Accounting
Specify how the system creates accounting entries.
- Accounting Journals at Application or Certificate
Select whether to create accounting journal entries at the time of application or certificate. Options are:
Application
Certificate
If the SPC system constants are set so that accounting entries are created at application, the system generates the accounting entries for the application.
If the SPC system constants are set so that accounting entries are created at certificate, the system will use the account number from the purchase order detail line for posting the certified amounts and the distribution AAI 4320 to determine the offset account. The system also generates reversing entries to offset the amounts entered at the time of application.
- Purchase Order
Select to create commitments when you enter the subcontract purchase order. If you select this option, you must run the SPC Subcontract Order Commitment Post program (R74U0416) after you enter the subcontract purchase order to update the commitment ledger that you set up for SPC subcontracts.
You specify the ledger types to update on the Commitments tab of the Maintain SPC Constants form.
If you select this option, the system indicates on the SPC – Purchase Order Additional Information form of the Purchase Order SPC Additional Information Header program (P74U4312) that commitments are created at purchase order. You can set a processing option in the Purchase Order SPC Additional Information Header program to enable changes to this option when subcontract purchase orders are entered.
- Application
Select to create commitments when you enter the application.
You specify the ledgers to update on the Commitments, Retention Ledger, and MCD Ledger tabs of the Maintain SPC Constants form.
If you select this option, the system indicates on the SPC – Purchase Order Additional Information form of the Purchase Order SPC Additional Information Header program (P74U4312) that commitments are created at purchase order. You can set a processing option in the Purchase Order SPC Additional Information Header program to enable changes to this option when subcontract purchase orders are entered.
- Certificate
Select to create commitments when you enter the certificate.
You specify the ledgers to update on the Commitments, Retention Ledger, and MCD Ledger tabs of the Maintain SPC Constants form.
If you select this option, the system indicates on the SPC – Purchase Order Additional Information form of the Purchase Order SPC Additional Information Header program (P74U4312) that commitments are created at purchase order. You can set a processing option in the Purchase Order SPC Additional Information Header program to enable changes to this option when subcontract purchase orders are entered.
- Commitment Basis
Specify whether to generate commitments based on the amount or on the amount less the MCD. Options are:
Amount Only
Amount Less MCD
- Foreign Commitments
Select to maintain a commitment ledger for foreign transactions.
You specify the ledger to update on the Commitments, Retention Ledger, and MCD Ledger tabs on the Maintain SPC Constants form.
- Separate Retention Update
Select to maintain a commitment ledger for retention. You specify the ledger to update on the Retention Ledger tab on the Maintain SPC Constants form.
- VAT on a Receipts Basis (value-added tax on a receipts basis)
Select to maintain a commitment ledger for VAT on a receipts basis.
- Separate MCD Update (separate main contractor discount update)
Select to maintain a commitment ledger for MCD. You specify the ledger to update on the MCD Ledger tab.