This chapter contains the topic:
You designate the type of offsetting entries that the system creates for A/R and A/P offset and discount accounts when you post invoices and vouchers to the general ledger.
Businesses in France are required to maintain a record of all accounting entries in the General Journal (Livre Journal or Journal Général). These entries must be recorded in the General Journal chronologically by the date on which the entries are posted to the General Ledger. The offset methods that you select on the Accounts Receivable Constants screen and the Accounts Payable Constants screen determine how the system prints the General Journal report.
Setting up the offset method for posting includes the following tasks:
Setting up the automatic offset method for A/R
Setting up the automatic offset method for A/P
To print detailed accounting entries in chronological order and a debits and credits format, set the automatic offset method to the D method. When you use offset method D, the system creates an offset entry for each detail record. (Gross amount, discount amount, and tax accruals are separate offset entries.)
The following example illustrates how the system creates the offsetting entries.
Document Type | Account | Amount |
---|---|---|
PV (Voucher) | Cost of Goods Sold | 1500 (DR) |
PV (Voucher) | Cost of Goods Sold | 2500 (DR) |
PD (Credit Note) | Cost of Goods Sold | 1000- (CR) |
AE (Automatic Entry) | A/P Trade | 4000 (DR) 1000- (CR) |
Note:
J.D. Edwards recommends posting transactions in France using offset method D. When you post transactions using offset method D, the system creates offsetting entries in both a debit and credit format with a debit and a credit total rather than a cumulative total.If you use offset method B, you can use the Transaction Journal to justify the centralized automatic entries that the system creates when you run the General Journal Report.
Currently, French businesses are not legally required to provide a detailed journal to justify the offset to the bank account for each payment or receipt. If multiple payments and receipts are made on the same bank account, it is acceptable to print one cumulative entry for the bank account.
Note:
When you post using offset method B, the system creates a cumulative automatic entry that does not include debit and credit totals. J.D. Edwards recommends that if offset method B is used to post transactions in France, procedures should be established to control the entry of different types of transactions, such as invoices and debit notes, in the same batch for posting.For release A9.4 and above, if you use multi-currency, the Offset Method field cannot contain B (Batch).
The following report shows a journal entry that the system created as an automatic offset using the batch method (B). The system uses the batch number for the document number of the automatic offset.
To set up the automatic offset method for A/R
From Accounts Receivable (G03), enter 29
From Accounts Receivable Setup (G0341), choose Accounts Receivable Constants
On Accounts Receivable Constants
Figure 6-2 Accounts Receivable Constants screen
To locate a specific company, complete the following field:
Company
To specify the offset method, complete the following field:
Offset Method
Field | Explanation |
---|---|
Offset Method (D, S, Y, or B) | The method for automatically generating an offset entry when it is posted to the general ledger. Valid codes are:
The system creates offsets against actual amount and multi-currency ledger types only. |
To set up the automatic offset method for A/P
From Accounts Payable (G04), enter 29
From Accounts Payable Setup (G0341), choose Accounts Payable Constants
Figure 6-3 Accounts Payable Constants screen
Complete the following field:
Offset Method