GENERAL LEDGER MANUAL

A general ledger represents the record-keeping system for a company's financial data with debit and credit account records validated by a trial balance. It is a bookkeeping ledger in which accounting data is posted from journals and from sub-ledgers, such as accounts payable, accounts receivable, cash management, fixed assets, purchasing, and projects

Difference of General Ledger And Sub Ledger

Recording of financial information is books of account as per standard accounting principle. Both ledgers are used to record a financial transaction. The general ledger is the principal set of accounts. It records all financial transactions. The general ledger contains all debit and credit entries of transactions and entry for the same is done in different accounts mainly, there are five types of accounts assets, liabilities, equity, income, and expense.

A subsidiary ledger is the subset of the general ledger in accounting. It is not possible to record all transactions in the general ledger; hence transactions are recorded in the sub-ledger in a different account, and their total sum is reflected in the general ledger. Ledger helps in the understanding of the financial of business and helps in the analysis of transactions.

Fixed Accounts:

E-Hors has a number of fixed accounts that cannot be deleted. The accounts can be moved to a different group or ledger and can be renamed, but cannot be deleted.
Take note of the status of the accounts:

d	accountID	accountName	accountMain	selectable	popup	Remarks
7	EHORS-001	CITY LEDGER	n	y	y	This pop-up shows the outstanding invoices, including partial payments related to City Ledger / Accounts Receivable.
8	EHORS-002	ECOMMERCE TRANSACTIONS	n	y	y	This account is a clearing account into which E-Hors books the payments of Internet reservations.
9	EHORS-003	IN HOUSE GUEST LEDGER	n	n	n	This is a pure control account and no manual transactions are allowed, this has to tally with In House Guest Reports
11	EHORS-004	UNCLEARED BALANCE PURCHASE	n	y	n	These accounts are used to park un-linked balance purchases and needs to be cleaned manually by the finance
19	EHORS-005	AP-TRADE	n	y	y	This pop-up shows the outstanding invoices, including partial payments related to AP-Trade / Accounts Payable.
20	EHORS-006	DEPOSITS RECEIVED	n	y	n	Money received before check-in is posted automatically into this account and automatically transferred to In House upon check-in based on the actual amount of the folio.
21	EHORS-007	INVOICES TO RECEIVE	n	n	n	Goods receiving is using this account, supplier invoice & invoice to receive must tally with goods received.
23	EHORS-008	BREAKFAST BF	n	y	n	This accounts parks the breakfast for 1 day as breakfast is "next day revenue", note that in V3 account 008 and 010 were the same, this is now segregated.
31	EHORS-009	RETAINED EARNINGS	n	y	n	No comments only used during the opening balance
33	EHORS-010	UNCLEARED OUTLET REVENUE	n	y	n	These accounts are used to park un-linked revenue and needs to be cleaned manually by finance
38	EHORS-011	SENIOR/PWD DISCOUNT	n	y	n	Due to BIR regulations in the Philippines, SR and PWD discount is stored into a separate account
39	EHORS-012	UNCLEARED P&L PURCHASE	n	y	n	These accounts are used to park un-linked P&L purchases and needs to be cleaned manually by the finance
68	EHORS-013	ROUNDING DIFFERENCE	n	y	n	E-Hors uses this account for rounding if applicable.
	EHORS-014	MISC. AR	n	y	y	This pop-up shows the outstanding invoices, including partial payments related to Accounts Receivable that are not core related. E.g. a tenant of an outlet is a "Misc. AR". There are also 2 different AR reports for this purpose.
1609	EHORS-016	CHEQUE CLEARING	N	Y	Y	This account is used to handle AR cheque traffic

How to post journal entries in General Ledger?

Scenario1

Account Receivable Entry

Entries will vary based on the type of entries and scenarios

Entry

Account

Debit

Credit

Remark

1st

City Ledger

100

This account has a pop-up, Entry must be posted in the pop-up and not on the account directly.

2nd

Cash

100

Credit Side

Enter reference no. This is for your internal reference.
Select the date of the transaction. The date selected will be applied to the entire journal.
For P&L Accounts only it is mandatory to select Division, Department, Outlet. But you can also just select the outlet or the department name directly, and the related division will be shown.
Select the Ledger, Group, and Account for your entry. You can also just select the account name directly, and the related Ledger and group will be shown. In this case, I selected the account "city ledger". The pop will appear.
There will be a pop-up, search the agency that made the payment.
Click on "payment field". The pop up for the payment method will appear
In this example, I selected the "cash" payment method.
Enter the amount paid
to 11: Click "submit". After clicking Submit the entry will automatically appear on the credit side of the grid.

Debit Side

Select the Ledger, Group, and Account for your entry. You can also just select the account name directly, and the related Ledger and group will be shown. In this case, I selected the account "Petty Cash".
Enter the amount received in Cash
Click on the "Debit" button
Select "tax incl" or tax excl. If the entry has tax, select the related tax from the dropdown.
Enter the memo.
Click on the +record. After clicking the +record. The entry will be shown on the debit side of the grid.
Click Submit when done. You can only submit when debit and credit are equal. GL journal in pdf will be generated after clicking submit.

GL Journal

Scenario 2

Account Payable Knock Off Entry

This is where you reconcile the payment made in AP. You only perform this when payment is already deducted from the bank.

Select the date, this will be the date that will appear in the Bank Reconciliation Report (BANK RECON REPORT MANUAL ) as being the collection date.
Select the Ledger, Group, and Account for your entry. You can also just select the account name directly, and the related Ledger and group will be shown. In this case, I selected the account Ap Trade". The pop will appear. The selection of an account might vary based on the COA of the property.
You can search by Supplier name or by cheque number.
Click on the search icon.
Select the payment that you want to reconcile by ticking the box.
Click "Submit" when done.

After you click “submit” you will have a short message from E-Hors “cheque has been reconciled”. There is no entry in GL anymore as these have been done previously already.

Scenario 3

Credit Card Clearing / Debit Card Clearing

All the payments posted in the folio (reserved & in-house status), as well as the payments posted on the POS and payments from Ehors booking Engine using the Credit Card/Debit card payment method, will appear on the clearing accounts.

Credit Side Entry

Key in the reference Number.
Select the date of the transaction.
Select the Ledger, Group, and Account for your entry. You can also just select the account name directly, and the related Ledger and group will be shown. In this case, I selected the account Credit card clearing". The pop will appear. The selection of an account might vary based on the COA of the property.
Transactions that have not been cleared yet will be shown, you can also search based on transaction number or approval code.
Select the transaction that you want to clear, you can also select all transactions by clicking the select all button.
Click "Submit" when done. After submit, the selected transactions will be shown automatically on the credit side column.

Debit Side Entry

Select the Ledger, Group, and Account for your entry. You can also just select the account name directly, and the related Ledger and group will be shown. In this case, I selected the account Credit card clearing". The pop will appear. The selection of an account might vary based on the COA of the property.
Enter the amount that you received in the bank, excluding the credit card charges or commission.
Select the "debit" button.
Select if it's tax incl or excl and the related taxes if applicable.
Enter the memo for this journal.
Click + record when done.
For credit card clearing you also have to debit your credit card charges. When or if the chosen account is a P&L account, division and department are mandatory. For the credit card commission entry repeat steps 1 to 6 after selecting the department. (see image 2)
Click "Submit" when done. After submit, the selected transactions will be shown automatically on the credit side column.

Scenario 4

Cheque Clearing

All payments made in the folio, GL, or the POS using the payment method “Cheque” will appear in the cheque clearing account.

Before you can clear it, the cheque needs to be deposited first. When you bring the cheque to the bank you have to perform few steps in the AR Reconciliation program.
AR Reconciliation program – this is where you assign the cheque, which bank the cheque should go to. (This also creates a journal entry on your GL, debit bank credit cheque clearing and the date that will appear on your AR report will be 0000-00-00 until you perform the cheque clearing and the collection date will be shown). AR RECONCILIATION MANUAL

The collection date is very important because this is the date that will appear on your AR report as your formal date of payment.

Select the collection Date. This will be the date that will appear in the Bank Reconciliation Report (BANK RECON REPORT MANUAL ) as being the collection date.
Select the Ledger, Group, and Account for your entry. You can also just select the account name directly, and the related Ledger and group will be shown. In this case, I selected the account"cheque clearing". The pop will appear. The selection of an account might vary based on the COA of the property.
Select the cheque you want to reconcile/knock off.
Then click the submit button when done.

Scenario 5

Misc AR /Other receivables

The transactions created in debit/credit notes for the outlet owner will appear in MISC. AR account (default account) these transactions have to be cleared in GL under Misc. AR or other Receivable Account. Steps are similar to how you clear the account receivable, instead of selecting AR account, select the "MISC. AR or other Receivable Account.

Scenario 6

Cash (FO Shift, POS Shift, Retail shift) Clearing

The program Payment Method Link creates a link between payment and payment method. This is free to define. E.g. we create a payment method Cash Drop FO
and link this to the account FO Cash Float. All cash transactions using this payment method will be booked on the account FO Cash Float.
The above means, you can have as many methods as you like, you can also consolidate all cash payments into a single cash account.
It is advised to "clear" these accounts. E-Hors has an SOP for this purpose

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