GRNI Reconciliation Process

1. Run Create Accounting Program in AP from AP responsibility

2. Run Create Accounting Program in Cost Management from Cost Management SLA responsibility
3. Run Transfer journal Entries to GL from AP responsibility
4. Search for Unposted Journals in GL
5. Post the Journal Entries in GL
6. Run Accrual Reconciliation Load Run program from AP responsibility
7. Run Summary Accrual Reconciliation Report from AP responsibility
8. Run GL TB from GL responsibility
9. Compare the GRNI account Balances from Summary report to GL TB
10. Run the Account Analysis report from GL responsibility
11. In the account analysis report, Filter the source and look for sources like Revaluation, Manual,
etc. and compare the debit and credit balances. If the difference exists, inform the difference
amount to the respective business user.

Scenario 1: GRNI account used in PO Charge account

1. If difference exists in credit and debit entries, Filter the Event class to Accrual Write Off. Accrual
write off should have either a debit entry or a credit entry but not both. If it has both debit
balances and If the debit and credit entries are similar/same, then there is an issue with the PO
charge account used while creating the PO. This PO charge account could be the GRNI account.
2. Drilldown the accounting entries for that PO and identify the PO charge account.
3. If PO charge account is the GRNI account, Write off the Accrual entry from Invoice and Debit the
PO charge account in Accrual Write Off window.
4. Pass a manual Journal entry in GL. Credit the PO charge account and Debit the Actual PO charge
account.

Scenario 2: PO revised after PO receipt will have a debit balance in GRNI report

1. Identify the PO revision and check the PO change history.

2. Check for the Total amount in GRNI report for that PO.
3. If variance exists between the receipted amount and Invoiced amount, Perform Accrual Write-
Off.
4. GRNI Report: In the GRNI report, PO column shows all Credit balances which are receipted
amounts while receiving a PO. Accounts Payable shows all the Debit balances that are invoiced.
Total column shows the outstanding Accrual Debit balance in GRNI report.
5. So Write-Off: Debit the PO charge Account and Credit the Accrual Account.
6. So the Accrual balance will knock off and the amount hits the actual PO charge account.

Scenario 3: How GRNI account gets balances

1. When a PO is received, GRNI Accrual account gets credited

2. When a PO is matched to Invoice, Accrual account gets debited
3. Based on specific entry in Accrual write off- Accrual accounts gets hit by either a DR / CR entry.
4. Entries will flow from Cost Management (PO Receipt) and Payables (invoice) to GRNI account.
 5. In Cost Management, most of the entries are Credit entries and Accrual Write Off will generate a
Debit entry and Receiving Inspection will generate a Debit entry.
6. In Payables, Accrual entries will have debit entries. Cancelled Invoices will generate Credit
entries and Credit memos will generate Credit entries.

Scenario 4: Entries when you Write-Off a Positive Balance

1. Asset/Expense PO : GRNI CR
PO Charge Account DR
2. Inventory PO : GRNI CR
6 Series PO Charge Account DR

Reports:

Summary Accrual Reconciliation Report

A/P No PO : Manual Invoices: Invoices entered manually

AP-PO : Invoices matched with PO . This balance should tally with the XXHSC Accrual Reconciliation
report.