Classes are setup in three sections of OpenPro, inventory, payables, and receivables. What is a class? A set of accounts numbers pre-assigned to an item, vendor, or customer.

The classes allows for the end user to not worry about choosing an account number for journal entries. The system will automatically select the corresponding account number based upon the class setup for sales, inventory, bill paying type transactions.

First lets visit the inventory class. To get to the inventory class, from the default demo menu setup go to: Inventory Control . Maintenance > Item Class.

If logged into the demo site, click on EDIT or ADD NEW IC. For this demonstration, we will edit one of the existing class.

• Class Id: This ID will show up on the item maintenance screen for the end user to select. By selecting this ID in inventory maintenance screen, for all transactions done with the item will select the account numbers selected in each of the account number designation. You may use the same class if certain products using the same account groupings.
• Inventory account: This account should be the inventory account for when you receive products into inventory and the account to when a sale or adjustment has been done and to relieve inventory.
• Default Check Box: By selecting this check box, it will auto assign the class if during item creation not is selected
• Description: Description of the class
• Price: Leave blank, no longer used for current users
• Factor: Leave blank, no longer used for current users
• Sale Account: This account is used during a sale of an item
• Expense Account: Used during an inventory adjustment
• Return Account: Used when items are returned
• Purchase Cost Account: Used during when items has been received from Purchasing and a voucher has not been created but to offset the payables account.
• Drop Ship Account: Used if drop shipping
• Cost of Goods Sold: When an item is sold, system will use this account to record the cost of sale
• Cost1-5: For manufacturing and average costing method to break down the different cost. If you are not using average costing method leave blank.

Once you have completely filled in all the necessary information, click on SAVE.

• Class Id: This ID will show up on the item maintenance screen for the end user to select.
• By selecting this ID in vendor maintenance screen, for all transactions done with the item will select the account numbers selected in each of the account number designation.
• You may use the same class if certain products using the same account groupings.
• Default Check Box: By selecting this check box, it will auto assign the class if during vendor creation 'not' is selected.

In GL Posting, under IC_SALE the system will create a journal for the sale of an item, it takes the inventory account and the cost of goods account and creates the debit/credit to adjust inventory for the item (s) used during a sale.

Under AR_SALE, it also creates the journal to record sale, the account used is the SALES ACCOUNT.

Under IC_RETURN, it will create a journal for credit memo’s with returned inventory. The system will create the journal entry debiting inventory account used in the class and the purchase returns account selected in the class.

Under PO_RECEIPT, the system creates a journal entry to record receipt of the items into inventory, it will use the inventory account selected in the class and the purchase cost account.

Under WO_EXPENSE, the system creates a journal using the inventory account and the expense account selected in the inventory class.

• Class ID: This is what will show up on the vendor maintenance screen as a selection
• AP Balance Sheet Acct: This is a reference AP Account, does not actually gets used but is a reference. The actual AP account selection to do the credit entry of payables is selected on the vendor maintenance screen.
• Discount Account: If you receive discounts from vendors select a discount account which can be used during a voucher creation
• Expense 1 & 2: By default, OpenPro will only use the first expense account. Second expense account will still show up during voucher creation however it is optional to use the second for separating the expense.

On the vendor selection screen, click on the VOUCHER image.

Notice the AP account, this account comes from the vendor maintenance screen. The two accounts chosen by default is from the two expense account on the payables class.

In GL_Posting, for ap voucher it takes the payables account selected in the vendor maintenance screen and the expense account from the vendor class.

In AP_Checks, it takes the cash account created in the general ledger and the payables account selected on the vendor maintenance screen.

Receivables also has a sales account, cost of sales, inventory, and returns account. OpenPro allows for either record of sales to be customer class or item class based. This option is set in the business rules. If sales is to be recorded by customers be sure to select the right accounts. For this example sales is recorded by items and sales, cost of sales, and inventory will not be used. You do however still need to select accounts for each.

• Receivable Acct: Account to use for customers who do not pay right away.
• Sales Tax Acct: Default tax account.
• Shipping Acct: Records shipping costs.
• Discount Taken Acct: If a discount was received by the vendor this account would be used.
• Cash Acc: Record receipt of cash from sales order.
• Returns Acct: return of products.
• Customer Discount Acc: Discounts given to customers gets recorded in this account.

Under AR_Sale of GL_Posting, it takes the cash account to record the sale receipt of funds and takes the shipping account to record the shipping amount.

Under AR_Receivable of GL_Posting, it takes the accounts receivable account from the customer class. If it was taxed, OpenPro will take tax accounts selected during tax code creation to record taxes. Sales account is selected from the item class.

For CR_Receivable under GL_Posting, it will credit the accounts receivable in the customer class.

Another place where Class is used is on Receivable Add screen for A/R account.
OpenPro will automatically select the A/R account from the class and will do the entry into the account for you.

• Twitter
• Facebook
• Google+
• LinkedIn
• Pinterest
• StumbleUpon
• Reddit
• Tumblr
• Email