Balance Type


In Codejig ERP, balance types represent widely recognized accounting frameworks using any of which your organization must prepare and present its financial statements. Codejig ERP defines and provides default balance types for individual countries based on country-specific general guidelines as well as internationally accepted frameworks.
For example, Codejig EPR by default supports such accounting framework as IFRS enabling you to rely on its principles to prepare standardized financial statements.
Each balance type available prescribes a particular format in accordance with which a balance sheet and a profit & loss report should be prepared. Balance types specify how bookkeeping accounts should be organized in the balance sheet and profit & loss report with the help of balance items.
Balance items are major components of the balance sheet determining how and in what categories, subcategories and groups accounts are organized in financial statements.
So, the format prescribed by a balance type is a hierarchical tree structure formed by balance items. This structure is similar to the chart of accounts structure and consists of practically the same levels that usually correspond to account major categories and subcategories of the chart of accounts. And yet all those categories are distributed among and grouped under two balance sheet account categories and one income statement account category:
  • Assets (balance sheet accounts)
  • Equity and Liabilities (balance sheet accounts)
  • Profit and Loss (income statement accounts)
To view the hierarchical structure of the specific balance type, navigate to the details page of the balance type and go to its Balance items section.
The exact set of balance sheet items depends on the selected type of accounting framework.
Depending on your company’s requirements, you can either use pre-defined balance types, modify them or introduce completely new ones. 

To go to the Balance type

1. On the Codejig ERP Main menu, click the Settings tab.
2. Under the Settings tab, click Balance type.

More information
Create a New Balance Type
Balance Type: General Area
Balance Type: Balance Items Section
Balance Type: Accounts Section
Balance Item