This article is for beginners of Tally software.

Readers who have mailed me that they want to learn Tally from the starting can find this post helpful. I have earlier posted getting started in Tally. which has rich list of resources from where anybody can start learning Tally. Now is the next step forward the first lesson in Tally. Before that let me give a brief idea of what we do in Tally and how we use this software. This First part of three step process. How we work in Tally. As we all know Tally is an accounting software, basic activity in Tally is to record our transactions. But before recording we have to do some master creations. After that we can enter transactions using those masters. These masters are ledgers , items, units and groups etc. After that we can see the reports on the basis of vouchers entered. So the basic tally activity can be divided into three parts viz. Creation of masters, Voucher entry and Viewing Reports. Creation of Masters The first step even before learning creation of masters is creation of Company. To start working in Tally we have to create a company. You can learn step by step how to create company in Tally.ERP 9 from this blog post. For Tally 7.2 guidelines on how to create company can be found on this article with screen shots. One Short video is also available which tries to teach How to create a company. Now we have to create masters. The ledgers, the groups if needed to define particular type of ledger to group them , the items if we are keeping inventory and the Units etc Here is the list of tutorials to create these masters. How to create a ledger in Tally.7.2 How to create a Ledger ( Tallysolutions tutorial), Duties and Taxes Ledger , Sales/Purchase ledger , Income/Expense Ledger How to create Item How to create a Stock Group ( Where you can classify different Items)
When you want to make voucher entries in tally, you must create you ledger first time new account record in tally because without making ledger you can not pass the voucher entries in tally So you have to learn how to make or create ledger. This is very simple. Two ledger automatically, other ledger you have to create. For this you will learn following list and under head of group. ( I) Automatic created ledger in tally Cash and profit and loss account is two automatic ledger created in tally Do not make them but if there is opening balance in cash account the go to Account info → ledger and the click → alter → then put the opening balance in cash account and accept (II) Ledger Creation by you S.No. Name of Account Under head of Group 1. Capital Account → Capital Account 2. Name of your creditors → Sundry Creditors 3. Name of your Debtors → Sundry Debtors 4. Name of Expenses → Direct Expenses or Indirect Exp. 5. according to the nature of expenses 6. Name of Income → Indirect Income 7. Name of Bank → Bank Account 8. Name of Current Asset → Current Assets i) stock in hand ii) deposits iii) show short term investment 9. Name of Fixed Asset → Fixed Asset 10. Name of Current Liabilities → Current Liabilities 11. Name of Fixed Liabilities → Fixed liabilities

12. Name of Loss → Direct Expenses or Indirect Exp. 13. Bad Debts → Indirect Exp. 14. Provision for Bad Debts → Current Liabilities 15. Outstanding Expenses → Current Liabilities 16. Advance Income → Current Liabilities 17. Outstanding Income → Current Assets 18. Sale Tax / VAT → Duties and Taxes 19. Excise Duty / CENVAT → Duties and Taxes 20. Drawing → Capital 21. Purchase → Purchase account 22. Sale → Sale Account

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Creating a Stock Item
Stock items are goods that you manufacture or trade (sell and purchase). It is the primary inventory entity. Stock Items in the Inventory transactions are similar to ledgers being used in accounting transactions.

Two Modes of Stock Item Creation:
1. 2. Normal Mode Advance Configuration Mode.

Creation of Stock item in Normal Mode:
To create a Stock Item, Go to Gateway of Tally > Inventory Info > Stock Item > Single Create (under Single Stock Item) Stock Item creation is displayed as shown:

A brief description of each field in the Stock Item Creation screen follows: Name Specify the name of the Stock Item. Alias Specify the Alias name of Stock Item (if required). Under This field will show the List of Groups. Here you can select the Stock Group to which the Stock Item belongs. By default, Primary Stock Group appears in this field. Note: You can create a new stock Group by pressing ALT+C at this field. Units This field will show the Unit List. Here you can select the Unit of measurement applicable for the stock item. By default, Not Applicable appears in this field. Note: You can create a new Unit by pressing ALT+C at this field. Rate of duty Specify the Rate of Duty applicable for the stock item. This field is used for the calculation of excise duty or if duty is based on item rate. During Invoicing, whenever you select a Stock Item, the Rate of duty entered here is displayed in the Invoice creation screen.

8000 per piece. Allows you to Create a Stock Item. Buttons specific to Single Stock item creation: Buttons G: Groups I: Items U: Units O: Godown V: Vch Types Short Cut Keys CTRL+G CTRL+I CTRL+U CTRL+O CTRL+V Description and Use Allows you to Create a Stock Group. Tariff Classification can be created or used when Excise features is activated for the company. if any. say Rs. specify the stock item Quantity.Note: In F11 Inventory features. In the Rate Field. Allows you to Create a Unit of Measure. Allows you to Create a Godown. 3. Tally. 2. if Allow Invoicing is set to No then Rate of Duty field will not be visible. if applicable. Shown below are the advance configuration parameters for stock item master under F12:Configure (Master Configuration) : . Show Creating a Stock item in Advance Mode Advance mode means enabling advance configuration and Features for stock item master in F12:Configure and F11:Features. Tally. You can also edit the value. In the Quantity Field. Tariff Classification Specify the Tariff Classification for the item. Opening Balance Specify the details of Opening Stock. Allows you to Create a Voucher Types Note: Category and Godown buttons are visible only if you opted for the same in F11: Features.ERP 9 automatically refreshes the Rate field accordingly.ERP 9 automatically calculates the value by multiplying the Quantity and Rate. 1. In the Value Field. specify the stock item Rate. say 5 Nos. Note: If Unit field is Not Applicable then the cursor will move from Quantity and Rate Field. for the Stock Item as on the date of Beginning of Books.

stock item master fields will get added and removed.Shown below are the advance Features for stock items in F11:Features: Note: You can configure the entire setup according to your requirements. . According to the configuration in F12 and F11. Go to Gateway of Tally > Inventory Info > Stock Items > Create (under Single Stock Item) A brief description of each additional field in Stock Item Creation screen is given below.

This Part number field gets enabled only after enabling Use Part Number for stock items in Inventory Master Configuration. Remarks This Remarks field gets enabled only after enabling Use Remarks for Stock Items in Inventory Master configuration. This field is used to enter Remarks for the Stock Item (for internal use only). You can also optionally print it in reports/invoices. Set/Modify Default Ledgers for Invoicing? This option gets enabled only after enabling Specify Default Ledger Allocation for Invoicing in Inventory Master Configuration. Category . This field is used to enter the description of the Stock Item as it is required to be printed in Quotations. Note: This option is useful only in case of Invoice entry through Voucher Class. Once you enable this option. a screen will be displayed for selecting the default ledger allocation for sales and purchase for the stock item. Description The Description field gets enabled only after enabling Use Description for Stock Items in Inventory Master Configuration. Delivery Challan/Invoice. This field is used to enter the Vendors catalogue number. Any additional details about the Item can be entered here.Part No.

Not Applicable is displayed in this field. Example: Wheat Flour bag of 1 Kgs can be sold in Nos and the weekly /monthly sale or tonnage of wheat flour can be measured in Kgs or vice versa. in this both Nos and Kgs are simple units.This Category field gets enabled only after enabling Maintain Stock Categories in Inventory Master Features. If you want to specify the manufacturing date for the item. This field will show the List of Categories. If you want to maintain the batch information of Stock Items. Track Date of Mfg? This option is enabled only when Maintain in Batches? is set to Yes. Maintain in Batches? This option gets enabled only after enabling Maintain Batch wise Details in Inventory Master Features. to Yes. set Track Date of Mfg. Here. This Alternate Units field gets enabled only after enabling Use Alternate Units for Stock Item in Inventory Master Configuration. Use Expiry Dates . Alternate Units Alternative Units are individual units similar to simple units. This is particularly useful when you need to handle different units at different times. which can be used instead of another simple unit during Invoicing / voucher entry and are also useful in displaying the stock reports alternatively in another simple unit. which can be alternatively used. Note: You can create a new stock category by pressing ALT+C at this field. Here you can select the Stock Category under which the stock Item belongs. set the option Maintain in Batches to Yes. By default.

set Use expiry dates to Yes. This option helps you specify standard purchase rate and standard sales rates for the item. Food items. Refer to Bills of Material for more details. where the standard rate changes. etc. Set Component BOM This option gets enabled only after enabling Allow Component List Details (Bills of Material) in Inventory Master Configuration. Behaviour Group Once you enable Allow Advanced Entries in Masters Behaviour Group option will be enabled.This option gets enabled only after enabling Set Expiry Dates for Batches under Maintain Batch Wise Details option in Inventory Features. The standards are effective from the specified dates and they continue to be used at these rates until the next date. Set Standard Rates This option gets enabled only after enabling Allow Std. This option is useful for stock items like medicines. . Options available under Behaviour Group are: Costing Method This field will display the List of Costing Method for valuating the Stock Item. Rates for Stock Items in Inventory Master Configuration. Note: Standard Rates can also be used for valuation of closing stock. If you want to specify the expiry date of the item.

first lot may be from previous year entry). it is assumed that items purchased last are sold first under the current financial year (i. First-Out): Periodic System Under FIFO Periodic System. while the cost of inventory is based upon the cost of material received last in the period. The weighted average cost for the whole year is computed as below: Monthly system: In monthly average cost. LIFO (Last-in. first lot from the opening stock of current year). Cost of goods sold and Cost of inventory is based upon the Last purchase rate. Last Purchase cost Last purchase cost is Last purchase rate.e. you can select the costing method for valuating the Stock item. FIFO (First-in...Cost: Periodic system: This is also known as Weighted Average Cost.e. it is assumed that items purchased first are sold first across the financial year (i. For example. it is assumed that items purchased first are sold first under the current financial year (i. First-Out) Periodic system Under LIFO. Perpetual System Under FIFO Perpetual system. A Brief description about each Costing Method: At Zero Cost: Cost of an item is considered as zero. Avg.Depending upon the stock item. So cost of goods sold is based upon the cost of material received first in the period. for defective items that have no commercial value.e. first lot from the opening stock of current year) . weighted average cost is determined on a monthly basis instead of annual..

e. Ignore Diff. it is assumed that items purchased last are sold first across the financial year (i. So cost of goods sold is based upon the cost of materials received last in the period.. due to Physical Counting? . Unrealised Profit of an Item = Closing value as per Costing Method � Closing value as per Market valuation method. Cost of goods sold and Cost of inventory is based upon the Standard Rates. Example: For defective items that have no realisable value in the market. Select the appropriate method applicable for the Item from the Valuation Methods List. Last Sale Price Item is valued at Last Sale Price. you can determine the realisable worth of an Item. Average Price Weighted Average is computed as the sum of all invoice value / sum of all invoice quantity for the financial year. Market Valuation Method By using Market Valuation Method. first lot may be from previous year entry). Standard Price User specified rate applicable for the current date specified in Item master under Standard Rate is taken as the realizable rate. At Zero Price Realisable price of an item is considered as zero. Standard Cost Standard Cost is Standard Rates specified in the Inventory master.Perpetual System Under LIFO Perpetual system. while the cost of inventory is based upon the cost of material received first in the period.

Tally. you can record the physical stock as counted. Tally.ERP 9 automatically updates the quantity and value in inward by treating the same entry as a New manufacture or purchase. since it is only display you are not allowed to alter any information in display mode. you need not pass the credit note for reducing the value against rejection inward. set this option to Yes. Tally.ERP 9. Treat all Purchases as Consumed? If you set this to Yes. This is used for defective items returned by the customer. To display a Single Stock Item. Show Displaying a Stock Item You can display the existing Single Stock Item master and Multiple Stock Item masters. then. . expiry batches also get included in the List of Active Batch. during selection of batches in voucher entry. If you set this to Yes. whenever a rejection inward entry has been made [without tracking number]. Tally. using a physical stock voucher. whenever a purchase entry is made. If you wish to ignore the difference and continue with the stock as per books.ERP 9 ignores the item in the stock reports.In Tally.ERP 9 automatically reduces the amount from the closing stock balance. Treat all Sales as New Manufacture? If you set this to Yes. In this case.ERP 9 automatically updates the quantity and value in outward by treating the same entry as consumed. in case it has a negative balance. Ignore Negative Balances? If you set this to Yes. whenever a sales entry is made. then. Allow use of expired Batches? This option will get enabled once you enable the Use expiry dates under Maintain in Batches option. Treat all Rejections inward as Scrap? If you set this to Yes.

Displaying a Multiple Stock Item Go to Gateway of Tally > Inventory Info > Stock Items > Display (under Multiple Stock Item) .Go to Gateway of Tally > Inventory Info > Stock Items > Display (under Single Stock Item) Select the Stock Item you want to display from the List of Items. The Stock Item Display screen is displayed as shown.

The Multi Stock Item display screen is displayed as shown. .Select a Stock Group or All Items from List of Groups to display the Stock Item under the selected group or All Items.

If a transaction is entered for that item. To Alter a Single Stock Item. . here you are allowed to change the various information. Go to Gateway of Tally > Inventory Info > Stock Items > Alter (under Single Stock Item) Select the Stock Item you want to alter from the List of Items. In the Alteration mode. it is not possible to alter the units and delete the stock item. you can change the item master settings. The Stock Item Alteration screen is displayed as shown.Show Altering a Stock Item This option allows you to view the existing single Stock Item master and Multiple Stock Item masters in edit mode.

Altering a Multiple Stock Item Go to Gateway of Tally > Inventory Info > Stock Items > Alter (under Multiple Stock Item) Select a Stock Group or All Items from List of Groups to alter the Stock Item under the selected group or All Items. . The Multi Stock Item Alteration screen is displayed as shown.

Note: In the Multi Stock Item Alteration screen. you can create an Item by specifying item name after the last item. . but you cannot delete an item.

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if no class is desired for this entry. The entry will be made as follows: Cost Centre Class The purpose of Cost Centre Classes is to facilitate predetermined allocation of cost centres to Ledger accounts (like expenses and incomes) during voucher entry. Press F5: Payment. How does it work? . If Cost Centre Class has been set. it can also be selected. You have to select a class or Not Applicable.Creating a Payment Voucher Entry with Class Select Accounting voucher from Gateway of Tally.

Now. Finance Marketing Where Divisions and Departments are Cost Categories and the others are cost centres. Wholesale and Retail) to the Marketing Department. 3. it is advisable to create the cost centre structure.to allocate 100% of wholesale sales to the cost centre Wholesale Retail Class . Finance � 50% Marketing � 50% With this structure. For example. 2. the allocation will be carried out in the background without the allocation screen being displayed at all. depending upon the cost centre class. Define the Classes required and indicate which cost centres will be affected for each class. 2. you would also like to allocate Marketing Expenses on a pro-rata in the following manner: 1. Export Class . 2. 2. Along with the above mentioned. you would like to allocate sales to the following Cost Centre Classes: 1. you might have the following structure: Divisions 1. In voucher entry. Cost centre classes affect all voucher types. 3.The Automation of cost centre allocation involves creation of classes and predefining percentages for cost centres. . More: • • • Set up required for Cost Centre Classes Voucher Entry with Cost Classes An explanation of Types of Calculation Set up Required for Cost Centre Class Before you select classes.to allocate 100% of Export sales to the cost centre Export Wholesale Class . Export Wholesale Retail Departments 1.to allocate 100% of retail sales to the cost centre Retail You would also like to allocate all the sales (Export. let us now set up the classes.

Retail and Marketing Expenses. Divisions and Departments are cost categories. After entry. Specify the percentage of allocation. which will pop up Auto Cost Allocations-Cost Centre Classes creation screen. Marketing and Finance are cost centres under Departments. Wholesale and Retail are cost centres under Divisions. Type the Class name and select the Categories and the respective cost centres. .Set up Cost Centre Classes Go to Gateway of Tally > select F11: F1: Accounting Features Set Use Pre-defined Cost Centre Allocations during Entry to Yes (The other options can remain as previously set and are not discussed here.) Click on Enter. Wholesale. Export. your auto-cost allocation screen will be displayed as shown: You have created the Cost Centre Classes as Export.

Show Inventory Information Inventory Information The Inventory Info menu. alter and display the inventory master details.It is not necessary to have the same names for the classes and the cost centres. using which you can create. Go to Gateway of Tally > Inventory Info Note: The Inventory Info menu is displayed in the Gateway of Tally. as shown in the above example. lists the inventory masters like Stock Group. Menu Stock Groups Stock Categories . if you select Type of company as Maintain Accounts with Inventory in the Company Creation screen. Units of Measure of the company. Stock Items. More : Inventory Configurations & Features (F11 & F12) Functions in Inventory Info.

you can enable the required settings of Inventory Masters. If you set them to Yes. By default.Stock Items Units of Measurement Bills of Materials Locations & Godowns Batches & Expiry Dates Inventory Voucher Types Inventory Voucher Class Show Inventory Configurations & Features (F11 & F12) Configuration of Inventory By using F12:Configure. Refer Accts/Inv Info. Configuration for more details. Features of Inventory By using F11:Features. they are additional fields that appear during Masters creation which enable you to obtain more information and detailed analyses. you can enable the various settings under inventory features which determine the information to be entered during transaction entries. Note: If you press F12 anywhere in the Menu. the features will be enabled. the settings pertaining to Inventory Masters are set to No. . it will take you to the configuration menu. Typically. Refer Inventory Features for more details.

17� CRT Brand B . etc.19� TFT Brand B . > Stock Groups . Grouping enables you to locate Stock Items easily and report their details in statements.Show Stock Group Stock Groups in Inventory are similar to Groups in Accounting Masters. quality. product type. duly classified. You can group Stock Items under different Stock Groups to reflect their classification based on some common features such as brand name. Example: Stock Item Brand A . You can also view the sub group classification. They are helpful in the classification of Stock Items. Go to Gateway of Tally > Inventory Info.17� CRT Sub Group Brand A Brand A Brand B Brand B Main Group Grade One Grade One Grade Two Grade Two You now have ready details of Grade One and Grade Two products.19� TFT Brand A .

Go to Gateway of Tally > Inventory Info.More: Creating a Stock Group Creating Multiple Stock Groups Displaying a Stock Group Altering a Stock Group Show Creating a Stock Group Stock Items are classified into stock groups to reflect their classification based on some community. To create a Stock Group. > Stock Groups > Create (under Single Stock Group) .

For example. Allows you to Create a Godown Allows you to Create a Voucher Types . Can quantities of items be ADDED? This field pertains to information on measuring the units of the Stock Items that you would categorise under the Stock Group. Press Alt+C to create a parent group. The Stock Items categorised under the group should have similar units for them to be added up.A brief description on each of the fields in the Stock Group Creation screen follows: Name Enter the name of the Stock Group to be created. Allows you to Create a Stock Item. You cannot add quantities in Kgs to quantities in Pcs. Alias Enter additional name apart from primary name [if required]. You can create any number of additional names. Buttons specific to stock group creation: Buttons C: Category I: Items U: Units O: Godown V: Vch Types Short Cut Keys CTRL+C CTRL+I CTRL+U CTRL+O CTRL+V Description & Use Allows you to Create a Stock Category. Under Specify whether it is a primary group or a sub-group of another group. Allows you to Create a Unit of Measure. Note: You can always go back and reset this option after assessing the units of the items in the group. Grade One. if you do not have it in the list. by selecting from the list.

Go to Gateway of Tally > Inventory Info. then this column is filled in automatically with the selected Group name and the cursor skips this column. .Note: Category and Godown buttons are visible only if you have opted for the same in F11: Features. Under If you select any group other than All Items in the Under Group field. Show Creating Multiple Stock Groups Tally.ERP 9 allows you to create Stock Groups using single or multiple options. > Stock Groups > Create (under Multiple Stock Groups) Select the parent group under which you want the new groups to be created from the �List of Groups�. This speeds up data entry. To create Multiple Stock Groups. A brief description on each field in the Multi Stock Group Creation screen is given below: Name of Stock Group Enter the name of the Stock Group.

If Items are addable is to remain the same as specified for further subgroup creation. Displaying Single Stock Group Go to Gateway of Tally > Inventory Info. CTRL+C Allows you to Create a Multi Stock Category. CTRL+I Allows you to Create a Multi Stock Item. CTRL+O Allows you to Create a Multi Godown C: Category I: Items O: Godown Show Displaying a Stock Group You can display the existing Stock Group in Single mode and multiple mode. The cursor skips the column which speeds up data entry. > Stock Groups > Display (under Single Stock Group) Select the Stock Group whose particulars you want to display from the List of Groups. the cursor does not skip this field and allows you to enter the parent group for each one of them. since it is only display Tally. F8 Cursor will not go to Column Items are Addable (Y/N). . use this button. The Stock Group Display screen is displayed as shown.If you select All Items in the Under Group field.ERP 9 does not allow you to alter any information in display mode. Items are Addable? (Y/N) You can select whether units of the Stock Items under Stock Group are to be added or not. Buttons specific to Multi Stock Group Creation screen Buttons F4: Parent F8: Skip Details Short cut Description & Use keys CTRL+F4 Allows you to change the parent for all sub groups.

> Stock Groups > Display (under Multiple Stock Groups) Select the Stock Group from the List of Groups. Allows you to Display a Unit of Measure. Displaying Multiple Stock Groups Go to Gateway of Tally > Inventory Info. If you select All Items from the List of Groups. all the Groups and sub Groups are displayed. . Allows you to Display a Stock Item. Allows you to Display a Godown. Allows you to Display a Voucher Types Note: Category and Godown buttons are visible only if you opted for the same in F11: Features.Buttons specific to stock group Display mode: Buttons C: Category I: Items U: Units O: Godown V: Vch Types Short cut Keys CTRL+C CTRL+I CTRL+U CTRL+O CTRL+V Description & Use Allows you to Display a Stock Category.

Show Altering a Stock Group This option allows you to view the existing Stock Group in edit mode. > Stock Groups > Alter (under Single Stock Group) . Buttons specific to Multi stock group Display mode: Description & Use Buttons Shortcut Keys F4: Parent CTRL+F4 Allows you to select parent [Stock Group] from List of Group. Selected Stock Group will get displayed. Select Godowns will get displayed. here you are allowed to change the various information. all the sub Groups related to Grade One will be displayed. O: Godown CTRL+O Allows you to select Godowns from List of Godowns. To alter a Stock Group. I: Items CTRL+I Allows you to select Stock Group from List of Groups. Selected Stock Group will display related stock items. Go to Gateway of Tally > Inventory Info.If you select Grade One from List of Groups. Note: Category and Godown buttons are visible only if you have opted for the same in F11: Features. C:Category CTRL+C Allows you to select Category from List of Categories. Selected Stock Category will get displayed.

Allows you to Alter a Stock Item.. The Stock Group Alteration screen is displayed as shown. Buttons specific to stock group Alter mode: Buttons C: Category I: Items U: Units O: Godown V: Vch Types Short cut Keys CTRL+C CTRL+I CTRL+U CTRL+O CTRL+V Description and Keys Allows you to Alter a Stock Category. For deleting the Stock Group. In order to delete the Stock Group. Allows you to Alter a Unit of Measure. Allows you to Alter a Godown. Note: You cannot delete a stock group. Altering Multiple Stock Groups Go to Gateway of Tally > Inventory Info. if it is used by any sub groups or stock items. Make the necessary changes and click Yes to accept or press Ctrl+A to Save. The Multi Stock Group Alteration screen is displayed as shown. Deletion is possible only in the mode. > Stock Groups > Alter (under Multiple Stock Groups) Select the Stock Group from the List of Groups. . first delete the relevant sub groups and Stock items. Allows you to Alter a Voucher Types Note: Category and Godown buttons are visible only if you have opted for the same in F11: Features.Select the Stock Group from the List of Groups. Press ALT+D.

If you do not want to alter Items are addable then you can skip details. Buttons specific to Multi stock group Alter mode: Buttons F4: Parent F4: Parent F6: Skip Names Short cut Description and Use Keys F4 Allows you to select Stock Group from Under Group Field for changing the parent of sub groups. Note: You cannot delete a Stock Group from multiple mode. CTRL+F4 Allows you to select parent [Stock Group] from List of Group.Make the necessary changes and click Yes to accept or Press CTRL+A to save. F7 Cursor will not go to column Under. F7: Skip Parent F8: Skip Details C: Category I: Items O: Godown Note: Category and Godown buttons are visible only if you have opted for the same in F11: Features. CTRL+I Allows you to Alter a selected Item in Multi Stock Item screen. You can alter the sub groups of selected Stock Group. CTRL+O Allows you to Alter a selected Godown in Multi Godown screen. CTRL+C Allows you to Alter a selected stock Category in Multi-stock category screen. If you want to alter only the details of �Under� Column and �Items are addable� then you can skip names. F8 Cursor will not go to column Items are addable. Show Stock Categories . If you do not want to alter parent then you can skip parent. F6 Cursor will not go to Column Name of Stock Group.

Stock Item Brand A . For enabling Stock Category option in the Inventory Info menu. You can also view the Monitor classification. For example. > Stock Category More: Creating a Stock Category Creating Multiple Stock Categories Displaying a Stock Category Altering a Stock Category . Go to Gateway of Tally > Inventory Info. press F11 > Inventory Features > Set Yes for Maintain Stock Categories. classification is done based on similarity in behaviour.19� TFT Brand A .17� CRT Sub Group Brand A Brand A Brand B Brand B Main Group Grade One Grade One Grade Two Grade Two Sub-Category TFT CRT TFT CRT Main Category Monitor Monitor Monitor Monitor The advantage of Categorizing items is that you can classify the stock items (based on functionality) together � across different stock groups which enables you to obtain reports on alternatives or substitutes for a stock item. You now have the details of TFT and CRT products.Stock Category offers a parallel classification of stock items.19� TFT Brand B . Like stock Groups. duly classified.17� CRT Brand B .

Allows you to Create a Unit of Measure. Allows you to Create a Godown Allows you to Create a Voucher Types O: Godown CTRL+O V: Vch Types CTRL+V .Show Creating a Stock Category This option allows parallel classification of stock items. Stock Categories are also classified based on some similar behaviour. Buttons specific to stock category creation: Buttons G: Groups I: Items U: Units Short Cut Keys CTRL+G CTRL+I CTRL+U Description and Use Allows you to Create a Stock Group. Allows you to Create a Stock Item. if you do not have a parent group. To create a Stock Categories. A brief description of each field in the Stock Category Creation screen is given below: Name Enter the name of the Stock Category. Select Primary from the list. Like Stock Groups. > Stock Categories > Create (under Single Stock Category) The Stock Category Creation screen is displayed as shown. Under Specify whether it is a primary category or a sub-category of another category. Go to Gateway of Tally > Inventory Info. This enables you to obtain reports for alternatives or substitutes of a stock item. Use ALT + C to create a parent if you do not have the required category in the list.

Show Displaying a Stock Category You can display the existing Stock Category in Single mode and multiple mode. The Stock Category Display screen shows the details entered in Stock Category Master. Displaying a Single Stock Category Go to Gateway of Tally > Inventory Info. CTRL+V Allows you to Display a Voucher Types . CTRL+I Allows you to Display a Stock Item. > Stock Categories > Display (under Single Stock Category) Select the Category for which you want to view the display details from the List of Categories.ERP 9 does not allow you to alter any information in display mode. CTRL+U Allows you to Display a Unit of Measure. CTRL+O Allows you to Display a Godown. Buttons specific to stock Category Display mode: Buttons G: Group I: Item U: Units O: Godown V: Vch Types Short Cut Keys Description and Use CTRL+G Allows you to Display a Stock Group. since it is only display Tally.Note: Godown buttons are visible only if you have opted for the same in F11: Features.

Allows you to Display a Stock Item. > Stock Categories > Display (under Multiple Stock Categories) Select the Stock Category from the List of Categories. If you select Monitor from the List of Categories. all the sub categories related to Monitor will be displayed. Displaying Multiple Stock Categories Go to Gateway of Tally > Inventory Info. . If you select All Items from the List of Groups. Allows you to Display a Godown. Note: Buttons are visible only if you have opted for the same in F11: Features. Buttons specific to stock group Display mode: Buttons F4: Parent G: Groups I: Items O: Godown Short Cut Keys CTRL+F4 CTRL+G CTRL+I CTRL+O Description and Use Allows you to Display a Stock Group.Note: Godown buttons are visible only if you have opted for the same in F11: Features. all the categories and sub categories are displayed. Allows you to Display a Unit of Measure.

> Stock Items More: Creating a Stock Item Creating a Stock item in Advance Mode Displaying a Stock Item Altering a Stock Item .ERP 9 for each inventory item that you want to account for. You have to create a Stock Item in Tally. It is the primary inventory entity and is the lowest level of information on your inventory.Show Stock Items Stock Item refers to goods that you manufacture or trade. Go to Gateway of Tally > Inventory Info.

Show Creating a Stock Item Stock items are goods that you manufacture or trade (sell and purchase). Stock Items in the Inventory transactions are similar to ledgers being used in accounting transactions. Go to Gateway of Tally > Inventory Info > Stock Item > Single Create (under Single Stock Item) Stock Item creation is displayed as shown: A brief description of each field in the Stock Item Creation screen follows: . Normal Mode Advance Configuration Mode. 2. It is the primary inventory entity. Two Modes of Stock Item Creation: 1. Creation of Stock item in Normal Mode: To create a Stock Item.

if applicable. if any. In the Value Field. whenever you select a Stock Item. Not Applicable appears in this field. Primary Stock Group appears in this field. Allows you to Create a Stock Item. Units This field will show the Unit List. 1. This field is used for the calculation of excise duty or if duty is based on item rate.Name Specify the name of the Stock Item. You can also edit the value. 2. Buttons specific to Single Stock item creation: Buttons G: Groups I: Items Short Cut Keys CTRL+G CTRL+I Description and Use Allows you to Create a Stock Group. 8000 per piece. Tally. Tariff Classification can be created or used when Excise features is activated for the company. Opening Balance Specify the details of Opening Stock. By default. if Allow Invoicing is set to No then Rate of Duty field will not be visible. specify the stock item Rate. for the Stock Item as on the date of Beginning of Books. Here you can select the Stock Group to which the Stock Item belongs. Note: You can create a new Unit by pressing ALT+C at this field. Note: If Unit field is Not Applicable then the cursor will move from Quantity and Rate Field. During Invoicing. Under This field will show the List of Groups. . Alias Specify the Alias name of Stock Item (if required). say Rs. specify the stock item Quantity. Tally. In the Quantity Field. Tariff Classification Specify the Tariff Classification for the item. Note: In F11 Inventory features. 3. Here you can select the Unit of measurement applicable for the stock item. say 5 Nos.ERP 9 automatically calculates the value by multiplying the Quantity and Rate. Rate of duty Specify the Rate of Duty applicable for the stock item. the Rate of duty entered here is displayed in the Invoice creation screen.ERP 9 automatically refreshes the Rate field accordingly. In the Rate Field. Note: You can create a new stock Group by pressing ALT+C at this field. By default.

Allows you to Create a Voucher Types Note: Category and Godown buttons are visible only if you opted for the same in F11: Features. Show Creating a Stock item in Advance Mode Advance mode means enabling advance configuration and Features for stock item master in F12:Configure and F11:Features. stock item master fields will get added and removed. Shown below are the advance configuration parameters for stock item master under F12:Configure (Master Configuration) : Shown below are the advance Features for stock items in F11:Features: Note: You can configure the entire setup according to your requirements. According to the configuration in F12 and F11.U: Units O: Godown V: Vch Types CTRL+U CTRL+O CTRL+V Allows you to Create a Unit of Measure. Allows you to Create a Godown. .

You can also optionally print it in reports/invoices. Remarks This Remarks field gets enabled only after enabling Use Remarks for Stock Items in Inventory Master configuration. Any additional details about the Item can be entered here. This field is used to enter the description of the Stock Item as it is required to be printed in Quotations. Delivery Challan/Invoice. a screen will be displayed for selecting the default ledger allocation for sales and purchase for the stock item. Part No. This Part number field gets enabled only after enabling Use Part Number for stock items in Inventory Master Configuration. Once you enable this option. . This field is used to enter the Vendors catalogue number.Go to Gateway of Tally > Inventory Info > Stock Items > Create (under Single Stock Item) A brief description of each additional field in Stock Item Creation screen is given below. Description The Description field gets enabled only after enabling Use Description for Stock Items in Inventory Master Configuration. Set/Modify Default Ledgers for Invoicing? This option gets enabled only after enabling Specify Default Ledger Allocation for Invoicing in Inventory Master Configuration. This field is used to enter Remarks for the Stock Item (for internal use only).

Note: This option is useful only in case of Invoice entry through Voucher Class.

Category
This Category field gets enabled only after enabling Maintain Stock Categories in Inventory Master Features. This field will show the List of Categories. Here you can select the Stock Category under which the stock Item belongs. By default, Not Applicable is displayed in this field. Note: You can create a new stock category by pressing ALT+C at this field.

Alternate Units
Alternative Units are individual units similar to simple units, which can be used instead of another simple unit during Invoicing / voucher entry and are also useful in displaying the stock reports alternatively in another simple unit. This is particularly useful when you need to handle different units at different times. This Alternate Units field gets enabled only after enabling Use Alternate Units for Stock Item in Inventory Master Configuration.

Example:
Wheat Flour bag of 1 Kgs can be sold in Nos and the weekly /monthly sale or tonnage of wheat flour can be measured in Kgs or vice versa. Here, in this both Nos and Kgs are simple units, which can be alternatively used.

Maintain in Batches?
This option gets enabled only after enabling Maintain Batch wise Details in Inventory Master Features. If you want to maintain the batch information of Stock Items, set the option Maintain in Batches to Yes.

Track Date of Mfg?
This option is enabled only when Maintain in Batches? is set to Yes. If you want to specify the manufacturing date for the item, set Track Date of Mfg. to Yes.

Use Expiry Dates
This option gets enabled only after enabling Set Expiry Dates for Batches under Maintain Batch Wise Details option in Inventory Features. If you want to specify the expiry date of the item, set Use expiry dates to Yes. This option is useful for stock items like medicines, Food items, etc.

Set Component BOM
This option gets enabled only after enabling Allow Component List Details (Bills of Material) in Inventory Master Configuration. Refer to Bills of Material for more details.

Set Standard Rates
This option gets enabled only after enabling Allow Std. Rates for Stock Items in Inventory Master Configuration. This option helps you specify standard purchase rate and standard sales rates for the item. The standards are effective from the specified dates and they continue to be used at these rates until the next date, where the standard rate changes. Note: Standard Rates can also be used for valuation of closing stock.

Behaviour Group
Once you enable Allow Advanced Entries in Masters Behaviour Group option will be enabled. Options available under Behaviour Group are:

Costing Method
This field will display the List of Costing Method for valuating the Stock Item.

Depending upon the stock item, you can select the costing method for valuating the Stock item. A Brief description about each Costing Method:

At Zero Cost:
Cost of an item is considered as zero. For example, for defective items that have no commercial value.

Avg.Cost:

Periodic system:
This is also known as Weighted Average Cost. The weighted average cost for the whole year is computed as below:

first lot may be from previous year entry). weighted average cost is determined on a monthly basis instead of annual. Cost of goods sold and Cost of inventory is based upon the Standard Rates.e. . first lot may be from previous year entry).. it is assumed that items purchased last are sold first across the financial year (i.. it is assumed that items purchased last are sold first under the current financial year (i. So cost of goods sold is based upon the cost of materials received last in the period.Monthly system: In monthly average cost. while the cost of inventory is based upon the cost of material received last in the period. it is assumed that items purchased first are sold first across the financial year (i. FIFO (First-in. it is assumed that items purchased first are sold first under the current financial year (i. Last Purchase cost Last purchase cost is Last purchase rate. First-Out) Periodic system Under LIFO.. first lot from the opening stock of current year) Perpetual System Under LIFO Perpetual system. First-Out): Periodic System Under FIFO Periodic System. LIFO (Last-in. So cost of goods sold is based upon the cost of material received first in the period. while the cost of inventory is based upon the cost of material received first in the period. Standard Cost Standard Cost is Standard Rates specified in the Inventory master.e. Cost of goods sold and Cost of inventory is based upon the Last purchase rate. first lot from the opening stock of current year).e. Perpetual System Under FIFO Perpetual system..e.

due to Physical Counting? In Tally. Average Price Weighted Average is computed as the sum of all invoice value / sum of all invoice quantity for the financial year. If you wish to ignore the difference and continue with the stock as per books.ERP 9 automatically updates the quantity and value in inward by treating the same entry as a New manufacture or purchase. you can record the physical stock as counted. At Zero Price Realisable price of an item is considered as zero. set this option to Yes. Standard Price User specified rate applicable for the current date specified in Item master under Standard Rate is taken as the realizable rate. whenever a sales entry is made. Last Sale Price Item is valued at Last Sale Price.ERP 9 ignores the item in the stock reports.ERP 9. using a physical stock voucher. in case it has a negative balance. Ignore Diff. Unrealised Profit of an Item = Closing value as per Costing Method � Closing value as per Market valuation method. Select the appropriate method applicable for the Item from the Valuation Methods List. you can determine the realisable worth of an Item. . Ignore Negative Balances? If you set this to Yes.Market Valuation Method By using Market Valuation Method. Example: For defective items that have no realisable value in the market. Tally. Treat all Sales as New Manufacture? If you set this to Yes. Tally.

Tally. This is used for defective items returned by the customer. Treat all Rejections inward as Scrap? If you set this to Yes. whenever a rejection inward entry has been made [without tracking number]. Tally.ERP 9 automatically reduces the amount from the closing stock balance. Allow use of expired Batches? This option will get enabled once you enable the Use expiry dates under Maintain in Batches option. If you set this to Yes.Treat all Purchases as Consumed? If you set this to Yes. whenever a purchase entry is made.ERP 9 automatically updates the quantity and value in outward by treating the same entry as consumed. then. Show Displaying a Stock Item You can display the existing Single Stock Item master and Multiple Stock Item masters. To display a Single Stock Item. you need not pass the credit note for reducing the value against rejection inward. expiry batches also get included in the List of Active Batch. In this case. then. Go to Gateway of Tally > Inventory Info > Stock Items > Display (under Single Stock Item) . during selection of batches in voucher entry. since it is only display you are not allowed to alter any information in display mode.

Select the Stock Item you want to display from the List of Items. The Stock Item Display screen is displayed as shown. Displaying a Multiple Stock Item Go to Gateway of Tally > Inventory Info > Stock Items > Display (under Multiple Stock Item) .

.Select a Stock Group or All Items from List of Groups to display the Stock Item under the selected group or All Items. The Multi Stock Item display screen is displayed as shown. Show Altering a Stock Item This option allows you to view the existing single Stock Item master and Multiple Stock Item masters in edit mode. here you are allowed to change the various information.

To Alter a Single Stock Item. The Stock Item Alteration screen is displayed as shown. If a transaction is entered for that item. it is not possible to alter the units and delete the stock item. you can change the item master settings. . Go to Gateway of Tally > Inventory Info > Stock Items > Alter (under Single Stock Item) Select the Stock Item you want to alter from the List of Items.In the Alteration mode.

Show . The Multi Stock Item Alteration screen is displayed as shown. you can create an Item by specifying item name after the last item. but you cannot delete an item. Note: In the Multi Stock Item Alteration screen.Altering a Multiple Stock Item Go to Gateway of Tally > Inventory Info > Stock Items > Alter (under Multiple Stock Item) Select a Stock Group or All Items from List of Groups to alter the Stock Item under the selected group or All Items.

For a Stock Item. To setup Bill of Materials Go to Gateway of Tally > F12: Configure > select Accts/Inventory Info. you can create .Creating Bill of Materials for a Stock Item Bill of Material feature is useful for manufacturing organisations and can be set up through F12: Configure. > set Allow Component List Details (Bill of Materials) to Yes OR Go to Gateway of Tally > Inventory Info > Stock Items > Create > Press F12:Configure (Stock Item Configuration) and set Allow Component List Details (Bill of Materials) to Yes.

Let us create a new Stock Item Television and specify BoM.Standard and press enter to view Stock Item Components (BOM) screen . select the appropriate Stock Group and specify the appropriate Unit of Measurement in Unit field Set Component List: To create the component list required to manufacture the Finished goods enable this option to Yes Note: The Set Components List option will not displayed in Stock Item master on enabling the configuration option Allow Component list details (Bill of Material). • • • Press Enter to view Stock Item Multi Components (M BOM) screen In Stock Item Multi Components (M BOM) screen Under Name of BOM specify component list Name . > Stock Items > Create In Stock Item Creation screen • • Enter the Stock Item Name. Go to Gateway of Tally > Inventory Info.• • • A Single BOM Multiple BOM Single/Multiple BOM with Type of Item Creating Single Bill of Material for a Stock Item Single BOM can be created for a stock item where you use standard set of inputs to manufacture finished goods.option will display in item master only on entering/ specifying the unit of measure in the Units field.

Or Create a Manufacturing Journal under Stock Journal by setting the option Use as a Manufacturing Journal to Yes Note: Bill of Material should be created before accounting the manufacture of an item. Components of: In this field application displays the Name of the Stock Item for which the components are defined. • • To record manufacture of finished goods in Stock Journal . Creating Manufacturing Journal for a Stock Item with Single Bill of Materials All the manufacturing transactions can be accounted through a Stock Journal. • Specify other required details in the stock item master and accept the screen.• • • • • • In Stock Item Components (BOM) screen BOM Name: By default the BOM Name specified in Stock Item Multi Components (M BOM) screen will be defaulted and application will not allow to move the cursor to BOM Name field. specify the storage location of the items from where the items will be used for manufacture. Note: The godown option will be displayed only when Maintain Multiple Godown feature is enabled in F11: Features (Inventory Features) • Quantity: In this field mention the quantity of Raw Material required to manufacture the finished goods. The Quantity of inputs consumed to manufacturer finished goods is 1 each of 5 different inputs.Alter the Voucher Type by setting the option Use as a Manufacturing Journal to Yes . Item: In this field identify the raw materials which are required to manufacture the finished goods Godown: If there are multiple Godowns or Locations. Observe to create 1 Television we require 5 different inputs. Unit of manufacture: Specify the appropriate number of finished product that will be manufactured by using the components identified in the component list. .

Note: Godown option will be displayed only when Maintain Multiple Godown feature is enabled in F11: Features (Inventory Features) • • Quantity: In this field specify the quantity of finished goods manufactured.Go to Gateway of Tally > Inventory Vouchers 1. • Godown: Select the godown where you would like to place the produced goods. Note: The list of Raw materials required for the manufacture of finished goods will be displayed in Components (Consumption) side based on the BOM defaulted. BoM Name: In this field the BoM created for the stock item will be displayed automatically with one more option Not Applicable. Select Manufacturing Journal to view the Manufacturing Journal voucher creation screen • • Name of Product: Select the product which needs to be manufactured from the List of Items. a pop-up menu will be displayed with the options default Stock Journal and Manufacturing Journal. Select the button F7: Stk. The completed Manufacturing Journal is displayed as shown . Jrnl or press Alt + F7. Components (Consumption): In this section the components required to manufacture the finished goods will be displayed automatically based on the components defined in the BoM. Quantity of Raw material will be defaulted based on the quantity requirement defined in the BOM multiplied by the Quantity of finished goods manufactured. If you have created a new voucher type Manufacturing Journal.

The facility to create Multiple Bill of Materials for Stock Item has been provided in Tally.Customer A and press enter to view Stock Item Components (BOM) screen • • . select the appropriate stock group and specify the appropriate unit of measurement in Unit field Set Component List: To create the component list required to manufacture the Finished goods enable this option to Yes and press Enter to view Stock Item Multi Components (M BOM) screen In Stock Item Multi Components (M BOM) screen Under Name of BOM specify component list Name . This feature will be useful where you are using different components to manufacture the same stock item based on the customer requirement Example: Customer A wants Television to be manufactured with specific brand of Picture Tube. To create multiple Bill of Material Go to Gateway of Tally > Inventory Info. one for Customer A as per his component specification & other may be a standard BOM for all other customers. Where as other customers has not specified any such specifications. > Stock Items > Create In Stock Item Creation screen • • Enter the Stock Item Name.Creating Multiple Bill Of Material for a Stock Item Multiple BOM can be created for a stock items where you use varying set of components to manufacture a specific finished goods based on the availability of goods or customer requirements. In this scenario ABC company needs 2 BOM. Where you can create multiple BOM with different component list for a stock item & appropriate BOM can be selected in the manufacturing Voucher.ERP 9 Release 3.0.

• • • • Press Enter to save the Stock Item components for BOM . Unit of Manufacture: Specify the appropriate number of finished product that will be manufactured by using the components identified in the component list. Item.If BOM is specifically created for a specific customer/sale you can enter the customer or sale name in Name of BOM field to identify the BOM while recording manufacturing transaction.Customer A and to view Stock Item Multi Component screen In Stock Item Multi Component screen enter the second Bill of Material name. Components of: In this field application displays the Name of the Stock Item for which the components are defined. Godown and Quantity details as shown . Item: In this field identify the raw materials which are required to manufacture the finished goods Godown: If there are multiple Godowns or Locations. specify the storage location of the items from where the items will be used for manufacture.Standard in Name of BOM field In Stock Item Components (BOM) screen specify the Unit of Manufacture. Quantity: In this field mention the quantity of Raw Material required to manufacture the finished goods. • • • • • • In Stock Item Components (BOM) screen BOM Name: By default the BOM Name specified in Stock Item Multi Components (M BOM) screen will be defaulted and application will not allow to move the cursor to BOM Name field.

BoM Name: In this field Tally. Similarly you can create multiple BOM with different component list for the stock items.ERP 9 displays the BOM List for selection of BOM. Creating Manufacturing Journal for a Stock Item with Multiple Bill of Materials In Manufacturing Journal voucher • • Name of Product: Select the product which needs to be manufactured from the List of Items. .Note: In the above scenario for Stock item . • Specify other required details in the stock item master and accept the screen. as multiple BOM are created for the finished goods.Television we have created 2 BOM.

By-Product/Co-Product/ Scrap.0. Let us take the case of manufacture of Sugar and create the BOM for the stock Item To create Bill of Material with Type of Item .Note: The list of Raw materials required for the manufacture of finished goods will be displayed in Components (Consumption) side based on the BOM defaulted. you may want to identify the inputs which are consumed to manufacture Finished goods & the By-products /Co-Products/ scrap manufactured. you can create the BOM by selecting & identifying the components as consumption. Now in Tally. In this scenario while defining the BOM for the Finished goods. Components (Consumption): In this section the components required to manufacture the finished goods will be displayed automatically based on the components defined in the BoM.ERP 9 Release 3. Note: Godown option will be displayed only when Maintain Multiple Godown feature is enabled in F11: Features (Inventory Features) • • Quantity: In this field specify the quantity of finished goods manufactured. Creating Single/Multiple Bill Of Material with Type of Item In some of the manufacturing processes along with the finished goods. Quantity of Raw material will be defaulted based on the quantity requirement defined in the BOM multiplied by the Quantity of finished goods manufactured. Co-Products or By-Products or Scrap may be produced. • Godown: Select the godown where you would like to place the produced goods.

> Stock Items > Create In Stock Item Creation screen 1. Set up: • In F12: Configuration. enable the option Define Type of Component for BOM to Yes On enabling the configuration option Define Type of Component for BOM in Stock Item Components (BOM) screen a new column Type of Item will be displayed. • • BOM Name: By default the BOM Name specified in Stock Item Multi Components (M BOM) screen will be defaulted and application will not allow to move the cursor to BOM Name field.Standard 4. Components of: In this field application displays the Name of the Stock Item for which the components are defined. In Stock Item Multi Components (M BOM) screen • Under Name of BOM specify component list Name as . Enter the Stock Item Name. In Stock Item Components (BOM) screen. Item: In this field identify the raw materials which are required to manufacture the finished goods • • . Unit of Manufacture: Specify the appropriate number of finished product that will be manufactured by using the components identified in the component list. select the appropriate Stock Group and specify the appropriate Unit of Measurement in Unit field 2. Set Component List: To create the component list required to manufacture the Finished goods enable this option to Yes and press Enter to view Stock Item Multi Components (M BOM) screen 3.Go to Gateway of Tally > Inventory Info.

specify the storage location of the items from where the items will be used for manufacture. • Rate (%): In this field you can specify the percentage of cost of components to be considered to determine the cost of production of Co-products/By-Products/Scrap. The completed Stock Item Component (BOM) screen for Stock Item . Note: If the Component Type selected is Co-product/By-Product or Scrap.• • • • • • Godown: If there are multiple Godowns or Locations. Co-Product: Select this classification for the stock items which are produced as Co-product of finished goods Scrap: Select this classification for the stock item produced as scrap in the process of manufacture of finished goods. Note: Cursor will not move to Rate (%) column when the Component Type selected is Consumption. By-Product: Select this classification for the stock items which are produced as By-Product of finished goods Component: Select this classification for the Raw materials /inputs which are used or consumed for the production of finished goods. cursor will move to Rate (%) column to define the percentage of cost of production of Co-product/By-Product or Scrap. . Type of Item: In this field select the appropriate type for the item selected. Sugar Cane & Lime are identified as Raw materials (Component).Sugar appears as shown Observe to manufacture Sugar. Bagasse & Molasses are identified as By-Products.Products/ By-Products /scrap manufactured. • Quantity: In this field mention the quantity of Raw Material required to manufacture the finished goods or the Co.

The stock items identified as CoProduct/ByProduct or Scrap will be displayed under Co-Products/By-Products/Scrap section • • Press Enter to save the Stock Item components for BOM . BOM Name: In this field the BoM created for the stock item will be displayed automatically with one more option Not Applicable. If required you can create the second BOM for the stock Item Specify other required details in the stock item master and accept the screen.Standard and to view Stock Item Multi Component screen. . • Godown: Select the godown where you would like to place the produced goods. hence that BOM is defaulted.Note: When the Manufacturing Journal is recorded to account the manufacture of Sugar using the above created BOM the stock items identified as Component will be displayed under Components (Consumption) section. If Multiple BOM are created application displays the BOM list for selection Note:Based on the BOM selected * The list of Raw materials required to manufacture finished goods will be displayed in Components (Consumption)side *The By-products & scrap produced during the manufacture will be displayed under CoProducts/By-Products/Scrap side The default of Raw Materials & Co-Products/By-Products/Scrap will be based on the Component Type defined in BOM. Creating Manufacturing Journal for a Stock Item with single/Multiple BOM created with Component Type In Manufacturing Journal voucher • • Name of Product: Select the product which needs to be manufactured from the List of Items. For Stock Item Sugar we have created only one BOM.

Example: For stock item Television. Components (Consumption): In this section the components required to manufacture the finished goods will be displayed automatically based on the components defined in BoM.Picture Tube LG. the percentage specified in Rate (%) column for the By-products/CoProducts or scrap while creating BOM will be defaulted. • % of Cost: In this field.Note: Godown option will be displayed only when Maintain Multiple Godown feature is enabled in F11: Features (Inventory Features) • • Quantity: In this field specify the quantity of finished goods manufactured. • For field description refer Manufacturing Journals. Quantity of Raw material will be defaulted based on the quantity requirement defined in the BOM multiplied by the Quantity of finished goods manufactured. Copy Components of BOM In Bill of Material creation the capability has been enhanced to copy the components of one BOM to another BOM. Now company wants to create a new BOM .Customer A and Standard. ABC company has 2 BOM .Customer B as Customer wants Television to be manufactured with specific brand of Picture Tube . • Co-Products / By-Products / Scrap: In this section the co-products/ by-products/scrap produced during manufacture of finished goods will be displayed automatically based on the components defined & Component Type defined in BOM Quantity of Co-Products / By-Products / Scrap will be defaulted based on the quantity defined in the BOM multiplied by the Quantity of finished goods manufactured. The % of Cost will be considered to determine the cost of production of Co-products/By-Products/Scrap. the components used to . Except Picture Tube.

Here ABC company is copying the components from Standard. Click on Copy BOM button on the Buttons Bar or press Ctrl +C to view Copy BoM Details screen • • In Copy BoM Details screen Copy Component for BOM: In this field select the BOM from which the components to be copied. Hence ABC Company wants to copy the components of standard BOM to Customer B. > Stock Items > Create In Stock Item Alteration • Alter Components (BOM): To create the component list required to manufacture the Finished goods enable this option to Yes and press Enter to view Stock Item Multi Components (M BOM) screen In Stock Item Multi Components (M BOM) screen The Existing BOMs .Customer A and Standard are displayed (to move down use Down Arrow Key) Enter the BOM Name .manufacture Television will be same as defined in Standard BOM.Customer B • • • • • • Press Enter to view Stock Item Components (BOM) screen In Stock Item Components (BOM) screen To copy bill of material. . To create the BOM Go to Gateway of Tally > Inventory Info.

Users have to define the Unit of Manufacture and Quantity of inputs (components). The components of Standard BoM will get copied to BOM . You can selectively set the configuration for entry to allow only those features. • • Unit of Manufacture: Specify the appropriate number of finished product that will be manufactured by using the components identified in the component list.LG and Retain other items/components. Note: Copy BOM option copies only the components of one BOM to another. which you require while entering vouchers. Item: In this field select the Picture Tube .Customer B. Show Accounting Vouchers Accounting Vouchers are used to record all accounts related transactions in Tally. Go to Gateway of Tally > F12: Configure > Voucher Entry .ERP 9.• Press Enter.

10000/- .ERP 9 Inventory Vouchers Optional & Non-Accounting Vouchers Order Processing Advanced Voucher Entry in Tally. More : Predefined Vouchers in Tally.ERP 9 Show Creating a Purchase Entry When a company buys goods on credit or cash. Purchase voucher is used to record all the Purchase transactions of the company. For example. if you are purchasing goods from Supplier A for a value of Rs. To pass a Purchase Voucher: Go to Gateway of Tally > Accounting Vouchers • Click on F9:Purchase on the Button Bar or press F9.For more information refer F12: Configurations for voucher entry.

namely • • An Account Invoice An Item Invoice Account Invoice: You will be directly selecting/debiting the Ledger account in case you are passing an Account Invoice. Invoice mode is of two types. .a) Debit Purchase Account b) Credit Party Account To pass a Purchase entry in the Invoice mode. This is useful especially when a Service Bill is entered and does not include Inventory. you need to enable the option Allow Invoicing option in F11:Features (F1: Accounting or F2:Inventory Features). Pass a purchase Invoice for Service availed from XYZ Couriers.

This is useful to record all the Inventory movements in books of account.Item Invoice: You will be first selecting the Inventory and then allocating the same to the relevant Ledger account. Pass a Purchase Invoice against purchase of Item A � 100 Nos. @ Rs. 10/= per quantity from LMN & Company. .

as required. • Set the options.Configuring a Invoice Before creating the Purchase Invoice. this option has to be enabled. . Accept Supplementary Details: Set this option to Yes to specify the Despatch Details. you need to set this option to Yes for faster data entry. Use Defaults for Bill Allocations: Setting this option to Yes will allocate the Bill Numbers automatically as defined in voucher type master in ascending order. Print Default Name and Address of Party will be enabled for configuring. If this option is set to No. 4. Purchase Invoice Configuration 1. have to set this option to Yes. Use Common Ledger A/c for Item Allocation: If you would like to allocate all the Items to a single Purchase Ledger in the Invoice. 3. Allow separate Buyer and Consignee names: Customers who are into consignment business and would like to have the Consignee details on the Invoice. 2. Use Additional Description(s) for Item Name: If you would like to specify any additional description for item during entry. 5. you can set your Invoice Configurations from F12 configure: Go to Gateway of Tally > Accounting Vouchers > F9: Purchases (As Invoice) • Select F12 Configure. Here it captures the default name and address present in the ledger.

Set this option to Yes to permit modification of all fields. Allow modification of ALL fields during entry: Default order/delivery note entries appearing in the Invoice can be changed during Invoice entry. Ctrl+V � As Voucher � You can toggle between Invoice mode and Voucher mode. irrespective of the voucher type.ERP 9 provides the option of creating Invoices. Tally. by clicking on this option on the Button Bar or pressing Ctrl+V or vice-versa. You can then check which item is having negative stock balance. irrespective of the ledger. 13. by clicking on this option on the Button Bar or pressing Alt+I or vice-versa. Alt+I � Acct Invoice � You can toggle between Item Invoice and Account Invoice. Special Keys for Voucher Narration Field • • ALT+R: Recalls the Last narration saved for the first ledger in the voucher. Honor Expiry Dates usage for Batches: You can restrict or allow the usage of Expired stocks for selection during entry by configuring this option. 9. Show Creating a Sales Invoice When a sales transaction is made. For more details on Purchase Voucher mode configurations refer Voucher Entry Configuration Special Keys on the Button Bar: When you are passing an Item Invoice in Invoice mode. CTRL+R: Recalls the Last narration saved for a specific voucher type. 8. 12. 11. etc) has to be given to the buyer or debtor as proof of purchase by him. tax. .ERP 9 will display a warning message Negative Stock with quantity details. a document detailing the transaction (item name. This document is called Invoice or Bill or Cash Memo. Show batches with Zero Quantity: On setting this to Yes the batches with zero quantity will be available for selection during entry. Importer�s Options: This is useful for import transactions. the following options will be available in the Button Bar. Show turnover achieved with Customer: This option will help to view the turnover details during entry. Consolidate Stock Items with same rates: If you would like to consolidate the stock items having same rates in Invoice. Calculate Tax on current Sub-Total: This option should be enabled if the tax needs to be calculated after considering the additional Expenses. 10. Warn on Negative Stock Balance: Tally. 7. set this option to Yes.6.

click on the button Item Invoice. An Account Invoice An Item Invoice Account Invoice: Sales Account Invoice is generally used by professionals such as doctors and consultants who require to issue an invoice for certain services provided such as consultancy charges. which is displayed on the Button Bar on the right-hand side of the screen to display the Sales Account Invoice screen as shown. click on Acct Invoice button. Selecting the Item Invoice allows you to select the stock items that need to be invoiced. etc. Item Invoice: Invoicing is generally used for sale of stock where the details of the items sold are listed.Invoice mode is of two types. Trading and manufacturing organizations also use the Account Invoice for invoicing service charges. It may be: 1. This is unlike Item Invoice where Tally. @ Rs. 2. On the Sales invoice screen. professional fees.ERP's Account Invoice mode displays the list of ledger accounts. 15/= per quantity to Debtor C: .ERP 9 displays the list of stock items. Pass a Sales Account Invoice for Service provided to Debtor B: Tally. Trading and manufacturing organizations commonly use this format. which is displayed on the Button Bar on the right side of the screen and the Sales Item Invoice appears as shown below: Pass a Sales Invoice against sale of Item A � 50 Nos. On the Sales entry screen. which can be invoiced as required.

which can be invoiced as required.Tally. you can set your Invoice Configurations from F12 configure: Go to Gateway of Tally > Accounting Vouchers > F8: Sales/F9: Purchases (As Invoice) • Select F12 Configure. More : Printing a Sales Invoice Show Configuring a Invoice Before creating the Invoice.ERP's Item Invoice mode displays the list of stock items. . CTRL+R: Recalls the Last narration saved for a specific voucher type. irrespective of the voucher type. Special Keys for Voucher Narration Field • • ALT+R: Recalls the Last narration saved for the first ledger in the voucher. irrespective of the ledger.

Sales Invoice Configuration 1. 3.• Set the above options. Use Additional Description(s) for Item Name: If you would like to specify any additional description during entry. as required. 2. Show turnover achieved with Customer: This option will help you see the turnover details during entry. 5. have to set this option to Yes. Allow separate Buyer and Consignee names: Customers who are into consignment business and would like to have the Consignee details on the Invoice. this option needs to be enabled. . you need to set this option to Yes for faster data entry. this option has to be enabled. Use Common Ledger A/c for Item Allocation: If you would like to allocate all the Items to a single Sales Ledger in the Invoice. 8. Print Default Name and Address of Party will be enabled for configuring. Exporters Options: This is useful for exporting and importing transactions. 7. Accept Supplementary Details: Set this option to Yes to specify the Despatch Details. set this option to Yes. Use Pre-Closure Order Details: To pre-close an order while raising a sales invoice for partial execution. 6. Consolidate Stock Items with same rates: If you would like to consolidate the stock items having same rates in Invoice/Challans. If this option is set to No. 4. Use Defaults for Bill Allocations: Setting this option to Yes will allocate Bill Numbers automatically as defined in voucher type master in ascending order. 9.

Show batches with Zero Quantity: On setting this to Yes the batches with zero quantity will be available for selection during entry.ERP 9 will display a warning message Negative Stock with quantity details. the option Print after saving Voucher must be set to Yes. Note: You can configure the printing options. Honor Expiry Dates usage for Batches: You can restrict or allow the usage of Expired stocks for selection during entry by configuring this option. Show Printing a Sales Invoice To print any Invoice/voucher. To preview the Invoice To change the Report Titles To select the Page range for printing To change the method of printing . Calculate Tax on current Sub-Total: This option should be enabled if the tax needs to be calculated after considering additional Income/Expenses. and change printer settings. Allow modification of ALL fields during entry: Default order/delivery note entries appearing in the Invoice can be changed during Invoice entry. Buttons specific to sales invoice printing options Button L I T G R Shortcut Keys Alt+L Alt+I Alt+T Alt+G Alt+R Behavior To select the language in which the Invoice is to be printed. 13. Set this option to Yes to permit modification of all fields. You can configure the voucher type to print automatically after saving the voucher for which. You can then check which item is having negative stock balance.10. print additional pages. Warn on Negative Stock Balance: Tally. change titles. 14. 12. press ALT+P or click on the button Print. You can give additional information. by selecting the appropriate buttons. 11.

that have been set for your company and for the voucher either by you or by the administrator. Set the print options as desired. These are print specifications that you set. The options depend on the various F11: Features and F12: Configure parameters. Pre-printed is for pre-printed stationery. Quick Format does not give fonts or other niceties but is ideal for fast printing. You can configure the invoice as per your requirement.F C S Alt+F Alt+C Alt+S To change the print format/mode To increase/change the number of copies to print To change/select the Printer The buttons Pre-Printed and Quick Format toggle between Plain Paper and Neat Format respectively. The printed Sales Invoice will appear as shown: . The Invoice Printing Configuration appears as shown.

Show Inventory Vouchers .

Accounting vouchers will update only Accounts. Set the option Integrate Accounts and Inventory to Yes in F11: Features : F1: Accounting Features/Inventory Features. the purchase of stock can be tracked from the purchase voucher through the receipt note.e. the transfer of stock between locations and physical stock adjustments. The stock balances will be maintained separately. inventory vouchers will not have any impact on the Balance Sheet stock figures.. If you have not integrated accounts with inventory. More: Pre-defined Inventory Vouchers in Tally.Inventory Vouchers perform the function in the inventory system that accounting vouchers do in the accounting system. goods transfer stage to the financial accounting stage irrespective of integration status. through invoice from the supplier and also through eventual payment. Inventory Vouchers are also means of entering transactions. Inventory vouchers record the receipt and issue of goods/stock (Movement of goods). You can trace a transaction from the beginning i. but Inventory vouchers will update both Accounts and Inventory. For example.ERP 9 .

tallysolutions.com/website/CHM/TallyERP9/03_VOUCHER_ENTRY_I N_TALLY/02_Inventory_Vouchers/Material_Out.http://www.htm .