From the File menu, activate the New command and select Income & Expense accounting. You can choose between a Income & Expense accounting with or without VAT/Sales tax.
In order to facilitate starting, we advice to open one of the existing templates and elaborate the necessary adjustments.
The Cash book and Income & Expense accounting have the same tables: Accounts, Categories, Transactions and possible VAT/Sales tax table. The two types differ in the following characteristics:
- In the table Accounts of the Cash book you may insert one single account
- In the table Accounts of Income & Expense accounting it is possible to insert all the estate accounts (assets and liabilities)
- In the table Transactions of the Cash book there is the column Balance showing the accounts balance row by row
- In the table Transactions of Income & Expense accounting there is no column Balance, since the transactions relate to several accounts. The balance is shown in the tables Accounts and Categories.
The following pictures refer to Income & Expense accounting.
Set up your data from the File and Accounting properties command (File menu)
Insert the opening balances in the Opening column of the table Accounts. Please remember, that for the Liabilities' accounts (f.i. debts), the opening balance should be preceded by the minus (-) sign. This operation needs to be executed only the first time using Banana Accounting; from then on, every end of the year, when creating a New Year (Account2 menu, Create New Year command) the opening balance is automatically transferred.
In the Categories table, arrange the income (earnings/revenue) and expense (expenses/costs) categories, assigning each one a code, a description and the belonging group.
The categories don't have any opening balances at the beginning of the year.
In the table Transactions daily income and expense transactions are entered, indicating the account to which the transaction was made and the category to which the expense is attributed to.
Related document: Transactions, Enhanced statement.