Calculating lease interest

Note: This procedure is relevant only to finance leases and will calculate interest only on lease payments that were successfully interfaced to the Accounts Payable application.

After you have interfaced finance lease payment invoices to the Accounts Payable application, you must calculate the portion of the lease payment to be attributed to interest and update the General Ledger interest account and debt account with the appropriate amounts. This procedure outlines the interest calculation process.

Access Interest Calculation (LM180).
Select the leases that you want to run the calculations. Use these guidelines to specify the field values:

Company or Company Group or List

You must select a company, or a company group, or an attribute list. These three fields are mutually exclusive, but one of them is required.

Calculation Through date

You can indicate the date through which you will run the calculations. All uncalculated and unprocessed payments up to and including that date will be selected for calculation. If you leave this field blank, then the system date is used as the end date.

Posting Date

You can specify the date which you want the resulting journal entries to be posted. If you leave this field blank, then the system date is set as default.

Update

Select Yes in this field to update the General Ledger accounts.

Note: We recommend that you run LM180 first with the No option to view a report of calculations and of errors that would be created with the Yes option. You can then correct any errors found before you update your database.

Currency

You can print the calculations in transaction (lease) currency or in company base currency. The default setting is T (Transaction).

Note: This procedure produces journal entries to the Lawson General Ledger application.

See General Ledger journal entries.