ORACLE FINANCIALS E-BUSINESS SUITE, RELEASE 12

PERIOD-END PROCEDURES An Oracle White Paper June, 2009

Oracle Financials E-Business Suite, Release 12 Period End Procedures

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Introduction
Background
This document has been put together by members of Oracle's internal EMEA Financials Professional Community, acknowledging that every Financials customer needs to successfully close the accounting books each period. Before the first external publication, various people from EMEA Applications Consulting and Financials Product Development have reviewed and enriched the content. If you have any comments or feedback, please read the paragraph ‘Status and Feedback’ below.

Objectives
This document provides guidance on period end procedures in Release 12 for Oracle Payables, Oracle Purchasing, Oracle Inventory, Oracle Order Management, Oracle Receivables, Oracle Assets, Oracle Projects, Oracle Cash Management, Oracle Treasury and Oracle General Ledger. It is intended to be generic, and does not relate to a specific organization. Both mandatory and optional steps are included herein. Procedures particular to year-end processing are also described. This document intends to provide a reference for planning period-end procedures for ‘real-life’ implementations. It describes the fundamental period-end steps involved for each, with particular emphasis on balancing the subledger applications to Oracle General Ledger, and attempts to provide an overview of the relative timing of these procedures for all installed Oracle applications. It is therefore the intention of this document to provide content from which relevant sections can be extracted, according to the applications installed for a particular organization. Any organization may choose to customize their period-end and yearend processes, for example opting to run additional reports, particular to the organization. Although this document particularly refers to ‘Period-End Procedures’, many of the processes can be performed more regularly throughout the accounting period, as required. Each subledger application provides control as to when and how often data is transferred from the subledger application to the General Ledger.

Assumptions
These ‘Period-End Procedures’ were written with the assumption that Oracle Financials was implemented for a single operating unit. Where an organization has implemented the ‘Multi-Org’ features of Oracle Financials, these procedures would need to be performed for each operating unit individually unless Multi-Org Access Control is enabled. Note: R12 requires multi-org functionality to be used. For further details refer to Oracle® Applications Upgrade Guide: Release 11i to Release 12 Oracle Workflow is incorporated in the Release 12 applications. It is assumed that these Workflow Processes will be monitored and attended to by a System Administrator on a regular basis. Some Workflow Processes like the Requisition Approval Workflow or the Purchase Order Approval Workflow will require a direct response from a message recipient rather than a System Administrator.
Oracle Financials E-Business Suite Release 12 Period End Procedures

Organization
This white paper contains twelve chapters and one appendix where you can find interesting links to more information. The first chapter describes the dependencies between the modules and the biggest change between Release 11i and Release 12, which is the introduction of Subledger Accounting (SLA). Then, the next ten chapters outline period-end procedures appropriate to the Oracle Applications covered in this document. The last chapter displays a summary of the main period-end procedures for each application and the relative timing of each.

Attention: If you are using more than one application, the last chapter is a good reference to see that the order of the steps for each application are undertaken in the right sequence, relative to the other applications you are using.

Status and Feedback
This white paper is intended to be a living document. As we gather new or changed information, we will revise and re-publish this paper. Therefore, we welcome all feedback from you. On the bottom of the My Oracle Support note where you have downloaded this document is a link where you can email us your comments.

Oracle Financials E-Business Suite Release 12 Period End Procedures

Table of Contents
INTRODUCTION ....................................................................................................................................................................... II CHAPTER 1 SLA AND PERIOD END CLOSE DEPENDENCIES ..................................................................................................... 8

Sub Ledger Accounting (SLA) – Business Process ............................................... 8 Sub Ledger Accounting (SLA) – Process Change ................................................ 8 Subledger Accounting (SLA) – Reconciliation..................................................... 9 Subledger Accounting (SLA) Close Process – General Steps .............................. 10 General – Period End Close Dependencies ...................................................... 11
CHAPTER 2 ORACLE ORDER MANAGEMENT ......................................................................................................................... 12

Business Requirements ................................................................................... 12 Procedures ................................................................................................... 12
1. Complete All Transactions for the Period Being Closed ...........................................................12 2. Ensure all Interfaces are Completed for the Period (Optional)..................................................13 3. Review Open Orders and Check the Workflow Status..............................................................14 4. Review Held Orders...................................................................................................................14 5. Review Customer Acceptances (Optional) ................................................................................15 6. Review Discounts ......................................................................................................................15 7. Review Backorders ....................................................................................................................15 8. Review and Correct Order Exceptions.......................................................................................16 9. Reconcile to Oracle Inventory....................................................................................................16 10. Create Service Contracts (Optional) ........................................................................................16 11. Reconcile to Oracle Receivables (Optional) ............................................................................17 12. Run Standard Period End Reports ...........................................................................................17
CHAPTER 3 ORACLE CASH MANAGEMENT ........................................................................................................................... 18

Business Requirements ................................................................................... 18 Procedures ................................................................................................... 18
1. Complete Daily Cash Management Activities ...........................................................................18 2. Load Bank Statements ...............................................................................................................18 3. Generate Sweep Transactions ....................................................................................................18 4. Create Bank Statement Cashflows .............................................................................................19 5. Reconcile Bank Statements........................................................................................................19 6. Create Miscellaneous Transactions............................................................................................19 6a.Complete Bank Transfers..........................................................................................................20 7. Review Auto-Reconciliation Execution Report.........................................................................20 8. Resolve Exceptions on the Auto-Reconciliation Execution Report ..........................................20 9. Run Bank Statement Detail Report............................................................................................20 10. Run Transactions Available for Reconciliation Report ...........................................................20 11. Resolve Un-reconciled Statement Lines ..................................................................................20 12. Post to General Ledger.............................................................................................................21 13. Run the GL Reconciliation Report...........................................................................................21 14. Run the Account Analysis Report for the General Ledger Cash Account ...............................21 15. Review the Account Analysis Report ......................................................................................21 16. Correct any Invalid Entries to the General Ledger Cash Account (Optional) .........................21
CHAPTER 4 ORACLE PAYABLES ............................................................................................................................................ 22
Oracle Financials E-Business Suite Release 12 Period End Procedures

..................................................................26 10...................................................... 40 1.............38 15......................................................................................................................................Business Requirements ............ Open the Next Oracle Projects Period ...........................................................37 11....................................................... Permanently Close the Oracle Projects Period (Optional) ... Run Maintenance Processes.................................. 32 Business Requirements .................................................24 6...................................... 32 Project Periods and General Ledger Periods............................................................................................... Review and Release Revenue for All Projects............................................................................39 19...................................................................................34 6. Run Mass Additions Transfer to Oracle Assets ......................................................32 General Exception Handling at Period End ................. Transfer All Approved Invoices and Payments to the General Ledger................................. Generate Draft Revenue for All Projects ..........................................................37 10................ 40 Business Requirements ................. Run the Payables Approval Process for All Invoices ..................................................................................................................................................................................................... Accrue Uninvoiced Receipts....................................................................................................................... 22 Procedures ................................................................................ Run Generation Revenue Accounting Events Process............................................ Reconcile Transaction Activity for the Period....................................................................................37 9........................... Review and Resolve Amounts to Post to the General Ledger ......................................... Update Project Summary Amounts...................................................................................................37 13..... Complete All Transactions for the Period Being Closed .............................................................24 5..........................................................................................36 8.................................. ......................23 4................ Restore Access to User Maintenance Activities .26 9...............38 16....................................................................................33 Procedures ............................26 11.30 CHAPTER 5 ORACLE PROJECTS ..................................................................................33 4........ Run Period Close Exceptions and Tieback Reports ................................................................................................................................37 12.............................................................................................25 7....................................................... Run Reports for Tax Reporting Purposes (Optional)......................................................... Advance the PA Reporting Period (Optional) ...................................................................................... Run Create Accounting to Process Revenue Accounting Events ..40 2....36 7................... Close the Current Oracle Payables Period ........... Run the Generate Cost Accounting Events Program ....................... 22 1.................................... Submit the Unaccounted Transactions Sweep Program ...............39 CHAPTER 6 ORACLE RECEIVABLES..................................................................... Reconcile Payments to Bank Statement Activity for the Period... Complete All Transactions for the Period Being Closed ..25 8......................................33 3...................................................... 40 Procedures .......... Transfer Invoices to Oracle Receivables.................29 12.... Complete All Transactions for the Period Being Closed ....................................... Run the Key Indicators Report (Optional) ......39 20............40 3............... Complete all Maintenance Activities...............................................29 14....................42 Oracle Financials E-Business Suite Release 12 Period End Procedures ......... Change the Current Oracle Projects Period Status from Open to Pending Close.........................................................33 2................................................................ Interface Cost Transactions to Other Applications .....................22 2..........................................39 21....... 33 1...........................................32 Period Statuses ....... Change the Current Oracle Projects Period Status from Pending Close to Closed .............................................................37 14.................................................................................. Run Final Project Costing and Revenue Management Reports .....................................................29 13....................... Open the Next Oracle Payables Period ......................................................................... Generate Invoices........ Review the Payables to General Ledger Posting process After Completion............................. Reconcile Cost Distribution Lines with General Ledger (Optional)..........................39 18.........38 17..............35 6a.................................................... Reconcile Outstanding Customer Balances ............. Reconcile Oracle Payables Activity for the Period .....................34 5..................................... Run the Cost Distribution Processes.....................23 3...................

..........45 12. 48 Procedures ........................................................................... Check Inventory and Work in Process Transaction Interfaces .......Period End Process ............................................................. Review the Outstanding and Overdue Purchase Orders (Optional).................................................................................45 11..48 3................................................................... Complete All Transactions for the Period Being Closed ............................................................4......................... Run Calculate Gains and Losses (Optional) ............................................... 64 Procedures ...........................................................49 4.........................44 8........................59 2..........62 9..... Post to the General Ledger............................... Reconcile the General Ledger Transfer Process ..............Perpetual Accruals ................ Reconcile Receipts..................61 8....60 4.......................................... Identify and Review Un-invoiced Receipts (Period-End Accruals) .............................................................................................................................................. Reconcile the Journal Import Process ..................................................................................................................................................................................... Run Depreciation ...............53 11..............................64 4........... Run Standard Period End Reports (Optional).....Check With Suppliers ........ 59 1............................................ Complete the Oracle Payables Period-End Process ......... Close the Current Oracle Purchasing Period.........................................................................................................................................................61 7............................. Review the Subledger Period Close Exceptions Report . 64 1................. Validate the Work in Process Inventory ......................................................44 9............................. Reconcile Accrual Accounts .... Reconcile Posted Journal Entries....................... 59 Business Requirements ............................................................................................................................................................................................................................................................................................61 6..................... Run Reports for Tax Reporting Purposes (Optional).............................................................................. Assign All Assets to Distribution Lines....49 6......................46 16.....60 3....................................... 48 1..................................................................................49 5..................... 64 Business Requirements ...............50 9........... Complete All Transactions for the Period Being Closed ............................................................. Complete All Transactions for the Period Being Closed ......46 14............................. Run Standard Period-End Reports and reconcile the Perpetual Inventory with GL .......47 18.............. Close the Current Inventory Period...............45 10........... Review the Unapplied Receipts Register......................................................................................................43 5......................... Close the Current Oracle Receivables Period ................................. Open the Next Oracle Purchasing Period ..............................................................43 6.................49 8........................................................................................46 17..............................................................46 15............... Perform Year End Encumbrance Processing (Optional) ............................................................................................................................................................................................................63 CHAPTER 9 ORACLE ASSETS........................ Run the Receipt Accruals ...................49 7................ Reconcile Receipts to Bank Statement Activity for the Period ........................................................................................................................ Print Invoices .....................44 7.. Close the current Oracle Payables and Oracle Purchasing Periods.............................................55 12................. Follow Up Receipts ........................................................ Review the Current and Future Commitments (Optional).............................................. Third Party Balances Report .............................................. 48 Business Requirements ......................................................................................................... Review Account Analysis Report ...............................50 10..................................................................................................................................................................................................... Follow Up on Outstanding Invoices ....47 CHAPTER 7 ORACLE PURCHASING .......64 3............................... Open the Next Oracle Receivables Period ...............................................................60 5.........46 13....................................................................................................................................................................64 2. Check and fix pending Transactions...48 2........................55 CHAPTER 8 ORACLE INVENTORY-COST MANAGEMENT................ 59 Procedures ....................................... Review the Unposted Items Report ....................................55 13......... Open the Next Inventory Period .................65 Oracle Financials E-Business Suite Release 12 Period End Procedures ........................................................ Transfer Summary or Detail Transactions ..................................................................................

.67 11.....................................................................................................................................................................70 5...........73 5................79 20................................................................. Enter Adjustments and / or Accruals and Post..... Complete Oracle Sub-ledger Interfaces to Oracle General Ledger....................................... Complete Non-Oracle Sub-ledger Interfaces to Oracle General Ledger (Optional: only required if you want to post from non-Oracle systems) ......................73 8.....................5.................................75 13a...................................................................................................................................... Generate Recurring Journals (Optional) .................... 69 Business Requirements ..... Revalue Balances (Optional) ......................................... 82 APPENDIX: MORE INFORMATION ............... Review and Verify Journal Details of Unposted Journal Entries ...... Close the Current Oracle General Ledger Period.................................................................................................................................. Complete Daily Trading Activities ..................................................................................................71 Combined Basis Accounting.............................................................................................................72 4...........................................................78 16.............68 CHAPTER 10 ORACLE TREASURY ....................................... 71 1.................73 6........................77 15..................................................................................................................79 CHAPTER 12 PERIOD END PROCESSING .............................................................................. 87 Related My Oracle Support Information...................................................... Open the Next Oracle General Ledger Period .. 69 Procedures .......66 8......................................... Reconcile Intercompany (optional) ... Create Accounting..........67 10............................................ 71 Period End Close.................................... Transfer Journals to General Ledger....................................................................... Translate Balances (Optional).......72 3...... Post All Journal Batches ..................................................... Perform Revaluation .........................................70 CHAPTER 11 ORACLE GENERAL LEDGER ..................................................................................................................................................73 7........................................... Run GL Trial Balances and Preliminary Financial Statement Generator Reports (FSGs) .................................79 21..............................................................................78 17..77 14................................................................. Run Reports for Tax Reporting Purposes (Optional)............................................................................SUMMARY ......74 9a................................................................................................................. Depreciation Projections (Optional) ................................................................................ Create Deferred Depreciation Journal Entries (Optional).......................... Review and Correct Balances (Perform Reconciliations)...........................................................65 6................................................................ Run Responsibility Reports (Optional)............................ Consolidate Ledgers (Optional) ...............................................72 2................ Generate Journals... Generate Reversal Journals (Optional) ...................... Rollback Depreciation.71 Procedures ....69 4.............................73 9.......................................... Run the Period Close Exceptions Report .................................................................................................................... 87 Oracle Financials E-Business Suite Release 12 Period End Procedures ......................................... Generate Mass Allocation Journals (Optional)................................. 69 1......................................................75 13..... Ensure the Next Accounting Period Status is set to Future Entry......................................................................................................... Review and Post Journal Entries........................69 3.......................................................................................75 10........................................................................................................................................... Run Financial Reports for the Closed Period...... 71 Business Requirements ...............66 7...............................................69 2..................................................................................................................................................................75 11................. Reconcile Oracle Assets to the General Ledger Using Reports...........................................................................................................................78 19..................... Perform Final Adjustments ..................................................................78 18.......75 12......................................................................................................................................................................................... Perform Encumbrance Year End Procedures (Optional) .................... Generate Accruals and Amortization ...................................................................66 9.................... Upload Journals from Web Applications Desktop Integrator (Web ADI) to Oracle General Ledger (Optional)..................................

It behaves like a detailed version of your general ledger and provides a rich store of information for reporting and analysis. Whenever you want to account for your subledger transactions. you can go directly to Subledger Accounting to see the detail from all transaction sources that feed the GL account balance without having to go back to multiple source systems and applications. Subledger Accounting offers a new model between the subledgers and GL. Oracle Financials Release 12 Period End Procedures 8 . for internal and external audit purposes. • Just as Oracle General Ledger stores balances and journals. Sub Ledger Accounting (SLA) – Process Change Due to the impact of the Subledger Accounting Architecture the close process has changed between Release 11i and Release 12. and for ease of drilldown. the accounting is generated by Subledger Accounting.Chapter 1 SLA and Period End Close dependencies Sub Ledger Accounting (SLA) – Business Process The new Subledger Accounting architecture in Release 12 provides a common repository of all your accounting information. Subledger Accounting stores subledger balances and subledger journals for all of your subledgers that require accounting. Subledger Accounting provides a comprehensive view of all subledger accounting data. so that you can maintain a simple chart of accounts and store only what is needed for GL reporting and analysis. Subledger Accounting helps to maintain a common link between General Ledger (GL) balances and underlying transactions automatically. • It allows your general ledger to be free of extraneous data. • The moment you need to access more detailed information. online or as a background batch process.

The reason is that subledger accounting enables you to change the accounting for transactions so it is different from the default accounting. Oracle Financials E-Business Suite Release 12 Period End Procedures 9 .not just on balances but also on suppliers. customers and transactions. You can still reconcile transaction reports to accounting reports. In the accounting reports in Release 11i. distributions on transactions in subledgers are considered to be the default accounting and should therefore not be used for reconciliation purposes. In Release 11i. the subledger accounting becomes the single source of truth for accounting reconciliations. The journals can then be posted to the general ledger to update the GL balances. Differences between R11i and R12 Subledger Accounting (SLA) – Reconciliation From a reconciliation perspective the picture below shows what has been changed between R11i and R12. In Release 11i.In Release 11i the transactions and distributions represented the accounting. you’re actually closing subledger accounting. you should ignore distributions in Release 12. The subledger accounting journal represents your REAL accounting and the balancing lines are created as part of these subledger accounting journals. When you close a period in Release 12. In Release 12 however. Therefore. when you close your periods in each of the subledgers. In Release 12. The point to note is that when you do account balance reconciliation. the balances are displayed but not the transactional information. The new accounting reports in Release 12 now also contain more comprehensive information . Oracle General Ledger will automatically create the balancing lines for journals posted to General Ledger. This changes in Release 12 as subledger accounting creates the balancing lines at the time you account for the subledger transactions. especially if you have altered your subledger accounting rules. there is no reason to reconcile distributions on transactions to the general ledger. you reconciled transactions and distributions to the general ledger through transactional reports.

in order to update the balances correctly. you need to ensure that all your accounting for your transactions is created before you post to General Ledger. from a general perspective. as it is an SLA feature. The accounting can be created immediately online. Oracle Financials E-Business Suite Release 12 Period End Procedures 10 . Create Accounting. The important thing to note. is that the accounting is not the distribution on the transaction. or can be run as a process in the background e. is a new step in Release 12. Therefore. The final accounting by SLA could result in different accounting entries being generated based on the accounting rules you have configured.g. how you can perform the close process for every subledger: a) Complete transactions b) Create accounting c) Reconcile transactions d) Post to General Ledger e) Reconcile accounting f) Close period Step b).Reconciliation between R11i and R12 Subledger Accounting (SLA) Close Process – General Steps Here are some guidelines. as a batch job at a time that matches your business needs.

General – Period End Close Dependencies Before you start with the Period-End process you have to know what the dependencies are between the various modules as described in this document. you close all of your subledgers before you close General Ledger. You actually have to close Oracle Cash Management before you close Oracle Receivables. You also need to close Oracle Payables before you close Oracle Inventory and Oracle Assets. The diagram above shows the dependencies between some of the main Financials products and a couple of supply chain products. you have to close Oracle Payables before you close Oracle Purchasing to account for purchasing accruals at period end. as bank reconciliation in Cash Management will create miscellaneous receipts in Oracle Receivables and so forth. Oracle Financials E-Business Suite Release 12 Period End Procedures 11 . For example. Finally.

Chapter 2 Oracle Order Management This chapter describes the procedures for performing period-end processing in Oracle Order Management Release 12. respectively. where possible. Implicit Acceptance Confirm shipments and optionally. 1. * Close lines and close orders are implemented using workflow. when included in the order header or Oracle Financials E-Business Suite Release 12 Period End Procedures 12 . increasing system speed and efficiency. Closed orders are excluded from many of the standard reports available in Order Management. since many programs. confirm that service contracts for warranties and extended warranties have been created Close orders * Closing orders that are complete enhances performance. These processes. appropriate actions should be undertaken to finalize the Order Workflows and close these Sales Orders. Procedures The following steps are taken in performing period-end processing for Oracle Order Management. windows and report queries retrieve open orders only. Business Requirements Open Sales Orders should be reviewed and. Complete All Transactions for the Period Being Closed Ensure that all transactions have been entered for the period being closed Enter and book all orders Schedule orders Enter and book return material authorizations Run the Generate Pre-billing Acceptance Program for Pre-billing. Orders marked as closed are not selected. Order Management provides seeded close line and close order workflow sub-processes to close the order header and line. the creation of install base entries for shipments Confirm OM-shipping transaction for the period Sales order acknowledgments Cancel backordered included items Respond to workflow approval notifications Confirm that invoice interface (OM-> AR interface) has been completed Optionally. so reporting can be limited only to the active orders.

close the status of the eligible order or lines. no changes can be made to any fields except the descriptive flexfield. Attention: If MOAC is enabled for the Order Management responsibility. Once an order line is closed.line workflow. Holds Effect on Eligible Lines * The close order and close line workflow activities will close order or lines if only generic holds are present . perform the above tasks for each operating unit. 2. If you are using Oracle Purchasing to process Internal Purchase Requisitions. * If you are using external order processing systems for data entry of orders. It closes the order header if it finds that all the lines are closed. the following processes need to be completed: a) Enter and approve all internal purchase requisitions in Oracle Purchasing. * The order header close order process checks at the end of every month to see if all the lines associated with it are closed. Use the Error Message window to determine if your data failed to import. for which you can define processing constraints. Order lines can close independent of each other. Close Order Lines * An order line is eligible to close when it completes all of the line-level activities within the workflow process. b) Run the Create Internal Sales Orders Process in Oracle Purchasing for all requisitions within the current period. Order Import from Oracle Purchasing for Internal Orders. no lines can be added or changed. if you are using the Order Management public API to create orders. Oracle Financials E-Business Suite Release 12 Period End Procedures 13 .If orders or lines have activity specific holds present. Attention: Be sure to include the standard sub-processes of close line and close order at the end of all your line and order flows to ensure that your orders and returns close once all prerequisites have been met. they will not be closed by workflow activity. Ensure all Interfaces are Completed for the Period (Optional) Ensure that all interfaces for the current period have been processed: Order Import from External Order Systems. Alternatively. Once an order is closed. ensure that the processes calling the public API have completed. * Use the Order Import Correction window to examine the orders and optionally correct data if it fails the import process. use the Order Import to update Oracle Order Management from your external systems.

you can access the Workflow monitor to see the order or line status in a more graphical format. Internal orders do not go through the Invoice interface/ AutoInvoice process. d) Run the Internal Order and Purchasing Requisition Discrepancy Report which displays the differences between the purchasing requisition entered and the actual items ordered during order entry. 3. From the status page. 4. order numbers. The AutoInvoice Process updates Oracle Receivables for invoice and revenue information. requisition numbers. This is available through the View Diagram button. Review Held Orders Run the following reports to assist with reviewing sales orders on hold: Oracle Financials E-Business Suite Release 12 Period End Procedures 14 . The Workflow Status option on the Sales Orders window Tools menu launches the Workflow Status page. Use the Error Message window to determine if your data failed to import. Review Open Orders and Check the Workflow Status Use the Sales Orders Workbench to review open orders using the Advanced Tabbed Region to specify controls such as whether to find closed orders/lines and cancelled orders/lines. scheduled dates. order types. The Sales Orders window displays the order header status in the main tab of the Order Information tabbed region. The Create Internal Sales Orders and Order Import processes can be scheduled to run automatically at specified intervals. Attention: Order Management does not process internal sales order lines for the Invoice Interface. the Order Import process is run from within Order Management to generate the internal sales orders. This report includes all open and closed orders. as well as credit memos and credits on account created from returns. The window shows in tabular format all the activities an order header or line has completed and the corresponding results. The order line status is displayed in the main tab of the Line Items tabbed region. f) Invoice Interface / AutoInvoice.Use the Create Internal Sales Orders process to send requisition information from approved. Then. order date ranges. for external orders. even if the Invoice Interface is an action in the order Workflow Definitions for the Internal Sales Order transaction type. inventory-sourced requisition lines to the Order Management interface tables. ship to information. This process will ensure all shipped sales order information is transferred to Oracle Receivables when it reaches the appropriate point in the order workflow. items. e) Use the Order Import Correction window to examine the orders and optionally correct data if it fails the import process. c) Run Order Import to create internal sales orders from internal requisitions. Attention: This process is only applicable for Order Workflow Definitions that include the Invoice Interface or Invoice Line processes. and internal requisition and internal sales order hold discrepancies.

a) Backorder Detail Report Oracle Financials E-Business Suite Release 12 Period End Procedures 15 . This report is automatically sorted by customer. c) Outstanding Holds Report The Outstanding Holds Report reviews order holds for the customer or customers you choose. once the goods are accepted. order number. Review Customer Acceptances (Optional) In Pre-Billing Customer Acceptance. It is automatically sorted by customer. 7. This report provides order level pricing information. and exceptions are clearly identified and reviewed and/or followed up. Review Discounts It is recommended that you review discounts processed as part of the order process to ensure appropriate discount policies have been followed. process cancellations for items/lines which are no longer required.a) Orders on Credit Check Hold Report The Orders on Credit Check Hold Report identifies all of the credit holds currently outstanding for a customer within a date range. This report provides detailed line pricing information. Use the following reports: a) Order Discount Detail Report The Order Discount Detail Report reviews discounts applied to orders by order line detail. 5. currency code. Review Backorders Review backlogs and backorders to ensure that these items are current. credit check rule. and then order line detail. b) Hold Source Activity Report The Hold Source Activity Report reviews holds placed and removed under a hold source during the time period you specify. salesperson and total order discount. ordered items. the revenue recognition process is deferred and linked to customers accepting the shipped goods. and order amount for each order line on hold for each customer you select. including agreement. Order Management allows you to perform a credit check on customer orders and automatically places orders on hold that violate your credit checking rules. If necessary. and order number. This report displays the order number. order line. All balances are calculated as they are using the online credit check rule. 6. In Post-Billing Acceptance. order date. including price list price. or identifies why a particular order is on hold. invoicing is carried out. b) Order Discount Summary Report The Order Discount Summary Report reviews discounts applied to orders. including the factor for shipments and receivables for a certain number of days. This report indicates the date and the type of activity for each hold transaction. and discount information. selling price.

When Exception Management encounters this situation. shipped and outstanding. order date. Oracle Financials E-Business Suite Release 12 Period End Procedures 16 . last shipped date. customer name and number.The Backorder Detail Report reviews all customer orders that have been backordered. order type. order number.) c) Returns by Reason Report The Returns by Reason Report reviews all return material authorizations for various return reasons. 9. return reason. or deleted as appropriate. They may indicate incomplete processing. Reconcile to Oracle Inventory Run the following reports for reconciliation with Oracle Inventory: a) Backorder Detail Report b) Review Backorders (Already discussed under section 7. This report includes only open orders in an order cycle that includes pick release. and monetary amounts of both ordered and backordered quantities. b) Retry Activities in Error There are cases when retrying a workflow activity in error will not resolve the problem. and then item. It displays order information such as order number. This report provides details for each order including customer name. all backordered items and their appropriate line numbers. the workflow activity is set to ‘notified’ instead of being retried. These amounts involve totals for shippable items only. Order Management automatically sorts this report by currency. order type of each order. b) Backorder Summary Report The Backorder Summary Report lists all unshipped orders. Review and Correct Order Exceptions The following reports should be reviewed. 8. c) Sales Order Workflow Status Report The Sales Order Workflow Status Report enables Order Management users to locate orders that are not progressing through associated workflows as expected. total quantity both ordered and backordered. which needs to be corrected. and exceptions corrected before completing the Order Management/Receivables period end: a) Unbooked Orders Report Use this report to review orders entered but not booked. purchase order. and the monetary amounts ordered. 10. completed. Create Service Contracts (Optional) Run the Service Contracts Order Processing Concurrent request to create service contracts for extended warranties. This report also includes total amounts for customers and currencies.

b) Order/Invoice Detail Report The Order/Invoice Detail Report reviews detailed invoice information for orders that have invoiced. and who cancelled the order. customer or customer number. Oracle Financials E-Business Suite Release 12 Period End Procedures 17 . 12.11. c) Customer Acceptance Report Generate Pre-billing Acceptance Program for Pre-billing. shipped. A variety of parameters can be used to print the invoice information for a specific order or group of orders. order types. Order Management prints in the report that no invoices exist for that order. Reconcile to Oracle Receivables (Optional) Run the following reports to assist in reconciliation of orders invoiced in the period: a) Commercial Invoice (for all ship dates within the current AR period) The Commercial Invoice Report lists all confirmed shipped items in a delivery. and invoiced and their potential commission. This report displays the order and each order line associated with each salesperson. including order number. cancelled. This report shows open orders. quantity ordered. and allows evaluation of the most common cancellation reasons. b) Salesperson Order Summary Report The Salesperson Order Summary Report reviews orders for one or more salespeople. If there are no invoices for a particular order that meets the parameter criteria. If only a delivery name is specified when defining the parameters of this report. The report displays all open and closed orders for a salesperson. or review cancellations by customers. Run Standard Period End Reports The following reports should be run each period: a) Cancelled Orders Report The Cancelled Orders Report reviews all orders that have been cancelled. Implicit Acceptance. This report can be used to report total amounts cancelled in a specified time-frame. order date ranges. customer name. line number and item. This report provides a summary of each cancelled order. and detailed sales credit information for lines in a selected range. Salespeople can use this report to see their current outstanding orders and their status. the date and reason the order or order line was cancelled. Shipping Execution prints one commercial invoice per delivery within the trip. line type. order numbers. the quantity ordered and the quantity cancelled. agreements. review cancellations by salesperson.

bank branches & internal bank accounts setup. based on the cash pool setup in the system. cash pooling and flexible cash forecasting. you can automatically generate system transactions to match banking information once the bank posts the sweeps. intra-bank account transfers. Cash forecasting is a planning tool that helps anticipate the flow of cash in and out of the enterprise. and send payment instructions to the bank. if necessary. The Bank Reconciliation process enables the verification of entries on the Bank Statement by reconciling that information with system transactions in Oracle Payables. For organizations with high transaction volumes bank statements should be loaded and reconciled on a daily basis. 1. allowing the projection of cash needs and evaluation of the company's liquidity position. run the Sweep Transaction Generation concurrent program. Bank statements can be either manually entered or loaded electronically from information received directly from your bank. Refer to “Entering Bank Statements Manually” and “Loading Bank Statement Open Interface” in the Oracle Cash Management User Guide. and checks cleared needs to be entered into Cash Management. including bank account information. Business Requirements Oracle Cash Management is an enterprise cash management solution that helps you effectively manage and control the cash cycle. Load Bank Statements Detailed information from each bank statement. such as bank charges and interest. The program will scan the bank statement for sweep lines and. During the Bank Reconciliation process miscellaneous transactions can be created for bank-originated entries. 2. Once the bank statements are imported. bank. Complete Daily Cash Management Activities Complete bank account transfers for the day. Oracle Receivables and Oracle General Ledger. deposits received by the bank. validate them. 3. create Oracle Financials E-Business Suite Release 12 Period End Procedures 18 . Procedures The following steps are taken in performing period-end processing for Oracle Cash Management. It provides comprehensive bank reconciliation.Chapter 3 Oracle Cash Management This chapter describes the procedures for performing period-end processing in Oracle Cash Management Release 12. Generate Sweep Transactions If you have target balance or zero balance accounts (ZBA) with your banks.

Cash Management provides two methods to undertake reconciliations: a) Automatic Bank statement details are automatically matched and reconciled with subledger transactions. miscellaneous transactions for bank-originated entries. which can be accounted for and subsequently reconciled. you will need to re-run the ‘Create Accounting’ routine from Oracle Receivables to ensure all information is transferred to the General Ledger. This method is ideally suited to reconciling bank accounts which have a small volume of monthly transactions. Note: The automatic reconciliation process can be set up to create miscellaneous transactions automatically. Reconcile Bank Statements Once detailed bank statement information has been entered into Cash Management. run the Bank Statement Creation concurrent program. 5. 4. as defined in the Bank Statement Cashflow Mapping.sweep transactions between your internal bank accounts. such as bank charges and errors can be created. the information must be reconciled with the subledger transactions. Create Miscellaneous Transactions During the reconciliation process. Attention: If you create transactions during the reconciliation process. Refer to “Reconciling Bank Statements Automatically” in the Oracle Cash Management User Guide. which can be accounted for and subsequently reconciled. Refer to “Reconciling Bank Statements Manually” in the Oracle Cash Management User Guide. Oracle Financials E-Business Suite Release 12 Period End Procedures 19 . 6. This method is ideally suited for bank accounts which have a high volume of transactions. and create cashflows. The manual reconciliation method can also be used to reconcile any bank statement details. Once the bank statements are imported. This program will scan the bank statement for specific codes. Create Bank Statement Cashflows If you have recurring items such as bank fees and interest appear on your bank statement. which could not be reconciled automatically. you can use the Bank Statement Cashflow Creation program to create system transactions (cash flows) to match banking information. b) Manual This method requires a manual match of bank statement details with subledger transactions. Oracle Payables payments or Oracle Receivables receipts can also be manually created.

This report lists any un-reconciled transactions separately with their current status. You may also request it as needed from the Submit Request window. Cash Management automatically produces this report during the automatic reconciliation process. statement line detail. Run Bank Statement Detail Report This report shows statement and transaction information for a specific bank account statement. Transaction Date. un-reconciled. including bank statement header information.6a. and reconciled transaction detail. Review Auto-Reconciliation Execution Report Once the reconciliation process has been completed. 8. reviewing the reconciliation results is recommended. This report only lists void payments if the Show Void Payments option on the Systems Parameters window is checked. reconciled. This report groups transactions by status so that void or reversed transactions are separate from other transactions. Run Transactions Available for Reconciliation Report This report shows all transactions available for reconciliation for a specific bank account. Available Payment. Resolve Exceptions on the Auto-Reconciliation Execution Report Resolve the exceptions on the Auto-Reconciliation Execution report by either rerunning the import process or by manually reconciling the exceptions. and Amount. which prevented the automatic loading of your bank statement. Resolve Un-reconciled Statement Lines Resolve the un-reconciled statement lines by manually reconciling the statement lines to the available transactions. It does not list reversed receipts due to user error nor does it list the associated original receipts that were not reconciled. This report includes either statement import errors. over-reconciled and under-reconciled. This report shows import and reconciliation errors that occurred when running the Auto-Reconciliation program. and Available Journal Entries for reconciliation. including the amount entered. Supplier or Batch Name. and gives you the option to select only un-reconciled statement lines. Oracle Financials E-Business Suite Release 12 Period End Procedures 20 . or your reconciliation exceptions found during the automatic reconciliation process. 11. It lists detailed transaction information for your Available Receipts. 10.Complete Bank Transfers Complete the bank account transfer whether it is manual or automatic and record the validation if required before completing the transfer. Detailed information includes the Customer. Transaction Number. and the statement totals for each type of transaction. Payment Method. This report lists the details of any miscellaneous transactions that were created in Receivables during the automatic reconciliation process. 7. Currency. 9.

If you do not transfer the journals to General Ledger immediately. if transfer from sub-ledgers was not in FINAL POST mode. 13. Run the GL Reconciliation Report Use this report to reconcile the General Ledger cash account to a bank statement balance. Transactions entered directly via General Ledger will have a Source of Manual or possibly Spreadsheet if Web Applications Desktop Integrator (Web ADI) is used. you must first perform these tasks: * Reconcile all statements in Cash Management. payments. Run the Account Analysis Report for the General Ledger Cash Account Run the Account Analysis Report from General Ledger for the General Ledger Cash Account Flexfield and sort by Source. Such journals cannot be transferred or posted to General Ledger. Oracle Financials E-Business Suite Release 12 Period End Procedures 21 . 14. Valid sources will include Payables and Receivables. This report lists a balance and an adjusted balance for the bank statement. and journal entries. * Transfer journal entry transactions from Oracle Payables and Oracle Receivables to your General Ledger. Post to General Ledger Create journal entries for eligible accounting events generated by Bank Account Transfers and Bank Statement Cash Flows by submitting "Create Accounting" concurrent program. Review the Account Analysis Report Review the Account Analysis Report to ensure that only bank account related transactions have been posted to the General Ledger Cash Account by checking the Source of the transactions.12. To prevent invalid journal entries to the General Ledger Cash Account enable security rules appropriately. the program can be run in a draft mode. Please make sure you are satisfied with the draft journal entries before creating final accounting. 16. Correct any Invalid Entries to the General Ledger Cash Account (Optional) Reverse or amend any journals incorrectly posted to the General Ledger Cash Account. which were highlighted during the review of the Account Analysis Report. in which case draft journal entries will be created. It also lists a separate adjustment amount for un-reconciled receipts. as well as bank errors. Warning: To ensure that this report is accurate. 15. * Post journals in General Ledger. The program creates and optionally transfers and posts journal entries to General Ledger. In addition to creating final accounting entries. Attention: Final journal entries cannot be further modified in Cash Management. you can later submit the "Transfer Journal Entries to GL" concurrent program.

When you update the period status to ‘open’ in one operating unit. and their transactions. Subledger Accounting can contain all of the detailed subledger accounting level analysis. All of the operating units that share a ledger also share the same period statuses. Where detail level accounting transactions are required to be posted to the General Ledger using sub-ledger accounting (hereafter referred to as SLA). Completing all transactions for Oracle Payables: * Complete Invoices and Credits * Complete Prepayments * Complete Expense Reports * Complete Invoice Import * Complete Payments If you import transactions from an external system. Procedures 1. the system checks for unposted transactions in all operating units within the ledger. the system asks you to Oracle Financials E-Business Suite Release 12 Period End Procedures 22 . When you attempt to update the period status to ‘closed’ in one operating unit. In Release 12 the detailed level of posting can be controlled by GL summarize options and also at SLA journal line type level. or you are using Internet Expenses or Xpense Xpress.Chapter 4 Oracle Payables This chapter describes the procedures for performing period-end processing in Oracle Payables Release 12. there may be technical constraints involved. and reviewed all audit trails for completeness. and posting and report processing speed degradation caused by the sheer volume of posted transactions. Subledger Accounting online inquiry and BI Publisher reports can be utilized to report and analyze balances. that period is opened for all operating units within the ledger. One consideration for Accounts Payable where there are multiple operating units within the same ledger is that all operating units must be ready to close at the same time. Business Requirements Accounts payable activity must be reconciled for the accounting period that is to be closed. The posting level for Oracle Payables must be determined when planning period-end procedures. relating to the physical data storage volume. If there are unposted transactions in any of the operating units. Then. The following steps are taken in performing period-end processing for Oracle Payables. so that the general ledger can remain “thin”. ensure you have imported all transactions. Complete All Transactions for the Period Being Closed Ensure that all transactions have been entered for the period being closed.

event type. This report is owned by SLA. Run this report after you have run the Create Accounting Process. 3. you can produce a detailed or summary listing of the accounting information you want to review. Accounts Payable sorts the report by transaction type (invoice or payment). and those which have not been posted but have been accounted. through one OU at a time. You can then correct the problems and resubmit the accounting process. resolve any identified holds which will prevent posting to the general ledger. b) Review the Journal Entries Report This report enables review and analysis of accounting entries in the Payables subledger. review the details and make necessary changes.resolve the un-posted transactions for those operating units before it allows you to close the period for the ledger. If Multi-org Access Control is implemented. The report details all invoices that Oracle Payables cannot select for posting and therefore cannot create journal entries. and voucher number. The report will then show only transactions that had problems that prevented accounting. Note that this report does not include invoices that have no distributions. Run the Payables Approval Process for All Invoices Run the Payables Approval process to approve all unapproved invoices and invoice lines in the system. ledger currency. Where possible. supplier. supplier name. transaction currency. When a transaction is accounted with errors. transactions that have been accounted with error and all entries that could not be transferred to the general ledger. and then re-run the Payables Approval process to approve these invoices. and transaction number. Review and Resolve Amounts to Post to the General Ledger a) Review the Invoice on Hold Report This report enables review of any holds currently applied to invoices that would prevent the payment and/or posting of these invoices. and event class. Data is then sorted by accounting date. The report also lists. c) Review the Unaccounted Transactions Report This report enables review of all unaccounted invoice and payment transactions and a view of the reason that Payables cannot account for a transaction. d) Optionally run a Payment Process Request at the month end Oracle Financials E-Business Suite Release 12 Period End Procedures 23 . so that they can be paid by Oracle Payments and posted to the general ledger. as accounted by SLA. 2. SLA groups the report by ledger. Using the report parameters. source. the report also lists those transactions which have been posted in the general ledger. in detail. category. document number. exception. period closing can be performed across OU’s from a single responsibility. By altering the parameters.

Final Post and Draft. This report is automatically submitted when payment instructions are being created and can also be submitted from the standard report submission (SRS) screen. including discounts. these two reports would not balance. 5. Check the status of the Payment Process Request/Payments/Payment Instructions to ensure that all payments have been processed. and posted in the general ledger.By running a month end Payment Process request. A draft entry does not update balances and does not reserve funds. Oracle Financials E-Business Suite Release 12 Period End Procedures 24 . e) Confirm all Payment Instructions Run the Payment Instruction Register for the period that is to be closed. you may create a payment for as many due invoices as possible. The transactions in draft accounting mode can be included on accounting reports but cannot be transferred to the general ledger. The transactions that have been accounted in the Final Mode have been transferred to GL or can still be within the subledger based on the parameter Transfer to General Ledger (either 'Yes or 'No') in the Create Accounting program. Attention: Oracle Payables prevents the closing of a period in which all payments have not been confirmed. f) Optionally run the Payments Register The Payment Register details payments printed in a particular accounting period. 4. Warning: The report total only shows the net (less discounts) payment amount. or finalize any outstanding payments. “Transfer Journal Entries to GL” program needs to be run from the Standard Report Submission (SRS) window. Reconcile Payments to Bank Statement Activity for the Period Refer to Chapter 3 Period-End Procedures for Oracle Cash Management. The Payment Instruction Register lists each payment created for a payment process profile or for a manual payment. Please review the “Transfer Journal Entries to GL” report generated by this program. including setup and overflow payment documents. Transfer All Approved Invoices and Payments to the General Ledger Release 12 provides 3 modes of accounting: Final. When accounting mode is Final and transfer to GL is set to ‘No’ then. Therefore it is necessary to subtract the ‘Discounts Taken’ from the Posted Payment Register report total and then compare this calculated amount to the total displayed on the Payments Register Report. by payment number. make sure there are no errors reported on this report. in ascending order. This report can be used to review payment activity for each bank account used during the specified time period. Actual payments can be compared against this register to verify that Oracle Payables/Oracle Payments has recorded payments correctly. The report lists each payment in a payment process request. whereas the Posted Payment Register total is the total payment amount. The transactions that have been accounted in Final Post have already been transferred to. If only verifying report totals. Use Oracle Payments to confirm any payment instructions.

7.e. and can be used to verify that the total invoice amount equals the total invoice distribution amount. For example. Attention: The generated journal batch needs to be posted from within Oracle General Ledger if the mode of accounting was ‘Final’. 6. Transfer to General Ledger was ‘Yes’ and Post in GL was set to ‘No’. Payment journal entries debit the liability account and credit the cash account of the bank account used to pay an invoice. The report lists each Accounts Payable Liability Accounting Flexfield and the invoices posted to the account. Because you cannot close a Payables period that has unaccounted transactions in it. b) The Posted Invoices Register This report is used to review invoices for which information has been posted to Oracle General Ledger to create journal entries. This report provides either the summary or details (dependent on the parameters provided during Create Accounting program) of the subledger journal entries created as a result of running “Create Accounting Program”. The journal batch will be automatically posted in General Ledger if the mode of accounting was ‘FINAL’ and Post in GL was set to ‘Yes’. The journal entries are posted in Oracle General Ledger to update account balances. and can be used to review the payment activity for each bank account used during that period. a) The Subledger Accounting Program Report generated by the Create Accounting program. Invoice journal entries debit the expense or other account entered on an invoice distribution line. The following reports can be run to review the invoices and payments that were posted to Oracle General Ledger. and your accounting practices allow you to change invoice Oracle Financials E-Business Suite Release 12 Period End Procedures 25 . This report also provides any errors that may have occurred during generation of the journal entries. c) The Posted Payments Register This report is used to review the payments posted to Oracle General Ledger during a particular accounting period. Submit the Unaccounted Transactions Sweep Program The Unaccounted Transactions Sweep Program transfers unaccounted transactions from one accounting period to another. unless you have modified the SLA rules to create alternative accounting entries to address your specific business needs. and credit the liability account specified on the invoice. The Create Accounting process transfers data to the General Ledger tables. if your accounting practices permit it. you might want to use this program to change the accounting date of the transactions to the next open period. creating journal entries for these invoice and payment transactions. the current accounting period. Posting is determined by the parameter ‘Post in GL’ which is set during Create Accounting. from Oracle Payables. for the period that is to be closed. i.SLA creates detail or summary journal entries for all eligible events when you post. Review the Payables to General Ledger Posting process After Completion. you have invoices for which you cannot resolve holds before the close.

Payables provides the next open period. Choose the Submit button to submit the Unaccounted Transactions Sweep Program. or accounted transactions with errors. Reconcile Oracle Payables Activity for the Period a) Run the Open Account AP Balance Listing Report (Accounts Payable Trial Balance*) Oracle Financials E-Business Suite Release 12 Period End Procedures 26 . Choose the Sweep button. 8. The program transfers unaccounted transactions to the period you specify by updating the GL dates to the first day of the new period. 4. Payables automatically produces the Unaccounted Transactions Sweep report. you can submit this program to change invoice distribution GL dates to the first day of the next open period so you can close the current period. You can then close the current accounting period in Oracle Payables. The ‘Unaccounted Transactions Sweep Program’ will not roll forward accounted transactions. To create successful accounting entries for accounted transactions with errors.distribution GL dates. Payables opens the Sweep to Period window. In the Sweep to Period field. correct any accounting errors and resubmit the Create Accounting Process. Payables opens a message window. Choose the Exceptions button in the Control Payables Periods window. 2. This process automatically submits the Subledger Period Close Exceptions Report. It is automatically submitted by General Ledger when closing a GL period if there are unprocessed accounting events or untransferred journal entries. You can also generate the Subledger Period Close Exceptions Report through a concurrent request as follows: * For the application associated with the responsibility * For all applications in the General Ledger responsibility 9. You can accept this default or enter another open period. From the window you can choose the following buttons: • Review (This submits the Period Close Exceptions Report. Close the Current Oracle Payables Period Close the accounting period by using the Control Payables Periods window to set the Period Status to ‘closed’. To submit the Unaccounted Transactions Sweep Program: 1. The Subledger Period Close Exceptions Report lists all accounting events and journal entries that fail period close validation. Accrue Uninvoiced Receipts (Refer to Chapter 7 Period-End Procedures for Oracle Purchasing) 10.) • Sweep 3. In the Control Payables Periods window if you try to close a period that has exceptions then the system enables the Exceptions button.

This report is a modified version of the Open Account Balance Listing report. Please refer to the My Oracle Support note # 553484. 2. 3. Report Name = "Accounts Payable Trial Balance" Short Name = APXTRBAL This is the R12 Accounts Payable Trial Balance. To obtain the most up-to-date trial balance for a given period. prior to running the report. with the Oracle General Ledger Creditors Control Account. 4.1 to understand which specific report is applicable in your case. Please refer to the My Oracle Support note # 604739. the following reconciliation method can be used: Use the following reports to reconcile your transferred invoices and payments to ensure that your Trial Balance accurately reflects your accounts payable liability: Open Account AP Balance Listing Report or Accounts Payable Trial Balance (for last day of prior period).This report basically generates the payables trial balance that can be used for reconciliation of the total accounts payable liabilities in Oracle Payables. journal entries should be posted for the invoice and payment activity for the period. Oracle Financials E-Business Suite Release 12 Period End Procedures 27 . Instead. Report Name = "Open Account AP Balances Listing" Short Name = XLAAPRPT This is the subledger Open Account Balance Listing report modified for Payables and should be used as the Trial Balance. The report provides details of the outstanding accounts payable liability for the organization. use the applicable Payables modified version of the report. In R12. there are 4 Concurrent Programs related to the trial balance: 1. Report Name = "Open Account Balance Listing" Short Name = XLATBRPT This is a Subledger Accounting report. The Open Account AP Balance Listing is based on a Subledger Accounting extract and enables you to identify the open Accounts Payable transactions that make up each Accounts Payable balance.1 for more details on this report. This is run to generate trail balance as of last day of prior period. this is the correct report name to run if Trial Balance Remodel Phase 4 or higher has been applied.1 and 553484. *Accounts Payable Trial Balance report name. Report Name = "Accounts Payable Trial Balance (Old) " Short Name = APXTRBAL This is the R11i Accounts Payable Trial Balance. it should be disabled in R12. For reconciliation of Oracle Payables and Oracle General Ledger when posting is only performed at period end. This report can be used to generate payables trial balance. for a specific accounting period. This report should NOT be used for Payables.

Open Account AP Balance Listing Report or Accounts Payable Trial Balance (for last day of current period).Payment journals must be posted in general ledger to appear on this report. It retrieves the following information: * Third party balances for third party control accounts * Subledger journal entry lines that add up to the total period activity for each control account. For more information refer to ‘SLA Implementation Guide’. Before running your reports.30th April. Payables Posted Payment Register . for reconciliation of Oracle Payables liabilities with Oracle General Ledger’s Trade Creditor Control Account. run the Transfer Journal Entries to GL Program for all transactions in the period that you are reconciling. This is run to generate trial balance as of last day of current period) This balancing process will help you ensure that all liabilities recorded in Payables are reflected in the general ledger AP liability accounts. Also. the Posted Invoices Register and Posted Payments Register reports must be run after each posting run. be sure to post the transactions in the general ledger. Attention: Typical AP/GL Reconciliation Example 31st March Open Account AP Balances Report (or Accounts Payable Trial Balance) + April Payables Posted Invoice Register –April Payables Posted Payment Register –. b) Run Third Party Balances Report (Optional) This report is used to display balance and account activity information for suppliers and customers. you can use the Account Analysis report and the General Ledger reports to determine what journals are being posted to that account. as SLA has the ability to override the accounting. and third party site * Third party and third party site information * User transaction identifiers for the associated event Oracle Financials E-Business Suite Release 12 Period End Procedures 28 . Attention: A comparison between the accounts in payables with the accounts in GL might not match.Payables Posted Invoice Register . third party.Invoice journals must be posted in general ledger to appear on this report. Open Account AP Balances Report (or Accounts Payable Trial Balance) =0 Attention: When posting to the General Ledger is performed multiple times throughout each accounting period. If the balance reported by the Open Account AP Balances Report (or Accounts Payable Trial Balance) does not equal the balance in the AP liability account.

Payables sends the invoice distribution amount in the converted functional currency. Optionally compare it with ‘Third Party Balances’ report (if applicable). This report is owned by SLA. you can review them in the Prepare Mass Additions window in Oracle Assets. which is required to be reported to the relevant Tax Authority. Review this report.The balances in this report can be compared with the general ledger balances for the same control accounts to reconcile. 13. 12. For foreign currency assets. Run Reports for Tax Reporting Purposes (Optional) A variety of standard reports can be used to provide tax information. you should consider running the Mass Additions Create process on a more regular basis. Run Mass Additions Transfer to Oracle Assets After you have completed all Payables transaction entries. The E-Business Tax data extract draws tax information from each application and stores the data in an interface table. 11. submit the Mass Additions Create program to transfer capital invoice line distributions from Oracle Payables to Oracle Assets. It only includes journal entries transferred to and posted to general ledger. Note: To avoid duplication with subledger journal entries. After you create mass additions. Suggestion: If the volume of transactions in Accounts Payable requiring Assets update is large. and confirmed all invoice holds. It is recommended to do a final Mass Additions Create after the period close to ensure that all Payables invoices are: * Included in the correct period and * Any additional invoicing will become part of the next periods invoice and asset processing period. general ledger journal entries imported from SLA are not included in the report. The mass addition line appears in Oracle Assets with the functional currency amount. c) Submit and review Account Analysis Report The Account Analysis Report provides drill-down information about the movement on a particular account for a period or range of periods. and carry forwards. Output from the tax extract is designed to look as close to a simple tax report as possible. including withholding tax. Oracle Financials E-Business Suite Release 12 Period End Procedures 29 . Open the Next Oracle Payables Period Open the next accounting period by using the Control Payables Periods window to set the Period Status to Open. Withholding tax is handled by Payables whereas other tax requirements are handled by E-Business Tax.

Oracle Payables produces this report only if you choose ‘Yes’ for the Include Invoice Detail parameter. invoices. The short name of this report is RXZXPFTR. Payables further breaks down each category into basic items. The report includes. payments and matching holds in the system. both the tax amount and the invoice amount subject to tax.Suggested Reports include: Financial Tax Register Use the Financial Tax Register to view the output from the Tax Reporting Ledger. invoices. The Key Indicators Report provides current activity indicators that compare current period activity with prior period activity in three major areas: suppliers. This report provides detail tax and invoice information and the total amounts for each tax rate code in the invoice currency and functional currency. for each invoice. When you submit the Key Indicators Report. c) Key Indicators State of the System Report Oracle Financials E-Business Suite Release 12 Period End Procedures 30 . 14. The Tax Reporting Ledger consists of accounting information created in Oracle Payables. The Key Indicators Report generates the following reports: a) Key Indicators Current Activity Report Use the Key Indicators Report to review your accounts payable department's productivity. b) Key Indicators Invoice Activity Report Report that compares the invoice activity for each of your accounts payable processors during the period you specify and the previous period. These tax registers are available: • Tax Register (default) • Interim Tax Register • Nonrecoverable Tax Register These summary levels are available within each Tax Register: • Transaction Distribution Level • Transaction Level (default) • Transaction Line Level Tax Audit Trail Report Use the Tax Audit Trail report to review tax information for posted or partially posted invoices. for each tax rate code. This statistical information can be useful for cash flow analysis and forecasting purposes. The short name of this report is ZXXTATAT. and Oracle General Ledger. and review the current number of suppliers. Oracle Payables generates reports you can use to review payables transaction activity. when combined with similar information from Oracle Accounts Receivable. distributions of all posted or partially posted invoices. The report lists. and updates. Run the Key Indicators Report (Optional) This report enables review of the accounts payables department’s productivity. Note: Please refer to Oracle E-Business Tax Reporting Guide for complete details on tax related reports. The report provides the number of transactions for each indicator (such as number of automatic payments created during a period) and amount values where applicable to the Key Indicator (such as total value of automatic payments created during a period). and payments. exception items.

Payments: * Number of payments (both manual and computer generated) created and recorded in Payables. *Average sites per supplier (number of sites divided by the number of suppliers).a payment document can pay multiple invoices). as well as average values. * Average lines per invoice (number of invoices divided by the number of distributions.) * Scheduled payments (number of scheduled payments based on payment terms and manual adjustments in the Scheduled Payments tab). * Number of supplier sites. * Average matching holds per invoice on matching hold (number of matching holds divided by the number of invoices on matching hold). Invoices: * Number of invoices. * Invoice payments (number of invoice payments made by Payables . it includes: Suppliers: * Number of suppliers. * Number of invoice distributions. Matching holds: * Matching holds (number of matching holds in Payables).The Key Indicators State-of-the-System Report provides a period-end view of Oracle Payables. * Average invoices per payment (number of payment documents divided by the number of invoice payments). For example. Oracle Financials E-Business Suite Release 12 Period End Procedures 31 . * Average payments per invoice (number of invoices divided by the number of scheduled payments).

Most subledgers have a periodic cycle that parallels the general ledger fiscal cycle. such as a 5-4-4 period split. This will enable you to more easily align Projects with General Ledger for reconciliation purposes. * Open . such as Projects.This status prevents transaction entry. Suggestion: If you have different periods in Projects. and other modules. Oracle Financials E-Business Suite Release 12 Period End Procedures 32 . while allowing minimum interruption of transaction processing.Period is available for data entry. you may want to consider using one of the alternate general ledger period conventions. * Pending Close . Usually used where modules are maintained in different periods. * Permanently Closed .Period is closed for processing. and allows users to correct unprocessed items prior to completing the period close. Project periods may be based on a different period of time such as a week.Period is open to accept transactions from other modules. * Closed . * Future Enterable . transactions are summarized into periodic cycles for reporting and reconciliation.Chapter 5 Oracle Projects This chapter describes the procedures for performing period-end processing in Oracle Projects Release 12. then you may need to put in place special procedures for the reconciliation of Projects to the general ledger. but can be re-opened if required. projects may be based on a different periodic cycle to that of the general ledger. However. Project Periods and General Ledger Periods In Oracle subledgers. and transactions are likely to be posted across modules. Business Requirements Period end procedures for Oracle Projects have two main functions: Changing the status of the current period to closed Activating all the processes and controls necessary to produce reports that accurately reflect the period activity. Period Statuses Oracle Projects has statuses similar to the standard period statuses as in other modules: *Never Opened . If the two sets of periods overlap.Period has never been used.No further processing is possible.

This process needs to be performed for each operating unit defined. which allows you to interface and adjust transactions in the period but does not allow transaction entry. Open the Next Oracle Projects Period It is recommended that you open the next period to minimize interruption to users who may require the ability to enter transactions in the new period during the current period close procedure. without accounting for them. you should ensure that all the following maintenance activities have been completed: Project Maintenance (revenue/billing based options) * Billing burden schedules and burden schedule overrides * Bill rate schedules and bill rate overrides * Project labor multiplier changes * Revenue budget changes * Project/Task % complete * Funding changes * Changes in the task Ready to Accrue checkbox Implementation Maintenance Oracle Financials E-Business Suite Release 12 Period End Procedures 33 . Complete all Maintenance Activities As there are a number of maintenance activities that can affect the period close procedure. This process needs to be performed for each operating unit defined. 2.General Exception Handling at Period End If you do not want to correct exceptions during the current GL period. then you can run the process “PRC: Sweep Transaction Accounting Events” to change the date on unaccounted transaction accounting events to the first day of the next open GL period. The Subledger Period Close Exceptions Report lists all accounting events and journal entries that fail period close validation. Change the Current Oracle Projects Period Status from Open to Pending Close This is an interim status. 3. Procedures 1. You can generate the Subledger Period Close Exceptions Report through a concurrent request for the application associated with the responsibility or for all applications in the General Ledger responsibility.

Run PRC: Transaction Import. Run Maintenance Processes It is recommended that the following maintenance processes be run in preparation for the period end: a) Run Burden Schedule maintenance to assure that all burden schedules have been compiled. 4. If Oracle Projects is the direct data source for payroll or for reconciling labor costs to payroll.* Employee assignments * Labor cost rates * Standard costing burden schedule maintenance Other Maintenance * Retroactive changes in employee assignments * Retroactive changes in labor cost rates * Changes in Auto-Accounting Rules or Lookup Sets Suggestion: You may need to implement workflow procedures. the period close. Complete All Transactions for the Period Being Closed Enter and Approve all Timesheets for the PA Period Import all timesheets entered via Self-Service Time. Run PRC: Add New Organization Compiled Burden Multipliers c) If changes or additions were made to pre-existing resource lists. or use function and responsibility restrictions to prevent access to these areas during the period close procedure. verify that all timecards are entered or accounted for. not during. Run PRC: Compile All Burden Schedule Revisions b) Run organization maintenance to ensure all organizations have been added to all affected compiled burden schedules. Oracle Financials E-Business Suite Release 12 Period End Procedures 34 . Attention: One rejected expenditure item will cause an entire expenditure to be rejected. Transaction Source = Oracle Self-Service Time. update the project summary amounts before. d) Run PRC: Update Project Summary Amounts After Resource List Change 5. Verify that all pre-approved timesheet batches in the current PA period have been released and approved.

Source Description Inventory Inventory Misc Work In Process Manufacturing Material Costs Inventory Issues and Receipts entered in the Miscellaneous Transactions window in Oracle Inventory Manufacturing Resource Costs Attention: Entering new expenditures or adjusting existing expenditures during the final cost distribution process may cause reconciliation problems. These expense reports may have been entered via Self-Service Expenses or Expense Reports in Oracle Payables.Run the AUD: Missing Timecards Report Interface Supplier Invoices from Oracle Payables Before generating project revenue or running final cost event processes. Run PRC: Interface Supplier Invoices from Payables Interface Expense Reports from Oracle Payables Before generating project revenue or running final cost distribution processes. Run PRC: Interface Expense Reports from Payables Project Related Inventory Transactions Note: the following processes must be completed within Oracle Inventory prior to importing project related inventory transactions: * Run the Cost Collector * Project Cost Transfer * Run PRC: Transaction Import. Run the Cost Distribution Processes Run all cost distribution processes to cost all enabled expenditures that have an expenditure item earlier than or equal to the current reporting PA period end date: * PRC: Distribute Labor Costs * PRC: Distribute Usage & Miscellaneous Costs * PRC: Distribute Expense Report Adjustments Oracle Financials E-Business Suite Release 12 Period End Procedures 35 . 6. import all eligible expense reports from Oracle Payables to create pre-approved expense report batches. Access to these activities should be controlled. Warning: If your PA period matches a GL/AP month end. after verifying that all transactions for the period have been accounted for. The following transaction sources are pre-defined. ensure that all new supplier invoices processing for the current GL period has stopped. import all eligible supplier invoices from Oracle Payables.

7.* PRC: Distribute Supplier Invoice Adjustment Costs * PRC: Distribute Borrowed and Lent Amounts * PRC: Total Burdened Cost (If using Project Burdening) * PRC: Create and Distribute Burdened Transactions (If using Project Burdening) Note: PRC: Distribute Expense Report is now obsolete. then submit PRC: Submit Interface Streamline Processes with the appropriate streamline parameters to transfer the costs to GL. This program is owned by SLA and creates accounting. which will be later used by SLA. If accounting was performed without transferring to GL. Interface CIP Assets to Oracle Assets Run PRC: Interface Assets This process requires that prior to interfacing. and/or resolved prior to continuing with the period close. all asset lines have been generated by running the PRC: Generate Assets Lines for a range of projects process. 6a. the order of some of the above steps may be changed. This program has to be run to generate accounting events. which ensures that processes and reports are run and completed in the correct order. For more information refer to Oracle Project Costing User guide. Interface Cost Transactions to Other Applications You must successfully interface all relevant costs to Oracle Payables. The programs to be run are: PRC: Generate Cost Accounting Events and PRC: Generate Cross Charge Accounting Events. Transfer from Projects to GL can be achieved by submitting the ‘Create Accounting’ – (PRC: Create Accounting) process from the SRS screen. Oracle Financials E-Business Suite Release 12 Period End Procedures 36 . Oracle General Ledger and Oracle Assets or revenue to Oracle Receivables before you can change the status of the current PA period to Closed. transfers & posts to GL with the appropriate parameters. Note: Ensure that all interface transaction reports and exception reports are completed successfully. If you use the Streamline process. Journal Import can be submitted from GL to import the costs into GL. Run the Generate Cost Accounting Events Program This is a new program in R12. Attention: You can interface asset lines to Oracle Assets only after you have transferred the underlying expenditure items to General Ledger. Suggestion: Some of the above reports and processes may be run using Submit Streamline Processes. or completed more succinctly.

8. Generate Draft Revenue for All Projects After all the cost distributions processes have completed successfully and all supplier invoices have been imported from Oracle Payables, run the mass project revenue generation process. Run PRC: Generate Draft Revenue for a Range of Projects for all projects. Attention: Concurrent Revenue processes can be run only if the ranges of projects specified for the processes do not overlap 9. Review and Release Revenue for All Projects Perform a review of the revenue generated and approve the same. 10. Run Generation Revenue Accounting Events Process Run PRC: Generate Revenue Accounting Events to generate events for revenue. These events will be used subsequently by the Create Accounting process to generate accounting. 11. Run Create Accounting to Process Revenue Accounting Events This program is used to generate accounting and then transfer it to the General Ledger based on appropriate parameters. If accounting is generated in FINAL mode with Transfer to General Ledger being set to ‘No’ then run PRC: Transfer Journal Entries to GL with parameters to either post in GL or just to leave it unposted. If it is transferred unposted, the General Ledger posting program needs to be submitted. Attention: Interface processes have become obsolete. The same is achieved by PRC: Create Accounting

12. Generate Invoices Run PRC: Generate Invoices to generate invoices to be interfaced to Oracle Receivables. Run PRC: Generate Inter-Company Invoices for a Range of Projects for all projects. This process: * Creates inter-company invoices from cross–charged transactions previously identified by inter-company billing to be processed for cross charging. * Deletes unreleased inter-company invoices. * Creates inter-company credit memos and invoice cancellations. 13. Transfer Invoices to Oracle Receivables Run PRC: Interface Invoices to Receivables Run PRC: Interface Inter-Company Invoices to Receivables

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Warning: Make sure that Oracle Receivables has not closed its period until all Oracle Projects invoices have been interfaced to Oracle Receivables

14. Run Period Close Exceptions and Tieback Reports Run the period close exceptions reports to identify transactions that have not been fully processed, and that would prevent you from closing the PA period: * AUD: Cross Charge GL Audit * AUD: Missing Timecards * EXC: Transaction Exception Details * EXC: Transaction Exception Summary * PRC: Tieback Invoices from Receivables The tieback process from GL has become obsolete. Review the report generated by Create Accounting/Transfer to GL processes for any errors. Review these reports and make all the indicated corrections. After the corrections are made, run the reports again until there are no exceptions. Suggestion: Some of the above reports and processes may be run using the Submit Streamline Processes process. This process ensures processes and reports are run and completed in the correct order. If you use the Streamline process, the order of some of the above steps may be changed, or completed more succinctly. All the streamline options are not available in R12. Some of them have become obsolete. Please refer to the relevant financials and projects user guides. 15. Run Final Project Costing and Revenue Management Reports Run all of the following project costing management reports: * MGT: Revenue, Cost Budgets by Resources (Project Level) * MGT: Task - Revenue, Cost, Budgets by Resources * MGT: Revenue, Cost, Budgets by Work Breakdown Structure * MGT: Employee Activity Report * MGT: Invoice Review * MGT: Unbilled Receivables Aging * MGT: Agreement Status by Customer 16. Change the Current Oracle Projects Period Status from Pending Close to Closed When changing the status to Closed, the system checks to see if any unprocessed items exist in the period. If unprocessed items exist, the change of status is not allowed.

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Re-run the period close exception reports to identify any unprocessed items. This process needs to be performed for each operating unit defined. 17. Advance the PA Reporting Period (Optional) When you are ready to view the updated summary amounts for the next PA period in the Project Summary Inquiry window, advance the PA Reporting Period. Only one period can be designated as the current reporting period for Project Status Inquiry. The current reporting period does not have to be an open period. 18. Update Project Summary Amounts To enable users to view the latest data in the Project Status Inquiry Window, you must run a final project summary update for the current reporting (pending close) PA period. Attention: The update process cannot run concurrently with the interface processes. Warning: Do not run PRC: Update Project Summary Amounts After Resource List Change during the closing or post-closing processes. 19. Restore Access to User Maintenance Activities After the project summary amounts have been updated for the closed, current reporting period, restore access to user maintenance activities. 20. Reconcile Cost Distribution Lines with General Ledger (Optional) The following Project Subledger Audit Reports print cost distribution lines related to projects. These reports enable you to drill down from a GL account balance in the trial balance to the individual project–related transactions: * Run AUD: Project Subledger Summary * Run AUD: Project Subledger: Detail by Project * Run AUD: Project Subledger: Detail by Expenditure Type 21. Permanently Close the Oracle Projects Period (Optional) When you are satisfied with the closing of the PA period and will not need to reopen the period, change the status of the PA period to Permanently Closed. Warning: Once a period is permanently closed it can never be re-opened.

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Chapter 6 Oracle Receivables
This chapter describes the procedures for performing period-end processing in Oracle Receivables Release 12.

Business Requirements
Oracle Receivables requires periodic internal reconciliation of the transactions entered into the Accounts Receivables system. Oracle Receivables provides a comprehensive set of reports to facilitate the reconciliation of outstanding customer balances, transactions, receipts, and account balances. The application provides the functionality to enable reconciliation of your subledger, before posting to the General Ledger. Posting to the General Ledger allows the extraction of details from Oracle Receivables, and the creation of journal entries in the General Ledger. After posting to the General Ledger, it is possible to reconcile Oracle Receivables with the General Ledger by verifying that all the correct journal entries were made.

Procedures
The following steps are taken in performing period-end processing for Oracle Receivables. 1. Complete All Transactions for the Period Being Closed Ensure that all transactions have been entered for the period being closed. Completing all transactions for Oracle Receivables: * Complete Invoicing, Credits and Adjustments * Complete Receipts and Reversals * Complete Invoice and Customer Import * Complete Lock Box Processing * Run the revenue recognition program (Optional; required if OM-shipping is used) If you import transactions from an external system or Oracle Projects, ensure that you have imported all transactions and master files, and reviewed all audit trails for completeness. 2. Reconcile Transaction Activity for the Period Reconcile the transaction activity in Oracle Receivables, before posting to the General Ledger using SLA. This reconciliation process checks that Oracle Receivables transactions are balanced, ensuring that all items eligible for posting are reflected on the Sales Journal. Run the following reports for the same accounting period date range: a. Transaction Register
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Attention: Ensure that the monthly transaction total is accurate and that no distribution issues exist. debit memos. deposits. research the customer balances to find out which balance does not tally. as accounted by SLA. category. If any discrepancies are evident. credit memos. freight. The total on the Sales Journal by GL Account should equal the total of items eligible for posting as listed on the Transaction Register. specified for the period being reconciled. the general ledger distributions for posted and/or un-posted invoices for the specified period. AR to GL Reconciliation Report Oracle Financials E-Business Suite Release 12 Period End Procedures 41 . event type. tax). b. ensure that the Transaction Register matches the Sales Journal: Transaction Register (Items eligible for posting) + 2 * Credit Memo Total = Sales Journal (Debits plus Credits) E. revenue. customer name. the report also lists those transactions. review the details and make the necessary changes. Note: To avoid duplication with subledger journal entries. The summary totals for the sales journal are by Posting Status. receivables. which have been posted in general ledger. guarantees and chargebacks) entered with a GL date between the period start and period end dates. you can produce a detailed or summary listing of the accounting information you want to review. source. Using the report parameters. and event class. document number. general ledger journal entries imported from Subledger Accounting are not included in the report. When a transaction is accounted with errors. by account type (i. transactions that have been accounted with error. and voucher number. Sales Journal by Customer Report and the Sales Journal by GL Account Report This report enables the review of all transactions for the specified period.g. Journal Entries Report This report enables the review and analysis of accounting entries in the Receivables subledger. By using the following formula. SLA groups the report by ledger. $100 + (2 * $20) = Debits $120 + Credits $20 ($120 Debits . c. This report shows transactions which were entered and completed. and all entries that could not be transferred to the general ledger.e.e.This report details all the transactions (i. invoices. ledger currency. The report also lists in detail. By altering the parameters. Company. Data is then sorted by accounting date. and Transaction Currency. d. as they are negative on the Transaction Register and positive on the Sales Journal. using the Sales Journal by Customer report. This report details.$20 Credits) Attention: The Transaction Register total for any credits must be adjusted. and those which are yet to be posted but have been accounted.

use the AR Reconciliation report to confirm that your transactional and accounting data match.Journal entries posted to the General Ledger from other subledgers. * Unposted in GL . The Potential Reconciling Items report addresses this issue by suggesting journal items that might potentially post to GL accounts with unexpected account types. Reconcile Outstanding Customer Balances Reconcile the outstanding customer balances at the beginning of a specified period with the ending balance for the same period. and * You have used the posting execution reports to confirm that the journal entries exported from Receivables match those posted in General Ledger. then the following columns highlight the type of journals that affect the account balances: * GL Source Manual . and highlights journal sources where discrepancies might exist.The AR to GL Reconciliation report compares the account balances in Oracle Receivables to those in Oracle General Ledger. * GL Subledgers Not AR . using the following formula. This report will show a difference between Receivables and GL account balances only if items did not successfully post to GL accounts. 3.Unposted Oracle Receivables journals in the general ledger. Run the AR to GL Reconciliation report: * After the Create Accounting program in Receivables has completed. The Difference column indicates how the activity in Receivables compares to the journal source of Receivables in the General Ledger. the journals could still post to incorrect GL accounts. If the actual balance of a specific account is different in Receivables than in GL. This report simplifies the reconciliation process by comparing Receivables and General Ledger account balances in a single place.Manual journal entries made in the General Ledger. However. thus creating reconciliation issues in Oracle General Ledger. known as the Roll Forward Formula: Period-End Balance = Outstanding Balance at Start of Period + Transactions + Adjustments – Invoice Exceptions – Applied Receipts – Unapplied Receipts The following list represents the various components that affect a customer’s balance and the reports. During the internal reconciliation process. and * You have reviewed the Unposted Items report to confirm that all journal entries have posted. even if the data matches. which can be run and reviewed to reconcile these components: Component Beginning Balance Transactions Adjustments Exceptions Report Aging reports Transaction Register Adjustment Register Invoice Exceptions Report Oracle Financials E-Business Suite Release 12 Period End Procedures 42 . such as Oracle Payables or a legacy feeder system.

Reconcile Receipts Ensure that Oracle Receivables receipts balance by running the following reports: a) Receipts Journal Report This report displays details of receipts that appear in the Journal Entries Report. The Journal Entries Report shows the receipt numbers that contribute to a particular GL account. Using the receipt number. payment method. This report includes both cash and miscellaneous receipts. on-account amount. b) Receipt Register Use this report to review a list of receipts for a specified date range. If any of the Receipts listed can now be applied to outstanding transactions. payment number. Review the Unapplied Receipts Register Use the Unapplied Receipts Register to review detailed information about your customers’ on-account and unapplied payments for the date range that you specify. Oracle Financials E-Business Suite Release 12 Period End Procedures 43 . you can perform this action by re-querying the receipts and following the normal application procedure. batch name. and unapplied amount.Applied Receipts Applied Receipts Register (Identify payments received from customers) Unapplied and Unresolved Receipts Register (identify payments received from customers) Aging report (as of the last day of the accounting period) Unapplied Receipts Ending Balance Attention: You can use the Invoice Exceptions Report to adjust the Transaction Register for any transactions. You can use this report to determine how much your customer owes after taking into account all on-account and unapplied amounts. payment date. you can review the detailed information on the Receipts Journal Report. batch source. and therefore do not show up in the aging reports. 5. which are not open in Receivables. Receivables displays information about your on-account or unapplied payment such as GL date. 4.

Bug 7589198: Receipt Register does not match Receipt journal – deemed functionality (similar to Bug 7423482). The posting process for Oracle Receivables involves a single step: Create Accounting This process can be submitted from the transactions screen to account for a specific receivables transaction or from the SRS screen to account for all receivables transactions. it is possible to perform external reconciliation during and after the posting process. Create Accounting will generate a report which details the transferred transactions. the Receipts Journal Report and Sales Journal display the transactions that would be posted to the General Ledger (provided the posting process was run for the same GL date range). If Create Accounting is submitted in the ‘Final’ mode without transferring it to the General Ledger. Reconcile the General Ledger Transfer Process The Create Accounting program produces the Subledger Accounting Program report that shows you the subledger journal entries created for successful accounting events. Use the same General Ledger date ranges for the Journal Entries Report and the Create Accounting program. for transfer to the General Ledger. After internally reconciling the transactions and receipts using these two reports. Post to the General Ledger Prior to posting to the General Ledger. Oracle Financials E-Business Suite Release 12 Period End Procedures 44 . 6. Bug 7423482: Receipt Register and Receipt Journal do not show on-account activity – deemed functionality. See the following My Oracle Support bugs and enhancement requests for more details: Note 393682.1: Unable to Reconcile Receipt Register to Receipt Journal – Enhancement 5567693 is still pending. Once transactions and receipts have been transferred to the GL tables. the entries will have to be transferred separately.Attention: Normally the total of the Receipts Journal report should equal the total of all the receipts in the Receipt Register for the same GL date range. transactions in error etc. 7. 8. Oracle Receivables regards these items as having been ‘posted’ within the sub-ledger. Reconcile Receipts to Bank Statement Activity for the Period (Refer to Chapter 3 Period-End Procedures for Oracle Cash Management) Attention: The Create Accounting process must be re-run for any miscellaneous accounting entries generated from the bank reconciliation. Compare this report to the Journal Entries Report (run in Posted status mode) and verify that they match. The accounting is done at the ledger level and the program has the ability to transfer and import into the General Ledger based on the parameters specified. Both reports display invoice related receipts and miscellaneous receipts.

All of the operating units that share a ledger also share the same period statuses. the Receipts Journal Report (in ‘transaction’ mode) and the Journal Entries Report for posted items. then AR distribution accounting is displayed. If SLA accounting lines do not exist. Oracle Financials E-Business Suite Release 12 Period End Procedures 45 . refer to the Oracle Receivables Implementation Guide or the Oracle Receivables User Guide. then SLA accounting is displayed. and compare the total with the Journal Import Execution Report. ensure all the invoices generated during the month have been printed and issued. For more information on the setup of balance forward billing.Account balances for transactions and receipts can be reconciled by generating the Sales Journal by GL Account Report. When you update the period statuses to ‘Open’ in one operating unit. 11. Note: Balance Forward Billing replaces consolidated billing invoices (CBI) feature of 11i. ensure that the consolidated (BFB) invoices have been generated for the current period. that period is opened for all operating units within the ledger. Close the Current Oracle Receivables Period Close the current period in Oracle Receivables using the Open/Close Accounting Periods window. The Journal Entries Report is a new Subledger Accounting BI Publisher report which is available from the subledger applications and can be run with parameter Posted = Yes. which users can copy and modify the report template according to their needs. No or ALL. Attention: If the customer is using Reporting/Accounting sequences. 9. they can run Journal Entries Report using Sequence Ranges created in the Create Accounting program run. The account totals in the Sales and Receipt journals should match the corresponding account balances in the Journal Entries Report. Print Invoices Once you are satisfied that the customer balances are reconciled. 10. and comparing them with the Journal Entries Report output. Reconcile the Journal Import by manually reviewing the transactions in the Subledger Accounting Program Report. If the Balance Forward Billing functionality is used. Reconcile the Journal Import Process Create Accounting program submits Journal Import automatically when launched in ‘Mode = Final’ and ‘Transfer to GL = Yes’. Attention: The ‘Detail by Account’ version of the Journal Entries Report may be the most useful for reconciliation in this case. the following statements apply: If SLA final accounting lines exist. Attention: Where there are multiple operating units within the same ledger all operating units must be ready to close at the same time. When running any Oracle Receivables reports that display accounting involving transactions that have been posted to GL.

You can also generate the Subledger Period Close Exceptions Report through a concurrent request as follows: * For the application associated with the responsibility * For all applications in the General Ledger responsibility 13. third party. If there are any items not posted for the current or prior periods. for the transactions. The output will consist of all items not posted to the General Ledger for the specified GL date range. and third party site * Third party and third party site information * User transaction identifiers for the associated event The balances in this report can be compared with the General Ledger balances for the same control accounts to reconcile. 15. Review the Subledger Period Close Exceptions Report The Subledger Period Close Exceptions Report lists all the accounting events and journal entries that fail period close validation. Using the Submit Requests window to generate this report. This report is used to display balance and account activity information for Suppliers and Customers. This report should not generate any output if all Receivables transactions have been successfully posted to the General Ledger. Review the Unposted Items Report Oracle Receivables prints the Unposted Items Report for all items that are not posted for the specified GL date range. run the Journal Entries Report (with ‘Posted = Y’) to help reconcile the posted journals. It only includes journal entries transferred to and posted to the General Ledger. which were transferred in FINAL mode and with Post in GL being set to NO. then re-open both appropriate Receivables and General Ledger Periods and initiate another posting. Oracle Financials E-Business Suite Release 12 Period End Procedures 46 . It retrieves the following information: * Third party balances for third party control accounts * Subledger journal entry lines that add up to the total period activity for each control account. It is automatically submitted by General Ledger when closing a GL period if there are unprocessed accounting events or un-transferred journal entries. 16. 14. Reconcile Posted Journal Entries After running the GL posting process in Oracle General Ledger. Review Account Analysis Report The Account Analysis Report provides drill-down information about the activities relating to a particular account for a period or range of periods.12. Third Party Balances Report Run Third Party Balances Report from the SRS screen. Run the request from the Submit Requests window. submit with a GL date range for at least the current financial year.

Review this report and compare it with the Third Party balances report. Open the Next Oracle Receivables Period Open the next period in Oracle Receivables using the Open/Close Accounting Periods window. including withholding tax. Output from the tax extract is designed to look as close to a simple tax report as possible. Note: To avoid duplication with subledger journal entries. 17. 18. The following tax registers are available: a) Deferred Output Tax Register b) Recoverable and Non-Recoverable Tax Registers c) Single Cross Product Tax Register d) Standard Input and Output Tax Registers The following summary levels are available within each Tax Register: * Transaction Header * Transaction Line * Accounting Line Oracle Financials E-Business Suite Release 12 Period End Procedures 47 . The E-Business Tax data extract draws tax information from each application and stores the data in an interface table. General Ledger journal entries imported from Subledger Accounting are not included in the report. Run Reports for Tax Reporting Purposes (Optional) A variety of standard reports can be used to provide tax information. which is required to be reported to the relevant Tax Authority.

Review the Current and Future Commitments (Optional) Run the Purchase Order Commitment by Period Report: The Purchase Order Commitment by Period Report shows the monetary value of purchased commitments for a specified period. and the next five periods. and a Need–By date that is equal to or later than today’s date. 2. You can also use the report when negotiating with a supplier by limiting the commitments to a specific supplier.Chapter 7 Oracle Purchasing This chapter describes the procedures for performing period-end processing in Oracle Purchasing Release 12. Complete all transactions for Oracle Purchasing: a) Complete Requisitions b) Complete Purchase Orders and Releases c) Complete Receipts and Returns Submit the Confirm Receipts Workflow Select Orders process in Purchasing to send notifications through the Web. Oracle Financials E-Business Suite Release 12 Period End Procedures 48 . Procedures The following steps are performed while closing the period in Oracle Purchasing.g. e–mail. notify approver approval required). The Confirm Receipts workflow sends notifications for items with a Destination or Deliver–To Type of Expense. d) Print or Archive all new Purchase Orders e) Respond to all Workflow Notifications Notifications may either require action (e. or are FYI notifications only (e. Users should close all FYI notifications and respond to those that require a response. 1. Complete All Transactions for the Period Being Closed Ensure that all transactions have been entered for the period being closed. or Notification Details Web page (accessible through the Notifications Summary menu in Purchasing) to requestors or buyers who create requisitions in Purchasing or iProcurement. a Routing of Direct Delivery. Requestors can create receipt transactions by responding to the notification.g. notify requestor requisition has been approved). Business Requirements The purchasing activity must be reconciled for the accounting period that is to be closed. Closing FYI notifications is Optional. You can use the report sorted by buyer to monitor buyer performance.

the appropriate department can then follow up with the supplier. the receipt transaction needs to be entered by the appropriate personnel. Follow Up on Outstanding Invoices For any items identified to have been received but not invoiced. Simply backdate the receipt date when entering receipts for a closed period. it is not possible to process a receipt to a closed Purchasing period. to enable the creation of receipts accrual entries. the appropriate department can use the details obtained from the Purchase Order Detail Report. before creating receipt accruals for that period. Entering of invoices. Follow Up Receipts . and resolution of any invoice holds. using the details from the Uninvoiced Receipts Report. Performing the Oracle Payables Period-End process effectively prevents any further invoices or payments being entered into Oracle Payables for the closed period.3. 5. 6. which corresponds to the Oracle Purchasing period being closed. Review the Outstanding and Overdue Purchase Orders (Optional) Run the following reports: * Purchase Order Detail Report * Open Purchase Orders (by Buyer) Report * Open Purchase Orders (by Cost Center) Report These reports can be used to review all. should be carried out at this point in the period-end process. to follow up the status of the ordered items with the suppliers . Receipt accruals can be reviewed by account and by item. Warning: Where you have Oracle Inventory installed. Attention: Where you have selected to accrue receipts at period end. but the receipt has not been entered into Oracle Purchasing. If the goods have been received. This report indicates exactly what has to be accrued. 4. make sure that all receipts have been entered for a specific period. and helps in the preparation of accrual entries. The quantity ordered and quantity received is displayed so the status of the purchase orders can be monitored. matching of unmatched invoices. Identify and Review Un-invoiced Receipts (Period-End Accruals) Run the Un-invoiced Receipts Report to review receipts for which the supplier invoice has not been entered in Payables.Check With Suppliers For purchase orders not received. Complete the Oracle Payables Period-End Process Complete the steps to close the Oracle Payables period. or planned purchase orders. It is not necessary to enter all the receipts for a period prior to closing that period. for what amount. Oracle Financials E-Business Suite Release 12 Period End Procedures 49 . where possible. specific standard. 7.

Perpetual Accruals Identify the period-end balances of the following accounts in the General Ledger: * Purchase Price Variance * Invoice Price Variance Account Oracle Financials E-Business Suite Release 12 Period End Procedures 50 . Journal entries are created for the amount of the receipt liabilities. Identify the purchasing period for the receipt accrual entries: Oracle Purchasing creates receipt accruals for all receipts entered up to the end of the nominated period. Run the Receipt Accruals . Oracle Purchasing creates an un-posted journal entry batch in the General Ledger for the receipt accruals. If encumbrance or budgetary control is being used. Oracle Purchasing reverses the encumbrance entry when creating the corresponding accrual entry. The Create Accounting Program has to be run to create SLA journals. corresponding to the encumbrance reversal entries for the un-invoiced receipts that were accrued. Attention: This step is only required if the Accrue Expense Items flag is set to Period End. 9. a reversal is not required.8. another journal entries batch is created. debiting the charge account and crediting the Expense AP Accrual Account. on the Accrual tabbed region of the Purchasing Options window for the current Organization. for Expense distributions for a specific purchasing period. Reconcile Accrual Accounts . This process can be run as many times as needed. Each time the process is run. Oracle Purchasing creates accrual entries only up to the quantity the supplier did not invoice for the partially invoiced receipts.Period-End Report to create period-end accruals for uninvoiced receipts. When the Accrue Expense Items flag is set to At Receipt. then the accrual entries need to be reversed manually. If encumbrance or budgetary control is being used. If the profile option is set to ‘N’.Period End Process Run the Receipt Accruals . Reversal of accrual entries for the next period will happen automatically if: * The Profile option ‘GL: Launch Auto Reverse after Open Period' is set to 'Y' * And the reverse option is selected for the accrual journal category. Attention: The Receipt Accruals Period End Program creates accounting in the receiving sub ledger only. which in turn will trigger the journal import.

the following transactions can account for the balance in the AP accrual account: * Uninvoiced Receipts * Over-invoiced Receipts * Errors (Invoices or inventory transactions charged to this Account by mistake) You need to analyze the balance of the AP accrual accounts. The Accrual Reconciliation Reports are used to analyze un-invoiced receipts. inventory.(Refer to Chapter 8 Period-End Procedures for Oracle Inventory) Reconcile the balance of the Purchase Price Variance account using the Purchase Price Variance Report.* AP Accrual Account * Inventory Account . or accounts payable transactions: * Quantity differences between receipts and invoices * Incorrect purchase order or invoice unit prices * Discrepancies in supplier billing * Invoice matched to the wrong purchase order distribution * Receipts against the wrong purchase order or order line * Miscellaneous inventory or work in process transactions that do not belong to the accrual accounts * Payables entries for tax and freight that do not belong to the accrual accounts The Accrual Reconciliation Report Group consists of one program and three reports as discussed below: a) Accrual Reconciliation LR Program load run This program is used in the accrual reconciliation process to populate the accrual reconciliation table with all the necessary transaction data to perform the reconciliation process. Identify the invoice price variance for all purchase orders charged to the Inventory AP Accrual Account and compare it with the balance of the Invoice Price Variance account in the General Ledger. At any given time. Manually remove the Invoice Price Variance amount from the AP Accrual Account using your General Ledger. distinguish accrued receipts from invoice price variances. purchasing. work in process. These reports enable you to identify the following issues in receiving. and identify errors. All the affected PO distributions (in the case of AP/PO transactions and individual transactions in the case of miscellaneous transactions) Oracle Financials E-Business Suite Release 12 Period End Procedures 51 . and to reconcile the balance of the AP accrual accounts. Identify the Invoice Price Variances amount and Accrued Receipts amount in the AP Accrual Account. Run the Invoice Price Variance Report for the current period.

and price differences. the Accrual Reconciliation Report also displays any inventory or work in process transactions for the accrual accounts. Ensure that prior to closing the period. you temporarily record an accounts payable liability to your expense or inventory AP accrual accounts. and inventory receipts are not performed. When this happens. this report enables reconciliation with the accounts payable accrual account. Prerequisites: * Oracle Payables and Oracle Purchasing installed. these differences are resolved. d) Summary Accrual Reconciliation Report The Summary Accrual Reconciliation Report can be used to analyze the balance of the AP accrual accounts. You can accrue both expense and inventory purchases as you receive them. b) AP and PO Accrual Reconciliation Report The AP and PO Accrual Reconciliation Report provides a transactional breakdown of each accrual account with a net balance not equal to zero. The Reconciliation reports also provide information on the quantity differences (between the quantity received for a purchase order shipment and the quantity invoiced).will be deleted first and the transaction information for these distributions will be fetched and loaded into the accrual reconciliation tables. c) Miscellaneous Accrual Reconciliation Report The Miscellaneous Accrual Reconciliation Report shows all inventory and AP (not matched to PO) transactions that have hit the accrual account. The Reconciliation Reports can help in monitoring potential problems with purchasing and receiving activities that can affect the accuracy of the AP accrual accounts. and hence manual adjustment of accrual entries is not required. the Accrual Write-Offs window can be used to indicate which entries are to be removed and written off from this report. Oracle Payables clears the AP accrual accounts. * If expense purchases are accrued at period end. Oracle Financials E-Business Suite Release 12 Period End Procedures 52 . * If you have installed Oracle Inventory or Work in Process. After researching the reported accrual balances. * If expense purchases are accrued on receipt. no information will be available to report. Accounting entries have to be created in SLA and GL for these write-off transactions by submitting the Create Accounting program. records the liability from the supplier site and helps you monitor potential problems with purchasing and receiving activities that can affect the accuracy of your AP Accrual Accounts. When Oracle Payables creates the accounting for the matched and approved invoice.

(Refer to Chapter 11 Period-End Procedures for Oracle General Ledger. If you also receive inventory. before commencing the year end Encumbrance processing in Oracle General Ledger. * Carry forward encumbrances. Other facilities available: * Use mass allocations to bring forward part of the funds available. is to extinguish any outstanding encumbrances or unused funds when you close the last period of the Financial Year within Oracle General Ledger. as the information is not required as the receipt occurs. * Carry forward budgets into the current appropriation budget. Attention: You must complete the Year End Encumbrance processing in Oracle Purchasing. and the encumbered budget. The default processing for Oracle Financials at year end. Perform Year End Encumbrance Processing (Optional) Oracle Financials provides a number of facilities for the processing of outstanding encumbrances as part of year end processing.Attention: Most commercial installations accrue expense receipts at period end. journal entries must be created for the invoices. and Oracle Work In Progress. If expense purchases are accrued on receipt. The Accrual Reconciliation Reports requires the transactions to be transferred to the General Ledger interface to ensure that the report balances to the General Ledger. a GL transfer or period close must first be performed for the transactions to appear on these reports. The carry forward process enables managers to perform any of the following: * Carry forward encumbrances for existing transactions (purchases / requisitions). Mass budget processing also allows you to combine these budgets. all transactions are created in Purchasing and need the GL Transfer Program to be run to transfer to the General Ledger. 10. For Oracle Inventory. or to a separate budget to identify between current year and carry forward amounts if required. Attention: For Oracle Purchasing. the Receiving Value Report by Destination Account must be run to break out the receiving/inspection value by asset and expense. For Oracle Payables. more entries must be reconciled in the AP accrual accounts.) The steps required to complete year end encumbrance processing in Oracle Purchasing are: a) Identify Outstanding Encumbrances Oracle Financials E-Business Suite Release 12 Period End Procedures 53 . * Carry forward the funds available as at the end of the year.

an automated process transfers the receipt information to General Ledger using the Journal Import Process. if the encumbrance option for requisitions or purchase orders has been enabled. * Cash basis . not Purchasing or Oracle Payables. the encumbrances on the Encumbrance Detail Report remain until payment information from Payables is transferred to General Ledger. Based on this report you can identify those transactions that you wish to carry forward into the new financial year. Therefore. Payables transfers only accounting information for paid invoices to the General Ledger. not on receiving information. use the Encumbrance Detail Report in a way that matches the accounting method: * Receipt accrual .Generate the Encumbrance Detail Report at period-end. When cash-basis accounting is used and the Payables Transfer to General Ledger process is submitted. During the period. as well as any of the following: * Document Type * Supplier Name * Accounting Flexfield Range This process will automatically generate a MassCancel listing report identifying the following: * Unable to Cancel Requisitions (reasons provided) * Unable to Cancel Purchase Orders (reasons provided) * Partially in Range Documents * Fully in Range Documents Oracle Financials E-Business Suite Release 12 Period End Procedures 54 . Define MassCancel The Define MassCancel window is used to nominate a date range for transactions.Print the Encumbrance Detail Report to review the requisition and purchase order encumbrances. b) Perform MassCancel in Oracle Purchasing (Optional) MassCancel enables the cancellation of requisitions and purchase orders on the basis of user selected criteria. Use this report to review the accounts encumbered. After the Receipt Accruals .Period-End process is run. the Encumbrance Detail Report reflects the true periodend receipt information.Generate the Encumbrance Detail Report as needed when the Accrue at Receipt option is used. The Encumbrance Detail Report reflects activity from General Ledger. and requisitions and purchases have entered and approved. * Period-end accrual . the encumbrance detail on the report is based on invoice matching information from Payables.If cash-basis accounting is used. Refer below to the steps required to cancel transactions that are not to be carried forward. Upon entering receipt delivery information.

11. you have the option of canceling the original requisition at the same time. spaces. early shipments. they can be combined using Supplier Merge. c) Supplier Quality Performance Analysis Report The Supplier Quality Performance Analysis Report can be used to review suppliers' quality performance. b) Suppliers Audit Report Use the Supplier Audit Report to help identify potential duplicate suppliers. for percents accepted. If purchase order information is merged. then any references to the supplier in blanket purchase orders. up to a specified number of characters. Attention: If you wish to cancel both purchase orders and requisitions. Open the Next Oracle Purchasing Period Open the next purchasing period in the Control Purchasing Periods window. The report lists all site names and addresses of each potential duplicate supplier. Oracle Purchasing automatically un-marks all the receipts previously accrued to ensure that these receipts can be accrued again if they are still not invoiced in the next accounting period (where you have selected to accrue receipts at period end). and auto source rules are updated to the new supplier. This report also shows if a supplier is on PO Hold. 12. special characters. and shipments to wrong locations. and returned. rejected shipments. Oracle Purchasing creates journal entries to zero out the encumbrances associated with the canceled requisitions and purchase orders. d) Supplier Service Performance Analysis Report The Supplier Service Performance Analysis Report lists late shipments. 13.Run MassCancel When this process is run. Run Standard Period End Reports (Optional) * Suppliers Quality and Performance Analysis Reports a) Suppliers Report Use the Suppliers Report to review detailed information entered for a supplier in the Suppliers and Supplier Sites windows. This report can be Oracle Financials E-Business Suite Release 12 Period End Procedures 55 . The report inserts a blank line between groups of possible duplicate suppliers. The report ignores case. After duplicate suppliers have been identified. Payables lists your suppliers in alphabetical order and you can additionally order the report by supplier number. This report is useful for identifying suppliers with quality performance issues. You have the option to include supplier site address and contact information. you must initiate MassCancel twice. Close the Current Oracle Purchasing Period Close the current Purchasing Period in the Control Purchasing Periods window. Note that when canceling a purchase order. This report lists active suppliers whose names are the same. rejected. etc. quotations.

used to derive a supplier service penalty by multiplying the days variance quantity by a percentage of the price. The % Received Late is the percentage of the ordered quantity received after the promise date and outside the receipt tolerance days. Blanket and Planned PO Status Report The Blanket and Planned PO Status Report can be used to review purchase order transactions for items you buy. Oracle Financials E-Business Suite Release 12 Period End Procedures 56 . The Intended Commitment is the total expenditure multiplied by the split percentage entered in the sourcing rules. The % Open Current is the percentage of the ordered quantity not yet received. if no release exists. all divided by the total corrected received quantity. Purchasing prints the blanket agreement or planned purchase order header information. e) Supplier Volume Analysis Report The Supplier Volume Analysis Report shows the dollar value of items purchased from a supplier. Purchasing provides the detail of the releases created against these orders. The % Received Early is the percentage of the ordered quantity received before the promise date and outside the receipt tolerance days. The Days Variance is calculated as the summation of the date differential (transaction date subtracted from promise date) multiplied by the corrected received quantity (the received quantity plus or minus corrections) for each shipment. The report prints the items that are assigned sourcing rules. The % Received On Time is the percentage of the ordered quantity received on the promise date or within the receipt tolerance days. The result is the quantity per day the supplier is in variance. The Expenditure is the sum of the item line amounts for standard purchase orders for the supplier. using blanket purchase agreements and planned purchase orders. but within the receipt tolerance days or not past due. Use the report to compare actual purchase percentages with sourcing percentage. Purchasing prints the requisitions in order of creation date and prepared name. The % Open Past Due is the percentage of the ordered quantity not received by the promise date and beyond the receipt tolerance days. * Analyze Requisitions Requisition Activity Register The Requisition Activity Register shows requisition activity and monetary values. RFQ and Purchase Order Statuses Purchase Order Statuses may optionally be reviewed early in the period close processing for Oracle Purchasing. * Review Quotation. For each blanket purchase agreement and planned purchase order created. The Actual Percentage is the items expenditure as a percentage of the total expenditure for the date range of the report.

If the market price is not defined. Purchasing uses the list price. If the market price is not defined. or list price to the actual price. with negative figures in parentheses. The report includes a price type Legend at the bottom of each page for the price type.* Savings Analysis Reports a) Savings Analysis Report (by Category) The Savings Analysis Report (By Category) shows buyer performance by category. * Encumbrance Accounting Reports Encumbrance Detail Report The Encumbrance Detail Report can be used to review requisition and purchase order encumbrances for a range of accounts if the encumbrance option for requisitions or purchase orders has been enabled. If a quote is not defined. Purchasing prints the product of the market price of the item ordered and the quantity ordered. The Actual Amount is the product of the actual price listed on the purchase order line and the quantity ordered. Use the report to compare the market. If the line price type is Q. The Negotiated Amount is the product of the price on the quotation and the quantity ordered. * Cancellation Reports Use these reports to review all cancelled purchase orders and requisitions. Purchasing uses the list price. and if the line price type is L. If the line price type is M. If a quote is not defined. The Amount Saved is the negotiated amount less the actual amount. The Amount Saved is the negotiated amount less the actual amount. the line price was from the Quote. the line price was from the List Price. the line price was from the Quote. with negative figures in parentheses. If the line price type is M. The Negotiated Amount is the product of the price on the quotation and the quantity ordered. The Actual Amount is the product of the actual price listed on the purchase order line and the quantity ordered. Purchasing prints the product of the market price of the item ordered and the quantity ordered. The report includes a price type Legend at the bottom of each page for the price type. and there are entered and approved requisitions and purchases. particularly where you have defined multiple Mass Cancel batches: a) Cancelled Purchase Orders Report Oracle Financials E-Business Suite Release 12 Period End Procedures 57 . the line price was from the List Price. the line price was from the Market Price. quote. b) Savings Analysis Report (by Buyer) The Savings Analysis Report (By Buyer) shows buyer performance by purchase order. Use this report to review the encumbered accounts. If the line price type is Q. the line price was from the Market Price. and if the line price type is L.

b) Cancelled Requisitions Report Oracle Financials E-Business Suite Release 12 Period End Procedures 58 .

you can open / close many logistic organizations by batch program : “OPSR and CPSR open period status report”. “close period status report”. Oracle Inventory and Oracle Cost Management provide the required features to affect the necessary period-end procedures to: Reconcile the inventory and work in process costs and values.g. or are awaiting data entry(e. These costs are then transferred to the General Ledger for posting. packing slips in receiving). logistic and manufacturing systems need to be always open for worker transactions. then the closure process is processed for the past month. Cost Management becomes an application module holding Inventory/Receiving/WIP accouting entries. Transfer summary or detail accounting information to the General Ledger. Procedures The following steps are taken in performing period-end processing for Oracle Inventory: 1. Complete All Transactions for the Period Being Closed Ensure that all issues. Note: Since Release 12. the next period is opened to allow key-in from the first day. which means at month end.Chapter 8 Oracle Inventory-Cost Management This chapter describes the procedures for performing period-end processing in Oracle Inventory Release 12. Attention: For environments with a large number of organizations.Cycle Count Pending Approval Report Oracle Financials E-Business Suite Release 12 Period End Procedures 59 . and adjustments have been entered and verify that no hard copy records exist. Perform interim transfers to the General Ledger without closing the period. Independently open and close periods for each inventory organization. receipts. Business Requirements The period close process for Oracle Inventory enables the summarizing of costs related to inventory and manufacturing for a given accounting period. To avoid date entry error (when both periods are open) there is a profile option ‘INV: Transaction date validation’. shipping. Attention: Usually. Optional . Transfer inventory and manufacturing costs to the General Ledger.

and pending shop floor move transactions existing in this period. The interface managers that need to be run are as follows: * Cost Manager (mandatory) * Material Transaction Manager (Optional. This will display transactions under the following statuses: * Resolution Required: Displays the number of unprocessed material transactions. uncosted material transactions. Though the accounting period can be closed. running this process prior to closing the period facilitates validating the interface transactions. * Resolution Recommended: Displays the number of pending receiving transactions. and then relaunch transactions using: * INV / Transactions / Pending transactions * INV/ Transactions / Transaction Open interface * OM / Shipping / Interfaces This check should be done during the month to avoid cumulative problems at month end before closing. These must be resolved before the period is closed. once it is closed these transactions cannot be processed in that period. Check Inventory and Work in Process Transaction Interfaces Check the Interface Managers window to ensure that there are no unprocessed background or concurrent programs. Any adjustments to the period can be made via new inventory transactions as required. For this purpose you need to run these 2 concurrent programs: * “Collect Revenue Recognition information” * “Generate COGS Recognition event” Run the ‘Create Accounting-Cost Management’ program up to the period end date before closing the period. In case of error. and the accounting entries between ‘Deferred COGS account’ and ‘COGS account’ must be generated in INVCST. depending on INV profile option “TPINV: Transaction Processing Mode”) * Move Transaction Manager (for IWIP) 3. Since a period. pending material transactions. and pending IWIP costing transactions existing in this period. Attention: This process needs to be completed for each defined Inventory Organization. 4. Check and fix pending Transactions Check and fix any rejected transactions from the Inventory Accounting Period Window: click on the pending button to display pending transactions. for the order-shipments which have been invoiced in AR. once closed.2. correct the error at the source. revenue recognition has been processed in AR. Oracle Financials E-Business Suite Release 12 Period End Procedures 60 . cannot be re-opened. Transfer Summary or Detail Transactions If Order Management is used.

to enable the running of purchase accruals to accrue expenses on un-invoiced receipts. Attention: This process needs to be completed for each defined Inventory Organization. Draft Accounted. journal entries associated with transactions. prior to closing the inventory period. 7. If Oracle Purchasing or Oracle Inventory are closed. The period close performs the following: * Closes the open period for Oracle Inventory and Oracle Work in Process. click on the pending button to display any remaining pending transactions and make the appropriate resolutions. As explained in step 3 above. and a closed period cannot be re-opened. Oracle Payables is closed prior to closing Oracle Purchasing. as a manual procedure. and the period was closed. and accounting events by accessing the Sub ledger Accounting user interface from the View Transactions window and various statuses (e. Attention: The Transfer Journal Entries to GL Cost Management Program transfers the accounting details for all the inventory organizations within a Ledger. a GL Transfer would automatically be initiated. Oracle Purchasing should be closed before Oracle Inventory. However. 6. View accounting. Open the Next Inventory Period Prior the first day of data entry. But no adjustments to that period can then be entered. open the next inventory period using the Inventory Accounting Periods window. a receipt cannot be entered for that period. * Creates summary or detail work in process accounting entries in the GL interface.If the Create Accounting Program is run in Final Mode without transferring to GL then run the ‘Transfer Journal Entries to GL Cost Management’ which transfers the accounting to GL. Errored can be selected). Attention: This process needs to be completed for each defined Inventory Organization.g. 5. Attention: If this step was by-passed. since transactions cannot be posted to a closed period.Final Accounted. Oracle Financials E-Business Suite Release 12 Period End Procedures 61 . * Creates summary or detail inventory accounting entries in the GL interface. Close the current Oracle Payables and Oracle Purchasing Periods Complete all steps required to close Oracle Payables and Oracle Purchasing. Close the Current Inventory Period Closing the inventory period using the Inventory Accounting Periods window automatically transfers summary transactions to the GL interface table. This still allows miscellaneous transactions corrections in inventory.

Discrete jobs and certain non-standard jobs are closed separately. Use the Material Account Distribution Summary Report to verify inventory account activity against inventory valuation increases or decreases for the accounting period. valuation. For expense non-standard jobs. If you run this report for a closed accounting period. the period close adds the net transaction value for the current period to the previous period’s ending value. Review inventory transaction values transferred to the General Ledger by GL batch. Job close performs the necessary accounting for each job. the report displays the sub-inventory value at the point in time you run the report. Run Standard Period-End Reports and reconcile the Perpetual Inventory with GL Check that the perpetual inventory value up to the end of the period being closed matches the value reported in the General Ledger. Additional useful reports: a) Inventory Value Report You can see more sub-inventory balance details by running the Inventory Value Report. Oracle Financials E-Business Suite Release 12 Period End Procedures 62 . These show quantity. 8. The balance normally matches with the GL balance. use the Material Account Distribution Detail Report to print the transactions in detail. including variance calculations. or the Elemental Inventory Value Report. (Warning : these reports show the value at the point in time you run the report). Use the Period Close Value Summary Report to see summary balances for subinventories. If you run the report for an open period. b) Material Account Distribution Summary Report. The period-end values by sub-inventory are reported in the Period Close Summary Report. use this report to reconcile an account across several periods. b) Material Account Distribution Detail Report Use the Material Account Distribution Detail Report to view the accounts charged for inventory transactions. Warning: Closing an inventory period permanently closes the period and no further transactions can be charged to that period. and detailed item information for the sub-inventories specified. the period close process writes off any remaining balances and transfers any period costs to the General Ledger. Finally. the report displays the sub-inventory values at the end of that period. This. For each sub-inventory. The period close process automatically transfers all job costs and variances by GL account. But Journal entries from products other than Oracle Inventory. may create discrepancies. along with the values in transit creates the period-end value for the current period.* Calculates period-end sub-inventory balances. If you detect unusual accounts or amounts. The following reports can be run to help with these reviews: a) Period Close Value Summary Report.

completions. or both to help reconcile the General Ledger. Validate the Work in Process Inventory If Oracle Work in Process is installed. cost updates.9. by transaction type. by summary or detail. GL batches. The system groups the transactions by job or schedule. The WIP Account Distribution Report lists detailed account information for work in process cost transactions. and orders the transactions by earliest transaction date. and period close and job close variances. check the work in process inventory balances against transactions with the WIP Account Distribution Report. This report does not list material cost transactions such as issues. This information can be found using the Material Account Distribution reports in Oracle Inventory. Detailed account information is available for specific accounts. including resource. overhead and outside processing charges. and scrap. Oracle Financials E-Business Suite Release 12 Period End Procedures 63 .

Procedures The following steps are taken in performing period-end processing for Oracle Assets. and will not close the period. The Calculate Gains and Losses process is performed independently for each depreciation book. Once a depreciation period in Oracle Assets has been closed. The book and depreciation period are nominated on the Submit Request window. Accounting can be created for Fixed Assets (FA) transactions and sent to GL on a continual basis throughout the period using the Create Accounting program after the introduction of SLA. Assign All Assets to Distribution Lines If an asset has not been assigned to a distribution line. it cannot be re-opened. Complete All Transactions for the Period Being Closed Ensure that all transactions have been entered for the period being closed. 1. Oracle Financials E-Business Suite Release 12 Period End Procedures 64 . Completing all transactions for Oracle Assets: * Prepare and Post Mass Additions * Complete Manual Additions * Complete Adjustments * Complete Retirements * Complete Transfers * Complete Reinstatements 2. Check that transactions are not being entered as Oracle Assets prevents transaction data entry while the Depreciation Run Process is running. the period end Depreciation Process will not complete. Oracle Assets has only a single open depreciation period in each asset book. run depreciation for each asset book set up for the enterprise. Determine which assets have not been assigned to a distribution line by running the following report: Assets Not Assigned to Any Cost Centers Listing 3. Business Requirements At period end.Chapter 9 Oracle Assets This chapter describes the procedures for performing period-end processing in Oracle Assets Release 12. Run Calculate Gains and Losses (Optional) The Calculate Gains and Losses program for retirements can be submitted prior to running depreciation.

When the process is run. the retirements process can be run several times during the period to reduce the time for the depreciation process. If all of your assets depreciate successfully. Oracle Assets does not close the period. then the Tax Reserve Ledger Report is generated. This is valid only if the period is not closed. if the depreciation program is run for a Tax book. Oracle Assets gives you the option of closing the current period if you check the Close Period check box on the ‘Run Depreciation’ window. By using the depreciation log file. the Run Depreciation process will end with an error status. When the depreciation program is run for an Asset Corporate Book. Once the program closes the period. Note: Depreciation will be rolled back automatically if any activity is performed on a depreciated transaction. If an asset has not been assigned to a distribution line. and then runs the appropriate Reserve Ledger Report. The Depreciation process only processes assets that have not already been processed. or you can review the Depreciation Program Report via the Requests window. However. Run Depreciation When you Run Depreciation. If you do not check the Close Period check box when you run depreciation. This process submits concurrent requests to run the calculate gains and losses. Alternatively. Final and Final Post. using the Submit Requests window. the Calculate Gains and Losses program will be submitted as part of the Run Depreciation Process. This program replaces the ‘Create Journal Entries’ in Oracle Assets. If the program is run in FINAL mode with POST as yes. calculates gains and losses for all retirements. The asset book and depreciation period are nominated on the Run Depreciation window. The Run Depreciation process is performed independently for each asset book. Both Reserve Ledger Reports can also be run at any time. Create Accounting Submit the Create Accounting process from SRS screen. and reporting programs off-line. depreciation. Oracle Assets automatically calculates depreciation for all assets. This program can be run in 3 modes: Draft. This process generates accounting and also enables transfer to and posting in GL. you can determine which assets were unassigned. The Run Depreciation process will close the current depreciation period and open the next only if the Close Period checkbox is selected. 4. Oracle Financials E-Business Suite Release 12 Period End Procedures 65 . you cannot reopen it. Oracle Assets automatically closes the period and opens the next period for the book.For books with a large volume of assets. Attention: Ensure that you have entered all transactions for the period before you run depreciation. The unassigned assets can then be assigned to distribution lines and the Depreciation process resubmitted. the Journal Entry Reserve Ledger Report will be generated. 5.

Any alteration on a depreciated asset will result in an automatic rollback. unlike at Asset Book level as in Release 11i. 6. please refer to the Oracle Assets User Guide. 8. Create Deferred Depreciation Journal Entries (Optional) Deferred depreciation is the difference in depreciation expense taken for an asset between a tax book and its associated corporate book. please refer to the Oracle Assets User Guide. Results can be summarized by year. create accounting will create accounting based on its rules and the workflow will not be used. on upgrade this profile option is set to ‘Yes’. Depreciation Projections (Optional) You can project depreciation expense for any number of future periods. on as many as five depreciation books at once. Oracle Financials E-Business Suite Release 12 Period End Procedures 66 . based on rules and in-built event class/entity model processes for deferred depreciation. The GL period for which journal entries are to be created must be open. In the second case workflow will be used to generate accounts. Journal entries can be created for any period in the current fiscal year for which journal entries have not already been created. or retirements. If the program is run in FINAL mode with ‘Transfer to General Ledger’ as NO. Attention: ‘Create Journal Entries’ program has now been replaced by ‘Create Accounting’ program. If the profile is set to ‘No’. Warning: Journal entries cannot be created from asset budgeting books. transfers. There is no need to run Depreciation before creating accounting transactions. the customizations will have to be re-implemented using SLA or FA: Use Workflow Account Generation should be set as YES. quarter. By default. The depreciation expense journal entries can be created from an Asset Corporate or an Asset Tax book and transferred to the General Ledger. This program creates adjusting journal entries to depreciation expense. Rollback Depreciation There is no separate program as in Release 11i to perform the rollback. For more details.then the entries will be automatically posted to the General Ledger. Create deferred journal entries using the SLA Create Accounting Process. bonus expense. Oracle Assets uses the ‘FA: Use Workflow Account Generation’ to make a decision on whether to use the workflow or not. and bonus reserve accounts when you enter prior period additions. then run Transfer Journal Entries to GL – Assets later on. Note: Rollback happens at Asset Level in Release 12. accumulated depreciation accounts. For more information. Attention: If in 11i the FA Account Generator Workflow was customized. 7. You can run the Create Accounting process as many times as necessary within a period. This difference results from the use of accelerated depreciation methods in the tax book.

Optionally. Reconcile Oracle Assets to the General Ledger Using Reports * Reserve Ledger Reports a) Journal Entry Reserve Ledger – Reconcile with the Account Analysis with Payables Details Report. review the unposted journal entries in the Enter Journals window. the Account Reconciliation Reserve Ledger Report can be run. or any specified interval. b) Tax Reserve Ledger Report Additionally. Review and Post Journal Entries If accounting was performed without the journal entries being posted.month. The results can be summarized also by cost centre or depreciation expense account. the Assets Journals will be posted automatically in the next scheduled posting run. in Oracle General Ledger. use the More Actions button to Post each Journal individually or if the source of Assets has been included in the Auto Post options. * Balances Reports a) Cost Detail and Cost Summary Reports b) CIP Detail and CIP Summary Reports c) Reserve Detail and Reserve Summary Reports d) Revaluation Reserve Detail and Revaluation Reserve Summary Reports e) Account Analysis Report * Transaction Reports a) Asset Additions Report b) Cost Adjustments Report c) Asset Reclassification Report d) Asset Transfers Report e) Asset Retirements Report f) Reinstated Assets Report g) Cost Clearing Reconciliation Report * Drill Down Reports a) Drill Down Report– Oracle Financials E-Business Suite Release 12 Period End Procedures 67 . 10. Post each journal entry batch using the Post Journals window in Oracle General Ledger to update the account balances. 9.

If the asset inventory is inaccurate. c) Account Analysis Report with Payables Detail – The ending balance of this report reconciles with the Reserve Summary Report ending balance. This can be done at cost centre level for direct comparison with the Asset Cost Summary and Reserve Summary reports. Run Responsibility Reports (Optional) It is also important to ensure that your asset inventory is accurate. b) Posted Journals Report– Run.Reconcile the batch totals from this report with those of the General Journals Report in Oracle General Ledger run for posting status = ‘Unposted’. In the first stage drilldown happens from GL to SLA.run the General Journals Report for Posting Status = Unposted to reconcile with the Drill Down reports. * General Ledger Reports a) Unposted Journals Report– Run. then your financial statements will also be inaccurate. 11. d) Financial Statements Generator – It is recommended that you create a detailed Financial Statement Generator (FSG) for all asset accounts. The report gives detailed information of the asset transactions represents by a journal entry line. Note: Drilldown is a two-stage process.run the General Journals Report for Posting Status = Posted. b) Account Drill Down Report– Reconcile journal entries to the General Ledger. The report enables detailed review of the account activity on a specific general ledger account. From SLA drilldown can be performed to transaction level. The following reports can be reviewed when assessing the accuracy of the asset inventory: * Asset Additions By Cost Centre Report * Asset Additions Responsibility Report * Asset Disposals Responsibility Report * Asset Inventory Report * Asset Retirements by Cost Centre Report * Responsibility Reserve Ledger Report Oracle Financials E-Business Suite Release 12 Period End Procedures 68 .

Once your financial transactions are captured in the system. Revaluation is an optional step in the accounting process. * Navigate to the Accruals window. 2. If you set the ‘Accounting Perform Deal Revaluations company parameter’ to Yes. for all money market products. Reversal entries are not required. Business Requirements Oracle Treasury is a comprehensive treasury solution that helps you effectively manage your investments. manually or automatically. accrual and accounting for these transactions.Chapter 10 Oracle Treasury This chapter describes the procedures for performing period-end processing in Oracle Treasury Release 12. 1. * Choose a period or an existing Batch ID. These adjustments include amounts for settling derivatives. * Choose a Company. if necessary. such as Forward Rate Agreements (FRAs) and options. Generate Accruals and Amortization You can generate amortizations and accruals adjustments. split by revenue and expense. you must perform revaluations as part of the accounting process. * Choose the Calculate button. Perform Revaluation Revaluation is the process of adjusting the rates and prices of your financial instruments to reflect the current market value and calculate the realized or unrealized profit and loss. Complete Daily Trading Activities Complete trading activities for the day. Amortization and accruals adjustments are calculated incrementally for each batch period. rather than as an accumulating amount for multiple periods. validate them. 3. Procedures The following steps are taken in performing period-end processing for Oracle Treasury. foreign exchange transactions and derivatives. and send payment instructions to the bank. You can automate steps 2-5 by running the Accounting Streamline Process concurrent program. Oracle Treasury facilitates settlement. valuation. Oracle Financials E-Business Suite Release 12 Period End Procedures 69 . debt.

but you cannot change them. change the dates or GL accounts for your journal entries. You can view and delete these period adjustments. Treasury sends the journals directly to GL and not via SLA. Transfer Journals to General Ledger After you enter and verify all accounting changes for the journal.* The accrual and amortization details for the financial transactions in the specified period appear. and reallocate suspense journal entries to a GL account. Generate Journals Use the Daily Journals window to generate the daily journals for an accounting batch. Oracle Financials E-Business Suite Release 12 Period End Procedures 70 . 4. If you find the results to be incorrect. delete them and review the corresponding financial instrument. Once you transfer your daily journals to General Ledger. use the Transfer Journals to GL window to transfer your journals from Treasury to General Ledger. you cannot change any of the accounting for the batch in Treasury. view the generated journal entries. 5. * Authorize the results. re-create the accruals. Attention: There is no integration yet with SubLedger Accounting (SLA). Once the financial instrument is correct.

if it is necessary to enter or modify accounting transactions for that period. independent of the period/year end process. Oracle Financials E-Business Suite Release 12 Period End Procedures 71 .No further processing is possible. Combined Basis Accounting If you have installed combined basis accounting. * Future Enterable . these tasks could be performed from a single responsibility. Usually used where modules are maintained in different periods. Note: The Period-End and Year-End processes are the same if Encumbrances are Not Used. but can re re-opened if required. Suggestion: Periods are usually only ‘finally closed’ when all adjustments and reporting requirements for the prior financial year are finalized.Chapter 11 Oracle General Ledger This chapter describes the procedures for performing period-end processing in Oracle General Ledger Release 12.The period has never been used. Procedures The following steps are taken in performing period-end processing for Oracle General Ledger. A closed period can be re-opened (provided it has not been permanently closed). Depending on the Ledger set/Data Access Set attached to a responsibility.Period is closed for processing.The period is open to accept transactions from other modules. The periods can then be permanently closed as required. Business Requirements Period End Close In Oracle General Ledger. Special steps are required for Encumbrances. and transactions are likely to be posted across modules. but be able to re-open periods for post processing adjustments. For most modules you can view and select one of the following: * Never Opened . Managers have the discretion to immediately close a period to prevent unauthorized processing. This will mean that you will need to select the responsibility relevant to both Ledgers when completing these tasks. an accounting period is closed after all the accounting transactions have been completed for the period. then the steps detailed below will need to be completed for both your accrual and cash Ledgers. * Permanently Closed .Period is available for data entry * Closed . * Open .

Upload Journals from Web Applications Desktop Integrator (Web ADI) to Oracle General Ledger (Optional) Journal information can also be imported from spreadsheets into Oracle General Ledger using Web ADI. Cash Management. and is run automatically. Inventory. data will be rolled back to SLA tables. * Delete any error journal entry batches. 2. journal entry level. Attention: The journal posting process. Then update and post them. Journal Import: * If not automatically completed. Order Management. At year-end. and GL_JE_LINES tables. Journals are comprised of batch level. * Re-import these corrected journal entry batches from the GL_INTERFACE table. Maintain period-end exchange rates for all foreign currencies to which you want to translate. The Create Accounting process of SLA submits Journal Import Process (based on appropriate parameters as discussed in previous sections).in the GL_INTERFACE table. Purchasing. updates the GL_BALANCES table. Attention: Leave sufficient time to re-import any journal entries not successfully imported from the feeder systems. via the Correct Journal Import Data window. GL_JE_HEADERS. prior to opening the first period of the new financial year. Determine the source(s) for these error batches. 3. except at year-end. Treasury and Projects) have been transferred to Oracle General Ledger. Receivables.1. Assets. This process populates the GL_JE_BATCHES. when the profile option ‘SLA:Disable Journal Import’ is set to ‘No’. Run Create Accounting program or the appropriate program (based on previous runs of Create Accounting) to transfer data from subledgers. Simply re-enter the source from which journal entry batches are to be imported. Ensure that the accounting information from the sub-ledgers (Oracle Payables. and retrieve the run ID from the Journal Import Execution Report. run in Oracle General Ledger. information. into Oracle General Ledger. Oracle Financials E-Business Suite Release 12 Period End Procedures 72 . review the Journal Import Execution Report to identify which journal entry batches were not successfully imported. it is recommended that you complete all period end processing. and journal entry line level. * Make the necessary corrections . so that there would not be any data left in the GL_INTERFACE table. Complete Oracle Sub-ledger Interfaces to Oracle General Ledger Journals are created to load accounting information into Oracle General Ledger. Ensure the Next Accounting Period Status is set to Future Entry Set the status of the next accounting period to ‘Future Entry’ if it is not already. Note: If journal import fails when importing from the sub ledger modules.

before posting.4. Ensure that all entries to the source accounting flexfields used in the MassAllocation Journal definitions are finalized for the current period. Submit the process to generate the Recurring Journals. Generate Mass Allocation Journals (Optional) Select the Mass Allocation Journals that require generation for the current period. This process can be submitted for foreign currency and for multiple ledgers. prior to generating the journal. This process can be run across ledgers. perform any journal entry updates. Complete Non-Oracle Sub-ledger Interfaces to Oracle General Ledger (Optional: only required if you want to post from non-Oracle systems) Following the same procedures as for Step 2: * Ensure that the accounting information from any site specific. or via reports.General Report Oracle Financials E-Business Suite Release 12 Period End Procedures 73 . Post step-down allocations in the correct order (i. Attention: Journal entries can be reviewed on-line. use the GL_Interface. Submit the process to generate the Reversal Journals. perform the calculation and post. 6. Following review of journal entry batches. 7. 5. Review and Verify Journal Details of Unposted Journal Entries Review any remaining unposted journal entries for the current period. for each successive level of allocation entry). 8. Generate Reversal Journals (Optional) Select all the Journals to be reversed. Generate Recurring Journals (Optional) Select all the Recurring Journals that require generation for the current period. including any adjusting entries. provided the access is available. Note: If you are loading accounting journals for 3rd party systems directly to Oracle General Ledger.e. the accounting journal details will automatically by stored in the XLA tables. If you are using Oracle Financials Accounting Hub to generate accounting for your 3rd party systems. Standard Journal reports available included: a) Journal Batch Summary Report b) Journals . * Run the Journal Import process for these sources and ensure the resulting Journal Entries are posted either automatically by AutoPost or manually. prior to being transferred (in summary or detail) and imported into Oracle General Ledger. Update journal entries as appropriate. non-Oracle subledgers has been transferred to Oracle General Ledger. This process can be run across ledgers and across currencies. Reviewing journal entries prior to posting minimizes the number of corrections and changes after posting.

c) Batch Status Oracle General Ledger describes the problems with unpostable batches. ensure that the debits and credits equal the control total.General Report with a Posting Status of Error Journals to review error journal entry batches and their journal entries.Entered Currency g) Journals by Document Number Report (when document sequencing is used) 9. Oracle Financials E-Business Suite Release 12 Period End Procedures 74 . Post Encumbrance batches to any period up to the last period in the latest open encumbrance year. Review the results of the post: * The Posting Execution Report facilitates review of the results of journal entry posting. Post All Journal Batches Post all journal entries for the current period.Line Report e) Tax Journals Report f) General Ledger . Update unpostable journal entries. and the corrected journal entries re-submitted for posting. Common reasons for unpostable batches are: * Control total violations * Posting to unopened periods * Unbalanced journal entries Attention: All errors in the journal entry batches must be fixed.Entry Report d) Journals . This report indicates any errors in journal entries or journal entry lines were discovered during the posting process. * Run the Journals . Post Budget batches to any period in an open budget year.c) Journals . including reversal. recurring and allocation journals. Oracle General Ledger generates this report every time posting of journal entry batches occurs. b) Period Status Post Actual batches to open periods. Post updated journal entries. Locate the problems with unpostable journal entry batches using the following information: a) Control Total When using a control total.

* Consolidate within ledgers a) Enter consolidating journal entries Oracle Financials E-Business Suite Release 12 Period End Procedures 75 . Translate Balances (Optional) Define any new currencies to which accounting balances are to be translated. Request financial reports such as: a) Balance Sheets e. Translatae account balances to any defined currency. Whichever you choose you can run your extract programs to extract the data from General Ledger to the consolidation systems. The General Ledger accounting can run the Period Close Exceptions report to double check that there are no outstanding transactions in the subledgers and GL. Financial Consolidation Hub or the Hyperion Consolidation functionality. Custom accounting reports can be created by using the ‘Financial Statement Generator (FSG)’. Detail Trial Balance Report b) Income Statements c) Gross Margin Analysis 11. Revalue Balances (Optional) Revalue account balances to update functional currency equivalents. Maintain historical rates or amounts for any owner’s equity accounts to be translated. Maintain period-end exchange rates for all foreign currencies to which you want to translate. 13. Suggestion: To prevent confusing different versions of accounting reports for a specific accounting period.g. Consolidate Ledgers (Optional) Attention: You can consolidate using Global Consolidation System. Maintain average exchange rates for all foreign currencies to which you want to translate. Run the Period Close Exceptions Report This is a new step in Release 12. discard any obsolete versions of your report for that accounting period.9a. Run GL Trial Balances and Preliminary Financial Statement Generator Reports (FSGs) To maintain a consistent audit trail. and ensure a follow-up with relevant colleagues if any exceptions are identified. 10. 12. it is advisable to create a standard period-end accounting report set that can be run at each period end.

d) Define financial statements with the reporting hierarchy.The following two methods can be used to create eliminating entries for multiple companies using a single Ledger: Automatic Eliminating Entries . investments in subsidiaries. Oracle Financials E-Business Suite Release 12 Period End Procedures 76 . Suggestion: To produce financial reports that reconcile your consolidating companies with the consolidated totals. * Example of consolidation across ledgers when sharing same COA and Calendar (Using Ledger Set and access granted via ‘Data Access Set’): a) Define consolidated FSG b) Perform revaluation and translations across ledgers c) Enter consolidated and eliminating entries d) Report on FSG by selecting the ledger set option while running * Example of consolidation across ledgers using the Global Consolidation System (GCS): a) Define consolidations. c) Run consolidations. Suggestion: To automatically generate the amounts and accounts for consolidating and eliminating journal entries. b) Perform revaluation and translation of foreign subsidiaries as required. intercompany sales etc. f) Analyze results using drill-down capability from Parent ledger to Subsidiary ledger/s.use formulas b) Post consolidating journal entries. and the corrected journal entries re-submitted for posting. Recurring Journals. enter the consolidating entries to a separate company. and build reports with a separate column for ‘consolidating entries’. d) Enter consolidated and eliminating entries. use recurring journal entry formulas. c) Define a reporting hierarchy that consolidates all the companies. payables. e) Report on this consolidated ledger using FSG’s.define mapping rules to eliminated intercompany receivables. Attention: All errors in the journal entry batches must be fixed.

improved online reconciliation reporting. you can selectively cross-reference transactions in GL with each other by entering reconciliation reference information at the journal line level. which includes the source. c) Trial Balance Reports Use trial balance reports to review account balances and activity in summary or detail. Reconcile Intercompany (optional) Advanced Global Intercompany System in Release 12 provides more advanced features such as automatic generation of intercompany invoices in AP and AR. a) General Ledger Reports General Ledger Reports facilitate tracing back each transaction to the original source. These reports list beginning and ending account balances and all journal entry lines affecting each account balance. Adjust journals to correct any errors in the journals. and descriptions and reference information for each journal entry line. posted. When the balance for group of transactions is zero you can mark the transaction as reconciled. * Review Detail Account Balances On-line * Review Account Balances via Reports Request accounting reports such as general ledgers. category and date. and description. Detailed information is provided for each journal entry line. The report provides detailed information on each journal entry line including source. 14. general journals. A new. * Journal Reconciliation: General Ledger Entry Reconciliation lets you reconcile transactions in GL accounts that should balance to zero. batch name. You can report on foreign currency. b) Accounts Analysis Reports These reports list the accumulated balances of a range of Accounting Flexfields and all journal entries that affect that range. trial balances. d) Journal Reports These reports print journal entry batches and include journal entry subtotals. unposted or error journal entries and report on a specific batch or on journal entries from a specific source.13a. online reconciliation report provides drill-down to underlying sources and source journals for easy identification of reconciliation differences. and accounts analysis reports to facilitate reconciliation of Oracle General Ledger with the other Financials and manufacturing modules. and is also fully integrated with SLA. Create and post adjusting journals to correct errors in account balances. Review and Correct Balances (Perform Reconciliations) Oracle General Ledger should be reconciled with all other modules. With General Ledger Entry Reconciliation. * Clear Suspense Accounts Oracle Financials E-Business Suite Release 12 Period End Procedures 77 .

Perform Final Adjustments Enter and Post any final adjustments as required by the organization. This operation can be performed across ledgers provided ‘Data Access Set’ grants access. Open the Next Oracle General Ledger Period Open the next General Ledger accounting period in the Open and Close Periods window. or ‘permanently closed’. The period can be ‘soft closed’. 15. Enter Adjustments and / or Accruals and Post To correct errors in account balances made by posting incorrect journals. write-offs (refer Accrual Write-Off Report). which means that the period cannot be re-opened in the future. This step will need to be repeated for each ledger unless a data access set is setup to give access to multiple ledgers. 18. or to re-open a previously soft closed period to enable adjustments to be made. * Reconcile Subsidiary Ledgers Identify differences between subsidiary ledgers and the General Ledger. Oracle Financials E-Business Suite Release 12 Period End Procedures 78 . Attention: The details of posted journals cannot be changed. 16. Creditors Control. * Check other key system accounts have not been transacted by ad-hoc journals. Intercompany accounts.Examine the General Ledger and account analysis reports to identify the source of entries to the suspense accounts. for example. except to mark or unmark for reversal. With a data access set across ledgers programs can be run for multiple ledgers from a single responsibility. Determine the adjusting entries required to net these accounts to zero. Attention: If suspense accounting is not allowed. An incorrectly entered posted journal must be reversed to back-out the accounting of the original posted journal. Other journal entry adjustments. Determine which differences are errors requiring adjustment to the General Ledger. Choose status ‘Open’ to open a new accounting period. Close the Current Oracle General Ledger Period Close the current GL accounting period in the Open and Close Periods window. 17. For more information please refer to Oracle General Ledger User guide. if later adjustments to the balances for that period may be applicable. create and post adjusting and reversing journals. etc. for example. This is controlled by GL: Data Access Set profile option. Debtors Control. Oracle General Ledger will not post out-of-balance batches. and manual accruals can be entered into Oracle General Ledger at this point also.

The Financial Tax Register uses this data to generate Tax Register reports using the Rxi reporting tool. Perform Encumbrance Year End Procedures (Optional) Oracle Financials provides a number of facilities for the processing of outstanding encumbrances as part of year-end processing. The Financial Tax Register can be used to view the output from the Tax Reporting Ledger using Reports Exchange and Application Desktop Integrator (ADI). Other facilities available: Oracle Financials E-Business Suite Release 12 Period End Procedures 79 . FSGs can also be published via the Application Desktop Integrator (ADI). and Oracle General Ledger.Generate and post reversal journals that were entered in the prior period. The carry forward process enables managers to perform any of the following: * Carry forward encumbrances for existing transactions (purchases/requisitions). Any Journals entered into this period while it had a status of Future Enterable. and the encumbered budget. and export the data to a tab delimited or HTML file. For example any Oracle Purchasing receipted accruals and manual accruals. The following tax registers are available: a) Deferred Output Tax Register b) Recoverable and Non-Recoverable Tax Registers c) Single Cross Product Tax Register d) Standard Input and Output Tax Registers 21. Run final Financial Statement Generator Reports (FSG) or Report Sets as required by the organization including Income Statements and Balance Sheets. can now be posted as the period now has a status of Open. * Carry forward the funds available as at the end of the year. Run Reports for Tax Reporting Purposes (Optional) A variety of standard reports can be used to provide tax information. The default processing for Oracle Financials at year end is to extinguish any outstanding encumbrances/ unused funds when you close the last period of the Financial Year within the General Ledger application. This step will need to be repeated for each ledger unless a data access set is setup to give access to multiple ledgers. * Carry forward encumbrances. With a data access set across ledgers programs can be run for multiple ledgers from a single responsibility. including withholding tax. The Tax Reporting Ledger consists of accounting information created in Oracle Receivables. This is controlled by GL: Data Access Set profile option. Run Financial Reports for the Closed Period Run a final Trial Balance Report. Oracle Payables. 20. publish the report in different formats. Using these products you can change the layout of the report. which is required to be reported to the relevant Tax Authority. 19.

b) Open the next budget year Use the Define Budget window to define a budget for the next budget period.Select ‘All’ for all encumbrances. Define Summary Accounts. * Carry forward budgets into the current appropriation budget. you can select a wide range of criteria for carrying forward balances: * Carry Forward Rule . Mass budget processing also allows you to combine these budgets. c) Run Year End Carry Forward This process enables you to determine the criteria that you want to use for carrying forward your encumbrances The year-end carry forward is normally completed in two steps: 1) Perform the Year End Carry Forward in Preview mode 2) Perform the Year End Carry Forward without selecting the Preview option Within the Year End Carry Forward form. Encumbrances and the Encumbered Budget. you may also need to update the following: Define Budget Organizations. you must complete each of the following steps: a) Open the next encumbrance year Use the Open and Close Periods window to open the next encumbrance year. including Carry Forward.This rule enables you to select Encumbrances Only.Select the budgets where they are different Oracle Financials E-Business Suite Release 12 Period End Procedures 80 . or select the encumbrance type that you require i. or to a separate budget to identify between current year and carry forward amounts if required. Attention: Ensure that the budget that you use is inclusive of the periods for the next budget year that you require Attention: Ensure that the calendar periods for the next budget year have been created prior to running this step. where summary templates are used as the basis for the budgetary control procedures. where you have attached the funding budget to defined account ranges within this form. If you define a new budget for the purposes of the next year budgetary control. or Funds Available as the basis for the Carry forward * Encumbrance Type .e.* Use mass allocations to bring forward part of the funds available. To perform Encumbrance year-end procedures. * From/To Budget and Budget Organization. Verify that the next year budget figures have been entered. Commitment. Obligation etc.

* Accounting Flexfield Ranges . Oracle Financials E-Business Suite Release 12 Period End Procedures 81 .Select the range of relevant accounting flexfields to be carried forward.

Review the Outstanding and Overdue Purchase Orders (Optional) 4. Complete All Transactions for the Period Being Closed 2.Review Back Orders 1. Projects 3. Transfer All Approved Invoices and Payments. Review Open Orders and Check the Workflow Status 4. Run the Payables Approval Process for All Invoices 1. Payables 6. Transfer Journals to General Ledger 5. Close the Current Oracle Payables Period 3. General Ledger 1. Purchasing 8. Cash Management 1. Review the Current and Future Commitments (Optional) 3. Complete Daily Trading Activities 2. 9. Ensure all Interfaces are Completed for the Period (Optional) 3. Receivables 7. Complete Daily Cash Management Activities 5. 2. Review the Payables to General Ledger Posting Process After Completion 7. 82 . 3. Generate Journals 5. Reconcile Payments to Bank Statement Activity for the Period 5. Perform Revaluation 2. Identify and Review Un-invoiced Receipts (Period-End Accruals) 6. Follow Up Outstanding Invoices 1. Check and fix pending Transactions. Ensure the Next Accounting Period Status is Set to Future Entry 1. 2. to the General Ledger 6. Assets 10. Follow up Receipts-Check with Suppliers 5.Summary The following table displays a summary of the period-end procedures for each of the Financials applications detailed in the preceding chapters and. Complete All Transactions for the Period Being Closed 4. Review & Resolve Amounts to Post to the General Ledger 4. Generate Accruals and Amortization 4. Complete All Transactions for the Period Being Closed 2.Review Discounts 7. Complete All Transactions for the Period Being Closed. Review Held Orders 3. Order Management 1.Chapter 12 Period End Processing . Inventory / Cost Management.Review Customer Acceptances (Optional) 6. Submit the Unaccounted Transactions Sweep Program 8. 1. an indication of the order in which the steps should be undertaken. Change the Current Oracle Projects Period Status from Open to Pending Close 8.Review and Correct Order Exceptions Oracle Financials Release 12 Period End Procedures Error! No text of specified style in document. Check Inventory and Work In Process Transaction Interfaces. Complete the Oracle PayablesPeriod End Process 7. Treasury 11.

Order Management 4.Generate Invoices 5.Period End Process 10. Run Maintenance Processes 5. Create Miscellaneous Transactions 6a. Complete All Maintenance Activities 4.Interface Transactions to Other Applications 2. Reconcile Outstanding Customer Balances 4. Assign All Assets to Distribution Lines 5. General Ledger 2. Accrue Uninvoiced Receipts 1. Reconcile Bank Statements 6. Purchasing 8. Review the Unapplied Receipts Register 8. Reconcile to Inventory 4. Inventory / Cost Management. Receivables 7. Reconcile Transaction Activity for the Period 3. Perform Year End Encumbrance Processing. Generate Bank Statement Cashflows 8. Reconcile Oracle Payables Activity for the Period 11. (Optional) 1. 9. Reconcile Accounts .Run Create Accounting 12. Complete All Transactions for the Period Being Closed 2. Open the Next Inventory Period Oracle Financials E-Business Suite Release 12 Period End Procedures 83 . Run Mass Additions Transfer to Oracle Assets 9. Complete All Transactions for the Period Being Closed 2.Perpetual Accruals 10. Load Bank Statements 3. Run Receipt Accruals . Transfer Summary or Detail Transactions 9.Run the Generate Cost Accounting Events Program 7.2. Complete All Transactions for the Period Being Closed 6. Treasury 11.Review and Release Revenue for All Projects 10. Review AutoReconciliation Execution Report 9. Open the Next Oracle Projects Period 3. Projects 3. Cash Management 5.Generate Draft Revenue for All Projects 9. Assets 10. Run the Cost Distribution Processes 6a. Complete Bank Transfers 7. Payables 6. Generate Sweep Transactions 4.Run Generation Revenue Accounting Events Process 11.

Complete Oracle Sub-ledger Interfaces to Oracle General Ledger 3. 11. Run Responsibility Reports (Optional) 11. Reconcile Oracle Assets to Oracle General Ledger Using Reports. Run the Account Analysis Report for the General Ledger Cash Account 15. Upload Journals from ADI (Applications Desktop Integrator) 84 19. Close the Current Oracle Purchasing Period.Change the Current Oracle Projects Period Status from Pending Close to Closed 17. Review the Account Analysis Report 16. Projects 3. Treasury 11.Run Period Close Exceptions and Tieback Reports 8. Depreciation Projections (Optional) 12. Resolve Exceptions on the AutoReconciliation Execution Report 9. Run Depreciation 11. Close the Current Inventory Period 9. Cash Management 5. Print Invoices 13. Run the GL Reconciliation Report 14. Run Final Project Costing and Revenue Management Reports 16.Update Project Summary Amounts 10. Run Standard Period End Reports (Optional) 7. Resolve Unreconciled Statement Lines 9. Order Management 10. Assets 10.Advance the PA Reporting Period (optional) 18.2. Create Accounting 14. Purchasing 8. 8. Post to the General Ledger 12. Validate the Work in Process Inventory 5. Rollback Depreciation 15. Third Party Balances Report 2. Run Bank Statement Detail Report 12. Run Calculate Gains and Losses (Optional) 4. 6.Transfer Invoices to Oracle Receivables 12. Reconcile the General Ledger Transfer Process 6. Recocncile Cost Distribution Lines with General Ledger (Optional) 21. Create Service Contracts (Optional) 4. Post to General Ledger 13. 3. Receivables 7. Run Transactions Available for Reconciliation Report 11. Reconcile Receipts to Bank Statement Activity for the Period 7. Create Deferred Depreciation Journal Entries (Optional) 8. Open the Next Oracle Payables Period 6. Run Standard Period End Reports 8. Permanently Close the Oracle Projects Period (Optional) Oracle Financials E-Business Suite Release 12 Period End Procedures . Review and Post Journal Entries 10. General Ledger 5. Close the Current Oracle Payables and Oracle Purchasing Periods 7. Payables 6. Correct any Invalid Entries to the General Ledger Cash Account (Optional) 9. 11. Close the Current Oracle Receivables Period 12. Reconcile receipts. Run Standard Period End Reports and reconcile the Perpertual Inventory with GL 9. Inventory / Cost Management. Reconcile to Oracle Receivables (Optional) 13. Review the Subledger Period Close Exceptions Report 13. Reconcile the Journal Import Process 10. Open the Next Oracle Purchasing Period.Restore Access to User Maintenance Activities 20.

Translate Balances (Optional) 13. 9. Run the Key Indicators Report (Optional) 15. Run Reports for Tax Reporting Purposes (Optional) 14. Run GL Trial Balances and Preliminary Financial Statement Generator Reports (FSGs) 11. Run the Period Close Exceptions Report 10. Review and Correct Balances (Perform Reconciliations) Oracle Financials E-Business Suite Release 12 Period End Procedures 85 . Generate Recurring Journals (Optional) 7. Generate Mass Allocation Journals (Optional) 8. Reconcile Posted Journal Entries 13. Review and Verify Journal Details of Unposted Journal Entries 9. Reconcile Intercompany (optional) 14. Inventory / Cost Management.2. Post All Journal Batches 9a. Consolidate Ledgers (Optional) 13a. Run Reports for Tax Reporting Purposes (Optional) 4. Assets 10. Treasury 11. Receivables 7. Cash Management 5. Review the Unposted Items Report 16. Order Management 4. Payables 6. Purchasing 8. General Ledger to Oracle General Ledger (optional) 14. Revalue Balances (Optional) 12. Review Account Analysis Report 17. Generate Reversal Journals (Optional) 6. Open the Next Oracle Receivables Period 18. Projects 3. Complete NonOracle Sub-ledger Interfaces to Oracle General Ledger (Optional) 5.

Purchasing 8. Cash Management 5. Enter Adjustments and / or Accruals and Post 16. Order Management 4. General Ledger 15. Treasury 11. Perform Final Adjustments 17. Projects 3.2. 9. Run Reports for Tax Reporting Purposes (Optional) 21. Payables 6. Perform Encumbrance Year End Procedures (Optional) Oracle Financials E-Business Suite Release 12 Period End Procedures 86 . Receivables 7. Assets 10. Run Financial Reports for the Closed Period 20. Close the Current Oracle General Ledger Period 18. Inventory / Cost Management. Open the Next Oracle General Ledger Period 19.

1 579836. Key: R12) November 19 SLA: Troubleshooting the AP TO GL Reconciliation Subledger Accounting (SLA): FAQ for Support Engineers 749679.1 579631.1 436128.1 751830.1 What Is The Period Close Process For Oracle Assets In 557948.4 Reconciliation Reports On Standard Cash Receipt. Reconciliation and Data Integrity Issues? 'FAQs' for Period Close and Unaccounted Transactions topic in Oracle Payables GL_DATE Difference On R12.0.1 759002.Appendix: More Information Related My Oracle Support Information The following My Oracle Support Information can be reviewed for additional information on period end procedures.1 Useful Articles for R12 General Ledger Support Engineers 369993.1 558421.1 605707.1 732928.1 728871. How To Diagnose And Reconcile R12 Inventory AP Accrual Transactions Using Reconciliation Reports How To Diagnose Issues With Create Accounting Process For Procure To Pay Cycle in R12 Period Close Reconciliation Report Is Showing Unusual Discrepancy R12 Accounting FAQ's R12 Accounting.1 761502. GL Transfer.aka Open Account AP Balances Listing R12 Trial Balance FAQs R12 Troubleshooting Accounting Issues (in Payables) R12 Troubleshooting Period Close in Payables R12: Oracle Financials Year-End Close and Reconciliation Resources R12: The Differences between the AP Trial Balance in R12 and 11i Release 12 Close Process & Reconciliation .1 Release 12? Oracle Financials Release 12 Period End Procedures 87 .1 740297.7:00 pm MDT (Conf.1 437422.1 604739.1 579373.1 743390. Document Title Doc ID AR: What are the recommended patches for AR-GL Posting.1 735522. Period Close and Trial Balance 'How To' documents R12 SLA: New R12 Payables Trial Balance -.

Terrance Wampler. This document is not warranted to be error-free. Oracle Financials Release 12 Period End Procedures 88 .506. Elise Mattei. CA 94065 U. electronic or mechanical. Other names may be trademarks of their respective owners. This document is provided for information purposes only and the contents hereof are subject to change without notice. Mien-Lin Tan. All rights reserved. Henk Brons Oracle Corporation World Headquarters 500 Oracle Parkway Redwood Shores. Menno Koomen. nor subject to any other warranties or conditions. Murali Voora. Chris Cianciolo. without our prior written permission. Oracle and/or its affiliates. for any purpose.7200 oracle.Oracle Financials Release 12 Period End Procedures June 2009 Author: Oracle Consulting Contributing Authors and Reviewers: Suneel Bhaskar.506. including implied warranties and conditions of merchantability or fitness for a particular purpose.A. Lucia Scaltriti. Kannan Tarakad.650. Sarah Bowen.650. Oracle is a registered trademark of Oracle Corporation and/or its affiliates. This document may not be reproduced or transmitted in any form or by any means. Worldwide Inquiries: Phone: +1. whether expressed orally or implied in law.7000 Fax: +1.S. Ramaswamy Krishnamurti. Bertrand Vuigner.com Copyright © 2009. Helle Hennings. Bill Tokheim. Ashish Pathak. Amrita Mehrok. Barbara Fox. Simer Sahani. Julia Baeva. We specifically disclaim any liability with respect to this document and no contractual obligations are formed either directly or indirectly by this document.

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