Banks, branches, accounts

Create a bank with its name, country and identifying codes. Create a branch under it, including the routing identifiers. Then create a bank account: name, number, currency, legal entity owner, and general ledger cash account. Set the cash clearing account, create a second account in a foreign currency, and review the resulting hierarchy. Cash versus cash clearing is the concept to slow down on. A payment issued hits clearing; a payment cleared moves to cash. If you point both at the same account, reconciliation becomes structurally meaningless — the entries net to nothing and nothing errors. The lesson draws the T-accounts, because the sentence alone does not land. Legal entity ownership drives which entity's balance sheet the cash appears on. Get it wrong and the balance sheet is wrong. And bank and branch identifiers matter for payment file formats later, so do not invent them — get them from the…

In this module: Module 6 · Banks, Branches and Cash Management

1. 1The cash management model
2. 2Banks, branches, accounts
3. 3Account use and business unit access
4. 4Bank statement formats and transaction codes
5. 5Loading a bank statement
6. 6Reconciliation rules and tolerances
7. 7Cash position and external transactions
8. 8What breaks
9. 9Lab: configure, load, reconcile