Search Tips
Transaction Processing Procedure
Prepare Batch
Every transaction in the General Ledger must be entered within a batch. It is up to the user to decide how the batch facility is used. The most common methods of using a batch are:
-
Each batch contains all entries for a specific date range.
-
Each batch contains entries for a specific source.
-
Each batch contains entries directed to a specific journal.
Each of the above methods can be run on a daily, weekly, monthly, or annual basis. A batch may contain entries for any year and period.
To make period end processing straightforward, we recommend that a batch contain only one period's entries, and that when a new batch is prepared, the title of the batch includes an indication as to the date of the transactions it will contain.
Enter Transaction Details
Enter transaction details into a selected batch. A batch may contain entries for multiple journals, periods, or years. Because double entry bookkeeping demands that both the debit and credit sides of a transaction balance, each transaction within a batch must balance before the system will let it be posted.
Print Edit Listing
The edit listing is the proof sheet for the details of a specific batch. To avoid posting errors, the edit listing should be printed and the details verified before each batch is posted.
Post Transactions
This step will take all the transactions entered in a specific batch and apply them to the accounts indicated. Once a batch has been posted, it is no longer available for transaction entry. If an error is detected, an exception report form will appear on the screen.
This report prompts the operator to re-enter the batch number in question. The system then generates an Exception Report displaying the errors in the transactions. Once the report is printed, the operator may return to the Transaction Entry screen and edit the incorrect details. An edit listing is reprinted and the batch posted.
File Audit Trail
An audit trail is automatically printed every time the Post Batch screen is run. The audit trail shows the details of each of the entries within the posted batch.
Editing Existing Unposted Transactions
Once a transaction has been entered into the system, it may be necessary to call that transaction back to the screen for review or editing purposes. This is done by:
-
Opening the Transaction Entry screen.
-
Selecting the batch.
-
Moving to the Transaction section and executing a query.
The Transaction Entry screen is in form mode and therefore requires the user to shift to table mode to review and search for an entry.
Remember that if the transaction number or any other data is known for the transaction to be reviewed, it can be entered during the query process to narrow down the possible transactions, which will be returned by the system.
-
Move to the field/record that needs to be changed.
-
Commit the transaction to save the changes or exit without saving.
Inter-Company Transactions
Pgm: TRANENT – Enter Transaction; standard Treeview path: General Ledger > Transactions > Enter Transactions
An inter-company transaction requires the use of inter-company clearing accounts so that consolidated statements do not include the same transaction twice. The General Ledger Transaction Entry screen allows for the quick entry of inter-company transactions without the need to enter the clearing account dispositions.
To enter an inter-company transaction, enter a standard transaction as indicated in Enter Transactions . Each disposition need only apply to the company/department/account desired. For example, when entering a transaction that transfers an expense from one company to another, the following set of dispositions should be entered:
When posted, the system will automatically create the following entry:
DR Company ZZ Expense 202.00
CR Company ZZ Clearing 202.00
DR Company T1 Clearing 202.00
CR Company T1 Expense 202.00
The system will only allow the entry of an inter-company distribution if the clearing accounts have been correctly entered in the Maintain Companies screen.
Inter-Departmental Transactions
Unlike inter-company transactions, inter-departmental clearing does not generate the balancing dispositions for each inter-departmental transaction at posting. Rather, the balancing of these departments is part of the month-end procedure.
Inter-departmental clearing requires that one department be declared as the operating department at the company level, while the other departments are declared as self-balancing at the department level.
At the end of a period, the inter-department clearing procedure is run to generate a balancing transaction from the inter-departmental clearing account of the self-balancing department to the inter-departmental clearing account of the operating department.
Printing the Edit List
Use the transaction edit listing to check the unposted transactions that have been entered. A specific batch of transactions can be listed for one or more companies, and they can be ordered by transaction number, account, or source. Batches created for recurring transactions will not be printed on this edit listing. If no transactions are found using the parameters entered, processing will continue but no report will print.
Post the Batches
Once all the transactions in a batch have been verified as correct, they need to be posted. Until they are posted they are not considered part of the General Ledger, so the amounts are not included in any account balances.