Exercise - Configure and use accrual schemes

  • 26 minutes

You need to assist the accountant in USMF, on how to configure and use accrual schemes in Finance. They want to lease a vehicle from a vendor for 81,720 USD and record accruals within the terms of lease of 24 months. They want to understand the Monthly and Number of days options in the accrual schemes.

Before you begin

To get the most out of this exercise and the other exercises that are included with this module, we recommend that you have the standard sample data available in Dynamics 365 Finance that is installed using Lifecycle Services.

Create accrual schemes

  1. Go to General ledger > Journal setup > Accrual schemes.
  2. Select New.
  3. In the Accrual identification field, enter 24M.
  4. In the Description of accrual scheme field, enter 2 Year Lease.
  5. In the Debit field, specify the values 420100.
  6. In the Credit field, specify the values 420200.
  7. In the Voucher field, select New voucher for each transaction.
  8. In the Number sequence code field, enter or select a value.
  9. In the Period frequency field, select Monthly.
  10. In the Number of occurrences by period field, enter 24.
  11. In the Post transactions field, select Month.
  12. In the Post in week, month or quarter field, select Middle.
  13. Close the page.

Create general journal to use accrual schemes

  1. Go to General ledger > Journal entries > General journals.
  2. Select New journal.
  3. In the Name field, enter or select GenJrn.
  4. In the Description field, enter General Daily Journal - Accruals Demo.
  5. Select Lines.
  6. In the Account type field, select Vendor.
  7. In the Account field, specify a vendor account of your choice.
  8. Set Debit to 81720.
  9. In the Offset account field, any expense account (for example 606300-001-022).
  10. In the Offset transaction text field, enter Accruals Demo.
  11. Select Functions.
  12. Select Ledger accruals.
  13. In the Accrual identification field, enter or select 24M.
  14. Select Transactions.
  15. Review the values. The total amount is distributed evenly.
  16. Close the page.
  17. Click to follow the link in the Accrual identification field, or right-click and view details.
  18. In the Spread month and quarter values field, select Number of days.
  19. Close the page.
  20. Select Cancel.
  21. Select Yes.
  22. Select Functions.
  23. Select Ledger accruals.
  24. In the Accrual identification field, enter or select 24M, and then press the Tab key.
  25. Select Transactions. Note that amounts have been prorated for the specified number of days.
  26. Close the page.
  27. Select OK.
  28. Select Validate > Validate.
  29. Select Post.
  30. Close all pages.
  31. Go to General ledger > Inquiries and reports > Audit trail.
  32. Find the journal that you just posted, which should be the last record or you can use the filter option.
  33. Select Voucher transactions. Review and analyze posted transactions. Note that the original transactions have been reversed and accruals have been posted through 24 months.
  34. Close all pages.