The General Ledger tab of the Options dialog lets you maintain the account masks used for tracking intercompany transactions.
Note
Intercompany posting requires that your companies share a common company segment in the chart of accounts. The process does not pertain when companies are maintained in separate company databases.
Intercompany account masks let you define how ActivityHD generates intercompany accounts for the additional postings needed to track intercompany receivables and payables. These are not intercompany elimination entries which are needed to eliminate the profit/loss of transactions between companies in a consolidated financial statement. Instead, these are the postings which are created to track the intercompany receivables and payables amounts when one company, usually the parent company, does business on behalf of another company, usually a subsidiary.
Example
Suppose parent company "0" pays bills for subsidiary companies "1" and "2". An invoice is received for equipment and is to be distributed to both subsidiaries. The liability is posted to Company 0. The expenses are posted to Company 1 and Company 2. Intercompany postings (marked with an asterisk) are created automatically:
Account
Description
Debit
Credit
2000-0-A
Accounts Payable (0)
900.00
5048-1-A
Office Supplies (1)
200.00
5048-2-A
Office Supplies (2)
700.00
*1991-0-A
Intercompany Receivables
200.00
Company 0 receivables from Company 1
*2990-1-A
Intercompany Payables
200.00
Company 1 payables to Company 0
*1992-0-A
Intercompany Receivables
700.00
Company 0 receivables from Company 2
*2990-2-A
Intercompany Payables
700.00
Company 2 payables to Company 0
Notice that Company 0's intercompany receivables (200 + 700) balance the liability posted for the invoice. Company 1's intercompany payables posting balances its expense and Company 2's intercompany payables posting balances its expense. Each company remains in balance.
For this example, you would define the following account masks:
Intercompany AR Account Mask: 199?-_-_
Intercompany AP Account Mask: 299?-_-_
The example assumes that both the Company segment (the second segment) and the Ledger segment (the third segment) require balance. The question marks in the masks are replaced with the non-ledger balancing segment(s) which, in this example, are one-digit company numbers.
Maintain General Ledger options
Important
Only complete this window if you will need to post intercompany transactions for receivables and payables.
Note
You must have "Options (Controller)" access to the General Ledger folder resource to maintain intercompany options.
In the Navigation pane, highlight the General Ledger folder.
Right-click the folder and select Options from the shortcut menu. The Options window opens with the General Ledger tab selected.
In the AR Account Mask field, enter the account mask to use to generate the intercompany accounts needed for making additional postings to track intercompany receivables. Segments that require balance are not editable and are left blank.
In the AP Account Mask field, enter the account mask to use to generate the intercompany accounts needed for making additional postings to track intercompany payables. Segments that require balance are not editable and are left blank.
Click OK.
General Ledger Options tab
Intercompany
AR Account Mask
The account mask for ActivityHD to use to generate the intercompany accounts for the additional postings needed to track intercompany receivables. Segments which are required to be in balance cannot be edited and are left blank. If you do not need to produce intercompany postings for receivables, leave this field blank.
Press F2 to open the Account Expand dialog box where you can look up an account number, find an account number by its alias, build the account number by segment, or view setup and setup sources.
Press F3 to look up the account.
If an account is already selected, you can press F4 to open the record in the Account window.
AP Account Mask
The account mask for ActivityHD to use to generate the intercompany accounts for the additional postings needed to track intercompany payables. Segments which are required to be in balance cannot be edited and are left blank. If you do not need to produce intercompany postings for payables, leave this field blank.
Press F2 to open the Account Expand dialog box where you can look up an account number, find an account number by its alias, build the account number by segment, or view setup and setup sources.
Press F3 to look up the account.
If an account is already selected, you can press F4 to open the record in the Account window.
Modified By
The user name of the last user who modified the information on this tab.
Modified
The date and time of the last modification to the information on this tab.
