Data Manager Preferences

There are two sections of Preferences that contain settings relevant to the Purchase Ledger. These screens and settings are described below.

This Preference will be especially beneficial to volume users where the inputting task would otherwise be very laborious.

Allow unprocessed invoices

If this check box is switched on, it is possible to enter and save Purchase invoices without posting them to the Nominal Ledger or even batching them. This is same Preference as that of the same title in the Sales section, so cannot be set independently.

Ask ‘Print Remittances?’ after payment

If the ChequeWriter companion volume is present, you need to decide whether you would like remittance advices and cheques to be printed automatically as part of the ‘Purchase Payment’ function in the Purchase Ledger. If so, switch this check box and/or the one below on (remittance advices and cheques are controlled independently). If they are switched off, remittances and cheques will not be printed, but they can be later using the Remittance Advices and Cheques function in the same volume. Note that this is the same Preference as the Sales setting, Ask ‘Print Remittances’ after Receipt, so switching it on here will mean it is also on in the Sales Ledger.

Ask ‘Print Cheques?’ after payment

Please refer to the paragraph above for details about this check box.

Allow purchase invoices with a total of zero

Note that when these invoices are posted, a Nominal Ledger Batch will be created, identifying on the Audit Trail that it took place, and Transaction postings will happen. Switching this on will automatically switch on the corresponding option on the Sales page of Preferences, as it is in fact the same Preference. This feature permits secondary postings with no Cost Price, but with a secondary price. Purchase invoice Items’ secondary price is based on the product’s actual sales price/standard sales price/standard cost price/no default This preference is one of many concerned with the Multi-layer Accounting companion volume. Please refer to the Companion Volumes chapter of the Reference Manual for more details.

Bank details for autopay list

The Purchase Ledger contains an Autopay feature, which produces a report for your bank instructing them about the payments you would like made. At the base of the report there is a signature area, and immediately above that, a text area telling the bank how you would like it to proceed. Please refer to the Purchase Ledger section of the Reference manual for more details. To enter or edit the text containing the instructions to the bank that appears above the signature area, you need to refer to this field in Preferences. This text should read something like the following:

“To XXX Bank

Please debit our account at your Branch for the sum of £, and remit the amounts to the beneficiaries identified by the XXX Autopay Service references shown. Account to be debited:  Our Account Number  Our Account Name”The is a way of asking the system to insert the total value of the list into the middle of the text, the “|Accounts” section determining what format the numbers appear in. The | symbol is .

The items on this screen that are relevant to the Purchase Ledger are described below. It is likely that you will have already considered these fields when setting up the Nominal Ledger. Note that, if creating a new data file using the Business Templates system, the fields will be filled in with default values. If you change any of the significant Accounts or Transaction Types, be sure to amend the fields on this screen appropriately.

Current year periods

Type in the start and end Periods of your current financial year, eg 2001/04 to 2002/03. These fields will be automatically updated when the Close Financial Year function on the Utilities menu is run.

VAT accounts

Type in the actual Account numbers of the two VAT Accounts - the one used to process the current VAT Return, and the one used as a Control Account to maintain current VAT Payments owing.

Cash VAT suspense account

If you wish to use Cash VAT processing, switch on the Cash VAT check box and enter here the appropriate Account Code of your Cash VAT Suspense Account.

Default standard VAT

Type in the VAT Code of the preferred default, which will be used everywhere in Enterprise 6 where VAT is calculated.

Purchase invoice trans

Type in the Transaction Code of the Transaction Type you have created to post Purchase invoices. The Transaction type will describe a posting in which the Debit Account is Cost of Sales, and the Credit Account is Trade Creditors. It is recommended that, when setting up the Transaction Type whose Code you are entering here, you switch on the check box entitled ‘Prevent use of this Transaction Type in Nominal/Nominal Ledger postings’. Purchase invoices should be created in the Purchase Ledger and from there posted to the Nominal Ledger - they should not be entered directly to the Nominal Ledger and switching this check box on will prevent this happening. Using this Transaction Type in the Nominal Ledger carries with it the risk that your Trade Creditors account will no longer equal the sum of your Purchase Accounts. For the same reason, you should also switch on this check box for the seven other Transaction Types whose Codes also appear on this Preferences screen, and for all Accounts affected by those Transaction Types.

Purch payment trans

Enter here the code of the Transaction Type describing the receipt of a Purchase Invoice payment - Debiting Trade Creditors, and Crediting the Bank Account.

Purchase prepay trans

Type in the Transaction Code of the Transaction Type you have created to post Purchase Deposits. The Transaction type will describe a posting in which the Debit Account is the Pre-Payments Holding Account and the Credit Account is a default bank account.

Purchase reconcil trans

Type in the Transaction Code of the Transaction Type you have created to reconcile Purchase Deposits. The Transaction type will describe a posting in which the Debit Account is the Trade Creditors and the Credit Account is the Pre-Payments Holding Account.

Post bank receipts/payments by company

When using the ‘Invoice Receipt’ function in the Sales Ledger or the ‘Purchase Payment’ function in the Purchase Ledger, there are two alternatives about the format of the subsequent Nominal Ledger posting. When paying off a number of cheques on a single day, for example, it is possible using the ‘Purchase Payment’ function to list all the Purchase invoices being paid, highlight them all and click the [Payment] button. In the Nominal Ledger the whole Payment process will be posted as a single Transactions Batch, but always with separate Transaction lines for every Purchase Invoice (ie not aggregated by Company) on the Trade Creditors side of the Transaction. The format of the Bank Account side of the Nominal Ledger Transaction depends on the setting of this check box. If switched on, separate single-sided postings will be made for each Company. Should you be paying off more than one Purchase Invoice pertaining to a single Company, a single posting covering all these invoices will be created, providing that the invoices feature the same Analysis Code. If switched off, a single posting is made, containing all invoices being paid, irrespective of Company. If the invoices being paid cover more than one departmental Analysis, one posting will be made for each Analysis. Whichever option is selected, the bank posting(s) will always be balanced by itemised Debtors/Creditors postings, so that the Payment/Receipt history is maintained. The implication of this for Bank Reconciliation is that one Receipt/Payment posting may not necessarily equate to one physical transaction at the bank, nor to one line on the Bank Reconciliation listing. What may appear in the Bank Reconciliation as a single line if this option is off would, in reality, represent payments made using multiple cheques. If you wish to process Payments automatically across multiple Companies and you want to use the ChequeWriter companion to print cheques, it recommended that you switch this option on. If it is off, bank Transactions - the ones you want to reconcile - will not necessarily be able to receive Cheque Numbers. Note that this preference also affects the Sales Ledger in a similar fashion.