Assignment 4 - Exercise 09
Read Me First:
 Use the Cloud Consulting Case database (Assignment 2) to complete the
Assignment.
 Ensure that you have fully completed the Assignment 2 exercises 1, 2, 3, 4
and 6 before starting with this assignment.
 Ensure that your current fiscal year is 2024 (GL Setup \ Options \Posting
Tab).
 If you have completed the Assignment 2 correctly, your TD Bank
Chequing Account and the Accounts Payable balances in the General
Ledger module as of Jan 31, 2024 will be as follows:
o 1000 - TD Bank Chequing $ 14,185 (Debit)
o 2000 - Accounts Payable $ 2,500 (Credit)
 If your balances are incorrect, ignore your own balances for the purpose
of completing this assignment, and assume that your TD Bank Chequing
Account balance as 14,185 (debit) and your Accounts Payable Account
balance as 2,500 (Credit).
 G/L balances will not be verified in grading this assignment; hence, you
are not expected to process (post, delete, etc.) your batches in the
General Ledger module.
 If the information is not provided to complete a particular setup, accept
the default settings for the setup. Based on your judgment, you are
permitted to make necessary changes to the setup, if such changes are
required to complete the assignment exercises.Case Information
Cloud Consulting Company will start using the the Sage 300 Accounts Payable,
Bank Services and the Tax Services modules from January 31, 2024.
The TD Bank Chequing Account details for Cloud Company are as follows:
 Bank Transit Number - 12342004
 Chequing Account Number - 0123454321
During January 2024, the company was directly using the GL Account 1000 to
record their TD Bank entries. Going forward, the company will be using a sub-
ledger Bank Account to record its TD bank transactions. The bank sub-ledger
account will be using the G/L account 1000 as its control account.
Since the same TD account will be used for both the Consulting and the
Implementation service transactions (refer to Assignment 2 exercises for details
about the two services), any bank related expenses incurred such as the Bank
Charges, Write-Off or Credit Card charges would be equally divided between the
two services. To facilitate this, two new expense allocation accounts would be
created in G/L.
The expense allocation account details are as follows:
 6070 - Bank Charges
 6080 - Bank Errors and Write-Off
Since the company will not be using the Accounts Receivable module, 6080
account will also be used for recording the Credit Card Charges. The company will
setup a Bank services distribution code only for the 6070 Bank Charges account.
The company will be using the Sage 300 Check printing functionality when
recording payments in the Accounts Payable module. The following details would
be used in completing the Check Stock code setup:
 Next check number : 451
 Stock Type : Combined Check and Advice
 Check Form : APCHK11A.RPT
 Number of Advice Lines per Page : 15The document number lengths for both the Bank entry and the Bank Transfer
transactions would be adjusted to 10 characters.
The company has a requirement to process the HST taxes in the Accounts Payable
module related to its purchase transactions. The G/L account 2110 will be used to
track the HST Liability, and the G/L Account 2120 will be used to track its
recoverable taxes. In the Tax authority window, the recoverable rate for will be
100%.
The company will be creating the following HST - Purchase - Vendor Tax classes:
 Taxable
 Non Taxable
The company will be paying 13% HST on most of the items purchased, and 5% HST
on some of the items purchased; hence, the company will be setting up the
following HST - Purchase - Item Tax classes:
 Taxable13
 Taxable5
 Non Taxable
Note - if the vendor tax status is Taxable, and if the item tax status is Taxable13,
then the HST tax rate would be setup as 13%. Similarly, if the vendor tax status is
Taxable, and if the item tax status is Taxable5, then the HST tax rate would be
setup as 5%.
Case Questions:
1. Open the Cloud Consulting company with the session date of January 31,
2024.
2.  Create the following Allocation Accounts (Expense accounts) in G/L:
 6070 - Bank Charges
 6080 - Bank Errors and Write-Off3. Review the following details:
 Current year in the G/L module
 TD Chequing Account Balance (chart of Accounts window)
 Accounts Payable Balance (chart of Accounts window)
4. Activate the following modules:
 G/L Sub-Ledger Services
 Tax Services
 Bank Services
 Accounts Payable
5. Create  Bank Sub-Ledger Account for TD Bank Chequing Account and
configure the details correctly based on the information provided.
6. Make adjustments to the Bank Setup - Options window based on the
available information.
7. Create  Distribution code for Bank Charges G/L Allocation Account.
8. Assume that the Bank Control Account 1000 (TD Bank Chequing) balance in
G/L is 14,185 (Debit). Assume that that the TD Bank Chequing Account
statement balance as of 31 January 2024 is also $ 14,185. Further assume
that there are no outstanding transactions as of 31 January 2024.
Perform a Bank Reconciliation transaction in order to establish $ 14,185 as
the opening balance for the TD Bank Chequing Account in Bank Services.
Post the Bank Reconciliation in Bank Services.
9. Verify the TD Bank Chequing Account balance in Bank Services.
10. Setup the Tax Authority for HST tax.11. Setup the appropriate Tax classes for the following scenarios:
 HST - Purchase - Vendors
 HST - Purchase - Items
12. Setup the HST - Purchase Tax Rates.
13. Setup the following Tax Group:
 Tax Group - ONTHST
 Type - Purchases
 Description - Ontario Taxes
 Tax Authority - HST
14. Create  new folder; rename the folder as A4 E9 Q14; dump the system
and company databases to the A4 E9 Q14 folder.