This process is used to distribute revenues and costs between different accounting periods in the general ledger. This occurs by defining a period accounting table used to generate period accounting transactions.
This process is completed when a journal of allocated transactions is created.
Define Period Accounting Table
The manner in which period accounting is to occur is defined in a period accounting table in 'Period Accounting Table. Open' (GLS470). If an account that is defined as period accounting in 'Accounting Identity. Open' (CRS630) is used when transactions are entered in a manual entry function, then 'Period Accounting Table. Open' (GLS470/E) is automatically called.
The following information is required to define a table:
The table is then used when creating the accounting transactions included in the predefined allocations. It can be printed in 'Period Accounting Table. Print' (GLS480).
In order to allocate the outcome after an allocation (by department, for example), an allocation must be run in 'A/C Allocation. Update' (GLS130).
Create Period Accounting Proposal
Period Accounting proposals are created manually for each period in 'Period Accounting. Update' (GLS140). A proposal for the accounting transactions to be generated for the chosen period is created according to the definitions in the period accounting table. These are not updated.
If the proposal is not correct, you can adjust the period accounting table and create a new proposal.
Carry Out Period Accounting
When a period accounting proposal can be approved, specify in 'Period Accounting. Update' (GLS140) that the general ledger is to be updated. An accounting journal containing the generated accounting transactions is printed.
Several runs of period accounting can be made for the same period. Only transactions that were made after the last period accounting run will be included.
In this example, USD 50,000 in rent in the Prepaid account will be allocated over five periods, 20% per period to the Rent account.
Period Accounting Starting-point
|Amount to allocate||50 000|
|Source accounting string||Prepaid costs|
|Target accounting string||Rent|
|Period accounting method||0001||10 000||20%|
Results for the First Period Accounting Run:
|Prepaid costs||10 000||Credit|
'A/C Allocation. Update' (GLS130) is then used to distribute period accounting transactions in for example different departments.