The every day activities of a business are "stored" in the system as transactions. It is these transactions that are summarized to provide the management with a view of the business, what is happening and what is forecast for the foreseeable future.
Every entry in the system is a transaction and these transactions are recorded by a process known as "posting".
A "posted" transaction is one that has been recorded in the system and will reflect the impacts.
Before a transaction is posted in the system, a New Fiscal year must be created. The Fiscal year must then be divided into periods. No transactions can be posted unless a period is created for the date of posting.
AX posts transactions according to dates as opposed to periods. Each transaction has a posting date attached to it. The dates are the basis for summarizing the transactions in a period/ year.
Periods are equal length intervals in a fiscal year. Usually, a fiscal year is divided into 12 periods, one for each month. These are called accounting periods.
In AX, however, 2 additional periods are created for every fiscal year. These are Opening and Closing Periods. These are used to record the closing and opening balances for the year.
The accounting periods are used to record the daily transactions in the system. No entries can be made in the opening and closing periods.
This is a short summary of a very important process. More details in the posts that follow :)
.
Every entry in the system is a transaction and these transactions are recorded by a process known as "posting".
A "posted" transaction is one that has been recorded in the system and will reflect the impacts.
Before a transaction is posted in the system, a New Fiscal year must be created. The Fiscal year must then be divided into periods. No transactions can be posted unless a period is created for the date of posting.
AX posts transactions according to dates as opposed to periods. Each transaction has a posting date attached to it. The dates are the basis for summarizing the transactions in a period/ year.
Periods are equal length intervals in a fiscal year. Usually, a fiscal year is divided into 12 periods, one for each month. These are called accounting periods.
In AX, however, 2 additional periods are created for every fiscal year. These are Opening and Closing Periods. These are used to record the closing and opening balances for the year.
The accounting periods are used to record the daily transactions in the system. No entries can be made in the opening and closing periods.
This is a short summary of a very important process. More details in the posts that follow :)
.
No comments:
Post a Comment