Tally Accounting Software is designed to meet the requirements of the business people. In some business cases we don’t need to record the Inventory related transactions, and don’t need to maintain the Stock Register. For instance, auditors will not handle the Physical Inventory they leave it on the owner’s shoulders as it is not mandatory for them in respect with the Statutory Filling of Accounts. They simply take the Opening and Closing Inventory figures for auditing. Hence, they record all the Accounting Transactions except inventory. And Tally supports it.
How to Enable Accounts Only for a Company in Tally.ERP 9
In Tally business accounting package we can hide the Inventory related Vouchers and Reports by simply enabling the Accounts Only option while creating a Company. If you have already enable Accounts with Inventory still you can disable it by opening the Company Alteration screen. Just follow the below steps for enabling Accounts Only for your company.
- Load a Company for which you want to disable Accounts with Inventory and make it as Accounts Only.
- In Gateway of Tally screen Press either Alt + F3 keys using the keyboard or click on F3: Cmp Info button in the Button Area.
- And choose Alter option in the Company Info. menu and select your Company from the List of Companies.
- In the Company Alteration screen get to the Company Details section.
- Choose Accounts Only for Maintain option and save the screen.
Maintain Accounts Only with Illustration in Tally.ERP 9
Now let us start recording the business transactions with a simple example and see the Trading, Profit and Loss Account and Balance Sheet of the firm.
On April 1st 2014, Mr. Venkkatesh started his business with a capital of Rs.1,00,000 in the name of AccountsGuy.Net. And he do not want to maintain Inventory as the business scope is very small and he is the sole person to handle his entire business, so there is not risk regarding the stock. And the Business Transactions for the April month as follows.
- 01/04/2014 - Given an advance of Rs. 9,000/- for Office.
- 04/04/2014 - Purchased Furniture worth Rs. 25,000/- for Office.
- 09/04/2014 - Opened Current Account at SBI with Rs. 45,000/- deposit.
- 13/04/2014 - Advance payment of Rs. 40,000/- to M/s Johnson Enterprises through Net Banking.
- 16/04/2014 - Purchases made from M/s Johnson Enterprises worth Rs. 35,000/-.
- 19/04/2014 - Cash Sales worth Rs. 10,000/-.
- 20/04/2014 - Rs. 18,000/- cash deposited at bank.
- 21/04/2014 - Sales worth Rs. 30,000/- made to Ms. K Leela Vathi.
- 23/04/2014 - Cheque Received from K Leelavathi worth Rs. 35,000/- bearing no. 355450 of Andhra Bank, Krishna Nagar Branch. Same on the same cheque presented at bank for clearance.
- 25/04/2014 - Sales Returns worth Rs. 5,000/- received from K Leelavathi.
- 27/04/2014 - Rs. 40,000/- cash directly deposited into bank by Mr. Smith.
- 28/04/2014 - Sales worth Rs. 30,000/- made to Mr. Smith.
- 29/04/2014 - Purchase Returns worth Rs. 3,000/-.
- 30/04/2014 - Office Maintenance worth Rs. 500/- paid.
- 30/04/2014 - Office Rent Rs. 2,000/- paid.
Record the above transactions in the books of M/s AccountsGuy.Net Company using the Tally.ERP 9 accounting package. And help him to know the profitability and financial position of his business after recording the voucher entries.
Now open Tally.ERP 9 application in your computer and create a company named AccountsGuy.Net with Accounts Only. After you have created the company load it and follow the below steps for recording the above said business transactions.
- Now you are in the Gateway of Tally screen.
- Create the following Ledgers with corresponding Groups.
- Capital Account under Capital Account Group.
- Furniture under Fixed Assets Group.
- Office Advance under Loans & Advances (Asset) Group.
- SBI under Bank Accounts Group.
- M/s Johnson Enterprises under Sundry Creditors Group.
- Purchases and Purchase Returns ledgers under Purchase Accounts Group.
- K. Leelavathi and Smith ledgers under Sundry Debtors Groups.
- Sales and Sales Returns ledgers under Sales Accounts Group.
- Office Maintenance and Office Rent under Indirect Expenses Group.
- After created the required ledgers just get back again to the Gateway of Tally menu.
- Choose Accounting Vouchers option.
- In the Accounting Voucher Creation screen press F2 key using the keyboard for setting the Voucher Date.
- Using the Button Area record the transactions cited in the problem section.
- Receipt Voucher for recording Capital Brought into firm and first transaction.
- Journal Voucher for recording second transaction.
- Contra Voucher for third and forth transactions.
- Payment Voucher for forth, ninth, fourteenth, and fifteenth transactions.
- Purchase Voucher for fifth transaction.
- Sales Voucher for sixth, eighth, and twelfth transactions.
- Credit Note Voucher for tenth transaction.
- Debit Note Voucher for thirteenth transaction.
In order to generate the financial report again get back to the Gateway of Tally menu and press Alt+F2 keys using the keyboard to set the period from 01-04-2014 to 30-04-2014 for generating the reports.
- Select Display option to generate Trail Balance, Day Book, and Ledger Account reports.
- Select Profit & Loss A/c to know the profitability of the firm.
- Select Balance Sheet to know the financial position of the firm.