ORACLE PAYABLES 1.What are the modules that are interfaced with Oracle payables?

General Ledger, Purchasing,AOL,Cash Management,Assets. 2.How does the information defaults in payables? Financial Option > Payables > Supplier > Supplier Site > Invoice > Distribution and Schedule of Payment. 3. What is a distribution set? what are the types of distribution set? Distribution Set is to automatically distribute Invoice amount in to different GL Account code Combination. Type of Distribution Set Full Distribution and Skeleton Distribution Set Full Distribution means we know the exact percentage and exact account code combination. The sum of the distribution percentages must equal 100 or 0. Whereas in Skeleton we don't the percentage but we know the GL Account Code Combination. So percentage should not be entered here. 4.What are the types of invoices used in payables? Standard, Credit Memo, Debit Memo, Mixed, Prepayment, Expense Report, Withholding Tax, PO Default, Quick Match. Retainage Invoice 5. What are the encumbrance options for AP? How are they used? Requisition Encumbrance, and PO Encumbrance available in Financial Option. Encumbrance used to reserve the Funds at the time of raising the Requisition or creating of PO. 6.What are the different types of supplier sites? Pay, Primary Pay, RFQ, Purchasing, Procurement Card.

7. Cash. Payables automatically creates interest invoices when you pay overdue invoices in a payment batch or with a Quick payment. 11.How do you create interest invoice? In Payable Option under Interest Tab Allow Interest Invoices. What is Automatic Offset Methods ? Payables automatically create balancing accounting entries for your invoice and payment transactions. Account. None.What are the types of Accounting Methods? Accrual. If no value is entered. 10.What is GL Date Basis & Prepayment settlement date? The date you want Payables to use as the default accounting date for invoices during invoice entry. • System Date. 3. • Goods Received/Invoice Date. Current date for your Payables system. Invoice date you enter during invoice entry.What is a Pay Group? Pay Group is to group invoices into supplier category for payments. • Invoice Date. Date that you enter in the Date Goods Received field. Enable this option if you want to allow Payables to calculate interest for overdue invoices and create interest invoices for selected suppliers. If you pay an overdue invoice using a manual payment. 8. . The date you enter the invoice. Payables warns you that interest is due on the invoice and you should pay the invoice in a payment batch or with a Quick payment. 2.Balancing. 9. Three types of Offset Methods 1. then the invoice date is used.

What are holds in payables? How are they defined ? Restriction on the invoice for further processing. instalments . How do you create a foreign currency invoice and a foreign currency payment ? Any invoice that has been created from other than the functional currency. Prepayment Settlement Days. 17. 18. Date that you enter in the Date Goods Received field. Number of days you want Payables to add to the system date to calculate a default settlement date for a prepayment. What are Term date basis & pay date basis? Term date basis Date from which the due date will be calculated based on the payment term. User can define any types of holds and can be attached to the invoice to stop further processing. What are the types of payment terms? Imme. Payables applying the prepayment to an invoice until on or after the settlement date. Pay date basis Selection criteria of invoices based on the due date or scheduled discount date.30days. header level and tax code level 13.What is additional Pay Through Days? Days specified in this column is added to the system date to select the invoice for payment which has the maturity date falling within these days 14. Levels: line level.What are the levels of Tax calculation? Level at which the tax has to be calculated.• Goods Received/System Date. then the system date is used. If no value is entered. Types: Manual and system holds. prevents you from . 12. 16. fixed due date.proxima.

supplier site. electronic. payment term.e. Payment document It is the actual negotiable or the legal document presented to the supplier. clearing. Two places where you .Steps: Payables option . What are payment formats and payables documents? Format in which the stationary has to be build i. future dated(Bill of exchange). Expense report template Defining default values for expense items. wire. 19.What are recurring invoices? A feature that lets you create invoices for an expense that occurs regularly and is not usually invoiced. 20. What are Expenses Report and Expense Report Template? Invoice created for the expense made by the employee. where the attributes or the contents has to be placed. 21. 22. What are the perquisites for entering a Standard Invoice? supplier. distribution set(optional). Making foreign currency payment In the payment format enable multiple currency option and in bank enable multiple currency payments under payable option tab. What are Tax Recovery Rules? Rules defined for the amount of taxes that has to be recovered which is usually a function of the nature (or intended use) of the taxable item. and you can then choose those items from a list of values when you enter expense reports. payment method. 24. Monthly rents and lease payments are examples of recurring payments.What are the types of payment methods? currency tab enable use multiple currencies. 23..

Future . What is future dated payment method? Payment of invoice where the due date(maturity date) falls in the future. Steps: Enable future date use in the future dated payments tab at the payables document. What are the Payment Programs? The following are the Payment Programs which is used in the payment batches. 28. quick and refund. How do you control accounting periods in payables? setup--accounting--ap accounting periods There is option of toggling between various status. Build Payment Programs It groups the Invoices of the suppliers in the manner in which payment should be made.ex. user-defined. payable tab. 27. Closed . he override option at 25. withholding tax. 2.bill of exchange. offset. What are the different types of taxes used in payables? Sales. . Build Payment Programs Format Payment Programs Separate Remittance Programs.what are the different types of payment methods? Manual. use tax. Never opened. 1. 3. 26. 29.Permanently closed.assign the method one is financials option at supplier payables tab and supplier site level.Open.

31. In the Invoice Workbench we can enter and apply prepayments. What are the tables involved in AP Invoice Interface? AP_INVOICES_INTERFACE AP_INVOICE_LINES_INTERFACE 32. When you use the Invoice Gateway. You can view multiple invoices at the same time in the Invoices window. you enter invoice header information in the Invoices window. and can view only one record at a time. 30. In the Invoice Workbench. Use this window for rapid. What is difference between entering Invoices in Invoice Gateway and Invoice Work Bench Window? Invoice Workbench used for entering and maintaining more complex invoices for which you require extensive online validation and online defaulting where as Invoice Gateway used for your everyday entry of invoice records. then we need to run the Separate Remittance Programs other this will run along with Payment Documents. Separate Remittance Programs If the Payment Documents does not contains the Remittance advice. but we can apply existing prepayments to invoices you enter. high–volume entry of Standard and Credit Memo invoices that are not complex and do not require extensive online validation or defaulting of values during entry. and the related invoice distributions in the Distributions window. you enter invoice header and line information in the same window. In the Invoice Gateway we cannot enter prepayments. What is Proration of Invoice Lines? When you check the Prorate in the Invoice Lines it will prorate expenses and Tax .Format Payment Programs This program is used to know the layout of the payment documents and accordingly format the payments.

We can remove holds that we apply. There are three types of holds we can use to prevent payment of an invoice Invoice Hold. based on our invoice approval needs. in some cases. What are the Offset Taxes? Where it is Used? Offset Taxes Offset tax codes are used to record self–assessed taxes on invoices.according to the Proportion of Line amount in the Invoice. We can manually apply one or more Invoice Hold Reason Approvals (”holds”) to an invoice using the Invoice Holds window of the Invoice Workbench.What are the types of Holds that are used to prevent the payment of Invoice? Holds that we can apply manually or that Payables applies. We can also prevent payment of supplier invoices by placing a hold on the supplier rather than on each individual invoice. 33. while reducing or completely offsetting tax liability. if you are a member of the European Union (EU). It used in European Union. and we can manually release certain holds that Payables applies during Approval. you enter negative–amount invoice tax distributions. Scheduled Payment Hold. There are two major category of hold 1] Manual Hold 2] System Hold. creation of accounting entries for an invoice. 34. and we can define our own. We can hold payment on part of an invoice by placing one or more . Payables provides some generic invoice holds for our use. prevent payment and. so when you use them. Manual hold we can create and release manually where as system hold is created by system and normally released by system after due rectification. Offset taxes have negative–amount rates. you can report on these zero–rated taxes using the Intra–EU VAT Audit Trail report.

We also have the option of specifying an Invoice Amount Limit for a supplier site. or Hold Unmatched Invoices options. Supplier Hold. • Online by using the Approve button in the Invoice Batches • Batch by submitting the Payables Approval program from the Submit Request window. We also have the option of specifying an Invoice Amount Limit for a supplier site. What are the ways in which invoice can be approved? Before you can pay or create accounting entries for an invoice.of the scheduled payments on hold in the Scheduled Payments window of the Invoice Workbench. 36. In the Supplier Sites window. 38. you must submit Approval for the invoice in one of three ways: • Online by using the Invoice Actions window. Hold Unapproved Invoices. • Select Discount for the Pay Date Basis for the supplier. What are the matching approval Levels? . or Hold Unmatched Invoices options. Payables takes a discount and pays the invoice within the discount period.What are the methods of taking Discounts in Payables? There are two ways to take discounts with Payables: • Enable the Always Take Discount Supplier option.What are the hold option at the supplier Site? In the Supplier Sites window. we can enable the Hold All Payments. 35. Hold Unapproved Invoices. and disable the Pay Only When Due check box for your payment batch. Payables takes a discount regardless of when you pay the invoice. 37. we can enable the Hold All Payments. including prepayments.

modified. Quantity billed <= Quantity received . the Payables Approval Program applies holds to the invoice and prevents payment until we release the holds. invoice records that you entered in the Invoice Gateway window. When you match to a purchase order or receipt. Matching ensures that we only pay for the goods and services we ordered and that our suppliers do not over–billed us. After the import program builds the invoices. Quantity billed <= Quantity ordered (Symbol mean lessor) 2. and credit card transaction data. 39. plus: 3.Match Approval Level. If we are billed for an item over the amount and quantity tolerances we define. they can be viewed. The invoice data is from e–Commerce invoices from your suppliers. invoices that you loaded with Oracle SQL*Loader. Control checks 1 and 2. If we use Oracle Payables with Oracle Purchasing or another integrated purchasing product.What are the Payable Open Interface Table? The Payables Open Interface tables store invoice information.What are the Invoice Matching Option? The following are the Invoice Matching Option available : Purchase Order Matching 2–Way. Invoice price <= Purchase order price Receipts Matching 3–Way. Payables Approval performs these control checks: 1. The Payables Open Interface Import program builds Payables invoices based on the invoice records in the Payables Open Interface tables. we can perform online matching of invoices and original purchase orders or purchase order receipts. and approved in the Invoice Workbench. lease invoices that were transferred from Property Manager. 40.

What is the Prepayment Invoice? What are the Types of Prepayment Invoice? A prepayment is a type of invoice we enter to make an advance payment to a supplier or employee. 2.Invoice Matching 4–Way. you need to load these tables with the data from your non–Oracle purchasing application. Quantity billed <= Quantity accepted 41. plus: 4. Permanent prepayments cannot be applied to invoices. To implement matching in Payables. The following are the list of such tables : • PO_HEADERS • PO_LINES • PO_LINE_LOCATIONS • PO_DISTRIBUTIONS . Control checks 1. The Following are the Two Types of Prepayments 1. What are the purchase order matching database table? Payables uses several of Oracle Purchasing tables for matching. Temporary prepayments can be applied to invoices or expense reports you receive. and 3. 42. 2. Temporary and Permanent.

The bank account must have at least one payment document that uses the Recorded or Combined disbursement type. and must have the same currency as the payment. 43. What should be the Setup steps when I wish to implement TDS features only? Setup only Step 16-21 of the India Localization Setups. You should specify 0. Refer to the Setup Overview chapter of the India Localization User Guide. 2.2 in the Surcharge field. validated. India Localization: 44. Following India Localization Setups need to be completed: • Define TDS Related Information for the Organization • Define Income Tax Authority • Define TDS Sections • Define TDS Tax Codes • Defining TDS year Information • Define TDS Details for Suppliers . For example: In a case where TDS Tax Rate is 2% and a Surcharge of 10% is applicable for this Tax. 45.• PO_DISTRIBUTIONS_AP_V (view of PO_DISTRIBUTIONS) • PO_RELEASES (Blanket Purchase Orders) • PO_LOOKUP_CODES AutoInstall automatically installs these and other necessary Oracle Purchasing application tables when you install Payables. What are the pre-requisites for entering Payments? The following are the pre-requisites: 1. How should I define surcharge for a TDS Tax? You need to enter (in the Surcharge field on the Tax Definition) exact percentage that has to be applied on the Invoice amount. uncancelled. The invoice(s) we paid must be approved. without holds.

51. . you will have to navigate to the TDS Period India Localization screen and press 'New Financial Year' button. 50. What happens when Standard Invoice having multiple TDS Codes is applied to a Prepayment Invoice with multiple TDS Code? TDS calculated on the Prepayment Invoice distribution to which the Standard Invoice is applied is considered for reversal. What will be a pre-requisite to assign WCT Type of Taxes on Invoice? It is necessary to assign a TDS Tax Id before you specify a WCT Tax Id.46. However. For Supplier who does not have TDS Applicability but only have WCT calculated for services provided by them. Once the current financial year-ends. TDS Amount calculated on the applied Prepayment line would be reversed in proportion to the amount applied to the Total Amount Prepayment Invoice. then. 48. assign the WCT Tax Id in the default TDS Tax Name field. Why should the user define a Fin Year for TDS? What is the impact of creating such Fin Year? When should I close the current Fin Year? This is mandatory for calculating TDS on Invoices. What is the impact of assigning a Default TDS Tax Name to the Supplier Site? This would automate TDS Calculation for every Invoice created for the Supplier Site. What will be impact on TDS Invoices when Prepayment Invoice with Single TDS Code. if you only have WCT applicable to the Invoice. assign this code in the TDS Tax Id field. This happens in spite of the fact that you override/ delete the TDS Tax Id before saving the Invoice Distribution. applied to Standard Invoice has different TDS Codes attached? TDS calculated on the Standard Invoice would be reversed in proportion of the amount applied to the Total Amount Standard Invoice bearing TDS. Also. 47. 49. How many TDS Invoices are created when multiple Invoice Distributions have the same TDS Tax Id? Invoice created for the TDS Authority and the Credit Memo for the Supplier would be consolidated for all Invoice distributions having the same TDS Tax Id. the TDS Certificate Number would be re-set every Fin Year. then.

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