The summary always shows Net Profit / Loss on accrual base accounting, is it possible to add a field where we one can view summary on cash basis accounting as well.
Right now if we have to view Income Statment on Cash Basis we have to create it in report.
any one?
Cash basis accounting is not supported for the Summary.
please make some ammendments to make it supportive.
If I understand what you want, you can accomplish it by setting the period for the Summary to the current year and making entries only when money is spent or received, rather than when it is earned or obligated.
I am already doing this. I have to close my book on last day of every month. I transfer my retained earning in to profit payable account or capital account on cash basis accounting. But summary shows retained earning on accrual base. So when ever I check my profit in summar, it always overstat or shows less than actual.
Retained earnings is an equity account. It is the net of all income, expenses, contribution of capital, and payouts since inception of the business. How you handle it depends on your legal form of organization. But if you have made transfers out of it into either a profit payable account or capital account, it should go down. But do not mistake it for current accounting period profit, because it contains entries from previous periods unless it has been complete zeroed at the end of the previous period.
If you want profitability for a given accounting period on a cash basis, the only approach that is really correct is a Profit and Loss Statement on cash basis for that period. But once you create it, it is quick to view. For convenience, when you create a new one, define the date range to include the entire period. Then you only have to do it once per accounting period.
@Tut, thank you for the response. I am already doing this. I only want, that you should add feature of cash basis accounting in summary. So it will help those people who are involved in cash basis accounting business.
@drmahmudali, check the latest version (15.5.93). When you click Set Period button on Summary tab, you will be able to select cash-basis option in top-right corner.
1 Like