This feature deals with "Due To / Due From Inter-Company/Entity/Fund" situations. Assume that a database is established for a number of related companies (inter-company accounting) or a single organization administering several Funds (fund accounting). You wish to transfer funds from one company/fund to another. Please note: both Company A and Company B are established in the same database and are differentiated with a Prefix component. You have two options:

• You can record the transaction in the standard accounting manner:
  In the books* of Company A (Company A Prefix component):
  Debit Cash
  Credit Due To Company B
  In the books* of Company B (Company B Prefix component):
  Debit Due From Company A
  Credit Cash
  
  
• or you can simply record what happened:
  Debit Cash  (Company A Prefix component)
  Credit Cash  (Company B Prefix component)

  and let STEP FORWARD keep the company/fund relationships fully synchronized by automatically generating these balancing transactions:
  Debit Due From Company A
  Credit Due To Company B

Selecting Prototypes > Zero Balancing > By Entity menu item will display the Balanced Entity window, with three data areas:

• The Balanced Entity selection section will expand to accommodate all Prefixes defined, plus the default All levels belong to the same entity.
  If  multiple entities/funds are part of your design, you should select the Prefix level where the distinct but related components come together.
  
  
• The Cross-entity balancing section has two options:
  • Generate balancing entries automatically
  • Require zero-balanced transactions by entity (the default).
    
    
• If Generate balancing entries automatically is selected, the Cross-entity balancing account scrollable area is displayed. Select the account which is to be used for the generated entries (e.g. Intercompany Obligations) and dismiss the window.

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