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VT Transaction+

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Concepts

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Transactions

A transaction consists of two or more entries. An entry is a single amount in an account. Transactions are divided into groups called types.

Opening balances are entered using standard transaction types such as a journal.

The standard transaction types include payments, cheque payments, receipts, purchase invoices and sales invoices.

The underlying data for a VAT return is stored in a transaction that transfers the balance on groups of entries in the input and output VAT accounts to the Net VAT Due account.

Year-ends are a special type of transaction that automatically transfer profit and loss balances to the cumulative profit and loss account in the balance sheet. The entries in a year-end transaction are automatically created or changed whenever the balance on a relevant account changes.

To summarise, opening balances, day to day transactions, VAT returns and year-ends are all treated as transactions and processed and displayed in a similar manner.

Ledgers and accounts

A ledger is a set of similar accounts. An account is a list of amounts due to or from the same person (balance sheet accounts), or a category of income or expenditure (profit and loss accounts). The aggregate profit and loss balance can be considered as an amount due to or from the owners of the business.

The balance on an account is exclusively determined by the entries it contains.

The ledgers/accounts used for your customer, supplier, bank and other accounts are specified in the Defined Ledgers And Accounts dialog (Set Up menu).

The type and exact characteristics of a ledger are determined by the settings in the properties dialog for the ledger. Accounts from different types of ledger are all processed and displayed in a similar manner.

Allocations

An allocation is a group of mutually associated entries in the same account. An entry can only be in one allocation. VT Transaction uses allocations to associate payments with invoices, bank entries with statements and VAT entries with returns.

A list of the allocations in an account can be displayed by clicking on the Allocations summary button (or Statements summary button for a bank account) at the bottom of the account window.

The ¢ and § symbols are used to indicate that an entry is in an allocation. The ¢ symbol indicates that the entries in the allocation add up to zero and the § symbol that they do not. You can display a list of all the entries in an allocation by clicking on these symbols (when they are shown in blue).

The open entries view of an account is a list of the entries that are not marked with a ¢ symbol. The reconciliation view of an account is a list of the entries that are marked with neither a ¢ nor § symbol. The views that are available in an account window are determined by the settings in the properties dialog for the ledger.

An allocation can be created or deleted (or entries added to or removed from an existing allocation) by selecting the relevant entries in an account window. You can then click on the Add or Remove Mark buttons that automatically appear on the toolbar at the top of the account window.

Summary

As can be seen from the above, most features in VT Transaction are implemented by applying generic functionality to different types of transactions and accounts. This helps make VT Transaction exceptionally adaptable, reliable and easy to use.