Re: opening balances, including stock

Hi Istvan,

The strategy that I used when migrating to LedgerSMB is the following:

* create customers and vendors as needed

* create at least the parts and services for which there are open AR or AP items in the closing balance

* create the open AR/AP items in the closing balance by posting them on the original opening date (this allows you to do your aging management in LSMB from day 1)

* create in addition the parts for which you have stock in the closing balance

* import your stock by posting invoices against the inventory entity

* make sure you "pay" the invoices - e.g. by paying them from equity

* draw up the incomplete balance you have so far

* calculate the delta of the partially imported balance against the closing balance

* import the delta balance on top of what you already had to make a full balance

What I did is post the transaction from the last step on the day before I wanted to start my books; say you want to start your books on 2014-01-01, then you'd post it on 2013-12-31. That way, the opening balance of your books on the starting date is exactly what you had on the closing balance of the books you left behind.

Regards,

Erik.

On Wed, Jan 29, 2014 at 2:57 PM, Pongrácz István <..hidden..> wrote:

Hi,

Thanks for the comments!

I spoke with my accountant and we found that, this question is in a special case of opening a new book, using some numbers from the old book.

In other words:
- we close the financial year in one book
- we open the next financial year in a new book.

We have to transfer existing stocks, balances etc.

The question in general, what is the proper way to do this, without making accountants and supervisors crazy :)

In our new books there are some accounts, which holds opening values/amounts.

For example, just speak about the stock items.
Let's say, I have 10 units of barebone computers. Already paid last year to the real vendor, it is on the old book (SL) etc.

In the new book, I create a vendor invoice with these 10 barebone computers, where the vendor is the Inventory Entity.
-> If I put the real amounts, I purchased last year, it will increase the:
4541 - vendor account and 2610 - stock values
Instead of 4541, we really need to be able to choose the 4910, which is the opening account. Otherwise it seems ok, at least, 2610 has a value, which seems correct, but not the 4541.

I guess the workaround could be in this case: enter the invoice like above and fix it by transfer the amount from 4541 to 4910 as a General Journal entry. -> Accountant will screem and must be careful when the opening values will be transferred from the old book into the new one.

Or should I add 4910 temporarly to AP transactions to be able to put values directly to that account and after the opening process, get out from AP transactions?

-> If I enter discount 100%, I will get 0 on 4541 and 2610. As I checked this option, I can see only 2610 is hit by the invoice, but without value (empty amount), which is not really true, due to that, the stock has a value.

I guess, in this case amount must be transferred from the opening balance (let's say 4910) to 2610 to have stock amounts.

-------------------------------

As shown in the example above, opening a new book with initial values and stocks, could be a challange, because accountants will try to find the menu entry: opening books / inventory control.

If there is no such a menu entry for that, there should be a way to do these actions in a correct way, which should be clear enough to pass the control from government :)

So, do you have any experience with this kind of operation?

Thanks,
István

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Bye,

Erik.

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