Reference no: EM13372946
Using Peachtree Accounting Software
Peachtree software is an accounting system in which small businesses can manage their books. Peachtree software takes a more difficult and complex process and reconstructs it into a simple process that anyone can use. By following the instructions provided, one will be able to set up their company in Peachtree, make their journal entries, and view the financial statements that the software creates. It benefits any company to use the Peachtree software because it provides accuracy that manual bookkeeping cannot. The software ensures that proper journal entries are made and that all accounts balance. The use of Peachtree requires basic computer skills; however, one must be knowledgeable in accounting to make the proper journal entries. All steps in the instructions are necessary and must be followed completely.
Establishing your company
1. Open Peachtree Complete Accounting. On the start up screen, click “set up a new company.”
2. Click “next” on the first screen presented.
3. Fill in the company’s information and then click “next.”
4. Leave the default and click “next.”
5. Scroll through and select a comparable industry and click “next.”
6. Choose the accounting method the company currently uses and click “next.”
7. Select the way the company would like to post the journal entries and click “next.”
8. Identify 12 month accounting periods and click “next.”
9. Choose the month that the company’s year-end will begin and end on click “next.”
10. Use the default on this screen and click “next.”
11. Change to “No, I do not need the Setup Checklist,” and click “finish.”
Protect your files
12. Select the maintain tab, then users
13. Set up a user name and password, click “save.”
Creating your journal entries
14. Select the tasks tab, then general journal entry. 15. Select the date on which the journal entry is to be made. At any point during
creating journal entries, the date can be changed to represent various entries on various days, but the entries must be saved before changing to a different date.
16. Under account number, click on the magnifying glass and choose the account to debit, then create a description and dollar amount in the proper fields.
17. Complete step 16 again, except for the account to be credited.
18. Repeat steps 16 and 17 until all journal entries are made for that day and any other days.
19. Click “save” at the top of the screen after each journal entry.
20. Once the journal entries are complete, go the tasks, then system, then post. Click “all journals,” and then “OK.”
The finished product
21. Go to reports, then general ledger. Double click “general journal” to view the list of journal entries.
22. Go to reports, then financial statements. Double click on the financial statement to view it.
Congratulations, the process is now complete. The finished product includes an established company in the Peachtree software, journal entries, and current financial statements. Continue to make use of the Peachtree software by creating entries as they occur. Remember to post all entries at the end of each day. Good luck with the continued use of Peachtree software, hopefully it will meet all of the financial needs of the company.
Group Assignment
Nov 2 Invested $20,000 cash, land valued at $72,000, and a building valued at $108,000 in exchange for 40,000 shares of $5 par value stock.
Nov 2 Paid $1,800 for a one-year insurance policy.
Nov 5 Borrowed $50,000 by signing a 2-year, 12% note at Bank One. Interest payments are due every 6 months, beginning 5/5/10. Principal will be repaid at the end of 2 years.
Nov 8 Purchased $12,000 of office equipment for cash from Best Buy.
Nov 10 Purchased $16,000 of office furniture on account from CDC Design, payable in 30 days.
Nov 10 Hired an office assistant for $350 per week, to be paid every two weeks.
Nov 12 Purchased $800 of office supplies on account from Office Depot.
Nov 13 Paid GSD&M $1,800 for November advertising.
Nov 19 Completed work for client 103A, Jones Engineering, and received $1,425 for services performed.
Nov 20 Paid November telephone bill, $128.
Nov 23 Billed client 101A, Matterhorn Construction, $2,775 for services performed.
Nov 24 Paid office assistant's salary for first two weeks.
Nov 25 Paid invoices #12789 from Office Depot for supplies purchased on Nov 12.
Nov 27 Received November utility bill, due Dec. 12, $465.
Nov 30 Billed client 102A, Jenkins & Armbruster, $3,065 for services Performed.
Nov 30 Received $2,000 from client 104A, SC Environmental Corp., for Services to be performed during December and January.
Print and submit Income statement and balance sheet (as of) and income statement (for the month ending in) November 30th.