The simplest way to make accrual adjustments is to follow these procedures:
When recording your camp sales through your GL Report entry, record all camp sales in your Deferred Camp Revenue account
Open each camp page in DaySmart Recreation that takes place in the current month
Click on Pay History, which will show you the total payments made for that camp
Add up all the current month pay history totals
Record this amount as revenue for the month, using the following entry
DR – Deferred Camp Revenue
CR – Camp Revenue
You will not need to reverse this entry. However, at the end of the camp season, your Deferred Camp Revenue account should be zero, as all camps have taken place. If there is a balance, it will likely be small. Simply make the same entry as above to adjust this balance to zero; keeping in mind the entry may be opposite than above if the remaining balance in the Deferred Camp Revenue account is negative at the end of camp season.
For Example, if you have four weeks of camp in July, list the total pay history amount for each camp, total them all for the month and record that as Camp Revenue for July. See the following table:
Pay History $ | |
July Camp – week 1 | $5,000 |
July Camp – week 2 | $7,000 |
July Camp – week 3 | $6,000 |
July Camp – week 4 | $4,000 |
Total Camp Revenue for July | $20,000 |
The journal entry would be:
DR – Deferred Camp Revenue $20,000
CR – Camp Revenue $20,000