Analytical Accounting Information Flow from Purchase Order to Receipts

Hi all

This article is to explain how Analytical Accounting (AA) information is transferred from Purchase Orders to Receiving Transaction Entry.

The scenario explained below is on an environment where there is one transaction dimension configured in Analytical Accounting.

Create a Purchase Order with 2 line items as explained below.

PO Number Line Seq. No Item Number Quantity Unit Cost Extended Cost
PO2077 16384 128 SDRAM 10 $1200.00 $12000.00
PO2077 32768 256 SDRAM 5 $1400.00 $7000.00

Assign the dimension codes in the following way for the 2 lines in the PO as shown below.

PO Number Line Seq. No Item Number Inventory Account Amount Assignment % Trx. Dimension Trx Dimension Code
PO2077 16384 128 SDRAM 000-1300-01 $12000.00 100% D1 D1C001
PO2077 32768 256 SDRAM 000-1300-01 $2800.00 40% D1 D1C001
PO2077 32768 256 SDRAM 000-1300-01 $4200.00 60% D1 D1C002

So the amount on the first line is completely assigned to the dimension code D1C001. The amount on the second line is split between the dimension codes D1C001 and D1C002 in the ratio 40% and 60% respectively.

When this PO is received using the Receiving Transactions Entry, the AA distributions for the receipt get updated as follows for the inventory account.

Receipt No. Distribution Seq. No. Inventory Account Distribution Amount Assignment % Assignment Amount Trx. Dimension Trx. Dimension Code
RCT1166 16384 000-1300-01 $19000.00 63.16% $12000.00 D1 D1C001
RCT1166 16384 000-1300-01 $19000.00 14.74% $2800.00 D1 D1C001
RCT1166 16384 000-1300-01 $19000.00 22.10% $4200.00 D1 D1C002

Thus in case of a Purchase Order, the Sequence Number in the AAG20001 table is linked to the PO Line Sequence Number field (Ord) in the POP10110 table. This is because the GL account information (Inventory account) is stored at the PO line level and there are no distributions generated in case of a purchase order.

However, in case of a receipt, there are distributions which get posted into the General Ledger when posting the receipt. And in this case, the Sequence Number on the AAG20001 table is linked back to the Distribution Line Sequence Number in the POP10390 table for the inventory account (which is why you notice that for the receipts, the Line Sequence Number is the same for all the 3 lines.

Hope this explains how AA information is stored in the PO and transferred to the Receipts.

Until next post!

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June 2, 2011 · veeyeskay · One Comment
Tags: , , ,  · Posted in: Analytical Accounting, Dynamics, Great Plains, Purchase Order Processing Total Views: 2,647