If you read through the Evolution page, you may wonder why the general ledger is not the main concern of the system.
Basically, accounting is the recording, classifying and summarizing of the financial transactions. By not developing the accounting first we have given the system a human touch first, that is to consider what is the most efficient and easy to use way to handle the situation than just financial reporting.
Later on, we have added the Journal Entry Template concept to automate the creation of those financial transactions.
When most of the chart of accounts are created automatically and transactions under the interpretation of the journal entry templates are processed, this will give a quick and accurate picture of financial positions to readers of the financial statement or to account inquiry.
This is a difficult concern to digest and is unique to CPAnywhere only. But once you used it, you will never want to go back to the routine accounting system.
Difference between traditional accounting system and CPAnywhere General Ledger system
- Use of the journal entry template for all predefined operations. You can predefined the template for different financial reporting entities, allocation to different partners and to handle some difficult situation. The beauty of it is to allow anyone to process the transaction and the system will record those transactions in the appropriate ledger automatically.
- Automatic creation of chart of accounts for creditors.
- Predefined transactions in AR accounts receivable, DR disbursement receivable, AD advance and deposit, TM trust monies.
Other than that, CPAnywhere general ledger has the usual journal entry, trial balance, income statement and balance sheet.