Hi Anouk
I expect the solution is to change the currency conversion code of the opening balance retained earnings account.
You probably currently have an I-code there, against the Closing balance last year. If you change the I to a C, the opening balance will remain.
Regards
Kerstin
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Kerstin Kernwein
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Original Message:
Sent: Thu May 12, 2022 03:39 AM
From: Anouk Meerschaert
Subject: Loss of CTA when a journal type does not contain journals anymore
Issue: Loss of CTA when a journal type does not contain journals anymore
Situation:
A specific journal type for manual journal entries only contains 1 journal entry.
We have an example where the CTA is lost upon the following occurrences flows and main accounts:
ENTRY in LC | ENTRY translated in LE |
Y-2: Dt Asset 100 Ct P&L 100 |
Y-2:
Dt Asset 93 Ct P&L 90 Ct CTA 3 |
Y-1: Asset in Y-2 released through P&L in Y-1: Dt P&L 100 Ct BB Result of the period 100 Dt 150 Result of the period transfer result Y-2 100 Ct 150 Retained earnings transfer result Y-2 100 Ct Retained earnings (Result Y-2) 100 |
Y-1:
Dt P&L 95 Ct BB Result of the period 90 Dt 150 Result of the period transfer result Y-2 90 Ct 150 Retained earnings transfer result Y-2 90 Ct Retained earnings (Result Y-2) 90 Ct CTA 5 |
Y: Dt BB Result of the period 100 Ct 150 Result of the period transfer result Y-1 100 Dt 150 RE transfer Result Y-1 100 Ct BB Retained earnings 100 - Entry is in fact zero in the main accounts
|
Y:
Dt BB Result of the period 95 Ct 150 Result of the period transfer result Y-1 95 Dt 150 RE transfer Result Y-1 95 Ct BB Retained earnings 90 Ct CTA 5 |
Y+1: The system automatically makes the journal empty, since no main accounts remained in Y. | Y+1: As the entry is empty in local currency, the entry in LE is also empty. As such the CTA of 5 from Y is lost. |
HOWEVER! The CTA of 5 that was included in the translated entry in LE in Year-1 is lost resulting in an error in the equity reconciliation/roll from Year-1 to Year.
Question:
Is there a solutions to fix this issue of losing CTA upon an empty journal type?
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Anouk Meerschaert
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#CognosController