openerp-india team mailing list archive

[jlinkels <930739@xxxxxxxxxxxxxxxxxx>]

Here is a patch to the generation of the P/L sheet.

This will correctly calculate the Net Profit or Net Loss in the P/L.

If there is discussion whether or not signs should be displayed in this
sheet: perhaps not, but if no negative amounts are allowed, the
accountant should transfer negative account values to other accounts, to
the other side of the Balance Sheet of P/L.

By ignoring the signs, a totally incorrect amount for Profit or Loss is
displayed, which is IMHO unforgivable for an accounting program.

I know this has been worked on in the trunk version, and the
implementation is completely different, but also contains bugs. Since
this bug is extremely important with regards to correct accounting, I
propose to backport this to 6.0.

jlinkels

** Patch added: "account_report.diff"
   https://bugs.launchpad.net/openobject-addons/+bug/930739/+attachment/2762636/+files/account_report.diff

-- 
You received this bug notification because you are a member of OpenERP
Indian Team, which is subscribed to OpenERP Addons.
https://bugs.launchpad.net/bugs/930739

Title:
  Negative value on Expense acct is deducted from Profit

Status in OpenERP Addons (modules):
  Incomplete

Bug description:
  OpenERP server 6.0.3

  Install a new database, install only accounting, demo data and generic
  accounting scheme.

  Create an account "223000 Foreign Exchange losses" as Expense. Parent
  is 22 Expenses.

  Create a custome invoice and sell a service for $1000,-
  Including taxes t he invoice amount is $1150,-

  When receiving the payment, receive $1200,- and use reconciliation with Write-Off.
  Use "223000 Foreign Exchange losses" as Write-off acct.
  Complete the payment.

  Check the G/L on these accounts.
  200000 Product sales is $1000,-
  223000 Foreign Exchange losses is -$50,- (minus $50)

  Create the P/L sheet.
  Net profit shows up as $1000 - $50 = $950 
  Create the Balance sheet.
  The Balance shows $1200 on the asset side and $1100 on the liability side

  A negative expense is a gain
  The negative expense should have been added to the Revenues not subtracted.
  The Balance sheet should not have displayed an unequal result.

  The discussion whether or not an amount on the P/L sheet is allowed to be negative is moot. 
  In a system with hundreds of entries, it would be impossible to find out why net profit is unequal
  to Revenues minus Expenses. If a negative balance is not acceptable, an notification should be
  generated

  jlinkels

To manage notifications about this bug go to:
https://bugs.launchpad.net/openobject-addons/+bug/930739/+subscriptions