What are the Account Types?
Each SunSystems account is assigned an account type which determines how the account is treated for processing and reporting. These are six account types available:
- Profit & Loss accounts - these record details of income and expenditure, which are reported on your profit and loss statement.
- Balance Sheet accounts - these record details of assets and liabilities, which are reported on your balance sheet statement.
- Debtor (Receivable) / Customer accounts - these hold details of customers who purchase goods/services from your company. Each debtor/receivables account should be linked to a customer that contains a large amount of additional information including address and communication details, currency options, payment terms, and tax details.
- Creditor (Payable) / Supplier accounts - these hold details of suppliers from whom you purchase goods/services. Each creditor/payables account should be linked to a supplier that contains a large amount of additional information including address and communication details, currency options, payment terms, and tax details.
- Client accounts - these hold details of organizations from whom you purchase goods/service and to whom you also supply goods/services. They do not fit into the category of either debtor or creditor. One month, if the account balance is credit, you might need to raise a payment and print a remittance or cheque. The next month, if the account balance is debit, you might need a statement to be printed for the same account. These are typically used for inter-company accounts where netting off is used.
Note:
Throughout SunSystems documentation, reference to a debtor/receivables account indicates
a debtor account or a client account with a debit balance, while reference
to a creditor/payables account indicates a creditor account or a client
account with a credit balance.
- Memo accounts - these hold non-financial data that should not be included in the trial balance.