Receipt Accrual Setup

To set up receipt accrual for a business unit:

1. Select the Accrue PO Receipts check box or the Accrue Non/PO Receipts check box on the Purchasing Definition - Business Unit Options page.

   See Establishing PeopleSoft Purchasing Business Units.

2. Select the Accrue Charge check box on the Misc Charge/Landed Cost Defn (miscellaneous charge or landed cost definition) page to accrue miscellaneous charges or landed cost charges.

   You cannot override this value on the purchase order; it flows to the receipt through the purchase order value adjustment.

   See.Understanding Miscellaneous Charges

3. Select a journal template for receipt accrual on the Procurement Control - GL Templates page.

   Select the template that you want to use in the Receipt Accrual field. The standard template for receipt accrual is REC_ACCRUE.

   See PeopleSoft Payables: Defining Procurement Controls for General Ledger Business Units.

4. Select the journal source and journal date on the Journal Generator Template - Defaults page.

   When you set the journal source and date, you are ensuring that the accounting entries are reversed at the beginning of each subsequent period.

   See Application Fundamentals: Understanding Journal Generator

5. Define the liability account for receipt accrual in the Expenses Accrual field on the Accounting Entry Template page.

   PeopleSoft Purchasing debits accrued receipt charges from the expense account designated on purchase order distributions. The alternate account designated on the Accounting Entry Template page applies only to the liability account defined here.

   See Application Fundamentals: Accounting Entry Template Page.

6. Select Do Not Generate Reversal as the reversal code on the Journal Generator Template REC_ACCRUE.

   The upgrade process should accomplish this step; you should not need to complete it independently of the upgrade.

7. Open the Purchasing Definition on the Accounting Entry Definition page, and change the Record from RECV_LN_ACCTG to RECV_LNACCTG_VW.

   This record includes all receipt accruals that are budget-checked and ready to be journal generated. It excludes any receipt accrual with transactions that failed the budget process.

   The upgrade process should accomplish this step; you should not need to complete it independently of the upgrade.

8. If any ChartFields are designated on the Detail Ledger Group - Chartfield page as Balanced, you need to select the Always Inherit rule for those ChartFields on the Chartfield Inheritance page.

9. Set up ChartFields in the general ledger definition.

10. Set up ChartFields for the accounting entry definition.