A little follow up here. As it is not possible to have a department inside a department I've been able (or forced as you wish) to split the whole accounting in 3 companies, avoiding until now the matter mentioned in the previous posts in this thread. However, recently we have been confronted with the same 'problem' again: departments working for and selling to other departments.
I suppose we can't use the AP/AR Transaction forms for that, replacing the 'accounts receivable/payable' by 'assets borrowed from other departments'/'loan by department 1', '... 2', etc.? Thanks On Thu, 2010-06-10 at 05:15 -0700, Chris Travers wrote: > On Thu, Jun 10, 2010 at 5:03 AM, ario <[email protected]> wrote: > > Yes! Thanks to dwmbeancounter.com I now even do understand what you > > mean. What seems to make LSMB especially useful for us is the > > implementation of Projects and Departments with the possibility of > > creating a balance per department. > > > > Now there's one conceptual thing that I am still trying to figure out. > > And that's borrowing between departments. Our departments will > > constantly borrow cash from each others wallets and I have no idea how > > to implement that on de COA, while being able to constantly keep track > > of their balances for each department. > > Of course I could make liabilities and asset accounts that would look > > like: > > > > 1210 borrowed to dept 1 > > 1220 borrowed to dept 2 > > 2310 borrowed from dept 1 > > 2320 borrowed from dept 2 > > > > so that the balance would be reflected on each department's balance > > sheet, but of course would be zero on the company's balance sheet. > > I feel however as if it wouldn't be justifiable to use a company's asset > > (liability) account to reflect money borrowed by one department to > > (from) one of the other departments. > > What I'd actually do is this: > > 1200 Borrowed assets from other departments > 2301 Internal loan by dept 1 > 2302 Internal loan by dept 2 > > Then one tags the transactions as the borrowing transaction. Then > your balance sheet will show how much departments owe eachother, but > won't be too specific. Yet the departmental balance sheets will show > who money is owed to. It would also allow a department to loan money > in other internal ways and have that show up in this way. > > For example, suppose the company offers credit cards for business use > only to managers. Suppose the credit cards sometimes have personal > incidental expenses that the company isn't willing to cover (aside > from misuse of cards, there could be legitimate reasons for such, > including anything from disagreements as to exactly what incidentals > would be covered to the fact that a given purchase might have a > mixture of items that the company was willing to pay for and those the > company was not). These could then be treated as loans, using this > same system plus an additional account to track them as basically cash > advances. > > Best Wishes, > Chris Travers > > ------------------------------------------------------------------------------ > ThinkGeek and WIRED's GeekDad team up for the Ultimate > GeekDad Father's Day Giveaway. ONE MASSIVE PRIZE to the > lucky parental unit. See the prize list and enter to win: > http://p.sf.net/sfu/thinkgeek-promo > _______________________________________________ > Ledger-smb-users mailing list > [email protected] > https://lists.sourceforge.net/lists/listinfo/ledger-smb-users ------------------------------------------------------------------------------ The Next 800 Companies to Lead America's Growth: New Video Whitepaper David G. Thomson, author of the best-selling book "Blueprint to a Billion" shares his insights and actions to help propel your business during the next growth cycle. Listen Now! http://p.sf.net/sfu/SAP-dev2dev _______________________________________________ Ledger-smb-users mailing list [email protected] https://lists.sourceforge.net/lists/listinfo/ledger-smb-users
