Hello everyone.

This is the sixth installment in our series on the differences between ERPs.
This is a comparison of Dynamics NAV, an ERP system for small and medium-sized businesses, and Dynamics 365 for Operations, an ERP system for large enterprises.

This time, I would like to talk about journal names in accounting settings. Please note that the opinions expressed in this article do not include the personal views of the author.

What is a journal name?

This is the setting for the journal where journal entries are entered. The main setting is to define the business (purpose) for which entries will be recorded in the journal and the journal entry slip number. The business (purpose) will depend on the business scope of the product implementation.

Differences in journal names by product

While there are no major differences in the basic settings and functionality of the journal itself, there are fundamental differences in the journal entry specifications. When entering journal entries, Dynamics 365 for Operations has separate debit and credit items, and the amounts displayed in the list are also visually clear because they are debit and credit conscious. On the other hand, Dynamics NAV judges debit and credit amounts based on whether they are positive or negative, both in journal entry and in the list.

Dynamics NAV Journal Entry and Listing

There is one amount field (Amount). Negative numbers are credit amounts. You can enter debits and credits on multiple lines, or you can enter them on one line with an offsetting account. (When entering on multiple lines, enter the amount on the credit line as a negative number.)
Journal entries are identified by Document No.

<Journal entry screen>

< List screen >

Journal Entry and Listing in Dynamics 365 for Operations

Since the items are separated into debit and credit, it is easy to understand the journal entries. The input specifications are the same as Dynamics NAV, and you can enter entries on multiple lines or set an offset account on one line. Journal entries are identified by vouchers.

<Journal entry screen>

< List screen >

Whether it is common to have debits and credits as separate items or to distinguish them as positive and negative seems to depend on the country or region. The author of this article also recalled hearing from an accounting consultant in one country that credits should be written on the left side, and realizing that there are various customs.

Here, we will introduce one Japanese localization for journal entry in Dynamics 365 for Operations. This is called a T-account journal voucher, and is the T-shaped journal entry screen that you often see in bookkeeping reference books.

The above is about the differences between ERP products and journal names.