Accounting Entries for Period End Accruals

Action:

The following example is a voucher with one distribution line. Budget checking has not been considered for this scenario.

Voucher	Posting Process	Line Number	Distribution Account Type	Accounting Period	Monetary Amount	Account	Department
00000040	Period End Accrual	1	DST – Expense Distribution	5	1500	650080	11000
00000040	Period End Accrual	1	APV – Payables Period End Accruals	5	-1500	207100	11000

Reversal entries:

Voucher	Posting Process	Line Number	Distribution Account Type	Accounting Period	Monetary Amount	Account	Department
00000040	Period End Accrual	1	DST – Expense Distribution	6	–1500	650080	11000
00000040	Period End Accrual	1	APV – Payables Period End Accruals	6	1500	207100	11000

Accounting Entries for Voucher created from a PO that has not been budget checked

The expense and accrual line will be journal generated and show as an accrual in period five. The expense line will be budget checked to reduce the budget in period five. The accrual line will not be budget checked.

The budget date will be determined according to the default budget date option defined on the Installation Options page.

If the option is set to Accounting Date, then the budget date will be the accounting date determined on the Period End Accrual Run Control page.
If the option is set to Predecessor Doc, then the budget date will come from the PO distribution line record.

Note: The expense entry will be budget checked only if Commitment Control is enabled for Payables at the installation level, for accruals on the Procurement Control page, and the voucher has not been budget checked. After running the Period End Accruals process, if commitment control is enabled and the voucher has not been budget checked yet, you need to run budget check process.

Voucher	Posting Process	Line Number	Dist. Account Type	Accntg. Period	Monetary Amount	Account	Budget Line Status	GL Dist. Status	Dept.
00000040	Period End Accrual	1	DST – Expense Distribution	5	1500	650080	N	N	11000
00000040	Period End Accrual	1	APV – Payables Period End Accruals	5	-1500	207100	V	N	11000

Accrual Reversal Entries:

Voucher	Posting Process	Line Number	Dist. Account Type	Accntg. Period	Monetary Amount	Account	Budget Line Status	GL Dist. Status	Dept.
00000040	Period End Accrual	1	DST – Expense Distribution	6	-1500	650080	N	N	11000
00000040	Period End Accrual	1	APV – Payables Period End Accruals	6	1500	207100	V	N	11000

Encumbrance relief:

The distribution account type is ENR – reserved for encumbrances, The budget status is set Not Processed so it can be selected and processed by the commitment control processor. The GL distribution status is set to I so it will not be journal generated. The chartfield information on this entry is selected from the commitment control activity log. The PO that the voucher line was created from will have an encumbrance entry in the activity log. The chartfields found on the default commitment control detail ledger will be populated on this line.

Voucher	Posting Process	Line Number	Dist. Account Type	Accntg. Period	Monetary Amount	Account	Budget Line Status	GL Dist. Status	Dept.
00000040	Period End Accrual	1	ENR – Encumbrance	5	-1500	650080	N	I	11000

Encumbrance relief reversal:

The distribution account type is ENR – reserved for encumbrances, The budget status is set Not Processed so it can be selected and processed by the commitment control processor. The GL distrib status is set to I so it will not be journal generated. The chartfield information on this entry is selected from the commitment control activity log.

Voucher	Posting Process	Line Number	Dist. Account Type	Accntg. Period	Monetary Amount	Account	Budget Line Status	GL Dist. Status	Dept.
00000040	Period End Accrual	1	ENR – Encumbrance	6	1500	650080	N	I	11000

Accounting Entries for a Voucher that has been created from a PO and the Voucher has been budget checked

Accrual entries

The expense and accrual line will be journal generated and show as an accrual in period 5. The expense line will not be budget checked.

Voucher	Posting Process	Line Number	Dist. Account Type	Accntg. Period	Monetary Amount	Account	Budget Line Status	GL Dist. Status	Dept.
00000040	Period End Accrual	1	DST – Expense Distribution	5	1500	650080	V	N	11000
00000040	Period End Accrual	1	APV – Payables Period End Accruals	5	-1500	207100	V	N	11000

Accrual reversal entries

The expense and accrual line will be journal generated and show the reversal of the accrual in period 6. The expense line will not be budget checked. The budget status is set to valid.

Voucher	Posting Process	Line Number	Dist. Account Type	Accntg. Period	Monetary Amount	Account	Budget Line Status	GL Dist. Status	Dept.
00000040	Period End Accrual	1	DST – Expense Distribution	6	-1500	650080	V	N	11000
00000040	Period End Accrual	1	APV – Payables Period End Accruals	6	1500	207100	V	N	11000

Encumbrance relief will not be created because the voucher has already been budget checked. Encumbrance relief reversal will not be created.