Elosimple excel accounting
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Elosimple excel accounting

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Try get this dynamic excel recording template.

Try get this dynamic excel recording template.

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Elosimple excel accounting Elosimple excel accounting Document Transcript

  • Elosimple excel accounting User GuideElosimpleexcelaccountingUser GuideA user friendly MS Excel AccountingRecords Template; eases preparation offinancial statementsPeter Elolo Darrah, C.A.(Gh)Tax Audit, DTRD, Ghana Revenue Authority elodarah@yahoo.com+23324459286612/19/2012
  • elosimple excel accounting templateFOREWORD ................................................................................................................................... 3GETTING STARTED ...................................................................................................................... 3 HOW TO OBTAIN A COPY OF THE elosimple excel accounting template ........................... 3 HOW TO SAVE A COPY OF THE elosimple excel accounting template ................................ 3 HOW TO OPEN THE elosimple excel accounting template .................................................... 3OVERVIEW OF elosimple EXCEL TEMPLATE ........................................................................... 4 elosimple SHEETS ...................................................................................................................... 4 Index sheet ............................................................................................................................... 4 AccountSetup sheet.................................................................................................................. 5 CashJournal sheet .................................................................................................................... 5 FinStatement sheet .................................................................................................................. 6 HOW TO USE elosimple EXCEL TEMPLATE.......................................................................... 6 INDEXING .............................................................................................................................. 6 ACCOUNTS SETUP ................................................................................................................ 7 COMBINED CASHBOOK AND JOURNAL .......................................................................... 7 Making Entries .................................................................................................................... 8 Accounting Periods ............................................................................................................. 9 Ledgers ................................................................................................................................. 9 Management Accounts ..................................................................................................... 10SECURITY..................................................................................................................................... 13SHORTCUT KEYS ........................................................................................................................ 14CONCLUSION .............................................................................................................................. 15BIBLIOGRAPHY........................................................................................................................... 15 2
  • elosimple excel accounting templateFOREWORDelosimple excel accounting template has been designed to ease preparation of accountingrecords as well as relevant financial reports such as Income Statement and Balance Sheet(Andrews). The user is not burdened with the drudgery of preparing columns for accountingheads (items) on several worksheets involved in the record-keeping. All the user needs to dois just to set up the required Chart of Accounts (with Account Codes) under desirable groupsof accounts just like any conventional accounting application system and begins to recordtransactions in the combined Cash/Journal table.However, the eloAccountRecords is only effective and accurate to the extent that the formulacells are not inadvertently removed or altered by the user. The user, therefore, is ultimatelyresponsible for the accuracy of the records prepared; using this template.GETTING STARTEDHOW TO OBTAIN A COPY OF THE elosimple excel accountingtemplateThe template can be obtained from the address on the Index and CashJournal sheets (i.e.+233244592866, +233202441763 or elodarah@yahoo.com).HOW TO SAVE A COPY OF THE elosimple excel accountingtemplateIt is important to have MS Office Application which should be of a version not lower than MSOffice 2007 before the template can be saved on your system. If there is a lower version likeMS Office 2003 on your system, then the template must be saved as MS Office Excel 2003before copied for transfer (saving).HOW TO OPEN THE elosimple excel accounting templateA password request may be prompted at each time that an attempt is made at opening aprotected template; which must be supplied by the user. 3 View slide
  • elosimple excel accounting templateOVERVIEW OF elosimple EXCEL TEMPLATEelosimple SHEETSWe have the following sheets in elosimple excel accounting template Workbook:Index sheet 4 View slide
  • elosimple excel accounting templateAccountSetup sheetCashJournal sheet 5
  • elosimple excel accounting templateFinStatement sheetHOW TO USE elosimple EXCEL TEMPLATEINDEXINGAll the resources in elosimple excel accounting template workbook are found in the indexsheet. Each of these is linked (i.e. hyperlinked) to its location in the workbook. The indexpage is accessible on any resource in the workbook.The headings for Account Codes in the CashJournal are linked to the AccountSetUp Sheet.This is activated by just a click on the heading: Allocation.After getting the code click on the CashJournal link in AccountSetUp to return to theCashJournal to complete the record.Alternatively, simply click on the sheet tabs: 6
  • elosimple excel accounting templateACCOUNTS SETUPThis is the most important aspect of the recording process. With reference to theAccountSetup sheet in OVERVIEW, type in the Business or Organisation Name, Start Date,End Date and Accounting yearThis is best explained in the table below: CELLNUMBER EXPECTED CONTENT C3 Business or organisation name C4 Start date; e.g. 01/01 E4 End date; e.g. 31/12 or 12/31 for US-English system G4 Accounting or period year: e.g. 2012Proceed to type in the Account codes and respective Account items (heads). Those AccountCodes with respective Account Groups found on the template are somewhat suggestive. Usermay use or apply own codes, items and group of accounts. You may insert more rows whileensuring that you maintain the serial numbering in column A.Utmost care need to be taken when preparing the chart of accounts. The grouping of thecodes determines the outlook of the management reports; Balance Sheet and IncomeStatement. You may employ the services of an accountant to set up the accounts to bedisplayed in the management reports.COMBINED CASHBOOK AND JOURNALThere is a combined cashbook and journal table in the CashJournal sheet. We need to observethis table carefully because this is where all the recording and posting of the transactions aredone: 7
  • elosimple excel accounting template USER’S REQUIREDCOLUMN RESPONSE FUNCTIONDate Make entry Transaction date Third party name or briefDetails Make entry description of transaction Voucher/Document serialReference Make entry numberCash Make entry View the balance in cell D11Bank 1 Make entry View the balance in cell E11Bank 2 Make entry View the balance in cell F11Bank 3 Make entry View the balance in cell G11 View the balance in cell journal_sum which must beJOURNAL Make entry equal to zero (.00). Formulated to post amounts in Cash and Bank fields. View balance for accountAllocation Amount No entry ledger in cell i11Allocation Make entry Posts account names Formulated to post AccountAccount No entry namesMaking EntriesThe column headings, with specific reference to Banks, can be changed or replaced with realbank accounts. Furthermore, more columns can be inserted to accommodate more banks.Non cash transactions or opening entries can be made via the Journal. In all cases involvingamounts all credit entries should be preceded by a minus (-).Cash (including bank) transaction amounts involving payments should be preceded by aminus (-).It is very important to enter the account code. Without the entry of an account code such arecord can never be complete. 8
  • elosimple excel accounting templatePlease do not leave empty rows in between the records.Accounting PeriodsThe user can get accounts for any period by selecting from the date heading any particulardate as illustrated below:The user has selected the period up to October and transactions from January 1 to October 31should be displayed.LedgersThe combined cashbook and journal table can, also, be manipulated to show transactions fora particular account and thus produce a ledger account.The user can get transactions for a particular account by selecting such an account from theallocation heading as shown below: 9
  • elosimple excel accounting templateThe user has selected the code 412 for ELAC (Insurance). Transactions, therefore, for ELAC(Insurance) have been displayed as this:Management AccountsThe Balance Sheet and the Income Statement in the FinStatement sheet are being referred toas management accounts. The main function of any management account is the facilitation ofdecision making, planning and control regarding a business concern. The user is in a position 10
  • elosimple excel accounting templateto employ these key management functions using the template to prepare live accounts whichmeasure profitability instantly. Similarly, even in the process of recording the accounts thefinancial position (whether you owe or owed so much) is known right on time and to date.The Balance Sheet and Income Statement happen to be the direct interpretation and summaryof the records on the Combined Cashbook and Journal Table.Now, linking the serial numbers on the set up sheet to the specific cells on the FinStatetmentSheet causes the account codes with descriptions to be properly positioned to display theamounts in formulated cells accurately.All that one needs to do on this sheet is to ensure that the serial numbers (i.e. on column A) ofthe AccountSetUp sheet are properly linked to the cells in column A of FinStatements Sheet.For instance, type in an ‘equal to’ (=) sign in cell A11 of Financial Statements sheet andselect the cell A59 of AccountSetUp sheet. To complete this link, hit the enter key once. Youhave just finished linking up the cells identifying fixed assets on both sheets. The procedureis repeated for linking other accounts.This is illustrated below:The equal to sign has been typed into cell A11 on the FinStatement Sheet. 11
  • elosimple excel accounting templateCell A59 of AccountSetUp sheet has been selected.The link has been completed by hitting the enter key once.Simply fill A11 of Financial Statements sheet (i.e. after selecting A11, hover the mousepointer to the bottom right of that cell until it turns into a plus+) and drag downwards to thedesirable point.You may perform fill and drag downwards procedure in any of the columns whereverdesirable. Copying and pasting is another alternative. 12
  • elosimple excel accounting templateHowever, the cash and bank account balances cells in the FinStatement sheet needed to belinked to their balance cells in the CashJournal sheet.The rest of the formulated cells be copied and pasted downwards or filled and draggeddownwards. +A demonstration of a fill and drag downwards procedure is illustrated above.SECURITYIt is possible to loose all your documents unexpectedly due to thepresence of virus in your system; loss of soft materials. How about thepossibility of hardware loss through theft, robbery, fire, damage etc.?That is all the more reason one needs to give prior attention to matters ofsecurity in a computing environment.To safeguard your work, please do the following from time to time:  Check on your system’s health status; Go to start and click on ‘control panel’ and then on ‘Review your computer’s status’ or ‘Action Center’ to check on the effectiveness of your Anti Virus Application.  Scan your system and memory sticks (pen drives) on suspicion of a virus.  Ensure that you have a backup and get an external storage device i.e. pen drive, hard drive etc for backing up important documents. Hint: do not keep your system (computer) and the secondary drive together.  Important documents or files may be attached to emails or uploaded to a trusted site (e.g. Google Drive) on a dedicated remote server.  Save Financial Statements and CashJournal (the combined Cashbook and Journal) in a PDF to avoid unwanted alterations. 13
  • elosimple excel accounting template  You may put a password on your documents to restrict or prevent access. (Hint: please do remember the password).SHORTCUT KEYSThe following shortcut keys could help in saving time spent on performing some basic butimportant tasks:Press this key To do thisF1 Display HelpCtrl+C (or Ctrl+Insert) Copy the selected itemCtrl+X Cut the selected itemCtrl+V (or Shift+Insert) Paste the selected itemCtrl+Z Undo an actionCtrl+Y Redo an actionF2 or fn+F2 Rename the selected itemCtrl+home Move the cursor to the beginning of the documentCtrl+Right Arrow Move the cursor to the beginning of the next wordCtrl+Left Arrow Move the cursor to the beginning of the previous wordCtrl+Down Arrow Move the cursor to the beginning of the next paragraphCtrl+Up Arrow Move the cursor to the beginning of the previous paragraphCtrl+end Move the cursor to the end of the documentCtrl+Shift with anarrow key Select a block of textCtrl+A Select all items in a document or windowF3 Search for a file or folder Insert a selected row or column in MS Excel (Hint: select row orCtrl+Shift+plus column by clicking on the row or column label) Delete a selected row or column in MS Excel (Hint: select row orCtrl+minus column by clicking on the row or column label)Ctrl+;(colon) Insert date in an MS Excel cellCtrl+’(apostrophe) Repeat a an action in the previous MS Excel cell aboveAlt+Tab Switch between open itemsAlt+F4 Close the active item, or exit the active program 14
  • elosimple excel accounting templateCONCLUSIONThe elosimple excel accounting template is a concept formulated for spreadsheet usersdesirous of preparing accounting records for any entity. The entity could be a church, anNGO, an enterprise, a partnership, a joint venture or any company.This is no accounting software but rather an idea facilitating spreadsheet accounting.The useful advantage offered is that; by making the entries in the CashJournal oneconcurrently produces a Balance Sheet with Income Statement to state the entity’s financialposition and measure profitability, respectively, at any time.This concept gives the same level of convenience, speed and accuracy offered by any otheraccounting system.To avert the possibility of unauthorised alterations and loss of data, the following actions arerecommended: 1. Set up your savings in a back up mode; go to Save As dialog box, select Excel Workbook, then to tools, select general options and check the Always create backup box, OK and save. 2. Periodically save the CashJournal and FinStatement sheets, weekly, monthly and quarterly or to your own taste in a Portable Document Format (PDF).This concept is very reliable as it is capable of preventing errors except for the fact that noone else can be held accountable for your own inputs apart from your good self.I am very grateful to all and sundry, especially Messrs. Sammy Ametefe of Total Ghana andVincent Sokpoli of Ghana Revenue Authority, who assisted in the development, testing anddeployment of this concept.BIBLIOGRAPHYAndrews, J. J. Accounting Campus. 15