Maintaining Selected Items

Objectives

After completing this lesson, you will be able to:

  • Configure selected items

Configure Selected Items

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

Business Scenario:

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.

Note
Specify Selected FS Items for Automatic Posting is also referred to as Selected Items.

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

Annual Net Income - Balance Sheet Tab:

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.

Annual Net Income - Income Statement Tab:

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.

Deferred Tax - Balance Sheet Tab

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.

Deferred Tax - Income Statement Tab:

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.

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