Accounts Receivable Standard Reports

Transaction Reports

• Transaction Register


• Incomplete Invoices Report


• Past Due Invoice Report


• Invoice Exception Report


• Aging - 7 Buckets Report

Receipt and Adjustment Report

• Receipt Register


• Unapplied and Unresolved Receipts Register


• Applied Receipts Register


• Miscellaneous Receipts Register


• Adjustment Register


• Adjustment Approval Report

Customer and Billing Reports

• Account Status Report


• Customer Listing Detail and Summary Reports


• Credit Hold Report


• Billing History


• Billing and Receipt History


• Customer Open Balance Letter

Accounting and Reconciliation Reports

• Unposted Items Report


• AR Reconciliation Report


• AR to GL Reconciliation Report

Employee Check Refund for Travel Prepayments

We might give advances (prepayments ) for employee expenses. Employees, might give a check for the remaining amount after expenses. We can use the following solution to capture this in oracle and have correct accounting

Suggest solution
---------------------
Step 1: create a prepayment invoice and pay it

Step 2: employee will submit expense report for the for the amount he spent , apply the prepayment to the expense invoice submitted

Step 3: when employee gives a personal check for the balance amount. create a standard invoice for the amount equal to the refund check, by using a clearing account as the expense account and apply the remaining prepayment ( advance ) amount to the invoice created

Step 4: create a debit memo (with the same clearing account we used for standard invoice in step1, as the expense account.) Then make the refund payment to the debit memo created


For example we made a advance payment of $ 1000 to an employee and after the trip, if the employee submits the expense report for $ 800 and gave personal check for remaining $ 200. following are the accounting entries in each step of the process suggested, Also please find the screen shots in the file attached



When we make advances payment to the employee
-----------------------------------------------------

Prepaid Expense A/c--------------Dr 1000
To Liability A/c---------------------Cr 1000

when paid

Liability A/c----------------------Dr 1000
To Cash Clearing A/c---------Cr 1000

When employee submits the expense report after the trip
-----------------------------------------------------------
Item Expense A/c-------------Dr 800
To Liability A/c-----------------Cr 800

Prepayment is applied to the expense report submitted

Liability A/c-------------------------Dr 800
To Prepaid Expense A/c-------Cr 800


Standard invoice, when we get personal check from employee for balance amount
-------------------------------------------------------------------------------------------------

Item Expense A/c (clearing account )------Dr 200
To Liability A/c--------------------------Cr 200

When prepayment is applied

Liability A/c--------------Dr 200
To Prepaid Expense A/c-------Cr 200

Debit memo for refund check
------------------------------

Liability A/c----------------------------------------------Dr 200
To Item Expense (clearing account )A/c-----Cr 200

Refund Payment to debit memo

Cash Clearing A/c------------Dr 200
To Liability A/c----------------Cr 200

R12 assign same bank account to multiple suppliers

Partners might be having joint account and both of them might be doing business with or organization. Follwing are the steps to assign same bank account information to more than one supplier record in Account payables


When we try to add same bank account information to second supplier like normal bank account setup we get the error message as shown in below screenshot

Step 1: Find the supplier for whom the bank account already assigned

i)Click On the left panel go to Company Profile -> Banking Details

ii) Select an existing one and click on Update icon.Go to the Account Owners section (should be in the bottom of the page). Click on Add Another Row and add other suppliers that you would like to use the same bank account.

Step 2:

i) Go to other suppliers, Banking Details section

ii)Under Bank Accounts section click Add

iii) Select bank account from the list of value and apply

R12 AR Credit Memo Refund

Credit memo refund is a new feature in R12 that allows to create a invoice in AP from AR for the credit available for the customer in AR. To do this there is no need to create supplier record for the customer in AR manually.

Eg:

Completed Credit memo in AR



Click on Action (in the toolbar) -> application

It takes you to the receipt application form and refund Activity will be selected

Click on Refund Attributes button

Enter the payment method , payment term and pay group
Click Apply.
Save

Refunds Status Button will Appear after saving . Click on Refund Status button to see the invoice details

AP invoice created

the invoice created in AP is of type Payment Request and the supplier number and supplier sit name will not be populated for this invoice.

Accounting Entries

------------------------

AR Credit memo Accounting Entries

Revenue a/c------------Dr
To Receivables a/c----Cr


Accounting Entries in AR for Refund

Receivables a/c-------Dr
To Refund a/c---------Cr

AP Invoice Accounting Entries

Item Expense (Refund) a/c---------- Dr
To Liability a/c------------------------- Cr

Subledger Accounting

Subledger Accounting

1. What is Subledger Accounting
2. 4c’s in Ledger definition
3. How Accounting is create in Subledger

Why SLA and what does it do?

Oracle Sub Ledger accounting (SLA) is accounting hub in Oracle Application Release 12 (R12). Subledger accounting determines how the Account is to be generated in the Subledger. SLA gives the flexibility to modify the accounting generation in the sub ledgers like Receivables, Payables, Purchasing, Order Management, Inventory , Fixed Assets ….etc

4c’s in Ledger
• Chart of Accounts
• Calendar
• Currency
• Subledger Accounting Convention (New in R12)

How Accounting is create in Subledger

• In Subledger Accounting is created by running the create accounting program.
• Create Accounting can three options in creating the account for a transaction or a set of transactions
1. Draft Mode
2. Final Mode
3. Final and Post mode
• Draft Mode
It provides us preview of the accounting to be created for transaction nor set of transactions.
Note: Any change made in the accounting structure will be considered even though we run accounting is created in Draft mode previously
• Final Mode
once the accounting is created in Final mode the, new modifications done to the accounting structure will not be effected for the transactions or the set of transactions
• Final and Post mode
Once we run the created accounting in the final and post mode the final accounting is created and entries are transferred to GL and also posted in GL

AR Receipt Accounting Entries

AR Receipt Accounting entries , starting from prepayment in OM

No Remittance, Direct clearing (Eg:Cash):
-----------------------------------------------------

When Order is booked

Cash a/c------------------DR
To Prepayment a/c---------CR

After shipping and invoice

Prepayment a/c ----------DR
To Receivable a/c -------CR



No Remittance, clearing by match (Eg:Check)
-------------------------------------------

When Order is booked

Remitted Cash a/c-----------DR
To Prepayment a/c-----------CR


After shipping and invoice


Prepayment a/c ----------DR
To Receivables a/c ------CR

After clearing

Cash a/c-----------------------DR
To Remitted Cash --------------CR

Standard remittance, Clearing by match (Eg:Credit Card)
-------------------------------------------------------

When Order is booked

Confirmed Cash a/c --------DR
To Prepayment a/c --------CR


After shipping and invoice

Prepayment a/c ---------------------DR
To Receivables a/c -----------------CR


After remittance

Remitted Cash ----------------DR
To Confirmed Cash a/c --------CR

After clearing

Cash a/c ------------------------DR
To Remitted Cash ----------------CR

R12 Revenue Recognition

Oracle Receivables, provides multiple methods by which revenue can be recognized for an invoice:
• Revenue Recognition
• Revenue Accounting
• Event-Based Revenue Management


Enter an accounting rule Type.
1.Enter Fixed Schedule to prorate revenue recognition evenly over a predefined period of time. The revenue recognition schedule is always the same every time you choose this accounting rule. For example, if you have four schedules for your rule with this type, you will recognize twenty-five percent of your revenue at the end of each schedule.

2.Enter Variable Schedule to later specify, during invoice entry, the number of periods over which you want to recognize revenue for invoices to which you assign this rule. You can assign this type of accounting rule to invoices that you manually enter in the Transaction window or import into Receivables using AutoInvoice.
The revenue recognition schedule changes for invoices that are assigned this type of accounting rule depending upon the value that you either pass through AutoInvoice or specify when you manually enter an invoice.

3.Enter Daily Revenue Rate, All Periods to have Receivables use a daily revenue rate to calculate the precise amount of revenue for each full and partial period in the schedule. Use accounting rules of this type to meet strict revenue accounting standards.

4.Enter Daily Revenue Rate, Partial Periods to have Receivables use a daily revenue rate to calculate the precise amount of revenue for only partial period in the schedule. This rule provides you with an even, prorated revenue distribution across the schedule's full periods.

Enter Daily Revenue Rate, All Periods and Enter Daily Revenue Rate, Partial Periods. revenue recognition will work as below for these rules




In Advance Amount Partial period All Period Days













Total amount is =1000
Total Number of days= 154
For day=1000/154=6.49


All Period: Amount is equally divided for each bay

Partial period : 17*6.49 (110.39 in first period) +15*6.49 (97.41 in last period) and remaining amount is equally distributed for remaining period irrespective on number of days in the periods (

Note: If there are any rounding differences that will be adjusted in the last periods