General
Ledger Account: GL account master record contains
the data that always needed by GL to determine how account’s function. It
controls the posting of accounting transaction and processing of posting data.
The GL account master record creation is
divided into two parts:
1. Chart of
Accounts Specific area: Acct. No., Acct name, Acct Group, P&l or
B/S. short and long text
2. Company Code
Area:
a.
Control data: controls the
account in company code.
b.
Account Currency: Currency in
which account to be kept.
·
Local Currency is given then
this allows to inter any currency in to this specific account.
·
Foreign currency given then
only the posting into that account in that particular currency only allowed.
c.
Balances in Local Currencies:
Set this indicator for clearing accounts to clear line items in various
currencies with one local currency and without posting any exchange rate
differences that may occur.
d.
Tax Category
e.
Posting without Tax allowed
f.
Reconciliation account for
account type: if set this then when u post to the customer or vendors account
automatically this account will be updated.
g.
Open Item Management: OIM is
further reconciliation function. The items in an open item account are marked
as open or clear. Open item management manages GL accounts on open item basis
if u needs to check, for a particular business transaction, whether an
offsetting posting has already been made.
Posting to these accounts represent incomplete transactions.
E.g. GR/IR Account. (Not OIM are bank accts, Reconciliation Accts.)
h.
Line Item Display: If we manage
an account with line item display, u can display all items posted to the
account that have not yet been archived.
i.
Field Status Group
j.
Sort Key: Use this key to
specify the sorting procedure of line items to this account.
k.
Post Automatically: When this
indicator is selected, only the system can post to this account based on the
configuration in the account assignment table. If you select this indicator you
cannot post the transactions directly to this account. E.g. Inventory Accounts, Material variance
accounts. Like some account we have to maintain on the basis of Automatic
payment, interest accounts in f.50, and depreciation accounts, such type of
account the entries has to be passed automatically, not directly we need to
post. Such type of accounts in order to control not to post mistakenly by the
clerks, we check this box.
Note: GL accounts can be created at three
levels, they are
1.
Chart of Accounts Level
2.
Company Code Level
3.
Centrally, (Both areas in one step.)
Prerequisites prior to creating GL
accounts:
1.
Edit COA
2.
Assign COA to Company Code.
3.
Account Groups
4.
Retained earnings account
5.
Field status group
Creating GL Account Manually:
a.
We can create a master record
in the chart of accounts and in the company code in one step
b.
We can create the COA area
first, and then create the company code specific area in second step.
Tabs in GL Creation:
a.
Type/Description
b.
Control Data
c.
Create/Bank/Interest
d.
Key work/Translate (language
info.)
e.
Information COA
f.
Information Company code
Necessary fields to be filled while
creating GL:
a.
Account Group
b.
Specify whether P&L account
or B/S Account
c.
Short text and long text
d.
Field Status Group
e.
Sort Key
