Enter Adjustment Journals

Explanation

This activity is used to enter adjustment journals that are required to adjust the transferred balances which will be used in the Group Consolidation process. Adjustment journals can be entered against reporting entities which represent reporting companies, or against separate adjustment entities.

Prerequisites

In order to perform this activity:

• A reporting transaction type with Adjustment function should have been defined.
• A reporting entity should have been defined and connected to the reporting transaction type with Adjustment function.
• A balance version should have been defined.
• The used combination of reporting transaction type, balance version and period should have the Open period status for the used reporting entity in the Reporting Status window.
• Current user should have security access to enter adjustment journals for the used combination of reporting entity and reporting transaction type.

System Effects

As a result of this activity, an adjustment journal is created. If this journal has the Approved status, it will be included in the balance consolidation. Journals with In Progress or Awaiting Approval status can also be included if required.

Window

Adjustment Journal Entry

Related Window Descriptions

Adjustment Journal Entry

Procedure

To enter an adjustment:

1. Open the Adjustment Journal Entry window and create a new record in the header.
2. Enter values in the Reporting Entity, Period, Copy Until Period, Reporting Transaction Type and Balance Version fields. The List of Values can be used to select the required values. Enter a journal ID in the Journal ID  field.
3. Enter a description in the Journal Description field if required.
4. Select the Keep Rate at Copy and/or Use Correction Rows check boxes if required.
5. Create a new record in the table to enter a new journal row.
6. Specify the code string information for the new journal row by entering the required values in the code part fields.
7. Modify the currency code displayed in the Currency Code field if you want to enter the adjustment amounts in a currency different to the reporting entity's default currency.
8. Enter the adjustment amount in either the Currency Debit Amount, Currency Credit Amount or the Currency Amount field.
9. Repeat  steps 5-8 to enter all the required journal rows.
10. Save the information.
11. Depending on your security access, change the status to either Awaiting Approval or Approved and save again.

To enter an external adjustment:

1. Open External Adjustment Journal Assistant.
2. Select processing mode Online or Batch. Click Next.
3. Enter file options on this page i.e. external file type, parameter set, external file template and the file name. Click Next.
4. Enter external file parameters on this page. If the assistant is opened via Reporting Status window, these parameters are defaulted. Otherwise, these parameters should be entered manually or using List of Values.
5. Click Finish.

Note: All rows entered for a journal should be in balance in the reporting entity currency before the status can be changed to Awaiting Approval or Approved. The rows should also balance separately for Balance Sheet accounts and Income Statement accounts. If not, the system will automatically create balancing rows based on posting rules defined for GCP1 and/or GCP2 posting types in IFS\Posting Control.