Setup General Ledger for Inter-Entity Transactions

Segments, Accounts and Optional Fields

The Inter-Entity Transactions module ensures that each entity stays in balance by generating the due to and due from transactions automatically.

You need to setup the following before you start using Inter-Entity Transactions.

Note:

When implementing Inter-Entity Multi ( Inter-Entity Transactions version that facilitates doing business and transferring funds between entities across Sage 300 Companies.), you must do this G/L setup in the source company ( The database where the originating GL transaction from which Inter Entity creates transactions. This is where the Inter Entity module is activated) , as well as in all the relevant target databases ( The database(s) which receive the transactions generated by Inter Entity.).

For further information on how to setup segments, accounts and source codes, refer to the General Ledger User Guide.

Setup G/L Segments

You will need to setup the segment or segments for the entities that you want Inter-Entity to use. These segments identify which entity each account belongs to. At least one segment (not the account segment) must be used to define which entity each account belongs to.

You may use Account structures which exclude the entity segment or segments for non entity related transactions. If this is the case, Inter-Entity will ignore these batch entry lines as long as they balance amongst each other. If they do not balance, Inter-Entity will report an error as it will have no way to balance the entity related transactions as they will not balance as a whole either.

For multi-database implementations, these segments need to be setup in the Source Company, as well as in all the relevant Target Companies.

For example:

Assume that the account is made up of 2 segments Account and Entity and that two structures exist, one containing Account and the other containing Account and Entity.

The following journal entry is valid as the non entity related lines (A) and the entity related lines (B) balance. In this example, Inter-Entity accounts 1001, 1002, 1003 have been setup as due to and due from accounts.

 
  G/L Account Code Dr Cr

A

1010

10

 

 

1020

 

10

B

1000-1

5

 

 

1000-2

7

 

 

1000-3

 

12

Generated by IY

1003-1

 

5

 

1002-1

 

7

 

1001-3

5

 

 

1002-3

7

 

You also need to setup the appropriate Due to and Due From accounts for each entity in the General Ledger. The Due to and Due from accounts can be the same account.

Setup G/L Source Codes

In the General Ledger, you need to setup a new source code for Inter-Entity for each subsidiary ledger you have.

We recommend you use transaction type IY. Hence you will need to set up the following source codes (depending on the modules you own): GL-IY, AP-IY, AR-IY, PO-IY, BK-IY, IC-IY, OE-IY, etc. Refer to the General Ledger User Guide for information on how to create a new source code.  

 

For multi-database implementations, these source codes need to be setup in the Source Company as well as in all the relevant Target Companies.

In the General Ledger, you need to setup new source codes to identify transactions created by Inter-Entity.

We recommend you use different source types for the different types of transactions created by Inter-Entity

  • IY for the automation of loan account entries. Hence you will need to set up the following source codes (depending on the modules you own): GL-IY, AP-IY, AR-IY, PO-IY, BK-IY, IC-IY, OE-IY, etc.
  • IR for the automation of the reversal entries. Hence you will need to set up the following source codes (depending on the modules you own): GL-IR, AP-IR, AR-IR, PO-IR, BK-IR, IC-IR, OE-IR, etc.
  • IE for the journals being sent to the ledger entries. Hence you will need to set up the following source codes (depending on the modules you own): GL-IE, AP-IE, AR-IE, PO-IE, BK-IE, IC-IE, OE-IE, etc.
Note: You cannot use source codes reserved by Sage 300. For example, the pre-defined source type "I/C" is reserved for the Sage 300 Inter-Company module. If you use this source code in company which is not your "Inter-Company Database", G/L will automatically delete any G/L Journal Entry Detail with the source type "I/C" prior to posting the batch.
RT is reserved for auto-allocation in the GL and should not be used in Inter-Entity setup.

G/L Options and Optional Fields

Edit Imported Entries option: If you want Inter-Entity to work with batches imported from other applications, you need to set this option to All Fields, as Inter-Entity will be adding entries to these batches.

Where applicable, you will need to setup the Optional Fields that you want Inter-Entity to use. This is generally used when using Inter-Entity across databases and the target G/L Accounts do not exist in the source database. With Optional Fields, you can setup the accounts to use for the balancing entries at the point of entering the transactions.

Refer to the System Manager and General Ledger User Guides for information on how to create a new optional fields.

Refer to Inter-Entity G/L Triggers Accounts Setup.