Distributing posts using distribution keys in
templates for automatic posting represents the simplest and most transparent
method of further distribution. By doing this you reverse the existing posts and
create new ones. They are distributed by departmetns using the distribution key.
Any such additional posts are displayed in a separate document type for posting.
The advantages for using this method lie in:
- the fact that you can always expect the balance of such journal entry to
be 0 (the reversed old post and together with the new post), otherwise
and error occurred.
- the fact that you can simply delete the partial entry if you made a
mistake when using distribution key, or if it changes in accordance with any
later agreements. Later you can change the template for automatic posting
and repeat the procedure.
Here it is not required to change and correct original posts in the general
ledger nor the original received document.
1. New Document Type of Journal Entry
Firstly, open a new document type of journal entry
so as to:
- separate any further partial posts. This can also prove useful in for
example creating a trial balance report. Using
this as well as other reports on subject accounts/general ledger you can
exclude individual document types when creating reports and so get status of
data before they were distributed by departments
- identify it as the type of document where you always get balance of debit
and credit transactions which is equivalent 0
Document 471 is used in this case.
2. Designing Distribution Keys
Create as many distribution keys in Distribution
Keys register as is required in order to distribute transactions on
individual accounts or account groups.
Here we selected one singe distribution key that you can also observe in the
topic on distribution keys.
3. Select Accounts or Account Groups and Distribution Keys
Set which accounts or account groups are to be used in distribution. Of
course, set also the distribution key.
In our case let us create a template for rent costs to be kept on control
account 413.
Naturally, you could also proceed differently and for each subsidiary account
from the Chart of Accounts select a different distribution menthod, that is, a
different distribution key.
Moreover, you could use in distribution all accounts of the same group (41)
and distribute them by using the same distribution key. By all means whenever
and should this prove wise.
4. Set Period for Transfer of Post
It is correct that you decide, when creating distribution keys, how often
(e.g. on a monthly basis, half-yearly basis, annual basis) you want to perform
distribution and which criteria to use in collecting data (e.g. date of
posting period). So transfers of posts will not overlap each other.
It is wise to select the period on a monthly basis and posting period as date
criteria.
5. Transfer of Post or Creating a Report
Perhaps it suffices just checking the amount of cost by individual
departments.
So you can only display the report and do not trigger posting.
6. Template for Automatic Posting
Line
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Note
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10
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Reversal of the existing posts
= Sum up credit balance on all subaccounts of subsidiary account 413;
hence the following formula #SP413%#.
In this manner you obtain balance on these accounts in negative. The
data is used in posting reversal.
Instead of referencing credit balance you could reference credit
transactions (e.g. #SK413%#), but it is better to use credit balance so
that you also include the reversal to the opposite account side, if
existing.
Here we only defined the post to the debit side and requested that posting
is to be performed to the same account and in the same amount as given
in the formula.
Select the type of posting By Departments so that the ID of department,
where you reversed the post, is entered in corresponding line. Thus you
at the same moment acquire data on whether the post was assigned to any
department. If it was, it is at the same time reversed.
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20
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Distribution by key
= Sum up debit balance of all subaccounts of subisidary account 413;
hence the following formula #SO413%#.
The same needs to be taken in consideration regarding the formula used in
calculatation as can be observed above (line 10).
Here we also defined only posting to the debit side and requested that
it is to be perfored to the same account and in the same amount as given
in the formula.
Posting type used does not play any role here because you specifed the
distribution key, according to which balance on cost accounts is
distributed.
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7. Examples
1. Supplier Invoice
Let us say that you received an invoice in May 2003 for the following:
- rent for business premises in amount of € 100,000 (account 4130); when you
received the invoice it was posted to the departmetn of Administration
- rent for garages and parking lots in amount of € 20,000 (account 4131);
when you received the invoice it was posted to the department of
Administration
2. Distribution Report
Because of the need for creating a monthly financial report, in June you
distribute costs by departments and on the grounds of the previously selected
distribution key.
As the start date select 1.5. 2003 in Posted From field and as the end date
select 31.05. 2003 in To field. The business event is reposted on the last day
of the selected period, that is on May 31st, 2003.
Before you actually proceed with posting it is wise to view posting data in
report, e.g. Report by Lines - Detailed.
3. Journal Entry Used in Posting Distribution
By clicking the Posting button records data in journal entry.
As envisaged the amounts of posts from the selected period are reversed in
the amount and department as specified in the original post.
New amounts and references to department, as specified in distribution key,
are posted.
4. Account Card
5. Trial Balance by Departments - All Journal Entries
6. Trial Balance by Departments - No Journal Entry Used in Distribution
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The examples given can also be of help in distributing
revenues. The only difference being that you have to adjust liability and
asset balance on account or groups of accounts accordingly! |
