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Shared Services / PeopleSoft 9.0Implementation

Performing GL Closing Activities in PeopleSoft9.0

Participant Guide

Performing GL Closing Activit ies in PeopleSoft 9.0

Participant Guide


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Participant Guide

Table of Contents

COURSE OVERVIEW 2

Audience 2

Required Prerequis ites 2

Course Lessons 2

Current Process Description 2

Whats Changing? 2

Benefits 2

LESSON 1: INTRODUCTION TO CLOSING 3

Lesson Objectives 3

Closing Overview 3

Lesson Checkpoint Questions 3

Lesson Summary 4

LESSON 2: PERFORMING MONTHLY, QUARTERLY AND YEAR END CLOSE 4

Lesson Objectives 4

Monthly and Quarterly Closing Processes 4

Year End Close 7


Lesson Summary 17

LESSON 3: PERFORMING TREASURY RECONCILIATIONS AND VARIANCE ANALYSIS(BSC ONLY) 18

Lesson Objectives 18

Performing Treasury Reconciliations Overview 18

Performing Treasury Reconciliations Process 18



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Participant Guide

Lesson Summary 30

LESSON 4: PROCESSING FINANCIAL STATEMENT CONSOLIDATION 31


Processing Financial Statement Consolidation Overview 31

Processing Financial Statement Consolidation Process Steps 33


Lesson Summary 37

LESSON 5: RUNNING GENERAL LEDGER REPORTS 37


General Ledger Reports Overview 37

Running nVision Reports 38


Lesson Summary 43

COURSE EVALUATION 44

PERFORMANCE SUPPORT DOCUMENTATION 44

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Participant Guide

Course Overview

Audience

This course is intended for all agencies and BSC General Accounting.

Required Prerequisites

Performing PeopleSoft 9.0 General Accounting Processes

Course Lessons

Introduction to Closing: (30 minutes)Performing Monthly, Quarterly and Year End Close: (5 hours)Performing Treasury Reconciliations and Variance Analysis: (4 hours)Processing Financial Statement Consolidation: (4 hours)Running General Ledger Reports: (2.5 hours)

Current Process Descr iption

Currently, the MTA agencies use different processes for running their monthly, quarterlyand year end closing activities. Each agency is responsible for conducting its individualclosing responsibilities. Specific processes for carrying out these responsibilities varyacross the MTA agencies.

Whats Changing?

All MTA agencies will use PeopleSoft General Ledger functionality to run the monthly,quarterly and year-end closing activities. PeopleSoft nVision and SQR reports will beused to summarize accounting activity across the MTA agencies. PeopleSoft Book to

Bank will be used to automate the reconciliation of bank statements to theircorresponding accounts in PeopleSoft General Ledger. The PeopleSoft FinancialConsolidation process will be used to aggregate data, eliminate recording information invarious Business Units and automate the posting of elimination information across theMTA.

Benefits

Key benefits include:Creates standardization across all MTA agency business transactions.

Allows all MTA agency monthly, quarterly and year-end closing processes tooccur within the same General Ledger.Reduces time spent on data entry, accounting balance reconciliation, and reportgeneration through a single interfacing accounting system.Develops the overall Inter-company accounting process.

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Participant Guide

Lesson 1: Introduction to Closing

Lesson Objectives

After completing this lesson, you will be able to:Describe an overview of the monthly, quarterly and year end closing process.

Closing Overview

Closing activities allow companies to close specific periods of time (monthly or quarterlyclose) as well as close profit and loss accounts to retained earnings on a yearly basis(year end close). This allows financial activity for the accounting period to be summarizedin order to allow the processing of the next accounting periods activity. Year end closingdiffers from monthly or quarterly closing in that year end activities close the profit and loss(P/L) accounts to retained earnings. The table below describes some key features ofyear end closing:

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ateachagency have all transactions entered and finalized in the General Ledger prior tobeginning closing activities. This includes all batch jobs and monthly entries that occurfrom the agency to the General Ledger. In addition, all necessary corrections should becompleted by the BSC and MTA agencies in the PeopleSoft sub-modules prior to closingactivities.

Key financial reports are produced and reviewed to monitor the businesss financial statuswith respect to financing and investing activities and its operating activities.

Lesson Checkpoint Questions

Identify what word fills in the blank:

Year end activities close the __________ and _________ accounts to retained1.earnings.__________ close carries forward closing balances.2.

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Year End Close

Closes the year specified on the Account ChartField, the Alternate AccountChartField, or both.

Unless the Set Default Retained Earnings option is set to Off, all P/L accounts areclosed.

Carries forward closing balances to beginning balances for balance sheetaccounts. If closing is not performed for all book codes and balance sheets,

closing balances carried forward to beginning balances are only balanced for theset of accounts defined by the closed book codes or the closed balance sheets.

Directly updates the ledger. Optionally, creates journal entries for any transactionthat affects ledger balances.

Automatically closes all adjustment periods for the year.

Includes Account or Alternate Account in P/L ChartFields.


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Lesson SummaryClosing activities allow companies to close specific periods of time (monthly orquarterly close) as well as close profit and loss accounts to retained earnings on a

yearly basis (year end close). This allows financial activity for the accounting period to besummarized in order to allow the processing of the next accounting periods activity. It iscritical that each agency have all transactions entered and finalized in the GeneralLedger prior to beginning closing activities. In addition, all necessary corrections shouldbe completed by the MTA agencies in the PeopleSoft sub-modules prior to closingactivities.

Lesson 2: Performing Mon th ly, Quarterly and Year EndClose

Lesson Objectives

After completing this lesson, you will be able to:

Conduct Monthly and Quarterly Closing ProcessesUnderstand the monthly and quarterly closing processes

Describe Year End Closing Processes

Discuss the year end closing process

Monthly and Quarterly Closing Processes

Fiscal Calendar

PeopleSoft provides the functionality to maintain a variety calendars for the MTA. Themost commonly used calendar to set up the fiscal calendar year is the Detail Calendar.

This calendar defines the beginning and end dates and number of accounting periods ina fiscal calendar year.

Walk Thru 1 View Detail Calendar and Open Peri od Mass Update

Navigation: Set Up Financials/Supply Chain > Common Definitions >Calendars/Schedules > Detail Calendar

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Participant Guide

Perform one of the following actions:1.

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If You Need To Complete the Following

Find an ExistingValue

Remain on the Find an Existing Value tab.Enter values in the Set ID, Calendar ID, and FiscalYearfields.

Click to display potential matches.Select the appropriate item from the list.

Add a New Value Click on theAdd a New Value tab.Enter the new value in the Set ID and Calendar IDfields.

Click .


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Participant Guide

The Calendar Periods tab displays the beginning and end dates and number of2.accounting periods in a fiscal calendar year. The MTA has 12 periods per fiscalyear, one period corresponding to each month.

Monthly and Quarterly Close (BSC Only)

The Open Periods Mass Update functionality is used to make mass changes to openperiods for Business Units. This functionality is used for monthly and quarterly closingactivities by the MTA.

Navigation: Set Up Financials/Supply Chain > Business United Related > GeneralLedger > Open Periods > Open Period Mass Update

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Participant Guide

Users can select a particular product, subsystem or set of subsystems (i.e.-1.

Accounts Payable, Asset Management, etc.) to close as well as the specificperiod (month or quarter) in a designated calendar year.

Once specific periods and subsystems have been selected for closing, click2.

and subsequently .

Year End Close

Before year end close begins, the process uncloses the periods in the fiscal year that isbeing processed. It then closes the P/L accounts to retained earnings and generatesthe balance forward amounts. It directly updates the ledger and creates offsets to theretained earnings amounts.

Closing a year and opening a new one can be an iterative process. This is due to thepotential for unknown final adjustments for weeks after year close. General Ledgerenables users to carry on normal accounting and reporting activities during year end,while maintaining control over the closing process. The following procedures typicallyoccur during year end close:

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Participant Guide

Stop processing accounting transactions for the current fiscal year.1.

Produce preliminary year end reports.2.

Begin to process the upcoming fiscal year.3.

Record adjustments to the current fiscal year.4.When posting adjusting entries to the current fiscal year, enter them asa.adjusting journals. Alternatively, reopen the appropriate accountingperiod, enter and post the entries, and close the period again.

Close the current fiscal year.5.

Produce reports for the upcoming fiscal year.6.

Make additional adjustments to the current fiscal year.7.

Reclose the current fiscal year.8.

Year End Closing Process Steps

The year end closing process consists of several steps:Define ChartField value sets1.

Define the set of values for the ChartFields that the system uses as thea.source for the year end closing.

Define Year End Closing Rules2.

Year end closing creates carry forward balances. Define the rules for thea.year end close using the closing rules component. Specifically, the MTAmust identify:

The P/L accounts to close to the various retained earningsi.accounts (defined by the agency).Whether to store P/L reversal entries.ii.

Whether to have beginning balances reflect separateiii.debits or credits, or whether to reflect the net of the debits andcredits.

Whether to close the general ledger periods.iv.Whether to create journal entries for the year end entries.v.

The ChartField value sets to use for the roll-forwardvi.amounts.

Run the Closing Request3.When requesting the year end close to be processed, identify:a.

The ledger to close.i.The closing rule to use.ii.

The date to use as the closing date.iii.The Business Units to close.iv.

Key financial reports showing year to date and budget versus actuals are producedthrough monthly, quarterly, and year end close activities and reviewed to monitor thebusinesss financial status with respect to financing and investing activities and its

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Participant Guide

operating activities (i.e. is revenue sufficient to cover cost of producing/servicing andcover expenses?). All adjustments are made as necessary.

PeopleSoft defines special periods in addition to the periods defined in the calendar for aledger that are important to year-end close. These include:

Period 0: This period contains balance forward amounts (i.e. the balance at thebeginning of each year). The closing process is the only PeopleSoft General Ledgerprocess that updates this period.Period 998: This period contains adjusting entries that have been entered. Anadjusting entry is indicated on the journal entry panel via a checkbox.Period 999: This period contains the results of the year end close. The year endclosing entry to book the current year end net income to retained earnings is postedto this period. The closing process is the only PeopleSoft General Ledger processthat updates this period.

Walk Thru 2 - Run Year End Close Process Steps (BSC Only )

The following steps should be used to run year end process steps in PeopleSoft 9.0.

Log onto PeopleSoft 9.0 with your user name and password.1.

Navigation: General Ledger > Close Ledgers > Request Ledger Close


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Remain on the Find an Existing Value tab.Enter a value in the Run Control ID field.


Add a New Value Click on theAdd a New Value tab.Enter the new value in the Run Control ID field.

Click .


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Participant Guide

In the Process Frequency box, select Once.3.

To close revenue and expense accounts to retained earnings and roll forward4.beginning balances to the upcoming fiscal year, use the Close Request page to

initiate the background request. General Ledger performs closing according tothe options selected in the closing rules. Complete the following fields on theLedger Close Request page:

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Participant Guide

Click to go to the Process Scheduler Request page.5.

Enter the required parameters and click .6.

Note the process instance number and click Process Monitor to go to the Process7.Monitorpage.

Click until the Run Status field for the process reads Success.8.

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Rules (BSC Only)Closing rules define how General Ledger calculates retained earnings and carries forwardbalances to the new year. The rules are defined by the Closing Set ID. Using theClosing Rules panel group, the General Ledger System Administrator creates a closingrule. The P eopleSoft functionality provides flexibility in the determination of how retainedearnings are calculated. Depending on the needs, users can:

Close all P/L accounts to a single retained earnings account in total for a BusinessUnit.Close all P/L accounts to a single retained earnings account, but break down thisamount by the ChartFields selected to track profit and loss.Close selected P/L accounts and ChartFields to multiple retained earnings accounts.Close by selected book code using accounts with a particular book code, or close tooverride accounts and retain the book code.

The following pages are used to define closing rules:

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Field Name Description

Close RequestType

Specify the type of close that the system runs. Options areClose and Undo. For year-end close, it is not necessary toundo a close before rerunning the close because existingamounts are deleted first. In case of an error, to reverse theretained earnings and balance-forward calculations, selectUndo.

Fiscal Year Enter the year to be closed or the year of the closing to beundone.

Business Unit ForPrompting

Select a Business Unit to determine which ledger groups andclosing rules can be selected.

Check only, Do notprocess

Select to have the close process perform validation checkingbut not calculate retained earnings or balance-forwardamounts.

Closing Rule Select the closing rule to use for this request.

Ledger Group Select the ledger group for the ledger being closed.

Ledger Enter a specific ledger to process or leave this field blank toprocess all ledgers in the ledger group.

Closing DateOption area

Select either BU Process Date orAs of Date and enter the datein the Specify field. The BU Process Date uses the processdate of the Business Unit as the As of Date for the closingprocesses. TheAs of Date is a specific date for the closing

process.Selections area Select eitherSelected Detail Values or Detail Selected

Parents. The Selected Detail Values option is used to enterone or more Business Unit values in the Business Unit to Closefield. The Detail Selected Parents option is used to specify atree containing the Business Units to close. If the latter isselected, the fields TreeSet ID, Tree, and Level become un-grayed for data entry.

Business Unit toClose area

If the Selected Detail Values option is enabled, select aBusiness Unit in the Select Value field. To close or undo aclose for more than one Business Unit, click theAdd button andselect another Business Unit.


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Participant Guide

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Navigation: General Ledger > Close Ledgers > Closing Rules


Closing Options tab appears.2.

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Page Navigation Use

Closing Rules General Ledger > Close Ledgers >Closing Rules > Closing Options (tab)

Identify the type of closing(year end), closing scope,and other closing options.

Net Income/Retained

Earnings

General Ledger > Close Ledgers >Closing Rules > Net Income/Retained

Earnings (tab)

Identify the P/L ChartFieldvalue sets and the retained

earnings ChartFields for theclosing.

J ournalOptions

General Ledger > Close Ledgers >Closing Rules > J ournal Options (tab)

Define journal options forthe system-generated

journals created during theclose. Also specify whetherto create journal entries foryear end close.

Roll ForwardOptions

General Ledger > Close Ledgers >Closing Rules > Roll Forward Options

(tab)

Identify whether to rollforward accounts with zerobalances. Also indicatewhether to roll forwardnone, some or all of theprofit and loss accounts.



Remain on the Find an Existing Value tab.Enter a value in the SetID, Clos ing Rule, and ClosingType fields.


Add a New Value Click on theAdd a New Value tab.

Enter new value in the SetID, Clos ing Rule, and Closing Type fields.

Click .


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Participant Guide

Complete the following fields:3.

Click on .4.

Select the appropriate year end close options for the specific transaction from the5.following list:

Click on the Net Income/Retained Earni ngs tab.6.


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Field PurposeDescription Enter a brief description of the closing rule to appear on

pages and reports.

Ledger Template Select the ledger template associated with the ledger to beclosed. PeopleSoft uses the template to identify whichChartFields to list in the selections fields for the closingrule.

Status SelectActive or Inactive.

Field Purpose

Close by The majority of year end closes are based on the AccountChartField.

Set Default RetainedEarnings

Select to use the default retained earnings defined on theClosing Options page. If not selected, the NetIncome/Retained Earnings page must be used to define allclosing accounts.

Create J rnl by REGroup

Select to have year end close create separate journals foreach P/L ChartField value set group and retained earningspair.

Close the G/L OpenPeriods

Select to close all open General Ledger periods for theBusiness Unit and ledger group combination and yearbeing closed.

Close AdjustmentPeriods

Select to close all open adjustment periods for theBusiness Unit and ledger group combination and yearbeing closed.

Store P/L ReversalEntries

Select to store P/L offsets in period 999. If this option isnot selected, offsets are not stored in period 999. If period999 is selected for reports, the ledger will not be balanced.

Initialize DR/CR withNet Bal

Select to begin the year with net balances of debits andcredits, instead of carrying forward separate balances.

This option is only available if separate debits and creditsare enabled.

Close DR/CR with NetBalance

Select this option to net the separated debit and creditamounts during a year end close for the P/L accountsbefore posting a single net amount to period 999.


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Participant Guide

Click on the Journal Options tab.8.


Click on the Roll Forward Options tab.10.


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Field Purpose

Close to Multiple RetEarnings

Select to close to multiple retained earnings accounts. Ifcleared, the system uses the default account for retainedearnings defined in the Closing Options page. All P/Laccounts will close to the default retained earningsaccount.

Profit/Loss Identify the profit and loss accounts to be closed.ChartField Value Set Select the ChartField value set for the P/L accounts to be

closed. If there are other P/L ChartField value sets thatclose to the same retained earnings account, click the Addbutton and select the appropriate ChartField value set.

Update/New Click to access the Setup ChartField Value Sets page tocreate or update a ChartField value set to use as the P/LChartField value set.

Retained Earnings Identify the retained earnings account (target account) towhich the P/L accounts are closed.

ChartField Select a valid ChartField (Ex. Account).

Retain Value Select to retain the ChartField value from the originaljournal entry.

ChartField Value Select the specific retained earnings account. This optionis required for the Account ChartField.

Field Purpose

J ournal ID Mask Enter a prefix for naming closing journals. J ournals areidentified with up to a 10-character alphanumeric ID.

Source Enter a code to identify the origin of the journal entries thatare created.

Closing Doc Type If you use the Document Sequencing feature, select apredefined closing document type for the closing journals.

Description Enter a description of the journals that are created.

Create J ournal Entries Select to create journal entries for year end closetransactions only.


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Note: J ournals should be reviewed before posting.

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Field Purpose

Do Not Roll ForwardZero Bal

Prevents the system from creating balance-forwardamounts (period 0) for accounts with a zero endingbalance.

P/L Roll Forward toNext Yr

Normally, only balance sheet accounts are rolled forward,and their balance forward amounts stored in period 0.

Field options include:Do not Roll Forward: Do not roll forward any amountsfrom prior year accounts with the Balance Forward fieldon the Account Type page set to the value Not CarryForward.Partial Roll Forward 1 Year: For select ChartField ValueSets, closing rolls forward the amounts from the firstperiod through 998 of the year being closed to period 0of the new year.Partial Roll Forward Cumulative: For selected ChartFieldValue Sets, closing rolls forward amounts from periods 0,and periods 1 through 998 of the year being closed toperiod 0 of the new year.Roll Forward All 1 Year: Closing rolls forward all amountswith the Balance Forward field equal to Not Carry Forwardbalances from period 1 through 998 for the year being

closed to period 0 of the new year.Roll Forward all Cumulative: Closing rolls forward allamounts with the Balance Forward field equal to NotCarry Forward balances for period 0, and 1 through 998

for the year being closed to period 0 of the new year.Roll Forward Profit/Loss If electing to roll forward in the P/L to Roll Forward to Next

Yr field, select the ChartField value set for the P/Laccounts to roll forward.

Update/New Click to access the Setup ChartField Value Sets page,where a ChartField value set can be created or updated touse as the roll-forward P/L ChartField value set.


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Participant Guide

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Close

To undo a year end close, enter the ledger group, ledger, fiscal year, and Business Unitsto unclose. When an undo is run for a year end close and journal entries are notcreated, the system clears the period 999 (year end close results) and period 0 (balanceforward) rows from the ledger.



__________ define how the General Ledger calculates retained earnings and1.

carries forward balances to the new year.Period __________ contains the results of the year end close. The year end2.closing entry to book the current year end net income to retained earnings isposted to this period.

Lesson Summary

Closing activities enable businesses to track profit and losses on a monthly,quarterly or year end period. Year end closing activities close the P/L accounts to

retained earnings and generated the balance forward amounts. Additionally, year endclose directly updates the ledger and creates offsets to the retained earnings amounts.

Lesson 3: Performing Treasury Reconcil iations andVariance Analys is (BSC Only )

Lesson Objectives


Performing Treasury Reconciliations Overview

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Field Purpose

Display Full NumericField

Select to display the full numeric value if it is larger than thereport column size. The number wraps to a second line.

Select From ClosingLog Table

Select to have the scope of the report defined by theprocess instance stored in the closing log table. TheProcess Instance field becomes available.

Process Instance Enter the process instance number of the Close processrun.

Reporting ClosingStatus

Select one of the following to:All Closing Status Types: Include all journals, regardlessof their closing status.

All Except Not Processed: Include only journals that theclose process has processed.Closed Journals: Include only journals that the closeprocess has closed.Not Processed: Include only journals that the closeprocess did not process.Unclosed Journals: Include only journals that the closeprocess processed but did not close.

ChartField Selection Enter a sequence number and ChartField long name. Usethe Select option to include only selected values, andenter a value.


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Participant Guide

Describe the process for running the PeopleSoft Book to Bank reconciliation process

Understand the automated reconciliation of bank statementsPerforming Treasury Reconciliations Process

Walk-through the PeopleSoft Book to Bank reconciliation process steps

Performing Treasury Reconciliations Overview

Book to Bank reconciliation is a process where bank reported balances in the bankstatement are compared against the systems General Ledger balance for a given fiscalperiod. The reconciliation process is usually performed as part of the General Ledgermonthly closing processes.

Bank account activity is made up of journal lines, both detailed journal lines and summaryjournal lines. The Book to Bank reconciliation process determines whether a journal linetransaction (regardless of its system of origin) has been reconciled. If a transaction hasnot been reconciled, then it appears in the appropriate region of the Book to BankReconciliation Details page, categorized by type. Unreconciled system transactions (suchas disbursement checks) appear on the bank side, while unreconciled bank transactions

(such as deposits in transit) appear on the system side.

During the Book to Bank Reconciliation process, the system searches for all unreconciledtransactions (UNR) that fall under the specified General Ledger period end. This meansthat the process includes any outstanding unreconciled bank transactions and adds themas adjustments to the General Ledger adjusted balance total. Differences between thebank statement balance and General Ledger balance can be due to:

Time difference items that affect the bank statement, such as deposits in transit or unreconciled checks.First notice items, such as fees or interest accrual amounts, which have been notedon the bank statement but not yet booked into the General Ledger system.

Once all unreconciled bank transactions have been identified, the Book to Bankreconciliation process allows the appropriate adjustments to be made in order for theGeneral Ledger and bank statement balances to match. Once the balances match, thestatement is confirmed as reconciled and the General Ledger closing processes continue.

Transactions that have been reconciled through the Book to Bank Reconciliation processare considered final and are generally not reversed.

Performing Treasury Reconciliations ProcessThe bank statement is directly fed into PeopleSoft banking functionality. FTP softwarepulls the bank statement from the bank FTP site to the BSC directory. The Import filepulls the bank statement from the BSC directory into PeopleSoft. This process occursfour times a day (6:30am, 10am, 12pm, and 2pm) to pull the most current data intoPeopleSoft.

Walk Thru 4 - Selec t Statements for Book to Bank Reconc ili ation(BSC Only )Navigate to the Select Book to Bank Statement page to search for statements1.marked ready for Book to Bank reconciliation, review balance details, andrecalculate balances.

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Participant Guide

Navigation: Banking > Reconcile Statements > Select Book To Bank Statements

Enter a Bank ID and BankAccount # . The Bank ID is the bank ABA number2.found on the bank statement. The Bank Account Number is found on the bankstatement as well.

Click .3.

The results appear in the Available Accounting Periods section. In the Select4.column, select the Accounting period to run Book to Bank reconciliation, and thenclick Select. This action disables the option in the Select column. Items markedas Ready indicate that the statement has been loaded and reconciliationprocesses have been performed on the statement.

Walk Thru 5 - Run Book to Bank Reconc ili ation (BSC Only)Review General Ledger balances against bank-reported account balances in the1.bank statement. Users can also print a report of the Book to Bank adjustments.

Navigation: Banking > Reconcile Statements > Book to Bank Reconciliation

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Click on the Details icon.3.

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Field Purpose

External Bank ID The External Bank ID refers to the bank ABA numberfound on the bank statement.

Bank Account # The Bank Account # is found on the bank statement.

Fiscal Year Fiscal year refers to the year of interest for the Book toBank Reconciliation.

Accounting Period Accounting period is the accounting time frame of interestfor the Book to Bank Reconciliation.


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Review the following fields:4.

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Click on the Notes icon to enter book to bank reconciliation comments.5.

Save the completed book to bank reconciliation.6.

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conciliationdat

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ankpage displays the bank statement data on the left and the General Ledger data on theright.

Manage Monthly Book to Bank Reconciliation Balance Variances

If variances exist between the cash balance on the ledger and the bank statements, thisvariance must be researched.

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Field Purpose

Bank Statement Balance This is the Closing Balance on the bank statement thatoccurs within the displayed fiscal year and accountingperiod.

Payment in Transit Displays the total of all disbursements that are not yetreconciled. It also includes manual accounting entries

that have been finalized and posted to a ledger. Thisamount reduces the bank statement balance, whichappears in the Bank Adjustments Subtotal field.

Deposits in Transit Displays the total of all the deposits that are bookedinto the system but not yet acknowledged by the bank.

This amount increases the bank statement balance.

GL Adjustments Displays the total of all unposted General Ledgertransactions that have transaction dates that occurbefore or on the General Ledger period end date.

Bank Adjustments Subtotal Displays the total of all unposted bank transactions

that exist in the bank statement but not in the system,and which have transaction dates that occur before oron the General Ledger period end date.

Total Adjusted BankBalance

Displays the sum of the values in the Bank StatementBalance and the Bank Adjusted Subtotal fields.

Ledger Balance Displays the system side balance for the bank

account. The balance as of date is determined by theledgers period end date.

Unbooked Fees andInterest

Displays the total of all bank transactions not yetbooked in the system and which have transaction

dates that are on or before the bank statement date.Unbooked Payments Displays the total of all unposted disbursements that

exist in the bank statement but are not in the system,and which have transaction dates that are on orbefore the bank cut off date statement date.

Unbooked Deposits Displays the total of all unposted deposits that exist inthe bank statement but are not in the system, andwhich have transaction dates that are on or before thebank statement date.

Bank Adjustments Displays the total of the values in the Payments in

Transit, Deposits in Transit, and GL Adjustments fields.GL Adjustments Subtotal Displays the total of the values in the Unbooked Fees

and Interest, Unbooked Payments, UnbookedDeposits, and Bank Adjustments fields.

Total Adjusted LedgerBalance

Displays the sum of the values in the Ledger Balanceand General Ledger Adjustments Subtotal fields.

Book to Bank Difference Displays the sum of the values in the Total AdjustedBank Balance and Total Adjusted Ledger Balancefields.

Confirm Click to confirm that the Book to Bank Reconciliationprocess for this specific bank statement and fiscal

period is complete. Then save the page. Notice thatthe Status field changes to Confirmed.

Report Click to generate the Book to Bank reconciliationreport.

Return to previous page Click to access the Book to Bank reconcile page.


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Participant Guide

The BSC General Accounting Operations Analyst must determine whether1.adjustments are required to the Book to Bank reconciliations page and/or

corrections need to be made in the subsystem.

For book to bank reconciliation adjustments in PeopleSoft, the BSC coordinates2.the identification of the transactional variances with BSC functions and/or agency

Treasury and performs adjustments to the Book to Bank reconciliations detailspage.

Click on the View Bank Statement icon ( ) next to each category under the3.Reconciliation Data header to make adjustments to the out of balance numbers.

If transactions have been made in PeopleSoft at the end of the month these4.transactions may not be on the bank statement due to the proximity to monthend. These balances must be moved to the next period.

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Participant Guide

To move transactions to the next period, uncheck transactions on the5.adjustments page of each reconciliation data category.

Note: Balance variances could be related to payments and deposits in transit, General

Ledger adjustments, unbooked fees and interest, unbooked payments and deposits, andbank adjustments.

If necessary, coordinate subsystem transaction corrections with Finance Function6.or agency Treasury. The BSC Finance Function and/or agency Treasuryperforms the adjustment transaction in the subsystem, which is ultimately the

journal generated and posted to the General Ledger.

Complete the Book to Bank Reconciliation Workpaper Template for each bank7.account.

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After correcting the variances, re-run the book to bank process to ensure the8.

variance is zero. Update the Workpaper Template once variances have beenresolved.

Navigation: Banking > Reconcile Statements > Book to Bank Reconciliation

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Click Search.10.

Click the Recalculate link. A notification message appears.11.

Click OK. The Book to Bank Reconciliation Details page appears.12.

Generate a Book to Bank Reconciliation Report

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Field Purpose

External Bank ID The External Bank ID refers to the bank ABA numberfound on the bank statement.

Bank Account # The Bank Account # is found on the bank statement.

Fiscal Year Fiscal year refers to the year of interest for the Book toBank Reconciliation.

Accounting Period Accounting period is the accounting time frame of interestfor the Book to Bank Reconciliation.


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On the Book to Bank Reconciliation Details page, click on Report.1.

Use the following navigation to view the report:2.

Navigation: People Tools > Process Scheduling > Process monitor

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Click on the Details link to view the Process Details screen.3.

Click on the View Log/Trace link.4.

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Click on the PDF view and save the file to the computer.5.

E-mail the Book to Bank Reconciliation Report to the agency for review and6.approval using the Bank Reconciliation Report email template.

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Agency approvers review each completed reconciliation report and confirm their7.approval with the results of the reconciliation.

If upon completion of the reconciliation review, the agency is not in agreement8.with the approach and results, then the report is sent back via email to the BSCOperations Analyst for re-processing.

Return to the Book to Bank Reconciliation page.9.

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Click Confirm.10.

Note: The Confirm button cannot be clicked until the variance equals zero. Once theConfirm button has been clicked the reconciliation can no longer be adjusted.



__________ reconciliation is a process where bank reported balances in the1.bank statement are compared against the systems General Ledger balance for agiven fiscal period.Unreconciled system transactions appear on the __________ side, while2.

unreconciled bank transactions (such as deposits in transit) appear on the__________ side.

Lesson Summary

Book to Bank reconciliation is a process where bank reported balances in thebank statement are compared against the systems General Ledger balance for a

given fiscal period. The reconciliation process is usually performed as part of the GeneralLedger monthly closing processes. The Book to Bank reconciliation process determineswhether a journal line transaction (regardless of its system of origin) has been reconciled.Once all unreconciled bank transactions have been identified, the Book to Bank

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reconciliation process allows the appropriate adjustments to be made in order for theGeneral Ledger and bank statement balances to match. Once the balances match, the

statement is confirmed as reconciled and the General Ledger closing processes continue.Transactions that have been reconciled through the Book to Bank Reconciliation processare considered final and are generally not reversed.

Lesson 4: Processing Financial Statement Consolidation

Lesson Objectives


Processing Financial Statement Consolidation OverviewUnderstand the purpose of the PeopleSoft financial consolidation process.

Processing Financial Statement Consolidation Process StepsDiscuss the steps used to process financial consolidations.

Process ing Financial Statement Consolidation Overview

An organization with multiple Business Units, such as the MTA, requires a consolidationprocess to aggregate data, for reporting, automatically eliminate some Inter-unit

transactions, and also allow for manual eliminations, as needed.

Consolidations are defined based on relationships among the Business Units and theirrelated Elimination Units, units to which eliminating journal entries are directed. Trees are

used to define the relationship among Business Units in a consolidation. Eachconsolidation hierarchy uses a separate consolidation tree. An unlimited number ofBusiness Units within each tree can be consolidated, and an unlimited number ofconsolidation trees can be defined.

Consolidation Elements

Consolidations have four primary elements:Data

Ledger data is entered and posted through daily journal processing and includesospecifying which ledger to use during Consolidation for each Business Unit.Detail ledgers, as well as summary ledgers, can be used as the basis forconsolidations.

ScopesScopes define which Business Units are included during the consolidationoprocess and how consolidation entries are created. Scopes are created usingconsolidation trees and elimination units.

RulesRules determine which ledger entries are identified and eliminated by definingoelimination and minority interest sets. These are used in defining theconsolidation set that specifies the elimination sets to apply.

ProcessBased on defined rules and scopes, the consolidations background processogenerates consolidating journals and calculation log entries from source ledger

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data. New entries to the Ledger table are used to generate consolidated reports.The Undo feature enables users to reprocess consolidations.

Walk Thru 6 - Consol idation Trees

Consolidations are defined based on relationships among the Business Units and theirrelated Elimination Units (units to which eliminating journal entries are directed). Eachconsolidation hierarchy uses a separate consolidation tree. For example, use thefollowing navigation to access a particular consolidation tree that has been created:

Navigation: Tree Manager > Tree Manager


The GL_BU_Consolidate Tree is used by the MTA for financial consolidations.2.Click on the folders to view the leaves.

34



Remain on the Find an Existing Value tab.Enter a value in the SetID, Clos ing Rule, and ClosingType fields.

Click to display potential matches.

Select the appropriate item from the list.Add a New Value Click on theAdd a New Value tab.

Enter new value in the SetID, Clos ing Rule, andClosing Type fields.

Click .


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Financial consolidations across all MTA agencies will be conducted at the3.ALL_ BUSINESS_UNITS Consolidated level. This particular Tree is based onBusiness Unit, and runs the financial consolidation by aggregating Business Unitsacross the MTA. Second tier financial consolidations can be run at the MTAHQand NYCTA levels. Additionally, each MTA agency can run its agency specific

financial consolidation at the leaf level.

Inter-company Transaction Consolidation

While there may be situations that require reporting gross consolidations, in most cases,Inter-company transactions should be eliminated. In General Ledger, Inter-companytransactions can be tracked using Due To and Due From accounts that are automaticallycreated by the J ournal Edit process. These Due To and Due From rows in the ledger canbe eliminated when the Consolidations process is run.

Activity between Business Unites can be recorded with the use of the Affiliate ChartFieldor with separate accounts. The Affiliate ChartField maps transactions between BusinessUnits while using a single Inter-company account. Also, different ChartField values, forexample separate accounts, can be used for Inter-company transactions.

Reference 3.5 P rocessing Intercompany Transactions for additional content onInter-company transaction General Ledger entries.

Process ing Financial Statement Consolidation Process Steps

The following steps are used to process financial statement consolidations:MTAHQ and agencies complete first close.

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MTA BSC General Accounting reconciles Inter-company accounts.MTA BSC General Accounting enters adjustments in PeopleSoft General Ledger.

MTA BSC General Accounting reviews Inter-company accounts after enteringadjustments in PeopleSoft.Agency controllers receive and review numbers that have been finalized.MTAHQ reviews agency financial statement notes by controllers.

Should discrepancies exist in the financial statements, they must be resolved byoMTA BSC before proceeding.

MTA BSC and agency General Accounting creates and posts the elimination journalentries.MTA BSC General Accounting generates consolidated financial statements for theMTA.MTAHQ reviews and finalizes consolidated statements.MTA BSC General Accounting loads EPM and facilitates the budget preparation andreporting.

MTA BSC publishes consolidated reports and Letter of Transmittal to MTAmanagement.

Initiating the Consol idation Process (BSC Only)

The Request Consolidation page is used to initiate the consolidation process.

Navigation: General Ledger > Consolidate Financial Data > Consolidation > RequestConsolidation


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37



Remain on the Find an Existing Value tab.Enter a value in the Run Control ID field.


Add a New Value Click on theAdd a New Value tab.Enter new value in the Run Control ID field.

Click .


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Co

n

s

o

li

d

a

ti

o

n

P

r

o

c

e

s

s

L

o

g

Thec

onsolidation process log is useful to look up a specific consolidation process or a set ofprocesses during a specific time frame. Additionally, this page shows the parameters

used during a particular consolidation process.



Consolidations are defined based on relationships among the __________ and1.

their related __________.

38

Field Purpose

SetID Enter the SetID for the consolidation.Currency Enter the currency used in the consolidation.

Consol Set Defined for the consolidation SetID.As of Date Serves as a point of reference for determining the year and

period to consolidate for each ledger in the consolidation.

If Business Units use different calendars, the systemevaluates the year and period for each. Also used toaccess the effective-dated setups.

Create J ournal Entries General Ledger creates journals that can be edited andposted.

Create Calculation Log Creates a calculation log that contains the amountsgenerated by each set at each tree node.

Include AdjustmentPeriod(s)

Includes balances from the adjustment periods specified inthe consolidation set when calculating the elimination.

Edit J ournal(s) Provides the ability to identify and edit error and processthe consolidation again. The system clears journals fromthe original process before regenerating.

Post J ournal(s) Posts journals during consolidation processing.Undo Previous Process Clears the effect of any prior elimination. If the elimination

journals are not posted yet, the system deletes them. Ifthey have been posted, General Ledger removes the

amounts from the ledger before it deletes the journals.Undo Do Not Delete

J ournalsThe Undo process does not delete unposted journals. Ifthis option is selected and there are journals from theConsolidation process that have not been posted, the

journals can be accidentally posted and cause theelimination to be double-booked.

Tree Specify the applicable tree to be consolidated.Scope Chose Process the Whole Tree to process all Business

Units defined in the consolidation tree. If Process at Levelor Process at Tree Node are selected, the Level and Nodefields become available.

Level Processes all Business Units at and below a particular treelevel. Identify the level in the edit box.

Node Processes consolidated Business Units at and below a

particular tree node.Use As of Date Uses the date defined for the consolidation.

Use Override Date Select and use any date that is defined in the TreeOverride Date field.


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Consolidations have four primary elements: data, scope, processes, and2.__________.

In General Ledger, __________ transactions can be tracked using Due To and3.Due From accounts that are automatically created by the J ournal Edit process.

Lesson Summary

An organization with multiple Business Units, such as the MTA, requires aconsolidation process to aggregate data, eliminate recording information in variousBusiness Units and automate the posting of elimination information. Consolidations aredefined based on relationships among the Business Units and their related EliminationUnits, units to which eliminating journal entries are directed. Consolidations have fourprimary elements: data, scopes, rules, and process. Trees are used to define the

relationship among Business Units in a consolidation. Each consolidation hierarchy usesa separate consolidation tree.

Lesson 5: Running General Ledger Reports

Lesson Objectives


General Ledger Reports OverviewUnderstand the purpose of the General Ledger reports.

Running nVision ReportsDescribe the process for running Consolidated Financial Reports in PeopleSoft 9.0.

Discuss the process steps for running PeopleSoft nVision reports.

General Ledger Reports Overview

Using PeopleSofts Query Tool, nVision Reporting, and Microsoft Excel, all consolidatedfinancial reports based on the current year data should be generated from GeneralLedger.

PeopleSoft 9.0 has three reporting options:Delivered Reports1.

Reports can be generated from various pages in PeopleSoft.a.Setting Run Controls allows users to define the type of report they need.b.

nVision2.

nVision enables users to retrieve information from the PeopleSofta.database in a Microsoft Excel spreadsheet, not merely as raw data, butas information in a form that enables the user to see the big picture,

explore the details, and make decisions based on the data.

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Queries3.

Queries allow users to extract specific information of interest, accounta.

balances or journal transactions, and legacy data from the EPM DataWarehouse.

The information can be extracted using visual representation of theb.PeopleSoft database, without writing Structured Query Language (SQL)statements.PeopleSoft queries can display data in a grid, download query results to ac.Microsoft Excel spreadsheet, or provide the data for Crystal Reportgeneration.Unlike reports, queries can be one-time and ad-hoc or can be usedd.repeatedly. Therefore, queries can be used to pull data to fill a one timereporting need.

Running nVision Reports

PS/nVision is used to design and create Microsoft Excel spreadsheet reports on

accounting data in PeopleSoft. It retrieves information in the General Ledger PeopleSoftdatabase and places in a Microsoft Excel spreadsheet format that makes it easier forusers to see the big picture, interpret the data, and make decisions. With PeopleSoftnVision, users spend time analyzing the results rather than summarizing data andentering it into a spreadsheet.

PS/nVision is accessed from Microsoft Excel to create templates (layouts) for dataretrieval. Each Excel spreadsheet created with PS/nVision is either a report instance or areport layout. A report instance contains the data that PS/nVision has retrieved from thePeopleSoft database. It is the end result of using PS/nVision. Every report created is

based on a report layout (XNV file). When a report is run, PS/nVision uses the specifiedlayout to determine what data to retrieve for the report and how to display it. Once areport layout is created, it can be used to format accounting data automatically.PS/nVision selects data from PeopleSoft through using ledgers, trees, and queries. Treedata is used to limit the query results.

Reference 3.2 PeopleSoft 9.0 General Accounting Configuration and Maintenancecourse for detailed information on Accounting Trees.

Creating PS/nVis ion Reports

PS/nVision report creation is a three-step process:Determine the report layout that specifies what query to use for the report and1.how to format the report. At a high level, the report layout is a formatted Excelspreadsheet. However, the report layout does not include any actual PeopleSoftdata, rather it is the structure of the report (format, graphics, formulas, etc.). Oncea report layout is created, it can be saved and used repeatedly for future reports.

Create a report request specifying the layout and options for the report. This is2.the actual request to run a report according to the specifications set in MicrosoftExcel.

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Run the report reques t using the nVision menu in Microsoft Excel, the Run3.button, the request dialog box, or a button/macro that categorizes PS/nVision to

run the report. Multiple instances of the same report can be run. For example,income statement reports can be created for each department within anorganization. Each instance is an individual report with the most recent data fromPeopleSoft, selected and formatted according to the instructions in the reportlayout.

PS/nVision also provides a Time Span feature to define reports that roll from period toperiod without any changes to the layout. By using time spans, the same layout canretrieve year-to-date data based on the as of date for which the report is requested.

PS/nVis ion Components

There are three key components to the nVision report definition process:

Layout: This is where the report criteria is defined. For example, account nodes,1.department values, time spans.

The layout file is a template that can be re-used. In order to populate thea.layout template with information, a Report Request must be defined. Theamounts will not appear in the template until the Report Request isexecuted, creating an Excel file with data.

Scope: Used to run multiple report instances based on one layout file.2.For example, if the same report needs to be run for every Department,a.then a scope request can be created for All Departments. The scopewould be linked to the report request.

Report Request: Form that specifies criteria necessary to run the report (i.e. As3. of date, output location, output file name, report title).

Running an nVis ion Report Request on the WebUsing a web browser, users can schedule a group of reports to run using a Report Bookand Process Scheduler request. Reports are executed on the server in the format that ischosen. The entire report book can be run with the same output type and format withoutchanging any individual component requests. The report books can also be scheduledto run at a particular time or on a regular basis. Multiple nVision sessions can bescheduled on a single report server. Additionally, each nVision session is associated withits specific Excel executable.

Reference 3.6 Using PeopleSoft 9.0 nVision Reporting course for detailedinformation on nVision Reporting components and processes.

Scenario 1: Running a General Ledger Financial Consolidation Report

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The following scenario walks through the process steps for running a General Ledgerfinancial consolidation report.

The table below provides the steps and expected results to complete this transaction.

#

Step Description

Data Value

1 Navigate to Reporting Tools > PS nVision >

Define Report Request

On the Add a New Value Tab,

Enter the Business Unit and Report ID

BU: MTAHQ

Report ID:

BHGL033R

2 Enter the Report Title, Layout, Date Information, and

Output Options

Click on the Process Monitor Link

Report Title:

Consolidated Report

Layout: BHGL033R

As of Reporti ng

Date: Specify,

8/17/2010

Type: Web

Format: Excel

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3 Click the Refesh button until the report shows a

status of Success

Click on the Details link

N/A

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4 Click on the View Log/Trace link N/A

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5 View the information

Click Return

N/A

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6 From the Main page, click on the Report Manager link

then the Administration tab

Click on the Report link

N/A

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7 View the Report N/A

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__________ is used to design and create Microsoft Excel spreadsheet reports on1.accounting data in PeopleSoft.

The first step in PS/nVision report creation is to determine the __________ that2.specifies what query to use for the report and how to format the report.Using a web browser, users can schedule a group of reports to run using a3.

__________.

Lesson Summary

Using PeopleSofts Query Tool, nVision Reporting, and Microsoft Excel, all

consolidated financial reports based on the current year data should be generatedfrom General Ledger. PS/nVision is used to design and create Microsoft Excelspreadsheet reports on accounting data in PeopleSoft. It retrieves information in theGeneral Ledger PeopleSoft database and places in a Microsoft Excel spreadsheet format

that makes it easier for users to interpret the data and make decisions. There are threekey components to the nVision report definition process: layout, scope, and reportrequest. PS/nVision also provides a Time Spanfeature to define reports that roll fromperiod to period without any changes to the layout. By using Time Spans, the samelayout can retrieve year-to-date data based on the as of date for which the report isrequested.

Course Evaluation

All training participants are required to complete an online course evaluation upon coursecompletion. Evaluations are based on course content and are meant to measure the keyinformation and objectives of the course. The evaluation can be accessed via the link

provided by your instructor and must be completed in the classroom.

Performance Support Documentation

This table lists performance support materials such as J ob aids, Policies, Procedures, andService Level Agreements that are relevant to this course.

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Title Type (Job Aid, Procedure, SLA, etc.)

Processing Inter-company Transactions Course

Using PeopleSoft 9.0 nVision Reporting CoursePeopleSoft 9.0 General AccountingConfiguration and Maintenance

Course

Year End Close Activities and Ownership J ob AidMonth End Close Calendar and Ownership J ob Aid

General Ledger Reports J ob Aid

peoplesfoft gl close

Documents