Financial Management with Dynamics 365 for Finance and Operations : Enterprise Edition

Accounts Payable

Accounts Receivable

You can create customer invoices that are based on sales orders or packing slips. You can also enter free text invoices that are not related to sales orders. You can receive payments by using several different payment types. These include bills of exchange, cash, checks, credit cards, and electronic payments. If your organisation includes multiple legal entities, you can use centralised payments to record payments in a single legal entity on behalf of the other legal entities.

Cash and Bank Management

You can use Cash and bank management to maintain the legal entity’s bank accounts and the financial instruments that are associated with those bank accounts. These instruments include deposit slips, checks, bills of exchange, and promissory notes. You can also reconcile bank statements and print bank data on standard reports.

Cost Accounting

Cost accounting lets you collect data from various sources, such as the general ledger, sub-ledgers, budgets, and statistical information. You can then analyse, summarise, and evaluate cost data, so that management can make the best possible decisions for price updates, budgets, cost control, and so on. The source data that is used for cost analysis is treated independently in Cost accounting.

Fixed Assets

You can set up and enter acquisition information for fixed assets, and then manage them by depreciating them and setting a capitalisation threshold to determine depreciation. You can calculate adjustments to the fixed assets, and also dispose of them. When you use General ledger together with Fixed assets, you can view the current value of all fixed assets.

The way in which fixed assets are handled must correspond to both international accounting standards and the accounting legislation in each country/region. Requirements might include rules for recording acquisition and disposal transactions, depreciation, lifetimes, and write-ups and write-downs of fixed assets. The Fixed assets functionality incorporates many of these standards and rules.

General Ledger

You can allocate, or distribute, monetary amounts to one or more accounts or account and dimension combinations based on allocation rules. There are two types of allocations: fixed and variable. You can also settle transactions between ledger accounts and revalue currency amounts.

At the end of a fiscal year, you must generate closing transactions and prepare your accounts for the next fiscal year. You can use the consolidation functionality to combine the financial results for several subsidiary legal entities into results for a single, consolidated organisation. The subsidiaries can be in the same Microsoft Dynamics 365 for Finance and Operations database or in separate databases.

Project Management

The project management and accounting functionality can be used in multiple industries to provide a service, produce a product, or achieve a result.

A project is a group of activities that is designed to provide a service, produce a product, or achieve a result. Projects consume resources and generate financial results in the form of revenues or assets.

Public Sector

Use the Public sector functionality to meet the rules, regulations, and reporting requirements for organisations that serve the public. The business processes affected include:

• Fund accounting, derived financial hierarchies, and posting definitions for accounts receivable and the general ledger.
• Preliminary budgets, apportionment, and commitments.
• Billing codes, billing classifications, trading partner codes, and custom fields for free text invoices.
• General ledger year-end processing, which includes encumbrances and commitments on purchase orders.
• Electronic payments to vendors, signature pages for payment reports, and invoice payment holds.

Budgeting

In Finance and Operations, users can create budget plans either directly in the Finance and Operations client (by using a configurable budget plan document page) or through Excel. Excel provides several additional capabilities.

For example, you can use external data as a source for a budget plan, do custom calculations, and use Microsoft PivotTable and charts. Most of the variables in the budget planning process can be configured.