What Is Nominal Code *.20.60.14?

The nominal code *.20.60.14 refers to a balance sheet account used to track workshop cash invoices that are yet to be released. This account temporarily holds the balance until the invoices are processed and released.

Key Details

1. Purpose:

   • This account is used to record cash payments for workshop jobs that have not yet been finalised or released.
   • It ensures accurate tracking of pending workshop cash transactions.

2. Automatic Reversal:

   • Once the workshop cash invoice is released, the balance in *.20.60.14 is automatically reversed.
   • An automatic journal is created, transferring the amount into the Workshop Banking account.

3. Nominal Description:

   • *.20.60.14 – Workshop Cash Debtors

Workflow Example

1. Initial Entry:

   • A cash invoice is generated for a workshop job. The balance is posted to *.20.60.14.

2. Release Process:

   • When the workshop job is released, the system automatically processes the journal.
   • The balance is moved from *.20.60.14 to the Workshop Banking account.

Key Notes

• Balance Sheet Account: Since this is a balance sheet account, it does not directly affect the profit and loss statement.
• Automation: The reversal and journal posting are fully automated upon invoice release, ensuring no manual intervention is required.
• Monitoring: Regular review of *.20.60.14 can help ensure there are no outstanding balances from unreleased invoices.