A.

INTRODUCTION TO TALLY
1. What is Tally Prime?

Tally Prime is a business management software designed for small and medium businesses. It
helps manage various aspects of a business, including:

 Accounting: Record financial transactions like sales, purchases, receipts, and

payments. Manage accounts payable and receivable.
 Inventory Management: Track stock levels, create purchase and sales invoices, and
manage stock movement.
 Banking: Reconcile bank statements, manage cheque payments, and handle online
transactions (if applicable).
 Taxation: Comply with tax regulations like GST in India.
 Payroll Management: Manage employee salaries and deductions.
 Reporting: Generate insightful business reports like trial balance, profit & loss
statement, and cash flow reports to aid decision making.
Keyboard Shortcuts to Open Vouchers:

Note: You need to draw table like this and write on the single line page not blank page
 B. ASSIGNMENT ON TALLY PRIME

Q1. How to install Tally Prime in educational mode on your computer?

 Visit the official Tally Solutions website: https://tallysolutions.com/

 Look for the download section for Tally Prime.
 Make sure to download the educational version.
 Run the Installer: Locate the downloaded Tally Prime installation file (usually named
tallyprime.exe). Double-click it.
 During the installation, you'll be presented with options. Select "Install New"
 By default, Tally Prime will be installed in the "C:\Program Files\TallyPrime"
directory. You can change this location by clicking "Configure" and specifying a
different path.
 Review the installation summary and click "Install" to proceed.
 Once the installation is finished, you'll have the option to launch Tally Prime directly.
Click "Start TallyPrime" to open the software.
 Upon launching Tally Prime, you'll be presented with a welcome screen. There will be
an option to "Try It For Free". Click on this option to activate the educational mode.

Q2. What are the steps to create a company in Tally prime?

 To Create new company in Tally – Gateway of Tally >Alt + K (Company)> Create

Company.
 Enter Company Details such as company name, address, telephone number, and
email, select State and Specify the start and end dates for your company's financial
year.
 Choose Curreny as INR
 Click Accept to save

Q3. What are the shortcut keys to alter and delete a company in tally prime?

ALTER : Gateway of Tally → Press F3 (in laptop press Fn+F3) → Alter Company

Select the company you want to alter. On the screen of company alteration, add and modify
the required details. To save the details, use the Ctrl+A option.

DELETE: Alt+D

Q4. What are the steps to create a balance sheet in tally prime?
You can't directly create a balance sheet in Tally Prime, but you can view and customize the
report based on your needs. Here's how to access the balance sheet:

1. Go to Gateway of Tally > Display > Balance Sheet

2. This will display the balance sheet with default settings.

To ensure an accurate balance sheet, you need to maintain proper accounting records with
relevant ledger accounts for assets, liabilities, and equity.

After this you will add print outs of Trial Balance, Profit and Loss and Balance Sheet.

Note: Make a hole in the printouts and attach directly after all this writing materials.

Stick this pic side by side of ques 1 of Assignment B

Stick this pic side by side of Ques 2 OF Assignment B
 C. ASSIGNMENT ON TALLY
[INVENTORY MANAGEMENT]

Q1. Describe the steps involved in creating a new stock item in Tally Prime.

Answer1.Go to Gateway of Tally > Create > type or select Stock Item and press Enter.

 Alternatively, press Alt+G (Go To) > Create Master > type or select Stock Item
and press Enter.

2.Enter Stock Item Details:

 Name: Enter a clear and descriptive name for the item.

 Alias (Optional): Specify additional names or synonyms (separated by commas).
 Under: Select the appropriate stock group from the list (helps categorize inventory).
You can create a new group on the fly by pressing Alt+C.
 Units: Choose the unit of measurement for the item (e.g., pieces, meters, kilograms).
You can create a new unit if needed by pressing Alt+C.

3.Configure Additional Settings (Optional): If applicable and enter the Opening if

you have existing inventory

4.Save the Stock Item:

 Press Enter to save the new stock item. Alternatively, press Ctrl+A to accept and
save.

Q2. How do you create a godown (warehouse) in Tally Prime?

 Gateway of Tally > Create > Godown and press Enter.

 Alternatively, press Alt+G (Go To) > Create Master > type or select Godown and
press Enter
Enter Godown Details:

Godown Name: Enter the name of the new godown/warehouse.

Alias (if necessary): Optionally, provide an alias for the godown.
Under: Choose the appropriate group under which the godown falls. This is usually
predefined in Tally Prime.
Address: Enter the address details of the godown.
PIN Code: Specify the PIN code of the godown location.
State and Country: Choose the state and country where the godown is located.
Save the Godown: Once you've filled in all the necessary details, press Ctrl+A or click on
"Accept
Multiple Godown  You can create multiple godowns by using the Multi-Creation option
under Godown in the Create Master menu (Alt+G > Create Master).
 After creating godowns, you can allocate stock items to specific godowns while creating
or editing stock items. This allows you to track inventory levels in each location.

Q3. How would you create a stock item with multiple units of measurement in Tally
Prime?
Answer In Tally Prime, you can create stock items with multiple units of measurement
using the Alternate Units feature. The following are the steps:
1. Open Tally Prime and go to the "Inventory" module.
2. Select "Create" under "Stock Items" to create a new stock item or choose an
existing one to edit.
3. Fill in the details of the stock item such as Name, Alias, and other relevant
information.
4. Scroll down to the field "Use Alternate Units" and set it to "Yes".
5. Now, you'll see options to enter alternate units. Enter the alternate units and their
respective conversion factors in relation to the primary unit. For example, if your
primary unit is "Kilogram (KG)" and you want an alternate unit as "Gram (G)",
you would set the conversion factor as 1000 (since there are 1000 grams in a
kilogram).
6. Save the stock item

Q4. Explain the concept of stock categories and how they are used in Tally Prime.

Answer In Tally Prime, stock categories provide a way to classify your inventory items
based on functionality, across different stock groups. This allows you to:

 Group similar items (e.g., monitors, keyboards, mice) regardless of their stock group
(e.g., electronics, peripherals).
 Generate reports to see substitute or alternative items for a specific stock item.

Q5. How can you view the current stock status of a particular item in Tally Prime?

Answer There are two main ways to view current stock status of an item in Tally
Prime:

1. Stock Summary Report (Quick Overview): Gateway of Tally > Display More
Reports > Statements of Inventory > Stock Summary. This shows closing balance
(current stock) for all/filtered items.
 2. Stock Query Report (Detailed View): Gateway of Tally > Display More Reports >
Statements of Inventory > Stock Query. Select the item for details like closing stock,
reorder level etc.

Q6. What is the significance of the reorder level in Tally Prime? How is it set for a stock
item?
Answer The reorder level in Tally Prime is a crucial inventory management tool that
helps prevent stockouts and Reduces Carrying Costs. Setting the reorder level ensures
that you have enough inventory on hand to meet demand without overstocking or
running out of stock.
Steps to set the reorder level for a stock item in Tally Prime:

1.Navigate to the "Inventory Info" menu.

2.Select "Stock Item" under "Masters" to create or edit a stock item.
3.In the stock item details, you'll find a field labeled "Reorder Level".
4.Enter the quantity at which you want to be alerted to reorder the item.
5.Save the changes.

Q7.Describe a scenario where you would need to transfer stock between two godowns in
Tally Prime.

Scenario: You run a clothing store with two locations (Godown 1 and Godown 2).
You notice that Godown 1 has low stock of a popular T-shirt (10 units remaining),
while Godown 2 has excess stock of the same T-shirt (50 units).

Reason for Transfer: To ensure both stores can meet customer demand for the T-
shirt.
STEPS
1..Go to Gateway of Tally > Vouchers > Alt+F7 (Stock Journal).
2. Under Source (Consumption):
 Select the T-shirt stock item and Godown 1.
 Enter the quantity to be transferred (e.g., 10 units).
3. Under Destination (Production):
 Select the same T-shirt stock item and Godown 2.
 Enter the same quantity (10 units).
4.Enter any relevant details like transfer reason or cost (optional).
5.Save the voucher to record the stock transfer between the two godowns.
Q8. How can you generate a stock summary report for a specific period in Tally Prime?

Answer
 Gateway of Tally > Display More Reports > Statements of Inventory > Stock
Summary.
 Alternatively, press Alt+G (Go To) > type or select Stock Summary and press Enter.
 Set the period using F2: Date or F2: Period (choose From & To dates).
 Generate the report (shows opening/closing balances, purchases/sales activity).