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Tally is an Accounting Software that helps you in maintaining Accounts and Inventory of your office.
What is Accounting
“Accounting is the art of recording, classifying and summarizing in a significant manner and in terms of money, transactions and events, which are in part, at least, of a financial character, and interpreting the result thereof” – American Institute of certified public accountants.
Methods of Accounting
There are two types of Accounting Systems. 1. American Method or Single Entry System. 2. English Method or Double Entry System.
American Method or Single Entry System.
It has further five types of accounting. I. II. III. IV. V. Assets Accounts Liabilities Accounts Capital Accounts or Owner’s Equity A/c Revenue or Income Accounts Loss or Expenses A/c
Methods of Recording
I. II. III. IV. V. Debit the Increase in the Assets and Credit the Decrease in the Assets. Credit the Increase in the Liabilities and Debit the Decrease in the Liabilities. Credit the Increase in the Capital and Debit the Decrease in the Capital. Credit the Increase in the Income and Debit the Decrease in the Income. Debit the Increase in the Expenses and Credit the Decrease in the Expenses.
English Method or Double Entry System.
Classification of Accounts
1. Personal Accounts: These accounts are those accounts which are
opened by a name of a person, firm, company, society or organization.
Rules: “Debit the Receiver and Credit the Giver”.
Types of Personal Accounts: I. Natural Personal Accounts: a) MAHESH’s Accounts b) Owner’s Capital Accounts c) Owner’s Drawing Accounts d) Debtors Accounts e) Creditors Accounts II. Artificial Personal Accounts a) Firm’s a) b) c) d) e) f) Accounts Company’s Accounts Organization Accounts Bank Accounts Club Accounts Insurance Company Accounts Government Sector accounts
III. Representative Personal Accounts a) b) c) d) Outstanding Salary Due to Staff account Prepaid Insurance Account Accrued Income Account Unearned Commission Account
3. Real Accounts: Those Business assets which can be measure in the term of money their accounts are called Real Accounts.
Rules: “Debit what comes in and Credit what goes out”.
Types of Real Accounts:
I. Tangible Real Accounts: These accounts are those assets account which can be touched.
a) b) c) d) e)
Cash Account Stock Account Furniture Account Land Account Building Account
II. Intangible Real Accounts: Those accounts are those assets account which can’t touch but can be measured in the term of money.
a) b) c) d)
Goodwill Accounts Patents Accounts Trade Mark Accounts Copy Right Accounts
4. Nominal Accounts: Income and Expenditure accounts of a business are called nominal accounts.
Rules: “All the Expenses are debited and Incomes are credited”.
Types of Real Accounts: I. Expenditure Accounts: a) Salary Paid Accounts b) Rent Paid Accounts c) Bed Debts Accounts d) Commission Paid Accounts II. Income Accounts: a) Salary Received Accounts b) Rent Received Accounts c) Commission Received Accounts d) Interest Received Accounts e) Bed Debts Recovered Accounts
Steps for working in the Tally
1. Create Company: In Tally this is the First task or primary task to create a company. For this Purpose we have to select the Create Company option from menu Gateway of Tally. After selecting the option we have to fill up the details for the Company like Company Name, Address, Started Date, and Income Tax No etc. 2. Creates Groups: Groups are created for same type of Ledger A/cs. In Tally There are many groups which are used for making ledgers. So in the rare cases we have to create groups. These are the main groups in the tally. I. Reserve and Surplus (Retained Earning): You can use this group heads like Investment Allowance Reserve, Select Ledger and other such reserve accounts.
V. trade tights etc. f) Stock in hand: It is used to hold certain special accounts like raw material. b) Bank Accounts: It is used to hold all accounts of banks. g) Sundry Debtors: It is used to hold accounts of companies and individuals that give goods on credit to the company.a) Current Assets: This is the primary group that has all the current assets accounts. a) Bank OD Accounts: It is used to hold all overdraft accounts with banks. Loan Liabilities: This is used to keep track of loan taken by the company. b) Provisions: It is used to hold other tax provisions like Income tax. Miscellaneous Expenses: The loss of the company. Current Liabilities: This is a primary group and is used to hold outstanding and statuary liabilities of the company. finished goods and work in progress. c) Sundry Creditors: It is used to hold accounts trade creditors of the company. IV. depreciation in it. VII. should fall . VIII. c) Cash in hand: It is used to hold ledger account of cash. which has not been written off but carried forward to the next year. rental deposits and all other deposits made by the company. Investment: This is used to hold ledger accounts of shares. This group has three sub groups which are as follows. c) Unsecured Loans: It is used to hold the loans taken unconditionally by the company. VI. e) Loan and Advances: It is used to hold all advances and loans of non trading nature given by the company. d) Deposits: It is used to hold assets like security deposits. b) Secured Loans: It is used to hold long/medium term loans taken by the company from financial companies and Banks etc. whose nature of transaction is not yet known. Local Sales tax. Suspense Accounts: This is used by many companies to maintain a suspense ledger which keeps track of money received or paid by the companies. It has Six Sub Groups under it. The group has three sub groups under it which are as follows. VAT etc. a) Duties and taxes: It consists all types of taxes and duties like Excise. bonus and other securities of the company. III. Central Sales Tax. Fixed Assets: This is used to keep accounts of all the fixed assets. patents.
4. XIV. XI. IV. Payment Voucher: This type of voucher is used for the Cash Payment Entries. Expenses like salary paid to labour.here. Bank to Cash and Bank to Bank Entries. Indirect Income: This is used to hold ledger accounts of those expenses of the company that determine its gross profit. which determine its net profit. Sales Voucher: This is used for the Goods Sales Entries. You Make all voucher entries in these accounts. Purchase Voucher: This is used for Goods Purchase Entries. Press F7 to select the voucher type. VI. divisions of the company. Press F4 to select the voucher type. Branches/Division: This is used to keep the names of all companies which may be branches. tally treats it as a negative profit and carries it to the profit and loss account. Receipts Voucher: This type of voucher is used for the Cash Receipts Entries. Expenses like advertising. VII. IX. administrative expenses etc. II. Voucher Entries: For Making the Voucher Entries first of all we have to set the voucher date by pressing F2 then enter the voucher date. XII. maintenance of vehicles. Create Ledgers: Ledgers are actual account heads to which the transactions are identified. Contra Voucher: This type of voucher is used for Cash to Bank. Direct Expenses: This is used to hold ledger accounts of those expenses of the company which determine its gross profit. There are various types of vouchers in tally. XV. Sales Account: It is used to all goods sales accounts of the companies. You have to classify all ledgers in to groups. transportation. Those are describes as follows: ‐ I. For example interest received and commission received. Press F8 to select the voucher type. Press F5 to select the voucher type. III. Purchase Account: It is used to all goods purchase accounts of the companies. Press F6 to select the voucher type. Indirect Expenses:This is used to hold ledger account of those expenses of the company. XIII. V. Press F9 to select the voucher type. Journal: This is used for the Journal Entries like debit of credit Entries. 3. electricity bills etc. Memo: This is used to create Memorandum or Reverse Journal . Direct Income: It is used to hold ledger accounts of non‐trade income accounts that affect gross profit. X. However.
. Balance Sheet. Press F10 to select the voucher type. Inventory Reporting Ratio Analysis etc. Display Reports: There are several types of reports are generated by the tally like Trading and Profit and Loss Account.Voucher. 5.
Trial Balance and others. Final A/c’s like Balance Sheet . 9. Prints online. trial balance and profit and loss a/c. Calculate Payroll calculation easily. which is continuously growing. Maintains complete range of books of Accounts. Features of Tally 1. Multiple currencies in the same transaction and viewing all reports in one or more currency. 7. Allow accounts of multiple companies simultaneously. TCS. 15. 2. FBT. cash and fund flow . Use Security levels for audit purpose. Tally is one of the acclaimed Accounting Software with large user base in India and abroad. 11. To start Tally : Start -> Programs ->Tally 9 -> Tally 9 Release 2 Or Double click on the Tally shortcut in the desktop to open Tally Tally Screen Components: 1) 2) Title Bar . screens and reports. Unlimited sub-classifications to get multi-dimensional analysis and comparatives. 4. Accounting wihtout codes Comprehensive Accounting. TDS. Provides Multiple reports in Diverse formats Various options for interest Calculations Maintain multiple Godowns for stock management. e t c . print daybook and balance sheet and ledger . Tally is allow to cheque printing 13. Backup and restore option 12. 3. system date and time Gateway of Tally . 8. Multi tax calculation like VAT.Displays menus. Tally is developed in India using Tally Development Language (TDL). 10. Tally software was developed by Mr. .Introduction to Tally Tally is a Financial and Inventory Management System. 5. 14. 6.Bharat Goenka in the year 1988.Displays the version number . Profit & loss A/c.
While creating a new company it will ask for the following inforamtion.In this we have to type the mailing address.In this we have to type the starting date of the financial year. Minimize Button . which is used to all the letters used in Tally. Mailing Name .displays buttons that provide quick interaction with tally.In this we have to choose either Accounts only or Accounts with Inventory Financial Year .By default the currency symbol Rs is taken. pincode for the company. Creating a Company When Tally first loads the Gateway of Tally area is available. f) Statutory compliance for .In this we have to type the name of the company. Buttons toolbars . Name . then the Select company option is not activated.In this we have to type the mailing name. By default D:\Tally\Data is the path taken.3) 4) 5) Calculator . Press enter in Create company option in order to create a company.By default the statutory compliance for India.In this we have to type the E-mail id for the company. city. Mailing Address . The cursor is placed the create company meaning that a company should be created. When no companies are there . To create a company choose create company option in the gateway of tally screen or company information menu.used for calculator functions. a) Directory . g) h) i) Currency Symbol . such as street .Performs the standard windows function allowing us to minimize tally to work on other applications. Maintain . Since Tally is a Indian product. It is used for tax calculation for country wise.In this if needed we have to specify the path where the company file should be stored in your computer. In accountancy financial year start from April 1 of year to b) c) d) e) . E-mail Address .
namely Profit and loss A/c and Balance Sheet. Gateway of Tally -> Accounts Info -> Groups -> Single -> Create Name of Group : Enter the name of the desired group or sub-group ( eg: Salary) Alias : Give an alias to allow access the group using the alias in addition to its name . .While opening the company if we need to specify the user name and password for protection ( ex: other person can’t open our company) .Yes . Formal Name. show amount in Millions. if so the company name will not be displayed in the Select company option. Is symbol suffix with amount.This option specifies the information about currency used in the company. we can make this option to yes and specify the user name and password. Use Security Control .Yes Single group . The date given must lie in between the financial year starting date and ending date. 15 are primary groups and 13 are sub-groups. Is symbol suffixed with amount etc. Creating a Group Tally provides a list of 28 pre-defined groups. In other words Alt +C is the shortcut key to create a ledger or group during creation or during voucher entry.In this we have to specify the password for the company. Of these. Group And Leger Accounts Organization: Ledger accounts and groups In manual accounting. We have the liberty to re-group later to suit our requirements. Base Currency Symbol . Book Beginning From .In this we have to specify the date in which the book should be started. In tally at the time of creation ledger accounts. Tally Valut Password . Automatically tally adds 12 months with the starting date of the financial year. Account Groups provide us the ability to classify our accounts to get all the reports instantly and properly classified.Number of decimal places. We may configure our groups to enable / disable advanced mode. For example 1 april 2007 to 31 march 2008. symbol for decimal portion. Note : All the above information is not must. accounts are grouped upon preparation of Trial balance to prepare final accounts. Press F12 -> Accts/ Inv info -> Account Masters -> Set to yes the following options Allow Advances entries in masters Use Address for Ledger Accounts . Such as Base Currency Symbol.j) k) l) m) Mar 31 of the next year. or leave it blank Under: Specify under which existing (Parent) group the sub-classification is needed. we can specify the important things and omit the others. We can create a new parent group by using Alt +c. we place it under appropriate account group.Allows us to work on one group or sub-group at a time.
Capital Account → Capital Account 2. Purchase → Purchase account 21.hand Group) Profit & Loss Account (Primary edger) Ledger is the actual account head to which we identify a transaction. Cash (under Cash.in . Creates 2 ledgers listed below all others we have to create. However . The lowest level must be deleted first. Sale Tax / VAT → Duties and Taxes 18. Name of Fixed Liabilities → Fixed liabilities 11. Deleting Groups We can delete a group via the Group Alteration screen by pressing Alt +D. Name of Current Liabilities → Current Liabilities 10. Sale → Sale Account . We pass all accounting voucher entries using ledgers. Tally on its own. All ledgers have to be classified into groups. Name of Current Asset → Current Assets • • stock in hand deposits • show short term investment 8. a through understanding of account classification is important working with ledgers List of ledgers frequently used and their related Groups 1. Outstanding Expenses → Current Liabilities 15. groups can be altered by selecting Alter for single or multiple groups. or groups containing ledgers. Drawing → Capital 20. we cannot delete Tally pre-defined groups. Provision for Bad Debts → Current Liabilities 14. Bad Debts → Indirect Exp. 13. Name of Fixed Asset → Fixed Asset 9. Ledgers Once we have created necessary Masters. Name of Income → Indirect Income 6. The procedure is the same as we used to display groups except of course we may alter the data. Hence. Outstanding Income → Current Assets 17. now it is the turn of ledger creation.or groups with subgroups. 12. Advance Income → Current Liabilities 16. Excise Duty / CENVAT → Duties and Taxes 19. Name of Expenses → Direct Expenses or Indirect Expenses according to the nature of expenses 5. Name of your Debtors → Sundry Debtors 4.Alterin g Groups Once created. Name of your creditors → Sundry Creditors 3. Name of Loss → Direct Expenses or Indirect Exp. Name of Bank → Bank Account 7.
Go to Gateway of Tally> Accounts Info. In multiple mode you can create multiple ledgers at a time. Select the Group under which the Ledger is created from the List of Groups.Ledgers can be created in single and multiple modes. Under This field defaults to the parent group selected in Under Group . > Ledgers> Create (under Single Ledger) Name Enter the Name of the account Alias Enter an alias name if required Under All accounts must be classified under their appropriate Groups. Go to Gateway of Tally> Accounts Info > Ledgers > Create (under Multiple Ledgers) Under Group Select the name of the group under which you want to create the Ledgers from the List of Groups. S.No This is auto generated. Name of Ledger Enter the name of the Ledger.
Road.Opening Balance This is the balance remaining when you first enter your books on Tally. : Account with Inventory Create a Ledger: Mariya’s Capital A/C Canara Bank Purchase Sales Rent Electricity Bill Wages Stationery Discount Paid Insurance Paid Discount Received Commission Paid Paid Petty Cash Office Expenses Exercise: 4 Ravi’s Capital A/C . the date of beginning of books Exercise: 1 Name Mailing Name Address State PIN Code Telephone No E-Mail Currency Symbol Maintain Exercise: 2 Name Mailing Name Address State PIN Code Telephone No E-Mail Currency Symbol Maintain Exercise: 3 : King Sons : King : 101. Rajajinagar.com : Rs. Chennai : Tamil Nadu : 600 268 : 4789043 : email@example.com. 7th Main. Bangalore : Karnataka : 588 002 : 6789999 : king@gmail. i. M. 3rd Main.com : Rs. : Account only : GI Enterprises : GI : 45.G.
You can type anything about the transaction or just leave this field blank. Pay Register etc. a transaction is supported by a Document. Tally will update current balance of the ledger and display it. we record transactions through Journal entries. Batch Details. The Narration field The last field of Voucher is Narration. If both are equal Tally will move the cursor to Narration field. Copy of Sales Bill . Counter foil/ Record Slip entry of Cheque book . In computerized Accounting systems we do it through Voucher entry. Pay -in-slip . Debit / Credit Amount: This field appears in Accounts voucher only. You can turn off .SBI Bank A/C Purchase A/C Sales A/C Machinery & Furniture A/C Investment A/C Brokerage A/C Typewriter A/C Purchase from Nick Computers A/C Rent A/C Salary A/C Return Inward A/C Return Outward A/C Drawing A/C Sold to Suresh A/C Traveling Expenses A/C Discount Allowed A/C Telephone Charges A/C Sales to Raba Traders A/C Accounting Vouchers In manual accounting. Type the letter D or Dr over the existing prompt to change. There may be multiple Debit and Credit entries in one single voucher. Rate. It is not mendatory / compulsory to give narration. Quantity. then select the ledger name from the pop-up list that Tally opens. Enter the amount of transaction and press Enter key. Normally. If you create Inventory voucher If you are creating inventory voucher in Tally you will give information about the stock item you receive or issue and item related details like the Godown/warehouse. A voucher contains details of the transaction.g. For every transaction/ source document. we should enter a Voucher. e. If both credit and Debit totals are not equal Tally will prompt to enter further Credit / Debit to balance the voucher. Supplier’s Bill. The total will appear on the bottom of the Debit and Credit columns.. Particulars If you create Accounts voucher In this field you should specify Dr or Cr. Amount etc. here you enter details of the transaction entered in the voucher. This will happen only if you gave 'Yes' to the question 'Show Ledger Current Balance?' under Accounting Voucher in Vouchers Entry under F12: configure option.
If you give Y Tally will save the voucher and blank screen will appear next to continue voucher entry.narration by responding No to the question 'Use Common Narration?' at voucher creation/alteration screen. If you do not debit one Cash or bank account. etc. Rest of the accounts may be any revenue account or any account under the Group Current Liabilities Contra Voucher . If you have given Yes to 'Print After Saving Voucher?' in Voucher Type creation/Alteration Tally will print the voucher immediately after saving. The first entry in receipt must be credit and at least one debit to a cash or bank account. Purchase voucher The first entry must be a credit involving any creditor. Cash or Bank account and second entry should be a debit to a ledger placed under purchase account group. There can by any number of debit and credit entries. You can have any number of debit and credit entries. The voucher is similar to the payment voucher except that you debit cash or bank A/cs and credit the ledger from which you receive. Thus you can include Duties & Taxes from 3rd entry onwards. Rest of the accounts may be any Revenue account or any account under the Group current liabilities. if you do not credit one cash or bank account and still try to accept the voucher a message appears asking for a cash or bank account. bank or cash account and second should be a credit to ledger placed under sales account group. All payment vouchers must have first entry a debit and at least one credit to a Cash or a Bank Account. Receipt Voucher The receipt voucher in Tally is for all receipts into the Cash/Bank account. when you press Enter key a confirmation prompt will appear Asking 'Accept Yes/No?'. Voucher Types in Tally: Payment voucher: The payment voucher is for all payments you make through cash or Bank. Follow the below procedure to create a payment voucher. purchases. Alternatively you can print any voucher later by going to Voucher Alteration screen using Display menu. Fund Transfer entries can also be made in payment voucher. Press Y or Enter to save the voucher or press N to return cursor to the first entry allows you to alter any data in the voucher. Give 'Y' to the Print? Prompt. to trade creditors. If you have given Yes to 'Print After Saving Voucher?' in Voucher Type creation/Alteration Tally will print the voucher immediately after saving. However. Open the voucher and press Alt-P to display the 'Print Voucher' Screen. These payments can be towards expenses. a message appears asking you to rectify the entry. Sales Voucher The first entry must be a debit involving any debtor. If configured. Saving the Voucher: After entering narration.
10000 cash into State bank Account. Particulars Debit/credit Cr.000 Paid Salary 2. You can alter and convert a Memo Voucher into a regular voucher when you decide to bring the entry into your books.15000 Dr. Paid into Indian bank Rs.700 Sold good to JJ Traders on Credit 7. These entries will not affect your accounts nor does affect your final results. For example.000 Bought goods for cash 14. You can use memo vouchers to make suspense payments. If you pay Rs.The contra voucher is for Fund transfers between cash and Bank accounts only.500 Exercise : 6 Journalize the following: No Date Transaction . discount etc. Cash Credit .000 Paid cash to Amirtha Stores Paid rent 1.15000 Credit Note: Credit Note is raised when a buyer returns some goods that you sold him.000 Cash Sales 19. The following is the rule. Exercise: 5 Journalize the following: No 01 2. Your contra entry should be like this. or you give him credit due to rate difference or discount/rebate or when there is an exces debit to any party Debit Note: You create a Debit Note when you make purchase return or when you have short billed a customer or you are granted credit by your supplier due to rate difference. Memo Voucher This is purely Non-accounting voucher.000 Received Commission 400 Received seven tables from Amirtha Stores at 500 each Bought goods from Vignesh 2.000 02 03 04 05 06 07 08 09 10 11 Date 01-02-2004 02-02-2004 03-02-2004 06-02-2004 09-02-2004 11-02-2004 13-02-2004 15-02-2004 21-02-2004 26-02-2004 27-02-2004 Transaction Maruthi & Sons Started business with capital of Rs. State bank ac Debit . vouchers not verified at the time of entry. 50.00. Items given on approval.
444) Returned Goods to Kiran Traders 5000 (Inv. 15.000 (Inv. 21.950 .000 (Inv.500 Sanjay settled his account Settled Mathew’s Account Insurance Premium paid Rs.No. 24.000 Good sold Rs. No.300 Salary paid Rs.000 (Inv.000 (Inv. 320321 Received cheques from Kavitha & co 75000 Ch.000 26/04/2004 Rent 4. No.4) Credit sales to Kavitha & co 50.000 Goods purchased 6.No. 3.No.500 Exercise: 7 Journalize the Following with invoice: HS & Co started the business from 01/04/2004 01/04/2004 01/04/2004 04/04/2004 04/04/2004 11/04/2004 11/04/2004 11/04/2004 13/04/2004 16/04/2004 16/04/2004 16/04/2004 18/04/2004 18/04/2004 18/04/2004 18/04/2004 21/04/2004 21/04/2004 21/04/2004 21/04/2004 Received capital by cash 2.300 Goods returned by Sanjay Rs.000 (Inv. 5) Goods returned by Ram & Ram 5. No.000 (Inv.000 (Inv. 161123 Received cheques from Ram & Ram 75000 Ch. 1.000 Goods purchased from Mathew Rs.No. 3) Credit Sales to Ram & Ram 50. 4.No.1) Credit sales to Kavitha & co 50.No.000 Payments Made by Petty Cash: 30/04/2004 Conveyance 150 30/04/2004 Postage 100 30/04/2004 Stationeries 200 30/04/2004 Staff Welfare 100 30/04/2004 Stationeries purchased from Jain & Co 1500 on Credit 30/04/2004 Depreciation on Furniture 10% Answer: Balance Sheet Total Rs.000 Ch. 2) Cash Sales 20.000 Goods sold to Sanjay Rs.000 Credit purchases from Kiran Traders 20. No. 350 Electric Charges paid Rs.000 Cash Deposited in HDFC Bank 50. 1.01 02 03 04 05 06 07 08 09 10 11 12 13 14 15 16 03-07-2004 05-07-2004 10-07-2004 15-07-2004 17-07-2004 18-07-2004 20-07-2004 23-07-2004 25-07-2004 25-07-2004 27-07-2004 28-07-2004 29-07-2004 29-07-2004 30-07-2004 31-07-2004 Peter started business with Rs. 112310 Payment Made by cash: 26/04/2004 Paid to Petty cash by cash 1.000 Ch.000 26/04/2004 Electricity charges 3.No. 21. 8.000 26/04/2004 Salaries paid 10.No.No. 122) Returned Goods to Pooja Traders 5000 (Inv. 5) Payment made by cheque to Kiran Traders 30. 500 Opened an account with HDFC Bank Rs.No.1) Goods returned by Kavitha & co 5000 (Inv. 444) Credit Sales to Ram & Ram 50.00. 3. 161122 Payment made by cheque to Pooja Traders 30.000 Goods returned to Mathew Rs.500 26/04/2004 Cash Purchases 5. 122) Credit purchases from Pooja Traders 20.000 Furniture purchased Rs.000 Drew from Bank Rs.000 (Inv.No. 144) Credit purchases from Pooja Traders 20.000 (Inv.000 26/04/2004 Furniture purchased 20. 75.000 (Inv.No.No.000 26/04/2004 Telephone charges 3. 250 Drew for Personal use Rs. 1. 433) Credit purchases from Kiran Traders 20.
Voucher Number: To identify a voucher uniquely. or can be automatically generated by Tally. If we set No. Integrate Accounts and Inventory: This option basically affects accounts.3000 Paid salary Rs. And we cannot change the voucher number.3000 against advance Paid Traveling exp Rs. it may be convenient to have several Voucher Types like Cash Sales. you can independently configure their numbering scheme. voucher number field would not appear.Memorandum Exercise: 8 25 Apr 2007 27 Apr 2007 01 May 2007 05 May 2007 25 May 2007 02 June 2007 Paid advance in Travailing Rs. according to options set in voucher Types under Accounts Info.8900 against advance Paid rent Advance Rs. We can activate an option for one company and deactivate the same for another company. We get same option irrespective of screen where we launch it. Feature settings are company specific. for Sales Voucher. The number may be allotted by the user. if you require further Voucher Types that function like the one of the existing type.11 1. However. you can create New Voucher Types and give different Voucher Numbering series. etc. cursor would blink at the voucher number field to input from keyboard. Tally allots incremental number and cursor would not move here. etc. layout. If we set this option to Yes.10000 Paid salary advance Rs. Credit Sales. normally every voucher is given unique number. If Manual is specified for the selected voucher type. Features Tally controls operational Features through F11: Features button. Sales To Registered Dealers. Accounting Features . Sales to Unregistered Dealers. Profit & loss a/c and we are not allowed to input the stock value on our own as the accounts are integrated with the Inventory Part. our Accounts & Inventory remains separate and we . For example. F11:Features button appear almost in every screen upon selecting a company. Export Sales. By creating separate voucher types for them. Tally provides three options for voucher numbering 1) Automatic 2) Manual 3) None If Automatic is opted for the selected Voucher Types. The Voucher Type facility is great as you can make several alternates of each pre-fixed Voucher Type.5000 Paid rent against advance Voucher Types: By default Tally 9 provides 18 types of Vouchers (with out counting payroll vouchers) for recording different natures of transactions. We can modify the voucher Number If none is opted for the selected Voucher Type. the value of stock is automatically computed on the basis of Inventory and posted in Balance sheet.
Profit & Loss A/C 3. By maintaining Bill wise details. By default. mere ledger balance may not reflect the true state of affairs-as a ledger may show an amount due which may not be over due on that date. we are asked this question. If we wish to allocate a transaction to more than one set of cost centres simultaneously.have to input the value of closing stock in the ledger under Stockin-hand group which is posted in the Balance Sheet & Profit & Loss A/c. respond Yes that would activate Cost Category option under accounts info menu and we would be able to allocate to multiple set of cost centres. 2. Maintain Cost Centres: If we wish to make cost centre wise allocation. 4. The Cr in the interest amount should not be confused to mean an Income. Maintain Budgets and Controls: If we wish to use Budget to compare with actual or other budgets and get variance or set Credit Limit for party. 5. In case mere ledger balances is sufficient to meet our requirement. More than One cost Category: If we respond Yes to the above option. Allow Invoicing: If we set this option to yes. Income /Expense Statement Instead of P & L: We change Profit and Loss A/c to Income and Expenditure statement. Interest Calculations:Interest is re-calculated with every change in balance outstanding. Currency option would be available at Accounts Info menu and in ledger creation we can specify currency for the ledger. .set this feature to yes. we can create a employee pay 9. Accounts Info menu and ledger creation screen tidly. Respond No to keep the ledger creation screen more sleek. Maintain Billwise Details: By default. set to No.compute bill wise overdue interest . Tally would maintain ledger wise balance and display net debit or credit balance for a ledger. In case we need these features. slip. respond Yes to this option that would allow to selectively option to maintain Bill Wise Details for ledgers. that would keep. 8. we will ne restricted to enter sales transactions in voucher mode only. we can get bill wise outstanding . 7. In case we do not need to use Budgets or credit limits. When we set this feature to yes. If we receive or grant credit on purchase or sales. On setting this feature to yes. Allow Multi Currency: If we wish to record transaction in foreign currency. we should respond No. Maintain Payroll: If we set this option to yes. It only means that it is payable and is a liability. 10. Budget option would be avaliable at Accounts info and Credit Limits under Accounts Info-Ledger menu. we can enter sales transactions in Invoice mode also if we respond No. In case we do not need foriegn currency option. we should set this option to yes. respond Yes that would activate Cost Centres option which we would get in Accounts inof menu 6.
Symbol Formal Name : : Enter currency symbol Enter the name of currency. Allow Zero valued entries: If we need to make Voucher entires whose monetary transaction value is 0. Enable Cheque printing : You can choose to write cheques directly from Tally. 12.11. display and alter options. Rate of Exchange: It operate on day-to-day . It would be enable to voucher entry. to prepare an Invoice for sample of zero value). F11. Select currencies → press enter The currencies menu has the usual create. Use Reversing Journals & Optional Vouchers:If we set this option to yes.Features→ Allow Multi currency Yes Once this option is said to yes we get currencies under accounts info. must be different from the symbol. Cheques will be printed when printing a Payment Voucher. We can create and transact in any currency. However. We can also enter selling and buying rate of different currencies. otherwise respond No. Number of Decimal places : Enter the number of decimal places for the Currency. Rate of Exchange: Thee screen always comes up in Alter mode. respond yes (For example. 13. first activate the capability and set dimensions Multi-Currency Organizations who transact in multiple currencies need to record transaction in the currencies they transact with.
Standard Rate : The standard rate is used to calculate variances from The actual transaction rates Selling Rate : Enter the rate at which we are selling the currency to our money exchange. Come to voucher entry → Press F5 → Payment → Payment is made to Krishna Traders in Dollars that is 50 dollars. 02/5/2005 Standard rate Dollars 67. 63. 48.65 03/5/2008 Purchased items from Vimal & co for 150 Dollars 03/5/2008 Standard rate Dollars 61. 57 . Exercise: 9 Mr. Buying Rate : Enter the rate at which we are buying the currency from our Banker or Money Exchanger. Laxman started a business in the name of Laxmana Traders on 1/5/2005 02/5/2005 Received capital from Murali 1000 Dollars. 60 06/5/2008 Sold goods to Raja & Raja for 75 Dollars 06/5/2008 Standard rate Dollars 46. 59. The entry is passed as shown below : Once enter is pressed in the amount column the Dollar gets converted to Rupee as on the date of voucher Entry as shown below and the amount is displayed based on Rupee currency.68. 47 08/5/2008 Received 70 Dollars from Raja & Raja 08/5/2008 Standard rate Dollars 58.
00.2004 Sold to Peter Steel Enterprises € 200 28-02-2004 Peter Steel Enterprises settled his account.10.2. 000 Cost Categories and Cost Centres By providing cost centre.2. 28-02-2004 Drew from Bank Rs.2004 Bought goods from Vinita & Sons €100 21-02-2004 Settled Mahila & Co Account 26-02-2004 Paid rent 1. a cost centre can be said to be any unit of an organization to which transactions can be allocated when only costs or expenses are allocated to these units.000 27.2004 Paid Salary 2.2004 Sathesh Started business with Rs.000 03-02-2004 Bought goods from Levi Traders $200 06-02-2004 Sold good to Jagan Traders on Credit £150 09-02-2004 Goods Purchased from Mahila & Co ¥100 11-02-2004 Furniture purchased £500 13-02-2004 Goods returned to Mahila & Co ¥15 15.2.2. a transaction can be allocated to it which would then enable extraction of all transactions for a cost centre. 25. 5.000 01-02-2004 Opened Current Account in HDFC Rs. they are referred to as cost canters.500 27.Exercise: 10 Create currencies for the following: Standard Rate $ (Dollar) # (Frank) £ (Pound) ¥ (Yen) € (Euro) 62 45 72 58 82 Selling Rate 63 47 73 60 83 Buying Rate 60 46 72 59 82 1. F11-Featrues→ Set yes to two options Maintain Cost centre More than one Cost Category Steps Involved: Cost Categories → Single → create Name: Department Allocated Revenue Items: yes Accept → yes yes yes Cost Centre→Multiple Cost Centre →Create . Hence.
. In voucher entry. 45. the allocation screen would not appear. select Cost Category.Under Cost Centre: All items. but allocation would be made automatically.600 Once we press enter we get the following screen. then select cost centres and type the salary amount incurred for the different departments as shown below: Type to cash → Type the Narration → Accept Yes COST CENTRE CLASS Cost Centre Classes affect all voucher types. In Category Column → Select Department Under Name of Cost Centre → Type the different types of Cost Centres Accept → yes Come to voucher Entry Press F5 → Payment and enter the following entry By Salaries Rs.
Select the name of the cost category as Department . To view the Allocation of Expenses under different Cost Centre: Display -> Statements of Accouts -> C ost centres . Press Enter Accept Yes. -> Pre-defined cost centre 4. Press F5 -> payment -> Under Cost Centre Class -> Select the name of the class as Expenses allocation. 3. Type a Class name. Then pass the entry. 5.Steps Involved: 1. say Expenses Allocation . Press Enter the following screen appears. Come to Voucher Entry. The following screen appears. 6. Press F11 -> Features -> Maintain Cost Centres and more than one cost category options should be set to Yes. 2. select Cost Centres and type the Percentage of allocation for each department. press F11 -> Features allocation during entry set Yes. The percentage should be typed by us.
650 for all departments 01/4/2005 Paid Income Tax Rs. 500) 17/4/2005 Paid Stationeries Rs. 000 (M-2. A. Sales.500.000) 03/4/2005 Paid Rent Rs. 000 (M-10.4. F. A.800 for all departments Exercise No: 12 Cost Category: Department Cost Centre: Account. 1. 300. Administration 01/4/2005 Paid Salary Rs. Computer Date 03/5/05 05/5/05 07/5/05 05/5/05 09/5/05 13/5/05 25/5/05 27/4/05 Expenses Electric Bill Rent Interest Wages Stationery Salary Postal Charge Telepone Bill Accoun t 2000 1500 500 Purchas e 2000 1500 200 500 Sale s 1400 300 150 Compute r 5000 3000 Total 1040 0 630 0 85 0 70 0 200 12 0 3000 100 0 4000 150 0 250 4500 400 1300 50 2000 52 1350 0 55 330 0 300 200 1500 .000 for all departments 24/4/2005 Paid Electricity charges Rs. 000. 1. 000.000 (M-4. Purchase.8.Exercise No: 11 Cost Category: Chennai Cost Centre: Marketing. F. 12. F-10. 8.2.28. 3.3. A.500) 30/4/2005 Paid Sales Tax Rs. 000. Finance.3.200.
Bill-Wise Details By activating the Bill wise feature in F11: Features. When you enter details of sales and purchases with Bill-wise turned on. the ledger masters under Sundry Debtors and Sundry Creditors automatically displays an additional option called Maintain balances bill-by-bill. The reference can then be used to allocate payments to the correct invoice to maintain an accurate account of outstanding. On setting this option to Yes. you get an additional option Default Credit Period. Tally prompts you to identify the invoice with an appropriate reference number. Bill-Wise Types: New Ref: To enter new credit purchase or new credit sales value Advance To settle payment or receipt before purchase or sales Against Ref: To settle payment or receipt against purchase or sales On Account To settle an opening balance to study party Creation of Bill_Wise_Details: F11: Accounting Feature: Maintain Bill-wise Details? Yes (for Non-trading A/c s also) No Ledger creation: Purchase → Purchase A/c Ram & Co → Sundry Creditor Voucher Creation: Gateway of Tally→Accounting Voucher .
000 Sundry debtors Milky (P)Ltd 5160 Bill No S/01-02/301 S/01-02/304 S/01-02/309 Date 27/01/02 26/02/02 27/03/02 Amount 1430 1730 2000 Due days 30 30 45 Sundry Creditors Praveen & Sons 7050 Bill No C/01-02/1248 C/01-02/1252 C/01-02/1282 Fixed Assets Furniture Computer Opening Stock Cash in hand SBI Voucher Entry: Sales bill Milky (P)Ltds Bill No 202 214 256 301 351 392 Kamal & Co Bill No Date 417 12/04/02 431 16/05/02 452 17/08/02 515 15/11/03 659 21/01/03 815 30/03/03 Purchase bills Amount 2230 2650 5630 10780 1530 2130 Due days 15 15 30 45 30 Date 30/04/02 15/05/02 31/07/02 28/10/02 25/10/03 15/03/03 Amount 1430 1500 3640 2750 5050 11000 Due days 30 30 15 45 45 Date 26/01/2002 21/02/2002 25/03/2002 30.Report: Go to Gateway of Tally > Display > Statements of Accounts > Outstanding> Receivables/Payables.000 40. 01.000 70. Exercise No: 13 Capital 2.000 10.000 1.890 Amount 1500 4050 1500 Due days 30 30 45 . 50.
Simple Mode (Where advanced parameters are not applicable) To calculate Interest in the Simple Mode: .540 Interest Calculations The Activate Interest Calculation field is displayed in the Ledger Creation screen only if Activate Interest Calculations is set to Yes in F11: Features.Praveen & Sons Bill No 0001 0002 0003 0004 0005 Malar & Co 0006 0007 0008 0009 Received cash Milky (P) Ltd Bill No 304 214 301 351 Kamal & co 417 452 515 659 30/4/02 20/8/02 31/1/03 25/1/03 2230 5000 10000 1530 Date 02/05/02 17/06/02 01/11/02 31/03/03 Amount 1730 1500 2750 4000 02/02/03 15/02/03 24/02/03 31/03/03 11450 5540 875 1234 30 15 15 30 Date 03/04/02 05/05/02 16/08/02 22/11/02 31/03/03 Amount 455 1000 1675 4050 12350 Due days 15 30 30 45 Payments Made Praveen & Sons 1282 0001 0004 0005 15/5/02 4/4/02 20/9/02 30/3/03 1500 455 4050 12000 Malar & Sons 0006 0007 5/3/03 15/3/03 10. Set this field to Yes for each specific ledger account for which interest is to be calculated.000 5.
> Set Use Advanced Parameters to Yes. the Interest Parameters sub-screen is displayed as shown below: • For Ledgers created under the Group Bank Accounts. 5. Go to Gateway of Tally> F11: Features > Accounting Features > Set Activate Interest Calculation to Yes. Set Calculate Interest Transaction-by-transaction to Yes. 4. then the Interest Parameters sub-screen is displayed as shown below . Enter the Rate and select the interest style from the list. Go to Gateway of Tally> Accounts Info. Accept the screen. 3. or if the option Calculate Interest Transaction by Transaction is set to No. 2. > Set Use Advanced Parameters to No. Set Over-ride Parameters for each transaction to No. select 365-Day Year. Of the four options. 3. 2. Go to Gateway of Tally> Display> Statements of Accounts> Interest Calculations> Ledger> Bank Account Interest calculation transaction by transaction 1. 1. 3. 4. Bank Ltd (bank account) Set Activate interest Calculation to Yes. Interest calculation transaction by transaction Interest calculated on Outstanding Balances. To view the Interest calculated Go to Gateway of Tally> Display> Statements of Accounts> Interest Calculations> Ledger> Advanced Mode (Where advanced parameters are applicable) The advanced parameters are particularly useful where interest rates change from time to time. Go to Gateway of Tally> F11: Features > Set Activate Interest Calculation to Yes.> Ledgers> Alter (Single)> 2. Interest Style:.1. 2. Rate: 15%. Alter a Customer account Set Activate Interest Calculation to Yes. The Interest Parameters sub-screen is displayed • For Ledgers created under the Group Sundry Debtors/Sundry Creditors. The Interest Calculations Report can be displayed and printed. The Interest Parameters sub screen is displayed. In the Ledger Creation screen set Activate Interest Calculation to Yes. 1.
2004 Sold goods to Kamalam & Co for a sum of Rs.50.2004 Amount paid to Raabiya Traders plus the interest rate.2005 Amount received from Kamalam plus the interest rate.6. Press F11-Accounting Features → Maintain Budgets and Controls. 1.000 [Credit period is 45 days.Interest calculation transaction by transaction: Activate and specify interest calculations in ledger masters. 1. Bill no.24] Interest Rate 12% and 15% 6.2004 Purchased goods from Raabiya Traders for a sum of Rs.000 2. Display the interest calculations from 1-06-2004 to 31-03-2005 Budgets Budgets are used to set targets and compare against actual and get variances.3.000 [Credit period is 45 days] Interest rate 13% and 18% 2. We can create multiple budgets for different purpose.set yes Creation of Budgets: Gateway of Tally → Accounts Info → Budgets→ create . 3.Interest calculation transaction by transaction Go to Gateway of Tally> Display> Statements of Accounts> Interest Calculation > Ledger>X a/c Exercise: 14 1.2004 Capital Rs.75. Advanced Parameters .12.> Interest Calculations> Ledgers> Bank Ltd.To view the report on Outstanding balances: Go to Gateway of Tally> Display> Statements of Accounts.25. Advanced Parameters .6.6.
On selection of create option. Personal A/C) Press Enter→ Enter→ Accept yes. the next screen appears and type the contents as shown below: Account Name Cost Centre Type of Budget : : : Name of the Group or Ledger for which the budget is created. namely 1.000 500 3. we get a screen as shown below Name Under Period of Budget : Enter a name of the Budget for identification : Primary : Given the period range of the Budget in the Columns From and To Press Enter → Under Ledgers → Type yes. On Nett Transactions 2. On Closing Balance On Nett Transactions: This option is suitable for accounts where nett transactions are to be monitored (eg. To view the Budget.000 2.000 . Go to Gateway of Tally → Display → Trial Balance → Press Alt + B → Budget Variance→ select the name of the Budget→ Press Enter Exercise: 15 Expenses Conveyance Wages Carriage Outwards Electricity Expenses Advertising Budget 5. Budget has been created. Revenue A/C) On Closing Transactions: This option is suitable for accounts where closing balance is to be monitored (eg. Not applicable We get 2 options to select the type of Budget.400 50.
the bank Pass Book is in sync with the Bank Book in the books of accounts. Press F5 6.500 3.500 Enter the following entries for Budget and Controls May 2005 Paid Conveyance Paid Wages Paid Carriage Outwards Paid Electricity Expenses Paid Advertising Paid Selling and Distribution June 2005 Paid Conveyance Paid Wages Paid Carriage Outwards Paid Electricity Expenses Paid Advertising Paid Selling and Distribution 200 500 2. Bring up the monthly summary of Current Account (Display→Account Books→Bank Books and select the bank Account) 3.100 500 250 1. It is helpful to see the Narration as that contains cheque numbers and other details. The display now becomes an Edit screen in reconciliation mode. Our current account statement has been sent to us by our Bank for the month ended may 2005 2. the balances may not be equal for various reasons. Steps Involved: 1. Since this is a Bank Account. Bank Reconciliation is the process to ensure that even if these two balances apparently differ.000 1.Selling and Distribution 1. This brings up the vouchers for the month of May 2005 4. So Press F12: Configure and activate Show Narration. Bring the cursor to May and Press Enter.000 2. The primary components are: .220 Bank Reconciliation Bank Reconciliation means that the accounts maintained by the banker tallies with the bank ledger account in our Books.000 2. 5.500 2.000 1. Even if both the accounts are in sync. an additional button F5 Reconcile will be visible on the right.
Exercise: 16 01/4/2005 Received Capital by Cash 1.• • A Column for the Banker’s Date The Reconciliation at the bottom of the screen. 8. which remain unreconciled.000 02/4/2005 Cash deposited in SBI 50000 Deposit Slips 05/4/2005 07/4/2005 10/4/2005 11/4/2005 15/4/2005 Kiran Sanjaj Kavi Kiran Kavi 45000 25000 20000 20000 15000 Counter Foils 08/4/2005 Kavitha 15000 09/4/2005 Sachin 5000 11/4/2005 Amutha 7500 12/4/2005 Sachin 10000 15/4/2005 Amutha 4500 17/4/2005 Kavitha 12000 30/4/2005 Bank Charges 250 Pass Book of SBI as on 30/4/2005 Date 02/4/05 06/4/05 09/4/05 10/4/05 13/4/05 14/4/05 17/4/05 30/4/05 Name Cash Kiran Sanjay Kavitha Amutha Sachin Kavi Bank Deposits (Dr) Withdrawal (Cr) 50000 45000 25000 7500 10000 15000 250 Balance 50000 Cr 95000 Cr 120000 Cr 105000 Cr 97500 Cr 87500 Cr 102500 Cr 102250 Cr Exercise: 17 . Showing: Balance as per Company Books. we will be presented with only those vouchers.00. Amounts not Reflected In Bank and Balance as per bank 7. The next time we come for reconciliation. Enter the bank date for the payment voucher and contra voucher.
this is not a separate voucher type. By marking a voucher Optional. You can make a voucher type default to Optional if you need to create a new voucher type or alter an existing voucher type.150 Cr Cash 20. Journals & Optional Vouchers? to Yes.000 Following is the details of Deposit Slip (Sundry Debtors) 10/4/2004 Kabir 12/4/2004 Usha 14/4/2004 Syam 25/4/2004 Usha 29/4/2004 Kabir 40.500 Fashion Textiles 3.000 20.150 Cr 69.000 15.000 Silky 3. 20.000 Fashion Textiles 5.150 Cr 64.000 Bank Charges 100 Name Deposits (Dr) Withdrawal (Cr) Balance 20. Go to Gateway of Tally 2.000 Cr 60.000 25.000 15. You can mark an existing voucher (for example.000 Ashima Textiles 10. Accept the screen to save.000 Ashima Textiles Usha 25.000 100 Optional and Post-Dated Voucher This is another non-accounting voucher. Unlike a Memo voucher.000 Fashion Textiles Silky Ashima Textiles Usha Cheque Book 12.Jeevan & Co Started business on 1/4/2004 1/4/2004 Received capital by Cash Rs. Set Use Rev. the voucher does not get posted anywhere but remains in the Optional Register. Enabling Optional Vouchers 1.000 Following is the details of counter Foil of Cheque Book (Sundry Creditors) 11/4/2004 13/4/2004 15/4/2004 17/4/2004 19/4/2004 28/4/2004 30/4/2004 Date 01/4/2004 12/4/2004 13/4/2004 14/4/2004 15/4/2004 17/4/2004 18/4/2004 26/4/2004 30/4/2004 Ashima Textiles 12. This button toggles with Regular.500 Cr 69. 4. Use of Optional Vouchers .000 10.500 Cr 72. Go to Gateway of Tally > Accounts Info > Voucher Types> select a Voucher Type> Set Make Optional as default to Yes. 50.500 3.350 Silky 5.000 Cr 47.000 10. a payment voucher or a receipt voucher) as Optional.000 Kabir 40. Press CTRL + L or click on Optional from the Button Bar.350 5. Select F11:Features > Accounting Features to display Company Operations Alteration screen 3.0000 1/4/2004 Cash deposited in Canara Bank Rs.
For example. Once you quit the report. it will not include the effect of the Optional Voucher unless you include it.• If you do not want a transaction that is incomplete to affect the accounts. Record future sales projections using this voucher type. Post-Dated Vouchers While entering vouchers. modify the voucher and post it as Regular Voucher. The above entry is made as shown below 1. Let us consider the following example. • Optional Vouchers allow you to see the impact of transactions without actually posting them. an optional sales invoice prints as a Performa Invoice. This button toggles with Current. you can mark them as post dated. The voucher affects the report temporarily. generate a report with the Optional Voucher included. . The next time you view the balance sheet. you can mark this as an Optional Voucher. 3. On 30th June you want to view the Balance Sheet as of today but June rent is not due for payment until the first week of July. Mark vouchers Post Dated by using CTRL + T or click on Post dated button from the Button Bar. • Optional Vouchers can be used to forecast future sales. Performa sales invoice. Tally will not update the vouchers in ledgers until the specified date is approached. if you pay for something by installments. Enter Date Select Optional from the button bar Debit Rent account When you view the Balance Sheet. Tally does not retain the Scenario details. enter an Optional Voucher dated 30th June. For example. The Optional Voucher should be already defined as a Scenario (Refer section on Scenario Management for more details). Once the transaction is complete. you can set up the payments in advance. This liability is not reflected in the Balance Sheet. create a New Voucher Type . For example. To overcome this. In fact. This is useful to enter transactions that take place on a regular basis. and Tally will only enter them in the ledgers as they fall due.Sales Forecast. 2.
However. kilograms. Second.Accounting with Inventory Inventory accounting includes recording stock details.g.. We are ready to use vouchers to record the various stock transactions. Maintain Accounts with Inventory Tally displays a pop-up list called Type of Company – this is how your books of accounts will be maintained. e. enabling us to obtain reports on alternatives or substitutes for a stock item. Accounts only Select this only if you do not have any inventory transactions (suitable for professionals and corporate offices). the purchase of stock.g. the sale of stock. stock movement between storage locations/ godowns and providing information on stock availability. Tally would not permit intrusion ofInventory related information that are not required. Stock items: Stock items are the actual items in stock. Units of measure: We will need to create units of measure for stock items.. which is similar to setting up the ledgers. The Inventory system operates in much the same way as the accounting system. These can be simple units such as nos. and we account for the issued and receipts of stock at this level. pieces. First we set up the inventory details. obtain stock reports for each Godown. Stock Groups: We classify common feature. box of 10 pieces or 1 dozen is 12 nos. and account for movement of stock between locations/Godowns. . stock items into stock group based on any Stock Categories: This is a useful Tally feature. You may choose not to use one or the other until the need arises. or compound units. With Tally it is possible to integrate the inventory and accounting systems so that financial statements reflect the closing stock value from the Inventory system. which warehouse shelf or rack. we create the individual stock items. Finally. e. Accounts-with-Inventory This obviously allows you to maintain both financial accounts and inventory. which is a similar operation to creating the chart of accouts although . metres. Which allows us to classify similar stock items together across different stock groups. Locations/Godowns: We can specify where the stock items are held. in this case there is no pre-defined set of stock groups. at a later date (if required) you can alter the information as Maintain Accounts-with-Inventory – Tally accordingly now provides all the inventory-related information.
Creating Single Stock Group: Gateway of Tally→Inventory Info→Stock Group→Single Stock Group In the Name field→ Enter Sony In the under field → Select Primary Can Quantities of Items be Added? Set yes Check the data is correct and press enter and Accept – Yes Name Give the name of the stock group. Under Specify whether it is a primary group or a sub-group of another group. . Here we wish to create a group Sony. Sony tapes.5" disks. create Stock Groups like Sony. items of a particular brand can be grouped together so that you can extract stock of all items of that brand.Stock Groups Stock items can be grouped together under Stock Groups to reflect their classification based on of some commonality. Grouping would enable easy location and reporting of stock items in statements. Your stock items could then be Sony 3. Creating Multiple Stock Group: • Select Create in multiple Stock groups to bring up the multi stock group creation screen. Can quantities of items be ADDED? Field allows us to specify if it is logical for totals of stock-in-hand to be displayed for this group heading in Stock Summary. For example. Classify the Sony products under the Stock Group Sony. Hence. etc.
Displaying and Altering Stock Groups Once created.The lower levels must be deleted first Delete a Stock Group Note:You can delete a stock group only if it does not have any children under it. • Press Enter twise to accept the data and return to the stock categories menu. Require information like total stock of floppy disks or alternative items that could be used. these would be best available through Stock Categories. • Select any one stock categories from the list of categories. However. stock groups can be displayed and altered in single and multiple mode. we cannot delete a stock group with subgroups or stock items. Type and enter sub stock categories. Display or Alter a Stock Category Gateway of Tally—>Inventory Info—>Stock Categories—>Single/Multiple Display . Gateway of Tally—>Inventory Info—>Stock Groups—>Single Alter Press [ALT]+[D]to delete the stock group You cannot delete a stock group from multiple mode. Stock Categories: Stock Categories offers parallel classification of items. We can delete a stock group via single Stock group alter by pressing <Alt>+<D>. F11 Features: Maintain Stock Categories – Yes Creating Single Stock Category: Gateway of Tally > Inventory Info > Stock Categories In the Name field→ Enter Floppy Disks In the under field → Select Primary Creating Multiple S tock Categories • Select create in multiple mode to bring up the multi stock category creation screen. You may create Stock Categories like Floppy Disks and Floppy Drives. • In the next line type another group name and Accept -> yes.• Select group name from the Pop-up list of Groups for the Under Group field. • In Name of Stock Group type and enter sub group name. The children could be stock group or stock item or both.
box. metres.—> Units of Measure—> Create In Symbol type ad enter doz.Or Gateway of Tally—>Inventory Info—>Stock Categories—>Single/Multiple Alter Select the stock category whose particulars you wish to display.g. In Formal Name type and enter Dozen. Compound Select Units of measure from the Inventory info menu and select create the Units menu to bring up the unit creation screen. one box equals ten pieces. You will not obtain any balances for a stock category here. one would look at the master information for balances. kilograms. e. Tally believes that balances are a logical consequence of the transactions. Use the Display option from the Gateway of Tally for display of balances and transactions. In symbol type and enter nos. The children could be stock category or stock item or both. or compound units. When you display or alter a stock category. they should be available with the transaction summaries. where.. the information entered while creating it is displayed. • Display from this mode is for master information only. Gateway of Tally—>Inventory Info. Delete a Stock Category You can delete a stock category only if it does not have any children under it. hence. S imple 2. pieces. . You would find all summaries and details through the Display option in the main Gateway of Tally. in formal name type and enter Number of press Enter twice to accept the data without quitting from the unit creation screen. Gateway of Tally—>Inventory Info—>Stock Categories—>Single Alter Press [ALT]+[D]to delete the stock category Units of Measure You will need to create units of measure for stock items. say. These can be simple units such as numbers. • In earlier days of computing. Press Enter twice to accept the data. Create a Unit of Measure There are two types of Unit of measure: 1.
Displaying and altering units of measure Gateway of Tally > Inventory Info. Godown Godown is the place to store goods. Select nos as the Second Unit and accept the data. Press enter to return to the units menu. You can delete a unit of measure in the alteration screen by pressing [Alt]+[D]. Tally allows us to create any number of Godown and nest into any number of levels. Select Compound form the types of units Pop-up menu. However. The compound measure must be deleted first. > Units of Measure > Display/Alter Once created. you cannot delete a unit of measure that is part of a compound measure. F11 Features: Maintain Multiple Godowns? Yes Creating single Godown: Gateway of Tally > Inventory Info. units of measure can be displayed and altered.Use the up arrow or backspace key to position the highlight in the Type field. > Locations > Create . Type and enter 12 as the conversion factor. Select doz as the First Unit.
Displaying and altering stock godowns Once created. However. Select primary if it is not a child of any location. Address Give a address of the godown. Stock Item Stock items are the actual items in stock.5” In the under field → Select Sony In the unit field → Box of 100 Nos. Under Give the location under which this location is to be sub-grouped. designate London as a virtual location with Wimbledon Warehouse. Head Office acts like a primary group location. give the name of the location. Use [alt]+[C] to create the parent location. The lower levels must be deleted first. and we account for the issued and receipts of stock at this level. These sub-locations or godowns will allow storage of materials. Allow Storage of Materials? Tally permits you to create a location/godown where you may not store materials at all but treat it as a virtual location. stock locations can be displayed and altered in single and multiple mode. for example. if required. You can delete a stock location via Single Location Alter by pressing [Alt]+[D]. Stock items are the actual items in stock.Name In the Name field. and we account for the issued and receipts of stock at this level. Virtual location are useful in case like Head Office which may have many different stock points under it that store materials. . Or . Hence. Delete a stock item You can delete a stock item only if it has not been used form transaction entry. Brixton Warehouse as sublocations/ godowns.locations. you cannot delete a stock location with sub. Harrow Warehouse. Creating Stock Item: Gateway of Tally→Inventory Info→Single Stock Item In the Name field→ Enter Sony Disks 3.
00.13 Paid Stationery Rs.4. 450 20 Paid to Rasi Store for Rs.000 10 Purchase 100 kg Ponni Rice per kg Rs.18 and 75 Lax Soap per soap Rs. 8.000 Sales 35 lit Gingilly Oil per lit Rs.20 Nov 03 Sales Ambai 18.18 from Haji Store Sold to Jeya Traders.50 Paid Telephone Bill Rs.500 05 Paid Rent for Rs.500 15 18 24 29 Purchase 200 Sandal Soap per soap Rs.7. 50kg per Rs.200 Return by Jeya Traders14 kg Ponni Rice Sales 15 Hamam Soap(100g) for cash per soap Rs.5.20.78 05 Paid Salary Rs.500 Purchase Weight Machine Rs. 50 kg Ponni Rice Rs.3.4.13 to Laxmi Store 5 6 12 18 23 24 28 Dec Sales 10 lit VVD Coconut Oil per lit 80 Paid Salary Rs.22 45 kg Hamam Soap (150g) Rs.1.15 05 Amount Settled by Jeya Traders 7 Paid to Haji Store Rs.4.400 Purchase from Milky & Co 125 Lax Soap per soap Rs.Gateway of Tally > Inventory Info > Stock Items > Single Alter Press [ALT]+[D] to delete the Stock Item Stock Group Exercise No: 18 a) Journalize the following Transaction in the Book of Anandha Stores 2007 Aug 01 Anand Started the business Rs.000 15 Purchase 50 lit Gingilly Oil per lit Rs.000 .99.17 Sep 02 Salary for staff Rs.21 Sales 125 Hamam Soap (100g) per soap Rs.50 19 Purchase from Rasi Stores 200 kg Ambai 18 per kg Rs.98 17 Purchase 300 Hamam soap (100g) per soap Rs.12 Oct 01 Purchase 75 Lit VVD Coconut Oil per lit Rs.25. 1. 15 Purchase 100 Hamam Soap (150g) per soap Rs.000 08 Anand Deposit into the Indian Bank Rs.
600 for Personal use Ch.000 Rs. 10.no.00.500 15 Purchase 20 lit Gingilly Oil Rs.000 Rs. 16. 098765 Bought a Computer for Rs.500 26 Payment Made by Petty Cash Conveyance Rs.5. 2. 6. 123 Television Fridge Audio System Rs. 4. 1. 7. 4. 7. 00. 6. 23.000 Rs.000 Opened a Bank account in HDFC Rs.500 10 nos 15 nos 5 nos 10 Credit Purchased from ALM Traders Inv.500 10 nos 15 nos 5 nos 22 Paid Telephone Charges Rs.8 Paid Salary Rs. 98 Stock Group: Rice.000 Rs.17. No.000 from Sai System Guru Store amount settled through a cheque Sold Goods for Cash Television Audio System Rs.000 Salaries Wages Carriage Inward Rs. 5.500 5 nos 3 nos 19 Paid into Bank Rs.000 20 Sold Goods to Varun & Co on Credit Television Fridge Audio System Rs. No. 150 . 124 Television Fridge 11 14 17 18 Rs.000 Rs. 4.800 Rs.500 Rs. 6. 1. 8.500 Purchased Furniture for Rs. Soap.000 from Varun & Co 24 Paid made by Cash Paid to Petty Cash Rs. 15. 9.900 3 nos 5 nos Withdraw from Bank Rs.10. 7.000 Rs.000 Credit Purchased from Guru Store Inv. 200 Postage Rs. 5. Oil b) Journalize the following Transaction in the Book of Rahuman & Sons 2006 Oct 2 5 6 7 01 Started business with Capital Rs. 1000 23 Received cash Rs.000 Purchased Stationery item for Rs.
11.000 10 nos Rs. 133) Fan Usha Philips Rs. 1.000 Rs.2007 Purchase from Uthira & Co (Inv. 200 Stock Categories Exercise No: 19 1. 13. 1.No.2004Paid into Telephone Charges Rs.000 4 nos 4 nos 22.000 4. 12. 1.500 5 nos 16.200 2 nos 4 nos Rs.no.000 12 nos Rs.200 5 nos 8 nos 20. 111) Television BPL Color TV BPL Black & White Sony Samsung Rs.4.500 5 nos 5 nos .4. 1.2007 Kishore Trading Company Started business with cash 80. 10. 120 Rs. 9. 12.000 15 nos 10 nos 11.2007 Purchase from Ruba & Sons (Inv.2007Credit Sales Hamsa Traders (Inv. 1.000 Rs.2) Computer HCL LG Fan Usha Philips Rs.200 Rs.4.Stationeries Staff Welfare Rs.4.000 24.000 6.2004Cash Purchase Mixci Kanchan Preethi Rs. 1.000 Rs.500 2 nos Rs.000 Rs. 1.2007 Paid into Bank Rs.4.200 15 nos 9. 12. 10. 1) Television BPL Black & White Sony Rs. 7. 10.No.4.500 10 nos Rs. No.2007Credit Purchase from Santhosh Electricals (Inv.4.2007Cash Sales (Inv.4.No. 9.4. 122) Computer HCL LG Rs.
120 Rs. 000 Rs.2007 Purchase from Samir Stores (Invoice No.9. 8 Rate (Rs.000 02-9-2007 Stationery Items Rs.000 03-9-2007 Cash Purchases Godown Item I.Butterfly Rs.500 27-4-2004 Payment Made by Petty Cash Conveyance Postage Stationeries Staff Welfare Rs. 1.2004Payments Made by cash Paid to Petty Cash Rs. 20 Ponni Basm ati I.000 5 nos 26.) 18 20 22 17 Pettai (kg) 1500 1000 1000 2000 Town (kg) 2000 1300 1000 500 5.R. 000 Furniture Salaries Wages Carriage Inward Rs. 200 Rs. 150 Rs.R. 1. 200 Godown Exercise No: 20 Journalize the following Transaction in the Book of Reethu Stores 01-9-2007 Started Business with cash Rs.500 Rs.20.4.00. 1.10.) 35 25 18 Junction (kg) 1000 2500 1800 Palay (kg) 1000 1400 1500 . 5. 7.000 Rs. 44) Godown Item Black Gram Green Gram Wheat Rate( Rs. 20.
2007 Payment made by Petty Cash . 8.9.50 20. 54) Godown Item VVD Coconut Oil Idahaya Gingili oil Sunflower Refined Oil Rate( Rs.000 Rs.9. 10. 25.000 25.9.2007 Received cheque from Laxman Traders From 2. 5.000 20. 2. 4. 25.9.430 Rs.000 Rs.000 Furniture Salaries Wages Carriage Inwards Rent Rs. 50. 30.00.2007Purchase from Kalyan Store (Invoice No.000 Kalyan Store Rs.2007 Credit Sales Laxman Traders (Invoice No.2007 Payment made by Cheque Samir Stores Rs. 1) Godown Item Black Gram Green Gram Wheat Rate( Rs.2007 Payments made by cash Paid to petty Cash Rs.000 Rs.) 38.000 Rs.9.340 Electricity Charges Telephone Charges 27.9.000 Rs. 25.50 26.8.25 Junction (kg) 500 2000 1000 Palay (kg) 450 750 250 10.) 22 13 18 Junction (lit) 1000 2500 1800 Palay (lit) 1000 1400 1500 12.
150 30.Conveyance Postages Stationeries Staff Welfare Rs. 250 Rs.2007 Depreciate 10% on Furniture .9. 250 Rs. 250 Vehicle Maintenance General Expenses Rs. 300 Rs. 200 Rs.
Which can be changed but not to a date later than the voucher date. If it is set to No. Manufacturing date and expiry date options can be used only in accordance with batch-wise details as per requirements. food and other edibles. Stock records often contain compensating errors caused by wrong allocation to items and the like.wise Details Batch-wise details are given for maintaining batch information pertaining to stock items. values There is usually no point in having a voucher that is totally without value. The feature enables finalisation of financial books without waiting for reconciliation of stocks that may take time. it ignores the inventory books figures and picks up manually entered closing stock balances. The various options are activating batch-wise details. activate the feature in F11: Features Inventory To use zero F11:Company Features. setting manufacturing date and expiry date. Return Tally. Expiry date cannot be a date prior to the voucher date. If set to Yes. zero values are required. to through to activate of batch-wise Gateway Activate the option “ Maintain Batch wise details” in F11: Features -> Company features -> Inventory Features Set Expiry the Dates for 3.Integrate Accounts with Inventory F11: Features Inventory ->F2: Effect on Balance Sheet and Profit & Loss Account The option in F11:Features has a significant effect on the Balance Sheet and Profit & Loss Account. in some situations. 4. During voucher entry. Accept screen. Allow entries Zero value ->F2: in vouchers. Batch. Activate Batches. it brings the stock/inventory balance figures from the inventory records and provides a drill down to the Stock registers from the Balance Sheet. for example. 2. Date of manufacture of the product defaults to the date of the Voucher. Tally walk details: 1. This is useful for business that deal in goods that have expiry dates like medicines. . However.
here enter batch no as AD/001 having manufacturing date as 02/06/2008 and expiry date as 1/2/2009. 17. Use Expiry Dates.5. Accept the voucher. 9. From Gateway of Tally go to Inventory Info 6. Accept defaults for other options.00. Create it under Stock Group . Purchase Invoice number AD/001 20. Put it under Stock Category ‘Sauces’. Credit period 20 days. 5. Exercise: 20 Enter the following entries for Batches and Expiry dates: 2007 May 01 02 05 06 Kabir invested Rs. Track date of Manufacture yes 11. R301. Date: 02-06-2008.Expiry date 1-10-2007]Mohana & Co .00. Purchase 150 nos form Anantha Departmental Stores 120.000 Paid into HDFC bank Rs. 22. Press F9: Purchase. 45. 19. Get back to Gateway of Tally menu an go to voucher entry. 8. 19. 15. Create a ledgerAnantha Departmental Store under sundry Creditors 16.50 [Batch no. 21.Tomoto Ketchup 7. 16.Yes 12. 18. Create a new stock item . 10. After we enter item an item allocation screen will appear.000 Purchase Viva 100 nos for Rs. Create the following entries.000 Purchase Computer Rs. 260 [Batch no. Rate of Duty 5 14.V201 Expiry date 2/12/2007] Rajia & Co 8 Purchase Rin 100 gm 500 nos for Rs. Alter Standard Rates No 13. Activate the option “ Maintain in Batches” in that item.Ketchup (create the group if it does not exist.
Expiry date 11-10-2007] 28 Sales La Soap 6 nos for Rs.50 to Nirupama Store 2007 Sep 9-2009] Use Different Actual & Billed Quantity This option enables you to specify quantities. Li302. M202. Expiry date 9-10-2007] from Mohana & Co 21 Sales Maltova 25 nos for Rs. 13. 230 to Jerry Store 22 Sales Power Soap 230 nos for Rs. Normally.000 13 Purchase La Soap 130 nos for Rs.50 [Batch no. Expiry date 1-7-2007] from Rajiya & Co 16 Purchase Power Soap 300 nos for 12 50 [Batch no. On the other hand. M202. 21 to Kavitha Store 25 Purchase Liril 200 nos for Rs. Expiry date 2511 Paid Salary 13. Hence. 2. that are different from that delivered. P302. L303. Expiry date 1111-2007] from Mohana&Co 25 Sales Lux 150 nos for Rs.000 18 Paid Telephone Bill Rs. Select this option if you have many such occasions. 12 and Liril 55 nos for 24 to Malar Traders 2007 June 02 Purchase Maltova 250 nos for 220 [Batch no. the Billed and Acutal quantity is same when we set the . 3. when invoicing. Lx304.11.50 [Batch no. 13. L303. L303.50 [Batch no. 15 [Batch No. 13 to Jerry Store 29 Paid Electricity Bill Rs. B203. Expiry date 9-10-2007] Mohana & Co 14 Sales Viva 25 nos for Rs. Expiry date 9-102007] 24 Purchase Lux 300 nos for Rs. you can record the fact when raising the invoice without altering the delivery note or passing a rejection entry.000 20 Purchase La Soap 100 nos for Rs.000 23 Sales La Soap 60 nos for 13 [Batch no.000 10 Purchase Maltova 250 nos for 220 [Batch no.9 Withdraw Cash from Bank Rs.11.300 04 Purchase Boost 50 nos for 230 [ Batch No. 5.22. It is possible that you have delivered goods but some of them are in dispute and your customer wishes to be invoiced for only the quantity that he agrees to.Expiry date 1-7-2007] 11 Purchase Power Soap 300 nos for 12 50 [Batch no. Expiry date 1-8-2007] from Mohana & Co 17 Paid Rent Rs. 1. the rest is so bad that it is useless even for you to take back. He may consider the rest later and would then like to be invoiced.000 13 Paid Rent Rs. 275 to Kavitha Store 15 Sales Rin 100 gm 230 nos for Rs. 3. P302. and record the fact. Expiry date 1-8-2007] 12 Paid Salary Rs.400 19 Paid Salary Rs. 3.300 30 Withdraw Cash for Personal use Rs.16.
one piece of 100gm Promise tooth pase given free on every 5 box Surf Excel. He purchased the following items and agreed to make payment with in 10 days.option Use different Actual and Billed Qty to No in F11: Features. For example.( Free & sold items are same. Free items are received or given. Exercise: 21 20.. we wil be prompted to enter 2 quantities. we need to activate option Use different Acutal & billed qty under F11: Features -> F2: Inventory . iv. (Free & sold items are different). i.2006 Purchased the following items from Omega InfoTech in an sale offer made by them. Items Processors Hard Disks Printers Monitor Purchased Quantity 25 20 20 20 Free of cost 5 4 4 4 Total Quantity 30 24 24 24 Rate 5200 3200 5100 10500 . For example. v.e.10. The offer was that on every purchase of 5 items one item is given free. If the Billing quantity is different from actual quantity. Actual and billed. to enter both quantities in transaction. Free items are received or given. However the quantity deliverd/ received may be different from quantity billed ub same cases as: i. Consquently during transaction entry. iii. Actual Quantity will update stock and Billed Quantity will be used to compute transaction value. The billing quantity is rounded off Invoicing in Part. 1 box of Surf Excel is given free on every 5 box of surf excel.
you will use Not Applicable for Tracking Numbers. • • • Activate Tracking numbers in F11: Company Features.2006 20 4 24 1700 Vimal introduced the sale offer and sold the following items on credit Paramount Services and Peripherals: Items Processors Hard Disks Purchased Free of Quantity Cost 25 5 20 4 Total Rate Quantity 30 6800 24 3500 28. and to call the orders while entering a purchase invoice and likewise with sales orders and sales invoices. This is tradeable item as well as to be used for construction. Hence. Activate Accounting allocations in Order Entry. Create a Supplier . In this module. if any. whether you have fulfilled the orders on time and what is the delay. Enter a Purchase Order . Remember. We will take up entries using Tracking numbers in the next unit. orders do not affect financial records nor do they update inventories. Purchase Order Processing Purchase Order details will also depend on configuration settings. You will also learn how to display outstanding orders position and the effect of orders on stocks. Create a stock item Bricks with unit of measure Pcs. if it is not already activated. know what goods that were ordered have arrived.Universal Bricks with bill-wise activated and no interest calculation. have a look at the configuration and voucher types.UPS 25. Activate Sales and Purchase Order Processing in F11: Company Features. order processing is linked to inventories.10. Stock will be maintained. You can track the order position of a stock item.10.2006 Items Printers Monitor UPS I – Tech Peripherals Purchased Quantity 10 12 20 Free of Cost 4 4 4 Total Quantity 14 16 24 Rate 6000 11000 2300 Order With Tracking Number In Tally. In this unit. you learn how to record purchase orders. Treat all Purchases as Consumed should be set to No. Hence.
6. Narration: Optional. .5000 Pcs @ 3 per Pc. Expense/Tax: Once the item details have been entered. (in case multiple location feature is active. Select Freight @3% on the item values.) Due on: 25/12/08 . The tax or expense has to exist as a ledger account or it may be created using [alt]+[C]. have a look at the configuration and voucher types. field is an additional field to record order number if different from the voucher number. Party's A/c Name: Universal Bricks Order No: The voucher number will be your Purchase Order number. Rate and Amount . Gateway of Tally ->Display -> Day Book or Gateway of Tally. Inventory Books. if any. 4. This will enable monitoring of outstanding deliveries. Sales Order Processing :-Create Sales Orders Sales order entry is exactly like Purchase Orders. 7. 3.The due date for delivery of the item. Name of the item: Bricks. Alter a Purchase Order You can alter a Purchase Order by displaying it from a variety of places but is easier through the Purchase Orders Book or the Day Book. Sales Order details will also depend on configuration settings. The amount is calculated but is modifiable to enable rounding off. 5. The order can be split for delivery on different dates. press [Enter] on the blank field to take the cursor to the tax/expense field. Item allocation sub-screen: • • • Next Item: Since no other item is required. else it does not appear. Return to Gateway of Tally. Purchase Order Book.) Quantity. Location: Warehouse. you might specify tax to be charged and other expenses like freight. this field is required to be given. 8.1. (Once the name is given the Item Allocations subscreen pops-up that needs to be filled in. This particular Order No. Select Voucher Entry->F9: Purchase ->Select Purchase Order(Alt+4) Voucher date: 15/12/08. 2. Hence.
Gateway of Tally->Display-> Day Book or Display. you do not know how much stock is on order both inward and outward. you have . press [Enter] on the blank field to take the cursor to the tax/expense field. This particular Order No. The tax or expense has to exist as a ledger account or it may be created using [alt]+[C]. field is for the customer's order number which is different from the voucher number. 5. you might specify tax to be charged and other expenses like freight. you could take plan your stocks better and not lose out on orders. Enter WP/5.4000 Pcs @ 5 per Pc. 3.5% to be charged on the item values. Select or create Tax @ 17. 6. 3. Expense/Tax: Once the item details have been entered. This will enable monitoring of outstanding deliveries. if you knew that. Party's A/c Name: Wimbledon Properties Order No: The voucher number will be your internal serial number. Location: Warehouse. Sales Order Book. Gateway of Tally -> Stock Summary ->Detailed [F1] Currently. 9. Next Item: Since no other item is required. Alter a Sales Order You can alter a Sales Order by displaying it from a variety of places but is easier through the Sales Orders Book or the Day Book. 7. 2. Rate and Amount . if any. 8. Name of the item: Bricks. Of course. 2. 1. Quantity. The order can be split for delivery on different dates. View Order position Stock summary is perhaps the best place to view the order position. all you see is the closing balances or stock in hand as on the last day of the period. 4. However.The due date for delivery of the item. Inventory Books. Gateway of Tally->Voucher Entry ->F8:Sales ->Select Sales Order (Alt+5) Voucher date: 16/12/08.1. You are now in Sales Order Outstanding screen showing On Order items. Press the Orders button [alt]+[F7] Select Sales Orders Outstanding Type No for Due orders only. Due on: 26/12/08.
4. 5. 6.
only Bricks on order Select the line Bricks and press Enter. The outstanding Sales order for Bricks is detailed. Select F12:Configuration. Select Yes to all options.
You now see your Order Analysis with Sales and Purchase Orders outstanding position for the stock item Bricks. 1. 2. 3. 4. 5. 6. Return to the Stock Summary screen Select Detailed Press [alt]+[n] Auto-Column Button. Select Orders & Stock Details. Remove Rate and item from display by configuring it using F12. This will enable all columns to fit in one screen. Take note of the change in figures. Can you accept an order for 2000 bricks ? You may further drill down into each column to view greater detail. In the Stock Summary screen, you can even bring up a new column using [alt]+[C] the New Column button and get more options for detail. Experiment with Types of Values to get familiar with them. They are powerful and give great business information.
You adjust orders at the time of raising delivery notes and invoices. 1. 2. 3. 4. 5. 6. 7. 8. 9. 10. Select Voucher Entry Select Purchase -> Purchase Enter a Purchase invoice no UB/6 Voucher date: 25/12/08. Party's A/c Name: Universal Bricks Name of the item: Bricks. (Once the name is given the Item Allocations subscreen pops-up that needs to be filled in.) Tracking number : Not Applicable as goods are accompanying the bill. Order No: Select the order number. All fields are filled up. Now enter as you would normally in a Purchase voucher. Quantity, Rate and Amount - 5000 Pcs @ 3 per Pc. Expense/Tax: Freight @3% on the item values
Reorder Level signifies the quantity of a Stock Item in hand, after reaching which you must place orders for your supplies. The importance of Reorder Level arises from the desire to have sufficient stocks to service customer orders and, at the same time, not to unnecessarily accumulate stock. Therefore, the points to be considered while deciding the reorder levels are as follows. o o o The lead-time for suppliers to deliver the stock. The delivery time specified by the customer. The stock-in-hand to satisfy orders in the meantime.
In simple mode, Tally accepts the quantities that you specify. In advanced mode, it considers the past consumption patterns to suggest reorder levels. You can however, choose to define your own reorder levels. You may also specify the minimum quantity of the item to be
ordered, either in simple or advanced mode. The purpose of specifying reorder levels is to obtain a report that indicates the quantity of a Stock Item that you must order. Specifying Reorder Levels
Go to Gateway of Tally > Inventory Info > Reorder Levels Select a group of Stock Items from the List of Groups, to specify Reorder Levels for the Stock Items in the Specify Reorder Levels screen. For each item in stock, you can define a Reorder Level and the Minimum Order Quantity. If you click Simple Reorder button, the consumption alternatives will not be available and hence you have to input the quantities. Note: The option Reorder Levels is displayed in the Inventory Info. menu only if Allow Purchase Order Processing is enabled in F11: Features.
The Reorder level screen appears as follows: The options that you have while defining Reorder Level and Minimum Order Quantity for individual stock items are as follows. Reorder Level/Quantity Enter the level/quantity in this field. Advance Parameter for Reorder Level (Consumption for the Last) This field lets Tally calculate the reorder level/order quantity based on the total consumption in the past for a chosen period. Period
The choices for periods are: Days, Weeks, Months and Years. Note that it is not the average consumption for the period but the total consumption. Enter zero (0), if you do not want Tally to calculate the reorder level based on the consumption of the item in the past. Criteria Choose whether you want the higher/lower of the two, i.e., input/calculated level/quantity. Rounding Method Specify whether the calculated level/quantity must be rounded and also the method of rounding. Minimum order quantity You can specify the minimum order quantity required.
Tracking Number You were buying and selling goods or services where the stock would be affected when making the purchase or sales entry. Many businesses deliver stock with a delivery note or a challan. The bill is raised later. The bill has to be linked or tracked with the goods already delivered. In Tally, tracking numbers do the job. Tracking numbers allow Goods Receipt and Goods Delivery Notes for goods not accompanied by an invoice to be linked with the invoice that is raised later. Of course, Tally permits the opposite too. A bill can be raised first and the goods delivered. Again, tracking numbers do the trick. Tally walk-through for using tracking numbers 1. 2. 3. 4. 5. 6. 7. 8. Go to voucher entry. Select Purchase, Receipt Note. Enter the following transaction: On 12/12/98 - Ref GRN/UB - 1000 Pcs of Bricks received from Universal Bricks @2 per Pc. For Bricks, select Tracking Number GRN/UB and give item details. Press Enter on the blank Tracking number to return to the main voucher. Accept the voucher and Return to Gateway of Tally Select 'Display', 'Statements of Inventory', and then 'Purchase Bills Pending'.
Purchase Bills Pending screen: 1. Tally tracks down the Goods received but whose bills have not been received. 2. View the Profit & Loss Account and the Purchase Accounts. 3. Tally provides the purchase so that the profits are correctly arrived at. 4. View the Balance Sheet, Sundry Creditors. Has Tally provided for the liability? 5. Tracking numbers - track bills with goods delivered Now go back to Voucher Entry 1. 2. On 15/12/08, you receive the purchase bill no UB/15 from Universal Bricks for their Delivery Note no GRN/UB for 1000 Pcs of Bricks @ 2 per Pc. You get 30 days credit. Select Purchase, Purchase Ref: UB/15 Cr Universal Bricks Billwise UB/15 30 days 2000 Dr Project Purchase 2000 2000
Jeans 5 nos [RN.556] 7.1000 Purchase invoice raised for the Order 102 [Bill No.4.300 Chudithar 50 nos at Rs. 5.118 [DN.4 Cotton Sarees 75 nos at Rs.NO 567] Returned T-Shirts 10 nos.00.4.103] Due 25.O.567] Purchase invoice raised for Sona Textiles [Bill No.4 T-Shirts 100 nos at Rs.4.118] Due Date 30/4 T-Shirts 60 nos 150 Jeans 60 nos 1300 Sales Invoice Raised For Sales Order NO 111 [Arjun Stores] + TNGST 4% Delivery Note Given For Brinkley Garments For Sales Order No.102] Due 15.4.O.4. Press Enter on the blank Tracking number to return to the main voucher.000 Cash Deposited in SBI Rs.4.N0.N0.NO.100 Jeans 100 nos at Rs.2.4.111] Due Date 25/4 Cotton Sarees 60 nos 500 Chudithar 40 nos 750 Sales Order Received From Brinkley Garments [SO.O. Now go back to Purchase Bills Pending. Cost Centre is activated for Project Purchase.O.4 Cotton Sarees 50 nos at Rs.2008 Purchase Order Made to Sona Textiles [P.2008 15-4-2008 20-4-2008 18-4-2008 22.000 Purchase Order Made to Rahul Textiles [P.5678] Sales Order Received From Arjun Stores [SO.2009 Received Capital By Cash Rs.NO.00.2008 12.2008 10.400 10.2008 5.4.2008 .4.2008 1. Accept the other information that is filled up.5.N0.NO.103] [RN. Select Projects and Assignments Category and Buildings Cost centre. Note UB/15 is also listed there. Accept the voucher. • • Inventory Allocation Tracking Number: Select GRN/UB.3.1234] Received Materials For the Purchase Order From Sona Textiles [P. Do not select this.400 Purchase Order Made to Kiran Textiles [P.300 Chudithar 60 nos at Rs.NO.2008 5.4.2008 29. 6.N0.101] Due 12.2008 27. Is there anything pending? Exercise No: 22 a) 1.4. 4.
8.2.2002 1-9-2002 2.111 through Receipt Note NO.124 Sales Order Received From Akshai Traders [NO.1200 Purchase Invoice Raised For Order NO.8.9.1200 Purchase Order Made to Athi Electricals [NO.8. are also considered to be part of purchase and we may wish to debit purchase account only for the entire cost.2002 14.8.1500 Table Fan 150 nos @ Rs.9.000/Purchase Order Made to Nithya Fan House [NO. taxes etc.3 10.8.2002 14-9-2002 Track Additional Cost Of Purchase Normally.124] [Due Date 14/8] Ceiling Fan 500 nos @ Rs.5.2002 20.8.8.00.2002 1.8.111] [Due Date 18/8] Ceiling Fan 150 nos @ Rs.2002 7.2008 b) Kiran Electricals Started Business of Electrical items 1.2000 Table Fan 300 nos @ Rs. Athi & Co purchased the following components CPU 50nos 15000 .3 Returned 5 nos of Ceiling Fan.1500 Table Fan 500 nos @ Rs.124 Received Materials For the Purchase Order NO.2002 19. we may get breakup of basic price as well as additional cost incurred.Due Date 1/9] Ceiling Fan 300 nos @ Rs.2002 Received Cash For Capital Rs.12 Returned 10 nos of the Ceiling Fan & 5 nos of Table Fan For the Order NO.8.00.Table Fan Sales Invoice raised For the Order NO.1-5-2008 Returns From Brinkley Garments T-Shirts 10 nos Jeans 5 nos Sales Invoice Raised For The Delivery Note 556 5. resulting into the Effective Rate on various inventory reports.000/Deposited in UCO Bank Rs. With this feature.1500 Raised Sales Invoice For the Order NO. without debiting separate account.2 with Sales Tax @ 4% Sales Order Received From ABI Traders [3. in case of purchase.Due Date 10/9] Ceiling Fan 200 nos Table Fan 200 nos Delivery Note Raised For the Order NO.2002 22.2002 10-9-2002 12. For Example.3.
Keyboard 50nos 7000 At the time of purchase of components. they spent additional cost such as Carriage Packing charges 15000 2000 F 11 Features – Activate the options Track Additional Cost of Purchase .Yes • Create ledger Under Sundry Creditor Athi & Co • Create an Unit of Measure Nos as Shown below: • Create a stock item as CPU • Pass purchase Entry .
700 [Create bill no. of Lux Soaps @ 15/No Sales Tax Packing Carriage 4% Rs. 00. 1000 .After entering the purchase go to Display →Inventory Books → Movement Analysis → Stock Item Analysis → Select the Item Exercise: 23 a) On 1/1/2005 Received capital by cash Rs.000 On 2/1/2005 Deposited in ICICI Bank Rs.000 On 5/1/2005 Purchased from GTL 500 Nos. Credit days 30] On 8/1/2005 Purchased from GTL 500 Nos. 5. of Power Soaps @ 10/No Sales Tax Packing Carriage 4% Rs. 00. 500 Rs. 2. 700 Rs.
it is a list of constituent items for a product. 1200 [Create bill no. Discount received 5 % b) Rahuvar & Sons purchased the following components CPU Keyboard Mouse IC Chips 100 Nos 100 Nos 100 Nos 150 Nos 15000 7000 1500 1000 At the time of Purchase of components they spent additional cost such as Carriage Tax Labour Charges 15. Click on F12: Configure and select Accounts/inventory Info from the menu.000 4% 5. Credit days 30] On 31/1/2005 Paid to GTL for all the products.000 Bill of Materials A Bill of Materials contains a list of items that make up another item. 750 Rs. Enable Bill of Materials Facility To activate or enable Bill of Materials go to Gateway of Tally. Now say yes to "Allow component list details (Bill of Materials)?" . of Arial Powder @ 50/No Sales Tax Packing Carriage 4% Rs.[Create bill no.000 Packing Charges 20. Credit days 30] On 20/1/2005 Purchased from GTL 200 Nos. In other words.
4. you would like to create a BoM only for those items that are being manufactured. first enable manufacturing entries. Tally walk-through to specify its Bill of Materials JC Computer Supplies decides to get into the business of Televisions. . 2. Select Yes for "Use as Manufacturing Journal" and accept the screen. Typically. This is done through a stock journal. Create a Bill of Material You can create a Bill of Material (BoM) for any stock item. Follow the normal Voucher type creation as explained earlier for the rest. Therefore. They want to assemble their own televisions and sell them. Select Accts Info. To create a new Manufacturing Journal go to Gateway of Tally. Create a new manufacturing journal Create a new voucher type called Manufacturing Journal under Stock Journal. Give Mfg.Journal (Manufacturing Journal) as the name and under ' Voucher types' select Stock Journal. Voucher Type and then Create.A Bill of Material should be available while manufacturing an item. 1. You will specify a BoM at the time of creating a stock item or altering its master. Hence. 3.
Aerial 300. Aerial - Paid cheque from Current Account immediately.2000.nos. Account Purchases. Create a stock item Television. 300.1.500. IC Chips. Ignore Tax. bought 10 pcs each of the following at the standard cost mentioned against them: 1. Manufacturing Journal Entry .2000. Unit of measure .5000. IC Chips . Create it under a new stock group Home Electronics. Tally uses a Manufacturing Journal to enter goods manufactured with bill of materials. Once this is made to yes it takes you to a screen where you can enter 1 each for Unit of Manufacture and items VDU. 7. Create them and group them under a stock group Television Parts.3750.5000. Say Yes to "Set Components (BoM)?" 4. None of the items will have any opening stock balance. Make a purchase voucher entry as follows: On 21 December 08. Unit of measure .nos.3750. 3. Picture Tube . VDU . First you should purchase the components required to produce the television. VDU . Accept all other defaults. Picture tube. These items do not exist. IC Chips . Stored On-Site. The purpose of creating a bill of material is to enable consumption of the materials in the ratio specified when the product is manufactured. Give Standard Cost for each of the items as follows:6. Sound Card and aerial which are required for the assembly of one Television. Picture Tube . Accept the screen. 5. Sound Card . 2. You propose to store them On-Site.500. Sound Card .
200 Rs. Additional cost of Wages .2000 have been incurred. It will take you to the screen giving the details of additional cost. the cost of the item. Note that the additional costs entered for the Iedgers. Add them in. 1. type Television. create them under Direct Expenses. a pop-up menu will show both the default Stock journal and the manufacturing journal.5. 6.3000 and Power . Select manufacturing journal. 2.1. 5. The standard cost is picked up for each item. The default location as specified in the BoM is also given for each component. 250 Rs. 3. Under Additional Cost Components you may specify the additional cost incurred for producing the item. Under Component (consumption) the component list for the television to be manufactured under proportionate quantity of each component is picked up automatically. If ledger accounts for these expenses do not exist. 4. However the entire component list can be altered.1. Under the Name of Product to be manufactured. Quantity to be manufactured . do not reflect in the relevant ledger with the amount but only add to. Exercise : 24 a) Stock Item VCD Player Components Aerial Rs.From the Gateway of Tally Menu select Voucher Entry. Journal. As you have created new voucher type Mfg. 7.2. 500 IC Chips Speaker (2 nos) On 19-08-2007 . Manufacture it in the On-Site.
Mother Board 2.000 Rs.280 6. 000 3. 1 No. 20. CD Drive 1 No.00/no 20. they spent additional cost such as Carriage Tax c) Manu &Co purchased the following components for used Computer: 1. 1 No.00/no 15. 2.00/no 25.900 4. 1 No 2 Nos 18. 1 No. Floppy Drive 6. Switches 3. 3 pin plug point 4 Nos. Hard Disk 4.780 4. 15. SMPS 3.900 5000 4% On 10/5/2004 They manufactured 10 Numbers of Computer Additional costs incurred are as follows: Wages Power 2.Manufactured 250 Nos of VCD Player Additional cost Power Wages b) Moorthy &Co purchased the following components for used Switch Boards: 1. 000 Price List This feature is provided in Tally to allow different pricing structure for the same item depending on their quantity of . 12×8 Wooden Board 1 No. 1 No.500 550 1. RAM 5. 1 No 2.000 On 10/5/2004 They manufactured 100 units of switch Boards Additional costs incurred are as follows: Wages Power 10000 15000 At the time of Purchase of components.00/no Rs. 2pin plug point 4.
4. 2. Now the customer ledger accounts have to be altered to put them in the relevant price level. From the Gateway of Tally select Inventory Info and Click on Price List. . 3. 3.g. Type Yes.Retail Sales. 6. Export Sales and Whole Sale and accept the screen.purchase or sale. Simply go through them but create the price list in the exercise. Rate and the Discount % for the respective items. 4. Select the price level from the pop . 5. Press F11: Features. Accept all the features and return to Gateway of Tally. Retail Sales and enter the date from which your price list is applicable. When we change the price list with a new 'applicable from' date. Type the different price levels . Activate "Use Multiple price levels for invoicing".up for e. Now the Price List screen is displayed. Select the required stock item group from the List of Groups or you can even select All Items if you require to set the price list for all the Stock Items you have created. Enter the Quantity. The following are the steps to create a price list. 2. Tally takes you to "Company Price Levels" screen. the previous prices given for the item will be shown in the Historical Details column. You will find the Standard Cost Price of the items displayed on the extreme right of the screen 7. Note: These prices will automatically appear while making an Invoice once the price level is specified. Activate and create Price List Types 1. Create a Price List 1. More than one Price level can be entered for a single Stock Item. At the bottom the last option is Set/Modify Other Company Features.
to 25 Nos.75 Rs. Rs.100 5% 8% Rs. 10 Nos. 10 Nos. (Retail Sales) On 16-06-2007 Purchased 25 Nos of Gold 8.75 Rs.95 5% From 25 onwards Rs.55 Rs. to Nos. 25 Nos of Silver 8. 22 Nos of Bronze 8. 25 Nos of Bronze 8 On 25-06-2007 Sold to Jeba & Co 5 Nos of Gold 8. 10 Nos. From 25 onwards Gold 8 Less than 10 Nos.65 5% 10% 5% 10% Less than 10 Nos. to 25 From 25 onwards Silver 8 Less then 10 Nos. 5 Nos of Silver 8.100 Rs.5% Rs. 10 Nos.75 5% 10% Rs. to 25 Nos.55 Rs.65 Rs.95 10 Nos. From 25 onwards Silver 8 Rs.a) Retail Sales Bronze 8 Less than 10 Nos. From 25 onwards Whole Sales Price Bronze 8 Less than 10 Nos. 10 Nos. Rs.65 Rs.80 5% 7. to 25 Nos. On 04-06-2007 Sold to Tirumathi & Co 25 Nos of Gold 8. to Nos.95 8% On 02-06-2007 Purchased 50 Nos of Gold 8. 25 Nos of Silver 8. 15 Nos of Silver 8.80 Rs. 10 Nos of Bronze 8 (Whole Sales) b) Export price . From 25 onwards Gold 8 Less than 10 Nos.100 Rs. 10 Nos of Bronze 8.55 Rs.80 Rs.
More then 50 Rs.800 Rs. More then 100 Less than 20 Nos. 500 1000 Nos Chudidhar Rs.1000 Rs.1000 Rs.Nos.800 Rs. Chudi 40 Nos [Retail Price] . Chudidhar 100 Nos [Whole sales] On 20/4/2004 Sold to Naveen Exporters Cotton Sarees 150 Nos.Nos.700 Rs. 20 to 50 Nos. .Cotton sari Less than 50 Nos. 950 3% 4% 6% 2% 5% On 02/4/2004 Cash Purchase: Cottan Sarees Rs. 900 Rs. 900 Rs. 900 3% 5% 2% 5% Chudidhar Retail Price Cotton Saris 4% 6% 2% 5% Chudidhar Whole Sale Cotton Sarees Less than 50 Nos.800 Rs.800 Rs. Chudi 80 Nos [Export price] On 30/4/2004 Sold to Amirtha Textiles Cotton Sari 90Nos. More then 50 Less than 60 Nos.700 Rs. 60 to100 Nos. 20 to50.700 Rs.. 950 Rs. 20 to 50. 300 800 Nos On 16/4/2004 Sold to Ram traders Cotton Sarees 150 Nos. . More then 100 Less than 20 Nos. 1000 Rs .700 Rs. More then 100 Chudidhar Less than 20 Nos. More then 50 Rs. 50 to100 Nos.850 Rs. 50 to100 Nos . 950 Rs.
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