9. what are the three steps for correcting an amount posted to an incorrect column?

Journal entries are used to adjust or add transactions to accounts in your general ledger.

This chapter provides overviews of the journal entry process, other methods of entering journal entries, and temporary invalid account numbers and discusses how to:

• Work with journal entries.

• Work with reversing journal entries.

• Work with model journal entries.

• Review journal entries.

• Post journal entries.

• Revise and void posted journal entries.

Understanding the Journal Entry Process

All JD Edwards EnterpriseOne systems use three-tier processing to manage batches of transactions. Journal entry processing is an example of three-tier processing.

The term three-tier refers to the three steps that you perform to process journal entries:

1. Enter journal entries.

   The system creates a record in the Batch Control Records table (F0011) and creates records in the Account Ledger table (F0911).

   Note. For multiple currencies prior to release 8.11, the system created domestic amounts as well as foreign amounts in the F0911 and F0902 tables. Domestic amounts were stored in the Amount field of the AA (actual amounts) ledger record whereas foreign amounts were stored in the Amount field of the CA (foreign currency) ledger record for both tables.

   As of release 8.11, the system stores both the domestic and foreign amounts on a single record in the F0911 table. The foreign amounts are stored in the Foreign Amount field of the F0911 record as well as the Amounts field of the CA (foreign currency) ledger. These two fields contain the same amounts.

   In a future release of JD Edwards EnterpriseOne, the F0911 record that contains the foreign amount in the CA ledger will be eliminated. All systems will populate and retrieve foreign amounts from the single, shared AA ledger record which contains both the domestic and foreign amounts. These changes will not affect how balances are stored in the F0902 table.

2. Review and approve batches.

   If you have the general accounting constants set to require management approval, the system creates the batch record in a pending status. You must approve the batch before you can post it. When you approve batches that are in a pending status, the system updates the batch status only on the batch control record.

3. Post journal entries.

   When you post journal entries, the system updates the status on the batch control record to D (posted), generates records in the Account Balances table (F0902), and updates the posted status on the journal entries in the F0911 table to P (posted).

See Also

Using Batch Control to Manage the Entry Process

Understanding Other Methods of Entering Journal Entries

In addition to journal entries that you manually enter for accruals, adjustments, reclassification of transactions, and so on, the system creates journal entries based on transactions from other systems, such as JD Edwards EnterpriseOne Accounts Payable, JD Edwards EnterpriseOne Accounts Receivable, and JD Edwards EnterpriseOne Payroll from Oracle.

Other ways in which you can create journal entries are:

• Upload journal entries from an external system or third-party software package through batch processing.

  See Processing Batch Journal Entries.

• Import journal entries directly into the F0911 table, if you create journal entries using a spreadsheet.

  See JD Edwards EnterpriseOne Tools 8.98 Foundation Guide

• Use the Financial Report Writing tool to design a report that creates journal entries.

  See JD Edwards EnterpriseOne Tools 8.98 Development Tools: Report Design Aid Guide

  See JD Edwards EnterpriseOne Tools 8.98 Development Tools: Report Printing Administration Technologies Guide

• Create allocations:

  • Recurring journal entries

  • Indexed allocations

  • Variable numerator allocations

    See Processing Allocations.

Working with Journal Entries

This section provides overviews of the Journal Entry program, types of journal entries, journal entry features, and temporary invalid account numbers and discusses how to:

• Set processing options for Journal Entry.

• Set processing options for Journal Entry Master Business Function.

• Enter a basic journal entry.

• Add an attachment to a journal entry.

• Enter a journal entry with an invalid account number.

• Enter a percent journal entry.

• Revise an unposted journal entry.

• Copy a journal entry.

• Delete an unposted journal entry.

Understanding the Journal Entry Program

The Journal Entry program (P0911) provides unlimited detail lines for you to distribute amounts to various general ledger accounts.

When you enter a journal entry, the JD Edwards EnterpriseOne General Accounting system validates the information in certain fields to ensure that the integrity of your financial data remains intact. When you complete a journal entry, the system displays the assigned batch and document numbers. The system marks the journal entry as unposted and adds it to the F0911 table.

When you review journal entries with thousands of transactions lines, the program loads a page of transactions at a time, which has a minimal impact on processing. You can use the Page Up or Page Down key to scroll through the transaction lines.

When you post a batch of journal entries, the system updates the F0902 table and marks the journal entry as posted in the F0911 table.

Understanding Types of Journal Entries

When you enter a journal entry for a ledger type that is required to balance, the debit and credit amounts must balance.

You can use journal entries to enter these types of transactions:

• Basic journal entries.

  Use the Journal Entry (P0911) or the Journal Entries with Debit/Credit Format (P0911) program to enter basic journal entries. The Journal Entries with Debit/Credit Format program has separate columns for debit and credit amounts so that you do not have to enter the minus sign for credit amounts.

• Reversing journal entries.

  Reversing journal entries are used most often for periodic accruals.

• Percent journal entries.

  Allocate amounts to different accounts in your general ledger based on the percentage that is entered for each transaction item.

• Model journal entries.

  Reduce data entry time by creating a set of templates for frequently used journal entries.

You can enter journal entries for the various ledgers that you have set up for budgets, statistical information, units, and so on. The system uses ledger type codes to separate balance amounts and units for each ledger. These are some examples of ledger type codes and their corresponding ledgers:

• AA: Actual amounts

• BA: Budget amounts

• AU: Actual units

• BU: Budget units

You can also enter journal entries to record a taxable entry, such as value-added tax (VAT) or similar taxes, and journal entries with foreign currencies.

The system provides a processing option for a debit and credit format, as well as a separate menu selection for that format. The debit and credit format allows you to enter an amount into a debit or a credit field. In this format, you do not need to include the minus sign for credit amounts.

See Also

Entering Journal Entries with VAT

Understanding Journal Entry Features

The Journal Entry program provides features that can increase your efficiency and speed when entering journal entries. These features allow you to:

• Duplicate account number segments.

• Use speed account entry for journal entries for work orders.

Duplicating Account Number Segments

When you enter journal entries, you can duplicate account numbers from one detail line to another to save time and reduce entry errors.

This table shows how duplication works for a single journal entry. It shows a series of account numbers that you might enter, followed by the corresponding account numbers that the system will use.

The system replaces each separator character with the missing part of the account number by copying the same part from the preceding account number.

To duplicate account number segments, enter a separator character in the account number field for each segment (business unit, object account, and subsidiary account) that you want to duplicate for each subsequent line in your journal entry.

For example, if you entered 9.8720 for the account number in the first line of a journal entry and you want to duplicate the business unit for the second line, enter .8730 and the system completes the account number field with 9.8730.

Using Speed Account Entry for Journal Entries for Work Orders

When you enter journal entries for work orders, you can use speed account entry to save time and reduce entry errors. In the Account Number field, you enter \ (backslash), the work order number, a period, and the object account number. The system locates the business unit for the work order and:

• Replaces the work order number with the business unit. The object account number remains in the Account Number field.

• Updates the Subledger field with the work order number.

• Updates the Subledger Type field with W.

• Updates the Subsidiary field with the cost code from the work order.

• Updates the Phase field with the phase from the work order.

• Updates the Asset Number field with the equipment number from the work order.

Understanding Temporary Invalid Account Numbers

Depending on your general accounting constants, you might be able to accept an invalid account number temporarily, which is useful in these situations:

• You are not sure what the correct account number is.

• You are not authorized to add new accounts.

Being able to enter an invalid account number allows you to enter a journal entry with a business unit.object account that does not yet exist in your chart of accounts. The system adds the account only if these conditions are met:

• The business unit that you enter already exists in the Business Unit Master table (F0006).

• The object account that you enter exists in a business unit previously designated as a model.

• The business unit type of the business unit that you enter and that of the model must be the same.

The process of creating accounts by temporarily accepting invalid accounts allows you to create all or part of your chart of accounts for a business unit on an as needed basis. When you do this, your business units include only those accounts that you use. This provides an initial framework for a business unit's chart of account.

To temporarily accept invalid account numbers, you must select the Allow Invalid Accounts check box on the General Accounting Constants form. Then when you enter a journal entry, you specify the invalid account by preceding the account number with #. After entering the journal entry with the invalid account, the system sets the status of the batch to Error. You must review and approve the batch before posting.

When you post the journal entry batch, the system compares the invalid account with the model chart of accounts. If the account exists in the model, the system adds the account to the business unit that is used in the journal entry and removes the invalid account symbol from the account in the journal entry.

Note. You cannot enter a header account as an invalid account. Header accounts are typically used for summary purposes during financial reporting and do not allow amounts to be posted to them. If you need to create a header account, use the Copy Accts to Business Units program (P09804) to copy the nonposting header accounts from the model business unit. You can also enter the account manually and assign it a posting code N on the Revise Single Account form.

Forms Used to Work with Journal Entries

Setting Processing Options for Journal Entry (P0911)

Processing options enable you to specify the default processing for programs.

Defaults

Display

Versions

Edits

Setting Processing Options for Journal Entry Master Business Function (P0900049)

The master business function (MBF) provides a central location for standard business rules about entering documents such as journal entries, vouchers, and invoices.

The master business function is composed of processing options that are shared by certain programs. The processing options for the Journal Entry MBF are used by these journal entry programs:

• Journal Entries (P0911).

• Journal Entries with VAT (P09106).

• Journal Entry Batch Processor (R09110Z).

• Recurring Journal Entry Compute & Print (R09302).

• Indexed Comps Compute and Print Report (R093021).

• Variable Numerator Compute and Print (R093022).

Each program that uses the Journal Entry MBF must specify which version of the MBF is used. If no version is specified, the system uses version ZJDE0001.

Defaults

Currency

Zero Amounts

Interop

Entering a Basic Journal Entry

Access the Journal Entry form.

You can enter thousands of transaction lines on the Journal Entry form. To review the transactions, use the Page Up and Page Down keys to load one page of transactions at a time. This has minimal impact on processing time.

Header Area

These fields in the header area are required:

Detail Area

These fields in the detail area are required for each general ledger account to which amounts will be distributed:

Additional Fields

These fields provide the ability to simulate transactions from other JD Edwards EnterpriseOne systems such as Time and Labor and Subcontract Management. For example, if you are using burdening, you can use these fields to enter a correcting journal entry for burdening transactions.

Error Message: Amount Does Not Balance to Gross

If, after you click OK to accept a journal entry, the remaining amount has a balance, you will receive the message Amount Does Not Balance to Gross. You can either correct or accept the out-of-balance journal entry:

• To correct an out-of-balance journal entry, review the Remaining Amount field to determine the amount that needs to be adjusted. Correct the journal entry so that the debits balance to the credits, and then click OK. If you want to delete the entry instead, click Cancel.

• To accept an out-of-balance journal entry, select Features from the Form menu. On Features, select the Out of Balance JE Mode check box and click OK. On Journal Entry, click OK.

  Situations in which you might need to accept an out-of-balance journal entry include:

  • If the General Ledger Post program (R09801) terminated abnormally and the system posted only part of an original journal entry.

  • You are entering a journal entry with multiple detail lines and need to leave your workstation, but you want to save your work-in-process before you exit the program.

Adding an Attachment to a Journal Entry

After you enter a journal entry and click OK to accept it, the system assigns a document number if you did not manually enter a number. You can add an attachment, such as a comment or memo, to a specific transaction or to the entire journal entry as long as it has a document number, document type, document company, and general ledger date. The system needs this information to associate the attachment with the entry. The attachment is for internal reference only.

To add an attachment:

• To a specific transaction, select the transaction on the Journal Entry form and then select Attachment from the Row menu.

• To the entire journal entry, exit to the Work With Journal Entries form and from the Row menu, select Attachment.

For performance reasons, the paper clip button does not subsequently appear on the Journal entry form unless you click the Attachments button in the far left column of the row heading. The system displays a paper clip button to the left of the journal entry:

• On the Work With Journal Entries form, when you add text or another attachment to the entire journal entry.

• On the Journal Entry form, when you add text or another attachment to a specific transaction.

Entering a Journal Entry with an Invalid Account Number

Access the Journal Entry form.

Ensure that the Allow Invalid Accounts check box in the General Accounting Constants program is selected.

See Understanding Temporary Invalid Account Numbers.

Entering a Percent Journal Entry

Access the Journal Entry form.

The total debit percentages for balanced journal entries must equal the total credit percentages. The total debit or credit percentages do not have to equal 100 percent.

Revising an Unposted Journal Entry

After you enter a journal entry, you might need to revise it. Although you can revise most fields on the Journal Entry form, you cannot change these fields on an unposted journal entry:

• Document Type, Document Number, and Document Company.

• G/L Date(general ledger date)

• Ledger Type

• Currency and Exchange Rate.

To change any of these fields, you must either:

• Delete and re-enter the journal entry.

• Copy the journal entry and change the fields on the new journal entry before you click OK. Then delete the incorrect journal entry.

Copying a Journal Entry

Access the Work With Journal Entries form.

• You can create a journal entry by copying an existing journal entry and then revising the copy. This is useful when you need to:

  • Correct errors in fields that you cannot change on an existing journal entry, such as the general ledger date. In this example, you can use the copy to replace the existing journal entry.

  • Enter a journal entry that is similar to an existing journal entry with multiple distribution lines.

• You can copy a posted or an unposted journal entry. If you need similar journal entries on an ongoing basis, consider creating a model journal entry or a recurring journal entry.

To copy a journal entry:

1. On Work With Journal Entries, select the journal entry that you want to copy and click Copy.

   The system displays a copy of the journal entry. The Document Number, G/L Date, and Exchange Rate fields are set to zero or blank.

2. On Journal Entry, enter the document type and general ledger date and values for other fields, as necessary.

3. For each general ledger distribution line, change account numbers, amounts, and other information as needed, and then click OK.

4. On the Work With Journal Entries form, if you want the new journal entry to replace the original one, select the original journal entry and delete or void it.

Deleting an Unposted Journal Entry

Access the Work With Journal Entries form.

To delete an unposted journal entry:

1. Select the journal entry, click Delete, and then click OK to confirm the deletion.

   To delete a detail line from the journal entry, complete the remaining steps.

2. Select the journal entry.

3. On Journal Entry, select the detail line and click Delete.

4. Click OK to confirm the deletion.

5. Change or add detail lines to adjust the journal entry for the detail line that you deleted.

Working with Reversing Journal Entries

This section provides an overview of reversal entries and discusses how to:

• Enter a reversing entry.

• Review a reversing journal entry.

• Change a posted journal entry to a reversing entry.

Understanding Reversal Entries

Reversing journal entries are used most often for periodic accruals. When you enter reversing journal entries, you mark the accrual journal entries to be reversed. After you post the entries, the system creates reversing entries to the first day or last day of the next fiscal period, depending on the setting of a General Accounting constant.

The system creates reversal records in the F0911 table with the same values as the original, except a reversed amount and a different GL (reversal) date. The posted code for the reversal record is removed for the new reversal entry so that you can post the entries to the Account Balances table (F0902) or have the General Ledger Post program post them.

Entering a Reversing Entry

Access the Journal Entry form.

Reviewing a Reversing Journal Entry

When you locate an unposted journal entry to review, the system displays only the original journal entry. Reversing entries do not appear because the system does not create them until you post the original journal entries.

After posting the journal entry, access the Work With Journal Entries form:

• To review only the original journal entry, enter the original general ledger date.

• To review only the reversing entry, enter the general ledger date as the first day or last day of the next period. A General Accounting constant determines which day of the next period is used.

Changing a Posted Journal Entry to a Reversing Entry

After you post a journal entry, you cannot change it to a reversing journal entry on the Journal Entry form. Instead, you must do this in sequential order:

• Void the entry.

• Resubmit the batch to post.

• Re-enter the journal entry as a reversing journal entry.

Working with Model Journal Entries

This section provides an overview of model journal entries and discusses how to:

• Create a model journal entry.

• Create a model journal entry from an existing journal entry.

• Enter a journal entry based on a model by copying the model.

• Enter a journal entry based on a model by selecting the model.

Understanding Model Journal Entries

You can set up model journal entries as reusable templates to predefine, store, and retrieve regular or recurring transactions, such as monthly accruals. Use models as the basis for journal entries to save time and reduce the potential for error.

You can enter the general ledger distribution information in the model journal entry. When you reuse the model journal entry, the distribution has already been entered, thereby saving you data entry time. If you are creating a model journal entry for vouchers or invoices, you can assign the model to either a supplier or customer record.

You can vary the information included in the model to fit the situation. For example, you might include:

• Account numbers, amounts, and explanations.

• Account numbers and explanations only (because amounts can vary).

• Account numbers, percentages, and explanations.

The system stores model journal entries in the F0911 table with a model posted code (M) and without a general ledger date. Actual journal entries contain a general ledger date and a posted code of P (posted) or blank (unposted).

In addition to creating a model journal entry, you can:

• Enter a model for a percent journal entry.

  You can create models for journal entries that have fixed percentages of a variable amount. When you subsequently enter an amount based on the model, the system uses the percentages to distribute the gross amount.

• Create a model journal entry from an existing journal entry.

  You can create a model journal entry from an existing journal entry. If you want to create a model journal entry from an existing journal entry, you must copy the existing journal entry and then select the Model option on the Journal Entry form.

• Enter a journal entry based on a model journal entry.

  After you create a model journal entry, you can use it as a template for an actual journal entry. Choosing a model journal entry saves time if you are adding basic journal entries and a journal entry based on a model at the same time.

Creating a Model Journal Entry

Access the Journal Entry form.

After you create a model journal entry, you can revise any fields except:

• Doc Type/No/Co (document type, number, company)

• Ledger Type

In addition, you cannot change the Model or Percent check box.

Creating a Model Journal Entry from an Existing Journal Entry

Access the Work With Journal Entries form.

To create a model journal entry from an existing journal entry:

1. Select the journal entry that you want to change to a model journal entry and click Copy.

2. On Journal Entry, select the Model check box.

3. Revise the journal entry, as necessary.

Entering a Journal Entry Based on a Model by Copying the Model

Access the Work With Journal Entries form.

To enter a journal entry based on a model by copying the model:

1. Enter JE in the Document Type field and select the Models check box.

   Optionally, you can enter % in this field to copy a percent model.

2. Select the model and click Copy.

   On the Journal Entry form, enter a date in the G/L Date field.

3. For all journal entries except percent journal entries, enter an amount in the Amount field for each general ledger distribution.

4. For a percent journal entry based on a percent model, enter an amount in the Distributed Amount field.

   This field appears only if you selected a percent model.

5. Replace or clear information in other fields as necessary.

Entering a Journal Entry Based on a Model by Selecting the Model

Access the Journal Entry form.

To enter a journal entry based on a model by selecting the model:

1. Select Models from the Form menu.

2. On Search & Select a Model JE, select a model and then click Select.

   The Journal Entry form displays the model journal entry.

3. Enter a general ledger date for the journal entry.

4. For all journal entries except percent journal entries, complete the Amount field for each general ledger distribution.

5. For a percent journal entry based on a percent model, complete the Distributed Amount field.

6. Replace or clear information in other fields as necessary.

Reviewing Journal Entries

This section discusses how to:

• Set processing options for General Journal Review (P0011).

• Review a journal entry.

See Also

Adding and Revising Batch Headers

Forms Used to Review Journal Entries

Setting Processing Options for General Journal Review (P0011)

Processing options enable you to specify the default processing for programs and reports.

Reviewing a Journal Entry

Access the General Journal Review form.

Posting Journal Entries

This section provides an overview of the general ledger post process and revisions to batches and discusses how to:

• Set processing options for General Ledger Post (R09801).

• Post journal entries.

See Also

Posting Financial Transactions

Understanding the General Ledger Post Process

After you review and approve journal entries, you post them to the Account Balances table (F0902). The General Ledger Post program (R09801):

• Selects unposted, approved batches of journal entries in the F0911 table and validates each transaction.

• Posts accepted transactions to the F0902 table.

• Changes the status of the journal entry batch to posted.

• Marks the detail lines of the journal entry as posted in the F0911 table.

• Sends electronic mail messages for transactions that are in error.

• Produces a General Ledger Post report, which lists details about successfully posted batches.

This graphic illustrates the post process for journal entries in the JD Edwards EnterpriseOne General Accounting system:

Journal entry post process

Setting Processing Options for General Ledger Post (R09801)

Processing options enable you to specify the default processing for programs.

Print

Versions

Edits

Taxes

Process

Cash Basis

Posting Journal Entries

Select Journal Entry, Reports, & Inquiries (G0911), General Ledger Post.

When you post a batch of journal entries, the system updates the F0902 table and marks the journal entries as posted in the F0911 table. The post also updates the batch header records in the F0011 to a posted status.

Revising and Voiding Posted Journal Entries

This section provides overviews of revisions to posted journal entries and the void of a posted reversing journal entry and discusses how to:

• Revise a posted journal entry.

• Void a posted journal entry.

Understanding Revisions to Posted Journal Entries

After you post a journal entry, you can revise a limited amount of information, including information in these fields:

• Explanation

• Remark

• Reference 2

• Purchase Order

• Purchase Order Suffix

• Service/ Tax Date

You can add additional general ledger distribution lines, but you cannot revise existing distribution lines.

When you revise a posted journal entry, the system maintains an audit trail. The system changes the batch status on the original batch from posted to pending or approved (depending on general accounting constants). If the batch status is pending, you must approve the batch before you can post it. If the batch status is approved, the batch is eligible to post.

To correct information that you cannot change or to remove a posted journal entry, you must void the existing journal entry and then enter a new one. For a change or void to be reflected in both the F0911 and F0902 tables, you must post the batch again.

You can void a posted journal entry in any open fiscal period. The system creates a reversing journal entry as of the general ledger date that you specify. After you void the journal entry, you must post it to update the account balances.

Note. You cannot delete a posted journal entry, nor can you void a posted reversing journal entry.

Forms Used to Revise and Void Posted Journal Entries

Revising a Posted Journal Entry

Access the Journal Entry form.

Voiding a Posted Journal Entry

Access the Void Journal Entry form.

To void a posted journal entry:

1. Change the G/L Date field, if necessary, and click OK to proceed with the void.

2. To verify the void, select the voided journal entry on the Work With Journal Entries form.

3. On Journal Entry, review the R V field in the detail area to verify that it contains V (void).

4. Review the lines for the reversing journal entry that the system created as a result of the void.

What is a correcting entry quizlet?

What are the five steps of posting from the general journal to the general ledger?

What is a correcting entry in accounting?

When an amount is journalized and posted to an incorrect expense account Why is the amount of the correcting entry debited to the correct expense account?