Balancing Methods

The Balancing Method is a means of ChartField value retrieval to complete partial or out of balance entries and is accomplished by the following methods:

Due To and Due From Balancing

In Due To and Due From Balancing the system generates additional interunit unit receivable and payable journal lines to bring the overall accounting transaction into balance from your partial cross-book interunit unit entry.

For example, assume that you create a cross-entity entry to transfer an asset from one business unit to another. The system generates the interunit receivable entry for the source or Anchor Business Unit and an interunit payable entry for the receiving or Non-Anchor Business Unit to bring the books for each business unit into balance.

There are three Due To and Due From Balancing methods for interunit transactions as follows:

Term	Definition
Indirect Method	The Due To and Due From ChartFields used to balance each business unit in the transaction are retrieved from the affiliated business unit's Inter/IntraUnit Template definition.
Direct Method	The Due To and Due From ChartFields used to balance each business unit in the transaction are retrieved from the business unit's own Inter/IntraUnit Template definition.
Pairs Method	The Due To and Due From ChartFields used to balance each business unit in the transaction are retrieved from a definition for the pair of business units involved in the transaction. Pairs are defined on the InterUnit Pair Maintenance page.

Offset Inheritance Balancing

For transactions that include system-generated entries (often as offset entries), the system-generated entries can be defined to inherit ChartField values from the other entries in the transaction (such as the distribution lines you entered) to create an expanded balanced transaction and distribute offsets as needed.

For example, you enter a voucher that records expenses for two different funds. Using Offset Inheritance, the offsetting entries are properly distributed by the system to the appropriate payable accounts for the two funds.

Edit Only Balancing

Even if you have not implemented interunit and intraunit functionality, a journal might not be in balance for reasons other than interunit activity. The Journal Edit process uses the rules that you set up for balancing journals on the Journal Edit Options page to either recycle such journals or do Edit-Only Balancing and provide a suspense account to automatically balance the entry.

Edit-Only Balancing is primarily applicable when a transaction is out of balance due to rounding or an error. It is not applicable to interunit and intraunit processing.