The system currently allows general ledger settlements for the same main account across different financial dimension values without restriction.
Example:
A transaction posted to Main Account A with financial dimension value ‘a’ can be settled against another transaction posted to Main Account A with financial dimension value ‘b’.
During the financial year-end close, the system excludes settled transactions. This can result in discrepancies where the closing balance of a main account–financial dimension combination in the previous year does not match the opening balance in the new year.
Proposed Design Change
Implement a warning mechanism in the system to alert users when attempting to settle transactions across different financial dimension values for the same main account.
Additionally, before executing the year-end close (YEC), the system should provide a warning if cross-financial dimension ledger settlements exist for specific main accounts.
This enhancement will allow users to review and reverse such settlements prior to running YEC, ensuring accurate carry-forward balances.
Comments
In additional, I think some cross dimension value settlements won't be important for some financial dimensions, so to refine it further, it would be good in the year end config, to be able to define by financial dimensions, those which you do not want to allow cross dimension value settlement.
Category: General Ledger