Table of Contents

Software Installation .......................................................................... iii

System Requirements ....................................................................... iii
Installing on a Single Computer ......................................................... iv
Peachtree Complete Accounting 2008 Educational Version Install ....v
Setting Global Options ........................................................................x
Computer Lab Installation .................................................................. xi
Installing Microsoft Internet Explorer.................................................. xi
Installing Adobe Acrobat Reader ...................................................... xii
Deleting Peachtree ........................................................................... xii
Preface ............................................................................................. xiii
Acknowledgments............................................................................ xxi

PART 1: EXPLORING PCA 2008 ...................................................... 1

Chapter 1: Introduction to Bellwether Garden Supply. ...................... 3
Software Objectives and Web Objectives .......................................... 3
Mouse and Keyboard Basics ............................................................. 4
PCA's Startup Window ...................................................................... 5
The Windows Environment ................................................................ 6
Typical PCA Windows ...................................................................... 8
The Sample Company: Bellwether Garden Supply. ....................... 11
Getting Started ................................................................................ 11
Displaying Product Information ........................................................ 14
Setting Global Options ..................................................................... 15
Backing Up Bellwether Garden Supply ............................................ 18
Using Windows Explorer.................................................................. 22
Using Peachtree’s Restore Wizard .................................................. 26
Menu Bar ......................................................................................... 30
Becoming an Employee of Bellwether Garden Supply. ................... 36
Backing Up Chapter 1 Data ............................................................. 40
Manual vs. Computerized Accounting ............................................. 42
Internet Activity ................................................................................ 44
Summary and Review ..................................................................... 44
Going to the Net .............................................................................. 45

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True/Make True Questions ............................................................... 46

Exercise 1-1 ..................................................................................... 48
Exercise 1-2 ..................................................................................... 49
Chapter 1 Index ................................................................................ 51
Chapter 2: Vendors ............................................................................ 53
Software Objectives and Web Objectives ........................................ 53
Getting Started ................................................................................. 54
Restoring Data from Exercise 1-2 .................................................... 54
Accounts Payable Tasks .................................................................. 56
Payments to Vendors ....................................................................... 71
Printing Checks ................................................................................ 74
Displaying the Vendor Ledgers ........................................................ 77
Vendor Credit Memos ...................................................................... 78
Backing Up Chapter 2 Data .............................................................. 81
Internet Activity ................................................................................. 82
Summary and Review ..................................................................... 82
Going to the Net ............................................................................... 83
Multiple-Choice Questions................................................................ 83
Exercise 2-1 ..................................................................................... 86
Exercise 2-2 ..................................................................................... 88
Chapter 2 Index ................................................................................ 90
Chapter 3: Customers ........................................................................ 91
Software Objectives and Web Objectives ........................................ 91
Getting Started ................................................................................. 92
Accounts Receivable Tasks ............................................................. 93
The Maintain Customers/Prospects Window .................................... 99
Posting the Invoice ......................................................................... 110
Printing (or Displaying) Invoices ..................................................... 111
Entering Receipts ........................................................................... 114
Analyzing Customer Payments ...................................................... 117
Displaying the Customer Ledgers .................................................. 119
Credit Memos ................................................................................. 120
Backing Up Chapter 3 Data ............................................................ 121
Internet Activity .............................................................................. 122
Summary and Review ................................................................... 122
Going to the Net ............................................................................. 123
Short-Answer Questions ................................................................ 124
Exercise 3-1 ................................................................................... 126
Exercise 3-2 ................................................................................... 127
Chapter 3 Index .............................................................................. 128

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Chapter 4: Employees 129

Software Objectives and Web Objectives ......................................... 129
Getting Started ................................................................................. 131
Default Information ........................................................................... 132
Employee Maintenance .................................................................... 134
Payroll Tasks .................................................................................... 136
Journal Entry for Payroll ................................................................... 145
Backing Up Chapter 4 Data .............................................................. 145
Internet Activity ................................................................................ 146
Summary and Review ...................................................................... 146
Going to the Net ............................................................................... 147
Short-Answer Questions ................................................................... 148
Exercise 4-1 and Exercise 4-2 .......................................................... 151
Chapter 4 Index ................................................................................ 152
Chapter 5: General Ledger, Inventory, and Internal Control ............... 153
Software Objectives and Web Objectives ......................................... 153
Chart of Accounts ............................................................................. 154
Getting Started ................................................................................. 156
Budgets ............................................................................................ 158
General Journal ................................................................................ 160
Setting Up an Inventory Item ............................................................ 165
Inventory and Purchases .................................................................. 169
Inventory and Sales .......................................................................... 171
Inventory Adjustments ...................................................................... 174
Internal Control ................................................................................. 175
Backing Up Chapter 5 Data .............................................................. 182
Internet Activity ................................................................................ 183
Summary and Review....................................................................... 183
Going to the Net ............................................................................... 184
Multiple-Choice Questions ................................................................ 185
Exercise 5-1 ...................................................................................... 187
Exercise 5-2 ...................................................................................... 188
Chapter 5 Index ................................................................................ 189
Chapter 6: Job Cost ........................................................................... 191
Software Objectives and Web Objectives ......................................... 191
Getting Started ................................................................................. 192
Job Costing and Purchasing ............................................................. 194
Job Costing and Sales ...................................................................... 196
Job Cost and Payroll......................................................................... 197

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Job Cost Reports ........................................................................... 199

Backing Up Chapter 6 Data ........................................................... 199
Internet Activity .............................................................................. 200
Summary and Review.................................................................... 200
Going to the Net............................................................................. 201
Short-Answer Questions ................................................................ 201
Exercise 6-1 .................................................................................. 203
Exercise 6-2 ................................................................................... 204
Chapter 6 Index ............................................................................. 205
Chapter 7: Financial Statements ..................................................... 207
Software Objectives and Web Objectives ...................................... 207
Financial Statements ..................................................................... 207
Getting Started .............................................................................. 211
Using Peachtree's Help Feature .................................................... 212
Displaying the Financial Statements .............................................. 213
Backing Up Chapter 7 Data ........................................................... 222
Internet Activity .............................................................................. 223
Summary and Review ................................................................... 223
Going to the Net............................................................................. 224
True/Make True questions ............................................................. 224
Exercise 7-1 and 7-2...................................................................... 227
Chapter 7 Index ............................................................................. 228
Chapter 8: Stone Arbor Landscaping: Time & Billing ..................... 229
Software Objectives and Web Objectives ...................................... 229
Stone Arbor Landscaping .............................................................. 229
Time & Billing ................................................................................. 229
Getting Started .............................................................................. 231
Using Time & Billing....................................................................... 231
Backing Up Chapter 8 Data ........................................................... 239
Internet Activity .............................................................................. 241
Summary and Review.................................................................... 241
Going to the Net............................................................................. 241
Multiple Choice Questions ............................................................. 242
Exercise 8-1 .................................................................................. 244
Exercise 8-2 ................................................................................... 244
Chapter 8 Index ............................................................................. 245
PART 2: PCA 2008 FOR SERVICE BUSINESSES .......................... 247
Chapter 9: Maintaining Accounting Records for Service Businesses 251
Software Objectives and Web Objectives ........................................ 251

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Getting Started ................................................................................ 252

Chart of Accounts ............................................................................. 260
Entering Chart of Accounts Beginning Balances .............................. 267
Using Windows Explorer to See the File Size................................... 275
Backing Up Company Data ............................................................. 276
Restoring Company Data ................................................................ 280
Recording Entries in the Cash Receipts Journal and
Cash Disbursements Journal ......................................................... 283
Account Reconciliation ..................................................................... 292
Displaying the Cash Account Register.............................................. 295
Printing the Cash Receipts Journal .................................................. 298
Printing the Cash Disbursements Journal......................................... 298
Editing Journal Transactions ............................................................ 300
Displaying the General Ledger Trial Balance ................................... 301
Printing Financial Statements ........................................................... 302
Backing Up Chapter 9 Data ............................................................. 305
Internet Activity ................................................................................. 305
Summary and Review....................................................................... 306
Going to the Net ............................................................................... 307
Multiple-Choice Questions ................................................................ 307
Exercise 9-1 ...................................................................................... 309
Exercise 9-2 ...................................................................................... 313
Chapter 9 Index ................................................................................ 318
Chapter 10: Completing Quarterly Activities & Closing Fiscal Year..... 319
Software Objectives and Web Objectives ......................................... 319
Getting Started ................................................................................. 320
Checkbook Register and Bank Statement: November 2008............. 323
Backing Up November Data ............................................................. 330
Data File Statistics ............................................................................ 331
Changing Accounting Periods .......................................................... 332
Checkbook Register and Bank Statement: December 2008............. 333
Back Up the Unadjusted Trial Balance ............................................. 337
End-of-Quarter Adjusting Entries ...................................................... 338
Backing Up December Data ............................................................. 348
Closing the Fiscal Year ..................................................................... 348
Printing the Post-Closing Trial Balance ............................................ 353
Backing Up Year-End Data .............................................................. 354
Internet Activity ................................................................................. 355
Summary and Review....................................................................... 355
Going to the Net .............................................................................. 356
True/Make True Questions ............................................................... 357

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Exercise 10-1 ................................................................................... 359

Exercise 10-2 ................................................................................... 362
Chapter 10 Index .............................................................................. 365
Project 1: Mary Albert, Accountant ...................................................... 367
Project 1A: Student-Designed Service Business ................................ 377
PART 3: PCA 2008 FOR MERCHANDISING BUSINESSES ............ 379
Chapter 11: Vendors & Purchases ...................................................... 381
Software Objectives and Web Objectives ......................................... 381
Getting Started .................................................................................. 383
General Ledger ................................................................................. 388
Accounts Payable.............................................................................. 393
Inventory Items .................................................................................. 398
Backing Up Your Data ....................................................................... 405
Vendors & Purchases Tasks: Purchases/Receive Inventory ............ 405
Cash Purchases: Write Checks Window ........................................... 412
Purchase Returns: Credits & Returns ............................................... 417
Paying Specific Vendor Invoices ....................................................... 421
Printing the Purchase Journal and Cash Disbursements Journal...... 424
Vendor Ledgers ................................................................................. 427
Printing the General Ledger Trial Balance ........................................ 428
Backing Up Chapter 11 Data ............................................................. 429
Internet Activity ................................................................................. 430
Summary and Review ....................................................................... 430
Going to the Net ................................................................................ 431
True/Make True Questions ................................................................ 432
Exercise 11-1 .................................................................................... 434
Exercise 11-2 .................................................................................... 441
Chapter 11 Index ............................................................................... 444

Chapter 12: Customers & Sales ........................................................... 445

Software Objectives and Web Objectives ......................................... 445
Getting Started .................................................................................. 447
Backing Up Your Data ....................................................................... 457
Recording Sales ................................................................................ 457
Recording Receipts and Cash Sales ................................................. 471
Printing Customer Forms .................................................................. 477
Printing the Sales Journal ................................................................. 481
Printing the Cash Receipts Journal ................................................... 482
Printing the Customer Ledgers .......................................................... 483
Printing the General Ledger Trial Balance ........................................ 484

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Editing Receipts ................................................................................. 485

Backing Up Chapter 12 Data ............................................................. 486
Internet Activity ................................................................................. 487
Summary and Review........................................................................ 487
Going to the Net ................................................................................ 488
Multiple-Choice Questions ................................................................. 488
Exercise 12-1 ..................................................................................... 492
Exercise 12-2 ..................................................................................... 494
Chapter 12 Index ............................................................................... 495
Chapter 13: Inventory & Services ......................................................... 497
Software Objectives and Web Objectives .......................................... 497
Cost Methods .................................................................................... 498
Types of Inventory Items ................................................................... 500
Getting Started .................................................................................. 501
Entering Inventory Item Maintenance Information ............................. 503
Backing Up Your Data ....................................................................... 506
Inventory Adjustments ....................................................................... 506
Additional Transactions ..................................................................... 508
Printing Reports ................................................................................. 510
Backing Up Chapter 13 Data ............................................................. 516
Internet Activity .................................................................................. 517
Summary and Review........................................................................ 518
Going to the Net ................................................................................ 518
Short-Answer Questions .................................................................... 519
Exercise 13-1 ..................................................................................... 520
Exercise 13-2 ..................................................................................... 521
Chapter 13 Index ............................................................................... 522
Chapter 14: Employees, Payroll, and Account Reconciliation .............. 523
Software Objectives and Web Objectives ......................................... 523
Getting Started ................................................................................. 526
Initial Payroll Fields ........................................................................... 529
Entering Employee and Employer Default Information ...................... 532
Entering Employee Maintenance Information .................................... 537
Backing Up Your Data ....................................................................... 539
Payroll Entry ...................................................................................... 540
Printing the Payroll Journal ................................................................ 546
Account Reconciliation ...................................................................... 548
Printing the General Ledger Trial Balance ......................................... 557
Printing the Financial Statements ...................................................... 558
Backing Up Chapter 14 Data ............................................................. 561

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Internet Activity .................................................................................. 561

Summary and Review ...................................................................... 562
Going to the Net ................................................................................ 562
Multiple-Choice Questions................................................................. 563
Exercise 14-1 .................................................................................... 566
Exercise 14-2 .................................................................................... 569
Chapter 14 Index ............................................................................... 572
Project 2: Stanley’s Sports ................................................................... 573
Project 2A: Student-Designed Merchandising Business ...................... 591
PART 4: ADVANCED PCA 2008 APPLICATIONS ............................. 593
Chapter 15: Customizing Forms ......................................................... 595
Software Objectives and Web Objectives ......................................... 595
Printing Forms ................................................................................... 595
What is a Form? ................................................................................ 596
Getting Started .................................................................................. 597
Customizing a Form .......................................................................... 598
Printing Customized Forms ............................................................... 603
Editing a Form Design ....................................................................... 605
Design Tools ..................................................................................... 605
Financial Statement Design Tools ..................................................... 607
Financial Statement Wizard............................................................... 610
Internet Activity ................................................................................. 614
Summary and Review ....................................................................... 614
Going to the Net ................................................................................ 615
Multiple-Choice Questions................................................................. 615
Exercise 15-1 and 15-2 ..................................................................... 617
Chapter 15 Index ............................................................................... 618
Chapter 16: Import/Export ................................................................... 619
Software Objectives and Web Objectives ......................................... 619
Getting Started: Exporting ................................................................ 622
Importing ........................................................................................... 627
Internet Activity .................................................................................. 628
Summary and Review ....................................................................... 628
Going to the Net ................................................................................ 629
Multiple-Choice Questions................................................................. 629
Exercise 16-1 and 16-2 ..................................................................... 632
Chapter 16 Index ............................................................................... 633

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Chapter 17: Using Peachtree Complete Accounting 2008 with Excel

and Word .............................................................................................. 635
Software Objectives and Web Objectives .......................................... 635
Getting Started .................................................................................. 635
Copying Peachtree Report Data to Microsoft Excel ........................... 636
Copying Peachtree Report Data to Microsoft Word ........................... 642
Internet Activity .................................................................................. 644
Summary and Review........................................................................ 644
Going to the Net ................................................................................ 645
Short-Answer Questions .................................................................... 645
Exercise 17-1 and 17-2...................................................................... 647
Chapter 17 Index ............................................................................... 648
Chapter 18: Write Letters, Use Templates, and Peachtree Online ....... 649
Software Objectives and Web Objectives .......................................... 649
Getting Started .................................................................................. 650
Create Mailing to Customers ............................................................. 650
Edit Letter Templates......................................................................... 652
Customer Templates ......................................................................... 654
PAWMail.Zip Folder ........................................................................... 656
Peachtree Online ............................................................................... 658
Internet Activity .................................................................................. 659
Summary and Review........................................................................ 660
Going to the Net ................................................................................ 660
Short-answer questions ..................................................................... 661
Exercise 18-1 and Exercise 18-2 ....................................................... 663
Chapter 18 Index ............................................................................... 664

Project 3: Verde Computer Club........................................................... 665

Project 4: BJW Manufacturing, Inc. ...................................................... 675
Project 4A: Student-Designed Project .................................................. 697
Appendix A: Troubleshooting ............................................................... 699
Appendix B: Review of Accounting Principles ...................................... 707
Appendix C: Glossary........................................................................... 715
Index ................................................................................................... 729
PowerPoint Slides ........................................... www.mhhe.com/yacht2008

The Timetable for Completion shown on the next page is a guideline for in-class
lecture/discussion/ demonstration and hands-on work. Work not completed in class is
homework. In most Accounting classes, students can expect to spend approximately 2
hours outside of class for every hour in class.

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TIMETABLE FOR COMPLETION Hours

Part 1: Exploring Peachtree Complete Accounting 2008
Chapter 1 Introduction to Bellwether Garden Supply 2.0
Chapter 2 Vendor Transactions 1.0
Chapter 3 Customer Transactions 1.0
Chapter 4 Employees 1.0
Chapter 5 General Ledger, Inventory, and Internal Control 1.0
Chapter 6 Job Cost 2.0
Chapter 7 Financial Statements 1.0
Chapter 8 Stone Arbor Landscaping: Time & Billing 1.0
Subtotal Part 1 10.0
Part 2: Peachtree Complete Accounting 2008 for Service Businesses
Chapter 9 Maintaining Accounting Records for Service Businesses 2.5
Chapter 10 Completing Quarterly Activities and Closing the Fiscal Year 2.0
Project 1 Mary Albert, Accountant 2.5
Project 1A Student-Designed Service Business 2.0
Subtotal Part 2 9.0
Part 3: Peachtree Complete Accounting 2008 for Merchandising Businesses
Chapter 11 Vendors & Purchases 3.0
Chapter 12 Customers & Sales 2.5
Chapter 13 Inventory & Services 2.0
Chapter 14 Employees, Payroll, and Account Reconciliation 2.0
Project 2 Stanley’s Sports 3.5
Project 2A Student-Designed Merchandising Business 3.0
Subtotal Part 3 16.0
Part 4: Advanced Peachtree Complete Accounting 2008 Applications
Chapter 15 Customizing Forms 1.0
Chapter 16 Import/Export 1.0
Chapter 17 Using Peachtree Complete Accounting 2008 with Excel and Word 1.0
Chapter 18 Write Letters, Use Templates, and Peachtree Online 1.0
Project 3 Verde Computer Club 1.0
Project 4 BJW Manufacturing, Inc. 3.0
Project 4A Student-Designed Project 2.0
Subtotal Part 4 10.0
TOTAL HOURS: PARTS 1, 2, 3, 4 45.0

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