Ledger Journal Entry (ML40.1)

Use Ledger Journal Entry (ML40.1) to define and release journal entries for a company and ledger. Each journal entry must have at least one transaction line.

There are two types of journal entries; Normal and Intercompany. A Normal journal entry lets you manually define the debits and credits for one company while an Intercompany journal entry lets you create a journal entry between different companies. You can also use an intercompany journal entry to define one transaction line.

Note: To enter a credit amount, use a minus (-) sign after the amount.

Process at a Glance

  1. Enter new entries or edit existing entries, using Ledger Journal Entry (ML40.1).

    • For new entries, define the entry header, using Define Ledger Journal (ML40.2).
    • For speed entry, use Ledger Speed Entry (ML40.1)
    • To enter one line at a time, use the Single Line Entry on ML40.1 to open Ledger Journal Entry (ML40.8)

  2. Release the journal entry using ML40.1.

  3. Post the journal entry using Ledger Journal Posting (ML190).

    • Processing effect
    Note: For normal journal entries, the entries must balance in base currency before you can release them. Intercompany journal entries are balanced automatically.
    Note: When you release an intercompany journal entry, balancing entries are made to the intercompany payable and receivable accounts defined in Intercompany Relationships (GL25.1).
    • The intercompany payable account is used to balance the entries in a company if the original entry for the company is a debit (positive) entry.
    • The intercompany receivable account is used to balance the entries in a company if the original entry for the company is a credit (negative) entry.
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