Types of Recurring Journal

There are three types of Recurring Journals:
1.4.1 Skeleton recurring Journals
1.4.2 Standard Recurring Journals
1.4.3 Formula Recurring Journals

Skeleton Recurring Journal

Skeleton Journal is used when the Dr. /Cr account codes remain the same whereas the amount is not fixed. Therefore the user will only define the account code as follows:
The user will give the line number and account code. Then enter optional description and click Down Arrow and give the next line number e.g. 2 and then give the account code. The user will use the same procedure as mentioned above to define as may Dr. /Cr. Account codes as required.
Dr. /Cr. amounts will be entered after generating the journal.

Standard Recurring Journal

This type of recurring journal is used where the account code and amount both are identified. The user will define both account and amount in the recurring journal.
For defining Standard Recurring Journal, the user will enter the line number and account code as in the skeleton recurring journal. The user will then enter the amount for this account code in the “Formula” section of the form. The user will enter “1” in the step field and amount in the “Amount” field.
a. Dr. amount will be entered in Positive and
b. Cr. Amount will be entered as Negative.

The user will generate the batch when required and the system will generate the journals with account code and Dr. /Cr. Amount. The user will have the option of reviewing and changing any account code or amount before posting the journal.

Formula Journals

For entering formula journal the user will enter the following information in addition to the line number and account code.

1. Enter a Step number to specify the order to process the steps in the formula.
2. Each formula can contain an unlimited number of steps.
3. Enter a factor for the formula step enter a fixed Amount.
4. Specify an Account to use a balance in the formula calculation. You can use standard, end-of-day, or average balances in your formula lines.
5. Specify the type of calculation you want to perform by entering a mathematical Operator for the formula step.

To use an account balance in your formula:

1. Enter the Account you want to include in your formula step.
2. Choose a Balance Type of Actual or Budget. If you choose budget balances, you must specify the budget to use when you generate the recurring journal batch.
3. Choose an Amount Type. Choose PTD to use the period-to-date balance of your account. Choose YTD to use year-to-date balances for income statement accounts and life-to-date totals for balance sheet accounts.
4. Choose the relative Period balance you want to use in your formula (Current Period, Same Period a Year Ago, or Previous Period). The relative period, combined with the amount type, determines the type of account balance your formula uses. The following table shows the account balance types for each combination of amount type and period.

Following screen shows a simple calculation of Period-to-date balance of an account (A) multiplied with 2%.

For example, to enter this formula:
[(A + B) * C] ,
Enter the formula information as shown in the table below: