Creating amortization schedule and distributions for prepaid reconciliation
Amortization schedules are created
for each invoice and expensed from Reconciliation Management for
each period.
- Select Home.
- On the Open Reconciliations tab, open a prepaid account.
- Click Amortizations.
- Click Create.
-
On the Main tab,
specify the required information:
- Reference Number
- Specify a reference number.
- Description
- Optionally, specify a distribution description.
- Transaction Date
- Specify the transaction date of the prepaid account.
- Detail Amount
- Specify the detail amount.
- Start Period, End Period or Period Term
- Specify the period range for the amortization.
- On the Amortization Expense Account tab, specify an expense account or allocation code for the amortization.
- Click Save.
- Select Actions > Build Amortization Schedule. This action creates the Amortization Details tab with a view of the breakdown of the amortization amount over the range of periods.
- Click Save.
-
On the Period Reconciliations tab of
the prepaid account, create a reconciliation period and open the period
record.
When a prepaid account reconciliation is scheduled for a period, the ledger amount from the back office is displayed in the top right corner. The Amortization Details tab shows all previously defined amortization records from the amortization schedule for this account.
- Verify that all details are accurate.
- Click Create Amortization Distributions. The Amortization Distributions tab shows the distributions that were generated from the previous tab.
- To release the distributions to post to the general ledger, click Release Distributions.