 In this presentation, we will enter beginning balances for our jobs and the related general ledger accounts. In other words, we're going to set up our jobs as if we have a couple jobs that have already been started and have a beginning balance as of the current period that we are starting now. And then we'll have another job that will be created within the current period. This will allow us to practice entering that beginning balances which will allow us to put in the data input forms to see what the effect on the jobs and projects will be. It will also give us practice with us going over the year end accounting period over basically the cutoff date from one period into the next and think about how we would deal with a job that was open in the prior year and still open in the current year as well as new jobs that we will be creating all in the current year. Get ready because here we go with zero. Here we are in our job costing company dashboard. We're going to go on down to our Excel sheet to see what our objective will be. We are currently in the tab X EX zero, so we're in the tab EX zero, we're going to be moving on over to our job information. Here's our job information and these are going to be the jobs before we start processing in the current time period. So in other words, we had two jobs, job number 14 and 15, which had activity within them before we're going into our current time period and we need to populate off that beginning balance information, so we're going to be populating that beginning balance information. It'll look similar to what we'll do later when we have activity throughout the system and actually process it into there, but we want to practice with this as well to give us good practice to set up those beginning balances and then cross over that year end type of period. Now also note that since we're backing up and supporting the cost of goods sold account here, it then closes out to the capital account or retained earnings, however whatever account it's closing out of the equity section and therefore we have to be aware of that when we're trying to tie out basically how our system, when we're looking at the supporting documentation between the job costing and the general ledger account. So we'll look at that and we'll reconcile that amount out as we go through the process. We'll discuss that item. Okay, so then we're going to be entering jobs 14 and 15 and the three kind of components of it, direct materials, direct labor and the overhead. So let's go back on over to our system. We're going to go back into here. Now I'm going to hold down control and bring us to a hundred percent. So we're at a hundred percent, which is what I recommend when you do data input to keep it at that one hundred percent. And I'm going to go to the, uh, let's go to the tasks over here, the little plus button tasks over here, and we're going to say we're going to use a spend money for money is going to be going out. We're going to use the spend money form to enter those beginning balances into our system. We're going to be using the checking account that we set up. So I'm going to say checking account. That's the one that's the one that we want. And then we're going to enter our information. I'm just going to say miscellaneous for the, for the, uh, vendor because in my SC, so I'm going to set that up or just keep it at miscellaneous. And then the date I'm going to bring this on back to G or December. We're going on back to December, uh, 2019. So it's going to be in the prior time period. So I'm just going to pick December 31st. The point is that this is going to be before the cutoff date of when we're going to be having our, our data input, which is going to be 2020. So this is going to be an open job. It's going to result in open jobs as of the point in time that we're going to be tracking 2020. So we're going to keep that here. And then we're going to go through our items. Now, in the materials section, I'm going to be looking at the materials now, that 14,000, but we're going to pick some of the, the sub material accounts, those items that we set up for it. So in other words, I'm going to go back over here and we're going to pick up and I'm just going to pick some kind of, a little kind of randomly pick them up. This is going to be a cement. So we'll pick up the cement renderer and that's going to be for the amount of 8,000, we're going to say in our practice problem, 8,000 for the cement. And then we're going to say that we have the dropped ceiling, dropped ceiling. And then we're going to be picking that up for the 5,000, 5,000. And then next, we're going to have the flooring flooring. Now, if you're, if you're thinking, Hey, how am I, how am I applying that to the job or project? It's going to be down here, assign expenses to customers or projects. So we will get there. If you've been using something like a QuickBooks, you might say, Hey, it should be on the right hand side. It's not there right now, but we will get to it and we'll apply it out in a similar fashion as you might be used to in other types of software. So then we're going to say tab, tab, and this is going to be then for 1,000. And this one up top should have been for 5,000 rather than 50,000. All right. And that's going to add us up to that 14,000. So that's going to be our materials. If I go back to my job, then in other words, the job number 14, which is where we're going to apply this all out to now adds up to 14,000, which is the materials that we further broke out into those, those subcategories. Now we're going to go into the direct labor. So direct labor. Now we don't have an item set up for direct labor. I'm actually going to set it up as we go. So we're going to set up an item as we go here. I'm just going to call it direct labor. And then I'm going to say, uh, whoops, hold on a second. Let's do it with the dropdown. Instead of typing in there, I'm going to say, I need a new item, please. And then we're going to say the code is going to be direct labor. So notice this is the same kind of data input screen that we had when we went into the items and notice it does say item name. It's also called the products and services. So you have that interchange between, you know, calling them items and calling them products and services. This is going to be kind of like the double-sided items. So we're going to have the purchases side of things. We're not going to put the price in there. We're going to say the purchase account. I'm going to paste this in there and that's going to be the direct labor. It's an account though. This is an account that we set up the account five, five, zero. So there we have that. We also need the other side, which is the I sell this item to make it a double-sided or two-sided item. And then we're going to put on the sales side, just the sales account as we did when we set up all those items. You should be very practiced with this because we did, you know, we did a lot of practice with them. Okay. So that's going to be it. I think that's it. So then we will say save and we're going to put the amount over here. And the amount is going to be from the Excel sheet. And that was the 18,000. So 18,000 as the amount. We're going to be picking that up. All right. And then we've got the overhead is going to be the next one. So I'm going to do the same thing. I'm going to add a new item for overhead. So just for our beginning balances. So we're going to add a new item. I'm going to put it and just call it overhead. And then I'm going to copy that and I'm going to put that here in the name. I'm going to put it down here in the purchase area because we want that account that we already set up, which is 580 for overhead. And then I also need to check off this to make it a double-sided item or a two-sided item. However, you call those things. They're apparently they're called different things in different areas of the country or something like that, like a tomato tomato thing. That's what I've been told. But in any case, we're going to say save on that one. And so there we have that. And the overhead then needs to be for the amount of the 9,000, 9,000. So we're going to pick up the overhead of the 9,000. Let's do that. And I'll put that here, 9,000. So that adds up to 41,000 on the total. If I go back into Excel, then we have the 41,000 on the total here. So that looks good. It looks like it's lining up. Now we need to assign all these items, all these line items to a specific job or customer or project project. So we're going to assign to a project. Then we have the dropdown up top so you can select the dropdown. Sometimes it doesn't populate, but you can also type in job number 14. There's going to be job number 14. It's going to be customer one job number 14. So I'm going to select that item and then we're going to select the ones that apply. This happens to be all of them. So you could select them one at a time or you could select all of them. And then once you've selected the items to assign to job number 14, we're going to assign them, assign all five items. So note that if you had multiple items, multiple jobs to assign, then you could use, you know, you could then click a different one off and assign it's job number 15 or something like that. If you so choose notice over here on the right hand side, it then says job number 14. So job number 14 has been assigned here. Therefore, we're going to say okay. So now we have okay. You'll also note that it's indicated within the actual spend money form with the, the customer and the job underneath. So it's not as wide as you might see in other software. For example, if you, if you looked at it like a QuickBooks, you'd see it on the, on the right here, you got it down below where you can add it and you still have a pretty nice, a shorter screen size. So it's not quite as wide looking of a form. So now let's go ahead and I save that. I'm going to update it because I made a quick change to it. So we're going to save that. And then we'll take a look at the effect of it. Let's first go over to our projects and see if it has populated the project. So I'm going to go to the projects dropdown. I want to look at all of the projects. We've assigned the project to number 14. So number 14, you'll see now has that 41,000 in it. If we go into to the project number 14 or job number 14, then we have the information down below. So we have the information for the expenses that are going to be tracked within the job number 14. Now let's consider our reports. So we're going to go to our two main reports first. I'm going to go to the accounting dropdown. We're going to be opening up our balance sheet report. Obviously one of our main reports, the financial statement report. Once it is open, I'm going to duplicate the tab so we can move the tab to the right and then go back to the tab to the left. This is a great tool to have within zero because you could then, you know, bounce back and forth between the financial statements and the data input. So I'm going to hover over the tab up top, right click on it and duplicate it. And that'll bring us a balance sheet to the right. It'll often label it, you know, as a balance sheet on the right. And then when we change what we're doing on the left, you can always have that balance sheet open, which is again, nice to be able to to go back and forth between. So we're going to have this as of December 31st, 2019. That's before the period that we're going to start working on it because we're looking at at the prior period at the beginning balances. We have the 41,000 in the checking account. Notice it put it down here in the liabilities because it's overdrawn right now until we enter the beginning balance for cash. So we'll talk about that later. We're overdrawn, of course, at this point. And then we've got the other side going to equity. It's currently in the current year equity of the 41,000. Now, notice if I if I change the date and move it up to the current period 2020, it's going to move out of the equity here, label the current year and go into another equity account like a retained earnings type of account. Let's do that now. I'm going to move the date up and just go right over that cutoff date. And let's make it to January 31st, 2020, the current year that we will be working on in our practice problem. What will happen now it changed to retained earnings. So there's the retained earnings now that's rolling over. That's kind of where our beginning numbers will be. Let's go back on over to the prior tab and then I'm going to I'm going to now look at the income statement or the P and L. So we're going to select the drop down and the accounting drop down is what we want. And then we'll let's take a look at the income statement. Also known as the profit and loss or the P and L and open that one up. Now, you'll note here that nothing has happened in 2020, the current year that we'll be working in this happened in 2019. So I'm just going to bring this back a day. I'm going to say, all right, let's bring this back on over to 2019. December 31st is when we entered this information in. So so that will work. I'm going to bring this all the way back to 2019. Did something funny to me there. Hold on a second. Let's bring this all the way back to 2019. Like so. All right, there we go. And then we'll say, OK, and then update that report. So we'll update this report. And you'll note all we have then is the cost of goods sold. So we've got the cost of goods sold here. And within the cost of goods sold, we broke that out into the accounts of the cement render, the direct labor, the drop, the drop ceiling. And these are all basically subcategories of that category of cost of goods sold. Now, I know I've noted in a prior presentation that we could then think about how we're going to format this, because if you if you compare and contrast this to a QuickBooks online or something, we have these as subcategories. So how can we do a similar type of subcategory process? You can do that. You can go to the page, the edit layout item down here. If you want to edit different types of reports to view them in a different way and do a similar kind of thing as the sub accounts. So let's just take a look at that very quickly. It takes a little while to get used to. But once you once you have it, it's it's not it's it's pretty nice. So then you can go down. We're in cost of goods sold. These are all subcategories of cost of goods sold. But what we would like to see is we'd have all the information in the in the direct materials to be part of direct materials. So what I'm going to do is I'm going to highlight this account. This account, these are all direct materials type of accounts that we're that we want the plaster, the paint and the staff, the stucco, the surface finishing, the wall covering, the wood finishing that I miss any of them. We want the cement render and this ceramic. That should all go into one. And I'm going to make that go into a group by going to the group to the right hand side. And I'm just going to call that group then the group name is going to be let's call it direct direct materials. And then I'm going to go ahead and say done. And so now we have that group that has been added. So then when you go back down into the report, now it's under cost of goods sold. We have the direct materials, which now includes the cement render, the drop ceiling, the flooring and so on. And then the direct labor, which is going to be the 18,000 and the overhead. They don't have any subgroups. We can make subgroups that would be under labor, and we will do so for the overhead. Now, you can also do do formatting where you were going to collapse the subgroups. So I could say if I want to edit this again and say, I just want to see the the overarching accounts, which is the direct labor materials and overhead. I can go back in here and under the direct materials with this little triangle. I'm just going to I'm going to hide that. So then I'm going to say done. And now it'll group all those, all those detailed items into one group. So and this is a way that you can make kind of a summary type of reports or that you can make a more detailed report. Obviously, once you make these reports, you can then you can then add them or save them. So this actually gives you in some ways more flexibility to make internal reports for certain purposes and external reports for certain purposes, any changes you make in that format. They're not going to be saved unless you memorize the report. So you'd have to you'd have to memorize the report and then you could save it. So we might talk more about that as we go, but you could see how this is. This is going to be populated here on the income statement. All right, now let's duplicate this tab. Let's go back to the tab up top, right click on that tab, duplicate this tab. And then we're going to go back to the tab to the left. And we're going to go back into our reports this time. We're going to go to the accounting drop down. We're going to go on down to the reports and then within the reports on the very bottom of the reports on the bottom right hand side, you have your project report. So the project reports, the major two are going to be the project detail and the project summary report. So I'm going to open up the project detail report. So let's open up the project detail report. Then I'm going to select the subject status. I'm going to project status. I'm going to say all we're going to pick all project statuses. And the default is to have this for today. So I'm going to keep that for today and just note that there is some dating issues that when you assign the projects over, it'll typically assign as of the current date. We're going to get some more detail on that later, but we won't go into a lot more detail at this point since we're running a little bit long here. So if we scroll down, then here's going to be that detailed information for job number 14. So just make sure that you're at this point running it as of the current day whenever you're entering this into the system and we're choosing all of the items. So that's going to be it for today. We're going to go back into it or it for now and we'll go back into this and continue on with job number 15 and 16 and take a look at this in more detail and repeat this project process a couple more times in future presentations. That's going to be it for now. Let's get out of here.