Overview of the General Ledger
The General Ledger module utilizes up to 13 accounting periods each year, has a user definable account structure, the ability to post to the General Ledger real time, the ability to edit previous year's transactions, and print financial reports from any open period.
Getting started with the General Ledger module:
- Create a chart of accounts.
- Set up each account's beginning balances. Do this by creating a GL batch and enter the last period of the prior year as the batch period. This assumes that you're starting at the beginning of the year. If starting in mid-year, they may enter the balances as of the end of the prior period.
- Run a Trial Balance to make sure that everything is in balance.
Using the General Ledger module:
- Most transactions for the General Ledger module will come directly from Lynx. However, when transactions get entered directly through Journal Entries, they are always entered as a batch (just like all other financial transactions in the system).
- Each Journal Entry transaction requires two entries, one to debit an account and one to credit another. However, amounts may be summed. For example, there may be one adjusting entry crediting cash and four debit entries to other accounts.
- As each transaction is entered, the total debits and credits will be shown. You will not be permitted to exit this screen if the debits and credits do not balance.
- You may interrupt a batch and resume at a later time, but the batch will not be posted until the batch total also equals the debits and credits (i.e. debits = credits = batch total).
To get to the General Ledger accounting module:
From the Lynx Main Menu . . .
1. Left-click on Bookkeeping.
2. A drop down menu will appear
3. Left-click on General Ledger.
4. This will display the General Ledger options.