Purchase accrual

Microsoft has nearly completely revamped the Microsoft Dynamics AX 2012 design. Microsoft has not only 100’s of new features but has also improved the existing ones too. So after the upgrade some missing configurations are not rare to expect. Here I am going to talk about 3 configuration issues which I have faced nearly after all the upgrades:

1 – Sub-ledger journal entry number sequence has not been defined

The concept of sub-ledger doesn’t exist in the earlier versions of Microsoft Dynamics AX. It is a required setup in AX 2012 to define the number sequence for sub-ledger journal entry. It comes out to be blank after the AX 2012 upgrade and because of it you can’t post anything in the ledger.

Follow the below steps to setup the sub-ledger journal entry number sequence:

  1. Go to the General ledger.
  2. Go to the SetupàGeneral ledger parameters.
  3. Select the number sequence from the left-pane. Specify the Subledger journal entry number sequence. It is required to be the continuous type.

2 – Purchase accrual account is not defined

This error you will encounter only if:

  • You are using the purchase order processing in AX.
  • You are posting the PO packing slip to general ledger.

Starting from AX 2012, Microsoft has changed the posting accounts of the packing slip (product receipt). Microsoft has added a new type of posting called purchase accrual. This has to be setup properly to successfully post the packing slip (product receipt in AX 2012). The value in this account gets reversed when the packing slip (product receipt) is invoice update.

Follow the below steps to fix this error:

  1. Go to the Inventory and warehouse management.
  2. Then go to SetupàInventoryàItem groups. Select the item for which you want to setup the posting for.
  3. Expand the Purchase order fast tab.
  4. Specify the main account for posting type Purchase accrual. The typical account type used here is of type balance sheet/liability.

Purchase accrual


3 – Financial dimension sets balances are not initialized

For the accurate financial reporting it is required that all the ledgers have the updated balances. After the AX 2012 upgrade you are required to initialize the account balances otherwise you may find the garbage values in the balances.

Follow the below mentioned steps to initialize the balances:

  1. Go to the General ledger.
  2. Then go to the SetupàFinancial dimensionsàFinancial dimension sets.
  3. Select the dimension set you want to initialize the balance. Click on the Rebuild balances button from the action pane.

Stay tuned for the more exciting blog posts in the future.

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