Multibook Processing

If you select the multibook option on the Installation Options - Overall page, the Receivables Update process creates accounting entries for both the primary ledger and secondary ledgers, including translation ledgers. Each ledger may have a different currency. Secondary ledgers have the same foreign amount currency as the primary ledgers. Translation ledgers create accounting differently than primary and secondary ledgers. When a translation ledger is created, the base currency of the primary ledger becomes the transaction or foreign currency of the translation ledger. This amount is then converted to the base currency of the translation ledger.

Example

Suppose that you enter an item in EUR for a business unit whose base currency is CAD. The base currency for the secondary ledger is EUR. The base currency for the translation ledger is USD. In this case, the process would create entries in these currencies:

Ledger	Foreign Currency (Transaction Currency)	Base Currency
Primary Ledger	EUR	CAD
Secondary Ledger	EUR	EUR
Translation Ledger	CAD	USD

Note:

Multibook functionality does not apply to direct journal payments. Therefore, secondary lines are not created for direct journals.

Rate Types for Secondary Ledgers

The method that the system uses to obtain the rate type for secondary ledgers varies based on the type of transaction. This table shows how it obtains the rate types for the different types of transactions.

Transaction Type	Method
Online pending item entry	The system does the following: If a rate type exists for the secondary ledger on the Ledger Group - Definition page, it uses that rate type. If a rate type isn't defined for the secondary ledger, the system uses the rate type on the pending item. If the pending item has no rate type, the system uses the default rate type for the secondary ledger on the Ledger Group - Definition page. The system populates the rate type for the pending item based on the value assigned to the customer. If the customer has no rate type, it uses the rate type for the business unit as defined on the Receivables Options - Payment Options page.
Payment worksheets	The system does the following: If a rate type exists for the secondary ledger on the Ledger Group - Definition page, it uses that rate type. If a rate type isn't defined for the secondary ledger, the system uses the rate type entered for the deposit on the Totals page. If the deposit has no rate type, the system uses the default rate type for the secondary ledger on the Ledger Group - Definition page. The system populates the rate type for the deposit based on rate type for the business unit as defined on the Receivables Options - Payment Options page.
Maintenance worksheets	The system does the following: If a rate type exists for the secondary ledger on the Ledger Group - Definition page, it uses that rate type. If a rate type isn't defined for the secondary ledger, the system uses the rate type entered for the maintenance worksheet on the Worksheet Selection page. If the worksheet has no rate type, the system uses the default rate type for the secondary ledger on the Ledger Group - Definition page. The system populates the rate type for the worksheet based on rate type for the business unit as defined on the Receivables Options - Payment Options page.
Transfer worksheets	The system does the following: If a rate type exists for the secondary ledger on the Ledger Group - Definition page, it uses that rate type. If a rate type isn't defined for the secondary ledger, the system uses the default rate type for the secondary ledger on the Ledger Group - Definition page.
Customer-initiated drafts	The system does the following: If a rate type exists for the secondary ledger on the Ledger Group - Definition page, it uses that rate type. If a rate type isn't defined for the secondary ledger, the system uses the rate type entered for the draft on the Draft Entry page. If the draft has no rate type, the system uses the default rate type for the secondary ledger on the Ledger Group - Definition page. The system populates the rate type for draft creation based on rate type for the business unit as defined on the Receivables Options - Payment Options page.
Supplier-initiated drafts	The system does the following: If a rate type exists for the secondary ledger on the Ledger Group - Definition page, it uses that rate type. If a rate type isn't defined for the secondary ledger, the system uses the default rate type for the secondary ledger on the Ledger Group - Definition page.
Direct debits	The system does the following: If a rate type exists for the secondary ledger on the Ledger Group - Definition page, it uses that rate type. If the ledger group does not have a rate type, the system uses the default rate type for the ledger group.

The following flowchart shows how the system obtains the rate type for the secondary ledger entries.

This flowchart shows how the system obtains the rate type for the secondary ledger entries. If the rate type exists in the ledger group, then secondary ledgers are created with that rate type. If the rate type exists in a pending item, then secondary ledgers are created with that rate type. If the rate type does not exist in the ledger group or in the pending item, then secondary ledgers are created with the default rate type of the ledger group.