Sant Muktabai Arts & Commerce College Muktainagar Dist.

Jalgaon

Name: ___________________________________________________
Practical: ________________________________________________
Class:____________________________________________________
Roll No.______________ Practical No…………………….

Practical no:1. Practical on Company Creation in Tally.ERP 9

Creating a company in Tally.ERP 9

The first step towards working with tally.ERP 9 is to create a ‘company’ . a ‘company ‘
in Tally.ERP 9 is central repository where you can maintain all the financial records of
your business , & from where you can extract the required financial reports & statements.

The procedure to create a company is explained below. To facilitate easier understanding,

we have illustrated the creation of a company named Vridhi Traders:

Go to gateway of Tally>Company Info.>Company

The fields in the company screen & the information to be filled in each of them are
explained below. To negative between the fields, use the Enter/Tab/Arrow Keys, or
Mouse clicks.

Directory: the path to the location of tally.ERP 9 data is displayed here. By default, the
path provided while installing Tally.ERP 9 will be displayed. However, you can press
backspace & specify the location in which you want the data to be stored.

Name: provide a name for the company that is being created. In this example, we are
creating a company named Vridhi Traders.

Primary Mailing details: the mailing name & address details are picked from here for any
report such as a balance sheet & statement of account.

Mailing Name: the name provided for the company in the name fields is automatically
displayed here.

However, you can change it as per requirements. The name specified here will be used
for mailing purposes. In this example, Vridhi Traders is retained.

Fill in the company’s address.

Country: select the country in which the company is located. This will allow users to
choose the statutory capabilities available for that country. In this example, thr country is
selected is the India.

Fill in the relevant number in the telephone no. & mobile no. fields.

E-Mail: fill in the company’s official e-mail ID here. This will be used while e-mailing
reports & statements from Tally.ERP 9.
Books & Financial Year Detail:
Financial Year From: This refers to the twelve-month accounting period of the company.
For vridhi traders, the financial year begins on 1-7-2016.
Books beginning from: the date provided in the aforesaid field will be automatically
displayed here. In the example, the date is retained. However, if you have started with
maintaining your books of account with Tally.ERP 9 mid-year, the required date can be
set accordingly. Tally will not allow you to record the transactions for dates preceding
the date entered in the books beginning from the field.
Security control:
Tally Vault Password (if any): Once you enter a password here ,you will need it to open
your company each time, The name of a company that is looked us Tally Vault will be
hidden with the asterisk’*’ symbol You need to provide the Tally Vault password to open
access the company.
`Repeat Password: Here, enter the password entered in the Tally Vault field, as a
confirmation.
Use Security Control?: Setting this to option to Yes will allow you to define the access
rights for each user who will access your company. This feature is explained in
forthcoming chapter.
Base currency information:
Base Currency Symbol: The base currency symbol will be filled as per the country
selected.
Formal Name: The currency’s formal name will be filled here. In this example , it is INR
(Indian Rupees).
Suffix Symbol to Amount: For some countries , the currency symbol is specified after
amount. This option can be enabled for such countries, so that the currency symbol may
be printed after the amount. Vridhi Traders is an Indian company and hence this option is
set to No.
Add Space between Amount and Symbol? : Tally.ERP 9 will provide a single space
between the amount and the currency symbol, if this option is set to Yes. For e.g.: KSh
5,000. Notice the space between symbol and the amount.
Show amount in Millions? : If the company financial statements need to have their values
expressed in term of million, set this option to Yes.

Number of Decimal places: BY default, the number of decimal places for the base
currency is set to

However, you can have up to 4decimal places, The Indian currency has 2 decimal places
whereas certain other countries require 3 decimal places and so on.

Word representing amount after decimal: the symbol for amounts expressed in decimals
will be set by default. For India, it is paise.

Decimal Places for printing amounts In word: You can specify the number of decimal
places for printing amount in word. This number should be equal to or lesser than the
number specified in number of decimal places filed. For example, if the currency has up
to 3 decimal places, the value to be printed in word can be restricted to decimal places.
Sant Muktabai Arts & Commerce College Muktainagar Dist.Jalgaon

Name: ___________________________________________________
Practical: ________________________________________________
Class:____________________________________________________
Roll No.______________ Practical No…………………….

Practical no:2. Practical on Group creation alter display in tally on ERP

9
Group Creation

In Tally. ERP 9, there are 28 predefined groups, this mean that it is not necessary to
create the Account Group in Tally .ERP 9. However, considering the different
requirement of an organization and its nature, Tally.ERP 9 has also provided flexibility to
create the account group, if need be.

Group creation is similar to ledger creation in Tally. ERP 9.As with ledger, there are two
ways of creating groups:
I. Single Group Creation: Involves creation of a single group at a time
II. Multiple Group Creation: Involves creation of multiple groups at a time Single
Group Creation
The group to be created, and primary group under which it has to be classified, specified
in the table below:

Group to be created Classification

Debtors – North Sundry debtors
To create the group,
1. Go to the Gateway of Tally> Account info. > Group > create (Single Group)
2. Enter Name as Debtors – North
3. Against the field Under select Sundry Debtors form the List of Groups
Sant Muktabai Arts & Commerce College Muktainagar Dist.Jalgaon

Name: ___________________________________________________
Practical: ________________________________________________
Class:____________________________________________________
Roll No.______________ Practical No…………………….

Practical no:3. Practical on Ledger creation Create alter display

Ledger Creation

In Tally. ERP 9, we can create the ledgers in two ways given below:
Single Ledger Creation: Here we can create one ledger at a time.
Multiple Ledger Creation: Here we can create different ledger at one go and also ledgers
which belong to particular group.
Single Ledger Creation
Creation of Proprietor’s Capital Account ledger form creation screen.
Go to Gateway of Tally > Accounts Info.> Ledger >Create (Single Ledger Creation)
Enter Name as proprietor’s Capital Account
Select Capital Account form the list of group
Press Y or Enter to accept the screen

`
Sant Muktabai Arts & Commerce College Muktainagar Dist.Jalgaon

Name: ___________________________________________________
Practical: ________________________________________________
Class:____________________________________________________
Roll No.______________ Practical No…………………….

Practical no:4. Journalize the transaction for Accounting Voucher.

Accounting vouchers

In accounting terms, voucher is a document containing the details of a financial

transaction. For example, a purchase invoice, a sales receipt, a petty cash docket, a bank
interest statement, and so on. For every such transaction made, a voucher is used to enter
the details into the ledger to update the financial position of the company. This feature of
Tally.ERP 9 will be used most often.

Tally.ERP 9 follows the Golden Rule of Accounting:

Golden Rule Accounting

Type of Accounting Debit Aspect Credit Aspect
Personal The receiver the giver
Real What come in what goes out
Nominal All Expenses and losses All incomes and gains
A voucher entry screen in Tally.ERP 9 comprises of the following section:
Type of Voucher
It is essential to check if you are using the right voucher for the transaction you can
change the voucher type by selecting a new type from the button bar, if required. For
example on the selection of a payment voucher, tally ERP9 automatically displays the list
of voucher types you have created. You can select the voucher type required.
Voucher number
Tally ERP9 automatically sets the voucher number for you. You can the voucher number
manually, if required.
Reference
You can enter a reference of your choice. A purchase order number or an invoice number
can be entered as references.
Date of voucher
The date of the voucher you enter is displayed at the top-right of the voucher creation
screen. The date is taken initially from the gateway of Tally –current date & you may
need to change it frequently to ensure that the voucher are dated as you want.
Effective date
A vouchers type can be configured to allow for an effective date. The line the date of
voucher displays the date when the voucher will be effective. This will be available only
if the effective date option activated in the particular voucher type.

Particulars

This is where you enter the ledger names & the debit & credit amounts. Each the displays
a prompt of Dr or by for debit entries & Cr or To for credit entries. Depending on the
voucher type, Tally.ERP9 selects either ‘Dr’ or ‘Cr’ for the first prompt, which you can
not change. Thereafter, you can change the prompt (if necessary) by typing over it with a
‘D’ or ‘C’. To select a ledger, type the first letter of its name. Tally.ERP 9 then displays a
list of ledger accounts beginning with the letter highlighted. Only ledger suitable for the
voucher type is displayed. The revised current balance is shown after the amount is
entered. On selecting the next ledger, Tally.ERP 9 suggests the balancing amount as the
value to be entered, which may be accepted or typed over. The voucher entry cannot be
completed until the equal the credits.

Narration
Here you type whatever appropriately describes the transaction. Remember, you can have
a separate narration for
Each line of particulars, if you configure the voucher type in that way.
Once the narration is complete, press enter to bring up the accept? The box. Once you
accept the data, Tally.ERP 9 presents another voucher entry screen.
Accounts vouchers
Tallt.ERP 9 is pre-programmed with a variety of accounting vouchers, each
designed to perform a different job. The standard accounting vouchers are:
 Contra voucher (F4)
 Payment voucher (F5)
 Receipt voucher (F6)
 Journal voucher (F7)
 Sales voucher/invoice (F8)
 Credit note voucher (Ctrl+F8)
 Purchase voucher (F9)
 Debit note voucher (Ctrl+F9)
You can alter these vouchers to suit your company, & also create new once. Read
ahead to understand the function of each voucher type. The following exercises are
sample entered for understanding voucher entry in Tally.ERP 9 let us understand
how to record accounting transaction in Tally.ERP 9, with examples of vridhi
traders.
Sant Muktabai Arts & Commerce College Muktainagar Dist.Jalgaon

Name: ___________________________________________________
Practical: ________________________________________________
Class:____________________________________________________
Roll No.______________ Practical No…………………….

Practical no:5. Practical on Purchase register display in Tally ERP 9.

Purchase Register
A purchase displays the information on the periodic purchase of a business concern .
purchase register helps in analyzing the details of movement of purchased good
to various godowns , on the basic of which the stock movement at each godown
is determined . go to gateway of tally > Display > account book > purchase
register
the following screen is displayed . purchase returns made during a year can also be
traced . the parties to whom the purchase returns have been made and causes there of can
be analyzed to draw conclusion on the supplier and the quality of purchases made.
A purchase register can be configured using the Ctrl+F12: Value button to view the
following information.

 Actual Quantity
 Billed Quantity
 Date
 Bill Name
 Cost Centre
 Cost Category
 Voucher Number
 Narration
 Stock item
 Godown Name
Sant Muktabai Arts & Commerce College Muktainagar Dist.Jalgaon

Name: ___________________________________________________
Practical: ________________________________________________
Class:____________________________________________________
Roll No.______________ Practical No…………………….

Practical no: 6. Practical on Sales register display in Tally ERP 9.

Sales registers
Go to gateway of Tally>Display>Accounts books>sales register. The sales register
screen is displayed as shown below:
Sales register display the monthly summary of sales transaction & closing balances. The
list of transactions pertaining to each month can be viewed by selecting that month. You
can change the displayed accounting to the information required.
The period of the report & the content details can be modified, columnar periodic reports
can be generated using Alt+N: Auto Column for different periods as shown by the
columnar details list. You can also compare similar data of two or more companies stored
in the same data directory.
With the sales register you can:

 Analyses the periodic turnover using the period using the option F2:period.
 Compute the periodic taxes on such turnovers.
 Trace the errors made while recording the transaction.
 Analyses the sales returns during the year & take timely action to remove undesirable
causes.
 Analyses the performance of go-down, salesperson, sales area, & so on, with help of
cost centre & cost category report