Dear Clients,

A recurring theme of the NexLAN NewsLine is the importance of Validating the Balance Sheet (so that at least the bottom line of your Income Statement is correct)—even providing customizable checklists on our website including the most common validating reports. What I hadn’t encountered before was the importance of “validating the validating reports”…

We were recently contacted by a client who has been dutifully validating their AR asset account against the Customer AR Aging Report every month, but they just happened to lean and squint closely at the data and realized they had numerous open customer invoices WAAAAAAY past due—some going back more than seven years. Needless to say, the odds of collecting on invoices that old are pretty much zero, so they’re faced with writing off approximately 25% of their current outstanding customer invoices and senior management was understandably upset at the prospect—but what are the realistic choices at this point?

This might be an extreme case, but careful monitoring of the AR Aging Report would have allowed bad debt to be written off in small pieces over numerous years, so as not to impact the bottom line by such a large amount all at once, and undoubtedly would have precipitated collection efforts in a timely manner that could have yielded results.

So, here’s a list of the reports to be sanity checked on a pretty regular basis—and, to be clear, “sanity checked” means to REVIEW IN DETAIL for completeness and accuracy. Those indicated with an asterisk for validating the Balance Sheet at least monthly, the others at least quarterly:

  • AP > Past-Due Aging Report*: Validate Payables Liability account
  • AP > Prepayment Invoice Report*: Validate Prepayment Asset account
  • AR > Aging Report*: Validate Receivables Asset account
  • AR > Open Credit Report*: Add to Aging Report to validate Receivables Asset or separate Liability account
  • AR > Open Credit Adjustment Report: Review the amount of discounts and write-offs taken during the cash receipt process
  • AR > Sales Tax Amount Report*: Validate Sales Tax Liability account
  • BR > Bank Reconciliation Report*: Validate Cash Asset account
  • IC  > Warehouse Quantity Listing*: Validate Inventory On-Hand Asset account(s)
  • IC > Inventory In-Transit Report*: Validate Inventory In-Transit Asset account(s)
  • MI > Backorder Report: Review open Work Orders
  • MI > Work-In-Process Report*: Validate WIP Asset account(s)
  • PO > Purchase Order Backorder Report: Review open orders, best sorted by Request Date
  • PO > PO Line Items for AP Matching Report*: Validate Accrued Received Goods Liability account
  • PR > Employee Paid Leave Listing*: Validate Accrued Employee Benefit Time Liability account(s)
  • PR > QTD Tax Withholding Report*: Validate Accrued Tax Liability account(s)
  • RA > RMA Status Report: Review goods not yet received, and not yet shipped, and not yet completed
  • SO > Advanced Billing Summary Report*: Validate Deferred Revenue Liability Account
  • SO > Credit Hold Sales Order Report: Review Sales Orders on credit hold
  • SO > Drop Ship Order Status Report*: Validate
  • SO > Open Sales Order Report: Review open Sales Orders, best sorted by Request Date; also review Sales Quotes
  • SO > Un-Invoiced Shipment Cost Report*: Validate Un-Invoiced Inventory Asset account

I know the above is a lengthy list, but nobody ever said this accounting gig was easy, right? And the complete list won’t apply to most businesses. Most importantly, it really is critical to review these on a regular basis—before they get away from you!

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In other news…

Both AccountMate and Acumatica are releasing new versions! 

AccountMate 12.2 SQL/Express has a raft of new features, many of which were added in response to requests and ideas from AccountMate users. Register for the October 7 Noon to 1:30PM CDT AccountMate 12.2 SQL/Express New Features webinar to see and learn more.

Acumatica 2021 R2 was introduced last week on a live webinar, with highlights including many new personalization features, and new integrations with Microsoft Teams and Adobe Document Cloud that run within Acumatica. See and learn more via the on-demand event recording, Acumatica R2 2021 Overview, on their website.

Also, if you’re a direct NexLAN client with the AccountMate Payroll module, then we’ve already been in touch regarding the 2022 Payroll Tax Subscription you’ll need to run the module next year. Pricing varies based on the number of states you need, but there’s a 10% discount if paid by November 30th so don’t miss it!

Regards,

Kevin E. Stroud
kestrou@nexlan.com
NexLAN, LLC
https://nexlan.com 

Last Call for the Core Product Training for AccountMate SQL/Express That Starts October 7

October 7 – November 11, 2021 is the next scheduled Core training for AccountMate users. These outstanding and comprehensive online classes are conducted by the good folks at AccountMate a few times per year. This time the sessions are bite-sized, spaced out over 6 weeks, for 2-4 hours at a time and 2 sessions per week:

  • Oct. 7—System Manager 1 / System Administrator
  • Oct. 13—System Manager 2 / User Interface
  • Oct. 14—General Ledger
  • Oct. 20—Inventory Control
  • Oct. 21—AP/PO Master Records
  • Oct. 27—Purchase Order
  • Oct. 28—Accounts Payable
  • Nov 3—AR/SO Master Records
  • Nov 4—Sales Order
  • Nov. 10—Accounts Receivable
  • Nov 11—Bank Reconciliation

Imagine heading into year-end with many new AccountMate skills, a better understanding of how actions in one module impact things in other modules, and new insights into how to do things better and more efficiently! This class draws both novice and experienced users. You can ask questions specific to your company’s processes, as these aren’t webinar recordings—these are “real” classes, live with hands-on exercises.

Do you want to attend one or more days but not the whole thing? You can do that! The class is $2500 per person for all of it, or $400 per day for one or more days. And companies on LifeCycle Maintenance get at least one FREE seat per year (more seats depending on your number of users) and 50% discounts for additional seats. See details on all the discount levels on the Course Overview page.

And here’s the Course Outline and the Course Schedule. Let us know if you’d like to register and don’t be shy about asking questions first.

AccountMate Tech Note: Reports Useful for Reconciling Bank Accounts

Reconciling bank accounts regularly is especially vital to a company’s operations; however, reconciling book entries with bank statements and poring over documents can become tedious and time-consuming. AccountMate’s Bank Reconciliation (BR) module is equipped with reports useful for facilitating the bank reconciliation process much more easily.

Article # 1241: Reports Useful for Reconciling Bank Accounts discusses the different reports you can generate as well as the use of each report in reconciling bank accounts.

AccountMate Tech Note: Understanding the Multi-Currency Features in RMA and RTV

 

The Return Merchandise Authorization module’s multicurrency transactions are controlled by the Accounts Receivable module. This means that activating the multi-currency feature in the Accounts Receivable module also activates the same feature in the Return Merchandise Authorization module. Once it’s activated, you may record multi-currency sales return transactions in the Return Merchandise Authorization module. You can also transfer from the Return Merchandise Authorization module to General Ledger the multicurrency transactions in both home and foreign currencies.

Article # 1348: Understanding the Multi-Currency Feature in Return Merchandise Authorization discusses how to maximize the use of the multicurrency feature in the Return Merchandise Authorization module. This document also lists the Return Merchandise Authorization reports that display values in both home and foreign currencies.

The Return to Vendor Authorization module multi-currency feature is automatically activated when the same feature is activated in the Purchase Order module. Using the Return to Vendor Authorization module, you may create, receive, ship, and complete RTV orders in foreign currencies and transfer these multi-currency transactions to General Ledger in both home and foreign currencies.

Article # 1349: Understanding the Multi-Currency Feature in Return to Vendor Authorization explains how you can activate and set up the Return to Vendor Authorization module multi-currency feature. It also lists the Return to Vendor Authorization reports that display the transactions in both home and foreign currencies.

AccountMate Technical Tips

Versions: AM12 for SQL and Express
AM11 for SQL and Express
AM10 for SQL, Express. and LAN
AM9 for SQL, Express, and LAN

Module: AP

Q: If you are paying several invoices in one check (e.g., more than 25 invoices), then AccountMate will use more than one check stock so that all the invoices paid will be printed in the stubs. This is a waste of checks. Is there any way around this?

A: Perform the following as a workaround:

Mark the Suppress Check Stub checkbox in the Vendor Maintenance ► Settings tab. This option will not print the invoice details in the check stub; thus, only one check stock will be used when you print checks even if you are paying multiple invoices in one check.

Then print the Check Register Report with the Show Check Detail checkbox marked in the report interface. This will display the invoices that were paid per check. You can generate the Check Register Report per check. This will serve as your payment voucher or as a replacement for the check stub.

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Versions: AM12 for SQL and Express
AM11 for SQL and Express
AM10 for SQL and Express
AM9 for SQL and Express

Module: RA

TIP: You cannot generate an RMA Pick List if any of the following conditions exist:

  • The return code return action for all the items is credit (i.e., Restock and Credit, Discard and Credit, Repair and Credit)
  • The item on-hand quantity is not sufficient and the Exclude Items with Insufficient Stock checkbox is marked in the Print RMA Pick List report interface
  • The RMA has been shipped (no unshipped quantities)

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Versions: AM12 for SQL and Express
AM11 for SQL and Express
AM10 for SQL, Express, and LAN
AM9 for SQL, Express, and LAN

Module: AR

Q: For my cash sales, how can I create an AR invoice for which payment is automatically applied at the time the invoice is saved?

A: In the Create Invoice ► Payment / Bill To / Ship To ► Pay Code field, enter a pay code that is set up to Apply Payment Automatically. You can configure the pay code setting in the Pay Code Maintenance ► Apply Payment Automatically checkbox.

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