Amongst my many external commitments with clients, I have been tasked this year with working out the value of Atlas’ own deferred income for our annual audit. If, like Atlas, you raise invoices for work and services which span several periods then you will be interested to learn that there is new functionality in Dimensions 2.50e to make accruals and pre-payments automatically over a series of dates.
Sales and Purchase Analysis codes can be configured so when used on a detail line in SOP, POP, PL and SL there are additional fields to complete to allow the software to automatically post a nominal journal to reverse out the revenue or costs from the PL and post to an account in the balance sheet. Recurring journals are then automatically created to release the revenue/costs from the balance sheet to the P&L.
This, we have seen in practice, results in more accurate monthly management accounts and less work at the end of the year to work out any deferred income or costs – and less work at the end of the year is a very good thing indeed!
If you would like more information about how to use this functionality then please contact us on 0333 666 3330.
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