Cross reference codes or Accounting lettering is an operation that makes it possible to establish a link between an invoice and its payment by entering a character or a combination of characters.
Accounting lettering is used to verify the status of payment of invoices by assigning a mark, most often a letter or a combination of letters. This system is often used to verify the correct payment of invoices (issued or received from suppliers) and thus identify invoices awaiting payment, or whose payment does not correspond to the expected amount.
How to make account lettering work in LPF
First define the number of characters of the lettering in the menu System\Configuration\Accounting\Account settings
We will therefore apply the account. Matching the account will consist of assigning the same letter - or the same combination of letters - to equal movements but in the opposite direction (one to debit, the other to credit) which concern the same client.
Note: To a combination of letters, match an invoice with its payment.
There is the possibility to define the number of characters of the lettering, to add or to remove the said code on a selected account.
In general, the matching is mainly done on supplier and client accounts, but in order to avoid any future limitation, we have left the choice to configure any account as an account to be lettered in the chart of accounts.
In the chart of accounts, a checkbox has been added to allow the finance and accounting department to define the accounts to be lettered.
It is possible to automatically add or delete the said code on an account selected in the Accounting \ Lettering codes menu.
How to add lettering codes to GL accounts
Click on the add button to the report on the cross referenced transaction which will look like one below:
On the form for adding manual transactions, a lettering code text box has been added to allow the user to enter a lettering code for a transaction. This text box is only activated if the selected account is defined in the chart of accounts as an account to be lettered.
Also, a lettering code text box has been added to the form for entering invoices received from suppliers in the Loan Performer purchases and sales menu.
A letter or a combination of letters must be assigned to an invoice and the corresponding payment. Enter the letters in the text box titled Lettering on the purchase / sale invoice entry form (See the image below). If the user enters a purchase / sale invoice and checks the “Lettering” option, the system allows him to add the character code for this invoice.
When paying client invoices, the grid allows you to select one or more invoices to be paid with the same lettering and to pay at once. On the payment form, the code entered during invoicing must appear there. When searching for invoices to be paid, they must be preceded by a checkbox to allow this selection
The report oncreditor/ debtor balances must has a new format with lettering to allow the client to identify on the basis of letters, invoices and their payments. A "Lettering" column appears on the report and can be sorted by lettering.
A new report format has been added to the breakdown per account menu which allows you to display invoices awaiting payment or those fully paid.
Related topics
Closing of the accounting year, Income statement, Cash flow report, Balance sheet.
