Daily Processing -AS IS Process-Document Parking & Posting Process involves Jounalizing of Vendor invoice.

Process steps S. NO. 1 ( Description ) (Office Manager (OM) receives documents in mail. ) ( Reviews the same & forwards it to Responsible Person ) ((RP) for approval ) (RP reviews the document (Inv/DN) for validity of price, ) (quantity, product service recd. Returns it to OM. ) (OM forwards the document to Accounts Dept (A/C) for ) (payment approval & payment. ) (A/C approves payment & posts document (Inv/DN) ) Responsible OM

RP

OM

4 5

A/C

(A/C dept prepares/posts cheque/bank trf for invoices due for ) A/C (payment. Alternatively, pays invoice online & forwards ) (cheque/bk trf to OM for signature & paid invoice for ) (authorization. ) (OM authorizes online payment/signs cheque & returns it ) (to A/C for posting & dispatch to vendor/ filing. ) (A/C posts online payment & files the invoice. ) OM

A/C

Input Document 1 2 (Vendor invoice ) (Debit note )

Output Document 1 2 3 Report (Journal ) (Updated vendor a/c ) (Approved vendor invoice )

1 2

(Trial Balance ) (General Ledger )

Expectation 1 Posting should be allowed after invoice is duly approved by person receiving product/service (System should intimate due dates )

Bank Name & Address

ROYAL BANK OF CANADA 260 EAST BEAVER CREEK ROAD HWY 404 & HWY 7 BRANCH RICHMOND HILL, ONT. L4B 3M3 CANADA

6032 400431 3 A/C NO.

USD CHEQUING 2 Bank Name & Address ROYAL BANK OF CANADA 260 EAST BEAVER CREEK ROAD HWY 404 & HWY 7 BRANCH RICHMOND HILL, ONT. L4B 3M3 CANADA

A/C NO. 6032 100 282 3 CDN CHEQUING

Bank Name

Bank Address 260 East Beaver Creek Road 260 East Beaver Creek CANADA Road Richmond Hill, ONT. L4B 3M3 Canada 260 East Beaver Creek Road 260 East Beaver Creek CANADA Road Richmond Hill, ONT. L4B 3M3 Canada

Account No

Currency

ROYAL BANK OF

6032 400431 3
USD

ROYAL BANK OF

6032 100 282 3

CDN

TRAVEL FUNDS ADVANCED TO SALES STAFF - AS IS

Process :

Sales staff requests the Acct to provide the travel funds. Acct initiates the request by entering details on Travel software which is internally designed to control the travel funds & trip details. It generates the trip no. & converts the currency to CDN $ at weighted average rates based on previous purchase of foreign currency.

Acct prepares trip voucher on excel indicating details of funds/ currency/exchange rate/ Trip No.& coversion to CDN $ amount in duplicate. One copy is given to Sales staff & other is retained by Acct duly signed by Sales staff for funds advanced On return from trip sales staff gives account of funds expensed with supporting cash expense vouchers to Acct Acct then updates the relevent trip no. item in the travel software & updates it by posting amount returned. Acct then updates the relevent excel voucher by entering the details of funds spent/returned Acct posts the transaction by making journal entry to expense the trip cost in the accounting software. Expectation The system should allow for the above process to be completed with in the system in a more efficient & simple way.

h is internally

ncy/exchange rate/ n to Sales staff &

updates it by posting

p cost in the accounting

d with in the

Input tax code is HST Input tax rate Payment terms

This is included in vendor invoice & added to the total cost Currently is 13 %. Normal payment terms from Vendors are 30 days, 45 days, 60 days & 90 days

DEPRECIATION - PLEASE SEE ATTACHED SCHEDULE.

DEPRECIATION - CLASS & RATES

ASSET NAME Office Furniture & Equipment Computer/EDP -acqd before Mar 07 Computer/EDP -acqd after Mar 07 Automobile Building Parking Patents CLASS 8 45 50 10 3 1 44 DEPN RATE 20% 45% 55% 30% 5% 4% 25%