1. Implementing Joint Venture Management
  2. Use Subledger Accounting Rules to Derive the Partner Account

Use Subledger Accounting Rules to Derive the Partner Account

You can use subledger accounting rules to override the following accounts with a different account:

  • The account from the source transaction in distributions originating from subledger accounting, the general ledger, joint venture overhead transactions, and manual joint venture source transactions.
  • The account from the partner contribution line in joint venture receivables invoices.

The process to create cost recovery invoices from joint venture distributions uses predefined flexfields to capture additional joint venture information in the invoices. You can use these flexfields to set up mapping sets to override the partner account. You can override any segment in the account such as the natural account segment or the cost center segment. After creating the mapping set, you assign it to an account rule and then add the account rule to a journal entry rule set for the event "Invoice" and journal line "Invoice Revenue." You then assign the journal entry rule set to an accounting method.

This table describes the flexfields that you can use as input sources to derive the segment values for the partner account.

Flexfield Attribute Description
Transaction Line Flexfield Attribute 1 Joint Venture Name The short name of the joint venture.
Transaction Line Flexfield Attribute 2 Primary Segment Value The primary segment value within the account code combination.
Transaction Line Flexfield Attribute 4 Joint Venture Distribution Type

Valid values include:

E (Expense), A (Assets), H (Overhead), F (Fees and other charges), S (Manual Cost), or P (Partner contribution).
Transaction Line Flexfield Attribute 5 Joint Venture Distribution ID The distribution ID for cost distributions or partner contribution ID for partner contribution lines.
Transaction Line Flexfield Attribute 6 Account Code Combination ID Although this flexfield is available, it’s not used to provide the account. Instead, the Transaction Distribution GL Account field provides either the source transaction account or the partner contribution account, depending on the distribution type in the invoice.