How to prepare a Balance Sheet in Tally ?

So far, we have learn t about basic of accountancy, creating a company in tally, posting, vat, excise etc voucher entry and now we will go ahead and will discuss how to prepare a balance sheet in Tally because preparing a balance sheet in accountancy is the final destination for Accounting personnel.

First of all, we will look this matter from the view of manual accounting system
The process of Manual accounting is :

1. Preparing Vouchers/Bills etc.
2. Preparing Cashbook, Journals, Purchase and Sales Register and Bank book
3. Preparing Ledgers by posting items to personal ledger account from the item no. 2 as above
4. Preparing a Trial Balance
5. Preparing Trading and profit & Loss Account
6. Preparing Balance Sheet

Now, Vouchers, Bills ,cheques  are the base of accounting system they forms a transactions which are recorded in day book,cash book,bank register,buy/sales register
then each transaction has been posted to related ledger account.
then on a particular date, Dr. and credit balance of each ledger transferred to Trial balance, including closing cash on and bank balance on that date.
by following this process, the unit prepares A trial balance
Thus, A trial balance sheet shows summary of sales,purchase,assets and liability, expenses and income during that period.
Now from the trial balance sheet all items relating to revenue expenses,revenue incomes, sales, purchase etc are transferred to trading and profit and loss account.
Also stock on that date is to be valued and effected into the profit and loss account.
now if any provision for interest, taxes have to be made then the same are effected into Profit and loss account.
The result will be the Net profit and loss account.that will be transferred to Capital Account
Now items representing capital assets, cash/bank balance, capital and sundry debtors and sundry creditors in the trial balance are transferred to the Balance sheet
also stock to be shown in the balance sheet.
Now your balance sheet is ready.

In Any computerization Accounting system, preparation of balance sheet is relatively very different then as stated above.

In computerisation accounting software, all you need to create ledger accounts under proper grouping and t hen start entering vouchers only.

You don’t need to prepare any register
No need of posting to any ledgers
No need to prepare a Trial balance sheet
No need to prepare a Balance sheet
Because once you post a voucher in  a proper way, all the above reports the system will prepare automatically without any error or calculation.

In tally, you need to specify closing stock as on the given date to prepare a balance sheet which I have shown in my earlier posting.
Please also  read how to put closing stock in tally

Latest Comments
  1. RUPESH SHAH May 5, 2010
    • Mahendra May 5, 2010
      • SAMEER July 21, 2010
  2. Rupesh Shah May 18, 2010
    • Mahendra May 18, 2010
  3. Priti June 4, 2010
    • Mahendra June 4, 2010
    • anil November 9, 2010
  4. Priti June 4, 2010
  5. ateesh June 7, 2010
    • Mahendra June 7, 2010
  6. Saleem June 11, 2010
    • Mahendra June 17, 2010
    • jinal February 2, 2011
      • Mahendra February 3, 2011
        • meenakshi November 7, 2011
  7. christine July 14, 2010
  8. Monwar July 17, 2010
    • Mahendra July 17, 2010
      • Dhruti June 27, 2013
  9. Namita July 21, 2010
    • Mahendra July 21, 2010
  10. yogalakshmi August 19, 2010
    • Mahendra August 19, 2010
  11. Pooja September 1, 2010
  12. Ram September 2, 2010
    • Mahendra September 3, 2010
  13. Revant September 8, 2010
    • Mahendra September 9, 2010
  14. latheef October 9, 2010
  15. raj October 18, 2010
  16. Gibson From - Mbeya Tanzania October 19, 2010
  17. kinfe from Ethiopia November 23, 2010
    • Mahendra November 23, 2010
  18. svtuition November 24, 2010
    • Mahendra November 24, 2010
  19. Srinivasa Rao.Y November 26, 2010
    • Mahendra November 27, 2010
  20. rajsekhar December 8, 2010
  21. veerendra December 30, 2010
    • Mahendra December 30, 2010
  22. PALLAVI February 11, 2011
    • Mahendra February 11, 2011
  23. Shiraj Khan March 2, 2011
    • Mahendra March 2, 2011
  24. ali March 7, 2011
  25. swaathi April 20, 2011
  26. bharat April 29, 2011
  27. R Geetha May 16, 2011
  28. shameer June 20, 2011
    • Mahendra June 24, 2011
  29. Rachana Manek June 21, 2011
    • Mahendra June 24, 2011
  30. fritz August 16, 2011
  31. YASH September 7, 2011
  32. Smita November 8, 2011
  33. jayshree m November 11, 2011
  34. yoga vijaya lakshmi November 11, 2011
  35. amala November 12, 2011
  36. raja November 30, 2011
  37. ANITA December 21, 2011
  38. Syed Omer Farooq May 14, 2012
  39. Akansha Chaturvedi June 15, 2012
    • Gayatri nagwanshi March 2, 2013
  40. Revanth July 11, 2012
  41. punit July 12, 2012
  42. PRADEEPKUMAR July 23, 2012
  43. akbar July 25, 2012
  44. mallikarjuan July 29, 2012
  45. Praveen July 29, 2012
  46. UMA October 5, 2012
  47. rahul October 31, 2012
  48. SK.MAHENDRAN January 1, 2013
  49. Gayatri nagwanshi March 2, 2013
  50. SHIVAM KALIA March 7, 2013
  51. Arun Kumar April 15, 2013
  52. Taba Takam June 8, 2013
  53. AVANISH TIWARI June 13, 2013
  54. MAMTA July 17, 2013
  55. KAZOL July 29, 2013
  56. NARINDER KUMAR August 16, 2013
  57. kishor September 21, 2013
  58. prathima October 17, 2013
  59. roopali November 21, 2013
  60. janani February 15, 2014
    • Mahendra February 15, 2014
  61. janani February 15, 2014
    • Mahendra February 15, 2014

Leave a Reply

Your email address will not be published. Required fields are marked *

Optimization WordPress Plugins & Solutions by W3 EDGE