Accounting Dates

One of the four accounting dates used by the Accounts Receivable module is used as the accounting date of general ledger transactions.

An accounting date is entered on each invoice, debit/credit memo, and cash sale header record.  This date is used to determine the accounting date when entries are generated to the accounts receivable control account (or cash account for cash sales) for each transaction.  Journal entries generated from detail accounting distribution records for invoices, debit/credit memos, and cash sales also use the accounting date from the transaction header record.  If the accounting date is not entered on the transaction header, the document date specified on the header is used.

The accounting date entered on the payment header is used to determine the accounting date when entries are generated to the cash, allowance for doubtful accounts, discounts, and the debit/credit memo clearing accounts for checks, write-offs and clearing transactions.  Journal entries generated from the payment applications for these transactions also use the accounting date from the payment header. The accounting date entered on the header will be validated against a range of accounting dates listed in Reference File category 336.  If the automatic update flag is set to 'Y' in this category, then the earliest valid accounting date on this category will be automatically updated during the AR Final Post.  The earliest valid date will still be maintainable on the reference file; however, it cannot be less than the current value.  If the accounting date is not entered on the payment header, the payment date specified on the payment header is used.

For on-account payment application, a new accounting date must be entered on the payment header screen.  This date will allow traceability of the various applications of an on-account payment and will be validated against the accounting dates listed on Reference File category 336.  The new accounting date cannot be less than the original accounting date entered on the payment header.  Payment application records and accounting transactions generated by the application of an on-account payment will contain the new accounting date.

Finance charge transactions are generated for customers with past due balances that are subject to finance charges.  These transactions are generated when the customer statements are printed.  The aging date used to determine customer overdue balances is used as the accounting date for the generated accounts receivable and finance charge income accounting transactions.

Intercompany transactions are generated for payments received by one company/location and applied to invoices recorded by a different company/location.  The accounting date on the payment application transaction causing the intercompany generation is used as the accounting date on the generated intercompany transactions.