1.1 Accounting Journal

In accounting module, click on configuration tab and then click on journals as shown below.

In the new page that opens up, click on the create button as shown below so that you create a journal called Opening balance as shown below.

N.B: As we create a journal, keep in mind that we are creating a journal so that we can be able to post the opening balance of our customers as well as our suppliers.

In the new page that opens up, type the name of the journal in this case “Opening balance as of 31/10/2020” , choose the type as “ Miscellaneous” ,then type the short code as “OPBL/”  and finally for the default Debit, Credit and Currency  leave blank as shown below. When through with that Click on save button.

The journal created above should appear in the list of journals as shown below.

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1.2 Create Chart of Accounts

Next in the accounting menu, click on Configuration menu, then Charts of Account as shown below.

In the chart of accounts, click on “Group by” then select Account type. Then click on the last chart of account of type equity. Create an account of type equity to hold the opening balances. This will be used for both customer and supplier balances.

N.B: you can create a chart of accounts by clicking on the create button in the charts of account, however we recommend the following method due to it’s convince in terms of formulating the codes for each type of chart of account automatically.

In the new page that opens up, click on the Action tab and select Duplicate as shown below.

In the new page that opens up, the code will be automatically be generated, type the name of the chart of Account as Opening balance and select the type as equity. When done with this, click on save button as shown below.