Understanding AAIs

AAIs are rules that define the relationships between your day-to-day accounting functions and your chart of accounts. Each system that interacts with the JD Edwards EnterpriseOne General Accounting system has AAIs.

In the General Accounting system, for example, AAIs can be used to:

• Determine how the post program creates journal entries for intercompany settlements and how the system distributes journal entries so that each company maintains a zero net balance.

• Debit an AR trade account or credit an AP trade account when you post invoices or vouchers.

  AAIs eliminate the need to know which offset account to update at the time of posting and to enter offsetting accounts manually.

• Provide journal entries for many different kinds of transactions in the Sales Order Management and Procurement systems.

• Identify accounts that post to fixed assets and equipment in the Fixed Assets system, and create asset master records, depreciation account records, and other transactions.

Each AAI is associated with a specific general ledger account that consists of a business unit, an object, and optionally, a subsidiary.