Divisionalized accounting

Divisionalized accounting is used to identify and record journal transactions specific to locations, and to update the General Ledger accordingly. Typically, each location is a division. The General Ledger account balances for each division are then compiled to produce fully divisionalized financial statements, including Income Statements, Trial Balances, and Balance Sheets by division or branch.

Divisionalized accounting enforces the use of a division number in all journal postings. Every journal set must balance at the division level. Therefore, every account in your General Ledger chart of accounts must have a division number in its numbering sequence. In addition, interdivisional accounts must be set up to enable balancing at the division level.

The division level has visibility, search capabilities, reporting, and analysis in several functions, including these functions:

  • Customer Setup
  • Customer Ship To Setup
  • Customer Inquiry
  • Customer Ship To Master List Report
  • Sales Order Entry
  • Sales Order Inquiry
  • SM Product Transfer/Resale-EDI867 Report
  • SM Rebate Report

In General Ledger, you can view division and division group information in these functions:

  • GL Account Inquiry-Account Details
  • GL Account Setup-Accounts results grid
  • GL Journal Inquiry-General Ledger results grid

In Sales Order Entry, for example, the Division number and description associated with the order is displayed in the Header Information. If the order is being entered for a customer ship to, the division assigned to that ship to is displayed. During Sales Order Entry creation, handling, and tendering, whether Receive on Account or other type of payment, and during invoicing, if a customer ship to has been specified on the order, the Division and Bank for the ship to is used for processing the order.

SM Rebate Report

Use SM Rebate Report to generate an in-depth report of outstanding rebate amounts, including customer rebates, vendor on sale rebates, and vendor on purchase rebates. You can also use this report to send the EDI 844 Product Transfer/Account Adjustment document to vendors. You can run the report for a Division range. You can sort claims for each contract by division in the option, Sort Contract by C)ust#, S)hipTo, D)iv, N)one. The division value is included in the EDI output or the sync.SXVendorRebateClaim XML output and ION BOD.

SM Product Transfer/Resale-EDI867 Report

Use SM Product Transfer/Resale-EDI867 Report to produce an electronic document that provides various information to your vendors. You can run this report to show which division is associated with an order. The division value is included in the EDI output or the sync.SXInventoryMovement XML output and ION BOD.

Exclusions

The division level is not available for these features: AP Vendor, Customer Lock Box, Floor planning, Service Warranty, and Value Add.

Related topics