In order to set up the General Posting Setup, users need to set up the General Business Posting Group & General Product Posting Group before that.
Combination of General Business Posting Group and is used as a combination with General Product Posting Group used to determine the G/L account with the entries should be posted to for Sales, Purchase and Inventory Transaction.
Case Example below:
Case 1 - ) when you create a sales document , for selling item - the sales header uses the customer card information (Gen. Bus. Posting Group), and the sales lines use the item card information (Gen. Product Posting Group) if the Line Type is ITEM
- The Sales Account posting is determined by the combination of the general business posting group and the general product posting group.
- The cost of goods sold posting (income statement) is determined by the combination of general business posting group and general product posting group.
Note:
- The accounts receivable posting (balance sheet) is determined by the customer posting group in customer card.
- The inventory posting (balance sheet) is determined by the inventory posting group in Item Card
Case 2 - ) when you create a purchase document , the for expenses payment - the purchase header uses the vendor card information (Gen. Bus. Posting Group), and the purchase lines use the G/L Account Card information (Gen. Product Posting Group) if the Line Type is G/L Account
- The income statement posting according to the G/L account entered in the purchase line
- The accounts payable posting (balance sheet) is determined by the vendor posting group.
Step by Step guide for create the Gen. Business Posting Group
Go to General Business Posting Group
Enter the Code and Description
Click on Setup action to create the general posting setup for the combination of new General Business Posting Group and Existing General Product Posting Gorup
4. General Posting Setup page for the Gen. Business Posting Group prompted
Go to Sales Account, Sales Credit Memo Account, Purch. Account, Purchase Credit Memo Account, COGS Account, Inventory Adjustment Account and Direct Cost Applied Account to select appropriate G/L account
5. Go to related Customer Card / Vendor Card to fill up the appropriate Gen. Business Posting Group
Step by Step guide for create the Gen. Product Posting Group
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Go to General Product Posting Group
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Enter the Code and Description
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Click on Setup action to create the generate posting setup for the combination of new General Product Posting Group and existing General Business Posting Group
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Go To related Item Card to fill up the appropriate Gen. Prod. Posting Group
Follow below steps for the General Posting Setup:
1, Search "General Posting Setup"
2, Click "New" & enter the related information:
(1) Gen. Bus Posting Group
(2) Gen. Prod Posting Group
(3) The account to book the entries for the transactions
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