Chapter 3

Accounting Applications in Computer

recoding and posting

Course: Accounting in Pharmacy Merchandizing

Course Code: BSPH2106
Specialization: Pharmacy
 Contents

• Create and maintain the company information required by Tally

Prime software.
• Prepare Ledgers and record Purchases, Sales, Sales Returns and
Purchase Returns in Tally Prime software
 Introduction to Tally

•Tally is a leading business management software solution company, which today enables more than
2 million businesses worldwide in over 100 countries. Since the year of inception 1986, Tally provides
robust business management applications to small and medium enterprises in India and other
geographies around the world. With a strong research and development division, Tally strives to
deliver innovation and excellence in enterprise resource planning software for small and medium
businesses.
•Tally Prime is a complete business management software launched on 9th November 2020.
 MODULE 1
•Module objectives
•When you have completed this module, you will be able to:
 Describe the basic features of Tally Prime.
 Identify the key components of Working Screen of Tally Prime.
 Start and exit Tally Prime.
 Create a company in Tally Prime.
 Work on other companies in Tally.
WORKING Screen OF Tally Prime
WORKING Screen OF Tally Prime

• Title Bar
It is at the top of the working screen of Tally Prime. If provides name of the application on left side and the
standard windows buttons to Minimize, Maximize and Close on the right side.
By clicking on
By clicking on ,the license information will be displayed in the pop-up window

The Esc button and Enter button are used for navigation across Tally Prime. The Enter button is used to select
the commands and Escape button helps you to go back to the previous screen.
 WORKING Screen OF Tally Prime
• Menu Bar
The Menu Bar has the following options
(i) Company Menu (ALT+K) (ii) Data Menu (ALT+Y) (iii)  Go To Menu (ALT+G) (iv) Exchange Menu (ALT+Z)
(v) Import (ALT+O)
(vi)Export (ALT+E)
(vii)E-Mail (ALT+M)
(viii) Print (ALT+P)
(ix) F1 Help
 WORKING Screen OF Tally Prime

• Main Area • Button Area

• The Main Area is separated into two: The buttons are designed to make the work easier and faster.
F2: used for changing date,
1. Left-hand side area
ALT+F2: used for changing period.
The left-hand side provides information on Current Period, F3: change company,.
Current Date and List of Selected Companies (Name of the ALT+F3: select company
company and the date when last entry has been made). CTRL+F3: shut company.
CTRL+N: Calculator

2. Right-hand side area

Press Esc button to back to Gateway of Tally.
• The right-hand side displays the Gateway of Tally menu
such as Create, Alter, Vouchers, daybook and so on.
 Maintaining Company Data

CREATING A COMPANY
Creating a Company involves providing basic information about the
company whose books of accounts are to be maintained in Tally Prime.
• Gateway of Tally
• 
• Company Menu (ALT+K)
• 
• Select Create Company
• 
• Company Creation Form
• 
• Press Enter or ‘Y’ to create company
 Company Creation Screen

1. Name
Enter the name of the company whose books are being opened. The name of
the company will be your FIRST NAME and FAMILY NAME.
2. Mailing Name and Address
The mailing name is different from the Company Name. The mailing name and
address details are picked up for inclusion in any report that needs the
company name and address as heading. For example: Balance Sheets,
Statement of Accounts, and so on.
Address: PC 133
3. Governorate: Select Muscat
4. Country: Select Sultanate of Oman
5. P.O.Box: Enter 1055
6. Telephone: Enter the Telephone number. 11. Financial Year From
7. Mobile No: Enter the mobile number of the company. The stipulated period of the financial year is 12 months in most countries. Tally Prime automatically
8. Fax No: Enter the fax number of the company. considers 12 months from the date you give here as the Financial Year.
9. E-mail Address Tally Prime allows you to maintain data for multiple years by changing the period (Alt+F2) at the
Enter the E-mail address that will be used to e-mail documents, reports and Gateway of Tally. In addition, you can also specify the date of actual establishment of the company
data from Tally Prime. (date of incorporation). Enter the current financial year as 1-1-2022.
10. Website:Enter the website of the company.
 Company Creation Screen

Change of Features
Different features of a company can be selected or
modified by using the  F11: Features button. This
button is available in almost all the screens of Tally
Prime enabling the user to modify it as and when
your requirements change.

The following changes should be made :

1. Maintain Bill-wise details : NO
2. Maintain Inventory : NO
 Company Creation Screen
• Security Control

Change Control User Access to Company Data to YES

 
Username(Administrator) : Give your College ID
 Company Creation Screen

Select a Company Shut a Company

•Select Company option allows you to load another
company from the list of companies listed which you
may have created earlier.
•Press Enter on Select Company or use the button
F3: Select Cmp (ALT+F3)
•Shut a Company is to unload it. It does not mean
that you have deleted it. Simply select it again to load
and work on it again.
•You can shut a company in two ways – either using
the button Shut Company (CTRL + F3) or pressing
Enter on Shut Company option on the Company
Menu (Alt+K).
 Company Creation Screen
Alter a Company Delete a Company
This option allows you to alter information about the existing company, you This option allows you to delete an existing company. To delete a company, you must

can modify any information at any time that is set while creating a load the company first.
• Gateway of Tally
company.
• 
• Gateway of Tally
• Select Company Menu (Alt+K)
• 
• 
• Select Company Menu (Alt+K)
• Select Alter
• 
• 
• Select Alter • Select Company to Delete
•  • 
• Select Company to Alter • Company Alteration Form
•  • 
• Company Alteration Form • Press ALT+D
•  • 
• Press Enter or ‘Y’ to save changes • Press Enter or ‘Y’ to delete
 Module 2
•Module objectives
•When you have completed this module, you will be able to:
 Describe the basic functions of the Tally accounting system.
 Create an initial chart of accounts from the pre-defined set in Tally.
 Maintain the chart of accounts.
 Enter opening balances into the ledgers.
 Confirm that the chart of accounts and opening balances are correct.
Pre-Defined Groups
By default, Tally Prime provides a list of Groups called pre-defined groups.  The user can create any number of Primary
Groups and Subgroups which are again grouped under a Primary Group/Subgroup.
There are 28 pre-defined Groups in Tally Prime, out of which 15 are Primary Groups and 13 are Sub-Groups.

15 Primary Groups 13 Sub-Groups

Capital Account Reserves & Surplus
Loans (Liability) Bank OD A/C
Current Liabilities Secured loans
Investment
Unsecured loans
Fixed Asset
Duties & Taxes
Current Asset
Branch/ Divisions Provisions
Misc. Expenses (Asset) Sundry Creditors
Suspense A/C Stock in hand
Sales Account Deposits (Assets)
Purchase Account Loans and Advances (Assets)
Direct Incomes Sundry Debtors
Direct Expenses
Cash in hand
Indirect Incomes
Bank account
Indirect Expenes
• Out of the 15 Primary Groups, 9 Primary
Groups appear in the Balance Sheet which
are Capital in nature and 6 Primary Groups
appear under Profit & Loss Account which
are Revenue in nature. 13 Sub-Groups are
classified under the 15 Primary Groups and
they appear in the Balance Sheet.
Pre-defined Ledgers in Tally PRIME

•There are two pre-defined ledgers available in Tally Prime, they are:
•Cash
•This Ledger is created under the Group Cash-in-hand. You can enter the opening balance as on the date of
books beginning from. You can also alter the name and even delete the Ledger.
•Profit and Loss Account
• This Ledger is created under the Group Primary. Previous year’s Profit or Loss is entered as the opening
balance for this ledger. The balance entered here is treated as the opening profit/loss and shown in the
Balance Sheet as opening balance of Profit and Loss account in the Liabilities side. You cannot delete this
ledger, but you can modify the same
 CREATING A LEDGER
There are two modes for creation of Ledger accounts : Single Ledger Mode and Multiple Ledger Mode

• Creating a Single Ledger Creating Multi Ledger

Gateway of Tally
Gateway of Tally 
 Select Chart of Accounts
Select Create 
 Select ledgers
Select ledger 
 Single Multi Masters (Alt+H)
Single Ledger Creation Form 
 Select Multi Create
Press Enter to create 
 
Multi Ledger Creation Form

Press Enter to create
CREATING A LEDGER

•S.No
•This is auto generated.
•Name of Ledger
•Enter the name of the Ledger.
•Under
•If you select All Items in Under Group field, you have the option
to select the group in this column.
•Opening Balance
•This is the balance remaining when you first enter your books on
Tally Prime, i.e., the date of beginning of books. If you have opted
to maintain balances bill-by-bill, you must give the bill details.
•Dr/Cr
• Specify whether the Opening Balance is Debit or Credit. Tally
Prime follows the normal accounting principles of accounting.
DISPLAYING THE LIST OF ACCOUNTS
• The list accounts in Tally Prime can be displayed as
under :

Gateway of Tally

Select Chart of Accounts

Select ledgers

List of Ledgers

Press F5 for ledger View
 ALTERING A LEDGER ACCOUNT
Alteration of Account Ledgers is possible under Single Ledgers as well as Multi
Ledgers mode.

• Altering Single Ledgers

Gateway of Tally

Select Alter

Select ledger

Select the Ledger Account to
alter

Single Ledger Alteration Form

Press Enter to save changes
 ALTERING A LEDGER ACCOUNT

• Altering Multiple Ledgers

Gateway of Tally

Select Chart of Accounts

Select ledgers

Single Multi Masters (Alt+H)

Select Multi Alter

Select All Items

Multi Ledger Alteration Form

Press Enter to create
DELETION OF LEDGERS:
You can delete the ledger if no vouchers have been created under this ledger.
If you want to delete a Ledger for which Vouchers have been created, then you have to first delete all the Vouchers from that Ledger and then delete the Ledger Account

• Gateway of Tally
• 
• Select Alter
• 
• Select ledger
• 
• Select the Ledger Account to delete
• 
• Single Ledger Alteration Form
• 
• Press Alt+D
• 
• Press Enter to Delete
Module 3
•Module Objectives
•When you have completed this Module, you will be able to:
 Describe the purpose of the Tally vouchers.
 Use vouchers to record accounting transactions.
 Generate Daybook
 Modify or delete vouchers recorded in the Tally
PRE-DEFINED VOUCHERS
•Tally comprises of the following predefined Vouchers, to suit different business requirements for recording various
transactions. Tally also allows you to create user-defined Vouchers (Voucher Types) as per your requirements.
 Payment voucher
 Receipt voucher
 Contra voucher
 Journal voucher
 Credit note voucher
 Debit note voucher
 Sales voucher
 Purchase voucher
THE FUNCTION OF EACH VOUCHER TYPE IS NOW EXPLAINED.
•Payment Voucher
All the payments made by cash and cheque payments will be recorded in the payment voucher.
 

•Receipt Voucher
•All the cash and cheque receipts will be recorded in the receipt voucher.
 

•Sales Voucher
•The credit sales of goods will be recorded in the sales voucher.
 

•Purchase Voucher
•The credit purchases of goods will be recorded in the purchase voucher.
 

•Credit Note Voucher

•The goods returned by the customer (Sales Returns) will be recorded in the credit note voucher.
 

•Debit Note Voucher

•The goods returned to the supplier (Purchase Returns) will be recorded in the debit note voucher.
 

•Contra Voucher
•If only Bank A/c and cash A/c are involved in a transaction, then that transaction will be recorded in contra voucher. The examples of contra entries :
(a) Cash deposited into Bank
(b) Cash withdrawn from bank for office use
(c) Funds Transfer to one bank A/C to another Bank A/C

•Journal Voucher
•The transactions which are not covered in the above vouchers will be recorded using journal voucher.
 DISPLAY DAY BOOK
The Day Book lists all transactions made in a particular day and by default displays the last voucher entry date of a regular voucher. It could also be set up to list all the
transactions made over a certain period. Transactions include all financial vouchers, reversing and memorandum journals as well as inventory vouchers.
In Tally Prime, the Day Book is by default displayed for the current date (as on the last date of voucher entry). However, you may specify the required period, as per
your requirements.
To view the Day Book,

Gateway of Tally

Select Go To Menu (Alt+G)

Select Day Book

Press ALT+F2 to change period to 1-1-2021 to 31-12-
2021

Daybook

Press ALT+F5 for detailed
 ALTERING A VOUCHER

Gateway of Tally

Select Go To Menu (Alt+G)

Select Day Book

Press ALT+F2 to change period to 1-1-2021 to 31-12-2021

Daybook

Press ALT+F5 for detailed

Select the Voucher to Alter

Voucher Alteration form

Press Enter to Save Changes
DELETING A VOUCHER

Gateway of Tally

Select Day Book

Press ALT+F2 to change period to 1-1-2021 to 31-12-2021

Daybook

Press ALT+F5 for detailed

Select the Voucher to Delete

Voucher Alteration form

Press Alt+D

Press Enter to delete
Exercise (1):
References
 CONTACT INFORMATION:

Name of the Staff : Ms. Reem Ibrahim Al Farsi

Office:: BS 043
Email: reem.alfarsi@hct.edu.om

VERSION HISTORY

Version No Date Approved Changes incorporated

01 Sem. (I) 2022/2023 November 9th , 2022

33