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Administrator Guide
Last Updated: 2024-03-08
Concept: Open Transactions Processing with Alternate Ledger Currency

Concept: Open Transactions Processing with Alternate Ledger Currency

Based on when you configure alternate ledger currency (ALC), you can have open transactions. Open transactions are:
  • Manual journals and operational transactions with accounting posted prior to configuring ALC and processed later in ALC periods.
  • Operational transactions that are in progress prior to configuring ALC and post in ALC periods.
Here are examples of how Workday processes open transactions with ALC:
A supplier invoice posts on March 8, 2024 and Workday generates accounting in the primary ledger. You enable ALC on April 1, 2024. The supplier invoice is paid on April 16, 2024. Workday then generates the primary and ALC operational journals for the supplier invoice payment.
A customer invoice posts on March 11, 2024 and Workday generates the accounting in the primary ledger. You enable ALC on April 1, 2024. You cancel the customer invoice on April 16, 2024. Workday then generates the primary and ALC operational reversal journal for the customer invoice.
A supplier invoice for prepaid insurance posts on January 1, 2024. You enable ALC on April 1, 2024. Workday calculates the amortization amount in the ALC ledger posted on April 30, 2024 by using the provided exchange rate on January 1, 2024 between the transaction currency and ALC.
You have an allocation journal in
Pro Forma
 status when you enable ALC on March 1, 2024. After you enable ALC, you finalize the
Pro Forma
 allocation. Workday doesn’t generate the corresponding journal in the alternate ledger unless you rerun the allocation. We recommend that you finalize or cancel all allocation results in
Open
 or
Pro Forma
 status before you enable ALC.
You finalize an allocation that creates reversals on February 12, 2024. This generates accounting for March. When you enable ALC on March 1, 2024, Workday doesn’t generate alternate allocation results for the reversal journals. We recommend that you disable reversing allocations in the month before you configure ALC, to avoid having reversals in the primary ledger only.