View Full Version : Tip: Keep it simple for receivables and payables

07-07-2001, 01:37 AM
When using Peachtree - keep the accounts receivables and accounts payables as simple as possible.
Create only 1 GL account each for type accounts receivables and accounts payable. Use a prefix in the customer / vendor ID, such as T, O, and S for trade, others, and staff respectively.
Staff and utilities accounts should be created as vendors. Any advances. loans, or deposits should use the prepayment option in payments. And assign these amounts to a GL account for other current assets.
Disadvantage - have to spend 2-3 minutes to obtain the sub-totals for each category.
Advantage - save 1 minute for every sale and purchase transaction by not having to figure out to which accounts receivable or payables it should go to; and saves hours in trying to figure out why the ageing reports do not tally to your GL reports, and trying to correct them.