So for every business, we have to maintain the accounting part. Whether is it expenses or income. So the basic knowledge of accounting you need to have to pass any journal entry or transaction. An expense in accounting is the money spent, or costs incurred, by a business in their effort to generate revenues. Essentially, accounts expenses represent the cost of doing business; they are the sum of all the activities that hopefully generate a profit.
LEDGER / ADD TO FAVOURITE RIES
DEBIT SIDE & CREDIT SIDE
Jainam Software provides a perfect accounting module and a ledger management system. All Loan related accounting is done automatically. Other than loan, different types of expenses and income can also be maintained. In Jainam software, more than 500 required all ledger list is available. Expenses and Income can be added through Journal Entry. To add any sort of expenses or income like Tea and Coffee expenses, car expenses , electricity Expenses, Late Fee, Processing fee etc they all can be added through Journal Entry. So to run the business successfully , we have to manage accounting part of our business to know the companies financial situation. So expenses are of two types direct expenses or indirect expenses which occur directly or indirectly.
For every accounting journal entries, there are two sides one is debit and other is credit. For example
Real account : Debit what comes in and credit what goes out like all assets, goods and cash.
Nominal account : Debit all expenses & losses and Credit all Income & gains.
Indirect expenses like General expenses , advertisement expenses, electricity expenses, petrol expenses, coffee beverage expenses like that and so on.
Direct expenses like Expenses on purchase, import duty, wages on production, manufacturing expenses, Freight Inward, coal and fuel, wages and so on.
Following are the steps to add expenses:
STEP 1 : To add expenses you need to have a ledger. For example if you want to add office expenses then go to ledger > add to favorite and select ledger to add in your favorite list.
STEP 2 : Then go to accounting > journal entry. Select payment and voucher date of payment in Dr that is debit select office expenses and in Cr that is credit select Cash or bank name.
STEP 3: Enter the expenses amount in Debit and Credit. In double entry debit and credit side amount should be same. Do not forget to enter narration and then click Save. Whatever accounting entries you have done you can check them in business summary > account statement.
STEP 4 : We can click to add new button to create three entries according to the accounting rules. For example Document charges and processing fees received from customer entry will be
Cash dr. 500
To Document charges Cr. 200
To Processing Fees Cr, 300
STEP 5 : From Customer profile also we can create voucher entry. For example search customer from the search bar and then click on star icon and create voucher for that particular customer. All this entries you can check in the business summary < account statement using different filters.