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Hello All
we need implement Prepaid Expenses in General Ledger Module .
Example Rent Yearly
how to process it ?
Thanks
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Hi Essam,
The AX functionality that support this is called "accrual schemes" and can be setup in GL (GL/Setup/Posting).
You can find some information on the setup here: technet.microsoft.com/.../aa570123.aspx
Please note that all future periods need to have the status "open", otherwise you cannot make use of this feature. Because of that is is probably the best opening all periods and making use of the so called "module access level" functionality in the ledger window to ensure that only certain accountants are able to post into future periods but nobody else.
Hope it helps,
Ludwig
All your posts have been great. Question. Client is using POs for all purchases, including rent. They prepay rent at beginning of the year. Curious best way to handle this and acrue each month. Ex. Rent is $1000 / mnth. They pay $12000 beginning of year and setup accrual against prepaid each month for 1000. I understand prepayment and understand accrual schemes but not how to combine both on a P.O. since can't do accrual scheme on prepayment invoice. Nor do I understand what happens when post final invoice when amount has already been totally expensed during accruals.
Hi Kellen Wise,
Don't you have to post the first invoice with a special 'prepayment' posting profile only?
That is:
Your prepayment posting would be
DR: Rental expense account
CR: Vendor (prepayment ledger account)
Amount: 12000
Then you make use of the accrual scheme, which reverses the expense and Posts it on a monthly basis. That is:
DR: Accrual
CR: Rental Expense account
And on a monthly basis you have
CR: Accrual
Amount: 1000
Best regards,
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