Adding Accounts

NV2 recognizes several types of accounts:

Each type of account has its own set of rules that govern how that account is treated.

An account in NV2 can appear in two places - in a table of accounts of a particular type, and, if required, on a report.

Shown below is Bank 1060 in the /ACCOUNT/BANK folder and in the /REPORT/TRIAL BALANCE folder

Independent of whether accounts are added to account tables or reports, they are added in the Accounts Setup window. Whether you add new accounts to account tables or to reports depends on:

Whether you add new accounts to account tables or to reports depends on:

Whether the account is a standard sub-ledger account (e.g. accounts payable or receivable) and all accounts of that type already total to a controlling account on the trial balance. In this case, it is usually easier to add the account to the appropriate sub-ledger.
Whether the account needs to be in a specific position on a report. In this case, it is usually easier to add the account to the report directly instead of adding it to the account ledger, then going to the report and moving the account to the appropriate location.
Whether the account the account should total to already exists. If not, it is usually better to add the total account to the appropriate report, then add the account that is going to total to that account to the appropriate report, then complete the report arithmetic.

For example, there may be a controlling account on your trial balance that does not currently provide the level of detail required (e.g. you may want your telephone expense to be broken down into regular telephone expenses and long distance charges). In these cases, one or more new accounts have to be added to the trial balance and possibly to the financial statements (if the same level of detail is desirable on those reports as well).
In these scenarios, it is best to start with the report at which the rippling ends and work your way backwards through the affected reports, first adding whatever total accounts are required, then adding the accounts that will total to them, completing the report arithmetic as you go. For more information on report arithmetic and rippling, see Introduction to Report Arithmetic.

When adding new accounts, the following information is specified for each account:

Account Setup
Table column	Sort column	Comments
Line	Yes	Used to sort the accounts in user-defined order. For more information, see Sorting Tables.
Folder	Yes	Used to indicate the type of account (AP, AR, BANK, EXPENSE, GENERAL, INVENTORY, PAYROLL, SALES and TOTAL). This column can be also be used to change the account type, providing the account does not yet contain transactions.
Name	Yes	The account name. An account name can be as long as required, and contain any combination of letters, numbers, hyphens ( - ) and underscores ( _ ). Account names are not case-sensitive and are automatically converted to upper case characters. Account names used for a particular type of account must be unique (for example, you can only have one inventory account called MCK-780). However, you can have duplicate account names for different types of account (for example, you can have an inventory account, sales account and expense (cost of goods sold) account all with the name MCK-780).
Description	Yes	The account description. Account descriptions can be as long as required, and contain any combination of characters and spaces. Most special characters can be used, except for open and closed curly braces (e.g. { and } ) and open and closed square brackets (e.g. [ and ] ).
Amount		The account's amount column.
Normal Balance		Indicates the normal balance of the account (`debit` or `credit`). Accounts payable accounts have a credit normal balance. Accounts receivable accounts have a debit normal balance. Bank accounts have a debit normal balance. Expense accounts have a debit normal balance. General ledger accounts can have a debit or credit normal balance, depending on the type of account. Inventory accounts have a debit normal balance. Sales accounts have a credit normal balance. Total accounts can have a debit or credit normal balance, depending on the type of account.
Normal Rep		Every account has a normal representation that can be set to one of the following values: perpetual Generally used for balance sheet accounts, i.e. assets, liabilities, bank, inventory, accounts receivable and payable, and so on. When the normal representation is respected on reports, amounts for the account will be displayed as perpetual, as at the end date of the specified period. periodic Generally used for income statement accounts, i.e. revenues and expenses that are usually report for a particular period. When the normal representation is respected on reports, amounts for the account will be displayed as periodic, for the period specified by the begin date the end date. opening Used for special accounts such as opening retained earnings, opening inventory, and so on. When the normal representation is respected on reports, amounts for the account will be displayed as perpetual, but for the begin date of the specified period, i.e. not the end date like ordinary perpetuals. empty If the normal representation is empty, i.e. not specified, the account is treated as if the normal representation were set to perpetual.
Active		Indicates whether the account is active or inactive. When an account is inactive, postings cannot be made to the account.
Ledger Indexed		Indicates whether the account displays postings, this is an option on total accounts.
Unique Ref #s		Enforce unique transaction *Ref #s. Includes control for uniqueness on the debit view, credit view, or both (i.e. the ledger view). See Unique Ref #s* for more.
Total to (4 columns)		The account names entered in the total to columns control the Totalto Structure.
Total		Indicates whether the account is a posting or total account. For posting accounts, the total column displays 0. For total accounts, the total column displays the number of accounts that total to the account.
Report		The path of the report that the account is on.

For information on adding specific types of accounts, see: