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

.......... Run Generation Revenue Accounting Events Process.................25 7.......................39 20................ Complete all Maintenance Activities.................................................39 21................................. Interface Cost Transactions to Other Applications ..........................36 8...... 40 1................................................................................................................................29 14......33 Procedures .........................................24 5....................................... Restore Access to User Maintenance Activities ...................................39 19.........................................................37 11....................... Run Maintenance Processes................................36 7........................ 40 Business Requirements .................................37 12....................................................................................................................................... Open the Next Oracle Payables Period ............... Change the Current Oracle Projects Period Status from Open to Pending Close......................................32 General Exception Handling at Period End .....................33 4..26 10.............................................................. Transfer All Approved Invoices and Payments to the General Ledger....................................................... Submit the Unaccounted Transactions Sweep Program .38 15..................................30 CHAPTER 5 ORACLE PROJECTS .............. 33 1..................................................... Transfer Invoices to Oracle Receivables.... 22 Procedures ............................................... Open the Next Oracle Projects Period ....................................................... Review and Resolve Amounts to Post to the General Ledger ........................................................ Close the Current Oracle Payables Period .25 8................................................................ ..................................... Run Create Accounting to Process Revenue Accounting Events ........ Reconcile Outstanding Customer Balances .....................................29 12..33 3.....26 9...................... Run Final Project Costing and Revenue Management Reports ........................................... 32 Project Periods and General Ledger Periods........ Run the Payables Approval Process for All Invoices ...........................37 13...... Generate Invoices....................................................... Advance the PA Reporting Period (Optional) .......................................... Complete All Transactions for the Period Being Closed ......... 40 Procedures ................................................................. Run Period Close Exceptions and Tieback Reports .23 4.................................22 2...................33 2............... Accrue Uninvoiced Receipts............................................................................................................................Business Requirements ................................................ Run Mass Additions Transfer to Oracle Assets .........................................................................................................26 11......................................................... 22 1................................................................................................................................................................39 18...................34 6........ Run the Generate Cost Accounting Events Program . Change the Current Oracle Projects Period Status from Pending Close to Closed .................. Generate Draft Revenue for All Projects ...............................32 Period Statuses ......................................40 2.......................37 14........................24 6.................................................................................... Update Project Summary Amounts............................39 CHAPTER 6 ORACLE RECEIVABLES................................37 9............................................................................................................................................................................. Run Reports for Tax Reporting Purposes (Optional)......................38 17..... Reconcile Payments to Bank Statement Activity for the Period..........35 6a............................................................................. Complete All Transactions for the Period Being Closed ................................................. Run the Cost Distribution Processes................... 32 Business Requirements ..............................................................................................23 3...............38 16..............................................34 5... Complete All Transactions for the Period Being Closed ...........................40 3........... Reconcile Oracle Payables Activity for the Period ............................................................................................................... Reconcile Cost Distribution Lines with General Ledger (Optional)....................................................................................................................................................... Reconcile Transaction Activity for the Period.......................................................................................................................29 13... Permanently Close the Oracle Projects Period (Optional) ..................................................................................................................................................................37 10..............42 Oracle Financials E-Business Suite Release 12 Period End Procedures ............. Review the Payables to General Ledger Posting process After Completion............................................................................................ Run the Key Indicators Report (Optional) ............................... Review and Release Revenue for All Projects.........................

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

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

for internal and external audit purposes. Subledger Accounting stores subledger balances and subledger journals for all of your subledgers that require accounting. so that you can maintain a simple chart of accounts and store only what is needed for GL reporting and analysis. Whenever you want to account for your subledger transactions. Subledger Accounting helps to maintain a common link between General Ledger (GL) balances and underlying transactions automatically. 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. • It allows your general ledger to be free of extraneous data. • The moment you need to access more detailed information. the accounting is generated by Subledger Accounting. Subledger Accounting offers a new model between the subledgers and GL.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. It behaves like a detailed version of your general ledger and provides a rich store of information for reporting and analysis. Oracle Financials Release 12 Period End Procedures 8 . Subledger Accounting provides a comprehensive view of all subledger accounting data. • Just as Oracle General Ledger stores balances and journals. online or as a background batch process. and for ease of drilldown. 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.

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

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

as bank reconciliation in Cash Management will create miscellaneous receipts in Oracle Receivables and so forth. The diagram above shows the dependencies between some of the main Financials products and a couple of supply chain products. Oracle Financials E-Business Suite Release 12 Period End Procedures 11 . You also need to close Oracle Payables before you close Oracle Inventory and Oracle Assets. you have to close Oracle Payables before you close Oracle Purchasing to account for purchasing accruals at period end. Finally. For example. You actually have to close Oracle Cash Management before you close Oracle Receivables.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.

windows and report queries retrieve open orders only. These processes.Chapter 2 Oracle Order Management This chapter describes the procedures for performing period-end processing in Oracle Order Management Release 12. 1. Implicit Acceptance Confirm shipments and optionally. 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. since many programs. increasing system speed and efficiency. respectively. where possible. * Close lines and close orders are implemented using workflow. Order Management provides seeded close line and close order workflow sub-processes to close the order header and line. appropriate actions should be undertaken to finalize the Order Workflows and close these Sales Orders. Business Requirements Open Sales Orders should be reviewed and. when included in the order header or Oracle Financials E-Business Suite Release 12 Period End Procedures 12 . so reporting can be limited only to the active orders. Procedures The following steps are taken in performing period-end processing for Oracle Order Management. Orders marked as closed are not selected. 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. Closed orders are excluded from many of the standard reports available in Order Management. confirm that service contracts for warranties and extended warranties have been created Close orders * Closing orders that are complete enhances performance.

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

4. 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 . 3. as well as credit memos and credits on account created from returns. 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. items. Use the Error Message window to determine if your data failed to import. Attention: This process is only applicable for Order Workflow Definitions that include the Invoice Interface or Invoice Line processes. even if the Invoice Interface is an action in the order Workflow Definitions for the Internal Sales Order transaction type. The Sales Orders window displays the order header status in the main tab of the Order Information tabbed region. for external orders. requisition numbers. scheduled dates. Then. and internal requisition and internal sales order hold discrepancies. Attention: Order Management does not process internal sales order lines for the Invoice Interface. order types. The AutoInvoice Process updates Oracle Receivables for invoice and revenue information. ship to information. you can access the Workflow monitor to see the order or line status in a more graphical format. The window shows in tabular format all the activities an order header or line has completed and the corresponding results. From the status page. order date ranges. The Create Internal Sales Orders and Order Import processes can be scheduled to run automatically at specified intervals. f) Invoice Interface / AutoInvoice. inventory-sourced requisition lines to the Order Management interface tables. 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. The Workflow Status option on the Sales Orders window Tools menu launches the Workflow Status page. e) Use the Order Import Correction window to examine the orders and optionally correct data if it fails the import process. The order line status is displayed in the main tab of the Line Items tabbed region. This report includes all open and closed orders. the Order Import process is run from within Order Management to generate the internal sales orders.Use the Create Internal Sales Orders process to send requisition information from approved. c) Run Order Import to create internal sales orders from internal requisitions. Internal orders do not go through the Invoice interface/ AutoInvoice process. This process will ensure all shipped sales order information is transferred to Oracle Receivables when it reaches the appropriate point in the order workflow. order numbers. This is available through the View Diagram button.

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

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

b) Salesperson Order Summary Report The Salesperson Order Summary Report reviews orders for one or more salespeople. 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. order date ranges. customer name. This report can be used to report total amounts cancelled in a specified time-frame. quantity ordered. c) Customer Acceptance Report Generate Pre-billing Acceptance Program for Pre-billing. review cancellations by salesperson.11. This report displays the order and each order line associated with each salesperson. including order number. and detailed sales credit information for lines in a selected range. customer or customer number. the quantity ordered and the quantity cancelled. If there are no invoices for a particular order that meets the parameter criteria. order types. and who cancelled the order. or review cancellations by customers. agreements. This report provides a summary of each cancelled order. Implicit Acceptance. cancelled. Order Management prints in the report that no invoices exist for that order. 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. line number and item. Shipping Execution prints one commercial invoice per delivery within the trip. This report shows open orders. 12. b) Order/Invoice Detail Report The Order/Invoice Detail Report reviews detailed invoice information for orders that have invoiced. If only a delivery name is specified when defining the parameters of this report. line type. Salespeople can use this report to see their current outstanding orders and their status. A variety of parameters can be used to print the invoice information for a specific order or group of orders. The report displays all open and closed orders for a salesperson. and allows evaluation of the most common cancellation reasons. the date and reason the order or order line was cancelled. Oracle Financials E-Business Suite Release 12 Period End Procedures 17 . order numbers. shipped. and invoiced and their potential commission.

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

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

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

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

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

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

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

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

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

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

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. For more information refer to ‘SLA Implementation Guide’. 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. 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. 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. the Posted Invoices Register and Posted Payments Register reports must be run after each posting run.Payables Posted Invoice Register . you can use the Account Analysis report and the General Ledger reports to determine what journals are being posted to that account. b) Run Third Party Balances Report (Optional) This report is used to display balance and account activity information for suppliers and customers. for reconciliation of Oracle Payables liabilities with Oracle General Ledger’s Trade Creditor Control Account.Invoice journals must be posted in general ledger to appear on this report. be sure to post the transactions in the general ledger. third party. Before running your reports. Open Account AP Balance Listing Report or Accounts Payable Trial Balance (for last day of current period). as SLA has the ability to override the accounting.Payment journals must be posted in general ledger to appear on this report. Also. 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 –. Attention: A comparison between the accounts in payables with the accounts in GL might not match. Payables Posted Payment Register . 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 .30th April.

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

when combined with similar information from Oracle Accounts Receivable. Run the Key Indicators Report (Optional) This report enables review of the accounts payables department’s productivity. and review the current number of suppliers. Payables further breaks down each category into basic items. for each invoice. The Tax Reporting Ledger consists of accounting information created in Oracle Payables. and Oracle General Ledger. 14. 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 updates. 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. 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. both the tax amount and the invoice amount subject to tax. Oracle Payables generates reports you can use to review payables transaction activity.Suggested Reports include: Financial Tax Register Use the Financial Tax Register to view the output from the Tax Reporting Ledger. The report lists. The report includes. 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. exception items. 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. When you submit the Key Indicators Report. Note: Please refer to Oracle E-Business Tax Reporting Guide for complete details on tax related reports. and payments. The short name of this report is ZXXTATAT. This statistical information can be useful for cash flow analysis and forecasting purposes. for each tax rate code. invoices. Oracle Payables produces this report only if you choose ‘Yes’ for the Include Invoice Detail parameter. c) Key Indicators State of the System Report Oracle Financials E-Business Suite Release 12 Period End Procedures 30 . The short name of this report is RXZXPFTR. invoices. payments and matching holds in the system. distributions of all posted or partially posted invoices.

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

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

General Exception Handling at Period End If you do not want to correct exceptions during the current GL period. 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. Procedures 1. 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. without accounting for them. This process needs to be performed for each operating unit defined. Change the Current Oracle Projects Period Status from Open to Pending Close This is an interim status. 3. This process needs to be performed for each operating unit defined. The Subledger Period Close Exceptions Report lists all accounting events and journal entries that fail period close validation. 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 . 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. Complete all Maintenance Activities As there are a number of maintenance activities that can affect the period close procedure. which allows you to interface and adjust transactions in the period but does not allow transaction entry. 2.

Verify that all pre-approved timesheet batches in the current PA period have been released and approved. Run PRC: Add New Organization Compiled Burden Multipliers c) If changes or additions were made to pre-existing resource lists. 4.* 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. d) Run PRC: Update Project Summary Amounts After Resource List Change 5. update the project summary amounts before. Attention: One rejected expenditure item will cause an entire expenditure to be rejected. or use function and responsibility restrictions to prevent access to these areas during the period close procedure. If Oracle Projects is the direct data source for payroll or for reconciling labor costs to payroll. Run PRC: Transaction Import. Oracle Financials E-Business Suite Release 12 Period End Procedures 34 . 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 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. Run PRC: Compile All Burden Schedule Revisions b) Run organization maintenance to ensure all organizations have been added to all affected compiled burden schedules. not during. Transaction Source = Oracle Self-Service Time. the period close. verify that all timecards are entered or accounted for.

These expense reports may have been entered via Self-Service Expenses or Expense Reports in Oracle Payables. import all eligible supplier invoices from Oracle Payables. 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. import all eligible expense reports from Oracle Payables to create pre-approved expense report batches. The following transaction sources are pre-defined. 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. 6. after verifying that all transactions for the period have been accounted for. ensure that all new supplier invoices processing for the current GL period has stopped.Run the AUD: Missing Timecards Report Interface Supplier Invoices from Oracle Payables Before generating project revenue or running final cost event processes. 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 . Access to these activities should be controlled. Warning: If your PA period matches a GL/AP month end.

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

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
Oracle Financials E-Business Suite Release 12 Period End Procedures 40

If any discrepancies are evident.e. the report also lists those transactions. 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. Journal Entries Report This report enables the review and analysis of accounting entries in the Receivables subledger. credit memos. as they are negative on the Transaction Register and positive on the Sales Journal. document number. Company. This report details. By altering the parameters. By using the following formula. debit memos. Attention: Ensure that the monthly transaction total is accurate and that no distribution issues exist. the general ledger distributions for posted and/or un-posted invoices for the specified period. transactions that have been accounted with error. and event class. d. by account type (i. revenue. Data is then sorted by accounting date.e. specified for the period being reconciled.This report details all the transactions (i. research the customer balances to find out which balance does not tally. guarantees and chargebacks) entered with a GL date between the period start and period end dates. category. freight. The summary totals for the sales journal are by Posting Status. The report also lists in detail. The total on the Sales Journal by GL Account should equal the total of items eligible for posting as listed on the Transaction Register. invoices. using the Sales Journal by Customer report. and Transaction Currency. deposits. and voucher number. and all entries that could not be transferred to the general ledger. event type. customer name. review the details and make the necessary changes. c. which have been posted in general ledger. $100 + (2 * $20) = Debits $120 + Credits $20 ($120 Debits . ledger currency. and those which are yet to be posted but have been accounted. general ledger journal entries imported from Subledger Accounting are not included in the report. tax). Using the report parameters. b. as accounted by SLA. This report shows transactions which were entered and completed. you can produce a detailed or summary listing of the accounting information you want to review.$20 Credits) Attention: The Transaction Register total for any credits must be adjusted. 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. When a transaction is accounted with errors. receivables. AR to GL Reconciliation Report Oracle Financials E-Business Suite Release 12 Period End Procedures 41 .g. source. Note: To avoid duplication with subledger journal entries. SLA groups the report by ledger.

During the internal reconciliation process. and highlights journal sources where discrepancies might exist. then the following columns highlight the type of journals that affect the account balances: * GL Source Manual . using the following formula. thus creating reconciliation issues in Oracle General Ledger. This report simplifies the reconciliation process by comparing Receivables and General Ledger account balances in a single place.Unposted Oracle Receivables journals in the general ledger. This report will show a difference between Receivables and GL account balances only if items did not successfully post to GL accounts. even if the data matches. such as Oracle Payables or a legacy feeder system. the journals could still post to incorrect GL accounts. * Unposted in GL . However. Reconcile Outstanding Customer Balances Reconcile the outstanding customer balances at the beginning of a specified period with the ending balance for the same period.Journal entries posted to the General Ledger from other subledgers. and * You have reviewed the Unposted Items report to confirm that all journal entries have posted. 3. 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 Potential Reconciling Items report addresses this issue by suggesting journal items that might potentially post to GL accounts with unexpected account types.Manual journal entries made in the General Ledger. 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 . use the AR Reconciliation report to confirm that your transactional and accounting data match. and * You have used the posting execution reports to confirm that the journal entries exported from Receivables match those posted in General Ledger. * GL Subledgers Not AR .The AR to GL Reconciliation report compares the account balances in Oracle Receivables to those in Oracle General Ledger. If the actual balance of a specific account is different in Receivables than in GL. 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.

and therefore do not show up in the aging reports. b) Receipt Register Use this report to review a list of receipts for a specified date range. 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. payment number. you can review the detailed information on the Receipts Journal Report. Using the receipt number. batch name. and unapplied amount. 4. This report includes both cash and miscellaneous receipts. The Journal Entries Report shows the receipt numbers that contribute to a particular GL account. which are not open in Receivables. payment date. you can perform this action by re-querying the receipts and following the normal application procedure. payment method. 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.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. If any of the Receipts listed can now be applied to outstanding transactions. You can use this report to determine how much your customer owes after taking into account all on-account and unapplied amounts. 5. on-account amount. batch source. Oracle Financials E-Business Suite Release 12 Period End Procedures 43 . Receivables displays information about your on-account or unapplied payment such as GL date.

Both reports display invoice related receipts and miscellaneous receipts. 7. 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. transactions in error etc. 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). 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. 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. Oracle Receivables regards these items as having been ‘posted’ within the sub-ledger. Bug 7589198: Receipt Register does not match Receipt journal – deemed functionality (similar to Bug 7423482). After internally reconciling the transactions and receipts using these two reports. See the following My Oracle Support bugs and enhancement requests for more details: Note 393682. Bug 7423482: Receipt Register and Receipt Journal do not show on-account activity – deemed functionality. If Create Accounting is submitted in the ‘Final’ mode without transferring it to the General Ledger. 8. Compare this report to the Journal Entries Report (run in Posted status mode) and verify that they match. Use the same General Ledger date ranges for the Journal Entries Report and the Create Accounting program. for transfer 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. Once transactions and receipts have been transferred to the GL tables. Create Accounting will generate a report which details the transferred transactions. Oracle Financials E-Business Suite Release 12 Period End Procedures 44 . the entries will have to be transferred separately. it is possible to perform external reconciliation during and after the posting process. Post to the General Ledger Prior to posting to the General Ledger. 6.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.1: Unable to Reconcile Receipt Register to Receipt Journal – Enhancement 5567693 is still pending.

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

for the transactions. then re-open both appropriate Receivables and General Ledger Periods and initiate another posting. Reconcile Posted Journal Entries After running the GL posting process in Oracle General Ledger. If there are any items not posted for the current or prior periods. submit with a GL date range for at least the current financial year. 16. 15.12. 14. run the Journal Entries Report (with ‘Posted = Y’) to help reconcile the posted journals. 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. The output will consist of all items not posted to the General Ledger for the specified GL date range. which were transferred in FINAL mode and with Post in GL being set to NO. It is automatically submitted by General Ledger when closing a GL period if there are unprocessed accounting events or un-transferred journal entries. third party. Using the Submit Requests window to generate this report. Run the request from the Submit Requests window. 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. Oracle Financials E-Business Suite Release 12 Period End Procedures 46 . This report is used to display balance and account activity information for Suppliers and Customers. It only includes journal entries transferred to and posted to the General Ledger. 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. 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. Third Party Balances Report Run Third Party Balances Report from the SRS screen. This report should not generate any output if all Receivables transactions have been successfully posted to the General Ledger. 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. 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.

17. General Ledger journal entries imported from Subledger Accounting are not included in the report. 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 . including withholding tax.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. which is required to be reported to the relevant Tax Authority. Run Reports for Tax Reporting Purposes (Optional) A variety of standard reports can be used to provide tax information. Note: To avoid duplication with subledger journal entries. 18. The E-Business Tax data extract draws tax information from each application and stores the data in an interface table. Output from the tax extract is designed to look as close to a simple tax report as possible.

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

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

Journal entries are created for the amount of the receipt liabilities. a reversal is not required. 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. The Create Accounting Program has to be run to create SLA journals. Oracle Purchasing creates an un-posted journal entry batch in the General Ledger for the receipt accruals. Each time the process is run. This process can be run as many times as needed. Oracle Purchasing creates accrual entries only up to the quantity the supplier did not invoice for the partially invoiced receipts. for Expense distributions for a specific purchasing period. corresponding to the encumbrance reversal entries for the un-invoiced receipts that were accrued. If encumbrance or budgetary control is being used. Attention: The Receipt Accruals Period End Program creates accounting in the receiving sub ledger only. If encumbrance or budgetary control is being used. When the Accrue Expense Items flag is set to At Receipt. 9. on the Accrual tabbed region of the Purchasing Options window for the current Organization. which in turn will trigger the journal import. 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. then the accrual entries need to be reversed manually. Run the Receipt Accruals .Period End Process Run the Receipt Accruals . debiting the charge account and crediting the Expense AP Accrual Account.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 . Reconcile Accrual Accounts .Period-End Report to create period-end accruals for uninvoiced receipts. If the profile option is set to ‘N’.8. Attention: This step is only required if the Accrue Expense Items flag is set to Period End. Oracle Purchasing reverses the encumbrance entry when creating the corresponding accrual entry. another journal entries batch is created.

Run the Invoice Price Variance Report for the current period. The Accrual Reconciliation Reports are used to analyze un-invoiced receipts. and to reconcile the balance of the AP accrual accounts. inventory. 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 . work in process.* AP Accrual Account * Inventory Account .(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. 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. 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. purchasing. These reports enable you to identify the following issues in receiving. 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. Manually remove the Invoice Price Variance amount from the AP Accrual Account using your General Ledger. Identify the Invoice Price Variances amount and Accrued Receipts amount in the AP Accrual Account. At any given time. distinguish accrued receipts from invoice price variances.

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

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

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

This report also shows if a supplier is on PO Hold. This report lists active suppliers whose names are the same. Oracle Purchasing creates journal entries to zero out the encumbrances associated with the canceled requisitions and purchase orders. rejected shipments. Payables lists your suppliers in alphabetical order and you can additionally order the report by supplier number. quotations. This report can be Oracle Financials E-Business Suite Release 12 Period End Procedures 55 . spaces. etc. 12. b) Suppliers Audit Report Use the Supplier Audit Report to help identify potential duplicate suppliers. 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). The report lists all site names and addresses of each potential duplicate supplier. and returned. The report ignores case. c) Supplier Quality Performance Analysis Report The Supplier Quality Performance Analysis Report can be used to review suppliers' quality performance. for percents accepted.Run MassCancel When this process is run. then any references to the supplier in blanket purchase orders. they can be combined using Supplier Merge. You have the option to include supplier site address and contact information. The report inserts a blank line between groups of possible duplicate suppliers. special characters. Close the Current Oracle Purchasing Period Close the current Purchasing Period in the Control Purchasing Periods window. 11. d) Supplier Service Performance Analysis Report The Supplier Service Performance Analysis Report lists late shipments. you must initiate MassCancel twice. If purchase order information is merged. early shipments. rejected. This report is useful for identifying suppliers with quality performance issues. Open the Next Oracle Purchasing Period Open the next purchasing period in the Control Purchasing Periods window. Attention: If you wish to cancel both purchase orders and requisitions. up to a specified number of characters. After duplicate suppliers have been identified. and auto source rules are updated to the new supplier. you have the option of canceling the original requisition at the same time. and shipments to wrong locations. Note that when canceling a purchase order. 13. 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.

RFQ and Purchase Order Statuses Purchase Order Statuses may optionally be reviewed early in the period close processing for Oracle Purchasing. all divided by the total corrected received quantity. * Analyze Requisitions Requisition Activity Register The Requisition Activity Register shows requisition activity and monetary values. 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. if no release exists.used to derive a supplier service penalty by multiplying the days variance quantity by a percentage of the price. The result is the quantity per day the supplier is in variance. 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 % Received Late is the percentage of the ordered quantity received after the promise date and outside the receipt tolerance days. Use the report to compare actual purchase percentages with sourcing percentage. The Actual Percentage is the items expenditure as a percentage of the total expenditure for the date range of the report. but within the receipt tolerance days or not past due. 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. e) Supplier Volume Analysis Report The Supplier Volume Analysis Report shows the dollar value of items purchased from a supplier. using blanket purchase agreements and planned purchase orders. 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 Expenditure is the sum of the item line amounts for standard purchase orders for the supplier. The % Received Early is the percentage of the ordered quantity received before the promise date and outside the receipt tolerance days. Purchasing prints the blanket agreement or planned purchase order header information. For each blanket purchase agreement and planned purchase order created. The % Open Current is the percentage of the ordered quantity not yet received. The report prints the items that are assigned sourcing rules. * Review Quotation. The % Received On Time is the percentage of the ordered quantity received on the promise date or within the receipt tolerance days. Purchasing provides the detail of the releases created against these orders.

the line price was from the List Price. The Actual Amount is the product of the actual price listed on the purchase order line and the quantity ordered. Purchasing uses the list price. with negative figures in parentheses. The Amount Saved is the negotiated amount less the actual amount. the line price was from the List Price. If the line price type is M. and if the line price type is L. 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 . with negative figures in parentheses. Purchasing prints the product of the market price of the item ordered and the quantity ordered. If the market price is not defined. The report includes a price type Legend at the bottom of each page for the price type. The Negotiated Amount is the product of the price on the quotation and the quantity ordered. the line price was from the Quote. The report includes a price type Legend at the bottom of each page for the price type. If a quote is not defined. or list price to the actual price. the line price was from the Market Price. b) Savings Analysis Report (by Buyer) The Savings Analysis Report (By Buyer) shows buyer performance by purchase order. the line price was from the Quote. and if the line price type is L. If a quote is not defined. the line price was from the Market Price. The Amount Saved is the negotiated amount less the actual amount. The Negotiated Amount is the product of the price on the quotation and the quantity ordered. Use this report to review the encumbered accounts. The Actual Amount is the product of the actual price listed on the purchase order line and the quantity ordered. * Cancellation Reports Use these reports to review all cancelled purchase orders and requisitions. Use the report to compare the market. If the market price is not defined. * 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. and there are entered and approved requisitions and purchases. If the line price type is M. If the line price type is Q. Purchasing uses the list price. quote. If the line price type is Q.* Savings Analysis Reports a) Savings Analysis Report (by Category) The Savings Analysis Report (By Category) shows buyer performance by category. Purchasing prints the product of the market price of the item ordered and the quantity ordered.

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

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

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

a receipt cannot be entered for that period. and the period was closed. journal entries associated with transactions. and accounting events by accessing the Sub ledger Accounting user interface from the View Transactions window and various statuses (e. The period close performs the following: * Closes the open period for Oracle Inventory and Oracle Work in Process. If Oracle Purchasing or Oracle Inventory are closed.g. prior to closing the inventory period.Final Accounted. a GL Transfer would automatically be initiated. Draft Accounted. 6. to enable the running of purchase accruals to accrue expenses on un-invoiced receipts. and a closed period cannot be re-opened. However. Oracle Payables is closed prior to closing Oracle Purchasing. Open the Next Inventory Period Prior the first day of data entry. View accounting. But no adjustments to that period can then be entered. Oracle Financials E-Business Suite Release 12 Period End Procedures 61 . Attention: This process needs to be completed for each defined Inventory Organization. Attention: The Transfer Journal Entries to GL Cost Management Program transfers the accounting details for all the inventory organizations within a Ledger. Attention: If this step was by-passed.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. open the next inventory period using the Inventory Accounting Periods window. Close the Current Inventory Period Closing the inventory period using the Inventory Accounting Periods window automatically transfers summary transactions to the GL interface table. 5. Attention: This process needs to be completed for each defined Inventory Organization. This still allows miscellaneous transactions corrections in inventory. 7. click on the pending button to display any remaining pending transactions and make the appropriate resolutions. as a manual procedure. Close the current Oracle Payables and Oracle Purchasing Periods Complete all steps required to close Oracle Payables and Oracle Purchasing. Oracle Purchasing should be closed before Oracle Inventory. * Creates summary or detail work in process accounting entries in the GL interface. As explained in step 3 above. Errored can be selected). * Creates summary or detail inventory accounting entries in the GL interface. since transactions cannot be posted to a closed period.

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

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

Once a depreciation period in Oracle Assets has been closed. Oracle Assets has only a single open depreciation period in each asset book. and will not close the period.Chapter 9 Oracle Assets This chapter describes the procedures for performing period-end processing in Oracle Assets Release 12. 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. Completing all transactions for Oracle Assets: * Prepare and Post Mass Additions * Complete Manual Additions * Complete Adjustments * Complete Retirements * Complete Transfers * Complete Reinstatements 2. 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. Run Calculate Gains and Losses (Optional) The Calculate Gains and Losses program for retirements can be submitted prior to running depreciation. The book and depreciation period are nominated on the Submit Request window. Assign All Assets to Distribution Lines If an asset has not been assigned to a distribution line. Check that transactions are not being entered as Oracle Assets prevents transaction data entry while the Depreciation Run Process is running. Business Requirements At period end. The Calculate Gains and Losses process is performed independently for each depreciation book. run depreciation for each asset book set up for the enterprise. Procedures The following steps are taken in performing period-end processing for Oracle Assets. 1. 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. the period end Depreciation Process will not complete. Oracle Financials E-Business Suite Release 12 Period End Procedures 64 .

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

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

Post each journal entry batch using the Post Journals window in Oracle General Ledger to update the account balances.month. b) Tax Reserve Ledger Report Additionally. 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. in Oracle General Ledger. 10. use the More Actions button to Post each Journal individually or if the source of Assets has been included in the Auto Post options. or any specified interval. Optionally. * 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 . Review and Post Journal Entries If accounting was performed without the journal entries being posted. review the unposted journal entries in the Enter Journals window. 9. the Assets Journals will be posted automatically in the next scheduled posting run. the Account Reconciliation Reserve Ledger Report can be run. The results can be summarized also by cost centre or depreciation expense account.

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

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

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

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

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

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

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

Custom accounting reports can be created by using the ‘Financial Statement Generator (FSG)’. 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. discard any obsolete versions of your report for that accounting period. and ensure a follow-up with relevant colleagues if any exceptions are identified. 12. Translatae account balances to any defined currency. it is advisable to create a standard period-end accounting report set that can be run at each period end. Detail Trial Balance Report b) Income Statements c) Gross Margin Analysis 11. Request financial reports such as: a) Balance Sheets e.g.9a. Maintain period-end exchange rates for all foreign currencies to which you want to translate. 10. Suggestion: To prevent confusing different versions of accounting reports for a specific accounting period. Translate Balances (Optional) Define any new currencies to which accounting balances are to be translated. 13. Run the Period Close Exceptions Report This is a new step in Release 12. Maintain average exchange rates for all foreign currencies to which you want to translate. Maintain historical rates or amounts for any owner’s equity accounts to be translated. Whichever you choose you can run your extract programs to extract the data from General Ledger to the consolidation systems. Consolidate Ledgers (Optional) Attention: You can consolidate using Global Consolidation System. * Consolidate within ledgers a) Enter consolidating journal entries Oracle Financials E-Business Suite Release 12 Period End Procedures 75 . Revalue Balances (Optional) Revalue account balances to update functional currency equivalents. Run GL Trial Balances and Preliminary Financial Statement Generator Reports (FSGs) To maintain a consistent audit trail. Financial Consolidation Hub or the Hyperion Consolidation functionality.

enter the consolidating entries to a separate company.The following two methods can be used to create eliminating entries for multiple companies using a single Ledger: Automatic Eliminating Entries . c) Define a reporting hierarchy that consolidates all the companies. Recurring Journals. Suggestion: To automatically generate the amounts and accounts for consolidating and eliminating journal entries. * 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.define mapping rules to eliminated intercompany receivables. and the corrected journal entries re-submitted for posting. and build reports with a separate column for ‘consolidating entries’. intercompany sales etc. e) Report on this consolidated ledger using FSG’s. payables. d) Define financial statements with the reporting hierarchy. 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. Attention: All errors in the journal entry batches must be fixed. c) Run consolidations. investments in subsidiaries. d) Enter consolidated and eliminating entries. use recurring journal entry formulas.use formulas b) Post consolidating journal entries. b) Perform revaluation and translation of foreign subsidiaries as required. f) Analyze results using drill-down capability from Parent ledger to Subsidiary ledger/s.

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

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

can now be posted as the period now has a status of Open. 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. Run final Financial Statement Generator Reports (FSG) or Report Sets as required by the organization including Income Statements and Balance Sheets. Oracle Payables. 19. This step will need to be repeated for each ledger unless a data access set is setup to give access to multiple ledgers. The Tax Reporting Ledger consists of accounting information created in Oracle Receivables. and the encumbered budget. This is controlled by GL: Data Access Set profile option. 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. For example any Oracle Purchasing receipted accruals and manual accruals. including withholding tax. 20. With a data access set across ledgers programs can be run for multiple ledgers from a single responsibility. FSGs can also be published via the Application Desktop Integrator (ADI). and export the data to a tab delimited or HTML file. publish the report in different formats. * Carry forward encumbrances. Run Reports for Tax Reporting Purposes (Optional) A variety of standard reports can be used to provide tax information. and Oracle General Ledger. 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. Run Financial Reports for the Closed Period Run a final Trial Balance Report. * Carry forward the funds available as at the end of the year. 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 . 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.Generate and post reversal journals that were entered in the prior period. Using these products you can change the layout of the report. which is required to be reported to the relevant Tax Authority. The Financial Tax Register uses this data to generate Tax Register reports using the Rxi reporting tool.

including Carry Forward. you can select a wide range of criteria for carrying forward balances: * Carry Forward Rule .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 . Commitment. Mass budget processing also allows you to combine these budgets. b) Open the next budget year Use the Define Budget window to define a budget for the next budget period. Define Summary Accounts. or Funds Available as the basis for the Carry forward * Encumbrance Type . you may also need to update the following: Define Budget Organizations. * From/To Budget and Budget Organization. or select the encumbrance type that you require i. If you define a new budget for the purposes of the next year budgetary control.e.* Use mass allocations to bring forward part of the funds available.Select ‘All’ for all encumbrances. 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. To perform Encumbrance year-end procedures. * Carry forward budgets into the current appropriation budget. Encumbrances and the Encumbered Budget. 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. Obligation etc. or to a separate budget to identify between current year and carry forward amounts if required. Verify that the next year budget figures have been entered. 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. 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.

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

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

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

Payables 6.Transfer Invoices to Oracle Receivables 12. Run Calculate Gains and Losses (Optional) 4. Order Management 10. Close the Current Oracle Payables and Oracle Purchasing Periods 7. Close the Current Inventory Period 9. Reconcile to Oracle Receivables (Optional) 13. Close the Current Oracle Receivables Period 12. Reconcile Oracle Assets to Oracle General Ledger Using Reports. Post to the General Ledger 12. Projects 3. Run Standard Period End Reports 8.2. Close the Current Oracle Purchasing Period.Update Project Summary Amounts 10. Open the Next Oracle Purchasing Period.Advance the PA Reporting Period (optional) 18. Validate the Work in Process Inventory 5. Print Invoices 13. Open the Next Oracle Payables Period 6. Run Standard Period End Reports (Optional) 7. Run the Account Analysis Report for the General Ledger Cash Account 15. Run Bank Statement Detail Report 12.Restore Access to User Maintenance Activities 20. Cash Management 5. 3. Reconcile the General Ledger Transfer Process 6. Receivables 7. Rollback Depreciation 15. Run Depreciation 11. 8. Purchasing 8. Post to General Ledger 13. Review the Account Analysis Report 16.Change the Current Oracle Projects Period Status from Pending Close to Closed 17. Reconcile Receipts to Bank Statement Activity for the Period 7. Run Responsibility Reports (Optional) 11. Review and Post Journal Entries 10. Reconcile receipts. Review the Subledger Period Close Exceptions Report 13. 11. Third Party Balances Report 2. Upload Journals from ADI (Applications Desktop Integrator) 84 19. Create Deferred Depreciation Journal Entries (Optional) 8. Resolve Exceptions on the AutoReconciliation Execution Report 9.Run Period Close Exceptions and Tieback Reports 8. Depreciation Projections (Optional) 12. Inventory / Cost Management. Correct any Invalid Entries to the General Ledger Cash Account (Optional) 9. Complete Oracle Sub-ledger Interfaces to Oracle General Ledger 3. Resolve Unreconciled Statement Lines 9. Create Service Contracts (Optional) 4. 6. Treasury 11. Run Standard Period End Reports and reconcile the Perpertual Inventory with GL 9. Permanently Close the Oracle Projects Period (Optional) Oracle Financials E-Business Suite Release 12 Period End Procedures . 11. Recocncile Cost Distribution Lines with General Ledger (Optional) 21. Run Final Project Costing and Revenue Management Reports 16. Assets 10. General Ledger 5. Run the GL Reconciliation Report 14. Run Transactions Available for Reconciliation Report 11. Reconcile the Journal Import Process 10. Create Accounting 14.

Generate Recurring Journals (Optional) 7. Generate Reversal Journals (Optional) 6. Review the Unposted Items Report 16. Run Reports for Tax Reporting Purposes (Optional) 4. Assets 10. Treasury 11. Revalue Balances (Optional) 12. Post All Journal Batches 9a. Receivables 7. Purchasing 8. Reconcile Intercompany (optional) 14. Cash Management 5. Run the Period Close Exceptions Report 10. Run GL Trial Balances and Preliminary Financial Statement Generator Reports (FSGs) 11. Consolidate Ledgers (Optional) 13a. Run Reports for Tax Reporting Purposes (Optional) 14. Open the Next Oracle Receivables Period 18. Projects 3. 9. Complete NonOracle Sub-ledger Interfaces to Oracle General Ledger (Optional) 5. Reconcile Posted Journal Entries 13. Generate Mass Allocation Journals (Optional) 8. Translate Balances (Optional) 13. Order Management 4. General Ledger to Oracle General Ledger (optional) 14. Review and Correct Balances (Perform Reconciliations) Oracle Financials E-Business Suite Release 12 Period End Procedures 85 . Review Account Analysis Report 17. Review and Verify Journal Details of Unposted Journal Entries 9.2. Inventory / Cost Management. Run the Key Indicators Report (Optional) 15. Payables 6.

Open the Next Oracle General Ledger Period 19. Inventory / Cost Management. General Ledger 15. Treasury 11. Payables 6. Order Management 4. Projects 3. Cash Management 5. 9. Perform Final Adjustments 17.2. Assets 10. Enter Adjustments and / or Accruals and Post 16. Close the Current Oracle General Ledger Period 18. Perform Encumbrance Year End Procedures (Optional) Oracle Financials E-Business Suite Release 12 Period End Procedures 86 . Run Financial Reports for the Closed Period 20. Receivables 7. Purchasing 8. Run Reports for Tax Reporting Purposes (Optional) 21.

1 751830. Key: R12) November 19 SLA: Troubleshooting the AP TO GL Reconciliation Subledger Accounting (SLA): FAQ for Support Engineers 749679.1 558421.1 740297.1 436128. 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 604739. Reconciliation and Data Integrity Issues? 'FAQs' for Period Close and Unaccounted Transactions topic in Oracle Payables GL_DATE Difference On R12.1 Release 12? Oracle Financials Release 12 Period End Procedures 87 .1 Useful Articles for R12 General Ledger Support Engineers 369993.Appendix: More Information Related My Oracle Support Information The following My Oracle Support Information can be reviewed for additional information on period end procedures.0.1 579836.1 437422.7:00 pm MDT (Conf.1 735522.1 761502.4 Reconciliation Reports On Standard Cash Receipt.1 732928.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 605707.1 759002.1 728871. GL Transfer. Period Close and Trial Balance 'How To' documents R12 SLA: New R12 Payables Trial Balance -.1 What Is The Period Close Process For Oracle Assets In 557948.1 579631.1 579373.1 743390. Document Title Doc ID AR: What are the recommended patches for AR-GL Posting.

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

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