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Add Expense: Include the expense you want to allocate over the months or period.
Add Expense Item: Click on the Create/Cancel Deferral option.
Fill in Deferred Expense Dialog:
- Deferred From/To: Specify the period for deferring the expense.
- Calculation Type: Choose how you want to calculate the deferral (monthly, calendar days, or manually).
- GL Account: Select the deferred expense account.
- Expense GL Account: Choose the account for transferring to transfer the balance to the profit and loss statement at the end of the month-end.
- Expense Item: Select the relevant expense item.
The below icon, help you identify if these expense are being for the period or not.
Please note, these deferred expense will not be included to the cost of Invnetory.
- To work Automatically with deferred expenses- Do the month end closing and check the expense values calculated in the deferred expense report from Accounting Module.
I have closed the August and September months therefore the recognized expenses are AED 5000 (10,000/4*2)
You can view this data in the report as well
- Manual Deferred expense-
To create the calculations manually, Click on expense
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