Note: This section covers business rules that apply to all standard KEM transaction e-docs. Each e-doc also adheres to e-doc-specific rules. For information on rules for specific e-docs, refer to the subsection on each e-doc.
All Endowment transactions adhere to the following business rules.
• When you initiate an endowment transaction e-doc, the system sets the Transaction Source value to Manual Entry. This value is display-only and cannot be changed.
• The security ID used for each transaction must be valid and active in the system.
• You may enter multiple transaction lines for any Endowment Transaction e-doc.
• The KEMID in each transaction line must be defined in the system. This KEMID must not be closed (that is, the record’s Closed Indicator value must be ‘No’) and its Transaction Restriction Code value must not be NTRAN (which indicates that no transactions are allowed for the KEMID).
• For a principal transaction, the KEMID must not have a principal restriction of NA (which implies that the KEMID cannot have any activity in principal).
• All values entered must be positive values. When a transaction e-doc is reversed, the values automatically become negative for the new transaction e-doc.
• All transaction lines must have values other than zero in the Transaction Amount field.
• The Etran code in each transaction line must be an income or expense code (that it, the associated Etran Code record must have an Etran Type Code of ‘I’ or ‘E’).
• The Etran code in each transaction line must reference an appropriately identified General Ledger Object Code record (that is, one that matches the chart for the KEMID’s associated General Ledger account).
o If the transaction is for income (that is, the transaction line’s Income or Principal value is ‘Income’), the chart specified must match the income chart specified in the Accounting Lines tab.
o If the transaction is for principal (that is, the transaction line’s Income or Principal value is ‘Principal’), the chart specified must match the principal chart specified in the Accounting Lines tab.
• The security transaction code and the transaction line Etran code must reference an appropriately identified General Ledger Object Code record (that is, one that matches the chart for the KEMID’s associated General Ledger account).
• If the KEMID has a permanent principal restriction and the Endowment Transaction (Etran) Code record has the Corpus Indicator value of Yes, then all principal transaction lines affect the corpus value for the KEMID.
• For each line added, in the space below the last transaction line, the system displays separate totals for income and principal amounts.
• In the Total Amount field of the Document Overview tab, the system displays the combined total income and principal amounts of all transaction lines. The system updates this total as each line is added.
• The system verifies each transaction line when you add it and when you submit the document.
• After a transaction line has been added, it may be edited. When a line is edited, the system does not revalidate data until the document is submitted. After you add a transaction line, you may delete it.
• In order to successfully submit an e-doc, you must enter at least one transaction line in each transaction line section (To and/or From) that is required for the e-doc.
• An endowment transaction does not automatically create a pending General Ledger entry. GL entries are generated according to your institutional specifications as a batch load at the end of the endowment batch processing cycle.