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

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

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

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

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

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

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

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 have to close Oracle Payables before you close Oracle Purchasing to account for purchasing accruals at period end. you close all of your subledgers before you close General Ledger. For example. 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 . as bank reconciliation in Cash Management will create miscellaneous receipts in Oracle Receivables and so forth. You also need to close Oracle Payables before you close Oracle Inventory and Oracle Assets. You actually have to close Oracle Cash Management before you close Oracle Receivables. Finally.

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

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

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

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

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

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

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

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

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

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

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

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

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

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

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

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

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

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

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

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

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

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

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

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

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

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

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

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

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

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

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

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

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

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

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

the entries will have to be transferred separately. 7. Bug 7589198: Receipt Register does not match Receipt journal – deemed functionality (similar to Bug 7423482). Bug 7423482: Receipt Register and Receipt Journal do not show on-account activity – deemed functionality. Oracle Financials E-Business Suite Release 12 Period End Procedures 44 . transactions in error etc. 8. it is possible to perform external reconciliation during and after the posting process. Use the same General Ledger date ranges for the Journal Entries Report and the Create Accounting program.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. Post to the General Ledger Prior to posting to the General Ledger. Create Accounting will generate a report which details the transferred transactions. 6. Compare this report to the Journal Entries Report (run in Posted status mode) and verify that they match. Both reports display invoice related receipts and miscellaneous receipts. 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. After internally reconciling the transactions and receipts using these two reports. Oracle Receivables regards these items as having been ‘posted’ within the sub-ledger. See the following My Oracle Support bugs and enhancement requests for more details: Note 393682.1: Unable to Reconcile Receipt Register to Receipt Journal – Enhancement 5567693 is still pending. the Receipts Journal Report and Sales Journal display the transactions that would be posted to the General Ledger (provided the posting process was run for the same GL date range). If Create Accounting is submitted in the ‘Final’ mode without transferring it to the General Ledger. Reconcile the General Ledger Transfer Process The Create Accounting program produces the Subledger Accounting Program report that shows you the subledger journal entries created for successful accounting events. 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 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. Once transactions and receipts have been transferred to the GL tables. for transfer to the General Ledger.

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

which were transferred in FINAL mode and with Post in GL being set to NO. 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. 16. submit with a GL date range for at least the current financial year. 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. Reconcile Posted Journal Entries After running the GL posting process in Oracle General Ledger. 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. 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. The output will consist of all items not posted to the General Ledger for the specified GL date range.12. Run the request from the Submit Requests window. 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. 14. If there are any items not posted for the current or prior periods. for the transactions. Third Party Balances Report Run Third Party Balances Report from the SRS screen. third party. It only includes journal entries transferred to and posted to the General Ledger. run the Journal Entries Report (with ‘Posted = Y’) to help reconcile the posted journals. This report should not generate any output if all Receivables transactions have been successfully posted to the General Ledger. 15. then re-open both appropriate Receivables and General Ledger Periods and initiate another posting. This report is used to display balance and account activity information for Suppliers and Customers. Oracle Financials E-Business Suite Release 12 Period End Procedures 46 . It is automatically submitted by General Ledger when closing a GL period if there are unprocessed accounting events or un-transferred journal entries. Using the Submit Requests window to generate this report.

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

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

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

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

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

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

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

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

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

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

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

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

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

for the order-shipments which have been invoiced in AR. and pending IWIP costing transactions existing in this period. In case of error. These must be resolved before the period is closed. Oracle Financials E-Business Suite Release 12 Period End Procedures 60 . and pending shop floor move transactions existing in this period. Since a period. Though the accounting period can be closed. revenue recognition has been processed in AR.2. 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. * Resolution Recommended: Displays the number of pending receiving transactions. once it is closed these transactions cannot be processed in that period. Attention: This process needs to be completed for each defined Inventory Organization. Check and fix pending Transactions Check and fix any rejected transactions from the Inventory Accounting Period Window: click on the pending button to display pending transactions. For 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. cannot be re-opened. depending on INV profile option “TPINV: Transaction Processing Mode”) * Move Transaction Manager (for IWIP) 3. pending material 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. once closed. correct the error at the source. Any adjustments to the period can be made via new inventory transactions as required. and the accounting entries between ‘Deferred COGS account’ and ‘COGS account’ must be generated in INVCST. running this process prior to closing the period facilitates validating the interface transactions. Transfer Summary or Detail Transactions If Order Management is used. The interface managers that need to be run are as follows: * Cost Manager (mandatory) * Material Transaction Manager (Optional. uncosted material transactions. 4. This will display transactions under the following statuses: * Resolution Required: Displays the number of unprocessed material transactions.

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

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

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

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

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

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

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

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

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

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

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

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

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

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

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

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

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

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

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

* From/To Budget and Budget Organization. including Carry Forward. or to a separate budget to identify between current year and carry forward amounts if required. Encumbrances and the Encumbered Budget. Obligation etc. Commitment. * Carry forward budgets into the current appropriation budget. or select the encumbrance type that you require i. 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 .e. Verify that the next year budget figures have been entered.* Use mass allocations to bring forward part of the funds available. you can select a wide range of criteria for carrying forward balances: * Carry Forward Rule . 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. 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.This rule enables you to select Encumbrances Only. Mass budget processing also allows you to combine these budgets. If you define a new budget for the purposes of the next year budgetary control. where summary templates are used as the basis for the budgetary control procedures.Select the budgets where they are different Oracle Financials E-Business Suite Release 12 Period End Procedures 80 .Select ‘All’ for all encumbrances. where you have attached the funding budget to defined account ranges within this form. you may also need to update the following: Define Budget Organizations. you must complete each of the following steps: a) Open the next encumbrance year Use the Open and Close Periods window to open the next encumbrance year. To perform Encumbrance year-end procedures.

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 .

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

Run Generation Revenue Accounting Events Process 11. Reconcile Transaction Activity for the Period 3. Run Receipt Accruals .Run the Generate Cost Accounting Events Program 7. Reconcile Bank Statements 6. Run the Cost Distribution Processes 6a.Interface Transactions to Other Applications 2. Assign All Assets to Distribution Lines 5. Purchasing 8. Generate Bank Statement Cashflows 8. General Ledger 2. Complete All Maintenance Activities 4. Review the Unapplied Receipts Register 8. Treasury 11. Review AutoReconciliation Execution Report 9.Perpetual Accruals 10. Assets 10. Run Maintenance Processes 5. Inventory / Cost Management. Complete All Transactions for the Period Being Closed 6.2.Generate Draft Revenue for All Projects 9. Reconcile Oracle Payables Activity for the Period 11. Reconcile Accounts . (Optional) 1. Complete All Transactions for the Period Being Closed 2.Run Create Accounting 12. Complete Bank Transfers 7. Receivables 7. 9. Cash Management 5. Transfer Summary or Detail Transactions 9. Create Miscellaneous Transactions 6a. Open the Next Inventory Period Oracle Financials E-Business Suite Release 12 Period End Procedures 83 .Generate Invoices 5. Perform Year End Encumbrance Processing. Accrue Uninvoiced Receipts 1. Projects 3. Payables 6. Reconcile to Inventory 4.Period End Process 10. Reconcile Outstanding Customer Balances 4. Order Management 4. Run Mass Additions Transfer to Oracle Assets 9. Complete All Transactions for the Period Being Closed 2. Load Bank Statements 3. Open the Next Oracle Projects Period 3. Generate Sweep Transactions 4.Review and Release Revenue for All Projects 10.

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

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

9. Cash Management 5. Close the Current Oracle General Ledger Period 18. Open the Next Oracle General Ledger Period 19. Enter Adjustments and / or Accruals and Post 16. Perform Final Adjustments 17. Run Financial Reports for the Closed Period 20. Perform Encumbrance Year End Procedures (Optional) Oracle Financials E-Business Suite Release 12 Period End Procedures 86 . Treasury 11. Receivables 7. Order Management 4. General Ledger 15. Run Reports for Tax Reporting Purposes (Optional) 21. Assets 10. Purchasing 8.2. Payables 6. Projects 3. Inventory / Cost Management.

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 Useful Articles for R12 General Ledger Support Engineers 369993. GL Transfer. Period Close and Trial Balance 'How To' documents R12 SLA: New R12 Payables Trial Balance -.1 740297.1 761502.1 579631.1 Release 12? Oracle Financials Release 12 Period End Procedures 87 .1 558421.1 436128.1 732928.1 What Is The Period Close Process For Oracle Assets In 557948.1 728871. How To Diagnose And Reconcile R12 Inventory AP Accrual Transactions Using Reconciliation Reports How To Diagnose Issues With Create Accounting Process For Procure To Pay Cycle in R12 Period Close Reconciliation Report Is Showing Unusual Discrepancy R12 Accounting FAQ's R12 Accounting.Appendix: More Information Related My Oracle Support Information The following My Oracle Support Information can be reviewed for additional information on period end procedures.1 743390.4 Reconciliation Reports On Standard Cash Receipt.1 579373.0.1 579836.1 605707. Document Title Doc ID AR: What are the recommended patches for AR-GL Posting.1 735522.7:00 pm MDT (Conf.1 759002. Reconciliation and Data Integrity Issues? 'FAQs' for Period Close and Unaccounted Transactions topic in Oracle Payables GL_DATE Difference On R12. Key: R12) November 19 SLA: Troubleshooting the AP TO GL Reconciliation Subledger Accounting (SLA): FAQ for Support Engineers 749679.1 604739.1 751830.1 437422.

650.7200 oracle.Oracle Financials Release 12 Period End Procedures June 2009 Author: Oracle Consulting Contributing Authors and Reviewers: Suneel Bhaskar. CA 94065 U. This document is provided for information purposes only and the contents hereof are subject to change without notice. Menno Koomen. Oracle Financials Release 12 Period End Procedures 88 . including implied warranties and conditions of merchantability or fitness for a particular purpose. Ashish Pathak. Sarah Bowen. This document is not warranted to be error-free.506. Mien-Lin Tan. Helle Hennings.7000 Fax: +1. Lucia Scaltriti. Bertrand Vuigner.com Copyright © 2009.A. All rights reserved. Oracle and/or its affiliates. Amrita Mehrok. Chris Cianciolo. Other names may be trademarks of their respective owners. without our prior written permission. This document may not be reproduced or transmitted in any form or by any means.S. whether expressed orally or implied in law.650. Terrance Wampler. Murali Voora. nor subject to any other warranties or conditions. Kannan Tarakad. Simer Sahani. Barbara Fox. Bill Tokheim.506. electronic or mechanical. We specifically disclaim any liability with respect to this document and no contractual obligations are formed either directly or indirectly by this document. Henk Brons Oracle Corporation World Headquarters 500 Oracle Parkway Redwood Shores. Ramaswamy Krishnamurti. for any purpose. Oracle is a registered trademark of Oracle Corporation and/or its affiliates. Worldwide Inquiries: Phone: +1. Julia Baeva. Elise Mattei.

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