In a production system, most GL transactions originate from operational transactions such as manufacturing, purchasing, and inventory movements. This section describes General Ledger transactions that do not originate from operational areas.

After reviewing the overall transaction posting flow, we will learn more about journal entries, templates, reversing transactions, recurring entries, cross-company postings, and how to transfer transactions in batch from the transient layer to the primary or secondary layer (mass layer transfer).

This process map displays all activities related to General Ledger transactions.

Journal entries, invoice post, and operational transactions are the basis of GL records.

Transactions recorded in the primary layer or secondary layer are created and posted as part of the same journal entry process. Transactions recorded in the transient layer can be transferred to the primary or secondary layer.

Simple GL transactions consist of multiple posting lines associated with amounts and GL accounts. During posting, the transaction detail in the posting line is used to update cumulative account balance detail records for the GL period. This detail is then used when generating financial statements and summary reports.