Prepayments & Accruals

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Hello, please could someone outline for me how NAV2013 deals with prepayments and accruals on the accounts (for overheads eg a subscription paid for 3 months in advance)

Thanks!

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Aleksandar Totovic 16,765 on at

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It depends of localization.

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Community Member on at

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Sorry - what do you mean by this?

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Community Member on at

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Aleksandar is referring to whether you are using the W1 version or a localized version of NAV 2013, because localized versions for different countries have different functionality.

In the North America (NA) version there is no out-of-the-box functionality for handling basic accounting accruals, it's all done through journal entries. The only exception is for inventory, where you can set an interim inventory account for posted receipts, which accrues the inventory cost before the final invoice is posted. The purchase and sales documents have prepayment functionality but it doesn't work well with North American sales taxes. Otherwise if you are referring to prepaid expenses and amortization of prepaids, such as with subscriptions, that would also be handled by journal entries. Recurring journals are useful in this case. It's possible there may be add-ons that can further automate those processes but I'm not aware of any.

Regards,

Rob

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Community Member on at

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Thanks Rob,

I'm in the UK and my 'about' screen says 'Version GB Dynamics NAV 7.0' then '7.0.33781.0' - does this mean I have a GB localized version perhaps?

Any info for this version would be appreciated.

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Precisely, you are using the GB localized version. I'm based in Canada and only work with the NA localized version, so I will defer to the other forum users who may know more about the GB functionality.

Regards,

Rob

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SilverAdo2021 594 on at

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In NAV 2016 Microsoft introduced Deferrals in standard NAV.

Have look here:

http://wp.me/p6WwU9-le

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