You can choose to enable average balance processing for a set of books. When enabled, General Ledger will track and maintain average and end–of–day balances. Assign the default Net Income account for your average balance set of
Consolidation Set of Books: You must check this box if the set of books is to be used for consolidating average balances. In a consolidation set of books, standard and average balances are not linked as they are in a non–consolidation set of books.
Transaction Calendar: This calendar is used to ensure that transactions are posted only to valid business days. This field is required for non–consolidation sets of books. For consolidation sets of books, the field is disabled.
Translation Rate Type: You can enter any daily conversion rate type, except User. General Ledger uses the daily rates for the chosen rate type to compute average rates to use when translating average balances.
Translate Optional Amount Types: General Ledger automatically translates period–average–to–date balances. You can also choose to translate end–of–day, quarter–average–to–date, and year–average–to–date balances by marking the appropriate checkboxes.
Net Income account: General Ledger uses this account to capture the net activity of all revenue and expense accounts when calculating the average balance for retained earnings.