Learning Accounts Common Mistake in books of Accounts
Typical Errors in main File – You will notice >>>
Wrong Entries - Dates
- This mistake is caused due to
- Entering date in place of month & otherwise
- You try to enter the date the way it appears
- You enter the date through @ today() , @now() functions
Wrong Entries - Description
- If you sort main accounts file on debit to field, you will laugh at different descriptions written by you for same account heads
- Think of A uniform short and understandable description and use it. For guide line, check the file after sorting it on Debit to field
Wrong Entries – Debit & Credit Heads
- This is due to reason that you trust your memory more than written copy available in the form of Trial balance while making account entry.
- This is also due to reason that when you have a doubt about any account head, you prefer to enter wrong code, rather than seek a clarification.
Wrong Entries – Debit & Credit Details
- You think the job of entering the details other than Date, Description, Debit & credit to, is of the person who checks the accounts, As for as you are concerned, you did not miss an entry.
- You do not bother about numeric or character nature of this fields and keep entering the details.
Wrong Entries – Order Numbers
- You enter starting with S, A, K etc., Old habits die hard.
- You just do not bother about it.
- You may have to break the entry into two entries and calculate, why bother?
- You think order number could be entered subsequently, Why Seek A clarification now,
Wrong Entries – Duplication
- Voucher 1 cheque received by JL
- Voucher 2 Cheque Deposited by AS
- Voucher 1 Material Received By Store AS
- Voucher 2 Invoice Received by Office JL
- Record is appended twice by AP due to Mistake of Excutive or AP
Wrong Entries – Wrong name
- The only reason for this is you just do not bother.
- Think – Do we need a 5 K Accountant ?
- Think – Can you make sure that at least your vouchers are accurate ?
- Think – By careless Voucher entry, you, instead of helping, creating unproductive work?
- Think - Does it Affect Marketing ?
- Think – Does it Affect your Pay packet ?
- Think – does it affect your family ?
- Think – What are you thinking now ??