ManualDoc:T199

A general ledger configuration created by default can be changed to meet the organization's needs by changing below features:

1. The Currency to use while posting transactions or journal entries to the ledger.

• The currency shown at first is taken from the currency entered in either the Initial Client Setup process or in the Initial Organization Setup process. This currency can be changed if needed before doing any posting.
  • An organization can have two general ledger assigned, one inherited from its parent in a given currency (i.e. USD) and its own one which can be defined in a different currency (i.e. EUR).
    That is for instance the configuration of the F&B España organization of the F&B sample client. This means that every time that an F&B España transaction is posted to the ledger Openbravo will show two "Journal Entries Report" windows one for each general ledger, as shown in the images below:
    
    

2. The Allow Negative check-box defines if negative posting is allowed or not while posting transactions to the general ledger.

Not to allow negative posting implies that a negative debit posting would turn into a credit posting and a negative credit posting would turn into a debit posting.

For instance, a purchase invoice generates below posting:

If that purchase invoice needs to be totally or partially voided or reversed, the posting will look like:

• in case of "Allow Negative" check-box enabled

• in case of "Allow Negative" check-box disabled

3. The general ledger can be set as "Centrally Maintained" or not in relation to the way that the Account Tree elements are going to be shown in the Balance Sheet and in the Income Statement

• If a general ledger is set as "Centrally Maintained":
  • the field "Account Sign" is hidden in the Element Value tab of the Account Tree window
  • therefore it is possible to define at general ledger level whether the balances of any account type are going to be shown as "Positive" or "Negative" in the financial statements.
    If the check-box "Central Maintenance" is selected :
    • the Debit balances of the "Asset" account type will be shown as "Positive" in the Balance Sheet.
      As a consequence of that if an "Asset" account type has a credit balance that will then be shown as "Negative" in the Balance Sheet.
    • the Credit balances of the "Liabilities" account type will be shown as "Positive" in the Balance Sheet. Same applies to "Owner's Equity" account types.
    • the Debit balances of the "Expense" account type will be shown as "Positive" in the the Income Statement
    • and finally the Credit balances of the "Revenue" account type will be shown as "Positive" in the Income Statement.

It is possible to uncheck any of the checkbox listed above. For instance an organization might want to show the Debit balances of the "Expense" account type as "Negative" in the Income Statement.

• If the general ledger is NOT set as "Centrally Maintained":
  • the field "Account Sign" is not hidden in the Element Value tab of the Account Tree window
  • therefore the account sign of each account tree element defines how the balance of that account is going to be shown in the financial statements.

Finally, it is important to remark that the "Central Maintenance" check-box is not selected by default for the general ledgers created by default as the corresponding accounting csv files or reference data imported have its own configuration through the "Account Sign".