Account Categories in Dynamics NAV

Recently, Encore hosted an event: “What’s New in Microsoft Dynamics NAV 2017”. We presented the best new Features in Dynamics NAV 2017, including account categories. Enjoy!

Video will start playing at the correct point in the presentation.


Cindy: Great. So I’m going to show you three new feature added under finance section there. The first one here is the Account Category. In NAV 2017, Microsoft has introduced this new set of fields on the Chart of Accounts where you can define whether a G/L Account is a asset, a liability and equity, income or card, or expense accounts there. And further to that, you can also define the subcategory within it, whether it’s a receivable accounts or it’s a prepaid expense account or it’s a cash account.

You get to define…so the account categories are pre-determined. You have six different category to choose from, but you have the options of setting up your own subcategories. So you get to define on high level what your Chart of Accounts look like, and how the account should be grouped into the different categories there. Moreover, you get to define how each account relates to your cash flow statements, whether it’s a cash account, an operating activity, an investment activity or it’s a financing activities there.

So it makes your Chart of Account a lot easier to read, more user-friendly and it’s personalizable to each one of the companies there, as well as it sets your Chart of Account up for the next new feature, which is the automatic financial statement. So in a new implementation, we often get asked, the second question we get asked as after the Chart of Account session is, “Where do I find your financial statements?” And the answer is, “Well, you kinda have to set it up yourself.”

So with the new NAV 2017, because you have your account categories and you have your account subcategories, your financial statement is just one button click away. So you get your account category up with a button click, Generate Account Schedule, you have your balance sheet ready, you have your income statements ready, and you have your cash flow statements ready. And the best thing is that they’re not called Account Schedule on your ribbon, they’re called Financial Statements. So if you click into Financial Statements there, you will see an item called Balance Sheet, and if you click on that it shows…it brings up your Balance Sheet. And if you click on the Income Statement… it also brings up your Income Statement based on your account category as well account subcategories.

For existing customer, you might ask, “How does it benefit me?” or “I already have account schedule and they’re kinda easy enough to use.” The benefit you get here is that whenever you setup a new G/L Account, you no longer need to remember to go update your Account Schedule because it’s already there. Based on the account category, the system will link it up automatically. So you won’t have a balance sheet that’s not quite balanced because of the new account you added this year. And on the Chart of Account, if you change the category of each section here…if you change the category of the section here, the entire group get updated at the same time. So it’s super easy to use…and it’s very fast to set it up. Any questions so far?

Female: There is the field for adding budgets, can you also add it in previous periods?

Cindy: To the Account Schedule?

Female: To the Financial Statements.

Cindy: I believe so. You just need to setup your column there.

Female: And you do define them there.

Cindy: Are there any other questions?

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