Assigning Entities during Transaction Generation
If Multiple Entities is enabled on the AR/Cash Set up module window, the product entity is used when generating the following accounting transactions:
- Income transactions generated by the order invoicing process
- Cost of Goods Sold and Inventory reduction transactions generated by the order invoicing process (if Generate Cost of Goods Sold is enabled on the Inventory System Setup window (from Orders, select Set up module, and click Inventory))
- Income adjusting transactions generated by processing credit and debit memo orders
- Inventory transfer and adjusting transactions generated by recording inventory transfers and quantity adjustments
The overall order's entity is used when generating the following accounting transactions:
- Accounts Receivable entries when non-prepaid (or partially prepaid) orders are invoiced
- Miscellaneous charge entries connected to the invoiced order, including freight, handling, and tax charges