Setting Up Purchases

What you will need

• What accounts your purchases accounts are linked to (see GS 55)
• Balances of each of your purchases accounts which have a balance due (the total of these must equal your Accounts Payable account balance)
• Supplier information

What you need to do

Choose Purchases from the Set Up M.Y.O.B. sub-menu to set up necessary information for the Purchases Command centre.

1. Complete setting up General Ledger.

Refer to the Setting up General Ledger section above for more information about setting up General Ledger.

2. Verify your Purchases linked accounts.

Linked accounts are set up automatically when you create your data file, but it's a good idea for you to check the accounts that were assigned, so you're sure the accounts you want to be linked are linked.

3. Enter vendor (supplier) information.

Before you can enter purchasing transactions, you need to enter information about the vendors you conduct those transactions with. Each vendor's information is recorded on a card called a vendor card.

4. Enter historical purchases.

Before you can use M.YO.B. to correctly track your business's financial information, M.YO.B. needs to know about all your business's purchasing transactions with a current balance due, as of the first day of your conversion month. This information is entered using the Payables Balances window.

The total balance of all your purchasing transactions with a current balance due must equal the balance of your Accounts Payable account. You'll use the Payables Balances window to make this happen, also.

Exercise

Complete the Purchases setup using the information in your data sheet.

Go to the Setup Menu and select the Set Up MYOB command. From the sub menu choose Purchases . Alternatively, click on the Payables tab after finishing the setup of Sales .

A list of things to do will appear, with a white arrow next to each item. Click on the white arrow to display the relevant screen to complete each item. Click on OK or the Close button to return to this list.

Click on the white arrow before Linked Payables Accounts . Enter the correct account numbers from your data sheet (most of these will be the default entries). Click on OK .

Click on the white arrow after Historical Purchase Orders . The vendor (supplier) card file appears. Click on the New button . Fill in the fields shown from your data sheet. Click on OK . If you have made a mistake, select the supplier. Click on Edit . Correct the information. Click on OK . Repeat for each customer on the data sheet. Click on Close .

Click on the white arrow before Historical Purchase Orders . The Payable Balances window appears. Click on Add Purchase . Enter the total historic purchases for one supplier from your data sheet as one entry. Click on Record . Repeat for each supplier with one entry for each supplier. Check the Out Of Balance amount is zero. Click on Close .

 

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