Cash Box—Exercises

IMPORTANT
It is extremely important that you set up and work within your own company and with your own customers and suppliers to maintain your data integrity. If you work with any other objects, your exercises will not function as intended and the data of other students might be affected. Predictable exercise results require that your data must be isolated in your own company.

Basic Data Setup

Tax Codes

Purpose: The purpose of this exercise is to enter a new tax code to be used in the following exercises.

Windows:
Tax Codes

  1. Open the Tax Codes window and populate.
  2. Select an existing record, for example, tax code 1.
  3. Create a duplicate, change the identity of the tax code to P1, change Valid From to a previous date. You can select either Invoice Entry or Payment for Tax Method Received and Tax Method Disbursed.
  4. Save your changes.

Posting Control

Purpose: The purpose of this exercise is to set up posting control for the new tax code to be used in the following exercises.

Windows:
Posting Control

  1. Open the Posting Control window and query for posting types where Control Type = AC7 (tax code).
  2. As a result, you will have a number of tax-related posting types, among others IP4 and PP45.
  3. Select the line with posting type IP4, right-click and then click Details.
  4. Add your new tax code. You can also create a duplicate of tax code 1 here.
  5. Save and close the Posting Control Details window.
  6. Select the line with posting type PP45, right-click and then click Details.
  7. Add your new tax code. You can also create a duplicate of tax code 1 here.
  8. Save and close both windows.

Cash Accounts

Purpose: The purpose of this exercise is to prepare the cash account for the cash box.

Windows:
Cash Accounts

  1. Open the Cash Accounts window and populate.
  2. Choose the cash account CASH or define your own cash account based on payment institute CASH. The Cash Box check box will be selected for the payment institute CASH.
  3. Set the balance method to Detailed for your cash account.
  4. Save.

Required Data

Create Customer Invoices

Purpose: The purpose of this exercise is to enter the data required to run the cash box functionality.

  1. Enter or create a few invoices for three different customers.  Enter at least one invoice in a currency other than your accounting currency.

Link to Manual Customer Invoicing

Create Customer Invoices for Other Company

Purpose: The purpose of this exercise is to enter the data required to run the Cash Box functionality.

  1. Create Customer Invoices in another company other than your default company for one of your customers.

 Link to Manual Customer Invoicing

Enter and Authorize Supplier Invoices

Purpose: The purpose of this exercise is to enter the data required to run the cash box functionality.

  1. Enter a few invoices for three different suppliers.
  2. Authorize the invoices/installments for payment.

Link to Arrival Entry Supplier Invoice
Link to Authorize Supplier Invoice

Cash Box

Purpose: The purpose of this lesson is to enable users to enter various types of payments into the cash box process.

The cash box process is used to manage cash box in the company. All incoming and outgoing cash transactions are registered in the application. Depending on the direction and kind of the person paying or receiving money proper transaction type should be chosen. There are three available transaction types in cash box: Enter Customer Payment, Enter Supplier Payment, Direct Cash Payment. The last one is used when payment is not connected to either customer or supplier . The account and other code parts are specified directly on the transaction.

The right mouse button option Match Payment can be used to match transaction with invoices/installments. If one invoice is paid then it can be entered directly on the transaction.

In the following exercises, you will enter payment transactions one at a time, in the same cash box. When the cash box is approved, a voucher will be created including all these payment transactions. If you would like to view the postings created by each exercise, you can approve the cash box after each exercise, and then start the next exercise by initiating a new cash box.

The invoice currency can be different from the currency of the cash transaction which results when the invoice is paid. All transactions in one cash box has to be specified in cash account currency.

To see the difference between using balance methods Detailed and Group, go through the following exercises twice, once for each balance method.

Enter a Customer Payment with Invoice matching

Purpose: The purpose of this exercise is to enter a customer payment and match it with several invoices.

Windows:
Cash Box

  1. Open the Cash Box window and create a new record.
  2. Enter your cash account or use the List of Values to select a value for the Cash Account field. You will get default values for currency and currency rate, balance method in the Header Details tab.
  3. Go to the detail table on Transactions tab and create a new record. In the Transaction Type list, select Enter Customer Payment.
  4. Use the tab key to move to the Payer/Payee Identity field where you enter the identity of your customer. You can also use the List of Values.
  5. Enter an amount that will cover two of the invoices/installments for this customer. A positive amount, as a customer payment has a positive effect on the cash account.
  6. Save the payment transaction.
  7. Select the payment transaction line, right-click and and then click Match Payment. This would open the Matching window and the Select Batch of Invoices dialog box which will be populated with open ledger items.
  8. Select two of your invoices/installments and click OK. As a result, the invoices/installments will be copied to the matching window.
  9. If there is a remaining amount in the matching window header, the amount on the payment transaction will not match the two invoices/installments. You can then either change the paid amount for one or both invoices/installments, or change the amount on the payment transaction after having confirmed the matching.
  10. Click OK to confirm the matching.

You have now completed the first payment transaction in the Cash Box, and can continue with the next exercise.

Enter a Customer Payment of one invoice

Purpose: The purpose of this exercise is to enter a customer payment and match it with one invoice/installment.

Windows:
Cash Box

  1. As we continue in the same cash box as in the previous exercise, leave the Transactions tab window open.
  2. Create a new record and select Enter Customer Payment from the list for the Transaction Type field.
  3. Use the tab key to move to the Series ID field and enter the series ID for the invoice to be paid. The List of Values can be used to select a series ID.
  4. In the Invoice No field, enter the number of the invoice to be paid, or use the List of Values.
  5. In the Installment Id field, enter the number of the installment to be paid, or use the List of Values
  6. The customer ID and amount of the invoice/installment is now displayed in the payment transaction.
  7. Save the payment transaction.

You have now completed the second payment transaction in the Cash Box, and can continue with the next exercise.

Enter a Customer Payment on Account

Purpose: The purpose of this exercise is to enter a payment received from a customer without knowing what is being paid for. Therefore, we will enter the payment without matching with invoices.

Windows:
Cash Box

  1. As we continue in the same Cash Box as in the previous exercise, leave the Transactions tab window open.
  2. Create a new record and select Enter Customer Payment from the list for the Transaction Type field.
  3. Use the tab key to move to the Payer/Payee Identity field and enter the ID of the customer who made the payment. You can also use the List of Values.
  4. Enter the paid amount. A positive amount, as a customer payment has a positive effect on the cash account.
  5. Save the payment transaction.

Note: Since this payment is not matched with invoices/installments and only the customer is specified, a payment on account will be created when the cash box is approved. This payment on account can later be offset with customer invoices/installments.

You have now completed the third payment transaction in the cash box, and can continue with the next exercise.

Enter a Direct Cash Payment

Purpose: The purpose of this exercise is to enter a Direct Cash Payment, which is payment not related to any customer or supplier. The account and other code parts are entered directly on the transaction.

Windows:
Cash Box

  1. As we continue in the same Cash Box as in the previous exercise, leave the Transactions tab window open.
  2. Create a new record and select Direct Cash Payment from the list for the Transaction Type field.
  3. Enter the paid amount, which will be displayed as a negative amount.
  4. In the Tax Code field, enter your new tax code to create a tax posting. Note: It is not mandatory to enter a tax code for direct cash transactions if no tax postings are needed.
  5. The tax amount will now be calculated and displayed.
  6. In the Account field, enter a proper cost account.
  7. Save the payment transaction.

You have now completed the fourth payment transaction in the cash box, and can continue with the next exercise.

Enter a Direct Cash Payment with split cost posting

Purpose: The purpose of this exercise is to enter a General Payment that should be posted to several cost accounts.

Windows:
Cash Box

  1. As we continue in the same Cash Box as in the previous exercise, leave the Transactions tab window open.
  2. Create a new record and select Direct Cash Payment from the list for the Transaction Type field.
  3. Enter the paid amount, which will be displayed as a negative amount.
  4. In the Tax Code field, enter your new tax code to create a tax posting. Note: It is not mandatory to enter a tax code for direct cash transactions if no tax postings are needed.
  5. The tax amount will now be calculated and displayed.
  6. Save the payment transaction.
  7. Select the payment transaction line, right-click and then click Manual Posting. This will open a dialog box where you can post your payment.
  8. Select Gross Amount Entry as the amount method. This means that the amount entered on each line will be taken as gross amounts when it comes to calculating the tax amount.
  9. Enter two lines with different accounts and split the payment amount between the two lines.
  10. Click OK.
  11. Save the payment transaction.

You have now completed the fifth payment transaction in the Cash Box, and can continue with the next exercise.

Print Cash Receipt

Purpose: The purpose of this exercise is to print cash receipt for entered transaction.

Windows:
Cash Box

  1. As we continue in the same Cash Box as in the previous exercise, leave the Transactions tab window open.
  2. Select the entered transaction and click right mouse button option Print Cash Receipt.
  3. In the Print Report dialog box, select Preview or click OK to send the report to the printer. Verify that the information printed is correct.
  4. Verify that the state of the transaction has been changed to Printed.
  5. Verify that the columns Transaction No, Transaction Date, Payer/ Payee Identity, Cash Receipt payer/payee, Text, Amount and Amount in Acc Currency cannot be modified after the receipt has been printed.
     

Print Cash Box Report

Purpose: The purpose of this exercise is to print cash box report for all entered transactions during the day or other chosen period.

Windows:
Cash Box

  1. Select the cash box, right-click in the header, and click Print Cash Box Report.
  2. In the Print Report dialog box, select Preview or click OK to send the report to the printer. Verify that the information printed is correct.

Approve the Cash Box

Purpose: The purpose of this exercise is to approve a cash box.

Windows:
Cash Box

  1. As we continue in the same cash box as in the previous exercise, leave the Transactions tab window open.
  2. Right click in the upper part of the tab and then click Approve. As a result, the Approve Cash Box dialog box will appear on the screen, showing information on the voucher date, accounting period, user group, and voucher type. The voucher type for a voucher created in cash box must belong to function group CB.
  3. Click OK.

Note: Another dialog box will appear showing the identities of the Voucher and the Payments created. Note that there are three payments created, one customer payment, one supplier payment, and one general payment.

  1. Take note of the Voucher Type and Number and Payment Series ID and Numbers.
  2. Click OK to close the dialog box.

Note: The status of the Cash Box has now changed from Not Approved to Approved.

  1. Close the Cash Box window.
  2. To analyze the payments and voucher created, use the following query windows:

                   - Voucher Analysis to view the voucher created.

                   - Cash Account Balances Analysis to analyze the cash account balance and the cash transactions.

                   - Query - Cash Box Details to view details of the Cash Box.

Note: Check out the difference between Detailed and Group balance methods. If you have used Detailed as the balance method, you should for example see eight Cash Transactions and eight postings to the Cash account. If you used Group, you should only see three Cash Transactions and three postings to the Cash account. One per payment created.

 

Cancel Matching

Purpose: The purpose of this exercise is to un-match invoices paid by given payment transaction. This operation is possible in approved Cash Box. The parked payment is created for the total of the matched invoices. The invoices are opened back for payment. This function should be used when wrong invoice has been matched.

Windows:
Cash Box

  1. Open the Cash Box window find the cash box which is approved. In the Transactions tab, query for the Enter Customer Payment or Enter Supplier Payment transaction, which is matched with invoices.
  2. Select the line, right-click and click Cancel Matching.
  3. Click OK in the Cancel Matching dialog box.
  4. Click OK in the dialog confirming that payments and voucher has been created.
  5. Analyze the voucher created in the query form Voucher Analysis
  6. Verify the open amount of the invoices which has been unpaid in the following windows.