Maintaining Selected Items

Now that you have configured the data processing tasks, you can move on to manual adjusting entries. You need to confirm the configuration of selected items and create new subsitution and validation rules to help improve data integrity.

Selected items are default FS items used to keep the income statement and balance sheet in balance.

At ABC Corporation, you need to change the FS items assignments for balancing entries. In the Specify Selected FS Items for Automatic Posting activity in configuration, you can change the Item Role assignment for each type of automatic posting.

The items you specify are dependent on the consolidated chart of accounts and the consolidation version.

Selected Items Apply To:

1. Financial statement imbalances: When imbalances between the income statement and balance sheet occur, there’s an impact on net income. The following are examples of how these imbalances occur:
   • You post a manual group journal entry to an AST FS item type and an EXP FS item type.
   • You run the Calculate Net Income task after releasing data from accounting or importing file data.
2. Deferred taxes: When there’s an impact on net income, it's split into the tax and non-tax amounts.

There are four tabs in the Specify Selected FS Items for Automatic Posting screen:

1. Annual Net Income - Balance Sheet
2. Annual Net Income - Income Statement
3. Deferred Tax - Balance Sheet
4. Deferred Tax - Income Statement

In the ANI B/S tab, you specify the annual net income - balance sheet Item Role and sub-assignment for the balance sheet. The Item Role is assigned to the current-year retained earnings FS item 317000 for debits and credits.

In the ANI I/S tab, you specify the annual net income - income statement Item Role and sub-assignment for the income statement. The Item Role is assigned to the annual net income FS item 799000 for debits and credits.

In the Def Tax B/S tab, you specify the deferred tax - balance sheet Item Role and sub-assignment for the balance sheet. The Item Role is assigned to the asset deferred tax FS item 182100 for debits and the liability deferred tax FS item 282100 for credits.

In the Def Tax I/S tab, you specify the deferred tax - income statement Item Role and sub-assignment for the income statement. The Item Role is assigned to the deferred tax FS item 722000 for debits and credits.