Allocation Accounts File Maintenance

Use this function to enter those accounts whose balances are to be allocated to other accounts, along with the details on how to make such allocations. You specify both the accounts to receive the allocation as well as the method of allocation. There are three methods available for distributing allocations. The "Percent" method allows distributions of a fixed percentage of the current balance to a given account. The "Amount" method allows a distribution for a fixed dollar amount. The "Ratio" method allows a distribution of the current balance based on a ratio of accounts from the Chart of Accounts or Unit Accounts files. An Over/Under account must be specified to receive the remainder from the allocations.

Journal entries that effect the allocations are created when the Create Allocation Entries job is run in Live Operations (from Journal Entries on the Daily Pulldown Menu). These journal entries back out amounts stored in the allocation accounts and distribute them to the receiving accounts as defined in this function.

The Allocation Accounts Screen, shown in Figure 4-9 below, appears when you select Allocation Accounts from the File Maintenance Pulldown Menu. You normally enter this function in Inquire mode but you can change mode by using the mode icons on the toolbar or the mode function keys. Since Change mode places a hold on the selected record, use Change mode only when you intend to change data. If desired, in key entry, you can click on or press the Scan key to review the records currently on file and select one for editing or viewing.

Figure 4-9. Allocation Accounts Screen

This screen contains the following fields grouped by sections.

Allocation Account

Account

Enter the account which contains the dollar amount to be allocated. This account must be on file in the Chart of Accounts file. You can click on or press the Scan key to find an appropriate entry. The system displays the account description so that you can verify your entry.

Description

If desired, enter a description for this allocation, up to 30 characters in length. This field will flow through to the journal entries created during Create Allocation Entries and will be printed on the journal and the distribution reports as a part of your audit trail.

Reference

If desired, enter a reference for these transactions, up to 6 characters in length. This field will flow through to the journal entries created during Create Allocation Entries and will be printed on the journal and the distribution reports as a part of your audit trail.

Auto Reverse?

Select "yes" or if reversing journal entries should be created automatically during Close Month processing for the months journal entries have been created for this allocation; otherwise, select "no" or . The initial default is "no".

Adjustment?

Select "yes" or if allocation entries to the Allocation Account are an adjustment to the sources/uses amounts; otherwise, select "no" or . The initial default is "no".

If "yes", a credit adjustment reduces month-to-date and year-to-date uses and a debit adjustment reduces month-to-date and year-to-date sources in the Account Balances file.

Source/Use/Neither

If applicable, specify how the allocations are to be accumulated for the Allocation Account in the Account Balances file; otherwise, leave this field blank for standard treatment. Click the list button to select one of the options listed below:

Subsidiary Type

The system displays the subsidiary type defined for the Allocation Account in Chart of Accounts File Maintenance on the Details Overlay.

Subsidiary Code

If Subsidiary Type for the allocation account is "GL", you must enter a subsidiary code so that postings can be made to the appropriate subsidiary files; otherwise, you can leave this field blank. Subsidiary Code is only used in General Ledger for subsidiary type "GL". If entered and if General Subsidiary is part of your system, this code must be on file in the Subsidiary Codes file. You can click on or press the Scan key to find an appropriate entry.

Intercompany Code

If this is an intercompany transaction, enter the code identifying the company; otherwise, leave this field blank. If entered, this code must be on file in the Intercompany Names file. You can click on or press the Scan key to find an appropriate entry. The system displays the intercompany name so that you can verify your entry. All intercompany allocation postings will be posted to the YTD Postings file.

Intercompany Reference

If desired for an intercompany transaction, enter a reference up to 4 characters in length; otherwise, leave this field blank. This field will flow through to the journal entries created during Create Allocation Entries and will be printed on the journal and the distribution reports as part of your audit trail.

Currency

If this transaction is in a currency other than the domestic currency, enter the currency code; otherwise, leave this field blank. If entered, this code must be on file in the Exchange Rates file. You can click on or press the Scan key to find an appropriate entry. The system displays the currency description so that you can verify your entry.

Over/Under Account

Account

Enter the account to be used for any over/under amounts that may result when the allocations are calculated. This account must be on file in the Chart of Accounts file. You can click on or press the Scan key to find an appropriate entry. The system displays the account description so that you can verify your entry.

Note: Unpredictable results may occur if the Over/Under Account is the same account as the Allocation Account.

Adjustment?

Select "yes" or if entries to the Over/Under Account are an adjustment to the sources/uses amounts; otherwise, select "no" or . The initial default is "no".

If "yes", a credit adjustment reduces month-to-date and year-to-date uses and a debit adjustment reduces month-to-date and year-to-date sources in the Account Balances file.

Source/Use/Neither

If applicable, specify how amounts are to be accumulated for the Over/Under Account in the Account Balances file; otherwise, leave this field blank for standard treatment. Click the list button to select one of the options listed below:

Subsidiary Type

The system displays the subsidiary type defined for the Over/Under Account in Chart of Accounts File Maintenance on the Details Overlay.

Subsidiary Code

If Subsidiary Type for the Over/Under Account is "GL", you must enter a subsidiary code so that postings can be made to the appropriate subsidiary files; otherwise, you can leave this field blank. Subsidiary Code is only used in General Ledger for subsidiary type "GL". If entered and if General Subsidiary is part of your system, this code must be on file in the Subsidiary Codes file. You can click on or press the Scan key to find an appropriate entry.

Press ENTER or click or the Save button to save the information for the current record. If any information has changed, the system may redisplay the screen to show any new or changed system-supplied items or to report any error or warning messages. If so, the current record has not yet been saved; you must address any concerns and press ENTER or click or the Save button again. To exit without saving, press END or click or the Cancel button.

When you save a record, the system will automatically present the Allocation Receiving Accounts Overlay, or you can click on the Receiving Accounts button to access it (which first saves the current record if applicable).

The following icons are also available for use on the toolbar (unless disabled in Add mode or until a record has been retrieved):

List Allocation Accounts: See Allocation Accounts List for further information.

Display Allocation Audit Info: See Audit Info for further information.

Click the appropriate icon to perform the desired operation (which first saves the current record if applicable), after which you will return to where you are.