Accounting Events

Copyright © 2007, Oracle. All rights reserved.

 Objectives

After completing this lesson, you should be able to do

the following:
• Describe the accounting flow in Oracle Cash
Management
• Describe how to set up Oracle Subledger
Accounting for Cash Management

Copyright © 2007, Oracle. All rights reserved.

 Agenda

• Overview of accounting events

• Key concepts of SLA
• Setting up Subledger Accounting
• Subledger Accounting in Cash Management
• Posting journal entries to General Ledger

Copyright © 2007, Oracle. All rights reserved.

Overview of Accounting and Cash Management

Cash Management SLA General Ledger

Bank Account
Transfers

Accounting Accounting Journal Entries

Events Program and Balances

Bank Statement
Cash Flows

Copyright © 2007, Oracle. All rights reserved.

 Oracle Subledger Accounting

Oracle Subledger Accounting is a rule-based accounting

engine, toolset, and repository supporting both Oracle E-
Business Suite and external modules
• Allows multiple accounting representations for a single
business event, resolving conflicts between corporate
and local fiscal accounting requirements
• Retains the most granular level of detail in the
subledger accounting model, with different
summarization options in the General Ledger, enabling
full auditability and reconciliation
• Introduces a common data model and user interface
across subledgers providing a single source of truth
for financial and management analysis

Copyright © 2007, Oracle. All rights reserved.

 Oracle Subledger Accounting Integration

Accounting
Configurations

Transactions Subledger
Journal Entries

GL
Journal
Accounting
Entries
Program
and
Balances
Accounting
Subledger
Events
Balances
Journal Entry
Setup

Oracle Application SLA General Ledger

Copyright © 2007, Oracle. All rights reserved.

 Subledger Accounting
Key Concepts

Event Model: definition of the subledger transaction types

and lifecycle
• Event Class: classifies transaction types for accounting
rule purposes
• Event Type: for each transaction type, defines possible
actions with accounting significance
Transaction object: data model containing transaction
information to be used in accounting
Source: any attribute of a transaction that can be used in
defining the journal entry rules and when generating an
entry

Copyright © 2007, Oracle. All rights reserved.

 Subledger Accounting
Key Concepts in Cash Management

Sources Event Class Event Type

Create
Bank Account Transfer Date
Cash Flow Amount Bank Account Cancel
Bank Account Number Transfer
other Clear

Unclear

Bank Statement Date

Bank Statement Record
Bank Statement Number
Cash Flow Amount Cash Flow
other Cancel

Copyright © 2007, Oracle. All rights reserved.

 Subledger Accounting
Setup and Process
Journal Entry Setup Methods and Definitions Ledger Setup

Define journal Define journal line Assign

line types definitions subledger
accounting
method
Define application to ledger
Define account
accounting
derivation rules
definition

Validate application
Define
accounting
descriptions
definition

Define subledger
accounting method

Copyright © 2007, Oracle. All rights reserved.

Subledger Accounting Process for
Cash Management
Create Bank Account Transfer
Or Bank Statement Cash Flow

Run Create Accounting Program

Transfer Journals to
General Ledger

Post Journals in General Ledger

Copyright © 2007, Oracle. All rights reserved.

Creating Manual Journal Entries

Create Journal Entry

Transfer Journals to
General Ledger

Post Journals in General Ledger

Copyright © 2007, Oracle. All rights reserved.

 Summary

In this lesson, you should have learned how to:

• Describe Oracle General Ledger setup for Oracle
Cash Management
• Describe related setup for Payables, Receivables,
and Payroll
• Describe Oracle Cash Management setup

Copyright © 2007, Oracle. All rights reserved.