Differences

This shows you the differences between two versions of the page.

Link to this comparison view

Both sides previous revision Previous revision
accounting_ch_04-orders [2019/01/30 09:21]
127.0.0.1 external edit
accounting_ch_04-orders [2019/01/30 12:18] (current)
kcifreo
Line 1: Line 1:
-  
- 
- 
- 
 An order is a stated intention by a customer to purchase goods and/or services from your company. Their purpose is to help keep track of what you've sold, and to whom, and to ensure that you are getting the right products or services to the right customers. Please refer to Chapter 11, Estimates, Orders, and Service Tickets in the Users Reference Manual to see more about this topic. An order is a stated intention by a customer to purchase goods and/or services from your company. Their purpose is to help keep track of what you've sold, and to whom, and to ensure that you are getting the right products or services to the right customers. Please refer to Chapter 11, Estimates, Orders, and Service Tickets in the Users Reference Manual to see more about this topic.
  
- +===== Lifecycle ​=====
- +
-Lifecycle ​ +
- +
  
 In Control, orders are normally handled in one of two ways, a new order is created and processed, or an estimate is converted into an order. The steps that are followed to process the order will differ from store to store, so it's very likely your orders'​ lifecycle will be different in some ways. In Control, orders are normally handled in one of two ways, a new order is created and processed, or an estimate is converted into an order. The steps that are followed to process the order will differ from store to store, so it's very likely your orders'​ lifecycle will be different in some ways.
  
 +===== Reports =====
  
- +**A/R Aging Graph**
-Reports  +
- +
- +
- +
-A/R Aging Graph  +
- +
  
 This will be a graphical representation of your accounts receivable information in a bar and pie graph form. Information in the bar graph will be broken down by aging (current, 1-30 days, etc.) and amount due. Information in the pie graph will be broken down by customer'​s percentage of total amount due. This will be a graphical representation of your accounts receivable information in a bar and pie graph form. Information in the bar graph will be broken down by aging (current, 1-30 days, etc.) and amount due. Information in the pie graph will be broken down by customer'​s percentage of total amount due.
  
- +{{:​argraph.jpg?​nolink&​}}
- +
-{{::​argraph.jpg?​nolink&​|}} +
- +
  
 Heading - Company information,​ such as logo, address, phone, etc. Heading - Company information,​ such as logo, address, phone, etc.
- 
- 
  
 Report Name - Name of the report currently being viewed Report Name - Name of the report currently being viewed
- 
- 
  
 Date Printed - When the report was printed Date Printed - When the report was printed
- 
- 
  
 Bar Graph Information - Accounts Receivable information broken down by age Bar Graph Information - Accounts Receivable information broken down by age
- 
- 
  
 Pie Graph Information - Accounts Receivable information broken down by customer Pie Graph Information - Accounts Receivable information broken down by customer
  
 +===== GL Detail =====
  
 +**Scenario:​**
  
-GL Detail ​+You have an order for a print for $100 plus $10 in taxes from the Super Simple Company. It will take $15 in labor and $20 in materials to build. You also receive a $75 deposit from the customer. The initial ​GL entries for the order you have created will look like:
  
-**Scenario:**+|**Account** ||**Debit** ||**Credit** ||**Notes** || 
 +|WIP||100.00|| ​  ​||This system account is created just to track the WIP's potential sales. Because the order is not delivered yet, there is no income at this time.|| 
 +|Orders Due||   ​||100.00||This is a System Account to balance the WIP and Built accounts.|| 
 +|Bank Account||75.00|| ​  ​||Money,​ money, money!|| 
 +|Customer Deposits|| ​  ​||75.00||This system account is used to track payments made before the order is a sale.||
  
 +When the order is marked built (assuming the above costs), the following GL entries will be made:
  
 +|**Account** ||**Debit** ||**Credit** ​  ​||**Notes** ||
 +|Built||100.00|| ​  ​||This system account is created just to track the Built'​s potential sales. Because the order is not delivered yet, there is no income at this time.||
 +|WIP|| ​  ​||100.00||Removing the balance from the WIP potential tracking accounting.||
 +|Inventory|| ​  ​||20.00||Decrease in the inventory account corresponding to the materials used||
 +|Accrued Wages|| ​  ​||15.00||Increase in the accrued wages liability account for the labor||
 +|Cost of WIP & Built||35.00|| ​  ​||This system account accrues the costs of orders that have been built but are not yet a sale.||
  
-You have an order for print for $100 plus $10 in taxes from the Super Simple Company. It will take $15 in labor and $20 in materials to build. You also receive a $75 deposit from the customer. The initial ​GL entries ​for the order you have created ​will look like:+When the order becomes ​sale, the following ​GL entries will be made:
  
 +|**Account** ||**Debit** ​  ​||**Credit** ||**Notes** ||
 +|Built|| ​  ​||100.00||Remove the balance from this account||
 +|Orders Due||100.00|| ​  ​||Remove the balance from this account||
 +|Cost of WIP & Built|| ​  ​||35.00||Remove the balance from this account||
 +|Wages||15.00|| ​  ​||Record the wage expenses in the appropriate account.||
 +|COGS||20.00|| ​  ​||Record the material expenses in the appropriate COGS account.||
 +|Income|| ​  ​||100.00||Record the income in the appropriate account(s) based on the product||
 +|Sales Tax||   ​||10.00||Sales Tax is realized when the order becomes a sale.||
 +|Customer Deposits||75.00|| ​  ​||Remove the balance from this account||
 +|Accounts Receivable||35.00|| ​  ​||Balance of the amount owed by the customer.||
  
 +\\
  
-|| **Account** || **Debit** || **Credit** || **Notes** || 
-|| WIP || 100.00 ||   || This system account is created just to track the WIP's potential sales. Because the order is not delivered yet, there is no income at this time. || 
-|| Orders Due ||   || 100.00 || This is a System Account to balance the WIP and Built accounts. || 
-|| Bank Account || 75.00 ||   || Money, money, money! || 
-|| Customer Deposits ||   || 75.00 || This system account is used to track payments made before the order is a sale. || 
-When the order is marked built (assuming the above costs), the following GL entries will be made: \\ || **Account** || **Debit** || **Credit** || **Notes** || 
-|| Built || 100.00 ||   || This system account is created just to track the Built'​s potential sales. Because the order is not delivered yet, there is no income at this time. || 
-|| WIP ||   || 100.00 || Removing the balance from the WIP potential tracking accounting. || 
-|| Inventory ||   || 20.00 || Decrease in the inventory account corresponding to the materials used || 
-|| Accrued Wages ||   || 15.00 || Increase in the accrued wages liability account for the labor || 
-|| Cost of WIP & Built || 35.00 ||   || This system account accrues the costs of orders that have been built but are not yet a sale. || 
-When the order becomes a sale, the following GL entries will be made: \\ || **Account** || **Debit** || **Credit** || **Notes** || 
-|| Built ||   || 100.00 || Remove the balance from this account || 
-|| Orders Due || 100.00 ||   || Remove the balance from this account || 
-|| Cost of WIP & Built ||   || 35.00 || Remove the balance from this account || 
-|| Wages || 15.00 ||   || Record the wage expenses in the appropriate account. || 
-|| COGS || 20.00 ||   || Record the material expenses in the appropriate COGS account. || 
-|| Income ||   || 100.00 || Record the income in the appropriate account(s) based on the product || 
-|| Sales Tax ||   || 10.00 || Sales Tax is realized when the order becomes a sale. || 
-|| Customer Deposits || 75.00 ||   || Remove the balance from this account || 
-|| Accounts Receivable || 35.00 ||   || Balance of the amount owed by the customer. ||