13Subledger Accounting for France

This chapter contains the following:

Overview of Subledger Accounting for France

Subledger accounting for France provides secondary accounting entries to support accounting events for inventory, manufacturing, purchasing and sales to meet French regulatory accounting requirements. For the French accounting features, all purchases are considered as expenses, and none of the transactions affect the on-hand inventory account. Parallel accounting is supported for analysis purposes, in addition to regulatory accounting. The Cost Management Subledger Accounting application provides seed data to create the additional accounting entries for French accounting. Mapping sets can be used to accelerate the setup of the Subledger Accounting for France features.

How You Set Up Subledger Accounting for France

To set up Subledger Accounting for France, you perform the Subledger Accounting set up tasks in the same sequence in which they're displayed in the Setup and Maintenance work area.

The following tasks are used to set up the subledger accounting for France features.

  • Manage Accounting Methods

  • Manage Subledger Journal Entry Rule Sets

  • Manage Journal Line Rules

  • Manage Account Rules

  • Specify Ledger Options

  • Manage Mapping Sets

Before You Start

The Cost Accounting and Financials modules should be set up before setting up the Subledger Accounting for France features.

Set Up Subledger Accounting for France

To set up Subledger Accounting for France, complete the following steps.

  1. In the Setup and Maintenance work area, go to the following:

    • Offering: Manufacturing and Supply Chain Materials Management

    • Functional Area: Cost Accounting

    • Task: Manage Accounting Methods

  2. Search for the Accounting Method where the Name is Standard Accrual and the Created By Application value is set to Yes.

  3. Select the Standard Accrual record and click on the Duplicate icon

  4. Complete the Create Accounting Method fields using the examples provided in the following table.

    Field Value

    Name

    Standard Accrual (France)

    Short Name

    STANDARD_ACCRUAL_FR

    Description

    Subledger accounting method for France

  5. Click Save and Close.

  6. Click on the Accounting Method just created. The Edit Accounting Method page is launched.

  7. Select the Standard Accrual (France) accounting method on the Journal Entry Rule Set Assignments page and Click Activate.

  8. When the activation process completes verify that the status of all of the records updates to Active.

  9. On the Journal Entry Rule Set Assignments page, delete the Resource Absorption rule set record described in the following table.

    Field Value

    Event Class

    WIP Resource Transaction

    Event Type

    Resource Absorption

    Rule Set

    Resource Absorption

  10. Create the replacement Rule Set described in the following table.

    Field Value

    Event Class

    WIP Resource Transaction

    Event Type

    Resource Absorption

    Rule Set

    Resource Absorption (France)

  11. Repeat steps 12 and 13 for each event type that you want to use.

  12. Select the Standard Accrual (France) accounting method on the Journal Entry Rule Set Assignments page and Click Activate.

  13. Select Specify Ledger Options.

  14. In the Subledger Accounting section set the Accounting Method to Standard Accrual (France).

  15. Configure the seeded mapping sets or create new account rules. For more information on mapping sets, see the topic Using Seeded Mapping Sets.

  16. (Optional) To verify that the accounting distributions have been set up correctly, run the Create Accounting process on the Cost Accounting page, setting the Accounting Mode to Draft.

Overview of Mapping Sets for France

Mapping sets provide an efficient way to define a segment or account combination value for one or more transaction or reference attribute values. Using such input and output mappings is simpler than using complex conditions on account rules.

Based on the value of the source input, a single segment or a full account is derived.

Examples of source input value types:

  • Transaction attributes

  • Reference attributes

With mapping sets you can:

  • Use up to 10 transaction or reference attributes as inputs into a mapping.

  • Define default output value to use when actual input values don't match the mappings.

  • Use wildcards for multiple input mapping sets to indicate that the value of a particular input should be ignored for certain mappings.

  • Enter the mappings directly on the user interface or use the spreadsheet available in the Export option, and then import.

    Export allows:

    • Exporting a template to create mappings.

    • Exporting all mappings created for the mapping set to add or edit the current mappings.

Example

Assume a business operates in several regions, including:

  • East

  • South

  • West

The business has a Region segment in their chart of accounts.

The region name can be the input for the mappings to derive the value of the region segment. You can create a mapping set that maps region names to the corresponding region code.

This table contains region names and segment values used in this example.

Input Value (Region Name) Segment Value

East

01

South

02

West

03

Additional transaction information, such as transaction type and salesperson name, could also be used as inputs to help derive a different segment value for each combination of the input values.

Overview of Predefined Mapping Sets for Subledger Accounting for France

There are predefined mapping sets for all the journal line rules with commonly used sources, there are three to five sources for each journal line rule, such as Inventory Organization Code, Subinventory Code, Costing Category Identifier, Work Order Sub Type, and Item Number.

The benefits of using predefined mapping sets are as follows:

  • Provides an out-of-box approach to implement subledger accounting.

  • Enables quick implementation of subledger accounting.

  • Provides commonly used transaction source attributes and these sources are assigned to the predefined mapping sets.

  • Enables easy maintenance when compared with maintaining user-defined account rules.

Unique mapping sets are predefined for each journal line rule. Predefined mapping sets specific to Subledger Accounting for France are Expense Bridging, Bridging, Work In Process Bridging, and In-transit Bridging. View Cost Management user interface for the complete list of mapping sets.

The mapping set created for each journal line type is added to a predefined account rule.

Use Predefined Mapping Sets for Subledger Accounting for France

To use predefined mapping sets for implementing Subledger Accounting for France, do the following:

  1. Select chart of accounts.

  2. Specify the transaction attributes as input and account combinations as output for every chart of accounts.

    Set up input parameters for every chart of accounts. While specifying inputs, you must provide the transaction attributes.

    For example, if you're using the mapping set, Bridging, then you have to provide one or more of the following input sources.

    • Inventory Organization Code

    • Costing Category Identifier

    • Item Number

  3. For the mapping set Bridging, provide an account combination as the output type.

  4. Automatically enable or disable the account derivations using Effective Dates.

  5. (Optional) Set account combinations as default to support subledger accounting activities for which specific rules aren't set up.

  6. Use spreadsheet based import and export functionality.