Accounting rules are statements that establish guidance on how to record transactions. Apptivo provides you with the ability to customize the accounting rules. Follow the above steps to create an Accounting rule in the Fixed Assets app.
Steps to Accounting rules:
- Log in and access the Fixed Assets app from the universal navigation menu bar.
- Click on the More(...) icon and select Settings.
- On the settings page, click on Accounting Rules → Fixed Assets.
- Enable the toggle button and click on the Create button.
- You can view the create page where you can define the following:
- Name: Name of the accounting rule.
- Memo: Financial description which should be displayed.
- Event: It specifies when the accounting rules should be executed while creating the expense report or while updating the expense report by checking on radio buttons Create and Update respectively.
- Priority Score: Rank the accounting rules defined by this priority number.
- Period: Select the particular period from the dropdown when the journal should be created on the ledger. For Instance: Event as "created", Priority score as "2", Period as "Creation Date".
- Define the Criteria which is the space where the condition can be defined by selecting attributes and their equivalent values.
- Under the Journal session, you can define the Journal Type and Journal Entries.
- Select the type from the Journal type dropdown under which fixed assets with satisfied criteria get created on the ledger. For Instance: Accrual
- Journal Entries allow to add single and multiple entries along with the consolidated and reversal options.
- By enabling "Consolidated entries before post", if the multiple entries have the same debit or credit type it will be consolidated in a single line.
- By enabling "Reverse all previous journal entries" (Note: The event check box should be in the "Updated" option), reverse journals will be created along with the original journal record.
- Underline level of journal session enter the required details like Level, Value, Attribute and then line-level sessions like Credit type, Debit type, Credit account, and Debit account.
- Click on the Create button.
- The created Accounting rule is added to the list as shown below.
