System and General GL Setup

System and General GL Setup is the place to set up ERP default values to determine how you would like iX ERP to behave in every known action.

Settings > System and General GL Setup

First, you must make sure the GL accounts you need are already set up under GL Accounts. Then, using the drop-down lists, you can assign the GL accounts you want to be used by default for the following:
*Note: iX ERP allow you to change some default accounts in the modules screen.

1. General GL Accounts
2. Dimension Defaults
3. Exchange Variance Account to keep track of exchange rate profit / loss in transactions
4. Customers & Sales (Shipping and Handling), Defaults
5. Suppliers and Purchasing Defaults
6. Items Defaults
7. Fixed Assets Defaults
8. Manufacturing Defaults

Other System and General GL Setup Defaults you will need to set up are:

1. Tax Algorithm to be used.
2. Past Due interval – Number of days between each past-due period. A value of 30 is typical for most companies. (ie, 1-30 (first period), 31-60 (second period), 61-90 (third period), etc)
3. Default Credit Limit – Default credit limit for new customers.
4. Legal Text on Invoice – Any legal text, like terms and interest charges for overdue payments, which you want to be included on all invoices.
5. Deliveries Required by – Number of days a sales order is considered overdue for shipping.
6. Dimensions Required by – Number of days a dimension is considered overdue.
7. Delivery/Invoice Allowance – Percentage by which you allow for deviation in pricing.
8. Allow Negative Inventory – All inventory to have a negative value.
9. Work Order Required by – Number of days to allow for manufacturing of items.
10. Invoice Identification – Use reference number or document system number to identify documents across the system

Risk of Allow Negative Inventory:

• When you allow negative inventory feature in iX ERP, then when you process a customer delivery transaction, the item’s GL inventory account will become a negative value.
• If you have an item standard cost value calculated from purchase invoices, so these values will be used to deduct from the GL inventory account.
• Purchase receive or inventory adjustment is done the value of the GL inventory account is settled based on received quantities and items standard cost.
• Negative inventory can affect several GL accounts like inventory account and cost of goods sold COGS.
• You can always be able to adjust the items standard cost with an approximate value even if you don’t have any stock available, this value will be used during customer delivery, this value will be adjusted automatically when you receive the supplier’s invoice or even manually adjusted if you have the accurate price, although this method will give you a better estimate of the COGS until you have the accurate prices.