Understanding Finance Book in VinAR-ERP

A Finance Book is a record that keeps track of all financial transactions within a company. It serves as the foundation for accounting and reporting.

Why Use Multiple Finance Books?

Businesses often need to maintain different financial records for various purposes. For example:

• One Finance Book for tax authorities to comply with regulations.
• Another Finance Book for stakeholders to present financial health differently.
• A separate Finance Book for internal reporting to analyze business performance.

This flexibility allows businesses to meet different financial reporting requirements without affecting their core financial records.

How Does It Work?

• Using multiple Finance Books is optional—you can record all transactions in a single book if preferred.
• When making a Journal Entry, you can select a specific Finance Book. If no Finance Book is chosen, the entry applies to all Finance Books.
• Businesses often use different depreciation methods (e.g., Straight Line, Written Down Value, or Double Declining Balance) for fixed assets across Finance Books.
• Each Finance Book can have its own depreciation schedule, and the system will automatically apply depreciation accordingly.

In simple terms, a Finance Book helps businesses organize financial records efficiently, ensuring compliance and clarity for various reporting needs.