Ledger Setup
Ledger Setup is the ledger of one company. It names the fiscal calendar the company's years come from, the chart of accounts it uses, its local and reporting currencies with their exchange categories, and, by account range, which dimensions a voucher line must carry. Nothing posts in a company until its ledger exists.
What it is for
Every amount in Businessflo is kept three times: in the document's currency, in the company's local currency, and in the reporting currency. This screen sets the last two, and the exchange categories whose rates convert to them.
The rule people get wrong: the Local Exchange Category is the one whose rates are read everywhere. A rate keyed under another category on Currency Conversion is never found.
Every field in plain words
Header
| Field | What it means | What to put |
|---|---|---|
| Legal Entity | The company | Required. One ledger per company. Cannot be deleted when Predefined |
| Legal Entity Calendar | The fiscal calendar | Required. The company's years and periods are those of the Financial Year records of this calendar |
| Account Chart | The chart of accounts | Required. Accounts released to the company come from this chart |
| Local Currency | The company's own currency | Required. Changing it clears the exchange categories |
| Local Exchange Category | The rate table used to convert to local currency | Required |
| Reporting Currency | The currency of group reporting | Required. Same as local currency when there is no group reporting |
| Reporting Exchange Category | The rate table for reporting currency | Required. Locked to the local one when both currencies are the same |
| Budget Exchange Category | Recorded only | |
| Balancing Financial Dimension | The dimension every voucher must balance by, such as business area or site | Optional. See below |
Account Structure tab
Each line gives a range of account numbers a set of dimensions.
| Field | What it means | What to put |
|---|---|---|
| Range from, Range To | The account numbers covered | Required |
| Account Structure | The set of dimensions those accounts carry | From Account Structure. Required, except on a line covering 1 to 9999999999 |
| Value Conditions | The values each dimension may take on these accounts | Opens a sub-grid with one column per dimension of the structure. Several values separated by commas are allowed |
| Line Text | Text | Optional |
On Save the system writes the allowed values to every account of the company in each range. General Entry then refuses a line whose dimension value is not allowed, and a line that leaves a mandatory dimension empty.
Exchange category per module tab
Module and Exchange Category per line. Recorded only.
Several units in one company
Fill Balancing Financial Dimension when one company keeps several units (business areas, sites, plants) and each must balance on its own. On Save the system creates the dimension "affiliate" and two account structures, BAL-FIN-DIM and INTERUNIT, if they do not exist, and adds two kinds of lines here: one over the whole account range with the balancing dimension, and one for each inter-unit account set on Automatic Transaction. Clearing the field removes those lines.
Scenarios
- A single company in one currency. Local and reporting currency the same; one exchange category for both.
- A subsidiary reporting to a parent abroad. Local currency the subsidiary's; reporting currency the parent's. Every voucher line carries both amounts.
- A distributor with three branches in one company. Balancing Financial Dimension = business area; inter-unit accounts on Automatic Transaction.
What it is connected to
- General Entry - currencies, dimension checks, inter-unit balancing.
- Release Account in Legal Entity - reads the Account Chart.
- Financial Year - by the calendar.
- Set up a new company - this record is one step of setting up a new company.
If something looks wrong
- "Lineid: ... - Account Structure cannot be empty" Pick an account structure for the range.
- "Ledger Setup - cannot delete this Ledger as it's predefined" The delivered ledger stays.
- "Chart of Account is not defined for this Legal Entity." on an account screen: the company has no ledger, or no Account Chart on it.
- "Financial Year not found." on a document: no Financial Year of this calendar covers the date.