Number field and you may enter a budget for another account or month. You may now select another account number, or use the BACKSPACE key (or left/right keypad keys) to change the month number. When you have finished entering budget data, press ESC to return to the Chart of Accounts Menu. At that point your budget will be written to disk and saved. You may print a copy of all of your budget data by printing the Budget Listing report (see Section Nine on reports). As mentioned above, the budget data you enter is reported in the Budget Variance report. The Budget Variance report can be run either as a year-to-date cumulative report, or as a trended (by month) report. PAGE 39 FINANCE MANAGER II - GENERAL LEDGER Lite SECTION EIGHT - TRANSACTIONS Any transaction which changes your financial standing, such as from making a savings account deposit to being charged interest on a loan, should be recorded in your FINANCE MANAGER program. These transactions are recorded via Journal Entries. We refer to Journal Entries as "Transactions". Anything affecting your Balance Sheet, or Income Statement position, (i.e. anything involving money) needs to be stored in FINANCE MANAGER as a transaction. 8a - ENTERING TRANSACTIONS Each transaction involves the debiting of one account, and the crediting of another account. When entering debits and credits, an easy rule to remember is that a credit is where money (or funds) come from, and a debit is where money goes to. If you are new to double entry bookkeeping, some basic sample transactions are included on the demo accounts. Print a General Journal report (see Section Nine) to get a listing of these sample transactions. As you enter each transaction, FINANCE MANAGER checks it to ensure that it is in balance (i.e. Debit amounts = Credit amounts). If your accounts in your Chart of Accounts have been set up in balance, FINANCE MANAGER will always keep your accounts in balance. 1. To begin entering transactions, select F1 "Input Transactions" at the General Ledger Main Menu. The following screen appears: Item Date:__-__-__ Description:_____________________ DEBIT:Check Num:_____ Account Number:____ Amount:_________ CREDIT:Check Num:_____ Account Number:____ Amount:_________ 2. When entering transactions, the last transaction entered always provides the default data (unless, of course, this is your very first FINANCE MANAGER transaction). To accept default data in any field, simply press ENTER in that field. 3. Enter the Item Date: Item Date:_1-12-87 The item date is the date on which the actual transaction occurred. 4. Enter the description: Description:Safeway Food Store___ The "Description" field may be used to specify the purpose of the transaction. For example, you may want to indicate why or PAGE 40 FINANCE MANAGER II - GENERAL LEDGER Lite to whom a check was written. 5. Enter the debit check number: DEBIT:Check Num:____ In the Check Num field, you may enter the check number for the transaction, or you may use the field to indicate other qualities about the transaction. For instance, if the transaction involved an automated teller, you might indicate "ATM" in the check number field. If the transaction involved a deposit, you might want to indicate "DEP" in the check number field. In this case, we would leave the field blank since the check is written as a credit, and the check number would be entered in the credit check number field. If this would have been a deposit, we might have put "DEP" in this field. FINANCE MANAGER can automatically increment the check number for you, once the initial check number has been input. To increment check numbers, press "+" and ENTER. Also, you have an option of entering "=" which will make the check number the same as your last transactions check number. To clear a check number just enter a space and press ENTER. 6. Enter the debit account number: Account Number:5050 [Food] At the debit and credit Account prompt, you may fill in the account number, or you can choose the account (the Chart of Accounts are highlighted on the lower half of the screen) by using the keypad arrows with Num Lock off. Press ENTER when the highlighted account has been selected. 7. Enter the debit amount: Amount:143.27___ This is the amount of the check written to Safeway Food Store. 8. Enter the credit check number: CREDIT:Check Num:1234 As this example is for a check written the check number should be entered. Also, see debit check number above. 9. Enter the credit account number: Account Number:1010 [Checking Account] 10. Enter the credit amount: Amount:143.27___ PAGE 41 FINANCE MANAGER II - GENERAL LEDGER Lite The Debit Amount/Credit Amount should, in most cases, match one another. If you do not enter a credit amount, the program defaults to the same amount as the debit amount. If the debit and credit amounts do not match, the program tells you that your account is out of balance. If you need multiple debit or credit transactions, refer to section 8b "Entering Multiple Debit or Credit Transactions" below). 11. If you are entering a transaction and you want to go back to a previous field, you can back up by using the Backspace key. 12. You may abort the transaction at any time by pressing ESC. 13. To accept the transaction: ARE INPUTS CORRECT (Y/N):Y Answer the prompt with "Y". FINANCE MANAGER will accept the transaction. The cursor will then return to the Item Date field ready for the next transaction. If you answer this prompt with a "N" you will return to the date field and be allowed to make any changes/corrections necessary. 14. After you have entered all desired transactions, press ESC to return to the General Ledger Main Menu. 8b - ENTERING MULTIPLE DEBIT OR CREDIT TRANSACTIONS Most transactions have only one debit and one credit. There are some instances, however, when there are several debits or credits for a single transaction. FINANCE MANAGER allows for multiple debit and/or credit entry, thus preventing out of balance situations. The maximum parts in one transaction is 25. Multiple debit or credit transactions are entered just like any other transaction, except the initial debit and credit amounts are different. For example: You would like to record a furniture purchase of $100.00. The check was written for $105.50 because of sales tax. You have decided to record your sales tax in a separate account, so you need to debit both "Furniture" [Asset] and "Sales Tax" [Expense]. This transaction has two debits and one credit. To complete this transaction, follow the steps outlined below: 1. Follow steps 1-5 in "Entering Transactions". 2. Enter the debit account number: Account Number:1700 [furniture] PAGE 42 FINANCE MANAGER II - GENERAL LEDGER Lite 3. Enter the subtotal purchase amount: Amount:100.00 4. Enter the check number for the credit account: CREDIT:Check Num:1023 5. Enter the account number: Account Number:1010 [Checking Account] 6. Enter the credit amount: Amount: 105.50 7. At the prompt, answer "Y". ARE INPUTS CORRECT (Y/N):Y 8. At the "Out of Balance" prompt, answer "Y". TRANSACTION IS OUT OF BALANCE, CONTINUE (Y/N):Y 9. When the screen reappears, notice that there is a column labeled "CUM AMT", at the right,which registers the cumulative credit and debit amounts. 10. Now the second part of the transaction needs to be recorded, namely, the recording of the sales tax for the transaction. 11. Enter the debit account number: Account Number:5670 [sales tax] 12. Enter the sales tax amount: Amount:5.50 Note that the system default for the debit amount field is the cumulative remaining amount to balance the transaction. 13. Answer the "ARE INPUTS CORRECT" prompt with a "Y": ARE INPUTS CORRECT (Y/N):Y 14. In this example, the transaction would now be in balance. You may, in some cases, have a situation in which there are more than two debits for one credit, or multiple credits for one debit. FINANCE MANAGER continues to prompt you for more debit/credit amounts until the transaction is in balance, up to a maximum of 25 parts. You can have FINANCE MANAGER calculate the amount needed to balance the transaction by pressing ENTER while in the amount field. Also of note: When you are entering multiple transactions, FINANCE PAGE 43 FINANCE MANAGER II - GENERAL LEDGER Lite MANAGER will go to either the debit or credit side of the transaction, depending on which has a lower cumulative amount. If you wish to put an amount on the other side of the transaction, move forward or backward by using the return and backspace keys respectively. 8c - CHANGING TRANSACTIONS If you discover an error in an earlier transaction, or if you would like to change previously entered information, FINANCE MANAGER allows you to do so. Outlined below are the procedures for changing previously entered transactions: 1. Select "F2" at the General Ledger Main Menu. 2. The system prompts you for "Transaction Search Data". 3. Enter data in the fields which you want to match that data. For example, if you want to search for all transactions which have a description of "Safeway Food Store", you would move to the description field and enter that description. Upper and lower case do not matter, and you do not have to complete the description. For example, if you entered only the first part of the description, "safe", FINANCE MANAGER will find all descriptions which begin with the letters "safe" (i.e. "Safeway Food Store"). You could also add a month and year parameter to the search, and you would find only the "safe" descriptions in a particular month. Any field left blank is an assumed wildcard for that field. Therefore, if you leave ALL of the fields blank, all transactions are selected by the search. While you are at one of the Account Number fields and do not remember the account number you are seeking press "F2" and a pop-up window will appear to select your account number from. To remove the select-an-account window press the Esc or Enter keys. 4. Next, FINANCE MANAGER searches for all transactions containing the values you have specified. As each transaction is displayed, the program displays the following prompt: Modify/Delete/Continue/Reverse/Begin/End/+/-/Quit: You must select M,D,C,R,B,E,+,-, or Q. Where: M = Modify (change) transaction shown. D = Delete (remove) transaction shown. C = Continue (find next transaction that matches search). R = Reverse continue (find prior tran. that matches search). B = Beginning (go to first transaction in file). E = Ending (go to last transaction in file). + = Go to next consecutive transaction in file. - = Go to prior consecutive transaction in file. PAGE 44 FINANCE MANAGER II - GENERAL LEDGER Lite Q = Quit transaction search. 5. As long as you continue to answer the above prompt with "C", FINANCE MANAGER continues searching for all transactions containing the values you have specified. Selecting "R" does the same as "C" except it searches backwards. 6. Answering the prompt with a "+" causes FINANCE MANAGER to display the next consecutive transaction; a "-" shows you the previous transaction. 7. Entering a "B" or an "E" will take you to the Beginning or End of the transaction file respectivly. It ignores your search paramaters. 8. When the search function displays the transaction you wish to change, answer the prompt with an "M" (Modify). 9. You are now in the change mode. ENTER leaves a field unchanged. Change data in any field by typing in the new value for the given field. 10. If you have made a mistake, or would like to return to a previous field, use the Backspace key. Use the ESC key to ignore your changes and return to the Main Menu. 11. If your changes cause the transaction to be out of balance, the system will not accept your change. You must re-enter your changes, making sure your cumulative debits equal cumulative credits. NOTE: If you are changing a transaction with multiple debits and/or credits you can not change the number of parts the transaction had originally. If you need to change the number of parts of a transaction we suggest that you delete the old transaction and add a completely new one. 8d - DELETING TRANSACTIONS To delete or remove a transaction permanently, do the following: 1. Select F2 at the General Ledger Main Menu. 2. Enter search data and find desired transaction as described in "Changing Transactions". 3. When the transaction you wish to delete is displayed on the screen, answer "D" at the: Modify/Delete/Continue/Reverse/Begin/End/+/-/Quit: 4. When you are deleting a multiple part transaction, all parts of the transaction are deleted. PAGE 45 FINANCE MANAGER II - GENERAL LEDGER Lite 5. After you have deleted the desired transaction(s), you may use the "Sort" function (See Section Ten). When sorting the transactions, the program frees disk space formerly used by deleted transactions. 8e - POINTS TO REMEMBER Each transaction must have at least one debit and one credit. When entering transactions, try to remember that when you write a check, in most cases the transaction should reflect a credit to your checking account. Likewise, when you make a deposit to a bank account, the transaction usually should reflect a debit to the bank account. ANOTHER WAY OF REMEMBERING DEBITS AND CREDITS: A CREDIT IS WHERE MONEY CAME FROM AND A DEBIT IS WHERE MONEY IS GOING TO. PAGE 46 FINANCE MANAGER II - GENERAL LEDGER Lite SECTION NINE - REPORTS FINANCE MANAGER Reports Menu allows you to generate a full spectrum of financial statements from your own database. The Reports Menu (F3 on the General Ledger Main Menu) appears as follows: ----- GENERAL LEDGER REPORTS MENU ---- | | | ESC Return to GL Main Menu | | F1 GENERAL JOURNAL | | F2 Account History | | F3 INCOME STATEMENT | | F4 BALANCE SHEET | | F5 Sources & Uses of Funds | | F6 Budget Variance | | F7 CHART OF ACCOUNTS | | F8 Budget Listing | | F9 Trial Balance | | | | ENTER YOUR SELECTION: | | | -------------------------------------- Explanations of the available reports are listed below. Examples of the reports are shown in Appendix B. Reports can be generated to show financial standing for a month, a range of months, a quarter, a year, etc. In this section, we discuss how reports can help you to get optimum results from your FINANCE MANAGER program. 9a - EXPLANATIONS OF REPORTS Each of the available FINANCE MANAGER General Ledger reports are described below. Samples of these reports are shown in Appendix B or may be printed while using the DEMO accounts (see Getting Started Section). General Journal Report: This report is a listing of all transactions which took place during a specified period of time. Account History: An Account History Report can trace the transaction activity against given account numbers from your Chart of Accounts. You can specify only one account, or you can get a history for all of your accounts. This report is excellent for keeping track of your checking account activity. It is also very helpful in tracking loan payments, thus monitoring your loan balance. It can help keep track of variations in monthly utility or phone bills. You may want to keep in mind PAGE 47 FINANCE MANAGER II - GENERAL LEDGER Lite that the Account History Report can be a very long report if you select more than a few accounts. Income Statement: Also called a Profit and Loss report, the Income Statement shows the net income (or net loss, as the case may be) for a given period of time. Simply stated, it is the total income, less the total expenses. The report may be run either as a cumulative report for a specified period of time, or it may be trended by month. Balance Sheet Report: The Balance Sheet shows your financial position or financial condition. The Balance Sheet shows the ending balance for all of the asset, liability, and equity accounts. For more information on the basic elements of a Balance Sheet, see Appendix A. The Balance Sheet may also be run either as a cumulative or as a trended report. Sources and Uses This is a two-part report. The first part of of Funds Report: the report shows each account that qualifies as a source of funds. Adjacent to each account name is the amount of the "source". The second part of the report lists the accounts which reflect the use of the source funds listed above. The bottom line total for each part of the report should match. This report can be either cumulative or trended. Budget Variance Report: This reports the difference between the monthly amount budgeted for a particular expense account, and the actual amount used for that expense account. If the Budget Variance report is being generated for more than one month, the report shows only cumulative amounts, with one variance for the cumulative amounts. Chart of Accounts: This report lists the most current Chart of Accounts. This is the report that should be run before and after you make any changes to the Chart of Accounts. Budget Listing: This, like the Chart of Accounts, is a listing of accounts. The accounts listed, however, are only those which may have budget amounts assigned to them (i.e., income and expense accounts). The account name is listed, accompanied by all other account data. Instead of including a column for "Beginning Balances", there is a column for "Budget Amounts". PAGE 48 FINANCE MANAGER II - GENERAL LEDGER Lite Trial Balance: This report provides a quick look at current balances on all accounts. It is like a income statement and balance sheet combined into one. In old manual accounting systems, this report would tell you if you are in balance. It is provided here mainly as a convenience and for completeness. 9b - GENERAL INSTRUCTIONS FOR GENERATING REPORTS When using FINANCE MANAGER to generate financial reports, you have three options. First, you can simply list reports to the screen. Second, if you have a printer, you can print a hard copy of the reports. You also have the option of sending your reports to a disk file instead of to the printer. With this option, reports can be stored and printed at a later date. A "Destination" prompt is an option for each of the available reports. To select the destination, answer the prompt below: TO SCREEN/PRINTER/DISK (S/P/D):_ If you select "D" for disk, the system will prompt you for a disk filename. Enter a filename of up to eight characters. The file will be saved on your data disk with the file extension of ".RPT". If a file with the name entered already exists, the system will tell you so and ask if you want to delete the old file. If you answer "N", the report will be appended to the already existing disk file. When you select "P" for printer, you may pause the printing by pressing any key. Please keep in mind that most printers have a print buffer, so the report continues to print until the buffer is empty. For most reports, you also need to specify reporting dates via the "Date" prompt. The date prompt appears as follows: ENTER DATE RANGE FOR REPORTS: STARTING Month:__ Year:__ ENDING Month:__ Year:__ These dates determine which months and years are shown on your reports. The ending month and year must be within twelve months of the starting month and year. To get a year-to-date report, you might select the dates 1-87 through 12-87. Likewise, if you want a first quarter report, you could select 1-87 through 3-87. When entering prompts for reports, remember that you may back up to a previous field by pressing the Backspace key. If you want to go back to the reports menu while you are at the input screen, press ESC. If you want to return to the reports menu after your report has finished listing to the screen, press ENTER. Since there are different reporting options within reports, below are some of the different types of input screen displays and the reports PAGE 49 FINANCE MANAGER II - GENERAL LEDGER Lite to which they apply. 1. To print the GENERAL JOURNAL (F1), BUDGET VARIANCE (F6), or TRIAL BALANCE (F9) reports the guidelines below apply: a. Make your selection (F1 or F6). b. The following screen appears: TO SCREEN/PRINTER/DISK (S/P/D):_ ENTER DATE RANGE FOR REPORTS: STARTING Month:__ Year:__ ENDING Month:__ Year:__ c. First, type in the destination for your report. Then, enter the reporting dates. 2. When you are selecting ACCOUNT HISTORY (F2), the procedures below apply: a. Select F2 at the Reports Menu. b. The following screen appears: TO SCREEN/PRINTER/DISK (S/P/D):_ ENTER DATE RANGE FOR REPORTS: STARTING Month:__ Year:__ ENDING Month:__ Year:__ DO YOU WANT COMPRESSED REPORT (Y/N):_ ACCOUNT NUMBER RANGE: STARTING ACCOUNT:____ ENDING ACCOUNT:____ c. First, type in the destination for your report. Then, enter the reporting dates. d. Answer the "Compressed Reports" prompt. Compressed will print more than one selected account per page to conserve paper. See Appendix B for examples of a compressed and a regular Account History report. e. Enter the starting through the ending account numbers. 3. For the INCOME STATEMENT (F3), the BALANCE SHEET (F4), or the SOURCES AND USES OF FUNDS Report (F5), follow the procedures below: PAGE 50 FINANCE MANAGER II - GENERAL LEDGER Lite a. Select F3, F4, or F5 at the Reports Menu. The following screen appears: TO SCREEN/PRINTER/DISK (S/P/D):_ ENTER DATE RANGE FOR REPORTS: STARTING Month:__ Year:__ ENDING Month:__ Year:__ DO YOU WANT A TRENDED REPORT(Y/N):_ b. First, type in the destination for your report. c. Next, enter the reporting dates at the date range prompt. d. Then, answer the "Trended Report" prompt. If you select "Y", your reports will be trended by month. If you select "N", your reports will show cumulative year-to-date amounts. To see the difference between a trended regular reports, refer to the examples in Appendix B. 4. To print the CHART OF ACCOUNTS (F7) listing, do the following: a. Select F7 at the Reports Menu. b. The only prompt you need to answer is the "Destination" prompt. 5. The BUDGET LISTING (F8) is similar to the Chart of Accounts listing, with a few variations: a. Select F8 at the Reports Menu. The following screen appears: TO SCREEN/PRINTER/DISK (S/P/D):_ STARTING MONTH:__ ENDING MONTH:__ DO YOU WANT A TRENDED REPORT(Y/N):_ b. Answer the Screen/Printer/Disk prompt. c. At the designated prompt, enter the month for which you want the listing. d. Then, answer the "Trended Report" prompt. If you select "N", your report will show a cumulative amount for all months. If you select "Y", your reports will show the PAGE 51 FINANCE MANAGER II - GENERAL LEDGER Lite budget for each month on a seperate page. NOTE: Do NOT try to print a report (e.g. the selection "P" at the "S/P/D" prompt) if you don't have a printer. If you try to do so, you will get an error message. If you are unfamiliar with financial reports, try as many reports as you like, using the sample accounts. Doing so will give you an idea of how the reports look and how they might be used. PAGE 52 FINANCE MANAGER II - GENERAL LEDGER Lite SECTION TEN - SORTING TRANSACTIONS FINANCE MANAGER always keeps transactions organized in the order in which they are input. The Sort function allows the user to choose the manner in which FINANCE MANAGER sorts or organizes the transactions. Transactions may be sorted either by date of input or by transaction date. To start sorting transactions, select "F1" at the General Ledger Utilities Menu. The following screen appears: ---------- SELECT SORT ORDER --------- | | | ESC Return to Utilities Menu | | F1 Transaction Input Order | | F2 Date Order | | | | | | | | | | | | | | | | ENTER YOUR SELECTION: | | | | | -------------------------------------- 1. Select the order in which you would like to sort the transactions. 2. FINANCE MANAGER automatically sorts all transactions. 3. Press any key to exit and return to the Main Menu when the sort is completed. If you have more transactions than memory can hold at one time, the default disk drive is used to store a temporary file while sorting transactions. Therefore, the default drive must have enough free disk space and must not be write-protected. If there is not enough space on your default drive to sort your file, you must put an empty disk in this drive (usually drive A:). If you do run out of disk space, your sort is aborted and your transaction file remains unchanged. Finance Manager will tell you before it creates a temporary sort file to allow you to insert a blank disk in your default drive. PAGE 53 FINANCE MANAGER II - GENERAL LEDGER Lite SECTION ELEVEN - CHANGING ACCOUNT NUMBERS Selection F1 on the General Ledger Utilities Menu allows you to change the account number of every transaction posted to a specific Chart of Accounts account number. It is a sort of "Global Replace" feature. For example, if you want to change the "Telephone" expense account number from account 320 to account 4320, you could do so by using this feature. First, you would create a new account 4320. Then, you would run this utility to change all transactions for account 320 to account 4320. WARNING: Since this is an advanced feature, we do not recommend it for beginners. It is very important to first make a backup copy of the data disk before proceeding any further with this function. If you do something wrong, it is much easier if you have a backup copy and are thus able to go back to the old Chart of Accounts and transaction file. To execute this function, follow the instructions below: 1. Select F3 at the General Ledger Utilities Menu. The following appears: Enter Old Account Number:____ Enter New Account Number:____ 2. At the "Enter Old Account Number" prompt, type in the account number you wish to change (in the example above, you would enter account number 320). 3. At the "Enter New Account Number" prompt, type in the account number which replaces the old number. In the example above, this account number would be 4320. As mentioned on the input screen, the new account number must be a valid, active Chart of Accounts number. After the function has completed, FINANCE MANAGER returns to the General Ledger Utilities Menu. PAGE 54 FINANCE MANAGER II - GENERAL LEDGER Lite SECTION TWELVE - ENHANCEMENTS & HINTS 12a - ENHANCEMENTS BY VERSION FINANCE MANAGER I (by Genesis Software) 2.0 - First major release. 2.1 - Multiple debits/credits per transaction. - Trended financial reports. 2.2 - Graphics capability. - Adjustable fiscal year capability. - Ability to send reports to disk file. 3.0 - Date input format changed. - Ability to accept up to $9 million in balances. - Better error checks added. - Display of filenames on the disk. 4.0 - Check number field added to transactions. - Multiple debit and credit transactions enhanced to include cumulative totals and automatic default to balance transactions. - Configuration parameters for color. - Monthly budget for income and expense accounts. - Budget Variance report added. - Elimination of zero amounts from reports. - Defaults set for Y/N prompts. - Elimination of extra ENTER keystrokes on completed input fields. - Automatic check increment added. - Modification of "Change Transaction" selection to start from a selected date and then step forward through each transaction one by one until stopped by the user. - Added time display when at menus. - Report file sent to disk changed to an ASCII format. 4.1 - Transaction file always kept sorted in date order. - Defaults shown on Y/N prompts. - Added default disk drive and filename option when running program. - Fix alpha/numeric error on check number format. FINANCE MANAGER II 1.0 - Major re-write of FINANCE MANAGER I. - Sort options provided (input or date order). - Much faster memory resident sort. - Subdirectory support. - International date/time option. - Transaction search data expanded to include all input fields. - Up to 1,999 accounts available on Chart of Accounts. - Full screen editing. - Much faster, on-line Account Reconciliation added. PAGE 55 FINANCE MANAGER II - GENERAL LEDGER Lite - Support of 14"-wide printers. - BCD math eliminates rounding errors. - Active accounts displayed at Chart of Accounts input screen. - Default filename accepted as a command line parameter. - Ability to have multiple years on-line in one disk file. - Up to 30,000 transactions on-line. - Ability to run in 256K. Will use up to 640K memory for faster speed. - Printer pause feature. - Edit mode for changing data. - Enhanced reporting format and features. - Simplified installation procedures. 1.1 - Added some features from FINANCE MANAGER I which were not originally included in FM II. - Provided a "all 12 months the same" budget amount entry. - Added error check to simplify account deletion. - Allow transaction input of up to 99 million. - Faster movement between menu selections. - Smaller program files to save disk space. - Default data disk drive and directories user definable. 1.2 - New simple one-step install procedure for all modules. - Multiple transaction delete on one search. - Enhanced transaction search: * Description search will search entire string for match (not position sensitive). * Go to first or last record of transaction file. * Added a "Reverse Search" to find prior transaction match. - PgDn (page down) key will skip to end of input screen for faster inputs. - TAB & SHIFT-TAB added for duplication of ENTER and BACKSPACE keys respectively. - Inputs will now accept international character inputs (decimal 32-175). - Calculation speed now 5 times faster than version 1.0 (with hard disk). - One graphics module supports CGA, EGA, PCJR, PS/2 and Hercules boards. - Color graphics display. - Printer configuration input fields increased from 9 to 12. - Editing of fields allowed during initial input of data. - Insert toggle added for data input editing. - Credit check number defaults to debit check number. - Trended budget listing. - Trial Balance report added. 1.3 - Pop-up windows for all select-an-account input fields. - LAN Support - Mouse supported. - Network compatible. - Multiple month trial balance report. - Enhanced screen displays with pop-up windows. PAGE 56 FINANCE MANAGER II - GENERAL LEDGER Lite - Insert on/off toggle on input fields. 12b - HELPFUL HINTS AND SUGGESTIONS * Keep a CURRENT backup copy of your data disk each time you update your data. This will safeguard against loss of data due to power outage or other equally frustrating problem. * Use the Shift PrtSc keys to make a hardcopy of current screen display. * When End-of-Period posting is run, closing entries are made to the first type "R" Retained Earnings account. * To eliminate having to put in the disk drive and filename each time you run FINANCE MANAGER, you should modify the RUN.BAT file and add a command line parameter to the "FM" command. For example, if you want to always use drive B: and filename "HOME", you should change the RUN.BAT file command "FM" to "FM B:HOME". When you run FINANCE MANAGER it will automatically use the file "HOME" in drive B:. * If when you are entering transactions you want the check number to be the same as the last check number (only works for actual decimal numbers) enter "=" at the check number input field. The "+" key will increment last check number input. * END OF YEAR CLOSING procedures in this evaluation version are not automated. This function is completely automatic in the REGISTERED VERSION and is well worth the expense. It is possible to close your books at the end of the year manually by performing the following steps: 1. Make a backup of all your data files. 2. Print a Balance Sheet report for the end-of-period (usually December). 3. Delete (via DOS) the data file with the extention of ".GLT", (e.g. DEL [filename].GLT). 4. Run Finance Manager using the data file above. When it says the [filename].GLT file is missing answer the "Create New File" prompt with "Y". 5. Go to the "Update Chart of Accounts" selection and change the beginning balances on ALL accounts to match the balances on the Balance Sheet printed in step 2 above. 6. You are now ready to begin entering transactions for the new year. Again this process is automated completely in the FREE UPDATE we will send to you when you REGISTER your copy of Finance Manager. PAGE 57 FINANCE MANAGER II - GENERAL LEDGER Lite SECTION THIRTEEN - FINANCE MANAGER II DISK FILE NAMES Listed below is a description of files on your FINANCE MANAGER disks. If you have an evaluation version, some of these files will not be included due to disk space limitations. PROGRAM DISK File name Description ------------ ------------------------------------------------------- RUN BAT - Use to run FINANCE MANAGER. CONFIG SYS - Needed to run FINANCE MANAGER (See CONFIG.SYS in your DOS manual). FMGL COM - FINANCE MANAGER II executable file. FMGL 000 - GL main module overlay 0. FMGL 001 - GL main module overlay 1. FMGL 002 - GL main module overlay 2. FMGL 003 - GL main module overlay 3. INSTALL COM - Installation program (use to install this program). README BAT - Display this information on screen. DOCUMENTATION & DEMO DISK File name Description ------------ ------------------------------------------------------- FMGL DOC - GL documentation manual (see PRINT-GL below). HOME BUD - HOME demo budget data file. HOME CHR - HOME demo Chart of Accounts data file. HOME GLT - HOME demo transaction data file. PRINT-GL BAT - Prints documentation manuals on your printer (PRN). README BAT - Display this information on screen. WORK BUD - WORK demo budget data file. WORK CHR - WORK demo Chart of Accounts data file. WORK GLT - WORK demo transaction data file. EPSON CNF - Sample configuration file for EPSON printer. HP-LASER CNF - Sample configuration file for HP LaserJet printer. HP2LASER CNF - Sample configuration file for HP II LaserJet printer. JUKI CNF - Sample configuration file for JUKI printer. PROWRITE CNF - Sample configuration file for PROWRITER printer. PAGE 58 FINANCE MANAGER II - GENERAL LEDGER Lite APPENDIX A BASIC ACCOUNTING PRINCIPLES In this section, we would like to give you an overview of basic accounting principles. Most of the examples in this section refer primarily to various business transactions. They can, however, easily be adapted to apply to an individual's financial transactions. A1 - ACCOUNTING ELEMENTS To have complete accounting records, all transactions and events which affect the basic accounting elements must be recorded. The basic accounting elements are ASSETS, LIABILITIES and CAPITAL or EQUITY. These elements are defined below: ASSETS: Items of value which are owned by the business or by the individual are assets. Examples of assets are money, accounts receivable, merchandise, furniture, machinery, buildings, and land. LIABILITIES: A liability is any obligation to pay a debt. Liabilities include accounts payable, taxes payable, bank loans, and notes to creditors. CAPITAL/EQUITY: The amount by which the assets exceed the liabilities is termed capital, or owner's equity in the business. The word "equity", in this sense, means "interest in". The terms proprietorship, net worth, or capital are all synonyms for owner's equity. If there are no liabilities, the owner's equity is equal to the total amount of assets. A2 - THE ACCOUNTING EQUATION The relationship between the three basic accounting elements can be expressed in the following simple equation: ASSETS = LIABILITIES + CAPITAL/EQUITY In order to increase equity in a business, the owner must either increase the assets without increasing the liabilities or decrease the liabilities without decreasing the assets. In order to increase the assets and equity without investing more money or other property, the business must operate at a profit (profit and losses are described later). Below are examples of the effect of transactions on the accounting equation: 1. An increase in an asset offset by an increase in equity; for instance, opening a bank account with a deposit of $5,000. As a result of this transaction, the assets are increased. Since no liabilities are involved, the equity also increases by the same amount. The equation is as follows: PAGE 59 FINANCE MANAGER II - GENERAL LEDGER Lite ASSETS = LIABILITIES + CAPITAL/EQUITY $5,000 = $0 + $5,000 (cash) (owner's equity) 2. An increase in an asset, offset by an increase in a liability. For example, you purchase office equipment for $4,000 on 30-day credit. The result is an increase in assets and an increase in an accounts-payable liability. The equation is as follows: ASSETS = LIABILITIES + CAPITAL/EQUITY $4,000 = $4,000 + $0 (office (accounts equipment) payable) 3. An increase in one asset, offset by a decrease in another asset. For example, the purchase of office supplies for $100 cash. In this case, the office supplies asset account increases by $100, and the cash asset account decreases by $100, causing the assets, liabilities, and equity to remain unchanged. The equation is as follows: ASSETS = LIABILITIES + CAPITAL/EQUITY supplies $100 cash <$100> ____ $0 = $0 + $0 4. An increase in an asset, offset by an increase in equity resulting from revenue. For example, you receive $500 cash from a client for services. This increases your cash balance and, since liabilities are not affected, the equity increases as well. The equation is as follows: ASSETS = LIABILITIES + CAPITAL/EQUITY $500 = $0 + $500 cash owner's equity 5. A decrease in an asset offset by a decrease in equity resulting from expense. For example, you paid $400 cash for rent. This decreases your cash balance and, since liabilities are not affected, the equity decreases by $400 as well. The equation is as follows: ASSETS = LIABILITIES + CAPITAL/EQUITY <$400> = $0 + <$400> cash owner's equity PAGE 60 FINANCE MANAGER II - GENERAL LEDGER Lite A3 - THE INCOME STATEMENT This statement, sometimes called a Profit and Loss Statement or Operating Statement, shows the net income (or net loss) for a specified period of time. The Income Statement, simply stated, is the total income, less the total expenses. A simple statement is shown below: Income from services $ 500 Rent expense <$ 400> _____ Net Income $ 100 ===== A4 - THE BALANCE SHEET The balance sheet is sometimes called a statement of financial condition, or a statement of financial position. It shows the assets, liabilities, and equity at a specific date. The balance sheet shows the ending balance for all of the asset, liability, and equity accounts. The balance sheet for the above five transactions would appear as follows: ASSETS ------ Cash $5,000 Equipment 4,000 Supplies 100 _____ Total Assets $9,100 ===== LIABILITIES ----------- Accounts Payable $4,000 CAPITAL/EQUITY -------------- Owner's Equity $5,100 _____ Total Liab & Equity $9,100 ===== (Notice that the accounting equation holds true: ASSETS = LIABILITIES + EQUITY.) A5 - DOUBLE ENTRY ACCOUNTING PAGE 61 FINANCE MANAGER II - GENERAL LEDGER Lite The meanings of the terms asset, liability and capital/equity are explained above. Examples have been given to show how each transaction causes a change in one or more of the three basic accounting elements. Note that in each of the transactions above, there was a dual effect (two accounts were changed). This will always be true. A change (increase or decrease) in any asset, liability or capital/equity is always accompanied by an offsetting change. The fact that each transaction has two elements is the basis for double entry accounting. This does not mean that a transaction is recorded twice; it instead means that both of the two elements of each transaction are recorded. This method is very orderly, simple, and very flexible. There is no transaction which cannot be recorded in a double entry transaction. A business or individual has many assets. Each one of these assets is kept track of in a separate account (e.g., cash, furniture, buildings). A separate account would be kept for each asset, liability and equity. Thus, many accounts make up the total assets; many accounts also make up the total liabilities. To help you to understand double entry accounting, we will introduce you to a way of describing an account. This is called a "T" account. The T account has three major parts: the tile and account number, the debit side, and the credit side. A sample of the T account form is shown below. ACCOUNT TITLE ------------------------ DEBIT SIDE | CREDIT SIDE | | | A6 - DEBITS AND CREDITS To debit an account means to record an amount on the left, or debit side, of the account. To credit an account means to record an amount on the right, or credit side, of the account. Sometimes the word CHARGE is used a substitute for debit. Another easy rule is: A credit is where money is coming from and a debit is where money is going to. Increases in assets are recorded on the left side of the accounts; increases in liabilities are recorded on the right side of the accounts. Decreases in assets are recorded on the right side of the accounts; decreases in liabilities and equity are recorded on the left side of the accounts. These relationships are shown below: 1. ASSETS = LIABILITIES & EQUITY 2. DEBITS = CREDITS PAGE 62 FINANCE MANAGER II - GENERAL LEDGER Lite 3. ALL ASSET ACCOUNTS ALL LIABILITY ACCOUNTS _____________________ ______________________ Debit to | Credit to Debit to | Credit to Record | Record Record | Record Increases | Decreases Decreases | Increases (+) (-) (-) (+) ALL EQUITY ACCOUNTS ______________________ Debit to | Credit to Record | Record Decreases | Increases (-) (+) To illustrate double entry accounting, the transaction 1 would be as follows: CASH EQUITY _____________________ ___________________ Debit | Credit Debit | Credit $5,000 | | $5,000 A7 - INCOME AND EXPENSES The term "Income" refers to an increase in the equity account. Likewise, the term "Expense" refers to a decrease in the equity. Thus, there are two new ways in which the equity account can change. All transactions involving income or expense always cause a change in the equity account. These changes could be recorded by debiting the equity account for expenses and crediting that same equity account for income. However, if you were to record income and expense in this manner, the capital/equity account would have a mixture of increases due to income, and the investment of assets in the business, while the debit side would have a mix of decreases due to expenses and withdrawal of assets from the business. This would make it very hard to analyze the profitability or to determine the net income. Thus, all income and expense transactions are recorded in separately classified income and expense accounts. Only the net income (or net profit) is then reflected in the capital/equity account. The income and expense accounts also have debits and credits. Shown below are the relationship of these accounts. ALL EXPENSE ACCOUNTS ALL INCOME ACCOUNTS ____________________ _____________________ Debit to | Credit to Debit to | Credit to Record | Record Record | Record Increases | Decreases Decreases | Increases (+) (-) (-) (+) PAGE 63 FINANCE MANAGER II - GENERAL LEDGER Lite The use of these accounts is illustrated in the following examples: 1. An increase in an asset offset by an increase in income. For example, you receive $500 cash for services rendered. This would appear as follows: CASH INCOME _____________________ _____________________ DEBIT | CREDIT DEBIT | CREDIT | | $500 | | $500 2. A decrease in an asset offset by an increase in expense. For example, you pay $400 for office rent. This would be recorded as follows: CASH RENT EXPENSES _____________________ _____________________ DEBIT | CREDIT DEBIT | CREDIT | | | $400 $400 | This brief description of accounting principles and double entry accounting is not intended to teach you everything about accounting. You should refer to a basic accounting or bookkeeping text if you would like more details. The intention of this section is to familiarize our users with double entry accounting and to help users get started with FINANCE MANAGER. For further transaction examples, look at the sample "HOME" and "WORK" files on your demo disk. By printing the General Journal report in the sample accounts, you will be able to see some sample transactions to apply to your set of books. PAGE 64 FINANCE MANAGER II - GENERAL LEDGER Lite APPENDIX B - SAMPLE REPORTS Table of Contents General Journal - Monthly.................................66 Account History...........................................67 Account History - Compressed..............................68 Income Statement - Year to date...........................69 Income Statement - Trended................................70 Balance Sheet - Year to date..............................71 Balance Sheet - Trended...................................72 Sources and Uses of Funds - Year to date..................73 Sources and Uses of Funds - Trended.......................74 Budget Variance - Year to date............................75 Budget Variance - Monthly.................................76 Chart of Accounts......................................77-78 Budget Listing - Month of June............................79 Trial Balance.............................................80 PAGE 65 FINANCE MANAGER II - GENERAL LEDGER lite JUN-30-89 YOUR COMPUTER COMPANY PAGE 1 10:36am WORK Demo Accounts Test GENERAL JOURNAL APR-89 DATE ACT# ACCOUNT NAME CL CHECK DEBITS CREDITS -------- ---- ------------------------- -- ----- ----------- ----------- 04-01-89 1010 Checking Account #1 DEP 44,500.00 3000 Owners capital/equity 45,000.00 1000 Petty Cash 500.00 initial investment in company 04-01-89 1500 IBM Personal Computer 3,500.00 1010 Checking Account #1 * 10001 5,000.00 1510 Computer Monitor 200.00 1520 Computer Printer 450.00 1550 Computer Software 700.00 1530 Other Computer Equipment 150.00 the computer store 04-05-89 1600 Office Building 50,000.00 2500 Building Loan 10002 45,000.00 1010 Checking Account #1 * 10002 5,000.00 first national bank 04-10-89 1700 Office Furniture 15,000.00 2400 Bank loan 15,000.00 purchase furniture 04-15-89 5620 Office expenses 280.00 1010 Checking Account #1 * 10003 280.00 OFFICE SUPPLY STORE 04-25-89 5200 Advertising 2,000.00 1010 Checking Account #1 * 10004 2,000.00 GRAND OPENING AD 04-30-89 5300 Depreciation 140.00 1595 Accumulated Depn Computer 140.00 monthly depreciation 04-30-89 1300 Software Inventory 5,000.00 1010 Checking Account #1 * 10005 5,000.00 purchase inventory 04-30-89 1400 Hardware Inventory 20,000.00 1010 Checking Account #1 * 10006 20,000.00 purchase inventory 04-30-89 5010 Labor & Payroll 3,210.00 1010 Checking Account #1 * 10007 3,210.00 WAGES FOR JOHN SMITH ----------- ----------- 145,630.00 145,630.00 PAGE 66 FINANCE MANAGER II - GENERAL LEDGER lite JUN-30-89 YOUR COMPUTER COMPANY PAGE 1 10:37am WORK Demo Accounts Test ACCOUNT HISTORY for 1010 Checking Account #1 APR-89 Through JUN-89 DATE DESCRIPTION CL CHECK DEBITS CREDITS -------- ------------------------------ -- ----- ----------- ----------- Beginning Balance 0.00 04-01-89 initial investment in company DEP 44,500.00 04-01-89 the computer store * 10001 5,000.00 04-05-89 first national bank * 10002 5,000.00 04-15-89 OFFICE SUPPLY STORE * 10003 280.00 04-25-89 GRAND OPENING AD * 10004 2,000.00 04-30-89 purchase inventory * 10005 5,000.00 04-30-89 purchase inventory * 10006 20,000.00 04-30-89 WAGES FOR JOHN SMITH * 10007 3,210.00 05-01-89 sold equipment * DEP 5,250.00 05-02-89 SOFTWARE SOLD * DEP 840.00 05-12-89 office supply store * 10008 122.00 05-12-89 SOLD SOFTWARE/EQUIP * DEP 3,045.00 05-15-89 john doe * 10009 2,000.00 05-15-89 jane smith * 10010 1,900.00 05-18-89 modern computers * 10011 55.00 05-21-89 local paper add * 10012 345.00 05-31-89 loan payment 10013 600.00 05-31-89 bldg loan payment 10014 462.88 05-31-89 wages john doe * 10015 2,200.00 05-31-89 wages jane smith * 10016 2,550.00 06-06-89 sold equipment DEP 10,500.00 06-10-89 news paper ad 10017 440.00 06-11-89 sold software/hardwr DEP 6,090.00 06-15-89 wages john doe 10018 1,800.00 06-15-89 wages jane smith 10019 1,800.00 06-15-89 pay may sales tax 10020 435.00 ----------- ----------- Ending Balance 15,025.12 PAGE 67 FINANCE MANAGER II - GENERAL LEDGER lite JUN-30-89 YOUR COMPUTER COMPANY PAGE 1 10:37am WORK Demo Accounts Test ACCOUNT HISTORY APR-89 Through JUN-89 DATE DESCRIPTION CL CHECK DEBITS CREDITS -------- ------------------------------ -- ----- ----------- ----------- 1000 Petty Cash --------------- Beginning Balance 0.00 04-01-89 initial investment in company 500.00 ----------- ----------- Ending Balance 500.00 1010 Checking Account #1 ------------------------ Beginning Balance 0.00 04-01-89 initial investment in company DEP 44,500.00 04-01-89 the computer store * 10001 5,000.00 04-05-89 first national bank * 10002 5,000.00 04-15-89 OFFICE SUPPLY STORE * 10003 280.00 04-25-89 GRAND OPENING AD * 10004 2,000.00 04-30-89 purchase inventory * 10005 5,000.00 04-30-89 purchase inventory * 10006 20,000.00 04-30-89 WAGES FOR JOHN SMITH * 10007 3,210.00 05-01-89 sold equipment * DEP 5,250.00 05-02-89 SOFTWARE SOLD * DEP 840.00 05-12-89 office supply store * 10008 122.00 05-12-89 SOLD SOFTWARE/EQUIP * DEP 3,045.00 05-15-89 john doe * 10009 2,000.00 05-15-89 jane smith * 10010 1,900.00 05-18-89 modern computers * 10011 55.00 05-21-89 local paper add * 10012 345.00 05-31-89 loan payment 10013 600.00 05-31-89 bldg loan payment 10014 462.88 05-31-89 wages john doe * 10015 2,200.00 05-31-89 wages jane smith * 10016 2,550.00 06-06-89 sold equipment DEP 10,500.00 06-10-89 news paper ad 10017 440.00 06-11-89 sold software/hardwr DEP 6,090.00 06-15-89 wages john doe 10018 1,800.00 06-15-89 wages jane smith 10019 1,800.00 06-15-89 pay may sales tax 10020 435.00 ----------- ----------- Ending Balance 15,025.12 1020 Checking Account #2 ------------------------ Beginning Balance 0.00 ----------- ----------- Ending Balance 0.00 PAGE 68 FINANCE MANAGER II - GENERAL LEDGER lite JUN-30-89 YOUR COMPUTER COMPANY PAGE 1 10:38am WORK Demo Accounts Test INCOME STATEMENT APR-89 Through JUN-89 ACT# ACCOUNT NAME BALANCE SUBTOTAL 9 SUBTOTAL 99 ---- ------------------------- ------------ ------------ ------------ Income ------ 4000 Software sales in-state 2,000.00 4010 Computer sales in-state 22,500.00 4020 Service sales in-state 0.00 4030 Other sales in-state 0.00 ------------ 4089 TOTAL SALES IN-STATE 24,500.00 4100 Sales out of state 0.00 ------------ ------------ ------------ Total Income 24,500.00 Expense ------- 5000 Cost of software sold 1,000.00 5005 Cost of hardware sold 13,500.00 5010 Labor & Payroll 15,460.00 5020 Material and Supplies 0.00 5030 Other costs 0.00 ------------ 5089 TOTAL COST OF GOODS SOLD 29,960.00 5200 Advertising 2,785.00 5210 Bad debts from sales 0.00 5220 Bank service charges 0.00 5230 Car and Truck Expenses 0.00 5240 Sales Commissions 0.00 5250 Depletion expense 0.00 5300 Depreciation 280.00 5400 Employee Benefits 0.00 5410 Employee pension plan 0.00 5500 Freight & transportation 0.00 5510 Insurance 0.00 5600 Laundry and cleaning 0.00 5610 Legal & professional serv 0.00 5620 Office expenses 402.00 5625 Dues and subscriptions 55.00 5630 Rent on business property 0.00 5640 Repairs 0.00 5650 Other supplies 0.00 5660 TAXES - PROPERTY 0.00 5665 TAXES - Income 0.00 5670 Sales tax expense 0.00 5680 Travel and entertainment 0.00 5700 Utilities & telephone 0.00 5800 Interest on mortgage 0.00 5810 Interest other 600.00 5900 Misc other expenses 0.00 ------------ ------------ ------------ Total Expense 34,082.00 ------------ NET INCOME -9,582.00 PAGE 69 FINANCE MANAGER II - GENERAL LEDGER lite JUN-30-89 YOUR COMPUTER COMPANY PAGE 1 10:38am WORK Demo Accounts Test INCOME STATEMENT APR-89 Through JUN-89 ACT# ACCOUNT NAME APR-89 MAY-89 JUN-89 ---- ------------------------- ------------ ------------ ------------ Income ------ 4000 Software sales in-state 0.00 1,200.00 800.00 4010 Computer sales in-state 0.00 7,500.00 15,000.00 4020 Service sales in-state 0.00 0.00 0.00 4030 Other sales in-state 0.00 0.00 0.00 ------------ ------------ ------------ 4089 TOTAL SALES IN-STATE 0.00 8,700.00 15,800.00 4100 Sales out of state 0.00 0.00 0.00 ------------ ------------ ------------ Total Income 0.00 8,700.00 15,800.00 Expense ------- 5000 Cost of software sold 0.00 600.00 400.00 5005 Cost of hardware sold 0.00 4,500.00 9,000.00 5010 Labor & Payroll 3,210.00 8,650.00 3,600.00 5020 Material and Supplies 0.00 0.00 0.00 5030 Other costs 0.00 0.00 0.00 ------------ ------------ ------------ 5089 TOTAL COST OF GOODS SOLD 3,210.00 13,750.00 13,000.00 5200 Advertising 2,000.00 345.00 440.00 5210 Bad debts from sales 0.00 0.00 0.00 5220 Bank service charges 0.00 0.00 0.00 5230 Car and Truck Expenses 0.00 0.00 0.00 5240 Sales Commissions 0.00 0.00 0.00 5250 Depletion expense 0.00 0.00 0.00 5300 Depreciation 140.00 140.00 0.00 5400 Employee Benefits 0.00 0.00 0.00 5410 Employee pension plan 0.00 0.00 0.00 5500 Freight & transportation 0.00 0.00 0.00 5510 Insurance 0.00 0.00 0.00 5600 Laundry and cleaning 0.00 0.00 0.00 5610 Legal & professional serv 0.00 0.00 0.00 5620 Office expenses 280.00 122.00 0.00 5625 Dues and subscriptions 0.00 55.00 0.00 5630 Rent on business property 0.00 0.00 0.00 5640 Repairs 0.00 0.00 0.00 5650 Other supplies 0.00 0.00 0.00 5660 TAXES - PROPERTY 0.00 0.00 0.00 5665 TAXES - Income 0.00 0.00 0.00 5670 Sales tax expense 0.00 0.00 0.00 5680 Travel and entertainment 0.00 0.00 0.00 5700 Utilities & telephone 0.00 0.00 0.00 5800 Interest on mortgage 0.00 0.00 0.00 5810 Interest other 0.00 600.00 0.00 ------------ ------------ ------------ Total Expense 5,630.00 15,012.00 13,440.00 ------------ ------------ ------------ NET INCOME -5,630.00 -6,312.00 2,360.00 ============ ============ ============ PAGE 70 FINANCE MANAGER II - GENERAL LEDGER lite JUN-30-89 YOUR COMPUTER COMPANY PAGE 1 10:38am WORK Demo Accounts Test BALANCE SHEET APR-89 Through JUN-89 ACT# ACCOUNT NAME BALANCE SUBTOTAL 9 SUBTOTAL 99 ---- ------------------------- ------------ ------------ ------------ Assets ------ 1000 Petty Cash 500.00 1010 Checking Account #1 15,025.12 1020 Checking Account #2 0.00 1200 Accounts Receivable 0.00 1300 Software Inventory 4,000.00 1400 Hardware Inventory 6,500.00 ------------ ------------ 1499 CURRENT ASSETS 26,025.12 1500 IBM Personal Computer 3,500.00 1510 Computer Monitor 200.00 1520 Computer Printer 450.00 1530 Other Computer Equipment 150.00 1550 Computer Software 700.00 ------------ 1589 Gross Computer Assets 5,000.00 1595 Accumulated Depn Computer -280.00 ------------ ------------ 1599 Net Computer Assets 4,720.00 1600 Office Building 50,000.00 1700 Office Furniture 15,000.00 ------------ ------------ ------------ Total Assets 95,745.12 ============ Liabilities ----------- 2000 Accounts Payable 0.00 2100 Sales tax payable 790.00 ------------ ------------ 2399 Current Liabilities 790.00 2400 Bank loan 14,550.00 2500 Building Loan 44,987.12 ------------ ------------ 2999 Long Term Debt 59,537.12 ------------ ------------ ------------ Total Liabilities 60,327.12 Capital/Equity -------------- 3000 Owners capital/equity 45,000.00 3500 Retained earnings -9,582.00 ------------ ------------ ------------ Total Net Equity 35,418.00 ------------ Total Liabilities & Equity 95,745.12 ============ PAGE 71 FINANCE MANAGER II - GENERAL LEDGER lite JUN-30-89 YOUR COMPUTER COMPANY PAGE 1 10:38am WORK Demo Accounts Test BALANCE SHEET APR-89 Through JUN-89 ACT# ACCOUNT NAME APR-89 MAY-89 JUN-89 ---- ------------------------- ------------ ------------ ------------ Assets ------ 1000 Petty Cash 500.00 500.00 500.00 1010 Checking Account #1 4,010.00 2,910.12 15,025.12 1020 Checking Account #2 0.00 0.00 0.00 1200 Accounts Receivable 0.00 0.00 0.00 1300 Software Inventory 5,000.00 4,400.00 4,000.00 1400 Hardware Inventory 20,000.00 15,500.00 6,500.00 ------------ ------------ ------------ 1499 CURRENT ASSETS 29,510.00 23,310.12 26,025.12 1500 IBM Personal Computer 3,500.00 3,500.00 3,500.00 1510 Computer Monitor 200.00 200.00 200.00 1520 Computer Printer 450.00 450.00 450.00 1530 Other Computer Equipment 150.00 150.00 150.00 1550 Computer Software 700.00 700.00 700.00 ------------ ------------ ------------ 1589 Gross Computer Assets 5,000.00 5,000.00 5,000.00 1595 Accumulated Depn Computer -140.00 -280.00 -280.00 ------------ ------------ ------------ 1599 Net Computer Assets 4,860.00 4,720.00 4,720.00 1600 Office Building 50,000.00 50,000.00 50,000.00 1700 Office Furniture 15,000.00 15,000.00 15,000.00 ------------ ------------ ------------ Total Assets 99,370.00 93,030.12 95,745.12 ============ ============ ============ Liabilities ----------- 2000 Accounts Payable 0.00 0.00 0.00 2100 Sales tax payable 0.00 435.00 790.00 ------------ ------------ ------------ 2399 Current Liabilities 0.00 435.00 790.00 2400 Bank loan 15,000.00 14,550.00 14,550.00 2500 Building Loan 45,000.00 44,987.12 44,987.12 ------------ ------------ ------------ 2999 Long Term Debt 60,000.00 59,537.12 59,537.12 ------------ ------------ ------------ Total Liabilities 60,000.00 59,972.12 60,327.12 Capital/Equity -------------- 3000 Owners capital/equity 45,000.00 45,000.00 45,000.00 3500 Retained earnings -5,630.00 -11,942.00 -9,582.00 ------------ ------------ ------------ Total Net Equity 39,370.00 33,058.00 35,418.00 ------------ ------------ ------------ Total Liabilities & Equity 99,370.00 93,030.12 95,745.12 ============ ============ ============ PAGE 72 FINANCE MANAGER II - GENERAL LEDGER lite JUN-30-89 YOUR COMPUTER COMPANY PAGE 1 10:38am WORK Demo Accounts Test SOURCES AND USES OF FUNDS APR-89 Through JUN-89 ACT# ACCOUNT NAME BALANCE SUBTOTAL 9 SUBTOTAL 99 ---- ------------------------- ------------ ------------ ------------ Sources of Funds ---------------- 1595 Accumulated Depn Computer 280.00 2100 Sales tax payable 790.00 2400 Bank loan 14,550.00 2500 Building Loan 44,987.12 3000 Owners capital/equity 45,000.00 4000 Software sales in-state 2,000.00 4010 Computer sales in-state 22,500.00 ------------ ------------ ------------ Total Sources 130,107.12 ============ Uses of Funds ------------- 1000 Petty Cash 500.00 1010 Checking Account #1 15,025.12 1300 Software Inventory 4,000.00 1400 Hardware Inventory 6,500.00 1500 IBM Personal Computer 3,500.00 1510 Computer Monitor 200.00 1520 Computer Printer 450.00 1530 Other Computer Equipment 150.00 1550 Computer Software 700.00 1600 Office Building 50,000.00 1700 Office Furniture 15,000.00 5000 Cost of software sold 1,000.00 5005 Cost of hardware sold 13,500.00 5010 Labor & Payroll 15,460.00 5200 Advertising 2,785.00 5300 Depreciation 280.00 5620 Office expenses 402.00 5625 Dues and subscriptions 55.00 5810 Interest other 600.00 ------------ ------------ ------------ Total Uses 130,107.12 ============ PAGE 73 FINANCE MANAGER II - GENERAL LEDGER lite JUN-30-89 YOUR COMPUTER COMPANY PAGE 1 10:38am WORK Demo Accounts Test SOURCES AND USES OF FUNDS APR-89 Through JUN-89 ACT# ACCOUNT NAME APR-89 MAY-89 JUN-89 ---- ------------------------- ------------ ------------ ------------ Sources of Funds ---------------- 1010 Checking Account #1 1,099.88 1300 Software Inventory 600.00 400.00 1400 Hardware Inventory 4,500.00 9,000.00 1595 Accumulated Depn Computer 140.00 140.00 2100 Sales tax payable 435.00 355.00 2400 Bank loan 15,000.00 2500 Building Loan 45,000.00 3000 Owners capital/equity 45,000.00 4000 Software sales in-state 1,200.00 800.00 4010 Computer sales in-state 7,500.00 15,000.00 ------------ ------------ ------------ Total Sources 105,140.00 15,474.88 25,555.00 ============ ============ ============ Uses of Funds ------------- 1000 Petty Cash 500.00 1010 Checking Account #1 4,010.00 12,115.00 1300 Software Inventory 5,000.00 1400 Hardware Inventory 20,000.00 1500 IBM Personal Computer 3,500.00 1510 Computer Monitor 200.00 1520 Computer Printer 450.00 1530 Other Computer Equipment 150.00 1550 Computer Software 700.00 1600 Office Building 50,000.00 1700 Office Furniture 15,000.00 2400 Bank loan 450.00 2500 Building Loan 12.88 5000 Cost of software sold 600.00 400.00 5005 Cost of hardware sold 4,500.00 9,000.00 5010 Labor & Payroll 3,210.00 8,650.00 3,600.00 5200 Advertising 2,000.00 345.00 440.00 5300 Depreciation 140.00 140.00 5620 Office expenses 280.00 122.00 5625 Dues and subscriptions 55.00 5810 Interest other 600.00 ------------ ------------ ------------ Total Uses 105,140.00 15,474.88 25,555.00 ============ ============ ============ PAGE 74 FINANCE MANAGER II - GENERAL LEDGER lite JUN-30-89 YOUR COMPUTER COMPANY PAGE 1 10:39am WORK Demo Accounts Test BUDGET VARIANCE APR-89 Through JUN-89 ACT# ACCOUNT NAME ACTUAL % BUDGET VARIANCE ---- ------------------------- ------------ --- ------------ ----------- Income ------ 4000 Software sales in-state 2,000.00 8% 2,200.00 -200.00 4010 Computer sales in-state 22,500.00 92% 20,000.00 2,500.00 4020 Service sales in-state 0.00 0% 0.00 0.00 4030 Other sales in-state 0.00 0% 0.00 0.00 ------------ --- ------------ ----------- 4089 TOTAL SALES IN-STATE 24,500.00 100% 22,200.00 2,300.00 4100 Sales out of state 0.00 0% 0.00 0.00 ------------ --- ------------ ----------- Total Income 24,500.00 100% 22,200.00 2,300.00 Expense ------- 5000 Cost of software sold 1,000.00 4% 1,100.00 100.00 5005 Cost of hardware sold 13,500.00 55% 14,000.00 500.00 5010 Labor & Payroll 15,460.00 63% 0.00 -15,460.00 5020 Material and Supplies 0.00 0% 0.00 0.00 5030 Other costs 0.00 0% 0.00 0.00 ------------ --- ------------ ----------- 5089 TOTAL COST OF GOODS SOLD 29,960.00 122% 15,100.00 -14,860.00 5200 Advertising 2,785.00 11% 5,500.00 2,715.00 5210 Bad debts from sales 0.00 0% 0.00 0.00 5220 Bank service charges 0.00 0% 0.00 0.00 5230 Car and Truck Expenses 0.00 0% 0.00 0.00 5240 Sales Commissions 0.00 0% 0.00 0.00 5250 Depletion expense 0.00 0% 0.00 0.00 5300 Depreciation 280.00 1% 450.00 170.00 5400 Employee Benefits 0.00 0% 0.00 0.00 5410 Employee pension plan 0.00 0% 0.00 0.00 5500 Freight & transportation 0.00 0% 0.00 0.00 5510 Insurance 0.00 0% 0.00 0.00 5600 Laundry and cleaning 0.00 0% 0.00 0.00 5610 Legal & professional serv 0.00 0% 0.00 0.00 5620 Office expenses 402.00 2% 375.00 -27.00 5625 Dues and subscriptions 55.00 0% 0.00 -55.00 5630 Rent on business property 0.00 0% 0.00 0.00 5640 Repairs 0.00 0% 0.00 0.00 5650 Other supplies 0.00 0% 0.00 0.00 5660 TAXES - PROPERTY 0.00 0% 0.00 0.00 5665 TAXES - Income 0.00 0% 0.00 0.00 5670 Sales tax expense 0.00 0% 0.00 0.00 5680 Travel and entertainment 0.00 0% 0.00 0.00 5700 Utilities & telephone 0.00 0% 0.00 0.00 5800 Interest on mortgage 0.00 0% 242.50 242.50 5810 Interest other 600.00 2% 599.82 -0.18 ------------ --- ------------ ----------- Total Expense 34,082.00 139% 22,267.32 -11,814.68 ------------ --- ------------ ----------- NET INCOME -9,582.00 -39% -67.32 -9,514.68 ============ === ============ =========== PAGE 75 FINANCE MANAGER II - GENERAL LEDGER lite JUN-30-89 YOUR COMPUTER COMPANY PAGE 1 10:39am WORK Demo Accounts Test BUDGET VARIANCE MAY-89 ACT# ACCOUNT NAME ACTUAL % BUDGET VARIANCE ---- ------------------------- ------------ --- ------------ ----------- Income ------ 4000 Software sales in-state 1,200.00 14% 1,000.00 200.00 4010 Computer sales in-state 7,500.00 86% 10,000.00 -2,500.00 4020 Service sales in-state 0.00 0% 0.00 0.00 4030 Other sales in-state 0.00 0% 0.00 0.00 ------------ --- ------------ ----------- 4089 TOTAL SALES IN-STATE 8,700.00 100% 11,000.00 -2,300.00 4100 Sales out of state 0.00 0% 0.00 0.00 ------------ --- ------------ ----------- Total Income 8,700.00 100% 11,000.00 -2,300.00 Expense ------- 5000 Cost of software sold 600.00 7% 500.00 -100.00 5005 Cost of hardware sold 4,500.00 52% 7,000.00 2,500.00 5010 Labor & Payroll 8,650.00 99% 0.00 -8,650.00 5020 Material and Supplies 0.00 0% 0.00 0.00 5030 Other costs 0.00 0% 0.00 0.00 ------------ --- ------------ ----------- 5089 TOTAL COST OF GOODS SOLD 13,750.00 158% 7,500.00 -6,250.00 5200 Advertising 345.00 4% 2,000.00 1,655.00 5210 Bad debts from sales 0.00 0% 0.00 0.00 5220 Bank service charges 0.00 0% 0.00 0.00 5230 Car and Truck Expenses 0.00 0% 0.00 0.00 5240 Sales Commissions 0.00 0% 0.00 0.00 5250 Depletion expense 0.00 0% 0.00 0.00 5300 Depreciation 140.00 2% 150.00 10.00 5400 Employee Benefits 0.00 0% 0.00 0.00 5410 Employee pension plan 0.00 0% 0.00 0.00 5500 Freight & transportation 0.00 0% 0.00 0.00 5510 Insurance 0.00 0% 0.00 0.00 5600 Laundry and cleaning 0.00 0% 0.00 0.00 5610 Legal & professional serv 0.00 0% 0.00 0.00 5620 Office expenses 122.00 1% 100.00 -22.00 5625 Dues and subscriptions 55.00 1% 0.00 -55.00 5630 Rent on business property 0.00 0% 0.00 0.00 5640 Repairs 0.00 0% 0.00 0.00 5650 Other supplies 0.00 0% 0.00 0.00 5660 TAXES - PROPERTY 0.00 0% 0.00 0.00 5665 TAXES - Income 0.00 0% 0.00 0.00 5670 Sales tax expense 0.00 0% 0.00 0.00 5680 Travel and entertainment 0.00 0% 0.00 0.00 5700 Utilities & telephone 0.00 0% 0.00 0.00 5800 Interest on mortgage 0.00 0% 121.25 121.25 5810 Interest other 600.00 7% 299.91 -300.09 ------------ --- ------------ ----------- Total Expense 15,012.00 173% 10,171.16 -4,840.84 ------------ --- ------------ ----------- NET INCOME -6,312.00 -73% 828.84 -7,140.84 ============ === ============ =========== PAGE 76 FINANCE MANAGER II - GENERAL LEDGER lite JUN-30-89 YOUR COMPUTER COMPANY PAGE 1 10:39am WORK Demo Accounts Test CHART OF ACCOUNTS ACT# ACCOUNT NAME TYPE BEGIN BAL ---- ------------------------------ ---- ----------- 1000 Petty Cash A 0.00 1010 Checking Account #1 A 0.00 1020 Checking Account #2 A 0.00 1200 Accounts Receivable A 0.00 1300 Software Inventory A 0.00 1400 Hardware Inventory A 0.00 1499 CURRENT ASSETS A 1500 IBM Personal Computer A 0.00 1510 Computer Monitor A 0.00 1520 Computer Printer A 0.00 1530 Other Computer Equipment A 0.00 1550 Computer Software A 0.00 1589 Gross Computer Assets A 1595 Accumulated Depn Computer A 0.00 1599 Net Computer Assets A 1600 Office Building A 0.00 1700 Office Furniture A 0.00 2000 Accounts Payable L 0.00 2100 Sales tax payable L 0.00 2399 Current Liabilities L 2400 Bank loan L 0.00 2500 Building Loan L 0.00 2999 Long Term Debt L 3000 Owners capital/equity C 0.00 3500 Retained earnings R 0.00 4000 Software sales in-state I 4010 Computer sales in-state I 4020 Service sales in-state I 4030 Other sales in-state I 4089 TOTAL SALES IN-STATE I 4100 Sales out of state I 5000 Cost of software sold E 5005 Cost of hardware sold E 5010 Labor & Payroll E 5020 Material and Supplies E 5030 Other costs E 5089 TOTAL COST OF GOODS SOLD E 5200 Advertising E 5210 Bad debts from sales E 5220 Bank service charges E 5230 Car and Truck Expenses E 5240 Sales Commissions E 5250 Depletion expense E 5300 Depreciation E 5400 Employee Benefits E 5410 Employee pension plan E 5500 Freight & transportation E 5510 Insurance E 5600 Laundry and cleaning E 5610 Legal & professional serv E 5620 Office expenses E 5625 Dues and subscriptions E 5630 Rent on business property E PAGE 77 FINANCE MANAGER II - GENERAL LEDGER lite JUN-30-89 YOUR COMPUTER COMPANY PAGE 2 10:39am WORK Demo Accounts Test CHART OF ACCOUNTS ACT# ACCOUNT NAME TYPE BEGIN BAL ---- ------------------------------ ---- ----------- 5640 Repairs E 5650 Other supplies E 5660 TAXES - PROPERTY E 5665 TAXES - Income E 5670 Sales tax expense E 5680 Travel and entertainment E 5700 Utilities & telephone E 5800 Interest on mortgage E 5810 Interest other E PAGE 78 FINANCE MANAGER II - GENERAL LEDGER lite JUN-30-89 YOUR COMPUTER COMPANY PAGE 1 10:39am WORK Demo Accounts Test BUDGET LISTING JUN-89 ACT# ACCOUNT NAME TYPE BUDGET AMT ---- ---------------------------- ---- ----------- 4000 Software sales in-state I 1,200.00 4010 Computer sales in-state I 10,000.00 4020 Service sales in-state I 0.00 4030 Other sales in-state I 0.00 4089 TOTAL SALES IN-STATE I 4100 Sales out of state I 0.00 5000 Cost of software sold E 600.00 5005 Cost of hardware sold E 7,000.00 5010 Labor & Payroll E 0.00 5020 Material and Supplies E 0.00 5030 Other costs E 0.00 5089 TOTAL COST OF GOODS SOLD E 5200 Advertising E 1,500.00 5210 Bad debts from sales E 0.00 5220 Bank service charges E 0.00 5230 Car and Truck Expenses E 0.00 5240 Sales Commissions E 0.00 5250 Depletion expense E 0.00 5300 Depreciation E 150.00 5400 Employee Benefits E 0.00 5410 Employee pension plan E 0.00 5500 Freight & transportation E 0.00 5510 Insurance E 0.00 5600 Laundry and cleaning E 0.00 5610 Legal & professional serv E 0.00 5620 Office expenses E 75.00 5625 Dues and subscriptions E 0.00 5630 Rent on business property E 0.00 5640 Repairs E 0.00 5650 Other supplies E 0.00 5660 TAXES - PROPERTY E 0.00 5665 TAXES - Income E 0.00 5670 Sales tax expense E 0.00 5680 Travel and entertainment E 0.00 5700 Utilities & telephone E 0.00 5800 Interest on mortgage E 121.25 5810 Interest other E 299.91 PAGE 79 FINANCE MANAGER II - GENERAL LEDGER lite JUN-30-89 YOUR COMPUTER COMPANY PAGE 1 10:39am WORK Demo Accounts Test TRIAL BALANCE JUN-89 ACT# ACCOUNT NAME DEBITS CREDITS ---- ------------------------- ----------- ----------- 1000 Petty Cash 500.00 1010 Checking Account #1 15,025.12 1300 Software Inventory 4,000.00 1400 Hardware Inventory 6,500.00 1500 IBM Personal Computer 3,500.00 1510 Computer Monitor 200.00 1520 Computer Printer 450.00 1530 Other Computer Equipment 150.00 1550 Computer Software 700.00 1595 Accumulated Depn Computer 280.00 1600 Office Building 50,000.00 1700 Office Furniture 15,000.00 2100 Sales tax payable 790.00 2400 Bank loan 14,550.00 2500 Building Loan 44,987.12 3000 Owners capital/equity 45,000.00 3500 Retained earnings 11,942.00 4000 Software sales in-state 800.00 4010 Computer sales in-state 15,000.00 5000 Cost of software sold 400.00 5005 Cost of hardware sold 9,000.00 5010 Labor & Payroll 3,600.00 5200 Advertising 440.00 ----------- ----------- 121,407.12 121,407.12 PAGE 80 FINANCE MANAGER II - GENERAL LEDGER lite FINANCE MANAGER II USER COMMENT FORM _ _ Product being used: |_|General Ledger |_|Account Reconciliation _ _ |_|Accounts Receivable |_|Accounts Payable _ _ |_|Financial Utilities |_|Payroll _ _ _ Use of product: |_|Business |_|Personal |_|Other____________________ What type of computer are you using:__________________________________ Do you have a unique use for this product?_____ If so please explain. ______________________________________________________________________ Please circle your rating: Poor Fair Average Very Good Excellent ---- ---- ------- --------- --------- Performance. x x x x x Documentation. x x x x x Ease of learning. x x x x x Ease of use. x x x x x Manual Reliability. x x x x x Error Handling. x x x x x Support. x x x x x Value. x x x x x Did you find any problems in using this product? Please describe. ______________________________________________________________________ ______________________________________________________________________ ______________________________________________________________________ Do you have any suggestions for improving this program and/or documentation. Use the reverse side of this form if necessary: ______________________________________________________________________ ______________________________________________________________________ ______________________________________________________________________ Please add any other comments about product on reverse side of form. RETURN THE COMPLETED FORM AND HOOPER INTERNATIONAL ANY ADDITIONAL CORRESPONDENCE TO: P.O. Box 62219 Colorado Springs, CO 80962 PAGE 81 ----------------------------------------------------------------------- | F I N A N C E M A N A G E R II O R D E R F O R M | | | | MAIL:Hooper International 24 Hr ORDER LINE:1-800-245-7789 | | TO P.O. Box 62219 24 Hr FAX line:(719) 528-8997 | | Colorado Springs, CO 80962 | | U.S.A. Tech Support:(719) 528-8989 | |---------------------------------------------------------------------| | Mastercard:___ Visa:___ Amex:___ Check:___ (U.S. FUNDS ONLY) | | | | Card Number:________________________________ Expiration:__________ | | | | Name:______________________________ Signature:_____________________ | | | | Company Name:_______________________________ PC Brand:_____________ | | | | Address:____________________________________ DISK SIZE:3"___ 5"___ | | | | City:____________________________ State:____ Zipcode:____________ | | | | Country:______________________________ Phone:(____)_____________ | | | | Registration number on disk you were evaluating:___________________ | | | | How did you hear about FINANCE MANAGER?____________________________ | |---------------------------------------------------------------------| | ITEMS ORDERED - Version 1.3 |QTY|UNIT PRICE| AMOUNT | |--------------------------------------------|---|----------|---------| | FINANCE MANAGER II - REGISTERED COPIES: | | | | | | | | | | GENERAL LEDGER (Main module) | _ | $49.95 | $ | | | | | | | Accounts Receivable | _ | $36.95 | $ | | | | | | | Accounts Payable | _ | $36.95 | $ | | | | | | | Payroll | _ | $41.95 | $ | | | | | | | Account Reconciliation | _ | $14.95 | $ | | | | | | | Financial Utilities | _ | $25.95 | $ | | | | | | | | | | | | EVALUATION COPY of General Ledger Lite | _ | $ 3.00 | $ | |-----------------------------------------------------------|---------| | SUBTOTAL | $ | |-----------------------------------------------------------|---------| | LESS QUANTITY DISCOUNT SCHEDULE PER ORDER | | | 3 or 4 modules = 10% discount, 5+ modules 15% discount|$< >| |-----------------------------------------------------------|---------| | ADD Shipping/Handling charge | $ 3.00 | |-----------------------------------------------------------|---------| | ADD AIR MAIL POSTAGE for orders $3.00 | | | shipped out of North America per module | $ | |-----------------------------------------------------------|---------| | TOTAL | $ | |-----------------------------------------------------------|---------| | Colorado residents add 6.5% sales tax | $ | |-----------------------------------------------------------|---------| | Prices subject to change. | | | All amounts in US currency. GRAND TOTAL (US $) | $ | ----------------------------------------------------------------------- PAGE 82