Splitting of electrical bill at one site to the departments at that site.
Site Name: Irwindale
- Finance (40%)
- Sales & Marketing (30%)
- Human Resources (30%)
Scenario 2: (Same process as Scenario 1) – Exercise for tester
Splitting of rent bill at one site to the departments at that site.
Site Name: ElkGrove
- Finance (25%)
- Sales & Marketing (35%)
- Human Resources (40%)
Solution for Scenario #1:
Menu Path: General Ledger > Journals > General Journal
Navigate to the Journals Area and click on the General Journal in order to create a new General Ledger Journal.
Click on the “New” button from the menu bar, a new line will appear. Click the drop down arrow in the name field and select “GenJrn – General Journal”.
Enter a description that details the reason to why we are creating the General Journal (Optional) – then click on the “Lines” button from the menu bar.
On the General Journal Lines, select the Electricity Expense Account and Site = IRW (Irwindale), enter a debit amount of $1000 USD, and pick Bank as the offset or pick the Ledger account for bank.
Click on the “Functions” Button from the menu bar, and click on the “Breakdown of voucher.”
On the breakdown of voucher window, click in the ledger account and tab to the department financial dimension and select the first department from the list (note if you know the number for the department you can just type it in).
In the debit field, enter the total amount and multiply the total amount by the percentage amount. – For finance in scenario #1 we are allocating 40% of the bill to the finance department. (You can use the amount field i.e. Debit, Credit to enter formula). Once done tab to get the updated amount.
Now click on the “Add” button in the overview area to add a new line in order to make your journal balance. In the remainder accounts field will indicate the amount needed to balance the journal to the total.
Enter the Main account, Site, and Department then repeat the same step used previously to calculate by percentage for the next two departments “Sales & Marketing” and “Human Resources”. Once completed, the “remainder accounts” = 0 and now the “update” button becomes available and not greyed out.
Click on the Update Button. Now the values are allocated by percentage to the three different departments at the same site “Irwindale” – Note all the lines have the same voucher number. Once the entry is completed and satisfied, click on the “Post” button from the menu bar to post the journal to the Ledger.
An infolog will appear confirming the successful posting of the journal.
To review the GL entries, click on the “inquiries” button from the menu bar and select “voucher.”
This is how these entries are going to post to the GL.