Chart of Accounts - Concepts

In this session, we will discuss the chart of accounts structure and the effect of standard processes on the Chart of Accounts. Summary:

1. The chart of accounts is structured of two types of drawers: 
   1. Balance Sheet drawers that typically contain balance sheet accounts . 
   2. And Profit and Loss  drawers (Income Statement) that typically contains profit and loss accounts. 
2. The different financial reports run on: 
   1. the account balances relevant to a selected date range and present them according to their drawer, level and type. 
3. A chart of accounts arranges a company's general ledger accounts in a hierarchical structure: 
   1. the top level in the structure (level 1) consists of sections or groups for different type of accounts. 
   2. The system displays the section as a cabinet drawer. 
   3. The following levels can be used as titles for grouping the accounts and for active accounts. 
   4. Only active accounts can be posted to in SAP Business One. 
4. The chart of accounts contain many definitions related the account like: - Account currency - Related project - Limited activity period - Minimum and maximum account balance

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