2.7.2 Account Entries Button
This topic provides systematic instructions to account entries button.
The brokerage that is calculated on a contract is parked in a suspense account before it is paid to the broker. This account would be an internal account of the bank. It is specified at the time of defining the accounting roles and event-wise accounting entries for the product (which involves the contract on which brokerage is to be calculated). Accounting entries for brokerage liquidation are defined at the time of product definition, both, for booking, or, initiation and liquidation.
The brokerage payable account (the broker’s account into which the actual brokerage for a particular deal is to be paid) is defined in the brokerage liquidation screen in the Settlements module.
Although a broker may have to be paid brokerage on several deals, the manual liquidation function of the system consolidates these into a single settlement amount to be passed to the settlement account. The brokerage payment advice specified at the time of defining advices for a product will be triggered.
- Click ‘Accounting Entries’ button on the ‘Events’ screen loaded from the 'Bills and Collection Contract Detailed' main screen.You will see the Accounting Entries screen for the particular Liquidation reference number. The event is ‘Liquidation’ and the transaction date is today’s date.The Trade Finance Accounting Entries screen is displayed:The following fields are displayed in the ‘Accounting Entries’ screen:
- Value date
- Branch
- Account no
- Ccy
- Dr/Cr
- Transaction code
- FCY amount
- Exchange rate for FCY
- LCY amount
Parent topic: Brokerage Liquidation