12 Work with A/R and G/L Entries

This section contains these topics:

Section 12.1, "Working with A/R and G/L Entries,"
Section 12.2, "Creating Preliminary A/R and G/L Entries,"
Section 12.3, "Reviewing Preliminary A/R and G/L Entries,"
Section 12.4, "Creating Final A/R and G/L Entries,"
Section 12.5, "Reviewing and Posting Journal Entries,"
Section 12.6, "Posting Associated G/L Batches."

12.1 Working with A/R and G/L Entries

You complete the billing process by creating journal entries. You first create preliminary invoice journal entries. When you create the entries, you can print the Journal Edit Register (R48300). Carefully review this report to ensure that the final journal entries are correct.

The system creates proof invoice journals for the selected invoice batch. The workfile transactions are processed through the Account Derivation Table rules to create detail journal entries.

The system stores the entries temporarily in the Detail Journal Workfile (F48910). These detail journal entries are then compressed into summarized journal entries which are temporarily stored in the Compressed Journal Workfile (F48911). The summarized journal entries are used to create the Account Ledger (F0911) transactions when Create A/R and G/L Entries (P48199) is run.

Note:

Invoice Journal Generation is a batch process. The invoice batch is processed as a unit. If one or more errors are detected, the invoice batch is set to an error status. Correct the error condition and rerun Invoice Journal Generation. You can run Invoice Journal Generation as many times as necessary until all errors are corrected.

JD Edwards World strongly recommends that you create and carefully review preliminary G/L entries before you create the final entries that post to the general ledger. If you post incorrectly to the general ledger, the only way to correct these balances is to void and regenerate the invoice.

12.1.1 Before You Begin

Generate invoices
Define account derivation rules

12.2 Creating Preliminary A/R and G/L Entries

Navigation

From Work Order / Service Billing Processing (G48), choose Service Billing

From Service Billing (G4824), choose Invoice Generation

From Invoice Generation (G4824), choose Invoice Journal Generation (P48131)

You complete the billing process by creating journal entries. You first create preliminary A/R and G/L entries. When you create the entries, the system prints the Invoice Journal Generation report (R48131). You can also set a processing option to print the Service Billing Journal Register (R48300). You should carefully review these reports to ensure that you create final journal entries that are for the correct accounts and amounts in the general ledger.

This section includes instructions for the following:

To create preliminary A/R and G/L entries
To revise override dates

When you run Invoice Journal Generation (P48131), the system:

Updates the Current Activity (CUAC) field in the batch header (F48011) to 3, indicating that journal generation is in progress
Uses the invoice batch number to select data. The workfile transactions (F4812) are processed against the Account Derivation Table (P48126) rules to create detail journal entries in the Detail Journal Workfile (F48910)
Summarizes the Detail Journal Workfile entries into the Compressed Journal Workfile (F48911). These entries are used to create the Account Ledger (F0911) entries when Create A/R and G/L Entries (P48199) is run
Updates the Compressed Journal Workfile with invoice information from the Invoice Summary Workfile (F4822). The entries from the Invoice Summary Workfile are used to create Accounts Receivable Ledger (F0311) entries when Create A/R and G/L Entries is run
Creates an associated G/L batch, if necessary, to store journal entries for any revenue entries associated with the invoice journal entries
Prints the Invoice Journal Generation report (R48131) with accounting rule information and journal entry detail
Prints the Service Billing Journal Register (R48300) with the compressed information as a summary of the journal entry detail
Updates the Current Activity field in the batch header to 0, indicating that the batch is available for further processing

12.2.1 Processing Options

See Section 27.6, "Invoice Journal Generation (P48131)."

12.3 Reviewing Preliminary A/R and G/L Entries

When the system creates preliminary A/R and G/L entries, you can review the batch status on Batch Review to determine whether the entries were generated with errors. To verify the information for the general ledger journal before you create the final A/R and G/L entries, you can review the following reports:

Invoice Journal Generation Report (R48131), to review the detail of all cost transactions that make up the pay items for your invoices, and the accounting rules for the transactions
Billing Journal Register (R48300), to review journal entry details summarized by business unit, object, subsidiary, and subledger

Depending on the processing options, the reports can include error messages and warnings related to the journal information.

Review the Billing Journal Register first for errors and warnings. Use the Invoice Journal Generation Report to locate errors resulting from the account derivation rules.

12.3.1 Invoice Journal Generation

Figure 12-3 Invoice Journal Generation report

Description of "Figure 12-3 Invoice Journal Generation report"

12.3.2 Journal Register Listing - Invoice Batch

Figure 12-4 Journal Register Listing report

Description of "Figure 12-4 Journal Register Listing report"

12.3.3 What You Should Know About

Topic	Description
Additional copies of the journal register	You can run the Journal Register Listing to print additional copies of the journal register after you have created the preliminary G/L entries.
Reconciling errors	If you find errors on the reports, you do not always need to delete the batch and regenerate the invoices. Once you identify the errors, you can correct them and run Invoice Journal Generation again. Common errors include: Incorrect dates or invalid accounts related to the general ledger Incorrect table types or invalid accounts related to the rules you define on the Account Derivation Table form
Deleting a batch	To delete a batch, inquire on the batch in Batch Review on the Invoice Generation menu, then choose the Delete option (Option 9) and then press Enter. On the Batch Submission Screen, choose Submit Batch (F6). To verify the batch delete, choose Submit Job (F6).

12.4 Creating Final A/R and G/L Entries

Navigation

From Work Order / Service Billing Processing (G48), choose Service Billing

From Service Billing (G4824), choose Invoice Generation

From Invoice Generation (G4824), choose Create A/R and G/L Entries (P48199)

Final invoice journal entries are created when Create A/R and G/L Entries (P48199) is run to process the invoice information from the Service Billing system to the A/R and G/L systems. The system updates the A/R Ledger (F0311) and Account Ledger (F0911) transactions from the Invoice Summary Workfile (F4822) and Summarized Journal Workfile (F48911), respectively.

Note:

Create A/R and G/L Entries is a batch process. The invoice batch is processed as a unit. If one or more errors are detected, no invoices are processed to the A/R and G/L systems. The invoice batch is set to an error status within the Service Billing system.

You must correct the error conditions and then rerun Create A/R and G/L Entries. You can rerun Create A/R and G/L Entries as many times as necessary until all errors are corrected and invoice information can be processed to the A/R and G/L systems.

To complete the overall invoice process, you then post the journal entries to the general ledger and accounts receivable.

When you create final A/R and G/L entries for a batch of invoices, the system:

Creates a batch heater in Financials (F0011), using the same batch number assigned in the billing system. The amount of the batch and the number of documents are passed to the new batch header
Writes the Account Ledger (F0911) transactions using Compressed Journal Workfile entries (F48911)
Writes the A/R Ledger (F0311) transactions using the Invoice Summary (F4822) entries
Writes the Billing Workfile - History (F4812H) transactions, based upon the Billing Workfile (F4812) transactions for the invoice batch, and marks the transactions as processed by updating the Journal Status (JRST) field with a 4 and the Last Sequence (LSSQ) field with a 1
Deletes the Billing Workfile (F4812) transactions for the invoice batch
Updates the Application Posted Code (APPO) field in the Invoice Summary Workfile (F4822) with a P to indicate that the invoice has been processed to A/R
Writes invoice information to the Invoice Summary Access file (F48520), if the Invoice Summary Access Control (ISAC) option is activated in the Billing Constants (P48091)
Writes Payroll History (F0618) transactions, using the Payroll Reclassification Workfile (F480618), if the Journal Reclassification Control (JRNL) option is activated in the Billing Constants and a payroll reclassification was detected during invoice journal generation
Creates G/L Link (F48912) transactions, if the Create Link (LINK) option is activated in the Account Derivation Table rules
Deletes the Detail Journal Workfile (F48910), Summarized Journal Workfile (F48911), and Payroll Reclassification Workfile (F480618) records for this invoice batch
Deletes the Service Billing Batch Header (F48011) record for this invoice batch

Note:

If errors are detected, the system deletes the batch header (F0011) created in Financials and sets the Service Billing batch header (F48011) to an error status. No further processing is performed for any Service Billing files

Caution:

Before you create final A/R and G/L entries, ensure that the invoice amounts and journal transactions are correct. To make any changes after you create A/R and G/L entries, you must either void the invoices or create an adjusting invoice batch.

To create final A/R and G/L entries

On Create A/R and G/L Entries

Figure 12-5 Create A/R and G/L Entries

Description of "Figure 12-5 Create A/R and G/L Entries"

Complete the following fields and press Enter:
- Batch Number
- Version
Choose Submit Batch (F6).

If the Invoice Date Override Control option in the Service Billing Constants is set to automatically display the date override window, then enter the override G/L date and invoice date to assign to the invoices and invoice journal entries. Choose Process (F6).

The system displays a message prompting you to verify the batch submission.
Choose Submit Job (F6).

12.4.1 Processing Options

See Section 27.7, "Create Accounts Receivable - General Ledger Entries (P48199)."

12.5 Reviewing and Posting Journal Entries

Navigation

From Work Order / Service Billing Processing (G48), choose Service Billing

From Service Billing (G4824), choose Invoice Generation

From Invoice Generation (G4824), choose Post Invoices to G/L (P09800)

After you create the final A/R and G/L entries, you complete the overall billing process by reviewing, approving, and posting the journal entries.

When you post a batch of invoices, the system creates the automatic entries for offsets to the general ledger for the receivables account.

The journal review and post programs are the same programs you use in the Accounts Receivable and General Accounting systems.

12.6 Posting Associated G/L Batches

Navigation

From Work Order / Service Billing Processing (G48), choose Service Billing

From Service Billing (G4821), choose Revenue Recognition

From Revenue Recognition (G4823), choose Post General Journal (P09800)

After you create the final A/R and G/L entries, you complete the overall billing process by reviewing, approving, and posting the final invoice journal entries to the Account Ledger.

If an associated G/L batch was created during the creation of final invoice journal entries, you need to post this associated G/L batch as well.

When you post an associated batch of journal entries, the system creates the automatic offsetting entries, if necessary, and updates the Account Ledger (F0911) table entries as posted.

The journal review and post programs are the same programs you use in the General Accounting system.

12.6.1 Journal Register Listing - Revenue Batch

Figure 12-6 Journal Register Listing report

Description of "Figure 12-6 Journal Register Listing report"

12.6.2 Revenue Journal Generation - Job

Figure 12-7 Revenue Journal Generation report

Description of "Figure 12-7 Revenue Journal Generation report"

Component Code OVH Component Link 2,022 Jrnl Batch. 6158770