What are adjustment accounts in OneStream's COA?

Adjustment accounts in OneStream's Chart of Accounts are specifically designed to record corrections or adjustments made to previous entries. These accounts serve a critical function in maintaining the accuracy and integrity of financial data. When there are errors or necessary corrections—such as misplaced entries or miscalculations—using adjustment accounts allows organizations to document these changes transparently, rather than altering the original entry directly. This approach helps in maintaining an audit trail and ensures clarity in financial reporting.

By using adjustment accounts, companies can effectively reconcile discrepancies and ensure that their financial statements accurately reflect their financial position. This functionality is particularly important in accounting practices where maintaining accurate historical data is vital for compliance and transparency.