c4e798e970
* by-application (odoo-wise) grouping * use part of the accounting TOC defined on pad * support for "internal" tocs & fixup front toc * various changes and improvements to extensions May be missing: inherited document banners?
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9.2 KiB
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248 lines
9.2 KiB
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:code-column:
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==============================================
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Accounting Memento For Entrepreneurs (US GAAP)
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==============================================
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.. h:div:: intro-list
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.. rst-class:: intro-p-l
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The **Profit and Loss** (P&L) report shows the performance of the company
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over a specific period (usually the current year).
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* .. rst-class:: intro-gross-profit
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The **Gross Profit** equals the revenues from sales minus the cost of
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goods sold.
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* .. rst-class:: intro-opex
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**Operating Expenses** (OPEX) include administration, sales and R&D
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salaries as well as rent and utilities, miscellaneous costs, insurances,
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… anything beyond the costs of products sold.
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.. rst-class:: intro-balance
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The **Balance Sheet** is a snapshot of the company's finances at a specific
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date (as opposed to the Profit and Loss which is an analysis over a period)
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* .. rst-class:: intro-assets
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**Assets** represent the company's wealth, things it owns. Fixed assets
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includes building and offices, current assets include bank accounts and
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cash. A client owing money is an asset. An employee is not an asset.
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* .. rst-class:: intro-liabilities
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**Liabilities** are obligations from past events that the company will
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have to pay in the future (utility bills, debts, unpaid suppliers).
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* .. rst-class:: intro-equity
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**Equity** is the amount of the funds contributed by the owners (founders
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or shareholders) plus previously retained earnings (or losses).
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.. rst-class:: intro-retained
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Each year, net profits (or losses) are reported to retained earnings.
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.. h:div:: doc-aside accounts-table
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.. placeholder
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What is owned (an asset) has been financed through debts to reimburse
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(liabilities) or equity (profits, capital).
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A difference is made between buying an assets (e.g. a building) and expenses
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(e.g. fuel). Assets have an intrinsic value over time, versus expenses having
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value in them being consumed for the company to "work".
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.. rst-class:: doc-aside
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.. highlights:: Assets = Liabilities + Equity
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Chart of Accounts
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=================
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The **chart of accounts** lists all the accounts, whether they are balance
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sheet accounts or P&L accounts. Every financial transaction (e.g. a payment, an
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invoice) impacts accounts by moving value from one account (credit) to an other
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account (debit).
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.. h:div:: doc-aside
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.. highlights:: Balance = Debit - Credit
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.. h:div:: chart-of-accounts
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.. placeholder
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Journal Entries
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===============
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Every financial document of the company (e.g. an invoice, a bank statement, a
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pay slip, a capital increase contract) is recorded as a journal entry,
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impacting several accounts.
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For a journal entry to be *balanced*, the sum of all its debits must be equal
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to the sum of all its credits.
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.. h:div:: doc-aside journal-entries
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examples of accounting entries for various transactions. Example:
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Example 1: Customer Invoice:
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Explanation:
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- You generate a revenue of $1,000
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- You have a tax to pay of $90
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- The customer owes $1,090
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Configuration:
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- Income: defined on the product, or the product category
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- Account Receivable: defined on the customer
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- Tax: defined on the tax set on the invoice line
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The fiscal position used on the invoice may have a rule that
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replaces the Income Account or the tax defined on the product by another
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one.
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Example 2: Customer Payment:
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Explanation:
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- Your customer owes $1,090 less
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- Your receive $1,090 on your bank account
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Configuration:
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- Bank Account: defined on the related bank journal
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- Account Receivable: defined on the customer
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.. _accounting/reconciliation:
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Reconciliation
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==============
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Reconciliation is the process of linking journal items of a specific account,
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matching credits and debits.
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Its primary purpose is to link payments to their related invoices in order to
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mark invoices that are paid and clear the customer statement. This is done by
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doing a reconciliation on the *Accounts Receivable* account.
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An invoice is marked as paid when its Accounts Receivable journal items are
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reconciled with the related payment journal items.
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Reconciliation is performed automatically by the system when:
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* the payment is registered directly on the invoice
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* the links between the payments and the invoices are detected at the bank
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matching process
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.. h:div:: doc-aside reconciliation-example
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.. rubric:: Customer Statement Example
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.. rst-class:: table-condensed d-c-table
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+-------------------------+-------------------------+-----------------------+
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|Accounts Receivable |Debit |Credit |
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+=========================+=========================+=======================+
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|Invoice 1 |100 | |
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+-------------------------+-------------------------+-----------------------+
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|Payment 1.1 | |70 |
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+-------------------------+-------------------------+-----------------------+
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|Invoice 2 |65 | |
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+-------------------------+-------------------------+-----------------------+
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|Payment 1.2 | |30 |
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+-------------------------+-------------------------+-----------------------+
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|Payment 2 | |65 |
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+-------------------------+-------------------------+-----------------------+
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|Invoice 3 |50 | |
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+-------------------------+-------------------------+-----------------------+
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| | | |
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+-------------------------+-------------------------+-----------------------+
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|Total To Pay |50 | |
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+-------------------------+-------------------------+-----------------------+
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Bank Reconciliation
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===================
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Bank reconciliation is the matching of bank statement lines (provided by your
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bank) with transactions recorded internally (payments to suppliers or from
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customers). For each line in a bank statement, it can be:
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matched with a previously recorded payment:
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a payment is registered when a check is received from a customer, then
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matched when checking the bank statement
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recorded as a new payment:
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the payment's journal entry is created and :ref:`reconciled
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<accounting/reconciliation>` with the related invoice when processing the
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bank statement
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recorded as another transaction:
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bank transfer, direct charge, etc.
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Odoo should automatically reconcile most transactions, only a few of them
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should need manual review. When the bank reconciliation process is finished,
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the balance on the bank account in Odoo should match the bank statement's
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balance.
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.. rst-class:: checks-handling
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Checks Handling
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===============
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There are two approaches to manage checks and internal wire transfer:
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* Two journal entries and a reconciliation
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* One journal entry and a bank reconciliation
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.. h:div:: doc-aside
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The first journal entry is created by registering the payment on the
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invoice. The second one is created when registering the bank statement.
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.. rst-class:: table-condensed d-c-table
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+-------------------------+--------------+------------+---------------+
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|Account |Debit |Credit |Reconciliation |
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+=========================+==============+============+===============+
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|Account Receivable | |100 |Invoice ABC |
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+-------------------------+--------------+------------+---------------+
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|Undeposited funds |100 | |Check 0123 |
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+-------------------------+--------------+------------+---------------+
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.. rst-class:: table-condensed d-c-table
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+-------------------------+--------------+------------+---------------+
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|Account |Debit |Credit |Reconciliation |
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+=========================+==============+============+===============+
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|Undeposited funds | |100 |Check 0123 |
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+-------------------------+--------------+------------+---------------+
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|Bank |100 | | |
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+-------------------------+--------------+------------+---------------+
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.. h:div:: doc-aside
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A journal entry is created by registering the payment on the invoice. When
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reconciling the bank statement, the statement line is linked to the
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existing journal entry.
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.. rst-class:: table-condensed d-c-table
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+-------------------------+--------------+------------+---------------+---------------+
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|Account |Debit |Credit |Reconciliation |Bank Statement |
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+=========================+==============+============+===============+===============+
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|Account Receivable | |100 |Invoice ABC | |
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+-------------------------+--------------+------------+---------------+---------------+
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|Bank |100 | | |Statement XYZ |
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+-------------------------+--------------+------------+---------------+---------------+
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