Using Per-Line Classifications
If you enable classifications such as departments, classes, locations, and custom segments, a field for the classification shows in the header of transaction forms. When a classification is selected in a transaction header, all lines on that transaction are associated with the selected classification. For example, if you choose the location East Coast in the Location field on a sales order, all lines on that sales order are associated with the East Coast.
You can also choose to use per-line classifications that enable you to select a classification on each transaction line. Per-line classifications can be used either instead of header classifications or in addition to them.
Per-Line Classifications Only
If you use per-line classifications instead of header classifications, a classification field shows for each transaction line but does not show in the header. For example, if you have the Locations feature enabled, a Location field shows on each transaction line. You can choose the location East Coast on one line and choose West Coast on another line.
The items on each line are associated with individual locations, but the entire transaction is not associated with a location. For example, on an invoice, line one is associated with East Coast and line two is associated with West Coast, but the Accounts Receivable line is associated with no location.
Per-Line Classifications with Header Classifications
If you use per-line classes, departments, locations, or custom segments, you can customize transaction forms to identify the classification at both the header and line level at the same time.
For example, if you have enabled both the Locations feature and the Allow Per-Line Locations preference, then a Location field displays on each transaction line and in the form header. You can choose the location East Coast on one line and choose West Coast on another line. Then, you can choose the location United States in the transaction header and the Accounts Receivable line is associated with the United States.
These classifications can be useful if you identify legal entities or geographical segments by location and wish to report separate balance sheets and income statements by those segments. From the previous example, a sales order can post line items to the correct locations (East and West Coast), whereas the header location provides a correct income statement to be run for United States transaction totals. For example:
Location: United States
Sublocation: East Coast
Sublocation: West Coast
When you use a form customized to show a class, department, location, or custom segment at both the header and line level, both fields are required. If either the line or header field is not filled, both fields are cleared unless they are mandatory. If you have also enabled a preference to make classes, departments, locations, or custom segments mandatory, the selection is mandatory at both the header and line level.
Transaction lines for tax and shipping use the class selected in the transaction header, if any.
The following preferences can be set at Setup > Accounting > Accounting Preferences:
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Make Departments Mandatory
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Make Classes Mandatory
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Make Locations Mandatory
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Allow Per-Line Departments
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Allow Per-Line Classes
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Always Allow Per-Line Classifications on Journals
For only journal entries, this preference overrides any other Allow Per-Line preferences you have set.
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Allow Non-Balancing Classifications on Journals
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Allow Empty Classifications on Journals
For more information on these preferences, see Accounting Preferences.
To specify that a custom segment is mandatory, check the Mandatory box on the Validation & Defaulting subtab on the Custom Segment configuration page.
For more information on how to customize a form to identify a classification at both the header and line level, see Customizing Forms for Per-Line and Header Classifications.