In School Settings you are able to manage the Accounting Method, Monthly Due Date, and Default Department. There are also some accounting related settings to configure internal processes and many of these items will be setup initially for the organization but can be reviewed and updated as needed.
There are two accounting methods that can be configured for schools for Accounts Receivable and these are Balance Forward and Open Item. With balance forward organizations would send monthly accounts receivable statements that would display a beginning balance from the prior period along with all transactions for the current period including charges and payments and finally would display an ending balance. With open item organizations would send monthly accounts receivable statements that would display only outstanding items and there would be not beginning balance but there would be an ending balance that would agree to the same amount as the ending balance on a balance forward statement. The primary differences between these methods are what information is presented on the statements to the recipients as well as the need to allocate items when using open item to assign payments to charges; whereas, with balance forward no allocation is completed. There are two additional configurations in the section, one is to define a monthly due date for billings and the other is to assign a default department used by the organization when posting transactions.
The accounting section has several fields that can be populated to define defaults within the system to help ensure posting is simpler. These utilize the transaction configs setup in tables to ensure the entries are made as expected when applying some discounts, and billing tuition and other charges.