UNIT 4 CONFIGURING TALLY CONFIGURING TALLY (F12) VVN ...
Transcript of UNIT 4 CONFIGURING TALLY CONFIGURING TALLY (F12) VVN ...
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UNIT 4
CONFIGURING TALLY
CONFIGURING TALLY (F12)
1. General: general configuration includes details of Country details, Naming style, Format of
dates, Format of numbers, Table configuration, Import/Export options and Other options.
Based on the requirement of the company options can be used.
2. Numeric Symbols: this option is only for the number styles and prefix/suffix to be use and
symbols for debit & credit amounts.
3. Accounts/Inventory Information: this option allows the accounts and inventory to use the
address and contact details or godown details and description, remarks of the stock.
4. Voucher Entry: A Voucher is an accounting document. This option is further divided into
Accounts and Inventory. Two options always to be activated:
(a) Use Single Entry mode for payment/receipt/contra: NO
(b) Use Cr/Dr instead of To/By during an entry : YES
Other options in voucher entry can be activated as per the requirement of a customer.
5. Invoice/Orders Entry: this option issued only when the invoice order is been needed.
6. Payroll Configuration: company can maintain employee related details in Tally under this
option.
7. Banking Configuration: this option can be used for banking relation details.
GROUP CREATION
A group is a collection of ledgers which have similar transactions. Tally ERP9 provides a set of 28
pre-defined groups under which ledgers can be classified i.e, 15 Primary groups and 13 Sub groups.
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For example, all account heads relating to fixed assets of the company are grouped under the fixed
assets.
Primary Groups Sub Groups
Branch/Divisions Bank Accounts
Capital Account Bank OD A/c
Current Assets Cash-in-hand
Current Liabilities Deposits (Asset)
Direct Expenses Duties and Taxes
Direct Incomes Loans and Advances (Asset)
Fixed Assets Provisions
Indirect Expenses Reserves & Surplus
Indirect Incomes Secured Loans
Investments Stock-in-hand
Loans (Liability) Sundry Creditors
Misc. Expenses (Asset) Sundry Debtors
Purchase Accounts Unsecured Loans
Sales Accounts
Suspense Account
1. Primary groups
a) Branch/Division – if the company have various branches and divisions, branch/division name
can be mentioned here.
b) Capital account – this group consists of capital, reserves and surplus of the company.
c) Current assets – current assets are those assets which can be converted into cash with a period
of one year
d) Current liabilities – current liabilities are those liabilities which are payable within a year.
e) Direct expenses – this is a group for all direct expense like wages, fright charges, electricity
bill etc.
f) Direct incomes - in case of professional or servicing companies which do not have sales
income but have income and professional fees for services which we can place the ledger under
direct income
g) Fixed assets – it refers to those assets which are held by way of investment and not for the
purpose of sales. They are permanent in nature. It can be further divided into tangible assets
and intangible assets.
h) Indirect expenses – all office, administration, selling and financial expenses should be
classified under this group
i) Indirect income – income such as interest received, discount received, commission earned shall
be classified under this group.
j) Investments –Company’s investment can be mentioned under this head. Such as investments
in shares, bonds, government securities, etc.
k) Loans – this is a convenient head for both secured and unsecured loan. All loans taken by the
company will come under this group
l) Miscellaneous expenses - preliminary expenses of the company are recorded here
m) Purchase account – buying of goods for the purpose of resale is turned as purchase. Purchase
and purchase return will come under this group
n) Sales account – selling of goods in normal source of business is turned as sales. If the sale is
for immediate cash payment, it is called sales. If payment for sales is different it becomes
created sales. Sales account and sales return account are created under this account
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o) Suspense account – the suspense account is a temporary account in which the difference in a
trial balance is places and is wiped off when the errors are located and corrected.
2. Sub Groups
a) Bank account – various bank accounts of the company can be created under this group
b) Bank OD a/c – if the company have any overdraft facility taken from the banks can be included
in this group.
c) Cash-in-hand – cash account of the company can be recorded under this group
d) Deposits – company’s deposits such as fixed deposits, security deposits and any deposit made
by the company.
e) Duties and taxes – all tax a/c’s including VAT and other trade taxes
f) Loans and advances – advance against salary, loans against salary etc can be included under
this group
g) Provisions – various provisions of the company, such as provision for taxation, depreciation,
etc
h) Reserves & Surplus – capital reserve, general reserve, reserve for depreciation etc are recorded
under this group
i) Secured loans – long or medium term loans that have been obtained against security of some
assets.
j) Stock-in-hand – opening stock or closing stock of raw materials, work-in-progress and finished
goods
k) Sundry creditors – trade creditors of the company
l) Sundry debtors – customers of the company
m) Unsecured loans - for loans obtained without any security.
Creating a Group
In Tally ERP 9 there are two options for creating Groups.
• Single Group – we can create only one group by using Single Group creation screen
o Path – Go to > Gateway of Tally > Accounts Info. > Groups > Create under Single Group
• Multiple Groups – we can create multiple groups by using Multiple Group creation screen.
o Path – Go to > Gateway of Tally > Accounts Info. > Groups > Create under Multiple Group
Alter the group
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The group once created can be alter.
Path – Go to > Gateway of Tally > Accounts Info. > Groups > Alter under Single group or Multiple
group. Select the group to be altered - Make the required changes.
LEDGER CREATION
A ledger is the actual account head to identify the transactions of a company and is used in all
accounting vouchers. In Tally ERP9 there are two pre-defined ledgers available. They are:
➢ Cash – This ledger is created under the group Cash-in-hand. We can enter the opening
balance as on the date of books beginning from. We can also alter the name and even delete
the ledger.
➢ Profit and Loss Account – This ledger is created under the Group Primary. Previous year’s
profit or loss is entered as theopening balance for this ledger. The balance entered here is
treated as the opening profit/loss and shown in the balance sheet.
You cannot delete this ledger, but you can modify the same.
Creating a ledger
Under Tally ERP9 by default two ledger accounts are contained namely Cash a/c and Profit & Loss
a/c. We need to create all other accounts.
Path for single ledger – Go to > Gateway of Tally > Accounts Info. > Ledgers > Create under single
ledger
Path for multiple ledger – Go to > Gateway of Tally > Accounts Info. > Ledgers > Create under
Multiple Ledgers
Displaying / Altering a Ledger Account
Information under Display and Alter is the same. Display option does not permit any modification,
Alter option permits to alter the information.
Path - Go to > Gateway of Tally > Accounts Info. > Ledgers > Alter or Display
Deleting a ledger account
Ledger can be deleted if no vouchers have been created.
Path – Go to > Gateway of Tally > Accounts Info. > Ledgers > Alter > Select the ledger account to
be deleted > Press Alt+D
Groups and respective ledger accounts
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Groups Ledgers
Purchase Account Purchase A/c
Purchase Return A/c
Sales Account Sales A/c
Sales Return A/c
Fixed assets
Furniture a/c
Fixtures and fittings
Motor vehicles
Plant and machinery
Land and building
Lease hold property
Patents
Good will
Loose tools
Current assets
Bills receivable
Stock of stationery
Prepaid expenses
Income outstanding
Direct income
Any income from main services
Freight charges income
Delivery charges income
Transportation charges income
Professional charges income
Consultancy charges income
Indirect income
Interest on investment received
Interest on deposit received
Interest on loans received
Commission received
Discount received
Rent received
Dividend received
Bad debts recovered
Profit by sale of assets
Sundry income
Cash-in-hand Cash-in-hand
Bank account Cash at bank
Investments Investment
Current liabilities
Bills payable
Expenses outstanding
Income received in advance
Other liabilities
Direct expenses
Freight charges Carriage inwards
Cartage and coolie, octroi
Railway fright
Manufacturing wages
Coal, gas, water
Oil and fuel
Factory rent, insurance, electricity, lighting
& heating
Indirect expenses
Salary
Postage, Telegram and telephone charges
Rent, rates and taxes
Insurance and audit fess
Interest on bank loan
Legal charges
Bank charges
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Printing and stationery
General expenses
Sundry expenses
Discount allowed
Bad debts
Carriage outwards
Travelling expenses
Depreciation on assets
Sundry creditors Sundry creditors (suppliers)
Sundry debtors Sundry debtors (customers)
Stock in hand Opening balance
Closing balance
Capital account Capital account
Drawings
Loan liabilities Bank loan
Loan from others
Bank OD Bank overdraft
Miscellaneous expenses Preliminary expenses
VOUCHERS
A voucher is a document containing the details of a transaction. It is the prime document which acts
as a source of all data items in Tally Accounting system. Each and every accounting transaction
requires voucher. Tally ERP9 is pre-programmed with variety of accounting vouchers, each
designed to perform a specific job. During vouch entry we can choose the required voucher type,
by pressing the relevant keyboard shortcut or using mouse.
Path for voucher creation
Go to > Gateway of Tally > Accounting Vouchers > Select the required voucher
1. CONTRA VOUCHER (F4)
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Contra voucher is used to make entry of transaction between cash and bank account only. It can
be accessed by pressing F4 key or selecting ‘F4: Contra’ on button bar. This voucher is used to
record transaction between cast a/c and bank a/c, bank a/c and cash a/c and one bank a/c to
another bank a/c. It is used to record fund transfer transactions where net flow of funds are
equal.
Syntax:
Cr: Cash/Bank
Dr: Cash/Bank
(a) Deposit of Cash of ₹25,000 to SBI Ledger to be created - SBI a/c under Bank Account Date Particulars LF Debit Credit SBI a/c Dr 25,000 To Cash a/c 25,000 (Being Cash Deposited)
(b) Withdrew cash of ₹1,500 from HDFC Bank Ledger to be created - HDFC Bank a/c under Bank Account Date Particulars LF Debit Credit Cash a/c Dr 1,500 To HDFC bank a/c 1,500 (Being Cash withdrawn)
(c) Transfer of ₹30,000 from Bank of Baroda to ICICI Bank Ledger to be created - Bank of Baroda a/c under Bank Account ICICI a/c under Bank Account Date Particulars LF Debit Credit ICICI a/c Dr 30,000 To Bank of Baroda a/c 30,000
(Being Cash transferred from one account to another account)
(d) Deposited cash of ₹20,000 each for Canara Bank and Bank of India Ledger to be created - Canara Bank a/c under Bank Account Bank of India a/c under Bank Account Date Particulars LF Debit Credit Canara Bank a/c Dr 20,000 Bank of India a/c Dr 20,000 To Cash a/c 40,000 (Being cash deposited into bank)
(e) Withdrew of cash of ₹20,000 equally from Karnataka Bank and Punjab Bank
Ledger to be created - Karnataka Bank a/c under Bank Account Punjab Bank a/c under Bank Account Date Particulars LF Debit Credit Cash a/c Dr 10,000 To Karnataka Bank a/c 10,000
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To Punjab Bank a/c 20,000 (Being cash withdrawn from bank)
2. PAYMENT VOUCHER (F5)
All payables either in the form of cash or bank should be recorded in this voucher. It can be
accessed by pressing F5 key or selecting F5: payment on button bar. In this particular voucher
debit comes first and next is the credit.
The main transactions recorded in this voucher are:
o Payment of expenses
o Purchase of fixed asses
o Purchase of shares
o Payment of taxes
o All types of bills cleared to customers/suppliers
Syntax:
Dr: Expenses/Purchase of Fixed Assets/Purchase of shares/Duties & Taxes/Sundry Debtors
& Sundry Creditors
Cr: Cash/Bank
(a) Paid rent of ₹20,000 and commission of ₹3,000 by Cash Ledger to be created - Rent paid a/c under Indirect expenses Commission paid a/c under Indirect expenses Date Particulars LF Debit Credit Rent paid a/c Dr 20,000 Commission paid a/c Dr 3,000 To Cash a/c 23,000 (Being rent and commission paid)
(b) Purchased Furniture worth ₹30,000 and paid by cash ₹28,000 Ledger to be created - Furniture a/c under Fixed Asset Discount received a/c under Indirect income Date Particulars LF Debit Credit Furniture a/c Dr 30,000 To Cash a/c 28,000 To discount received a/c 2,000
(Being furniture purchased at discount)
(c) Purchased Computer worth ₹30,000 by SBI a/c & Shares in Wipro ₹10,000 by cash
Ledger to be created - SBI a/c under Bank Account Shares in Wipro under Investment Computer a/c under Fixed Asset Date Particulars LF Debit Credit Computer a/c Dr 30,000 Shares in Wipro a/c Dr 10,000 To SBI a/c 30,000
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To Cash a/c 10,000 (Being Computer & Shares purchased)
(d) Paid advance of ₹5,000 for MN traders by cash Ledger to be created - MN traders (Supplier) under Sundry creditors Date Particulars LF Debit Credit MN Traders a/c Dr 5,000 To Cash a/c 5,000 (Being advance paid in cash)
3. RECEIPT VOUCHER (F6)
All receivables either in the form of cash or bank will be recorded in this voucher. In this
particular voucher credit comes first & then the debit. It can be accessed by pressing F6 key or
selecting F6: Receipt on the button bar. The main transactions recorded in this voucher are:
o Income received
o Sale of fixed assets
o Sale of shares
o Capital introduced to business
o All types of bills cleared from customers or suppliers
Syntax:
Cr: Incomes/sales of Fixed Assets/sales of shares/capital/sundry creditors & sundry debtors
Dr: Cash/Bank
(a) Started business with cash of ₹75,000 Ledger to be created - Capital a/c under Capital Account Date Particulars LF Debit Credit Cash a/c Dr 75,000 To Capital a/c 75,000
(Being cash introduced to business)
(b) Received Rent and Commission ₹30,000 equally in the form of cash Ledger to be created - Rent received a/c under Indirect income Commission received a/c under Indirect income Date Particulars LF Debit Credit Cash a/c Dr 30,000 To Rent received a/c 15,000 To Commission received a/c 15,000 (Being rent & commission received)
(c) Received advance from ABC company ₹2,000 by cash which was then remitted to HDFC
Ledger to be created - ABC Co. a/c (customer) under Sundry Debtors HDFC a/c under Bank account Receipt voucher
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Date Particulars LF Debit Credit Cash a/c Dr 2,000 To ABC Co. a/c 2,000 (Being advanced received) Contra Voucher Date Particulars LF Debit Credit HDFC a/c Dr 2,000 To Cash a/c 2,000 (Being cash deposited)
(d) Sold Furniture worth ₹20,000 at the loss of ₹ 3000 through ICICI Bank Ledger to be created - Furniture a/c under Fixed Asset ICICI a/c under Bank Account Loss on Furniture under Indirect expenses Date Particulars LF Debit Credit ICICI a/c Dr 17,000 Loss on Furniture a/c Dr 3,000 To Furniture a/c 20,000 (Being furniture sold at loss)
(e) Received Commission of ₹10,000 by cash and deposited 50% of commission to Canara bank
and the balance to Bank of India Ledger to be created - Commission received a/c under indirect income Canara Bank a/c under Bank Account Bank of India a/c under Bank Account Receipt voucher Date Particulars LF Debit Credit Cash a/c Dr 10,000 To Commission receiveda/c 10,000 (Being commission received) Contra Voucher Date Particulars LF Debit Credit Canara Bank a/c Dr 5,000 Bank of India a/c Dr 5,000 To Cash a/c 10,000 (Being cash deposited)
4. JOURNAL VOUCHER (F7)
They also referred as adjustment voucher. All types of transaction can be recorded in this
voucher but it should not include cash, bank, purchase and sales a/c. Shortcut key is F7. The
main transactions are:
o Depreciation of fixed assets
o Appreciation of fixed assets
o Bills of exchange
o Transfer of cash from one a/c to another
o Receivables/payables without cash & bank
Syntax:
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Dr: Any ledger
Cr: Any ledger
(a) Appreciation of Land & Building at 5%, whose book value is ₹5,00,000
Ledger to be created - Land & Building a/c under Fixed Assets Appreciation a/c under Indirect Income Date Particulars LF Debit Credit Land &Building a/c Dr 25,000 To Appreciation a/c 25,000
(Being land & building value appreciated)
(b) Depreciation of Furniture by ₹15,000 Ledger to be created - Depreciation a/c under Indirect Expenses Furniture a/c under Fixed Assets Date Particulars LF Debit Credit Depreciation a/c Dr 15,000 To Furniture a/c 15,000
(Being furniture value depreciated)
(c) Transfer of cash ₹10,000 from Sham Capital a/c to Ram Capital a/c
Ledger to be created - Sham Capital a/c under Capital Account Ram Capital a/c under Capital Account Date Particulars LF Debit Credit Ram Capital a/c Dr 10,000 To Sham Capital a/c 10,000
(Being capital transferred from one capital a/c to another a/c)
5. SALES VOUCHER (F8)
A sales voucher is used when goods or service are sold to a customer (sundry debtors). It is also
known as Sales Invoice. The shortcut key is F8
Syntax:
Dr: Cash/Bank/Sundry Creditor
Cr: Purchase A/c
(a) Sold goods for cash ₹12,000 Ledger to be created - Sales a/c under Sales Account Date Particulars LF Debit Credit
Cash a/c Dr 12,000
To Sales a/c 12,000
(Being goods sold for cash)
(b) Sold goods to Mr.X worth ₹8,000 Ledger to be created - Mr. X a/c under Sundry Debtors
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Sales a/c under Sales Account Date Particulars LF Debit Credit
Mr.X a/c Dr 8,000
To Sales a/c 8,000
(Being goods sold for cash)
6. PURCHASE VOUCHER (F9)
A purchase vouches is used when goods or services are purchased from the supplier (sundry
creditor). It is also known as Purchase invoice or bill, which is issued by the supplier for the
purchase made by the customer.
Syntax:
Cr: Cash/Bank/Sundry Creditor
Dr: Purchase a/c
(a) Purchased goods for cash ₹2,500 Ledger to be created - Purchase a/c under Purchase Account
Date Particulars LF Debit Credit
Purchase a/c Dr 2,500
To Cash a/c 2,500
(Being goods purchased for cash)
(b) Purchased goods from Mr. Y @ ₹5,000 Ledger to be created -Mr. Y a/c under Sundry Creditor Purchase a/c under Purchase Account
Date Particulars LF Debit Credit
Purchase a/c Dr 5,000
To Mr.Y a/c 5,000
(Being goods purchased from Mr.Y)
7. CREDIT NOTE VOUCHER (Ctrl + F8)
A credit note is prepared by the seller and it contains the date on which goods are returned,
name of customer, details of the goods received back, amount of such goods and reasons. A
credit note register records all the credit notes passed during the relevant period.
8. DEBIT NOTE VOUCHER (Ctrl + F9)
Debit note is prepared by the buyer and it contains the date of goods returned, name of the
supplier, details of the goods returned and reasons for returning the goods and so on. A debit
note register records all the debit notes passed during the relevant period.
9. REVERSING JOURNAL VOUCHER (F10)
Reversing journals are used to record the transactions without affecting the ledger accounts and
financial statements. All reversing journal transaction is stored in a Reversing Journal Register.
10. MEMO VOUCHER (Ctrl + F10)
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This is a non-accounting voucher and the entries made using it will not affect the accounts.
That is, Tally.ERP9 does not post these entries to ledgers but stores them in a separate Memo
Register.
PROBLEMS
1. Journalise the following transactions in the books of A Co. Ltd
Date Particulars Rs
1/6/18 Started business with cash 1,20,000
2/6/18 Paid into bank 60,000
4/6/18 Purchased goods from Kiran on credit 20,000
6/6/18 Paid to Shashi 9840
6/6/18 Discount allowed by him 160
8/6/18 Cash sales 40,000
12/6/18 Sold to Harish 10,000
15/6/18 Purchased goods from Bhaskar 15,000
18/6/18 Paid salaries 8,000
20/6/18 Received from Prem 4960
20/6/18 Allowed him discount 40
25/6/18 Withdraw from bank for office use 10,000
28/6/18 Withdraw for personal use 2000
30/6/18 Paid Nikhil by cheque 6000
2. Journalise the following transactions.
July 1 – Purchased goods worth ₹ 800 from Varun and ₹ 1200 from Tarun on credit
July 3 – Sold goods worth ₹ 1800 to Bharath & ₹1200 to Sharath
July 6 – Cash of ₹ 1500 received from Ramesh & ₹ 2500 from Suresh
July 7 – Paid ₹ 1200 to Ravi & ₹ 1200 to Surya
July 9 – Withdrawn from bank ₹ 600 for office use
July 10 – Withdrawn from bank ₹ 300 for personal use.
3. Journalise the following transactions.
Jan 1 – John started business with cash ₹ 1,25,000
Jan 2 – Bought goods from Mr. B ₹ 30,000
Jan 3 – Paid into Canara Bank ₹ 50,000
Jan 4 – Returned goods to Mr. B ₹ 1500
Jan 5 – Sold goods to Mr. S ₹ 8000
Jan 6 – Paid for cartage ₹ 200
Jan 7 – Received dividend on investment through bank ₹ 3000
Jan 8 – Paid salary
Jan 9 – Paid cash to Mr. B in full settlement ₹ 28,000
Jan 10 – Received cash from Mr. S in full settlement ₹ 7500
4. Journalise the following transactions in the books of Mr. Mohan.
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April 1 – Started business with cash ₹ 40,000; machinery ₹25,000; furniture ₹10,000
April 2 – Purchased goods for cash - ₹25,000
April 5 – Paid tuition fees of his daughter ₹ 1,500
April 7 – Sold goods for cash ₹ 8,000
April 8 – Paid household expenses ₹ 3500
April 10 – Sold personal car for ₹25,000 & the amount is brought into the business.
April 15 – Withdrew goods for personal use ₹ 2000
April 16 – Sold goods to Nagaraj on credit ₹ 8000
April 18 – Sold old machinery ₹ 1000
April 19 – Purchased goods on credit from Mr. Raj ₹ 20,000
April 20 – Received interest on investment ₹ 6000
April 22 – Received a cheque from Nagaraj ₹ 5000
April 25 – Issued a cheque to Mr Raj ₹ 12,000
April 26 – Received cash from Arun ₹ 4000
April 27 – Paid cash to Mr. Bhargav ₹ 1000
April 28 – Returned goods to Mr. Raj ₹ 1000
April 29 – Nagaraj returned goods ₹ 500
April 30 – Paid rent ₹ 1000 & salaries ₹ 12000
5. Journalise the following transactions
Sept 1 – Goods purchased from Mr. David ₹ 10,000
Sept 2 – Sold to Savitha ₹ 6000
Sept 3 - Sold to Ranjitha ₹ 3000
Sept 4 – Purchased from Mahesh ₹ 2000
Sept 5 – Sales return by Savitha ₹ 200
Sept 10 – Bought from Ram ₹ 6000
Sept 12 – Returned to Mahesh ₹ 100
Sept 15 – Sold to Lokesh ₹ 8000
Sept 16 – Lokesh returned goods ₹ 200
Sept 17 – Sold goods to Ranjitha ₹ 3000
Sept 19 – Bought from Nagesh ₹ 500
Sept 21 – Sold to Savitha ₹ 3750
Sept 22 – Return to Nagesh ₹ 500
Sept 25 – Bought from David ₹ 7500
Sept 26 – Paid to David ₹ 12,000
Sept 26 – Paid to Ram ₹ 3000
Sept 28 – Received from Savitha in full settlement
Sept 29 – Received from Ranjitha & Lokesh in full settlement due from them.
Sept 30 – Paid Mahesh and Nagesh the full amount due to them.
Homework Problem:
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1. Journalise the following transactions
Nov 1 – Karthik commenced business with ₹ 20,000
Nov 2 – Paid into bank ₹ 5000
Nov 3 – Purchased worth ₹ 10,000 from Madhu & Co.
Nov 4 - Purchased worth ₹ 5000 from Anu.
Nov 6 – Goods worth ₹ 4000 sold to Asha
Nov 8 – Sold goods worth ₹ 2000 for cash
Nov 10 – Goods returned by Asha ₹ 50
Nov 15 – Paid rent ₹ 250
Nov 18 – Withdrawn from bank for office use ₹ 2500
Nov 20 – Paid salaries ₹ 1800
Nov 26 – Goods returned to Anu ₹ 100
Nov 27 – Paid to office furniture ₹ 1500 by cheque
Nov 28 – Received ₹ 3950 cash from Asha
Nov 29– Paid Anu ₹ 4900
2. Journalise the following transactions
Commenced business with cash ₹ 1,00,000
Cash deposited into bank ₹ 25,000
Furniture purchased for cash ₹ 20,000
Goods purchased for cash ₹ 10,000
Machinery sold for cash ₹ 35,000
Goods sold for cash ₹ 15,000
Rent paid ₹ 5000
Interest received ₹ 7500
3. Journalizethe following transactions
Started business with cash ₹ 10,000
He opened an account and deposited ₹ 5000
Goods purchased from Ajay for ₹ 1750
Furniture bought for cash ₹ 2150
Goods sold to Vijay for ₹ 4500
Machinery sold for ₹ 3250
Cash paid to Ajay for his settlement
Cash received from Vijay to settle his account
Rent paid ₹ 750
Commission received ₹ 1000
4. Journalise the following transactions
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Started a business with cash ₹ 5,00,000
Opened an account at SBM and deposit ₹ 65,000
Cash withdrawn from SBM for office use ₹ 12,500
Cash withdrawn for his personal use ₹ 7500
Goods purchased from Naveen costing ₹ 42,500
Goods sold to Vishal ₹ 35,000
Goods bought for cash ₹ 15,000
Sold goods for cash ₹ 18,000
Cash paid to Naveen to settle his account
Cash received from Vishal to settle his account
Rent paid ₹ 2000
Interest received ₹ 3250
Goods bought from Manu worth ₹ 25,000
₹ 8500 worth of goods returned to Manu
Goods sold to Bharath worth ₹ 30,000
₹ 20,000 worth of goods returned from Bharath
5. Journalise the following transactions
Commencement of business with cash ₹ 1,85,000
He opened an account at SBM and deposit ₹ 55,000
Withdraw of cash for personal use ₹ 16,500
₹ 8500 withdrawn from bank for office use
Bought goods for cash ₹ 22,500
Sold goods for cash ₹ 32,500
Bought machinery from Anil worth ₹ 62,500
Sold equipment to Vimal worth ₹ 82,000
₹ 12,500 worth of machinery returned to Anil due to low quality
₹ 15,000 worth of equipment returned from Vimal
Cash paid to Anil to settle his account
Cash received from Vimal and settle his account
Salary paid in cash ₹ 15,000
Wages paid by cheque ₹ 7500
Rent received by cheque ₹ 10,000
INTRODUCTION OF REPORTS IN TALLY ERP9
Tally ERP9 provides the capability to generate various financial statements and a management
information system reports, thereby facilitating better management, effective control and well
informed decisions.
It allows generating numerous report and statements. The reports available in Tally ERP9 can be
grouped under the following board categories.
▪ Financial Statements & Reports
▪ Accounting Books & Ledgers
▪ Statement of Accounts
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▪ MIS
▪ Exception Reports
Financial Statements:
Financial statements & Reports and statements which comprise of the overall summary of all
transactions entered into the accounts books. In tally the reports are automatically generated.
In Tally ERP9, the financial statements are classified into the following:
➢ Balance Sheet
➢ Profit & Loss a/c
➢ Trial Balance
❖ Balance Sheet
It is a financial statement that includes the financial position or net worth of a company at any
given point. It lists the Assets & Liabilities of a company for a given period. The balance sheet
in Tally ERP9 displays the information entered in the default primary groups.
Path to view – Go to > Gateway of Tally > Reports > Balance Sheet
❖ Profit & Loss a/c
It is the financial statement that describes the operational results of the company or its earning
capacity for a given period. It lists the company’s incomes and expenditure.
Path to view – Go to > Gateway of Tally > Reports > Profit & Loss a/c
❖ Trial Balance
It is listing of all accounts, with their balances enters as debits and credits in columns, to
determine whether the accounts balance, that is whether total debits equal total credits.
Path to view – Go to > Gateway of Tally > Display > Trial Balance
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Accounts Books & Registers
Account books record individual transaction details which have entered. Though the items are
posted to different ledgers. Tally ERP9 brings together all the transactions of one category into
books of accounts for viewing and printing.
❖ Cash Book
Cash books is a ledger which records all cash receipts and cash payments
Go to > Gateway of Tally > Display > Accounts Book > Cash/Bank Book
❖ Bank Book
Bank book is a ledger which records all bank receipts and bank payments.
Go to > Gateway of Tally > Display > Accounts Book > Cash/Bank Book
❖ Purchase register
The purchase register is a record of all purchase transactions made by an organization. By
default, this register displays the month wise break up of purchases, however it can be further
configured to show the purchases of any period as per the users requirement.
Go to > Gateway of Tally > Display > Accounts Book > Purchase register
❖ Sales register
The sales register is a record of all sales transactions made by an organization. By default this
register displays the month wise break up of purchases however, it can be configured to show
the sales of any period as per the user’s requirement.
Go to > Gateway of Tally > Display > Accounts Book > Sale register
❖ Journal register
Journal register displays all the journal vouchers recorded for each month.
Go to > Gateway of Tally > Display > Accounts Book > Journal register
❖ Day Book
A day book records all transaction (i.e. Accounting, Inventory, Optional and Non-Accounting)
entered during relevant period. By default the day book displays the last voucher entry date of
regular voucher, but it can be sent to show any date of the users choice.
Go to > Gateway of Tally > Display > Day Book
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Trial Balance
Particulars Debit Credit
Capital Account XX
Sales XX
Purchase return XX
Commission or discount received XX
Long term loan XX
Bills Payable XX
Creditors XX
Advance to customers XX
Land and Building XX
Plant and Machinery XX
Equipment, Furniture, Fixtures XX
Cash in hand XX
Cash at bank XX
Debtors XX
Bills Receivable XX
Stock of raw materials XX
Stock of finished goods XX
Purchases XX
Sales Return XX
Carriage inward/outward XX
Interest paid XX
Salary XX
Drawing XX
TOTAL XXX XXX
Problems:
1. Prepare trial balance as on 31/12/18
Particulars ₹
Ramesh capital account 2,75,000
Loan from HDFC Bank 4,25,000
Plant & Machinery 3,30,000
Cash in hand 20,000
Balance at bank of Baroda 1,75,000
Trade Debtors 3,55,000
Bills Payable 2,95,000
O/s expenses 40,000
Pre-paid insurance 20,000
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Opening stock 1,35,000
2. Prepare trial balance of Shree Company as on 31/3/19
Particulars ₹
Capital Account 60,000
Bank Overdraft 40,000
Machinery 25,000
Bills payable 30,000
Wages 2,000
Drawings 20,000
Opening stock 35,000
Furniture 20,000
Bills Receivable 20,000
Salary 8,000
3. Prepare trial balance in the books of Singh.
Particulars ₹
Capital Account 25,000
Sales Account 20,000
Printing & Stationery 1500
Bills Receivable 4000
Creditors 15,000
Furniture 2000
Bank loan 5000
Carriage outward 1000
Cash in hand 500
Discount allowed 1500
Buildings 39,000
Purchases 18,000
Rent 1500
Wages 1000
Bills payable 5000
Debtors 20,000
Carriage inwards 1000
Insurance 500
Cash at bank 1000
Cash sales 23,500
Drawings 1000
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4. Prepare Trial balance. (2016)
Particulars ₹
Debtors 10,000
RBDD 1,000
Share Capital 2,00,000
5% Debentures 1,00,000
Trade Creditors 25,000
Goodwill 25,000
Land and building 2,25,000
Closing stock 6,000
Share premium 8,000
Plant and machinery 50,000
P/L Account (Loss) 15,000
Opening stock 13,000
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