Glossary

1) Account Generator    You define a group of steps that determine how to fill in your Accounting

Flexfield segments.

2) Accumulated depreciation The total depreciation taken for an asset since it was placed in service. Also
known as life–to–date depreciation and depreciation reserve.

3) Asset Key Flexfield Oracle Assets lets you define additional ways to sort and categorize your assets
without any financial impact. You use your Asset Key Flexfield to define how you want to keep the
information.

4) Budget book A book that you use to track planned capital expenditures.

5) capitalized assets Assets that you depreciate (spread the cost expense over time). The Asset Type for
these assets is ”Capitalized”.

6) Category flexfield Oracle Assets lets you group your assets and define what descriptive and financial
information you want to keep about your asset categories. You use your Category Flexfield to define how
you want to keep the information.

7) CIP assets See construction–in–process assets.

8) Clearing account An account used to ensure that both sides of an accounting transaction are recorded.
For example, Oracle General Ledger uses clearing accounts to balance intercompany transactions.   
When you purchase an asset, your payables group creates a journal entry to the asset clearing account.
When your fixed assets group records the asset, they create an offset journal entry to the asset clearing
account to balance the entry from the payables group.

9) Construction–in–process (CIP) asset A depreciable fixed asset you plan to build during a capital
project. The costs associated with building CIP assets are referred to as CIP costs. You construct CIP
assets over a period of time rather than buying a finished asset. Oracle Assets lets you create, maintain,
and add to your CIP assets as you spend money for material and labor to construct them. When you
finish the assets and place them in service (capitalize them), Oracle Assets begins depreciating them.

10) Corporate book A depreciation book that you use to track financial information for your

balance sheet.

11) Depreciation book A book to store financial information for a group of assets. A

depreciation book can be corporate, tax, or budget. Also known as book.

12) Depreciation calendar The depreciation calendar determines the number of accounting periods in a
fiscal year. It also determines, with the divide depreciation flag, what fraction of the annual   
depreciation amount to take each period.You must specify a depreciation calendarfor each book.
13) expensed asset An asset that you do not depreciate, but charge the entire cost in a single period.
Oracle Assets does not depreciate an expensed asset, or create any journal entries for it. You can,
however, use Oracle Assets to track expensed assets. The Asset Type for these assets is ”Expensed”.

14) feeder system or Legacy SystemA non–Oracle system from which you can pass information into
Oracle Assets. For example, you can pass budget or production information from a spreadsheet into
Oracle Assets.

15) fiscal year Any yearly accounting period without regard to its relationship to a calendar year.

16) flexfield An Oracle Applications field made up of segments. Each segment has an assigned name and
a set of valid values. Oracle Applications uses flexfields to capture information about your organization.
There are two types of flexfields: key flexfields and descriptive flexfields.

17 ) key flexfield An intelligent key that uniquely identifies an application entity. Each key flexfield
segment has a name you assign, and a set of valid values you specify.

18) Location Flexfield Oracle Assets lets you define what information you want to keep about the
locations you use. You use your Location Flexfield to define how you want to keep the information.

19) Mass Additions In Oracle Assets, a feature that allows you to copy asset information from another
system, such as Oracle Payables. Create Mass Additions for Oracle Assets creates mass addition lines for
potential assets. You can review these mass addition lines in the Prepare Mass Additions window, and
actually create an asset from the mass addition line by posting it to Oracle Assets.

Mass Additions In Oracle Payables, invoice distribution lines that you transfer to OracleAssets for
creating assets. Oracle Payables only creates mass additions for invoice distribution lines that are marked
for asset tracking. Invoice distribution lines distributed to Asset Accounting Flexfields are automatically
marked for asset tracking. Oracle Assets does not convert the mass additions to assets until you
complete all of the required information about the asset and post it in Oracle Assets.

20) Mass Change A feature that allows you to change the prorate convention, depreciation method, life,
rate, or capacity for a group of assets in a single transaction.

21) Mass Transfers A feature that allows you to transfer a group of assets between locations, employees,
and general ledger depreciation expense accounts.

22) Multi Org or multiple organizations The ability to define multiple organizations and the relationships
among them within a single    installation of Oracle Applications. These organizations can be sets of
books, business groups, legal entities, operating units, or inventory organizations.

23) prorate calendar The prorate calendar determines the number of prorate periods in your fiscal year.
It also determines, with the prorate or retirement convention, which depreciation rate to select from the
rate table for your table–based depreciation methods. You must specify a prorate calendar for each
book.
24) prorate convention Oracle Assets uses the prorate convention to determine how much depreciation
to take in the first and last year of an asset’s life based on when you place the asset in service. If you
retire an asset before it is fully reserved, Oracle Assets uses the retirement convention to determine how
much depreciation to takein the last year of life based on the retirement date. Your tax department
determines your prorate and retirement conventions.