Patriot Software, an accounting technology and payroll services company, announced that it had successfully patented a “dual ledger accounting” software feature.
the patent explains it as a system and method for selectively displaying accounting data in cash-based and accrual-based formats. This allows a user to track cash, changed cash, and accrual simultaneously, with the software automatically writing transactions into each method at the time of entry. The feature can be activated per user in the software, allowing them to switch between views and change posting methods without the need to manually adjust entries.
The patent references other attempts to do this, such as a similar invention that allows computers to automatically convert data from accrual to cash accounting, but faulted this method for still requiring people to modify the entries themselves.
“Previous patents have shown how to programmatically convert one accounting method to another. But this requires additional processing and can make it difficult to backtrack. is just a viewing preference and there is no need for manual or computer adjusting writes,” lead solutions architect Asher McCune said in a statement.