Oracle Accounts Receivables

Oracle Applications 11i
Oracle Accounts Receivables
A Presentation by EAS Oracle Applications December 2003
Oracle Accounts Receivables
Agenda
Overview of AR Managing Customers Processing Invoices Processing Invoices Using Auto-Invoice Processing Commitments Processing Customer Adjustments Applying Receipts Implementing Auto-Lockbox Processing Automatic Receipts Remitting Receipts Managing Collections Tax Accounting Process Period Close Process Receivables Setup Profile Options Reports
Overview of Oracle Accounts Receivables
Overview of AR
Oracle Receivables provides three integrated workbenches to perform most of the day-to-day Accounts Receivable operations. Use the Receipts Workbench to perform receipt-related tasks Use the Transactions Workbench to process invoices, debit memos, credit memos, onaccount credits, chargebacks, and adjustments. Use the Collections Workbench to review customer accounts and perform collection activities such as recording customer calls and printing dunning letters. Use the Collections workbench to also place a customer account on credit hold, place items in dispute, view the dunning history for a transaction, and correspond with customers by recording customer calls. Each workbench helps find critical information in a flexible way, see the results in a defined format, and selectively take appropriate action. The Receipts and Transactions workbenches let you view records one at a time or as a group. Detail windows display only one receipt or transaction at a time, but provide more information about the record because they contain more fields and tabbed regions. Summary windows, by contrast, can display multiple records at once but require "drill down" to the detail window to view additional information about the current record.
Overview of AR
Receipts Workbench: Receipts, Receipts Summary, Receipt Batches and Receipt Batches Summary Transactions Workbench: Transactions and Transactions Summary, Transactions Batches and Transaction Batches Summary In the Receipts and Transactions Workbenches, the Tools pulldown menu lets you perform operations in addition to those provided by the action buttons. In the Receipts Workbench, view the sum of multiple receipts in the Receipt Totals window, and review the functional currency gain or loss resulting from a currency exchange rate adjustment in the Receipt History window. In the Transactions window there is no Copy button, but still copy a transaction by choosing Copy To from the Tools menu. Similarly, the Balances button does not appear in the Transactions Summary window, but can be displayed in the Transaction Balances window by choosing Balances from the Tools menu. View the detail accounting lines for an item in the form of a balanced accounting entry (i.e., debits equal credits) by choosing View Accounting from the Tools menu. View the detail accounting as t-accounts
Overview of AR
Create Profile Create Profile Classes Classes
Enter Enter Customers Customers
Create Create Invoices Invoices
Print Print Invoices Invoices
Send to Send to Customers Customers
Use Use iReceivables iReceivables
Receipts Receipts
Collections Collections
Overview of AR
Customers Overview
Create customer profile classes
Enter customer information
Assign customers to profile classes
Review customer information
Eliminate duplicate information
Create customer relationships
Overview of AR
Transaction Workbench
Deposit Deposit Guarantee Guarantee Standard invoice Standard invoice Copy Copy Print and send invoice to customer Print and send invoice to customer Correct invoice Correct invoice Underinvoice Underinvoice Overinvoice Overinvoice Invalid Invalid transaction transaction Void Void Delete Delete
Process and print Process and print Enter receipt Enter receipt Generate statement Generate statement
Interface to Oracle General Ledger Interface to Oracle General Ledger
Overview of AR
Receipt Workbench
Enter receipt Enter receipt Apply to Apply to customer customer account or account or invoice invoice
Update Update customer customer balance balance
Clear Clear receipt receipt
Reconcile Reconcile bank bank statement statement
Overview of AR
Collections Workbench
Scheduler Scheduler Customer Customer account account Customer Customer workbench workbench
Account Account overview overview
Aging Aging
Release/ Release/ credit hold credit hold
CorresCorrespondence pondence
Transaction Transaction overview overview Account detail Call Account Account detail detail
Account detail
Account detail Call Print statement Print dunning
Call Call
A A
Overview of AR
Collections Workbench
Customer Account
A A
Account Account detail detail
Call Call Customer account Transaction overview Correspondence
Adjust Adjust
Balances Balances
Activity Activity
Trans./Receipt Trans./Receipt workbench workbench
Dispute Dispute history history
Managing Customers
Managing Customers
Integrating Customer Information
Customer Information Oracle Order Management
Shared with
Oracle Projects
Oracle Receivables Owned by Oracle CRM Suite
Managing Customers
Customer Entry Methods
Enter complete details Enter limited information Import from other systems
Standard customer entry
Quick customer entry
Customer interface
Managing Customers
Enter Customer Information
Use all of the following methods to enter customer information, for example, addresses, phone numbers, contact names, and business purpose: Standard Quick Interface
Setting Customer Tax Attributes

Standard: The taxing function refers to the tax tables to determine if the customer requires tax addition. If so, it selects the appropriate taxing method. Exempt: No tax addition; Manually enter the tax exemption number and reason Required: The taxing function always uses tax addition
Managing Customers
Using Standard and Quick Customer Entry
Customer
Classification
Telephone numbers
Addresses
Contacts
Marketing
Profile class
Bank accounts Business purpose
Payment method
Relationships
Details Accounting
Order Management information
Managing Customers
Interface Customer Entry
External Databases
Temporary Interface Tables
Oracle Receivables Customer Tables
Correct errors with SQL*Plus
Customer Interface Execution Report
Managing Customers
Customer Form Flow
The Find/Enter Customers window displays to ensure that you search existing customers before you enter new customers Search using the following methods: Basic(default): Search based on Address Components Advanced: Detailed searches based on Taxpayer information and other references Text: A Simple text search After this process, the Customers - Standard form displays
Managing Customers
Find Customers Fuzzy Search
Fuzzy Search The fuzzy search method widens the scope of a search and finds data comparable to the search criteria. In the Customer Find/Enter window you can perform a fuzzy search on several fields. The fields you can fuzzy search are: Person First Name Person Last Name Organization Name Address Contact First Name Contact Last Name The fuzzy search method uses Word Replacement pairs to map a word, abbreviation, or special character that might be entered by a user as a search criteria to a similar word, abbreviation, or special character.
(N) SetupExpendituresExpenditure Types
Managing Customers
Match Results Window
Note the following in the Match Results window: The title bar of the Match Results window displays the Customer Type used for the search and the search criteria. If a party has multiple customer accounts, the party name displays (indented to the right) in the Name column next to each customer account. When the results of a search for a Person customer type display, the First Name and Last Name fields from the Find/Enter Customers window are concatenated. The Match Results window displays both the Party Number and the Customer Number columns. If the Identifying Address Flag check box is checked, then other party sites could exist for this party. The Name and Customer Number fields can not be hidden in the view of the Folder. Do not resort the results using different fields. The resulting list of parties and customer accounts may appear confusing.
Managing Customers
Entering Customer Addresses
-Enter, add, change, or deactivate customer address information -Validate addresses using flexible address formats or the address validation system option -The system will not allow updation of the components of an address if the following are true: The system option Allow Change to Printed Invoices is No. At least one printed, posted, or applied transaction exists for this bill-to or ship-to site in Receivables and that transaction has associated tax lines -Values assigned on a customer site (address) level take precedence over values entered at the customer, profile class, or system options level. -In a sales tax based system, Receivables calculates tax based on the address components of the sales tax structure.
(N) CustomersCustomer Accounts
Managing Customers
Customer Addresses
Allow multiple organization or person customers can do business at one location. Are global (not specific to operating units). Allow you to perform address validation using Vertex or TaxWare information. Have flexible address formatting with seeded and custom formats.
Customer Accounts
Customer accounts model relationships between an organization deploying Oracle Applications and an organization or person customer stored in the new customer model registry. Additional organizations or person customers can play roles in accounts. The new account model retains release 11i customer model features including: Credit profiles Terms of relationship (for example, discount terms) Customer bank accounts
Managing Customers
Customer Addresses
Enter the address for the Enter the address for the Customer. If the tax method is Customer. If the tax method is Sales Tax, the system uses Sales Tax, the system uses validated customer address validated customer address information to determine tax information to determine tax liability on the customer's liability on the customer's transactions transactions
Addresses assigned Addresses assigned to Bill-To business to Bill-To business purposes are used purposes are used for all transactions for all transactions
Addresses assigned Addresses assigned to Ship-To business to Ship-To business purposes are used purposes are used for all transactions for all transactions except commitments. except commitments.
The Bill To location to The Bill To location to associate with this associate with this Ship To address Ship To address
Managing Customers
Business Purposes
Each address can have multiple business purposes.
Ship To site Bill to site
Ship To site Marketing
Bill To site Statements Dunning Legal
Managing Customers
Business Purposes
Business purposes describe which functions are performed at a particular customer site. Common Types of Business Purposes include: Bill To: Send invoices to this address. Drawee: A customer drawee is a customer site responsible for paying bills receivable. Ship To: Send goods or services to this address. Can be different from this customer's Bill-To address. Statements: Send customer statements to this address. Can only define one active statement business purpose for each customer. Dunning: Send customer dunning letters to this address. Can only define one active dunning business purpose for each customer. Legal: A legal site is responsible for all government reporting requirements. Marketing: Send marketing collateral to this address.
Managing Customers
Assigning Business Purposes
Enter the Territory Flexfield to Enter the Territory Flexfield to associate with this address associate with this address Enter the default Enter the default finance charges activity finance charges activity for this customer for this customer Enter values in Enter values in this region ififthis this region this is a Ship-To site. is a Ship-To site. Choose one of the Tax Choose one of the Tax Classifications defined Classifications defined in Receivables Lookup in Receivables Lookup Codes Codes Enter a name for this business Enter a name for this business purpose in the Location field, If purpose in the Location field, If Automatic Site Numbering in Automatic Site Numbering in the System Options window is the System Options window is set to No set to No
The location of inventory The location of inventory for this business purpose for this business purpose address. address.
If the inventory location If the inventory location entered is associated with an entered is associated with an organization, the system organization, the system displays the organization displays the organization name in this field. name in this field.
Values can be entered in this Values can be entered in this region ififthis is a Bill-To site region this is a Bill-To site and Allow Override is set to and Allow Override is set to Yes in the Tax tabbed region Yes in the Tax tabbed region of the System Options window. of the System Options window.
Choose a tax Choose a tax rounding rule for rounding rule for transactions billed to transactions billed to this site. Choose this site. Choose from Up, Down or from Up, Down or Nearest. Nearest. Choose a tax calculation Choose a tax calculation level ((line or Header) ifif level line or Header) the Tax Method is VAT. the Tax Method is VAT.
Managing Customers
Business Purposes Accounts Tab
The Receivable account for The Receivable account for this address this address
The Freight account for this The Freight account for this address. AutoAccounting uses address. AutoAccounting uses this value ito derive the Freight this value ito derive the Freight account from the transaction account from the transaction bill-to site. bill-to site.
The Revenue The Revenue account for this account for this address address
The Tax account for this The Tax account for this address address
Unbilled Receivable account Unbilled Receivable account for this address. for this address. The Unearned Revenue The Unearned Revenue account for this address. account for this address.
The AutoInvoice Clearing account The AutoInvoice Clearing account for this address. AutoAccounting for this address. AutoAccounting uses this value to derive the uses this value to derive the AutoInvoice Clearing account from AutoInvoice Clearing account from the transaction bill-to site. A value the transaction bill-to site. A value can be entered in this field only ifif can be entered in this field only the business purpose for this the business purpose for this address is Bill-To. address is Bill-To.
Managing Customers
Order Management Attributes in Customer Tables
Order Defaults Scheduling Defaults Shipping Defaults
Order Type Price List /GSA Item Identifier Type Request Date Type Put Lines in Sets
Earliest Schedule Limit Latest Schedule Limit Push Group Schedule Date
Warehouse Freight Terms FOB Ship Method Over/Undership Preferences
Managing Customers
Order Management Attributes
Name of the price list that Order Management uses as the default value in the Sales Orders window. The order type Order Management must enter as a default value in the Returns window when returns are entered for this customer To determine whether the customer is responsible for the freight charges for an order The point or location where the ownership title of goods is transferred from the seller to the buyer. Receivables uses the Ship-To FOB and then the Bill-To FOB as the default value when transactions are entered.
Determines whether the ship date or arrival date will be used as request date.
The shipping method that the organization intends to use to transport items. The system first uses the Ship-To and then the Bill-To freight carrier as the default during transaction entry.
Store order management information in both the customer header and address business purpose levels. This information defaults during order entry.
Indicates whether to invoice for the ordered quantity or the fulfilled quantity.
The amount by which an under shipment can be less than the original order, expressed as a percentage
The amount by which an under return can be less than the original order, expressed as a percentage.
Managing Customers
Customer Contacts and Roles
Enter a unique contact Enter a unique contact number, ififthe Automatic number, the Automatic Contact Numbering Contact Numbering profile option is No profile option is No
Contact roles allow assignment of a contact to a particular business purpose or function. Contact roles are for informational purposes only. Each contact can have multiple roles but only one primary role.
The system displays contacts in the Transaction and Collections windows.
Managing Customers
Bank Accounts
Enter either the Account Name Enter either the Account Name or Account Number for this or Account Number for this bank account bank account
The primary bank account for a particular currency is used as the default account when Automatic Receipts are used. Only one active, primary account per currency for the customer or site can be assigned.
Assign bank accounts to customers to allow funds to be automatically transferred from these accounts to the remittance bank accounts when using Automatic Receipts. Define multiple, non-primary accounts in the same currency, even if the date ranges overlap.
Managing Customers
Payment Methods
During transaction and During transaction and receipt entry, the system receipt entry, the system uses the primary payment uses the primary payment method defined as the method defined as the default. default.
Assign automatic payment methods to customers if Automatic Receipts are being used. Payment methods determine the required processing steps for automatic receipts, such as confirmation, remittance, and reconciliation
Assign multiple payment methods to a customer as long as the start and end dates of each method do not overlap.
Managing Customers
Profile Transaction
Customer Profiles group customers with similar credit worthiness, business volume, and payment cycles. Define standard customer profiles in the Customer Profile Classes window. The customer profile class assigned provides the default values which can be optionally changed.
Managing Customers
Customer Relationships
Create customer relationships to control: Payment of unrelated invoices Sharing of pricing entitlements Consolidation of business addresses Link one customer to another. Enforce invoicing and receipt-application controls. Can only exist between two customers. Are not transitive: If A is related to B and B is related to C, A and C are not related. Can be reciprocal or nonreciprocal. Allow you to select a related customers ship-to address during order entry.
Managing Customers
Customer Relationship
Primary Reciprocal Related Primary Related
Nonreciprocal
Primary (parent)
Related (child)
Managing Customers
Customer Relationships
Specifies whether the Specifies whether the relationship is a sill to relationship is a sill to relation relation Allows customers to pay Allows customers to pay each other's debit items each other's debit items and enter invoices against and enter invoices against each other's commitments. each other's commitments. Enter the Type of relationship Enter the Type of relationship to use to classify customers. to use to classify customers. This field is only for This field is only for informational purposes. informational purposes.
Specifies whether the Specifies whether the relationship is a bill to relationship is a bill to relation relation
(N) CustomersCustomer AccountsRelationships
Managing Customers
Party Relations
Relationship types Relationship types categorize categorize relationships. relationships.
The party that the The party that the customer is related to customer is related to
The party type of the The party type of the object defaults in the object defaults in the Object Type field. Object Type field.
Use the Party Relations window to view, update, and create relationships for parties. These relationships model the party registry as a realistic business world. Multiple relationships between any parties with the predefined relationship types can be created .
(N) CustomersRelationships
Managing Customers
Profile Classes
Use profile classes to describe and group customers with similar financial
characteristics
Use profile classes to enter new customers quickly and consistently When a customer is established , the customer processing function assigns it to
the default (seeded) customer profile class. before saving.
To assign the customer to a different profile class, select it from the list of values
Managing Customers
Customer Profile Class Characteristics
Credit/collections Invoices and Statements Payment promptness
Credit check Collector Payment application Dunning letters Finance charges
Invoice line and tax printing Statement cycle Consolidated invoices
Payment terms Discounts Grace days
Managing Customers
Customer Profile Classes
Indicates the number that Indicates the number that customers using this profile customers using this profile class will use to match class will use to match receipts with invoices during receipts with invoices during AutoLockbox validation AutoLockbox validation Specifies the Auto Cash Rule Specifies the Auto Cash Rule Set to use for this profile Class. Set to use for this profile Class. The system uses the AutoCash The system uses the AutoCash Rule Set specified in the System Rule Set specified in the System Options window ififan AutoCash Options window an AutoCash Rule Set is not assigned Rule Set is not assigned
Check to send statements Check to send statements to customers using this to customers using this profile class profile class
Specifies how Post Specifies how Post QuickCash applies any QuickCash applies any leftover receipt amounts leftover receipt amounts created by a partial receipt created by a partial receipt application application Enter a Statement Cycle If Enter a Statement Cycle If the Send Statement check the Send Statement check box is checked. Statement box is checked. Statement cycles indicate how often cycles indicate how often to print statements. to print statements.
To send statements to To send statements to customers with this profile customers with this profile class even ififthey have a class even they have a credit balance, check the credit balance, check the Send Credit Balance check Send Credit Balance check box box
Check to send dunning letters Check to send dunning letters to customers when they have to customers when they have invoices, debit memos, and invoices, debit memos, and chargebacks that are past chargebacks that are past due due
Enter the Dunning Letter Enter the Dunning Letter Set to assign to customers Set to assign to customers using this profile using this profile
(N) CustomersProfile Class
Managing Customers
Check to be able to change Check to be able to change the default payment term the default payment term when entering transactions when entering transactions for customers using this for customers using this profile class. profile class. The default payment The default payment term for customers term for customers assigned to this assigned to this profile class profile class
enter the number of enter the number of Discount Grace Days Discount Grace Days after the discount term after the discount term date that customers date that customers using this profile class using this profile class can take can take Check to charge finance Check to charge finance charges. charges.
Check to allow discounts to Check to allow discounts to customers using this profile customers using this profile class. class.
Enter the number of Receipt Enter the number of Receipt Grace Days that are allowed Grace Days that are allowed for customers using this profile for customers using this profile class to be overdue on class to be overdue on receipts before they will be receipts before they will be assessed finance charges assessed finance charges
To calculate finance charges on To calculate finance charges on customer's outstanding balances customer's outstanding balances including previously assessed including previously assessed finance charges finance charges Specifies the printing format Specifies the printing format of the consolidated billing of the consolidated billing invoice invoice
Indicates how to print tax on Indicates how to print tax on invoices invoices
Managing Customers
Enter the default Tolerance Enter the default Tolerance (percentage over the credit (percentage over the credit limit) that customers using limit) that customers using this profile class can exceed this profile class can exceed before the collection action before the collection action begins begins
Oracle Order Management will check this Oracle Order Management will check this customer's credit before creating a new customer's credit before creating a new order ififthe Payment Term and the Order order the Payment Term and the Order Type associated with the order also Type associated with the order also require credit checking. The system does require credit checking. The system does not check customer's credit when not check customer's credit when transactions are created in Receivables. transactions are created in Receivables.
Managing Customers
The Currency in which customers assigned to this profile class will do business The interest rate to charge customers If the amount of interest that the system calculates for a past due debit item in this currency is greater than the amount entered here, the system charges this amount. The system will not generate automatic receipts in this currency that are less than this amount. The minimum outstanding balance in this currency that customers must exceed in order for Receivables to generate a statement. The total amount of credit in this currency to give to customers
If the customer balance of past due items in this currency is less than the amount specified here, Receivables does not assess finance charges If the balance of a past due invoice in this currency is less than the amount specified here, Receivables does not assess finance charges on this If a customer has a past due balance in this currency that is greater than the minimum dunning amount specified for this currency, Receivables selects this customer for dunning
Customers do not receive dunning letters if the amount entered here is greater than the balance of each of their past due items in this currency
The maximum amount of an individual order
Managing Customers
Merge Customers
Merge customers to:
Eliminate incorrect data and duplicate information Consolidate account site data Merge Customers or Sites Merge Individuals or Organizations Reflect customer account changes due to business consolidation Merging customer information combines all information for two customer accounts or account sites, striped by operating unit. Delete or inactivate the merge-from customer account and account sites uses. Customer Merge updates the customer information for all of the old customers transactions.
Managing Customers
Merging Other Application Transactions
The system automatically merges all transactions associated with the merge candidates in these applications as well:
Automotive Customer Service Inventory Master Scheduling /MRP Planning Order Management Payables Projects Purchasing Sales and Marketing
Managing Customers
Customer Merge
The name of the The name of the customer to merge. customer to merge. The reason for the The reason for the merger of the two merger of the two customers. customers. The Type of The Type of customer being customer being merged merged The name of the The name of the customer to merge to customer to merge to
To delete the old customer To delete the old customer information, check the check box. information, check the check box. To keep an audit trail of old the To keep an audit trail of old the customer information, do not check customer information, do not check the Delete After Merge check box. The the Delete After Merge check box. The system assigns a status of 'Inactive' to system assigns a status of 'Inactive' to the old customer after you complete the old customer after you complete the merge. the merge.
Check to copy an Check to copy an address and site address and site usage from the From usage from the From region to the mergeregion to the mergeto customer. to customer.
Use Customer Merge to consolidate any duplicate customers or transfer site use activity from a customer or site that is no longer active or has been taken over by another customer or site.
(N) CustomersMerge
Processing Invoices
Processing Invoices
Transaction Overview
Import transactions
Create manual transactions
Calculate taxes, create GL accounts, update customer balances
Print invoices
Correct, if necessary
Processing Invoices
Transactions Workbench Windows
Use the Transactions Workbench to create new and update existing invoices, debit memos, credit memos, onaccount credits, and commitments within Receivables. Also use this workbench to enter, review, or complete transactions, copy invoices, create adjustments, credit transactions, review invoice installments, and update chargebacks.
Processing Invoices
Invoice Entry Methods
Invoices from feeder systems Run AutoInvoice
Manual invoices
Data entry
Processing Invoices
Creating Invoice Batches
Use batches to match control and actual invoice counts and amounts. Actual
count and amount is updated as invoice is entered.
A batch can contain invoices with different currencies. Print invoices by batch. Can only delete a batch if it does not contain any transactions Oracle Receivables uses invoice batches to import invoice data. Batch information identifies the originating system when importing transactions.
Invoice Batch Statuses

New: This is a new batch, and it has not yet been saved. Out of Balance: The actual count and amount of transactions in this batch do
not equal the control count and amount.
Open: The actual count and amount equal your control count and amount. Closed: The actual count and amount match the control count and amount.
Processing Invoices
Transaction Batches
Batch sources control Batch sources control invoice and invoice batch invoice and invoice batch numbering and the default numbering and the default transaction types for transaction types for transactions added to this transactions added to this batch batch
If Automatic Batch If Automatic Batch Numbering for this batch Numbering for this batch source is No, enter a source is No, enter a unique batch Name. unique batch Name.
Enter the batch Enter the batch Currency. The default is Currency. The default is the functional currency. the functional currency.
Enter the Batch and GL Enter the Batch and GL Date for this batch. The Date for this batch. The default date is the default date is the current date. GL Date current date. GL Date you enter must be in an you enter must be in an Open or Future period. Open or Future period.
Enter the total number of Enter the total number of transactions in this batch in transactions in this batch in the Control Count field, then the Control Count field, then enter the total dollar amount enter the total dollar amount of transactions in this batch of transactions in this batch in the Control Amount field. in the Control Amount field.
(N) TransactionsBatches
Processing Invoices
Creating a Standard Invoice
Enter invoice header information
Enter invoice lines
Enter salescredit
Enter freight lines
AutoAccounting creates accounts
Complete invoice
Processing Invoices
Entering Invoice Dates
Enter invoice dates in any period. The invoice date plus the the payment terms determine the due date Enter Oracle GL dates in open and future accounting periods. This date determines when the journal entry can be created.
Open Available for entry and posting to GL
Future Available for entry
Closed Not available
Processing Invoices
Required Transaction Information
Transaction Date Source Class Type GL Date Bill To Terms Remit To
Transaction Defaults
Transaction Source: Can default the transaction type Determines the transaction numbering Transaction type can default: The transaction class Payment terms (if not set at the customer) Customer can default: Ship-to and bill-to address Payment terms Salesperson
Processing Invoices
Entering Sales Credits

If the Require Salesperson check box in the Miscellaneous tab of the System Options window is selected, a salesperson must be assigned to each invoice. Use the Sales Credits window to allocate sales credit among salespeople, and record both revenue and non-revenue sales credit. This information defaults to linelevel sales credits. Autoaccounting will recalculate the revenue account assignment. Total sales credits can be greater than the revenue amount for bonus or incentive purposes. Allocate different percentages or to different salespeople by line, using the For This Line region of the Sales Credits window. Access this window by clicking Sales Credits in the Lines window.
Processing Invoices
Completing Transactions

Completing an invoice means that payment schedules and aged receivable amounts are calculated, and this transaction can be transferred to the GL. When all required information has been entered, click the Complete button. Only completed transactions can be printed.
Processing Invoices
Transaction Header Information
Enter the transaction number if Automatic numbering is not enabled. If automatic numbering is specified, Receivables generates a number Select the Transaction Batch Source. The Source specifies automatic or manual batch and invoice numbering, the standard transaction type, determines which attribute of the Invoice Transaction Flexfield is used to default into the Reference field. Enter the transaction date, the default is the current date Enter the transaction currency, the default is the functional currency
Select the Transaction Type. Transaction types determine whether a transaction updates open receivables, can be posted to GL, if Receivables calculates tax, the transactions creation sign, whether transactions with this type use natural application only or will allow overapplication, provide the default transaction class, payment term, and printing options for each transaction.
Select the Invoice Class. Choose from the following -Invoice -Debit Memo -Credit Memo -Deposit
Enter the GL date, the default is the current date. if the current date is not in an open period, the default is the last date of the most recent open period
Processing Invoices
Transactions Main
Enter the customer Bill-to Name and Location for this transaction. If the bill-to customer has a primary bill-to location, then Receivables defaults the location and address. If no primary bill-to location exists for the customer, however, then select a valid bill-to location from the list of values.
Enter the customer Ship-to Name and Location for this transaction. If the customer has a primary ship-to location, then Receivables defaults the location and address. If no primary Shipto location exists for the customer, then select a valid Ship-to location from the list of values. If the Tax method is Sales Tax, a Ship to Address is mandatory.
If the invoice is against a commitment, enter the Commitment, or choose one from the list of values
Enter the payment Terms for this transaction. Receivables calculates the Due Date based on the payment terms and date of this transaction. The due date of a split payment term is the date that the first payment is due.
(N) TransactionsTransactions
Enter a Salesperson (optional). If the system option Require Salespersons is Yes and a salesperson is not assigned to this customer at the customer or site level, select from List of Values
Processing Invoices
Transactions More
The invoicing Rule associated with this transaction The transaction to relate to this invoice. Choose any transactions that are assigned to the bill-to customer or a selected customer. If a transaction number is cross referenced and the bill-to customer is changed, Receivables erases the value in this field. The order agreement this invoice is against. Can be entered only if an agreement is defined with the selected customer or customers related to the selected customer. Associate an agreement with the customer in the Sales Orders window in Oracle Order Management. Indicate whether finance charges are calculated against this invoice, debit memo, or chargeback. If the field is left blank or If Appropriate is selected, Receivables calculates finance charges according to the customers credit profile. If No, Receivables does not calculate finance charges on this transaction, regardless of the customers credit profile. The date on which this transaction was last printed.
These fields are for reference only and not validated by Receivables.
The current amount of the invoice, debit memo, or chargeback that is in dispute.
When a chargeback is queried in the Transactions window, this field shows the transaction for which the chargeback was created.
If Document Sequencing is used and it is manual, enter a unique Document Number. Otherwise, Receivables assigns a document number when you save or complete depending on the option set.
(N) Transactions Transactions More(Tab)
Processing Invoices
Transactions Remit To
The remit-to address is the address to which customers send payments. The default is the remit-to address assigned to the country, state, and postal code for this customer address. The customer to whom the goods and services were sold to. This customer could be different from the ship-to or bill-to customer. The default is the bill-to customer for this transaction.
The sales territory for this invoice. The default is the value of the Source of Territory in the System Options window.
(N) Transactions Transactions Remit To (Tab)
Processing Invoices
Transactions Paying Customer
The customer associated with The customer associated with the customer bank account the customer bank account assigned to the invoice. This assigned to the invoice. This could be different from the could be different from the billing customer ififCustomer billing customer Customer relationships exist relationships exist The payment method The payment method assigned to the assigned to the transaction. transaction. The bank The bank account account number. number.
The bank to which The bank to which the Payment Method the Payment Method is assigned to is assigned to
(N) Transactions Transactions Paying Customer (Tab)
Processing Invoices
Standard Invoice Line Types

Inventory item: Enter items available in inventory, using the list of values Standard memo line: Enter non-inventory products or services, such as extended warranties or maintenance contracts, using the list of values Free-form line: Enter a unique description
Entering Freight Invoices or Lines
Bill shipping charges for the entire invoice or for each line Click the Freight button in the Transactions window to enter at invoice level Click the Freight button in the Lines window to enter at lines level
If the transaction type assigned to this invoice allows freight charges, enter freight amounts AutoAccounting determines the default freight account
Processing Invoices
Transaction Lines Main Tab
The description for this invoice line. Receivables prints the description on the invoice. Choose from -Inventory Item -Standard Memo Line -Free Form The unit selling price for this invoice line item. If a standard line item is entered, the default is the Unit List Price entered for this standard line item in the Memo Lines window; there will be no default for System Items. Amount calculated by Quantity*Unit Price Receivables displays a default Tax Code (or tax group) if one is defined at: - Item - Customer - customer site - system level if the tax method is VAT.
To enter goods to bill to the customer, enter the Item, Quantity, and Unit Price for each item. Line Transaction Flexfield values derived from AutoInvoice
(N) Transactions Transactions Lines
Processing Invoices
Transaction Lines Sales Order Tab
The order line The order line number to which this number to which this invoice line refers. invoice line refers. The date this item The date this item was ordered. was ordered.
The sales order line The sales order line number for this number for this invoice line. invoice line.
The revision The revision number for this number for this order. order.
The channel The channel through which this through which this item was ordered item was ordered
Processing Invoices
Transaction Lines Tax Exemptions Tab
Enter Exempt ififthe Enter Exempt the system option Use system option Use Customer Exemptions is Customer Exemptions is set to Yes and to force set to Yes and to force tax exemption on the tax exemption on the invoice lines. invoice lines. Enter a tax exemption Enter a tax exemption Certificate Number ififTax Certificate Number Tax Handling is Exempt Select Handling is Exempt Select from list of values from list of values
Enter a value for this field only if the profile option Tax: Allow Override of Customer Exemptions is Yes and the transaction is not a chargeback.
Enter Require to Enter Require to force tax calculation force tax calculation on the invoice lines. on the invoice lines.
Enter Standard ififtax Enter Standard tax is to be calculated as is to be calculated as per the normal per the normal procedures set up in procedures set up in Receivables. Receivables.
Enter a Reason for Enter a Reason for creating this creating this exemption ififTax exemption Tax Handling is Exempt Handling is Exempt
Processing Invoices
Transaction Lines More Tab
Indicates the Indicates the reason for a credit reason for a credit memo. Defaults memo. Defaults from the invoice from the invoice header level. header level. Any additional Any additional information about information about this line item. this line item. A description of the A description of the inventory item in an inventory item in an alternate language. alternate language. Entered when Entered when defining inventory defining inventory items. items.
The ship-from The ship-from location for this location for this item. item.
Processing Invoices
Transaction Balances
Displays The original transaction amount The total amount of receipts Credit memos Adjustments Finance charges applied to the transaction Discounts taken. Indicates Level a receipt, credit, or discount was applied The type of adjustments that were created. Displays Transaction balances in the entered currency Transaction amounts can be viewed in the functional currency. How the line, tax, freight, and finance charges balances were affected in the 'Balance' row. If Bills Receivable is enabled, then the Balances window also displays information about bills receivable assignment
(N) Transactions Transactions Balances
Processing Invoices
Creating Copies of Invoices
Automatically create invoices for goods or services provided regularly to customers. Create a group of invoices that share the same characteristics. All of the dates for the copied invoices are determined using the copy rule specified. The exchange rates and tax rates are derived from the date of your first copied invoice. If the date is in a never opened period, Receivables will create these invoices as incomplete.
January
April Model transaction
July
Processing Invoices
Choosing Model Transaction

The model transaction must be complete. Once the model transactions are copied, changes to the model transaction do not affect the copied transaction. The model transaction should be the open or closed transaction that exactly matches the transaction(s) to recur. If the batch source for the model invoice has automatic transaction numbering turned on, Oracle Receivables automatically numbers each recurring transaction. Each recurring transaction uses the batch source assigned to the model transaction.
Determining Transaction Schedule

Oracle Receivables determines the date and frequency of the copied transactions, using the rule, first transaction date, and number of times specified. The recurring schedule cannot be updated after it has been saved. Oracle Receivables creates all invoice copies at one time. Invoices created in unopened periods will be created as incomplete.
Processing Invoices
Recurring Rules
Annually: This rule creates an invoice once a year on the same day and month of each year. Semiannually: This rule creates an invoice every six months on the same day. Quarterly: This rule creates an invoice every three months on the same day. Monthly: This rule creates an invoice every month on the same day. Bimonthly: This rule creates an invoice every other month on the same day. Weekly: This rule creates an invoice every seven days. Single Copy: This rule creates one copy of the model invoice for the day entered in the First Invoice Date field. Days: This rule creates an invoice based on the number of days specified.
Processing Invoices
Copy Transactions Recurring Invoices
The invoice to use as The invoice to use as a model for copying a model for copying invoices invoices Enter the number of Enter the number of copies to create copies to create
Choose a copy Rule. Choose a copy Rule. Enter the First Enter the First Transaction Date to Transaction Date to create the copied create the copied invoice invoice
If the copy rule is Days, If the copy rule is Days, enter the Number of enter the Number of Days between the Days between the copied invoice dates copied invoice dates
Enter the First GL Date Enter the First GL Date for the copied invoice. for the copied invoice. This date must be in an This date must be in an open, future, or never open, future, or never opened period. opened period. Enter the Transaction Enter the Transaction Number ififthe ififthe Number the the Batch source doesnt Batch source doesnt specify Automatic specify Automatic Transaction Numbering Transaction Numbering
Use the Copy Transactions window to create recurring invoices for products and services sold on a regular basis.
Enter a unique Enter a unique document Number for document Number for each copied invoice ifif each copied invoice document sequencing is document sequencing is enabled. enabled.
(N) Transactions Copy Transactions
Processing Invoices
Recurring Invoice Program report

Receivables submits a concurrent process to create copied invoices. Receivables also creates the Recurring Invoice Program report This report contains information about the model invoice and the new, copied invoices created in the Copy Transactions window. Receivables automatically generates this report when the request to create copied invoices is submitted.
Processing Invoices
Invoices With Rules
Fixed or variable Journal entry
Accounting rule Advance or Advance or Arrears Arrears Invoicing rule Invoice Revenue recognition program Journal entry
01.100.200.4500.000.0000 01.100.200.4500.000.0000 01.110.220.4550.000.0000 01.110.220.4550.000.0000 01.220.220.4700.000.0000 01.220.220.4700.000.0000
AutoAccounting
Processing Invoices
Invoicing Rules and Accounting Rules
Invoicing Rules determine when to recognize receivable for invoices that span more than one accounting period.
Assign invoicing rules to invoices that entered manually or imported into Receivables through AutoInvoice. Receivables provides the following invoicing rules:
Bill in Advance: Use this rule to recognize receivable immediately. Bill in Arrears: Use this rule to recognize the receivable at the end of the revenue recognition schedule.
Accounting Rules determine the number of periods and percentage of total revenue to record in each accounting period.
An unlimited number of accounting rules can be determined. Invoicing and Accounting Rules are not applicable if the method of accounting is Cash Basis.
Processing Invoices
Using Invoices with Rules
Business Need
Enter invoices for services provided over 12 months and recognize revenue as the service is provided.
Solution
Enter invoices with rules either in the Transactions window or through AutoInvoice.
Bill customers for the Assign invoices a Bill in invoices before recognizing Advance invoicing rule. all of the revenue. Bill customers for invoices after recognizing all of the revenue. Assign invoices a Bill in Arrears invoicing rule.
Processing Invoices
Assigning Invoicing Rules
Invoicing rules determine whether to recognize receivables in the first or in the last accounting period. Once the invoice is saved, you cannot update an invoicing rule. If Bill in Arrears is the invoicing rule, Oracle Receivables updates the GL Date and invoice date of the invoice to the last accounting period for the accounting rule.
Select the Invoicing Select the Invoicing Rule. Determines Rule. Determines whether to bill in whether to bill in advance or bill in advance or bill in arrears arrears
Transactions Header
Processing Invoices
Assigning Accounting Rules To Invoice Lines
Accounting rules determine when to recognize revenue amounts. Each invoice line can have different accounting rule.
The number of periods in which The number of periods in which revenue is recognized. Value revenue is recognized. Value defaults from fixed rule. Value defaults from fixed rule. Value must be entered for variable must be entered for variable rule rule Enter the Date field Enter the Date field to determine when to to determine when to start recognizing start recognizing revenue. revenue.
Select the accounting Select the accounting Rule to determine Rule to determine when to recognize when to recognize revenue revenue
Transactions Lines
Processing Invoices
Creating Accounting Entries

Accounting distributions are created only after the Revenue Recognition program is run. For Bill in Advance, the offset account to accounts receivable is Unearned Revenue. For Bill in Arrears, the offset account to accounts receivable is Unbilled Receivables. Accounting distributions are created for all periods when Revenue Recognition is run.
Running The Revenue Recognition Program

The Revenue Recognition program gives control over the creation of accounting entries. Submit the Revenue Recognition program manually through the Run Revenue Recognition window. The Revenue Recognition program will also be submitted when posting to Oracle General Ledger. The program processes revenue by transaction, rather than by accounting period. Only new transactions are selected each time the process is run.
Processing Invoices
View Accounting Distributions
Choose to view the detail accounting lines when an invoice, payment, or adjustment is queried in Oracle Receivables, in one of the following formats :
A balanced accounting entry (Accounting Lines) T-accounts
Invoice Invoice
Drill Down
View View Accounting Accounting Lines Lines
Drill Down
T-Accounts T-Accounts
Processing Invoices
View Accounting Lines
Use the View Transaction Accounting window to view accounting lines whenever a transaction, receipt, or adjustment is created . For each line, see which account is affected, the debits and credits for both the entered and accounted amounts, as well as currency, exchange rate, and other accounting information. View this information prior to transferring accounting entries to Oracle General Ledger. For invoices with rules, Revenue Recognition program must be run first.
(N) Transactions Transactions Distributions
Processing Invoices
View Accounting Lines
(N) Tools View Accounting
Processing Invoices
Activity Summary
(N) Tools View Accounting T-Accounts Activity Summary
Processing Invoices
T-Accounts
Use this window to view Oracle Receivables accounting entries in a graphical, T-account format. Oracle Applications provides several options that can be used to customize how the data is displayed. Create a hard copy of the information in this window
(N) Tools View Accounting T-Accounts
Processing Invoices
Foreign Currency Invoice Processing
When a batch or a receipt or transaction that is not in the functional currency is entered, Receivables displays a pop-up window to enter exchange rate information. Receivables uses this information to convert foreign currency receipt and transaction amounts to the functional currency Daily conversion rates can also be defined. Daily conversion rates enable Receivables to automatically calculate exchange rate information when foreign currency receipts and transactions are entered.
Processing Invoices
Foreign Currency Invoicing Profile Options
The following profile options affect the appearance and behavior of the Exchange Rates window: Profile Option
Journals: Display Inverse Rate
Description
If the option is set to No, Receivables calculates the Functional amount as: Functional Currency= Foreign Currency*Rate If the option is set to Yes Functional Currency= Foreign Currency/Rate
Currency: Allow Direct EMU/Non-EMU User Rates EMU: European and Monetary Union
This profile option controls whether an exchange rate can be entered when the receipt or transaction is in an EMU currency but the functional currency is not an EMU currency.
Processing Invoices
Exchange Rate Field Reference

Rate Date: The rate that applies to the exchange rate for your foreign currency. Rate Type Corporate: Standardized rates for the company. Spot: To perform conversion based on the rate on a specific date. User: User Defined Rate.
Rate: The exchange rate for a particular receipt.
Adjusting an Exchange Rate

Change the rate type, rate date, and exchange rate of a foreign currency receipt, even if it has been transferred to GL. The exchange rate of foreign currency transaction cannot be adjusted once it has been posted or has had a receipt applied to it. To use a different exchange rate, reverse the transaction, then recreate the transaction at the new rate.
Processing Invoices
Viewing Exchange Rate Information
View exchange rate information for a receipt from either the Receipts or Receipts Summary window. View exchange rate information for a transaction from either the Transactions or Transaction
Summary window.
Viewing Exchange Rate Information for a Receipt

Query the receipt in the Receipts or the Receipts Summary window. In the Receipts window, choose Exchange Rate from the Tools menu. In the Receipts Summary window, select the receipt, then choose Exchange Rate from the Tools
menu.
Viewing Exchange Rate Information for a Transaction

Query the transaction in the Transaction or transaction Summary window. In the Transactions window, choose Exchange Rate from the Tools menu. In the Transaction Summary window, select the transaction, then choose Exchange Rate from the
Tools menu.
To update the exchange rate, enter a new Rate Type (if the Rate Type is Corporate or Spot). If the
Rate Type is User, enter a new Rate, then choose Ok.
Processing Invoices
Viewing Exchange Rate Information for a Receipt
Exchange Rate Option enabled for Exchange Rate Option enabled for foreign currency transactions. This foreign currency transactions. This options is disabled when the options is disabled when the transaction currency is the same as the transaction currency is the same as the Functional Currency Functional Currency
Adjust Exchange Rate Option enabled Adjust Exchange Rate Option enabled for foreign currency transactions. This for foreign currency transactions. This options is disabled when the transaction options is disabled when the transaction currency is the same as the Functional currency is the same as the Functional Currency Currency
Receipt Currency Receipt Currency
Receipt Amount in Receipt Amount in foreign currency foreign currency
(N) ReceiptsReceiptsToolsExchange Rate
Receipt Amount in Receipt Amount in functional currency functional currency
Processing Invoices
Viewing Exchange Rate Information for a Transaction
Exchange Rate Option Exchange Rate Option enabled for foreign enabled for foreign currency transactions. currency transactions. This options is disabled This options is disabled when the transaction when the transaction currency is the same as currency is the same as the Functional Currency the Functional Currency
Transaction Transaction Currency Currency
(N) Transactions Transactions ToolsExchange Rate
Processing Invoices
Header Level Rounding

Rounding the converted amounts can cause an imbalance between the accounting entries that Oracle Receivables creates for each currency. Depending upon the legal requirements, there may be a need to round amounts at the transaction header level and post the difference to a separate GL account. Account for the rounding differences by enabling Header Level Rounding and defining a Header Rounding account.
The rounding account is always recorded as a credit, whether it is a positive or negative amount. This is because the Header Level Rounding account is considered a contra account which offsets the receivable account.
Specify the Rounding Account Specify the Rounding Account to post differences between to post differences between the converted amounts the converted amounts Enable to enable Header Level Enable to enable Header Level Rounding Rounding
(N) SetupSystemSystem Options
Processing Invoices
Viewing Rounding Account
Select Accounts for All Lines Select Accounts for All Lines to view the Rounding Account. to view the Rounding Account.
The Rounding Difference The Rounding Difference Account. This account appears Account. This account appears in every invoice created in every invoice created regardless of whether the regardless of whether the currency is the foreign currency is the foreign currency or functional currency currency or functional currency
(N) TransactionsTransactionsDistributions
Processing Invoices
Printing Transactions
Print the following documents to send to customers:
Invoices Credit memos Debit memos Deposits Previewing Transactions Before Printing Submit the Invoice Print Preview Report to see a list of transactions that will be printed Select a list of transactions by specifying values for the report parameters Guarantees Chargebacks Adjustments
Printing Transactions Print transactions by batch Print transactions that have not been printed Specify a range of transactions to print
Processing Invoices
Printing Transactions Report Options
Invoice Print New Invoices: Print all transactions that have not been printed previously and have a print status of 'Print'. Invoice Print Selected Invoices: Print specific transactions, regardless of whether you have already printed them. You can limit your printout by entering a range of dates, transaction numbers, a specific transaction type, transaction class, customer class, installment number, and a specific customer. You can also select to print only open invoices. Receivables does not include any transactions with a print status of 'Do Not Print'. Invoice Print Batch of Invoices: Print a single batch of transactions, regardless of whether you have already printed it. You specify the batch to print in the Parameters window. Receivables does not include transactions with a print status of 'Do Not Print'. Print Adjustments: Print specific adjustments to transactions which have not been printed previously and have a print status of 'Print.' Receivables does not include transactions with a print status of 'Do Not Print'. Invoice Print Preview Report: Preview transactions that would be printed if you chose to print a batch of invoices, new invoices, or specific invoices. This report will list the transactions that would be printed in each case.
Processing Invoices
Processing Invoices
Printing Invoices Consider the following when determining the range of invoice dates to print: If the invoice you are printing has a payment term where Print Lead Days is 0, Receivables uses the transaction date to determine if this transaction falls into the Start and End Date range you specify. If the invoice you are printing has a payment term where Print Lead Days is greater than 0, Receivables uses the formula Due Date - Print Lead Days to determine if this transaction falls into the Start and End Date range you specify. Invoices & Debit Memos For each invoice Receivables displays the quantity ordered, shipped, unit price, and extended amount. Receivables prints the entire description for each invoice line. Text wraps to the next line. Receivables displays the total amount of the lines, tax, and shipping in the body of the printed invoice. For installments, Receivables displays the total amount due for each installment as well as the line, tax, and freight amount in the subtotal fields. Credit Memos For each credit memo, Receivables displays a row for every invoice line, tax, or freight amount you are crediting. Credit memo amounts display as negative numbers. Receivables displays the percent of the credit memo applied to the transaction you are crediting.
Processing Invoices
Deposits For each deposit, Receivables prints unit price, extended amount, and '1' in the quantity ordered and quantity shipped columns. Unit price and extended amount will always be the same. Receivables prints 'N' in the Tax column and does not print tax and shipping amounts since these amounts are not part of the deposit. Receivables prints the effective start date and the effective end date if you enter one. Guarantees For each guarantee, Receivables prints unit price, extended amount, and '1' in the quantity ordered and quantity shipped columns. Unit price and extended amount will always be the same. Receivables prints 'N' in the Tax column and does not print tax and shipping amounts since these amounts are not part of the guarantee. Receivables prints the effective start date and the effective end date if you enter one. Receivables prints a message in the body of the guarantee explaining that this is not a request for payment.
Processing Invoices
Invoices Against Deposits Receivables prints a row for each invoice line. If your line includes tax charges, Receivables displays 'Y' in the tax column. Receivables also prints the amount deducted from the deposit. This amount displays as a negative number. Receivables displays the original balance of your deposit, less any activity. Activity includes any previous transactions as well as the current invoice. Receivables calculates and displays the current deposit balance. The deposit balance does not include any tax or shipping charges. Tax and shipping charges are printed at the bottom of the invoice in their respective columns and must be collected. Invoices Against Guarantees Receivables prints a row for each invoice line. If your line includes tax charges, Receivables displays 'Y' in the tax column. Receivables displays the original balance of your guarantee, less any activity. Activity includes any previous transactions as well as the current invoice. Receivables calculates and displays the current guarantee balance. The guarantee balance does not include any tax or shipping charges. Tax and shipping charges are printed at the bottom of the invoice in their respective columns and must be collected in addition to the line amount(s).
Processing Invoices
Printing Tax
Processing Invoices
Printing Tax
Receivables prints tax on invoices and debit memos depending upon the value entered for the Tax Printing option assigned to the customer's profile class. If no option is specified in the profile class, Receivables uses the value entered in the System Options window. Following are Receivables' tax printing options: European Tax Format: Print tax information in the following format: Tax rates printed as the last column of invoice lines, freight items printed last, and the taxable amount with the summarized tax codes printed at the end of the invoice. Itemize by Line: Itemize tax information for each invoice line. Receivables displays this information after each invoice line. Itemize and Summarize: Display both itemized and recap tax information. Summarize by Tax Code: Display all tax information under the heading 'Tax Summary by Tax Code.' If you have two tax lines with the same tax code, rate, exemption, and precedence number, Receivables will group them together. Summarize By Tax Name: Display all tax information under the heading 'Tax Summary by Tax Name.' If you have two tax lines with the same tax name, rate, exemption, and precedence number, Receivables will group them together. Total Tax Only: Display only the total tax amount at the bottom of the document.
Processing Invoices
Printing Statements
Generate statements that are specific to individual customer billing locations. A statement will indicate if the location of an included transaction differs from the billing location by putting a note on the line following the transaction Receivables creates the statement output file and requires that this file be sent to the printer using the operating system's landscape print command. When this file is sent to the printer, Receivables prints one sample page of Xs to show how the statement will print. This helps in making any necessary adjustments before actually starting printing of the statements.
Processing Invoices
Printing Statements Print Options
Print Statements: Print statements for either a specific customer, customer site, or all of the customers and customer locations that have the statement cycle that are specified in their credit profiles. This option includes activity from the last statement date to the current statement date. Print A Draft Statement: Print a draft statement for a customer or site to review before sending it to this customer. Draft statements do not include finance charges. Reprint Statements: Reprint any statements that have been previously printed.
Processing Invoices
Printing Statements
Select a print Select a print option option Enter an As of Date if a Draft Statement is being printed. This date determines the transactions to include in the draft statement. The default is today's date. Select active aging buckets Select active aging buckets that have a type of 'Statement that have a type of 'Statement Aging. Aging. Enter a statement Cycle. The Enter a statement Cycle. The default is the cycle specified in default is the cycle specified in this customer's profile class. this customer's profile class.
Enter the Customer Enter the Customer name or Number and name or Number and the billing Location the billing Location for this submission. for this submission. To include only To include only specific transactions in specific transactions in this statement, enter a this statement, enter a Transaction Type. Transaction Type.
To include only transactions To include only transactions assigned to a specific assigned to a specific agent, enter a Primary agent, enter a Primary Agent. Agent.
Enter the Statement Date for this submission. Receivables uses this date to determine the finance charges on debit items that the statement includes.
To print a standard message To print a standard message on your statement, enter the on your statement, enter the Name of the standard Name of the standard message message
To calculate finance charges To calculate finance charges on items included in this on items included in this submission, check the submission, check the Calculate Finance Charges Calculate Finance Charges box. box.
Check to calculate finance Check to calculate finance charges for items in dispute. charges for items in dispute. Enabled ififthe Calculate Enabled the Calculate Finance Charges Checkbox is Finance Charges Checkbox is enabled enabled
Processing Invoices
Printing Dunning Letters
Use dunning letters to inform customers of past due invoices, debit memos, and chargebacks. When dunning letters are printed, Receivables prints a copy of each invoice which has line items that are past due. Create dunning letter sets in which to group dunning letters together to vary the tone with each successive letter. When the Dunning Letter Generate program is submitted, Receivables compares the number of days that a customer's oldest outstanding debit item is past due with the Days Past Due Date ranges of the dunning letters in this customer's dunning letter set. This comparison determines which dunning letter to print For each dunning submission, the Dunning Letter Generate program selects and prints letters using the dunning letter sets, customers, and collectors that satisfy the submission criteria. Control the severity and content of each dunning letter sent and exclude individual customers from dunning, even if they have items that are past due. Include disputed items, on-account and unapplied receipts, and finance charges in dunning letters, as well as debit items that are not yet due. Choose to use receipt grace days to extend the due dates of a customer's past due items.
Processing Invoices
Dunning Methods
Days Overdue: Letters are based on the total number of days that debit items are past due. This method generates letters for a specific customer based on a range of days overdue that you define for each dunning letter set. Receivables takes into account the number of receipt grace days defined for a customer (if any) when calculating the number of days items are past due. Staged Dunning: Letters are based on the dunning levels of past due debit items. This method lets you send dunning letters based on the number of days since the last letter was sent, rather than the number of days items are past due. For each dunning letter, you specify the minimum number of days that must pass before Receivables can increment an item's dunning level and include this item in the next letter that you send. This feature can be useful if, for example, you inform your customer that you will begin collection action if payment is not received within x number of days of receiving the current letter.
Processing Invoices
Printing Dunning Letters
To print dunning letters, To print dunning letters, enter 'Dunning Letter enter 'Dunning Letter Generate' in the Name field, Generate' in the Name field, or select this option from the or select this option from the list of values. list of values.
To print and review a To print and review a dunning letter, enter dunning letter, enter 'Sample Dunning Letter 'Sample Dunning Letter Print' in the Name field, Print' in the Name field, enter the Letter Name enter the Letter Name
Processing Invoices
Consolidated Billing

Use the Consolidated Billing Invoice program to print a single monthly invoice that includes all customers transactions for that period. Customers are flagged to receive consolidated billing invoices through their customer profile class. The invoice format can be detail or summary. The detail and summary format presents invoice totals. The detail format lists all line items. The Consolidated Billing feature of Receivables cannot be used in conjunction with the Imported Billing Number feature. The Consolidated Billing feature can be used for monthly billings. Use the Imported Billing Number to group invoices other than on a monthly basis. When a consolidated billing invoice is created, Receivables includes all invoices, credit memos, adjustments, receipts, and cross-site applications that have not been included on a previous consolidated billing invoice If a transaction has been included on a consolidated billing invoice, it cannot be updated, regardless of how you set the system option Allow Change to Printed Transactions. This is because Receivables considers inclusion on a consolidated billing invoice to be an activity and a transaction cannot be updated once it has an activity against it.
Processing Invoices
A consolidated billing invoice is not the same as a statement. Some of the differences are:
Statements
Generated at customer level. Customer uses for informational purposes. Itemizes adjustments, credit memos, debit memos, chargebacks, deposits, invoices, receipts, and on-account credits. Includes aging. Customers selected by statement cycle.
Generated at customer or bill-to location level. Customer pays from the invoice. Itemizes only adjustments, invoices, credit memos, and receipts.
Does not include aging. Customers selected by cutoff date and payment terms.
Processing Invoices
A consolidated billing invoice includes: All transactions that were created before the Cut-off Date specified and have not yet been included on a consolidated billing invoice. A beginning balance An itemized list of new charges (invoices, credit memos, and adjustments) in either summary or detail format Separate reporting of consumption tax The total amount of any payments received since the previous consolidated billing invoice The total balance due for this customer or bill-to site
Billing Invoice Number

When a draft or final consolidated billing invoice is printed, a unique billing invoice number is assigned. Use this number to query transactions that were included in a consolidated billing invoice. Also use this number to accept a final or reprint a draft consolidated billing invoice. The billing invoice number is automatically generated by a database sequence and cannot be created manually. To display the billing invoice number in the following Receivables reports and windows, set the profile option AR: Show Billing Number to Yes.
Processing Invoices
Billing Invoice Number
When the Show Billing Number profile option to Yes, the transaction number and consolidated billing invoice number fields appear next to each other in the windows listed above. However, these fields are not labeled separately. The consolidated billing invoice number field always appears to the left of the transaction number field and is the first field in which to enter a value when performing a Query or Find operation The Consolidated Billing Invoice Number appears in the following windows Account Details Applications and Mass Apply Receipts windows Credit Transactions Customer Calls Receipts Transactions Transaction Overview
Processing Invoices
Set Up Customers for Consolidated Billing
Indicate that a customer should receive a consolidated billing invoice by updating their customer profile class. To include only transactions for a specific bill-to site, assign payment terms to the customer's bill-to site. To include transactions for all of a customer's bill-to sites, assign payment terms at the customer profile level. The customer profile class also determines whether the invoice format is Detail or Summary. The detail and summary formats include the same information except for the item detail: o Choose the Detail format to list the item description, quantity, and unit price for each item on each invoice o Choose the Summary format to list only the total amount of each transaction. The Imported format is for using the Imported Billing Number feature The Consolidated Billing Invoice program does not select transactions from related customers
Processing Invoices
Consolidated Billing Reports
Account Status Adjustment Register Aging Reports Applied Receipts Register Billing and Receipt History Disputed Invoice Dunning Letter Generate Past Due Invoice Revenue Journal by GL Account Sales Journal by GL Account Transaction Detail Transaction Register
Processing Invoices
Printing Consolidated Billing Invoices
Use the Print Consolidated Billing Invoices window to: Accept or Reject consolidated billing invoices Print draft consolidated billing invoices Print new (final) consolidated billing invoices Reprint draft or final consolidated billing invoices Create a batch of consolidated billing invoices by not specifying a customer name or bill-to site when submitting the program. By omitting these parameters, Receivables creates a consolidated billing invoice for each customer and bill-to site that matches the other submission parameters specified. Accept or reject all consolidated billing invoices in a batch by specifying the concurrent request ID for this submission. When printing a new consolidated billing invoice, the program includes only transactions that were created before the cutoff date and have not yet been included on a consolidated billing invoice. To print Imported Billing Number from this program, use custom invoices instead. Imported Billing Number will not print this way
Processing Invoices
Printing Consolidated Billing Invoices
Choose this option to accept consolidated billing invoices. Receivables changes the status from Draft to Accepted. This option does not reprint the consolidated billing invoices.
Choose this option to print a draft of the consolidated billing invoices. Review the consolidated billing invoices for accuracy and completeness, then either accept or reject them. With this option, the invoice will have a status of Draft.
Choose this option to print a new consolidated billing invoice.
Choose this option to reject unsatisfactory Consolidated billing Invoices. Receivables changes the invoice print status from 'Printed' to 'Pending.' Print these invoices again using either the Print Draft or Print New Consolidated Billing Invoices option.
Choose this option to reprint spoiled consolidated billing invoice.
Processing Invoices
Consolidated Billing Invoice Report Parameters
To print consolidated billing invoices for a specific customer, enter the customer name or number. Only customers who are set up to receive consolidated billing invoices in their customer level profile appear in the list of values. Leave these fields blank to print consolidated billing invoices for all customers who are set up to receive them. To print an invoice that includes all transactions for a specific bill-to site, enter a bill-to site Leave this field blank to print invoices for all of this customer's bill-to sites. Enter the cutoff date for including invoices on this consolidated billing invoice. Receivables includes all transactions created on or before this date that have not been included on a previous consolidated billing invoice Enter Yes if the Cut-off Date entered is the last day of the month and to include all transactions created during the month. Receivables selects all transactions created during the month for customers assigned to payment terms with the Last Day of Month option set to Yes. Enter No to select only transactions and customers assigned to payment terms with the same cut-off date entered for the Cut-off Date parameter. Enter the payment terms to use, if there are multiple payment terms with the same cutoff day. Leave this field blank to select all bill-to sites assigned to payment terms with the cutoff day entered. If the Last Day of Month parameter is Yes, specify the payment terms defined for end of the month consolidated billing.
Indicate whether pre-printed stationary is used for consolidated billing invoices. If No, Receivables prints column headings with customer and transaction information; otherwise, Receivables does not print column headings.
Choose the print format for this billing invoice (optional). The Summary format lists only the total amount for each transaction. The Detail format includes item detail such as description, quantity, and unit price.
The default is the functional currency. For customers that use multiple currencies, run a separate report for each currency.
AutoInvoice
AutoInvoice
AutoInvoice Overview
AutoInvoice is a powerful, flexible tool you can use to import and validate transaction data from other financial systems and create invoices, debit memos, credit memos, and on-account credits in Oracle Public Sector Receivables. You use a custom feeder program to transfers transaction data from an external system into the AutoInvoice interface tables. AutoInvoice then selects data from the interface tables and creates transaction in Receivables. Receivables rejects transactions with invalid information to ensure the integrity of your data. With AutoInvoice, you can:
Import large numbers of transactions for seamless integration from Oracle or non-Oracle
systems Invoices Debit memos Credit memos On-account credits
Calculate taxes for the imported transactions, or pass the tax through the tables Correct errors easily online
AutoInvoice
AutoInvoice Process
SQL loader Valid lines
Non Oracle data
AutoInvoice interface tables
Oracle Receivables transaction tables
Oracle data
Interface Program View and correct invalid records
Error lines
AutoInvoice
AutoInvoice Process
Create invoices from the following Oracle applications: Oracle Order Management Oracle Projects Oracle Service Oracle Property Manager
Create invoices from the following non-Oracle applications: Legacy system (for transaction history) Non-Oracle billing applications Non-Oracle order entry applications
AutoInvoice
AutoInvoice Process
AutoInvoicing
Line, accounting and sales credit information for Line, accounting and sales credit information for each line populates 3 interface tables each line populates 3 interface tables Lines are ordered and grouped Lines are ordered and grouped Tax is calculated Tax is calculated GL date is determined GL date is determined GL accounts are assigned using AutoAccounting GL accounts are assigned using AutoAccounting Tax, freight, commitments and credit memos are Tax, freight, commitments and credit memos are linked to transaction lines linked to transaction lines All transactions are batched All transactions are batched Validated lines are used to create the transaction Validated lines are used to create the transaction
Imported Imported Transactions Transactions
Invoices Invoices Created Created
AutoInvoice
Preparing Receivables for AutoInvoice
To ensure that the AutoInvoice program works properly, prepare Receivables for any new data
Add currencies not yet defined in Receivables. Add or update tax rates assigned to tax codes. Add or update tax rates associated with products shipped to specific addresses. Add or update full or partial customer and item tax exemptions. Add Freight on Board (FOB) codes to Receivables Add freight carrier codes. Add payment terms to Receivables. Add transaction types to Receivables. Add batch sources. Add agents. Add accounting rules. Add units of measure. imported. If the feeder system uses any setup data which is not yet defined in Receivables, must define this data before using AutoInvoice. Following is a list of setup data to be considered:
AutoInvoice
Grouping Rules

Grouping rules are mandatory and determine how transaction lines are grouped into transactions Grouping rules specify attributes that must be identical for lines to appear on the same transaction. AutoInvoice requires mandatory grouping on the transaction attributes Currency Code and Bill-To Customer (only one of each attribute is allowed per invoice). Receivables automatically applies these required grouping rules to any additional transaction attributes assigned to the grouping rules. All attributes of the Transaction Flexfield are optional within a grouping rule and can be assigned as optional grouping characteristics in the Grouping Rules window.
AutoInvoice
Grouping Rule Hierarchy
AutoInvoice uses the following hierarchy to determine which grouping rule to use for a transaction line:
The grouping rule specified in the Transaction Sources window for the batch source of the transaction line The grouping rule specified in the Customer Profile Classes window for the bill-to site use of the transaction line The grouping rule specified in the Customer Profile Classes window for the bill-to customer of the transaction line If no rule is specified in either the Transaction Sources or Customer Profile Classes window, AutoInvoice uses the default grouping rule specified in the System Options window
AutoInvoice
AutoInvoice Line Ordering Rules

AutoInvoice uses these rules to order transaction lines when grouping the transactions it creates into invoices, debit memos, and credit memos. Line ordering rules can be assigned to each grouping rule. AutoInvoice uses transaction attributes in the line ordering rules to order invoice lines based on the priority defined. An ascending or descending order for each transaction attribute assigned to a rule can also be specified.
AutoInvoice
Using AutoInvoice Key Concepts
AutoInvoice Purge Program - Choose whether to delete data from the AutoInvoice Interface tables once it has been validated and transferred into Receivables. Check the Purge Interface Tables box in the System Options window to automatically delete the data. The AutoInvoice Purge program and the Purge Interface Tables system option only delete data from the interface tables that has been validated and successfully transferred into Receivables. Calculating Tax - AutoInvoice provides the functionality needed to meet sales tax and other taxing requirements, such as Value Added Tax (VAT). Either pass tax code lines, tax exempt lines or have AutoInvoice automatically determine tax rates using the hierarchy determined by the tax calculation flow charts. If AutoInvoice determines tax rates, it will take into account any customer or item tax exemptions or item tax exceptions.
AutoInvoice
Using AutoInvoice Key Concepts
Transactions in Closed Accounting Periods Use AutoInvoice to pass transactions in closed accounting periods. Receivables automatically uses the first day of the next open accounting period as the default date to determine the accounting distributions. Creating Transactions AutoInvoice creates invoices, debit memos, credit memos and on-account credits using the grouping and invoice line ordering rules specified. AutoInvoice verifies that the data is valid before it creates transactions in AR. Deriving Invoice and Accounting Dates Choose how to determine invoice and accounting dates for transactions. The feeder program can either load these dates directly into the interface tables or, if the date fields empty are left empty, Receivables determines the invoice and accounting dates. Invoices Against Commitments Create invoices against commitments in the same way as a manually entered invoice.
AutoInvoice
AutoInvoice Execution Phases
AutoInvoice can be divided into three major phases: pre-grouping, grouping, and transfer. In the pre-grouping phase, AutoInvoice validates all of the line-level data as well as any other data that is not dependent upon successful grouping. Some examples include validating that a transaction type is valid and validating that only one freight account exists for each freight line passed. In the grouping phase, AutoInvoice groups lines based on the grouping rules and validates header-level data that is dependent on how your lines are grouped. Some examples include validating the over-application rules specified for your batch source and validating that the general ledger date of an invoice against a commitment is not before the general ledger date of the commitment. In the transfer phase, AutoInvoice validates information that exists in Receivables tables, such as tax defaulting and AutoAccounting data.
AutoInvoice
AutoInvoice Validation Checks
AutoInvoice validates data for compatibility with Receivables. It ensures that the columns in Receivables' Interface tables reference the appropriate values and columns in Receivables. Existence For some columns, AutoInvoice ensures that the values are already defined in Receivables. However, AutoInvoice does not validate against any effectivity date or status. Batch Sources Values for all of the fields that are referenced in the Transaction Sources window dont have to be passed. To ignore any of these values for a specific batch source, set the field to 'None' in the Transaction Sources window. Use transaction batch sources that have a type of 'Imported' when importing transactions into Receivables Uniqueness AutoInvoice ensures that the invoice number supplied is unique within a given batch source and the document number supplied is unique within the associated sequence type. AutoInvoice also ensures that the Transaction Flexfield supplied is unique.
AutoInvoice
AutoInvoice Validation Checks
Precision Precision is the number of digits to the right of the decimal point that are used in regular currency transactions. AutoInvoice ensures that the amount and the accounted amount supplied have the correct precision for a given currency. Cross Validation AutoInvoice ensures that certain column values agree with each other. These values can be within an interface table or multiple interface tables. Validation for Lines With Rules Besides validating dates, AutoInvoice also validates and rejects lines if:
The accounting rule has overlapping periods All of the accounting periods do not exist for the duration of the accounting rule
Create Transactions with Invalid or Incorrect Data Specify whether AutoInvoice has to reject or partially create transactions that have an invalid line, invalid tax rate, or a GL date in a closed period. Transactions that fail validation appear in the AutoInvoice Validation report. The values entered in the AutoInvoice Processing Options tabbed region of the Transaction Sources window determine how AutoInvoice will process transactions with invalid data.
AutoInvoice
Determining GL Dates for Invoices Without Rules
AutoInvoice uses the following process to determine the GL date for invoices witout rules AutoInvoice uses the general ledger date in the interface table, if one exists and it is in an open or future enterable period. If GL date is not passed and Derive Date is set to No, AutoInvoice uses the value of the Default Date parameter for this AutoInvoice submission. If GL date is not passed and Derive Date is set to Yes, AutoInvoice uses the ship date in the interface table. If the ship date does not exist or is in a closed period, AutoInvoice uses the sales order date. If the sales order date does not exist or is in a closed period, AutoInvoice uses the value of the Default Date parameter for this AutoInvoice submission.
AutoInvoice
Determining GL Dates for Invoices With Rules
If the invoice uses Bill in Advance as the invoicing rule, AutoInvoice uses the earliest accounting rule start date as the invoice GL date. If the invoice uses Bill in Arrears as the invoicing rule, the invoice line has an accounting rule of type 'Accounting, Fixed Duration,' and a period of 'Specific Date,' AutoInvoice computes an ending date using the latest accounting rule date. For all other accounting rules, AutoInvoice computes an ending date for each invoice line based on the accounting rule, accounting rule start date, and duration. Once AutoInvoice computes the ending date for each line of the transaction, it takes the latest date and uses it as the invoice GL date.
AutoInvoice
Determining Rule Start Date for Invoices with Rules
If the invoice does not use an accounting rule with a type of 'Accounting, Fixed Duration' and a period of 'Specific Date,' or if the rule start date is not Derived, Receivables uses the date specified in the Run AutoInvoice window. If the invoice has an accounting rule with a type of 'Accounting, Fixed Duration' and a period of 'Specific Date,' AutoInvoice uses the earliest accounting rule date as the rule start date. If the rule start date is Derived, AutoInvoice first uses the ship date in the interface table. If the ship date does not exist, AutoInvoice uses the sales order date. If the sales order date does not exist, AutoInvoice uses the date entered in the Run AutoInvoice window.
AutoInvoice
Determining Credit Memo Dates
If a transaction date is passed for the credit memo, AutoInvoice uses the following hierarchy to determine the credit memo date: The credit memo general ledger date. The general ledger date for the invoice's receivable distribution, or the Default Date in the Run AutoInvoice window, whichever is later. If a general ledger date is not passed, AutoInvoice uses the general ledger date for the invoice's receivable distribution or the Default Date in the Run AutoInvoice window, whichever is later.
Determining the Transaction Dates

If a transaction date is not passed for the invoice or debit memo, AutoInvoice uses the general ledger date.
AutoInvoice
Transaction Flexfields

Transaction flexfields are descriptive flexfields that AutoInvoice uses to uniquely identify transaction lines. Because they are unique for each transaction line, they can also be used to reference and link to other lines. Receivables lets you determine how you want to build your transaction flexfield structure and what information you want to capture. Define a flexfield for each import source. Specify which one to use during import.
Types of Transaction Flexfields

Invoice Header (optional): Specifies invoice header information Line (required): Uniquely identifies invoice lines Link-To (optional): Link tax and freight to invoice lines Reference (optional): Links credit memos to transactions
AutoInvoice
Importing Transactions Using AutoInvoice
Run the AutoInvoice Import or Master program to transfer transactions from other systems into Receivables. Submit the AutoInvoice Import, Master, and Purge programs from the Submit Request window. However, the AutoInvoice Master and Purge programs can be submitted only from the Run AutoInvoice window. The Master program allows running several instances of AutoInvoice to improve system performance and import transactions more quickly. Run the AutoInvoice Purge program to delete the interface lines that were processed and successfully transferred into Receivables by the AutoInvoice Import program. If the Purge Interface Tables option in the System Options window is set to Yes this program doesnt have to be run; in this case, Receivables deletes the interface lines automatically after AutoInvoice is run.
AutoInvoice
Running Autoinvoice
AutoInvoice
AutoInvoice Exception Handling

Records that pass validation are transferred into Receivables transaction tables Records that fail validation are called exceptions; these records remain in the AutoInvoice interface tables Once the errors have been corrected , resubmit AutoInvoice Valid lines can not be changed in the AutoInvoice Exception Handling windows, only those lines with errors
AutoInvoice Exception Handling Windows

The Interface Exceptions window displays exception messages associated with all invalid records. The Interface Lines window displays all records in the interface tables that failed validation, provides an error message, and can be used to correct invalid records. The Line Errors window displays all errors associated with a specific line and can only be opened from the Interface Lines window.
AutoInvoice
Interface Exceptions Window
The Interface Exceptions window displays the interface ID, exception type, error message, and the invalid value associated with each error. Data in this window cannot be edited only viewed; Correct the error by clicking the Details button. The error message and column name with erroneous data is displayed in the Message column, and the value that needs to be corrected is displayed in the Invalid Value column.
(N) Control AutoInvoice Interface Exceptions
AutoInvoice
Interface Lines Window

Click the Details button to open what is applicable to the error. If the error type is freight, the Interface Freight Lines window opens. If the error type is tax, the Interface Tax Lines window opens. Correct the error using this window.
(N) Control AutoInvoice Interface Lines
AutoInvoice
Interface Line Errors
View all errors associated with a single line by clicking the Errors button in the Interface Lines window. This window displays the interface ID, the error type, error message, and the invalid value. Use this window to access the Interface Lines window directly which does not display the error messages. The type indicates which button to click in the Interface Lines window.
(N) Control AutoInvoice Interface Lines Errors
AutoInvoice
AutoInvoice Interface Tables
Oracle Receivables uses three interface tables for AutoInvoice:
RA_INTERFACE_LINES RA_INTERFACE_DISTRIBUTIONS RA_INTERFACE_SALESCREDITS
AutoInvoice
RA_INTERFACE_LINES Table
This table contains information relating to all transactions to be processed by
AutoInvoice. Transactions include invoices, debit memos, credit memos, and onaccount credits.
Each record contains line, tax, freight, or finance charges information. The Line_Type field identifies the type of information contained in the record. A record can be a parent record: Line, Header Freight, or Charges; or a child record:
Tax or line-level Freight.
A child record is linked to the parent record using the Link-To Transaction flexfield.
AutoInvoice
RA_INTERFACE_DISTRIBUTIONS Table

This table contains accounting distributions to be used by the transactions defined in RA_INTERFACE_LINES. Accounts defined in this table override any accounts created using AutoAccounting. Choose to pass some or all account information to AutoInvoice. Any accounts that are not passed will be derived using AutoAccounting. Records in this table are linked to records in the RA_INTERFACE_LINES table using the Transaction flexfield. Not required if AutoAccounting determines GL distributions.
AutoInvoice
RA_INTERFACE_SALESCREDITS Table

This table contains all sales credit information for the transactions in the RA_INTERFACE_LINES table. The two tables are linked using the Transaction flexfield. Not required if not tracking sales credit.
Processing Commitments
Overview of Commitments
Business Need A customer commits to prepay for goods or services to be purchased in the future. A customer commits to purchase goods or services in the future and will be billed upon receipt. A customer wants to create commitments for specific items. A commitment can be made active only for a specific period of time. Solution
Create a deposit.
Create a guarantee
Select a predefined inventory item.
Assign start and end date ranges.
Commitment Types
Type
Deposit
Description
To record a contractual agreement to prepay a certain amount
Comment
A deposit is often applied to the purchase of a specific item or service to be provided. If the invoice is more than the deposit, the customer is billed for the deposit and the invoice. A guarantee is a promise to conduct a certain amount of business, usually over a period of time. The customer is notified of the guarantee and billed on the invoice.
Guarantee
To record a contractual agreement to spend a certain amount of money
Remaining Balances
When a customer invoices or credits against their commitments, Receivables automatically adjusts the commitment balance and generates reversing entries. After invoices are applied to a commitment, the amount that remains is the commitment balance.
Type Deposit
Description Deposit balances refer to the amount due remaining on the deposit. Receipts and credits reduce the deposit balance. Commitment balances refer to the contractual amount that has not yet been invoiced. Invoices against commitments reduce the commitment balance. Invoice balances refer to the amount due remaining on the invoice. Deposits, receipts, and credits reduce the invoice balance.
Commitment
Invoice
Creating Customer Commitments
Agreement specifying guarantee Invoices for products or services
Customer
Invoice for deposit
Agreement requiring deposit
Invoice or credit memo for difference
Completing the Deposit Process
1
Customer agrees to pay deposit
2
Invoice issued for deposit
3
Customer pays deposit
4
Invoice issued for products or services
Deposit is matched to invoice for product
Completing the Guarantee Process
1
Customer agrees to spend specific amount
2
Guarantee issued to customer
3
Invoice issued for purchases
4
Guarantee is matched to purchase
5
Customer pays invoice for purchases
Accounting for Commitments Deposits
The accounting reversal is made by creating a receivables adjustment in Accounts Receivable to the invoice for the total of the invoice lines. This adjustment has the effect of reducing the invoice's payment schedule by the amount of the invoiced items (tax and freight amounts are not deducted from the deposit balance) and creating the reversing accounting entries. If however, the amount of the invoice exceeds the remaining commitment balance, Receivables only creates a receivables adjustment for the remaining commitment balance.
Accounting Entries for Deposits
When the deposit is initially entered, the following accounting entry is created: Dr. Receivables (Deposit) 100 Cr. Unearned revenue 100
Payment of 100 received for deposit Customer agrees to pay deposit of 100
This accounting entry is created: Dr. Cash 100 Dr. Receivables (Deposit) 100 Net effect is: Dr. Cash Cr. Unearned Revenue Cr. Revenue 100 60 40
These accounting entries are created: Dr. Receivables (Invoice) 40 Cr. Revenue 40 Dr. Unearned Revenue 40 Cr. Receivables (Invoice) 40 Net effect is: Dr. Receivables (Deposit) Cr. Unearned Revenue Cr. Revenue 100 60 40
Invoice of 40 applied to deposit of 100
Accounting for Commitments Guarantees
The accounting reversal is made by creating a receivables adjustment in Accounts Receivable to the guarantee for the total of the invoice lines. This adjustment has the effect of reducing the guarantee's payment schedule by the amount of the invoiced items (tax and freight are not deducted from the commitment balance) and creating the reversing accounting entries. If however, the amount of the invoice exceeds the remaining commitment balance, Receivables only creates a receivables adjustment for the remaining commitment balance.
Accounting Entries for Guarantees
When the guarantee is initially entered, the following accounting entry is created: Dr. Unbilled Receivables 100 Cr. Unearned Revenue 100
Payment of 40 received for invoice Customer commits to guarantee
These accounting entries are created: Dr. Cash 40 Cr. Receivables (Invoice) 40 Net effect is: Dr. Cash Cr. Revenue Dr. Unbilled Receivables Cr. Unearned Revenue 40 40 60 60
These accounting entries are created: Dr. Receivables (Invoice) 40 Cr. Revenue 40 Dr. Unearned Revenue 40 Cr. Unbilled Receivables 40 Net effect is: Dr. Unbilled Receivables Cr. Unearned Revenue Dr. Receivables (Invoice) Cr. Revenue 60 60 40 40
Invoice of 40 applied to guarantee
Entering Committments
Enter the transaction header information and the Main tab, including the customer information and payment terms. Select Deposit or Guarantee as the Transaction Class
Open the Commitment Tab
Select a transaction type. Any transaction type of Class Deposit or Guarantee can be selected
Enter a range of Effective Dates for this commitment. If you do not assign an end date, Receivables lets you enter invoices and credit memos against this commitment indefinitely until the amount due becomes zero. If you enter an end date, Receivables verifies that all existing invoices against this commitment are included in this date range.
Enter the Amount of this commitment.
Enter either an Item or a Memo Line for this commitment, or select from the list of values.
Enter a brief Description for this commitment.
(N) Transaction Transactions
Invoicing Against Commitments
Enter invoices against deposits and guarantees by using the Transaction window or by importing invoices using AutoInvoice. Enter an invoice against an existing or related customer deposit or guarantee by navigating to the Commitment field in the Transactions window. Enter the commitment number that to reference and Receivables automatically creates the adjusting accounting entries. Review commitment activity for customers using the Commitment Balance Report.
Overdrawing Commitments
Enter orders or invoices for more than the customer's remaining commitment balance. Receivables automatically creates a receivables adjustment in Receivables for the commitment balance bringing down the commitment balance to 0 and leaving the amount due on the invoice to the remaining amount.
Calculating Commitment Balance
The customer's commitment balance is available in several places within Receivables and is also available Oracle Order Management is used. See the balance for a particular commitment when entering an order (if using Order Entry), a manual invoice, or a credit memo against a commitment, or by running the Commitment Balance Report. All transactions that reference a commitment or reference an invoice that references a commitment affect the balance of that commitment.
Customer Adjustments
Invoice Correction Methods
Overinvoicing occurs when an invoice is generated for an amount greater than the amount actually due. The difference between the amounts can be credited or refunded to the customer, or the invoice can be updated. Underinvoicing occurs when an invoice is generated for an amount less than the amount actually due. The difference between the amounts debited against the customer, or the invoice can be updated.
Invoices
Underinvoicing
Update invoice Debit memo Adjustment
Overinvoicing
Update invoice Credit memo On-account credit Adjustment Refund
Respond to invalid transactions

Void Delete
Overview of Corrections
Correction Type Update Invoice Debit memo Adjustment Credit memo Effect on Invoice Changes original None; new item Activity New item applied to original None; account only Approval Limits None None User None Accounting Source Original Transaction AutoAccounting Receivables Activity Original Transaction or AutoAccounting (profile option) AutoAccounting
On-account credit
None
Overview of Corrections
Correction Type Update Tax Automatic Usage Restriction Activity Entry Query in Transaction window Transaction window Transaction summary Transaction summary Transaction window
Debit memo Adjustment Credit memo On-account
Automatic Manual or write-off Automatic Automatic
None Approval limits None None
Underinvoicing Correction Options
Option
Update invoice
Description
Update the line, tax, and freight amounts on the original invoice before it is posted. Adjust line, tax, and freight amounts on the original invoice. Create Debit memo from the transaction screen or import through AutoInvoice. Debit Memos are like Invoices
Adjust invoice manually
Enter Debit memo
Overinvoicing Correction Options
Option
Update invoice
Description
Update the line, tax, and freight amounts on the original invoice before it is posted. Adjust line, tax, and freight amounts on the original invoice. Credit a specific invoice. Credit the customers account. This credit does not initially apply to a specific invoice. Enter a requested credit amount or percentage for lines, tax or freight or total. Credit memo request is routed through the approval process
Adjust invoice manually Enter credit memo Enter on-account credit
iReceivables disputes an invoice
Applying Different Types of Credits
Respond to overinvoicing with credit memos and on-account credits. Credit memos affect specific invoices; on-account credits affect customer balances.
Applied credit memo

Credit memo Invoice
On-account credit
Credit memo Customer account
On-Account Credits

On-account credits are credits assigned to customer's account that are not related to a specific invoice. Specify the debit item to credit in the Transactions window or create an on-account credit by not specifying one. On-account credits can be applied and reapplied to invoices, debit items, and chargebacks. Amounts can also be placed on-account when manually applying receipts in the Applications window
Creating On-Account Credits
If Automatic Sequence Numbering is not used, enter a unique Number for this credit, else Receivables assigns a number when the transaction is saved. Enter the Date and Currency for this credit Enter the GL Date for this credit. The GL Date must be in an open or future period.
Enter the batch Source for this credit.
Choose a transaction Class of Credit Memo.
Enter a transaction Type. Choose any transaction type with a class of Credit Memo.
Enter the Bill-To Name and Location of the customer account to credit.
Choose Line Items and enter the description or select a Standard memo Line from the List of Values
Enter the Amount of this on-account credit as a negative number.
(N) Transactions Transactions
Creating On-Account Credits Receipts Workbench
The default amount is the unapplied amount of the receipt, but this can be changed.
Enter the Receipt Header information as a normal Receipt
To place any remaining amount on account, enter 'On Account' in the Transaction Number field. The default amount is the unapplied amount of the receipt.
(N) Receipts Receipts Applications
Crediting Transactions

Use the Credit Transactions window to enter, update, and review credit memos against specific invoices, debit memos, or commitments. Create credit memos to reduce the balance due for a transaction. When a transaction is credited, Receivables creates the appropriate accounting entries and reverses any sales credit assigned to sales agents. Receivables allows crediting an entire invoice or specific invoice lines. Also credit freight for an entire invoice or only for specific invoice lines. Deletion of an incomplete credit memo is possible if the system option Allow Invoice Deletion is set to Yes. A transaction must be complete before a credit memo can be created against it against it.
Enter the number of the transaction to credit in the Find Transactions window. Or If the transaction number is not known, enter selection criteria such as Class, Transaction Date, and Currency to limit the search.
(N) Transactions Credit Transactions
Enter the batch Source for this credit memo. The default is the batch source of the transaction being credited Enter the Date of this credit memo. Receivables prints this date on the credit memo. Enter a transaction Type for this credit memo. The batch source provides the default type. choose any transaction type with a class of Credit Memo. If the transaction being credited uses invoicing and accounting rules, choose one of the following Rules Methods:
Enter a credit memo Number If the batch source does not use Automatic Transaction Numbering,
Last In First Out (LIFO): Choose this option to back out revenue starting with the last general ledger period and reverse all prior periods until it has used up the credit memo. Prorate: Choose this option to credit an equal percentage to all account assignments for this invoice. Unit: Choose this option to reverse the revenue for the number of units you specify from an original line of the invoice.
To credit only part of the balance due for this transaction, enter the percentage or Amount of Line, Tax, or Freight charges to credit. To credit a specific portion of the charges, enter a negative number in the Amount field If you enter a percentage, Receivables calculates the amount, and vice versa.
If the transaction being credited has multiple installments, choose one of the following Split Term Methods:
First in First Out (FIFO): This method credits the first installment first. Last In First Out (LIFO): This method credits the last installment first. Prorate: This method credits the installments of the credited transaction and prorates them based on the amount remaining for each installment.
To credit the entire balance due for this transaction, choose Credit Balance.
(N) Transactions Credit Transactions
Credit Lines
Enter either the Quantity and Unit Price or the Amount to credit for this line. If the quantity and unit price are entered, Receivables calculates the amount. A credit memo line can be overapplied if the transaction type of the transaction being credited has Allow Overapplication set to Yes. If a transaction has several line items, partially or fully credit the amount due for each line or only a single line item.
A positive amount can be entered if the Creation Sign of this credit memo's transaction type is Positive Sign. A negative amount can be entered if the Creation Sign of this credit memo's transaction type is either Negative or Any Sign
(N) Transactions Credit Transactions Credit Lines
Applying Credits
Consider the following issues when applying credit memos and on-account credits: Business Need
A credit balance exists on a specific invoice and must be applied to another invoice.
Solution
Apply the remaining credit to another invoice in the Applications window, accessed from the Receipts window.
An on-account credit entered last Apply the on-account credit to a month must be applied to a specific invoice in the specific invoice. Applications window, accessed from the Transactions Summary window. An on-account credit is applied Remove the on-account credit, to the wrong invoice and must be and then apply it to the correct reapplied to the correct invoice. invoice in the Applications window, accessed from the Transactions Summary window.
Applying a Receipt with an On-Account Credit
Query or enter the Query or enter the receipt to apply and receipt to apply and Choose Choose Applications Applications
Apply a receipt with an existing on-account credit Also apply receipts and on-account credits to
transactions in different currencies
Select the onSelect the onaccount credit and account credit and the open the open transaction(s) from transaction(s) from the list of values the list of values
to close one or more customer's open debit items.
Applying On-Account Credits
3. Select the transaction to which to apply this on-account credit from the list of values. Receivables enters the Amount Applied and updates the Unapplied Amount of the onaccount credit and the Balance Due for this transaction. The default Amount Applied is the balance due for this transaction, unless the balance due is greater than the amount of this on-account credit. In this case, the default Amount Applied is the unapplied amount of the on-account credit.
2. 2.
Choose Choose Application Application s s
1. 1.
Query the Query the on-account on-account credit to credit to apply. apply.
(N) Transactions Transactions Summary Applications
Reversing Sales Credits

When crediting any part of the invoice, Oracle Receivables automatically reverses sales credits assigned to the appropriate salespeople. Partial credits against sales credits default proportionately, but can be updated as long as the sum of sales credits for the line equals the original line credit amount. The AR: Allow Update of Existing Sales Credits profile option determines whether a user can update existing sales credits or if additional sales credit records need to be created to maintain an audit trail.
Processing Refunds
Create a refund when the customer has already
paid an invoice and requests money back instead of a credit.
Creating Refunds
Create a credit memo Create a debit memo Set up customer as a
supplier
Oracle Receivables does not create checks and

therefore does not complete the refund process.
If Oracle Payables has been installed, you can

use the features of the two systems to process refunds.
Use the debit memo to

enter an invoice in Oracle Payables send to customer
Use a clearing account to offset the receivables

account in AR and the payables account in AP.
Create a payment and
Accounting Entries for Refunds
Enter a credit memo in Oracle Receivables to reduce revenue and create an amount due to the customer. Dr. Revenue Cr. Receivables 200 200
Enter a debit memo in Oracle Receivables to transfer the amount owed to the customer to a clearing account. Dr. Receivables Cr. Clearing 200 200
Enter an invoice in Oracle Payables to clear the clearing account and create an accounts payable for the customer. Dr. Clearing Cr. Payables Dr. Payables Cr. Cash 200 200 200 200
Issue a check in Oracle Payables to send the refund to the customer.
Voiding Transactions
Void invoices, credit memos, and on-account credits in response to invalid transactions. Respond to invalid transactions according to business needs. Business Need
Track invoices that are incorrectly entered to determine whether this is a data entry problem or if customers are providing incorrect information. Delete transactions that are incorrectly entered.
Solution
Update the invoice status to Incomplete, or clear the Open Receivable and Post To GL check boxes in the Transaction Types window. Delete incomplete transactions from the Transactions Summary window if the Allow Invoice Deletion check box in the System Options window is selected.
Voiding Invalid Transactions
If there is no activity against a transaction, and if it has not been posted to the GL, you can void the transaction.
Changing Complete Status Clear the Complete check box of the transaction. Updating Transaction Type Set up a transaction type with the Open Receivables and Post to GL check boxes cleared. Assign this transaction type to the transaction you want to void and complete the transaction.
Deleting Incomplete Transactions If the system option Allow Invoice Deletion check box is selected, you can delete incomplete transactions from Oracle Receivables. Select Delete Record from the Edit menu to delete invoices from the Transactions Summary. Save the record once you have deleted the transaction
Adjusting Invoices
Business Need Solution
Some invoices exist that have Manual adjustment for each incorrect amounts. invoice. Close all invoices that have a remaining balance of $50 or less. A customer was overcharged for freight by $100. Write off a line item and its tax. Automatic adjustment for $50. Manual freight adjustment for $100. Create one adjustment line using a receivables activity that includes the tax.
Adjustments Overview

Make either positive or negative adjustments to invoices, debit memos, chargebacks, on-account credits, deposits, and guarantees. Approve adjustments that are within approval limits and give pending statuses to adjustments that are outside approval limits. Automatically write off debit items that meet selection criteria. The accounting of the adjustment is determined by the receivables activity selected Tax can be included in a line or entered as a separate line Adjustments can be created manually or automatically
Creating Adjustments
Adjustment entry
Approval limit $500
Validation process
Approved or Pending
Adjustment Status
An adjustment has a status that indicates whether it is complete. Receivables provides the following adjustment statuses: Approved: This adjustment has been approved. Receivables updates the debit or credit item amount and status to reflect the adjustment. Research Required: This adjustment is on hold because the debit or credit item is either being researched or additional information id requested about the adjustment. Rejected: The adjustment is rejected. Adjustments with this status do not update the balance of the credit or debit item. Pending Approval: The adjustment amount is outside the approval limits of the user who entered the adjustment. Adjustments with this status can only be approved by a user with the appropriate user approval limits. Additional adjustment statuses can be defined by updating the Receivables lookup 'Approval Type'.
Adjustment Activities

Use receivables activities to default accounting information for adjustment transactions. Define as many receivables activities of the type adjustment as needed. Define adjustment activities in the Receivables Activities window To calculate tax on the adjustment, define the GL accounts in the Tax Accounting window which is accessed from the Tax Code window. Recoverable or nonrecoverable accounts can be set up.
Adjustment Activities: Adjustment Activities: Define as many Define as many receivables activities of receivables activities of the type adjustment as the type adjustment as needed. needed.
GL Activity Source Options

Activity GL Account: Allocate the expense or revenue to the general ledger account specified for this Receivables Activity. Distribution Set: Allocate the expense or revenue to the distribution set that you specify for this Receivables Activity. A distribution set is a predefined group of general ledger accounting codes that determine the accounts for miscellaneous receipts and payments. This option can only be selected if the activity type is Miscellaneous Cash. Revenue on Invoice: Allocate the expense or revenue net of any tax to the revenue account(s) specified on the invoice. If Tax Code Source is set to None, allocate the gross amount to these accounts. This option cannot be selected if the activity type is Miscellaneous Cash.
Tax Code Source Options

Activity: Allocate the tax amount to the Asset or Liability tax accounts specified by the Receivables Activity. Invoice: Distribute the tax amount to the tax accounts specified by the tax code on the invoice. This option cannot be selected if the activity Type is Miscellaneous Cash or Finance Charges. None: Allocates the entire tax amount according to the GL Account Source specified. Choose this option if tax doesnt have to be separately accounted for .
Adjustment Types
Create an adjustment at the invoice header level or adjust only specific elements of an invoice, debit memo, credit memo, or chargeback. Adjustment Type Invoice Line Tax Charges Freight To adjust the entire invoice. Can be a negative amount only. To adjust lines. Can be positive or negative. Can include tax. To increase or decrease tax amount. Can be used to create finance charges or decrease a finance charge. To increase or decrease freight amount. Usage
Validation
When an adjustment is created, Receivables verifies that it is within adjustment approval limits before approving the adjustment. If an adjustment is entered that is within the users assigned approval limit for the currency of that item, Receivables updates the customer's balance to reflect the adjustment. If an adjustment that is outside approval limits is entered, Receivables creates a pending adjustment with a status of Pending Approval. If the transaction type does not allow over-application, an amount that would reverse the sign of the balance of the debit item cannot be entered. If type of adjustment specified is Invoice Adjustments, Receivables requires that the adjustment amount be the exact amount to close the item being adjusted, and enters this amount in the Amount field
Approval Limits
Use the Approval Limits window to define approval limits for adjustments created in Receivables and requests for credit memos initiated from iReceivables. Receivables uses approval limits that have a document type of Adjustment when an adjustment is created in the Adjustments, Submit AutoAdjustments, and Approve Adjustments windows. When an adjustment that is outside the approval limit range is entered, Receivables assigns the adjustment a status of Pending until someone with the appropriate approval limits either approves or rejects it. The Credit Memo Request Approval Workflow uses approval limits that have a document type of Credit Memo when forwarding credit memo requests from iReceivables. The workflow sends a notification to an approver if the request is within the approval limit range for the currency and reason code specified. Define Adjustment approval limits by currency and dollar amount. Credit Memo approval limits are defined by reason type, currency, and dollar amount. Both lower and upper approval limits must be specified for each approver.
Creating Manual Adjustments
Choose the Type of adjustment. If the type specified is 'Invoice' the amount of adjustment should be at least enough to close the item being adjusted. If the adjustment type is Line the balance due for the transaction by the amount that is updated
Enter an Activity Name. The activity name provides the default GL account
Enter the Adjustment Date. The default is the current date.
Enter the Amount of this adjustment. Defaults if the adjustment type specified is invoice
Enter the GL Date for this adjustment. The default is the later of either the transaction GL date or the current date.
(N) Transactions Transaction SummaryAdjustment
Adjusting Transactions Automatically

Automatic adjustments eliminate remaining balances for invoices, taxes, freight, invoice line items, or finance charges. You can restrict the remaining currency or percentage amounts that can be reduced to zero, based on the users adjustment approval limits. Approval limits for automatic adjustments work in the same way as manual adjustments.
Creating Automatic Adjustments

The Activity field in the Parameters region determines which GL account is debited to eliminate remaining balances. The Type field determines what type of transactions are affected. Because of the impact of this feature, you should limit its availability to users when setting up Oracle Receivables. If Remaining Amount or % Remaining field is left blank, the amount is unlimited.
Creating AutoAdjustments
Enter the Invoice Currency of transactions to adjust. The default is the functional currency Specify the transactions to adjust by entering selection criteria. Leave blank to not limit adjustments to transactions matching specific criteria.
Enter an adjustment Activity, or select from the list of values.
This option prints the AutoAdjustment Preview Report to see the effects of adjustments without actually updating the items. Use this option to analyze the adjustments that would be created and decide if modifications to selection criteria is reqd. before actually performing the adjustment.
Enter the Type of adjustments to create.
Check to adjust the items of related customers. This option creates the approved and pending adjustments, closes the appropriate items, and prints the AutoAdjustment Audit Report.
Enter the GL date. The default is the current date
Enter a Reason for creating this adjustment, or select from the list of values
(N) Control Adjustments Create AutoAdjustments
Approving Adjustments

A pending adjustment must be approved before it affects the remaining balance of a transaction. Adjustment approvals are controlled by creating individual approval limits. Use the Adjustments or the Approve Adjustments window to review and approve pending adjustments. Use the Adjustment Approval Report to see transaction adjustments with information about their status, creator, reasons, GL date and amount. Adjustments include manual adjustments, AutoAdjustments, invoices applied to commitments, and credit memos applied to invoices that are against commitments. Use the Adjustment Register report to review approved adjustments by document number. This report groups and displays transactions by currency, postable status, document sequence name, and balancing segment.
To limit your display to only certain adjustments, enter selection criteria. For example, enter a Creator, Adjustment Number, Currency, range of Amounts, or adjustment Status. Open the More tabbed region to enter selection criteria for a specific transaction, customer, or adjustment. Leave a field blank if you do not want to limit your query to adjustments matching that criteria.
Control how Receivables displays your adjustments by choosing the Order By Amount or Status option.
(N) Control Adjustments Approve Adjustments Find
To approve an adjustment, enter a Status of Approved.
(N) Control Adjustments Approve Adjustments
Receipts
Receipts
Receipts Workbench Windows
Use the Receipts Workbench to create receipt batches and enter, apply, reverse, reapply, and delete individual receipts. Enter receipts manually, import them using AutoLockbox, or create them automatically. Use this workbench to clear or risk eliminate factored receipts, remit automatic receipts, create chargebacks and adjustments, and submit Post QuickCash to automatically update customer's account balance The following windows in the Receipts Workbench are Folder windows which can be customized. Applications Lockbox Transmission Data QuickCash Receipt Batches Summary Receipts Summary Remittances Summary
Receipts
Receipt Workbench
Use the Receipts Workbench to create receipt batches and enter, apply, reverse, reapply, and delete individual receipts. Enter receipts manually, import them using AutoLockbox, or create them automatically. Use the Receipt workbench to clear or risk eliminate factored receipts, remit automatic receipts, create chargebacks and adjustments, and submit Post QuickCash to automatically update customer's account balance.
Receipt Types
There are two types of receipts
Cash receipts: Payment (such as cash or a check) that you receive from your customers for goods or services. Miscellaneous transactions: Revenue earned from investments, interest, refunds, and stock sales.
Receipts
Receipt Entry Methods
Receipts can be entered in one of three ways:
Manual Manual receipts receipts

Cash Cash Miscellaneous Miscellaneous
QuickCash QuickCash receipts receipts

Cash Cash AutoLockbox AutoLockbox
Automatic Automatic receipts receipts

Credit card receipts Credit card receipts Bills of exchange Bills of exchange
Direct debits Direct debits
Receipts
Receipt Statuses

Approved: This receipt has been approved for automatic receipt creation. This status is only valid for automatic receipts. Confirmed: For manually entered receipts, this status indicates the receipt belongs to a receipt class that requires remittance. For automatic receipts, this status indicates the receipt has been confirmed. Remitted: This receipt has been remitted. This status is valid for both automatic and manually entered receipts. Cleared: The payment of this receipt was transferred to your bank account and the bank statement has been reconciled within Receivables. This status is valid for both automatic and manually entered receipts. Reversed: This receipt has been reversed. You can reverse a receipt when your customer stops payment on a receipt, if a receipt comes from an account with non-sufficient funds or if you want to re-enter and reapply it in Receivables. You can reverse cash receipts and miscellaneous transactions.
Receipts
Receipt Batch Statuses
Status
New
Description
Creating a new batch. The status of the new batch changes to Out of Balance, Open, or Closed when receipts are committed for the first time. Actual count and amount of receipts do not match the control count and amount. Actual count and amount match the control count and amount, but the batch includes unapplied or unidentified receipts. Actual count and amount match the control count and amount. All receipts have been identified and applied to invoices or applied on account.
Out of Balance Open
Closed
Receipts
Relationship of Receipt Class, Payment Method, and Bank Account
Receipt class Receipt class
Payment method Payment method
Payment method Payment method
Bank account Bank account

GL account GL account
Bank account Bank account

GL account GL account
Receipts
Application Rule Sets
Application Rule Sets determine the steps Receivables uses to apply partial payments Application Rule Sets specify how Receivables reduces the balance of the open debit
items when : to customer's open debit items and how discounts affect the open balance for each type of associated charges.
A receipt is applied to an invoice or debit memo Post QuickCash is run
Assign a rule set to each of transaction types and enter a default rule set in the System
Options window.
Receivables uses the following hierarchy to determine which application rule set to use,
stopping when one is found:
Transaction Type System Options
Receipts
Receivables provides the following predefined Application Rule Sets. Line First - Tax After - This rule set first applies the payment to the open line amount, and then applies the remaining amount to the associated tax. If the payment is greater than the sum of the line and tax, Receivables attempts to close each open item by applying the remaining amount in the following order, stopping when the payment has been fully applied:
Freight Finance charges
Any remaining receipt amount is applied using the Overapplication Rule. This is the default application rule set in the System Options window Line First - Tax Prorate - This rule set applies a proportionate amount of the payment to the open line and tax amount for each line. If the payment is greater than the sum of the open line and tax amounts, Receivables attempts to close each open item by applying the remaining amount in the following order, stopping when the payment has been fully applied:
Freight Finance charges
Any remaining receipt amount is applied using the Overapplication Rule
Receipts
Prorate All This rule set applies a proportionate amount of the payment to each open amount associated with a debit item (for example, any line, tax, freight, and finance charge amounts for this item). Receivables uses the following formula to determine the applied amount: Applied Amount = open application line type amount / sum of application line types in rule details * Receipt Amount Any remaining receipt amount is applied using the Overapplication Rule Overapplication Rule This rule applies any remaining receipt amount after the balance due for all charges has been reduced to zero.
If the transaction type for the debit item has the Allow Overapplication check box set to Yes, Receivables applies the remaining amount to the lines, making the balance due negative. If the item's transaction type has Allow Overapplication set to No, you can either place the remaining amount on-account or leave it 'Unapplied'.
Receipts
Manual Receipts

Manual receipts can be cash or miscellaneous receipts. Manual receipts can be entered individually or in a batch. The customer balance is updated when the receipt is saved.
Cash receipts Enter & apply Enter & apply
Miscellaneous receipts Enter Enter Remit Remit Reconcile Reconcile Reverse Reverse
Adjustment Adjustment
Chargeback Chargeback
Remit Remit Reconcile Reconcile Reverse Reverse Reapply Reapply
Receipts
Receipt Batches
Use the Receipt Batches window to create receipt batches or to query existing batches. Batching receipts lets you:
View the difference between your control and actual batch counts and amounts as you process your receipts. These differences can alert you to data entry errors, missing or lost receipts, or duplicate entries. Group related receipts together to share default attributes such as receipt class, payment method, and automatic numbering. Manage the time-consuming task of data entry. For example, you have many receipts to enter and want to divide the work among several people. You can create one batch and have each person entering receipts add them to the same batch.
You can add duplicate receipts to a batch. Duplicate receipts are receipts that have the same number, amount, and customer information. You can post a receipt batch to your general ledger regardless of its status. You can delete a receipt batch only if it does not contain any receipts.
Receipts
Receipt Batches Manual Regular
The receipt class determines the processing steps for this receipt. Choose a Batch Type of Manual Regular. Enter a Batch Source. If the profile option AR: Receipt Batch Source is defined, Receivables uses this as the default batch source. The batch source determines default attributes for receipts within this batch, including payment method, receipt class, and whether receipt numbers are assigned automatically.
Enter the Batch, GL, and Deposit Dates for this batch
Receivables uses the payment method to determine the accounting and remittance bank accounts for this receipt.
Enter the total number and amount of receipts that you want to add to this batch in the Control Count and Control Amount fields.
Enter a unique Batch Name. If Automatic Batch Numbering for the batch source you entered is Yes, Receivables assigns a batch name when you save.
(N) Receipts Receipt Batches
To add receipts to this batch, choose Receipts.
Receipts
Receipts
Enter the receipt information, including Receipt Number, Currency, Receipt Amount, GL Date, and Receipt Date. enter transactions in any currency defined in the system if you have at least one remittance bank account with a Receipts Multi-Currency flag set to Yes. If no such bank account exists, you are limited to entering only those currencies in which bank accounts exist. Choose a Receipt Type of 'Cash.'
Enter a Payment Method. Receivables uses the payment method to determine the accounting and remittance bank accounts for this receipt. Enter customer information for this receipt, including Customer Name or Number and Bill-To Location. Receivables enters this customer's primary Bill-To Location, if one exists If the system option Require Billing Location for Receipts is set to Yes, a Bill-To Location must be entered.
Enter Customer Bank Information if any. IF the Bank accounts are defined during customer creation, the same default.
Choose Applications to apply receipts manually or to leave On-Account
(N) Receipts Receipts
Choose Mass Apply to apply receipts to multiple Transactions
Receipts
Receipts Mass Applications
Specify the transactions to which to apply this receipt by entering Transaction selection criteria To automatically mark the transactions matching the selection criteria for application, choose Apply. Receivables selects each transaction for application in the order queried until the full amount of the receipt is applied. Marked transactions will be paid in full with any discounts automatically taken.
Specify how to order selected transactions by entering Sort Criteria.
Specify which types of transactions to include in the query by checking or unchecking the appropriate check boxes.
To view the transactions matching the selection criteria without marking them for application, choose Preview. Then choose the transactions to which to apply this receipt
Enter an Apply Date (optional). If the receipt date is later than the current date, the default is the receipt date; otherwise the default is the current date. Receivables uses this date as the application date for all transactions included in this application.
(N) Receipts Receipts Mass Apply
Receipts
Criteria for Mass Applying Receipts
Sort Criterion
Balance Due
Business Need
Apply receipts to transactions based on the balance due. To pay the largest balances first, use descending order. Apply receipts based on due date. To pay the oldest balances first, use ascending order. Apply receipts in FIFO or LIFO order by sorting on invoice date and using ascending or descending order, respectively. Use invoice numbers, if they follow a meaningful pattern. For example, if invoices are numbered sequentially, sort invoices by number to ensure that the oldest invoice is paid first.
Due Date
Invoice Date
Invoice Number
Receipts
Receipts Applications
Select the transaction to which to apply this receipt from the list of values. Receivables enters the Amount Applied for this receipt and updates the Unapplied Amount of the receipt and the Balance Due for this transaction. If the system option Allow Payment of Unrelated Invoices is set to Yes, this receipt can be applied to an unrelated customer's transactions. Receivables marks any portion of this receipt not applied or placed on-account as 'Unapplied'.
To place an amount on account, enter 'On Account' in the Transaction Number field. The default amount is the unapplied amount of the receipt
Receipts
Miscellaneous Receipts
Enter transaction information, including Receipt Number, Currency, Receipt Amount, GL Date, and Payment Method. Enter an Activity, or choose one from the list of values. You can enter any Receivables Activity with a type of 'Miscellaneous Cash.' The Receivables Activity determines the default distribution set and accounting for this transaction. Choose a Receipt Type of 'Misc.'
Specify from where this payment originated in the Paid From field. This field is for informational purposes only.
Enter a Reference Type for this transaction. Select from the following: Payment Payment Batch Receipt Remittance
If a Reference Type is entered, enter the corresponding Reference Number, or choose from the list of values.
(N) Receipts Receipts
Receipts
Quick Cash Receipts
Create a batch of QuickCash receipts to enter and apply receipts quickly. The QuickCash window requires only minimal information for each receipt and application. QuickCash also provides an extra level of control for entering high volume receipts because it does not immediately affect the customer's account balance. When receipts and applications are entered in a QuickCash batch or imported using AutoLockbox, Receivables stores the data in an interim table. Use the QuickCash window to review receipts and ensure that application information is correct. After reviewing a QuickCash batch for accuracy, run Post QuickCash to update the customer account balances. Apply receipts to one or many transactions using QuickCash, use AutoCash rules, place receipts on-account, or enter them as unidentified or unapplied. If the profile option AR: Enable Cross Currency is enabled, receipts can also be applied to transactions in different currencies. On running Post QuickCash, Receivables treats QuickCash receipts like any other receipts wherein they can be reversed, reapplied and any unapplied, unidentified, or on-account amounts can be applied.
Receipts
Quick Cash Receipts

QuickCash receipts must be batched. Receivables does not update the status, applied, on account, unapplied, and unidentified fields for the QuickCash batch until it is saved. Receivables automatically assigns the receipt a status of Unidentified if the customer for a receipt is not identified. Miscellaneous receipts cannot be added to a QuickCash batch.
Receipts
Manual Receipts versus QuickCash Receipts
Manual Receipts
Can apply receipts using the Applications or Mass Apply windows Can post receipts information after applying receipts Can enter GL Date and Deposit Date at batch level and change dates at receipt level Can create adjustments and chargebacks for debit items with applied receipts
QuickCash Receipts
Can only apply receipts using QuickCash or AutoCash Rules window Can only post receipts after running the Post QuickCash program Can enter GL Date and Deposit Date at batch level, but cannot change dates at receipt level Cannot create adjustments or chargebacks until after receipts are posted
Receipts
Applying QuickCash Receipts
Data entry Select invoices for application Run Post QuickCash
Batch receipts
Review
Updates balances
Receipts
Entering QuickCash Receipts

Enter batch-level information which can default to the receipt Enter receipt information such as receipt number, receipt date, currency, customer name or number, and amount for each receipt in the batch Enter the number of the invoice to which to apply the receipt or select one of these application types: AutoCash Rule Multiple On-Account Unapplied Unidentified
Receipts
QuickCash Receipt Applications Types
Auto Cash Rule: Apply receipts to this customer's transactions using AutoCash Rule Set defined for this customer's profile class. If this customer's profile class does not have an AutoCash rule Set assigned to it, Receivables uses the AutoCash Rule Set defined in the System Options window. Single: Apply this receipt to a single installment (Transaction). If this option is selected, the transaction number to which to apply this receipt must be entered. Multiple: Apply this receipt to multiple transactions or to multiple installments. Specify the transactions and installments to which to apply this receipt in the Applications window. On-Account: Apply this receipt to a customer's account, but not to a specific transaction. Unapplied: Mark this amount as Unapplied if this receipt is not applied to any transactions. Unidentified: Mark this amount as Unidentified if this receipt is not associated with a customer.
Receipts
AutoCash Rule Set
AutoCash Rules determine how a QuickCash receipt is applied to open debit items. Receivables uses the customer open balance along with the AutoCash rules to determine how to apply receipts and whether to allow partial payments to be applied to the customers open items. If Receivables is not able to apply or fully apply a receipt, the remaining amount can be left as Unapplied or On-Account. To determine which AutoCash Rule Set to use when applying receipts, the following hierarchy is used, stopping when one is found:
Customer site Customer profile class System Options window
Receivables provides five AutoCash rules that can be used to create AutoCash rule sets. When AutoCash rule sets are defined, the rules to use and the sequence of these rules are specified.
Receipts
AutoCash Rule Set
When Post QuickCash is run to apply customer receipts, Receivables tries to use each AutoCash rule within an AutoCash rule set. If the first rule in the set does not find a match, Receivables uses the next rule in the sequence, and so on until it can apply the receipt. Following are the AutoCash rules that can be used:
Match Payment with Invoice Clear the Account Clear Past Due Invoices Clear Past Due Invoices Grouped by Payment Term Apply to the Oldest Invoice First
Receipts
AutoCash Rules
Match Payment with Invoice When using this rule, Receivables can only apply the receipt to a single invoice, debit memo, or chargeback if the receipt amount matches the amount of the debit item. If more than one debit item has an open amount that matches the receipt amount, Receivables applies the receipt to the item with the earliest due date. If more than one debit item exists with the same amount and due date, Receivables applies to the item with the lowest payment schedule id number, an internal, system-generated number. Clear the Account When using this rule, Receivables can only apply the receipt if the receipt amount matches the customer open balance. Receivables includes all open debit and credit items when calculating the customer open balance. Open credit items include credit memos, onaccount credits, and onaccount and unapplied cash.
Receipts
AutoCash Rules
Clear Past Due Invoices When using this rule, Receivables can only apply a receipt if the receipt amount matches the customer past due account balance. Receivables includes all open past due debit and credit items when calculating the customer past due account balance. A debit item is considered past due if the invoice due date is earlier than or equal to the receipt date of the receipt being applied to this invoice. For unapplied and onaccount cash, Receivables uses the receipt date For credit memos and onaccount credits Receivables uses the credit memo date to determine whether to include these amounts in the customers account balance. Clear Past Due Invoices Grouped by Payment Term When using this rule, Receivables can only apply a receipt if the receipt amount matches the sum of the customer credit memos and past due invoices. This rule is similar to the Clear Past Due Invoices rule, but it first groups past due invoices by their payment term, and then uses the oldest transaction due date within the group as the group due date.
Receipts
AutoCash Rules (Contd)
Apply to the Oldest Invoice First When using this rule, Receivables applies receipts to the customer debit and credit items starting with the item having the oldest due date. Receivables uses the values entered for the open balance calculation to determine the customers oldest outstanding item.
Receipts
Receipt Batches Manual Quick
The receipt class determines the processing steps for this receipt. Choose a Batch Type of Manual Quick.
Enter the Batch, GL, and Deposit Dates for this batch
Enter the total number and amount of receipts that you want to add to this batch in the Control Count and Control Amount fields.
Enter a unique Batch Name. If Automatic Batch Numbering for the batch source you entered is Yes, Receivables assigns a batch name when you save.
To add receipts to this batch, choose Receipts.
Receipts
Receipt Batches Manual Quick
Enter the Receipt Number, Receipt Date, and GL Date. Enter the Net Amount of this receipt If bank charges apply, enter the amount in the Bank Charges field. Receivables calculates the total amount as the sum of the net amount plus the bank charges.
Specify how to apply the receipt by choosing the Application Type. (If the Application Type chosen is Single, enter a transaction number or select one from the list of values.) Enter the Customer Name, Number, and Bill To Location for this receipt. Receivables enters this customer's primary Bill-To location (if one exists). If the system option Require Billing Location for Receipts is set to Yes, enter a BillTo Location.
Enter the Payment Method and bank if they did not default from the batch information, or if the receipt currency is changed.
Receipts
Chargebacks
Use chargebacks to create a new debit item when closing an existing debit item.
Reduces the balance of the invoice to zero and creates an automatic adjustment Creates a new debit item for the balance of the old debit item with Chargeback transaction type Due date for the chargeback is controlled by the Chargeback:Due Date Controls system option Shifting due dates affect the finance charge calculations and the aging of the outstanding amount Chargebacks have to be automatically numbered
Receipts
Creating Chargebacks
(N) Receipts Receipts Applications Chargebacks
Receipts
Adjustments
Create adjustments to increase or decrease the balance due for an invoice, debit memo, chargeback, or commitment. If you create an adjustment during a receipt application (for example, to write off a small remaining amount) and then unapply the application later, Receivables reverses the adjustment and assigns it a status of 'Adjustment Reversal.'
Receipts
Creating Adjustments
Choose the Type of adjustment. If the type specified is 'Invoice' the amount of adjustment should be at least enough to close the item being adjusted. If the adjustment type is Line the balance due for the transaction by the amount that is updated
Enter an Activity Name. The activity name provides the default GL account
Enter the Adjustment Date. The default is the current date.
Enter the Amount of this adjustment. Defaults if the adjustment type specified is invoice
Enter the GL Date for this adjustment. The default is the later of either the transaction GL date or the current date.
(N) Receipts Receipts Applications Adjustments
Receipts
Reversing Receipts
Reverse a receipt when a customer stops payment on a receipt or if a receipt comes from an account with non-sufficient funds. Reverse a receipt to re-enter and reapply it in Receivables. Reverse both standard, invoice-related receipts and non-invoice related (miscellaneous) receipts. Reverse an Automatic Receipt only if its status is Approved. After a receipt is reversed, the receipt's attributes cannot be updated. The following types of receipts can be reversed:
Invoice-related receipts Non-invoice related (miscellaneous) receipts Credit Card refund (negative miscellaneous) receipts Automatic receipts with a status of Approved Receipts that are part of a batch (use the Receipt Batches window to re-enter a receipt in a batch)
Receipts
Reversing Receipts
Create two types of reversals: Standard Reversal
Receivables automatically creates reversal journal entries for GL and reopens all of the debit and credit items that were closed with the original receipt. Create a standard reversal for a transaction related to a chargeback if there is no activity against the chargeback and the chargeback has not been posted to the general ledger. If the chargeback has been posted to the general ledger, create a debit memo reversal. On creating a standard reversal for a receipt that has been applied, Receivables reverses any adjustments or chargebacks created, as long as these adjustments are not posted to GL.
Receipts
Reversing Receipts
Debit Memo Reversal Receivables does not update any of the receipt activity associated with the original receipt. The new debit memo reversal is actually a new receivable that replaces the item closed by the original receipt. Receivables requires that a debit memo reversal be created if:
The receipt reversed has previously been applied to a chargeback and this chargeback has had any activity against it (for example, another receipt, credit memo, or adjustment) The chargeback or adjustment was posted to GL
When a debit memo is created for a receipt reversal, Receivables creates a line on the debit memo that displays the original receipt number associated with the debit memo. In addition, when the reversal is saved, Receivables assigns a unique transaction number to the new debit memo.
Receipts
Receipts Standard Reversal
Enter the category for this reversal. Use the Reverse Payment category when the receipt has been incorrectly entered and has to be re entered. Oracle Cash Management does not reconcile receipts that are reversed with this category, because this category is reserved for entry errors only. Enter the date of this receipt reversal and the date to post this reversal to GL. The default for the reversal and GL dates is the current date. The reversal date must be on or after the deposit date of the original receipt, and the reversal GL Date cannot be before the receipt GL Date or the reversal date.
Enter a reason for this receipt reversal.
(N) Receipts Receipts Reverse
Choose the Reverse button. Receivables generates a number for this reversal.
Receipts
Receipts Debit Memo Reversal
Enter the date of this receipt reversal and the date to post this reversal to GL. The default for the reversal and GL dates is the current date. The reversal date must be on or after the deposit date of the original receipt, and the reversal GL Date cannot be before the receipt GL Date or the reversal date.
Enter a reason for this receipt reversal.
Enter the category for this reversal. Use the Reverse Payment category when the receipt has been incorrectly entered and has to be re entered. Oracle Cash Management does not reconcile receipts that are reversed with this category, because this category is reserved for entry errors only.
Check the Debit Memo Reversal check box
Enter a transaction type for this reversal in the Type field.
The debit memo transaction type provides the default value for this field
(N) Receipts Receipts Reverse
Choose the Reverse button.
Receipts
Reapplying Receipts
Reapply receipts previously applied in error before or after posting these items to GL. Both automatic and manually entered receipts can be reapplied. When a receipt is reapplied, first 'unapply' (uncheck the apply check box) the original receipt applications; this reopens each transaction that was previously closed by the receipt. However, a receipt that has adjustments associated with it cannot be unapplied unless the transaction is first readjusted to its original amount. In addition, a transaction cannot be unapplied if there is a chargeback against it and the chargeback has any activities against it (for example, another receipt or credit memo).
Receipts
Cross Currency Receipts
When a customer remits payment for an invoice, debit memo, or chargeback, the receipt is usually in the same currency as the transaction. However, there may be times when the customer remits payment in a currency that is different than the currency of the open debit item. For these occasions, Receivables creates cross currency receipt applications to fully or partially process the payment. Invoice currency BEF Receipt currency EUR
Manual, AutoLockbox, or QuickCash
Receipts
Cross Currency Receipts
Calculating the Foreign Currency Exchange Gain or Loss When a receipt is applied to a transaction that is in a different currency, Receivables first determines the transaction and the receipt amounts in the functional currency. Receivables then compares these amounts to determine the foreign exchange gain or loss for this application. If the result is positive, a foreign currency exchange gain is incurred for this application If the result is negative, a foreign exchange loss is incurred. Receivables calculates the foreign exchange gain or loss using the following formula: Receipt Amount (as of the receipt date) - Invoice Amount (as of the invoice date) = Foreign Exchange Gain or <Loss>
Receipts
Setting Up Cross Currency Receipts
Define Cross Currency System Profile Option To be able to apply a receipt in one currency to one or more transactions in a different currency, set the system profile option AR: Enable Cross Currency to Yes. Define this profile option at the Site, Application, or User level. Define Cross Currency Rounding Account Define a Cross Currency Rounding Account in the System Options window. Receivables uses this account to record any rounding error amounts created during a cross currency receipt application for currencies that have a fixed rate relationship. Define a Suspense Account in Oracle General Ledger To create entries so that each journal entry balances in the entered currency. Enabling of suspense accounting for the set of books to apply cross currency receipts in Receivables is not necessary. Only definition of a suspense account for journal entries created by cross currency receipt applications is required. For each of these entries, Oracle General Ledger does the following: Ignores the Out of Balance Errors: All cross currency receipt applications will be out of balance, since the currency of the receipt is not the same as that of the transaction. Creates Balancing Lines: GL will look to the suspense account defined in the Suspense Accounts window and create a line to balance the journal entry. The Source of the Suspense Account should be 'Receivables' and Category 'Cross Currency.'
Receipts
Setting Up Cross Currency Receipts (Contd)
Define Journals: Display Inverse Rate Profile Option The profile option Journals: Display Inverse Rate lets you determine how you enter and display conversion rates in the Exchange Rate window. When you create a cross currency application, the field 'Cross Currency Rate' in the Applications window displays a value independent of this setting. This field will always display a value in accordance with the following: Transaction Amount * Cross Currency Rate = Receipt Amount
Cross Currency Exchange Gain/Loss Report

Review detailed information about cross currency settlements including: The transaction number and currency The amount applied to each transaction in both the transaction and your base (functional) currency The amount of the crosss currency receipt allocated to the transaction The cross currency rate used for each application The foreign exchange gain or loss (FXGL) for each application Information necessary to compare the FXGL you would have realized if you had used the cross currency rate maintained in your General Ledger
AutoLockbox
AutoLockbox
Overview of AutoLockbox

Process where customers mail payments to a post office box near the remittance bank and the bank deposits the payments in the companys account at regular intervals Bank provides the company with computer files detailing about the receipts and their application Receivables uses AutoLockbox to import details about receipts directly into the system
Benefits of AutoLockbox

Eliminates manual data entry Streamlines the application of receipts to outstanding transactions Effectively manages cash flow by reducing turnover for converting checks into cash Apply receipts to outstanding invoices Import historical receipt data Autolockbox reports, such as the Post Quikcash Execution Report, are a good tool to reconcile autolockbox receipts with the bank transmission reports
AutoLockbox
Lockbox Cycle
Send payment to lockbox Collect payment, update account, and create data file Import data file into AutoLockbox tables
Post QuickCash
Run AutoLockbox and validate data
Transfer data to QuickCash table
Correct AutoLockbox validation errors
AutoLockbox
Prerequisites for AutoLockbox
Set up agreements with banks Define lockboxes in Oracle Receivables Define AutoLockbox transmission formats Define receipt classes and payment methods Test AutoLockbox transmission with bank
AutoLockbox
Entering AutoLockbox Receipts
Send payment to lockbox Bank collects payment, updates account, and creates data file Import data file into table
Post QuickCash Run lockbox interface
AutoLockbox
Importing Data Files Into Receivables
Import Validate Post
Import data file into table
Run lockbox interface and validate data
Post QuickCash
AutoLockbox
Importing Receipts

Data is imported into interface tables Imported data does not affect accounts receivables balances Import automatically generates the Lockbox Execution Import report Use report to check the imported data
Validating Receipts

Ensures that each receipt complies with application and customer requirements Customer must have a primary billing location Bank can provide a MICR or a customer number to identify customer Validated data is transferred to QuickCash tables Transfer does not affect accounts receivables amounts Receivables can use AutoAssociate or a billing address to identify customer Use the Lockbox Execution Import report to review the validation
AutoLockbox
Post QuickCash

Data is transferred from QuickCash tables to Receivables tables Posting updates the account balances to reflect the imported receipts View and update receipts in the Receipts window
AutoLockbox Receipts Matching
Receivables applies the receipt using:
Transaction number Sales order number Purchase order number Consolidated bill number User-defined number
AutoLockbox
Setting Up AutoLockboxes
Set up bank information Arrange for lockbox services with bank Notify customer of lockbox address
Set up receipts information Define receipt classes and payment methods Set up lockbox information Define lockbox number, bank account, and contact information Define attributes of AutoLockbox receipts
Translate bank transmission format for Receivables.
AutoLockbox
Running AutoLockbox
To import and apply receipts using AutoLockbox, run each step individually or run them as a group.
Define Define transmission transmission information information
Define Define validation validation information information
Define Define posting posting information information

Post partial amounts Post partial amounts as unapplied? as unapplied?
Transmission ID Transmission ID Data file Data file Control file Control file Transmission Transmission format format
Lockbox number Lockbox number Report format Report format GL date GL date Pay unrelated Pay unrelated invoices? invoices?
AutoLockbox
Running AutoLockbox
Check to import a new bank file. Enter the bank file's Data File, Control File, and Transmission Format information. If data is being re-imported, the default is the transmission format specified in the initial import step. Either accept this value or override it. Enter a new Transmission Name. If an existing lockbox transmission is being resubmitted, select a name from the list of values.
To import a new bank file into Receivables, check the Submit Import check box.
Check to validate or revalidate imported data and create QuickCash receipt batches.
Enter the Lockbox Number to validate. If this is not a new transmission, the default lockbox number is the number used for the original step of this transmission. A lockbox number must be entered if Submit Validation is Yes and the lockbox number is not specified in the bank file. Check to transfer only the lockbox batches in which all records pass the validation step to the QuickCash tables
Enter the date to post the receipt and batch records in this lockbox transmission to your general ledger Enter the Report Format. Check to apply receipts in this transmission and update customer receivable balance
Check to import receipts that could not be fully applied into the interface tables. If Allow Partial Applications of Receipts is not checked, receipts that Lockbox cannot fully apply will remain in the AR_PAYMENTS_INTERFACE_ALL table.
Check to apply receipts to transactions belonging to unrelated customers.
(N) Interfaces Lockbox
Automatic Receipts
Automatic Receipts
Automatic Receipts Process
Create Create automatic automatic receipts receipts
Eligible invoices
Approve Approve automatic automatic receipts receipts

Customer balance is updated
Format Format automatic automatic receipts receipts
Optional
Remit Remit receipts receipts
Customer Customer Bank Bank
Receives payment from customer Sends receipts to customer
AR Bank AR Bank
Automatic Receipts
Automatic Receipts Overview

Use automatic receipts to process transactions such as direct debits, factored receivables, and bills of exchange (BOE) through customers banks Payments can be directly transferred from a customers bank on the due date Collections are assured and bad debits are reduced Cash flow can be managed more effectively when fund transfers are scheduled in advance
Automatic Receipts
Automatic Receipts Definitions
Term
Customer bank Remittance bank Automatic receipt Factoring
Definition
Customer funds are automatically transferred from this bank. Payments are automatically transferred to this bank. Agreement that enables the transfer of funds from the customers bank to your remittance bank. Short-term financing method that uses accounts receivable as collateral. Usually involves an intermediary bank or factor. When advance payment is received from a bank or factor for a factored receivable, a short-term debt is created. After the customer has made payment on the amount receivable, the risk represented by the short-term debt can be eliminated.
Short-term debt
Risk elimination
Automatic Receipts
Prerequisites for Automatic Receipts
Agreement Agreement with customer with customer
Setup and Setup and assign assign customer and customer and remittance remittance bank accounts bank accounts
Create a Create a receipt class and receipt class and payment method payment method Create Create automatic automatic receipts receipts
Assign payment Assign payment method to method to a customer a customer
Create an Create an invoice flagged invoice flagged for this payment for this payment
Automatic Receipts
Flagging Transactions for Automatic Receipts
To flag a debit item for automatic receipt: Enter information on paying customer Specify a payment method and receipt class with an Automatic Creation method
Customer bank account currency and invoice currency must be the same If automatic receipts have different currencies, set the banks Multiple Currency Receipts flag to Yes Automatic Receipts program selects all completed transactions for that customer and creates receipts
Automatic Receipts
Flagging Transactions for Automatic Receipts
The customer associated with The customer associated with the customer bank account the customer bank account assigned to the invoice. This assigned to the invoice. This could be different from the could be different from the billing customer ififCustomer billing customer Customer relationships exist relationships exist The payment method The payment method assigned to the assigned to the transaction. transaction. The bank The bank account account number. number.
The bank to which The bank to which the Payment Method the Payment Method is assigned to is assigned to
(N) Transactions Transactions Paying Customer (Tab)
Automatic Receipts
Automatic Receipts Batch Process
Specify Specify payment payment method method

Receipt class Payment method
Specify Specify currency currency information information

Currency Exchange rate
Select Select an action an action

Create Approve Format
Automatic Receipts
Setting the Profile Option
Set the AR: Automatic Receipt Creation Authority profile option so that users can Create, Approve, or Format automatic receipts in one or more steps Create (3 steps): Enforces maximum control for the organization Format (2 steps): Appropriate for companies with non-standard collections procedures Approve (1 step): Fastest and simplest. Used when payments are collected in a recurring, standardized fashion.
Automatic Receipts
Payment Method
Method
One per customer One per customer and due date One per site One per invoice One per site and due date
Description
Creates one payment per customer Creates several payments for a customer if a customers invoice has several due dates. Creates one per payment site. Creates one payment per invoice Creates one payment per customer site and due date.
Automatic Receipts
Selecting an Action
Depending on the authority level (determined by the AR: Automatic Receipt Creation Authority profile option), select one or more receipt actions Create: Select the invoices to include in automatic receipts. Approve: Update, delete, and approve the selected receipts. Format: (Optional step) Format automatic receipt batches if the receipt batches are to be sent to customers for notification or confirmation before the receipts are remitted to the bank (optional step) Automatic receipt batches can be formatted an unlimited number of times
Use the Format Automatic Receipts report to view the formatted receipt output Use the Automatic Print Program field of the Receipt Classes window to select the receipt format
Automatic Receipts
Confirming Automatic Receipts

When a customer confirms a receipt, the customer indicates that the receipt was reviewed and that the payment information is correct Set the Require Confirmation option to Yes to allow a customer to confirm a receipt Bill of Exchange (BOE) is the only type of receipt that requires confirmation When a receipt that requires confirmation is confirmed, Receivables automatically closes the invoice for which it was created A receipt cannot be updated after it has been confirmed. Use remittance batches to initiate the transfer of funds for receipts after confirmation
Recording Customer Confirmations

To flag automatic receipts for confirmation, select the Require Confirmation check box for the receipt class that is assigned to the receipts payment method Record receipt confirmations individually or in batches After a confirmation is recorded, Receivables updates the customer balance and invoice balance Use the Automatic Receipts Awaiting Confirmation report to view a list of the automatic receipts waiting for confirmation
Automatic Receipts
Updating Automatic Receipts

Only receipts with status as Approved can be updated, Receipts with status of Confirmed cannot be updated. The following receipt information can be updated: Invoice application amounts Exchange rate Maturity date Remittance bank Customer bank information
Maturity date and bank information can be changed up to the time receipts are selected for remittance
Automatic Receipts
Automatic Receipt Statuses
Automatic Receipts have a status that indicates whether they are complete. Valid statuses include: Started Creation Creation Completed Started Approval Approval Completed Started Format Format Completed
Automatic Receipts
Creating Automatic Receipts

Select invoices to include in the automatic receipt batch by entering a receipt class with an Automatic creation method and specifying other selection criteria such as currency, due dates, and range of customer names. The Create Automatic Receipts program picks up all complete transactions that meet this criteria and create receipts to close out these transactions. In addition to the criteria specified, the customer profile is also checked to determine whether a transaction should be included in an automatic receipt batch and whether to include invoices in dispute. The number of Lead Days entered for the payment method is used to determine when an invoice is eligible for the creation of automatic receipts. The lead days is the number of days before the invoice due date that this invoice can be selected for automatic receipt. A batch of automatic receipts can only have one payment method, thus one lead days value. Receivables compares the invoice due date and lead days with the batch date.
Automatic Receipts
The GL date is used to determine the accounting period in which the automatic receipts will post. A GL date cannot be entered for a new batch if the receipt class requires confirmation as a separate step because:
Accounting entries are not created when receipts are approved, but not confirmed. The receipt amount is validated to determine if it is more than or equal to the Minimum Receipt Amount specified for the remittance bank and customer profile class.
Minimum receipt amounts for remittance bank accounts can be assigned in the Receipt Classes window and for Customers in the Customer Profile Classes or Customer windows. If the total of the transactions does not match the larger of the two minimum receipt amounts, no receipts will be created. These transactions will appear in the Exception section of the Create Automatic Receipt Execution report.
Automatic Receipts
Choose a Batch Type of Automatic. The receipt class determines the processing steps for this receipt. Enter the Currency for this batch. For a foreign currency, enter exchange rate information for this batch.
Enter the Batch and GL Dates for this batch
Select a Payment Method. Only Payment Methods assigned to Automatic Receipt Classes are displayed
In the Media Reference field, enter the tape or floppy disk on to which you are going to create your batch of automatic receipts
Choose Create.
(N) Receipts Receipt Batches Automatic Receipts
Automatic Receipts
Enter selection criteria to create Automatic Receipts for specific transactions or customers. Enter the low and high values of the transaction Due Dates, Transaction and Document Numbers, Customer Names, or Customer Numbers to create Automatic Receipts for those transactions.
Depending upon the Profile Option set for the user, select the actions that the Automatic Receipts Program must perform.
Choose OK. Receivables generates a Batch Name by using the next number after the value in the Last Number field of the receipt source AUTOMATIC RECEIPTS.
(N) Receipts Receipt Batches Automatic Receipts Create
Automatic Receipts
Deleting an Automatic Receipts Batch
Delete Record button on the Menu
To delete a batch of automatic receipts, the batch status must be either Started Creation or Creation Completed. (N) Receipts Receipt Batches
Automatic Receipts
Approving Automatic Receipts
Approve a batch of automatic receipts to verify that only the receipts needed be included in the batch. Automatic receipt batched can be updated before approving it as long as there are no concurrent processes for creating or approving this batch that are either running or pending. Update the bank name, bank branch, and customer bank account associated with each of the transactions in the batch. Update exchange rate information and exclude transactions from the batch by deselecting them. Once deselected, these transactions will be available for selection the next time the automatic receipt creation program is submitted. Upon approval: Automatic Receipts that do not require confirmation close the invoices they are paying. Receipts that require confirmation close invoices when they are confirmed. To approve a batch, its status must be Creation Completed or Started Approval.
Automatic Receipts
Approving Automatic Receipts
Choose Approve. Receivables displays the Request ID of the concurrent request for approving this batch of automatic receipts and assigns a Process Status of Started Approval. (N) Receipts Receipt Batches
Automatic Receipts
Formatting Automatic Receipts
Format automatic receipt batches onto paper to send to the customer for confirmation or notification before remitting them to the bank. Send these documents to customers to confirm Bills of Exchange or to notify customers of direct debits being created. There is no limit to the amount of times a batch of automatic receipts can be formatted. When a batch of automatic receipts is formatted, Receivables creates the Format Automatic Receipts report. This report provides details about the batches that have been formatted. To format a batch, it must have a Process Status of Approval Completed.
Automatic Receipts
Formatting Automatic Receipts
Choose Format. Receivables displays the Request ID of the concurrent request and assigns a Process Status of Started Format.
Automatic Receipts
Confirm automatic receipt batches to indicate that the customer has reviewed each receipt and agreed that the payment information is correct. Depending on the agreement with the customer, certain types of automatic receipts require confirmation from the customer before they can be considered payments and remitted to the bank. Once the receipts have been approved, make any necessary changes, then confirm the receipts. Receipts that require confirmation automatically close the invoices for which they were created when they are confirmed. After confirming the batch, create a remittance batch to initiate the transfer of funds for each receipt. To indicate that a receipt requires confirmation, assign a receipt class that has the Require Confirmation option set to Yes. Receipts that do not require confirmation are created as confirmed.
Automatic Receipts
If the receipt class assigned to an automatic receipt or automatic receipt batch requires confirmation, the receipt or batch must be confirmed once it has been approved. If the receipt class does not require confirmation, Receivables automatically confirms all of the receipts within the batch when the batch is approved. An automatic receipt cannot be Unconfirmed after confirmation. If a receipt is confirmed in error, it needs to be reversed and then recreated. Once an automatic receipt is confirmed, the transactions closed by this receipt can no longer be selected for automatic receipt. However, transactions that have a remaining balance due can be included in a subsequent automatic receipt batch.
Automatic Receipts
Accounting for Automatic Receipts 1
Enter invoices Enter invoices Dr. Accounts receivable Dr. Accounts receivable Cr. Revenue account Cr. Revenue account
Create Create automatic receipts automatic receipts Create Create automatic receipts automatic receipts that require that require confirmation confirmation
Dr. Confirmation account Dr. Confirmation account Cr. Accounts receivable Cr. Accounts receivable
Confirm
Dr. Confirmation account Dr. Confirmation account Cr. Accounts receivable Cr. Accounts receivable
Remitting Receipts
Remitting Receipts
Overview of Remittances

A remittance is a receipt that can be deposited in a bank. It is similar to a deposit slip. Use remittances to initiate the transfer of payments from customers Control the remittance process by having different people create, approve, and format remittances in separate steps, or by having one person remit receipts in a single step. Remit several receipts at the same time by creating a remittance batch.
Remitting Receipts
Remittance Process
Create Create remittance remittance batch batch
Approve Approve remittance remittance batch batch
Format Format remittance remittance batch batch
Clear Clear remittances remittances
Submit remittances Submit remittances to bank to bank
Remitting Receipts
Remitting and Clearing Receipts
Submit remittance
Oracle Receivables
Bank
Reconcile remittances and receipts
Clear receipts
Bank sends statement
Oracle Cash Management
Remitting Receipts
Remittance Batch Versus Receipt Batch
Remittance Batch
Group of receipts remitted to the bank together Includes receipts for the same bank account
Receipt Batch
Group of receipts entered together
Can include receipts for different bank accounts
Remitting Receipts
Remittances
Receivables supports two types of remittances:
Standard Remittances:
For automatic receipts, remit receipts to the bank so the bank can transfer funds from the customer's account to the companys account on the receipt maturity date. For manual receipts, the bank credits the companys account when the customer's check clears. Remit receipts to the bank so that the bank can lend money against the receipts either before the maturity date (for automatic receipts) or before clearing (for manual receipts). After clearing factored receipts, Receivables creates a short term debt for the borrowed amount to track the liability in case of customer default.
Factored Remittances:
Remitting Receipts
Factoring Remittances
Factoring is a process in which the accounts receivable of a company is sold to the bank in return for cash. To factor receipts, choose a remittance method of 'Factoring' or 'Standard and Factoring.' Choose Standard and Factoring receipts created with this receipt class are not always factored. Whether the receipts should be factored is specified when a remittance batch is created. If a Remittance Method of Factored is chosen, all receipts that have receipt classes with Remittance Method set to either 'Factoring' or 'Standard and Factoring' and that meet the selection criteria will be included in the remittance batch. Factored remittance batches are created the same way as a standard remittance batch. Track risk of customer default when a receipt is factored with the bank. In this case, Receivables creates a short term debt for the risk upon clearance of the receipt. Risk is displayed on the Bank Risk report and the different aging reports. Oracle Order Management uses this value during credit checking. Run the Automatic Clearing program to eliminate risk on or after the maturity date of your automatic receipts.
Remitting Receipts
Creating Remittance Batches

Remittance batches group receipts for deposit or transfer of funds Create one batch per bank account or per clearing institution Receipts are included in the batch by maturity date, followed by amount Specify an amount range the batch. If the total amount of receipts in the batch does not fall within the specified amount range, then Oracle Receivables will not create the batch. Receipts must have a status of either Approved or Confirmed to be included in a remittance batch
Remitting Receipts
Specify the following information for each remittance batch: Currency Batch and GL dates Payment method Receipt class Remittance bank Remittance method Remittance bank account Receipt selection criteria
Use Maturity Date as an optional selection criteria to reduce risk for factored remittances
Remitting Receipts
Choose a Remittance Method. Choose Standard to remit this batch of receipts on the maturity date. Choose Factoring to borrow money against the receipts before the maturity date. Receivables only selects receipts using the remittance method you specify here when creating this remittance batch.
Enter the Receipt Class, Payment Method, and Remittance Bank information for this batch Enter the remittance bank account details
To create this remittance batch automatically, choose Auto Create.
To create this remittance batch manually, choose Manual Create.
(N) Receipts Remittances
Remitting Receipts
Creating Remittance Batches Manual Create
Enter selection criteria for creating this remittance batch (optional). Enter the low and high values of the Maturity and Receipt Dates, Receipt and Document Numbers, and Customer Names or Numbers to select only those receipts for this batch. Leave a field blank to not limit the search to transactions matching that criteria. Both active and inactive customers can be used as search criteria. Receivables selects all confirmed automatic receipts and manual receipts that match the criteria specified and have a receipt class with Require Remittance set to Yes. Receivables keeps a running total of the total count and amount of the remittance batch to ensure that it does not exceed a certain value.
Remitting Receipts
Creating Remittance Batches Auto Create
Enter selection criteria for creating this remittance batch (optional). Enter the low and high values of the Maturity and Receipt Dates, Receipt and Document Numbers, and Customer Names or Numbers to select only those receipts for this batch. Leave a field blank to not limit the search to transactions matching that criteria. Both active and inactive customers can be used as search criteria. Receivables selects all confirmed automatic receipts and manual receipts that match the criteria specified and have a receipt class with Require Remittance set to Yes. Receivables keeps a running total of the total count and amount of the remittance batch to ensure that it does not exceed a certain value.
Remitting Receipts
Accounting Treatment of Remittances
1 2
Enter invoices Enter invoices Create remittances Create remittances Approve remittances Approve remittances Format remittances Format remittances
Dr. Accounts receivable Dr. Accounts receivable Cr. Revenue account Cr. Revenue account Standard remittance: Standard remittance: Dr. Remittance account Dr. Remittance account Cr. Confirmation account Cr. Confirmation account Factored remittance: Factored remittance: Dr. Factoring account Dr. Factoring account Cr. Confirmation account Cr. Confirmation account Standard remittance: Standard remittance: Dr. Cash Dr. Cash Dr. Bank charges Dr. Bank charges Cr. Remittance account Cr. Remittance account Factored remittance: Factored remittance: Dr. Cash Dr. Cash Dr. Bank charges Dr. Bank charges Cr. Short-term debt Cr. Short-term debt Factored Remittance: Factored Remittance: Dr. Short-term debt Dr. Short-term debt Cr. Factoring account Cr. Factoring account
Clear bank remittances Clear bank remittances
Eliminate risk Eliminate risk
Managing Collections
Collection Cycle
Identify pastdue items Monitor activity
Review customer account details
Adjust customer account
Resolve past-due and disputed items
Collection Scenarios
Paid in Full Partial Payment
Customer Customer remits remits partially partially
Not Paid
Customer Customer does not does not remit remit
Customer Customer remits in full remits in full
Apply partial Apply partial receipt receipt
Give back to Give back to salesperson salesperson Send to Send to collection collection agency agency Record bad Record bad debt debt
Adjust Adjust account account Create Create chargeback chargeback
Collection Workbench Windows
Use the Collections Workbench windows to view information about customers' transactions and account balances in a variety of ways. Use this workbench to place a customer account on credit hold, place items in dispute, view the dunning history for a transaction, and correspond with customers by recording customer calls. Most of the windows in the Collections Workbench are viewonly windows The following windows in the Collections Workbench are Folder windows which can be customized. Account Details Customer Account Scheduler
Collection Process
The Collections workbenches enable access to important customer information from
one window.
With Oracle Receivables:

Determine what is due from customers Communicate with customers Perform collection tasks Receivables lets you view customer account information in a variety of ways. You can view the total amount overdue for a customer or customers in the Account Summary window. You can view all transactions that are past due for a specific customer in the Account Details window. The Customer Accounts window displays a customer's credit limit and available credit if you set Display Currency to Yes in the Find Customer Accounts window. Receivables displays a customer's current account balances in your functional currency using the most recent exchange rate.
Customer Calls
When a customer's account or payment for a specific transaction is past due, you can contact the customer by phone and use the Customer Calls window to record the results of your conversation. create a record of the contact and can recommend any further collection action. You can also use the Customer Calls window to place amounts in dispute and review previous calls made to your customers. enter new actions or topics for an existing call, but you can only update the following information: Call Status in the Customer Calls window Follow up Complete check box in the Customer Calls window (Response tabbed region) and the Call Topics window Complete check box in the Actions window
To enter a call action against this customer or location, choose Actions
(N) Collections Customer Calls
Call Actions
Enter call actions during a customer call to indicate any recommended follow-up steps for a collection item. Receivables provides the following call actions: Alert: Notify management that this item is still outstanding. Call: Contact the customer for more information. Collection Action: This transaction requires further collection action. Collection Follow Up: This invoice, debit memo, or chargeback requires further follow up action. Credit Memo: Credit memo this transaction or line item. You can generate the Call Action report for this action and have your credit memo department enter the credit memos. Exclude from Dunning: This option removes your customer from dunning. Your customer remains off the dunning list until you re-include the customer for dunning by updating their customer profile in the Customer Profile Classes window. Partial Dispute: Your customer disagrees with an open invoice, debit memo, or chargeback. Choose this option if you want this invoice to appear in the Disputed Invoice report.
Customer Accounts
Use the Customer Accounts Window to: View the total amount overdue for a customer or customers in the Account Summary window. View all transactions that are past due for a specific customer in the Account Details window. A customer's credit limit and available credit if the Display Currency is set to Yes in the Find Customer Accounts window. View receipts at risk and include them when calculating a customer's past due balance by setting the profile option AR: Include Receipts at Risk in Customer Balance to Yes
(N) Collections Customer Accounts
Customer Aging
View customer's outstanding account balances by aging bucket. Aging buckets are time periods in which to age and can review debit items. When customer balances are viewed by aging bucket, Receivables calculates and displays the total outstanding amount and the credits not aged for unapplied cash, on account cash, and onaccount credits. Modify the display by specifying an aging bucket or by choosing to age or summarize open credits Receivables selects a transaction for aging if its GL date is prior to or the same as the current date. Once selected for aging, Receivables uses the following formula to determine the number of days past due for each transaction: (Current Date) - (Due Date) = Days Past Due
(N) Collections Aging
Customer Aging
The receivables balance due, adjusted for all credit items, for this customer. Receivables calculates the adjusted balance for the customer as the outstanding balance minus unapplied cash, on-account cash, and on-account credits. The total amount of on-account cash for this customer. The total amount of unapplied cash for this customer.
The total amount of open onaccount credits and credit memos for this customer.
The total amount of this customer's open balance that is currently in dispute. The amount of adjustments that are currently pending approval.
The amount of this customer's receipts that have not yet cleared the bank and factored receipts that have not been risk eliminated.
(N) Collections Aging
Customer Account Details
Use the Account Details window to view the status, due date, number of days late, dispute amount, and the balance due for a specific transaction. The Account Details window does not display receipts, credit memos, on-account credits, adjustments, and debit items that have a transaction type with Open Receivables set to No. Transactions assigned to a transaction type with Open Receivables set to No do not update customer balances and therefore are not included in the standard aging and collection process. To view information for a specific transaction, such as customer bill-to and ship-to addresses, payment terms, due date, status and invoice lines, choose the Transaction Overview button. To view the dunning history for a specific transaction, choose the Dunning History button.
(N) Collections Customer Accounts
Printing a Collection Report

Run collection reports from the Print Collection Reports window. After you submit your report request, Receivables generates a request ID number. You can use this number to view the status of your report in the Requests window. To print a collection report:
Navigate to the Print Collection Reports window. Enter the Name of the report to print, or select from the list of values. Enter parameters for printing this report. For example, the Report Summary, Format, and Aging Bucket to use, and range of Customers, Transactions, or Balances Due.
Viewing Dunning History

Use the Dunning History window to review a transaction's complete dunning history. View the dunning history for any Receivables transaction, regardless of the dunning method. The Dunning History window displays the date this transaction was selected for dunning, its current dunning level (if the Staged Dunning method is used), the dunning letter on which this transaction was printed, the dunning letter set to which this letter belongs, and any associated interest charges. Each row in this window represents a separate dunning submission that selected this item for dunning.
Placing an Item In Dispute
If the customer disagrees about the outstanding balance for an item, mark that item or a specific amount due as 'in dispute.' Amounts that are in dispute appear in collections reports. Receivables does not prevent applying payments to disputed transactions. Choose whether to calculate finance charges on disputed items when printing statements. Place items in dispute from the Customer Calls window, the Installments window, or by using AR Online
Credit Holds
When a customer is consistently late in making payments, has exceeded their credit limit, or is identified as a bad risk, prevent additional credit purchases by placing their account on credit hold. When a customer account is on credit hold, still create new sales orders for that customer in Oracle Order Management. However, all new orders will have a status of 'on hold' and you will not be able to book or ship them until the hold on the customer account is removed. A credit hold does not prevent creating new transactions for a customer in Receivables.
Tax Accounting Process

Overview of Tax
Set up Receivables to use basic types of tax: Value Added Tax (VAT) or US Sales Tax. VAT Value Added Tax (VAT) is imposed on the supply of goods and services paid for by the consumer, but collected at each stage of the production and distribution chain. The VAT charged on a customer invoice is called Output Tax. Any VAT paid on a vendor invoice is called Input Tax. The amount due each period can be described as follows: Amount Due = Output Tax - Input Tax Receivables provides a comprehensive solution for VAT reporting using standard and countryspecific reports. Sales Tax Sales tax in Receivables is based on the destination of the supply of goods or services. The calculation of sales rates is automatic, and is based on the state, county, city, and zip code of your customer's address and the tax rates assigned to each of these components. You can override any tax rate through customer and product exemptions and you can compile periodic sales tax returns using the US Sales Tax Report. You can import address validation and sales tax rates from your tax vendor and use the Tax Vendor Extension to integrate external tax calculation programs with Receivables and Oracle Order Entry

Tax Accounting
Set up Oracle Receivables to account for tax in a variety of ways. Depending on the setup, Receivables automatically accounts for tax on invoices, credit memos, debit memos, finance charges, earned and unearned discounts, adjustments, cash applications, and miscellaneous transactions. Also set up Receivables to use deferred tax, an accounting method in which the tax is deferred until payment for goods or services is received, rather than when the transaction is created. Determine how Receivables accounts for tax on adjustments, discounts, finance charges, and miscellaneous transactions by specifying accounting rules for Receivables Activities and tax accounting information for tax codes. For each activity, Receivables automatically creates entries in the revenue, expense, and non-recoverable tax accounts defined and creates all associated payment schedules. By adjusting tax accounts with the gross, net, and tax amounts created by these activities, Receivables records tax amounts according to the accounting rules defined and helps correctly state the overall tax liability.

Types of Tax Accounts
Tax: This account records taxes collected from customers and any legal deductions taken from these amounts. Interim: This account records tax amounts for deferred tax codes. This account records tax liability before payment is received for a transaction. For example, when an invoice is created, Receivables creates an entry in this account for the invoiced tax amount. When payment is applied to the open item, Receivables automatically transfers the amount from the Interim account to the Tax account. Expense/Revenue: Use this account to record net changes generated by adjustments, discounts, and finance charges. Typically, Receivables activities such as discounts and adjustments reduce the receivable amount, so they are considered an expense. Non-recoverable: This account records changes in the tax collected when the amount cannot be taken as a deduction on taxes paid to the government. Use this account for Receivables Activities of type Adjustment, Finance Charge, Earned Discount, and Unearned Discount.

Viewing and Reporting on Tax Accounting Lines
The Tax Register and Tax Reconciliation reports display the tax accounting entries that Oracle Receivables creates based on the tax codes and Receivables Activities. View these accounting entries online using the Receivables View Accounting windows listed below:
View Adjustment Accounting View Receipt Accounting View Transaction Accounting

Calculating Tax
Receivables gives the flexibility to implement tax solutions for Value Added Tax (VAT) or Sales Tax systems. When calculating VAT, tax codes are assigned to customers, sites, and inventory items. These tax codes are then used to control which VAT rate is applied to each invoice. When calculating Sales Tax, the Customers ship-to address and any predefined exceptions are used to control which Sales Tax rate to apply to the invoice. Both methods will take into account any customer and item exemptions defined. Following are some of the major features of the Receivables tax engine. Calculate Tax Based on Location Receivables can calculate tax based on different components of the customers shipping addresses for all addresses in the home country. To calculate sales tax, choose a Sales Tax Location Flexfield structure that includes the components for Receivables to use when calculating tax.

Calculating Tax
Calculate Tax Based on Codes Receivables can also calculate tax based on tax rates assigned to user definable codes. These tax codes can then be assigned to specific items, customers, and customer sites. Calculate Tax Based on Revenue Account Set up the system to derive the tax code from the 'Account' segment of the Revenue account. If the system is setup this way, Receivables will use this tax code as the default when transactions are entered or imported. Also set up the system to ensure that the default tax code is always derived from the Revenue account. Calculate Tax Externally Receivables can integrate external tax calculation programs using the Tax Vendor Extension. This provides for complex tax calculation needs while retaining the full power of Receivables to create and store all other tax data.

Calculating Tax
Compound Tax Create compound tax charges during invoice entry and import if the Compound Taxes system option is set to Yes. Assign precedence numbers to indicate which tax line you want Receivables to compound. Credit Tax When you credit a transaction that was previously taxed, Receivables will automatically credit the original taxed amount, so you do not need to consider any change in tax rates which may have occurred in the interim. Calculate Multiple Tax Rates Receivables lets you assign multiple tax rates and tax accounts to each invoice line. You might want to distribute your tax amounts to different accounts for reporting purposes. Create Tax Groups Define tax groups to apply multiple taxes to a transaction or line item. Within each tax group, you can include one or more tax codes that Receivables applies based on the transaction's Ship To location.

Calculating Tax
Create Tax Exemptions Tax exemptions allow full or partial exemption of specific customers or items from tax. Use exemptions in either a VAT or location based tax system. Define exemptions either at the customer or item level, or specify them at the regional levels. Create Tax Exceptions Tax exceptions are special tax rates that are assigned to items being shipped to specific addresses. Tax exceptions are only used when location-based tax is used (the Location Flexfield Structure is State.County.City). Create an exception for specific items and shipping destinations. Inclusive Tax Enter and display transaction lines either inclusive or exclusive of tax. Tax inclusive indicates that the line amount for an item includes the tax for this item. Tax exclusive indicates that tax is not included in the line amount for this item. Define both tax inclusive and exclusive tax codes in the Tax Codes and Rates window.

Tax Reporting Ledger
The Tax Reporting Ledger provides a single reporting solution for the complex global tax requirements on sales and purchases and enables summarization of tax information from Oracle Receivables, Oracle Payables, and Oracle General Ledger. Taxable transactions are accounted for in the base products following the countryspecific rules defined. The Tax Reporting Ledger consists of the tax information recorded in each of these products The Tax Reporting Ledger only supports multi-org environments. The Tax Extract copies the accounting information from each application and stores it in an interface table. Use any reporting tool such as RXi and Application Desktop Integrator (ADI) to specify which fields of the Tax Reporting Ledger to include and then print the report in a format that meets needs. The Tax Reporting Ledger supports the following reports: o Deferred Output Tax Register o Excise & Quantity-based Taxes o Recoverable and Non-Recoverable Tax Registers o Single Cross Product Tax Register o Standard Input and Output Tax Registers

Implementing the Tax Vendor Extension
Receivables provides a Tax Vendor Extension to integrate external tax calculation programs with Oracle Applications. This Extension provides for complex tax calculation needs while retaining the full power of Receivables to create and store all other tax data. The Tax Extension is called whenever a tax rate is calculated by the Receivables Tax Engine. When implemented, the Tax Extension will return a tax rate or amount from the vendor program. Receivables will use this information to create the appropriate tax line(s) and related accounting information. Receivables lets you implement either the Taxware Sales/Use Tax System or the Vertex Quantum tax vendor extension.

Implementing Value Added Tax
VAT is imposed on the value added to goods or services at each stage of their supply. The VAT charged on a customer invoice is referred to as Output Tax. Any VAT paid on a vendor invoice is referred to as Input Tax. The amount due each period can be described as follows: Amount Due = Output Tax - Input Tax
Major Features of VAT

Control and automatically record VAT charges on receivable invoices. Using Receivables: Control VAT using both the inventory item and destination country (item method). Optionally control VAT from your Revenue Account (account method). Automatically calculate VAT for domestic, import, and intra-EU taxed transactions. Automatically calculate and account for multiple VAT regimes, levying additional taxes such as Surcharges, Excise, and Sales Equalization taxes as required.

Major Features of VAT
Compile periodic VAT returns using a comprehensive set of standard and countryspecific VAT reports. Easily integrate implementation of VAT with Oracle Order Management, Oracle Sales, and legacy systems. Round VAT amounts at the Transaction Header or Line Level. Round VAT Amounts Up, Down, or Nearest, to a different precision and minimum accountable unit. Calculate inclusive or exclusive VAT Amounts. Print transactions inclusive or exclusive of VAT. Import transactions using AutoInvoice with inclusive or exclusive taxes. Allow VAT to be controlled in Receivables or your feeder system. Control changes in rate for any given tax code over time. Exempt customers and sites from VAT. Ensure that your VAT returns are complete. Manually defer Output Tax liability on unpaid invoices using the Tax Reconciliation Report.

Value Added Tax Definitions
Acquisition Tax VAT on the acquisition of goods from a VAT Registered supplier in another EU member state will be zero-rated. The receiver must account for VAT as both Input and Output amounts at the VAT rate applicable for the same goods in the country that they are received, giving a net VAT liability of zero. Oracle Implements Acquisition tax with Oracle Payables using Offset Taxes. Deferral France, Italy and Russia allow the liability on Output VAT to be deferred until payment has been collected on certain transactions. This is referred to as "Cash accounting for VAT" and, if allowed, may be used in an accrual system. Document Rounding VAT amounts are typically calculated once per tax code within an invoice. Receivables controls tax codes at the document line, but allows VAT amounts to be rounded at the document header or line. Domestic Transaction Transactions between registered traders in the same EU (European Union) country. Domestic transactions have VAT charged on goods and services with different countries applying different VAT rates to specific goods and services.

Input VAT: The tax charge on the receipt of taxable goods and services (e.g. tax on supplier invoices or expense items). Input VAT should be reported wherever you account for expenditures. Input VAT is usually deductible. Intra-EU, Taxed Transactions: Transactions between non-registered traders in different EU (European Union) countries. VAT must be charged to customers within the EU if you do not know their VAT registration number. The destination country and inventory item controls which VAT rate to use. Intra-EU, Zero-Rated Transactions: Transactions between registered traders in different EU (European Union) countries. An Intra-EU transaction is zero rated if and only if you know the customer's VAT registration number; otherwise, VAT must be charged on the invoice. Japanese Consumption Tax: The Value Added Tax (VAT) paid on any expense (Input VAT) is usually recoverable against the VAT Charged on revenue (Output VAT). This ensures that VAT is not inflationary within a supply chain. Natural Account: The segment of your accounting flexfield that you assign the qualifier 'Natural Account'. This segment indicates whether the Accounting Flexfield is an Asset, Liability, Equity, Revenue, or Expense account. In Receivables, the Natural Account typically identifies the Revenue account.

Non-Deductible Input VAT: The VAT amount paid on expense items that may not be reclaimed against Output VAT. Usually, all items purchased for a business are deductible. Certain high value purchases, (for example, luxury cars for an executive's spouse) may be considered non-deductible. For small companies, service or items of value to both the owner and business may be partially non-deductible. Output VAT: The tax charge on the supply of taxable goods and services (e.g. tax on customer invoices or revenue items). Output VAT should be reported wherever you account for sales. Recargo de Equivalencia: An additional tax levied in Spain on specific types of businesses. The rate of tax is related to the primary rate of VAT for the item sold. Tax Engine: A collection of programs, user defined system parameters, and hierarchical flows used by Receivables to calculate tax. VAT Regime: A set of VAT rules and rates applicable to a well defined set or type of transactions. In Europe, the most common VAT regimes are Domestic, Import, and InterEC. However, many countries have additional regimes for special geographical regions or types of businesses.

VAT Classification: Each country classifies VAT into a small number of rates. Following are the five basic classes of VAT: Standard: The majority of transactions are classified at a Standard rate. In Europe, the Standard rate of VAT varies between 12-25%. Reduced: A lower rate of tax for specific goods or services. For example, within the EU, the reduced rate is applied to consumption of domestic fuel and power. Luxury: A higher than standard rate of tax, normally applied to a very limited set of goods or services. Zero: Zero-rated, gross sales are reported separately from exempt rated transactions. Exempt: Exempt from VAT. Gross sales are reported separately from zero-rated transactions.

Implementing US Sales Tax
Receivables provides a comprehensive solution for US Sales Tax requirements, including the calculation of sales tax based on the state, county, city, and zip code components of the customers' addresses. Override any tax rate through customer and product exemptions and compile periodic sales tax returns using the US Sales Tax Report. Additionally, integrate Receivables with external tax software vendors through the Tax Vendor Extension.

US Sales Tax Major Features
Customer Address Validation Receivables provides the State.County.City Sales Tax Location Flexfield for US Address Validation. If used, this structure will ensure that the State, County, and City fields are required on customer addresses within your home country. Given data from the Tax Vendor, Customer Address entry can default the State, County and City fields automatically from the entry of the 5 digit ZIP code. If a given zip code is identified in multiple locations, Receivables will list only those applicable, allowing a quick and simple identification of the correct jurisdict Customer Exemption Certificates Awarded by the state, a Customer Exemption Certificate allows a customer to be fully or partially exempt from paying Sales Tax. Another type of exemption includes exemptions by statute, such as sales to the US Government. Typically, Customer Exemption Certificates are recorded for the bill-to Customers who are shipping to a specific state. Receivables uses effectivity dates and approval statuses to ensure your tax department has full visibility and control. Receivables provides a Tax Handling field for each transaction line that you can use to record and control how exemption certificates are applied. Receivables lets you fully or partially exempt customers or items from US Sales Tax. Period end reporting includes summaries of tax exempt amounts categorized by exempt reason within each state

Integration with Oracle Order Management During the Order process, applicable exemption certificates will be automatically applied to the order. These controls are also available in AutoInvoice and the Receivables Transaction workbench. If the profile option Tax: Allow Override of Customer Exemptions is set to Yes, optionally override the default tax handling to require tax on a transaction that is normally exempt or to exempt a customer who normally would be charged tax. When AutoInvoice creates the transaction in Receivables, an exempt order will automatically create an unapproved exemption certificate, if one is not found. If AutoInvoice creates unapproved exemptions, account for the sale prior to obtaining the paper certificate. Update the status of an exemption certificate from Unapproved to Primary in the Tax Exemptions window. A certificate that is marked as Primary will be automatically applied to all future transactions for this bill-to customer, when shipping to the state for which this exemption is created.

Automatic US Sales Tax Calculations Using data provided by the Tax Vendor, Receivables automatically calculates tax rates and amounts based on the transaction's ship-to address and creates any applicable Exemptions or Exceptions. Reconciliation of Sales Tax Liability Accounts Receivables AutoAccounting allows recording the sales tax liability for each state in a different accounting flexfield. Using the Receivables US Sales Tax Report, compile US Tax Returns and reconcile the period-end figures to individual Sales Tax Liability Accounts. US Sales Tax Reporting The US Sales Tax report includes all transactions and Adjustments categorized by ship-to State, County, and City and lists taxable, exempt, and tax amounts. This report is used as the basis of the periodic sales tax returns. Using Reports Exchange, download this report into third party tax preparation packages for automated returns processing.

Overview of Sales Tax Rate Interface

Preparing to Load Sales Tax Rates
To ensure that the Sales Tax Rate Interface works correctly, complete the following steps before loading sales tax records into Receivables: Verify the Sales Tax Location Flexfield Structure When the Tax Interface program is used for the first time, navigate to the Key Flexfields window and verify that the Sales Tax Location Flexfield structure is frozen and compatible with the location and tax rate data being loaded into Receivables. This step needs to be performed only once. Perform Backup of Sales Tax Information Before loading sales tax data into Receivables, perform a backup of the location and tax rate information. Perform this step every time the Sales Tax Rate Interface program is executed. This information is stored in the following tables: AR_LOCATION_VALUES AR_LOCATION_RATES AR_LOCATION_COMBINATIONS AR_SALES_TAX

Preparing to Load Sales Tax Rates
Clear Tax Interface Table Verify that the AR_TAX_INTERFACE table does not contain any records. The SQL loader control scripts aravp.ctl and arvertex.ctl will clear all existing tax rate information before loading a new set of locations and rates. Either use these scripts to clear existing records or truncate the table AR_TAX_INTERFACE manually using the TRUNCATE command. Perform this step every time the Sales Tax Rate Interface program is executed. Verify and Define Tax Table Storage Parameters Perform this step every time the Sales Tax Rate Interface program is executed. Verify that the AR_LOCATION_VALUES and AR_LOCATION_RATES tables into which to load locations and tax rates have sufficient allocations of space.

Sales Tax Rate Interface Validation
If the Sales Tax Rate Interface program identifies a record in the interface table that has invalid data, then the program will not pass this record into Receivables location and tax rate tables. Each location loaded into the tax interface table must have a unique location ID associated with it. This unique location ID enables the Sales Tax Rate Interface program to distinguish between different locations even if the same name appears more than once in your tax data. All locations which are junior to other locations must identify their parent through the parent location ID. The Sales Tax Rate Interface program will only load a tax record into Receivables if it has a parent, unless it is a senior location.

Using Sales Tax Rate Interface
Invoke the Sales Tax Rate Interface program from the Run Tax Rate Interface window to transfer sales tax records from the Receivables tax interface table into the Receivables tax location and tax rate tables. The Report Submission Parameters are Parameter Review or Upload Possible Values Load All Data in Tax Interface Load Changed Data Only in Tax Interface Table Review Tax Interface Data Print Format Print All Detail Print Summary Only Print Warnings in Detail Senior Location Enter a value from the first segment of your Sales Tax Location Flexfield structure containing the sales tax rates you want to upload or review. For example, if your structure is State.County.City then you would enter the State that contained the rates you want to upload or review. If you leave this parameter null, all values are included.

Action Codes of Sales Tax Rate Interface Program
Success Action Codes The codes in the following table are for tax rows that the Sales Tax Rate Interface program has successfully loaded into the location or tax rate tables. These codes do not require you to take any additional actions. Action Code INSERT NEW-LOCATIONINSERT ZIP-RANGE- UPDATED IGNOREDNARROWER-ZIP Meaning Inserted a new tax rate for a location that already exists Inserted new location and new tax rate information Updated the zip code range for a location to the range provided by your tax vendor Two overlapping zip code ranges were found in AR_TAX_INTERFACE. Sales Tax Interface added the broader range and rejected the other.
NARROWER-ZIPRANGE
Replaced existing zip code range with a narrower zip code range.

Action Codes of Sales Tax Rate Interface Program
Warning Action Codes Verify that the Sales Tax Rate Interface program has performed the updates or adjustments required for each record with a warning action code. The codes in the following table are warning action codes. Action Code ALREADYEXISTS NEW-LOCATION Meaning This tax rate already exists in Receivables. Inserted a new location that did not include any tax rate information. You must manually assign a tax rate to this location for Receivables to be able to create a tax line for invoices with this location. If you are only loading locations for address validation purposes, then you do not need to assign a tax rate to this location. Replaced an existing tax rate with a new tax rate Inserted new tax rate information, and adjusted the active dates of existing tax rate information
RATE-ADJUST UPDATEINSERT

Specifying Tax Codes Customer Level

Specifying Tax Codes Customer Site Level

Specifying Tax Codes Transaction Line Level

Specifying Tax Codes Standard Memo Line Level

Specifying Tax Codes Item/Product Level
Period Close Process

Period Closing Process
At the end of each accounting period, companies must complete the closing process in Receivables.
Review, balance, and reconcile AR transactions
Transfer to Oracle General Ledger
Review transfer results, and resolve transfer issues
Post journal entries in GL

Reporting in Oracle Receivables
Oracle Receivables standard reports and listings include reconciliation reports, sales journal reports, receipt reports, transaction reports, and more. These reports can be used to report on period activity.
Balancing Accounts Receivable Transactions

Before initiating transfer to the general ledger, use standard reports to: Reconcile receipts Reconcile journals Reconcile transactions Reconcile customer balances

Balancing Accounts Receivable Transactions
Reconcile transactions and receipts Reconcile outstanding customer balances Opening balance + Transactions - Receipts = Closing balance Sales Journal by customer Transaction register Receipts Journal report Receipt register Submit GL Interface process Journal Entries Report Sales Journal by GL Account Receipts Journal Report Reconcile transaction and receipt accounting flexfield balances

Generating Reconciliation Reports

Run reports from the Print Accounting Reports window or run as concurrent processes from the Submit Requests window. Use the Aging Report as of the last date of the prior month to get the outstanding opening balance. Use the Transaction Detail Report to identify invoices, debit memos, credit memos, deposits, guarantees, and chargebacks that increase the outstanding opening balance. Use the Adjustment Register to identify any adjustments that affect the transactions for the month. Use the Invoice Exception Report to reduce the outstanding amount where transactions do not update customers accounts. These transactions appear in the Transaction Register, but not on the Aging reports. Use the Unapplied Receipt and Applied Receipt registers to identify the payments received from customers. These reduce the outstanding customer balances.

Generating Reconciliation Reports
Generate the Aging Report as of the last day of the month to get the month-end balance. Use the AR Reconciliation Report to help you reconcile your accounts receivable activities.
This report summarizes all customer, receipt, transaction, and account balances for the period you specify to simplify the internal reconciliation process.
Reconciling Customer Balances

Month-end balance = Outstanding balance at beginning of month + transactions - receipts

Reconciling Transactions
Generate the Transaction Register and the Sales Journal by Customer for the period under consideration. The Sales Journal balance should match the total of the transactions in the Transaction Register plus twice the Credit Memo totals.
Reconciling Receipts
Generate the Receipt Register and the Receipt Journal Report (select Transaction in the Report Mode parameter) for the period under consideration. The balance in the Receipt Journal Report should match the balance in the Receipt Register.
Reconciling Journals
Generate the Journal Entries Report-Summary by Account. The totals for each Accounting flexfield in the Sales Journal and the Receipt Journal should match the corresponding totals in the Journal Entries Report.

Comparing Transaction Categories
Oracle Receivables Transactions Transaction Type Debit Memos Credit Memos On-Account Credits Invoices Chargebacks Receipts Adjustments Guarantees Miscellaneous Transactions Deposits Category in General Ledger Debit Memos Credit Memos and Credit Memo Applications Credit Memos Sales Invoices Chargebacks Trade Receipts Adjustments Sales Invoices Miscellaneous Receipts Sales Invoices

Running Revenue Recognition
Recognize revenue for invoices with rules:
Revenue Recognition is run to generate the revenue recognition schedule for invoices with accounting rules. Distributions are created that will be passed to the general ledger during the appropriate period. To ensure revenue recognition, the revenue recognition program runs prior to the GL transfer process. Alternatively, run the revenue recognition program manually using the Run Revenue Recognition window.

Transferring Transactions to Oracle GL
Transactions out of balance
Unposted Items Report
Submit GL Interface program
GL Interface Table
Transactions balance
Posting Execution Report

Transferring Transactions to Oracle GL
GL interface table
Run Journal Import from GL or AR
Journal entry
Post journal entries in GL to update account balances
GL_JE_BATCHES GL_JE_HEADERS GL_JE_LINES

Running GL Interface
Select Summary to Select Summary to transfer transaction transfer transaction totals by account totals by account code. code.
Select Detail to Select Detail to transfer journal entry transfer journal entry transaction line items transaction line items for each account for each account code in a category. code in a category.
Specify GL start and end Specify GL start and end dates in an open receivables dates in an open receivables period and an open or future period and an open or future enterable Oracle General enterable Oracle General Ledger period. Ledger period.
Select No to populate the Select No to populate the GL_INTERFACE tables. GL_INTERFACE tables. Journal batches will be Journal batches will be transferred at a later time transferred at a later time when Run Journal Import is when Run Journal Import is submitted from Oracle submitted from Oracle General Ledger. General Ledger.
Select Yes in the Run Journal Select Yes in the Run Journal Import field to populate the Import field to populate the GL_INTERFACE tables and GL_INTERFACE tables and import journal batches into import journal batches into Oracle General Ledger. Oracle General Ledger.

Reconciling the GL Transfer Process

The General Ledger Interface produces an execution report that shows you the total debits and credits transferred from Receivables to the General Ledger Interface table. Compare this report to your Sales and Receipt Journal totals and verify that they match.
Note: Be sure to use the same General Ledger Date ranges for the two journals and the GL transfer.
Receivables Setup
Receivables Setup
Payment Terms
To associate a credit check with this payment term, check the Credit Check box. Oracle Order Management uses this information to determine when to place an order on hold. Uncheck to disallow customers to take discounts for partial payments on items associated with this payment term Enter the Base Amount for this payment term. The default is 100. The base amount is the denominator for the ratio Receivables uses to determine the amount due for installments of invoices assigned to this payment term.
Enter the Discount Basis you want Receivables to use when calculating discounts for invoices. The default is the value entered in the System Options window.
To create a payment term to use with consolidated billing invoices that includes all transactions created during the month specified, check the Last Day of Month check box.
Enter a number of Print Lead Days to enable AR to print this transaction x number of days before the due date, where x is the number of days entered here.
Enter the First Installment option for items assigned to this payment term. This indicates how Receivables will allocate the freight and tax charged to transactions using this payment term.
(N) SetupTransactions Payment Terms
If this payment term uses proxima terms, enter the day to start the new billing cycle for the next month in the Day of Month field (Cutoff Day region). Customers who have invoices that fall due before the cutoff day of the invoice payment terms receive invoices on the day that you specify in the Due: Day of Month field for the current month. Customers who have invoices with payment terms that fall due after the terms' cutoff day receive invoices on the day that you specify in the Due: Day of Month field for the next month of each of these terms.
Receivables Setup
Payment Terms
If you are defining proxima terms, enter the Day of Month that payment is due for this installment term. If you are defining proxima terms and you entered a value for Day of Month, enter the Months Ahead to which this installment term of the proxima terms refer.
Enter the Relative Amount for this payment term. This is the numerator of the ratio that Receivables uses to determine the amount due for this installment of these payment terms. Enter the number of Days after the invoice date that payment is due for this installment term (optional). For split payment terms, this number indicates the number of days after the invoice date that an installment is due.
Enter the Date on which payment is due for this installment term (optional). If you do not complete this field, enter a value for either Due Days or both Day of Month and Months Ahead.
(N) SetupTransactions Payment Terms
Receivables Setup
Payment Terms Discounts
Enter the discount percentage and number of Days for this payment term.
To limit the period of time that the discount for this installment's discount line will be active, enter the Date, day of the Month, and the number of Months Ahead for this discount's expiration date. Receivables uses these values to calculate the discount date during invoice entry.
(N) SetupTransactions Payment Terms Discounts
Receivables Setup
Transaction Types
The class is used to distinguish transaction types. This field is used to control freight charges. Use this field to determine whether to restrict the direction of the transaction balances when applying payments. This field determines whether to allow over applications against items with this transaction type. These fields control posting to your general ledger and the updating of customer balances. This field controls tax charges.
This field is used to specify the creation sign of transactions.
The transaction type used for invoices that reference a commitment. This is the transaction type used for credit memos that reference a commitment. These are default accounts used by the Transactions window. Accept these defaults or enter other accounts when commitments are entered.
(N) SetupTransactions Transaction Types
Receivables Setup
Transaction Types Commitments
When defining commitment types, use a class of either Deposit or Guarantee. This field is set to No when transaction types for commitments are defined.
Receivables sets this field to No when transaction types for commitments are defined.
This field is set to Positive Sign when transaction types for commitments are defined.
This is the transaction type used for invoices that reference a commitment. If you create a deposit, then all invoices that reference this deposit would be assigned to this invoice type. You should choose an invoice type that has Post to GL and Open Receivable set to Yes. Receivables displays a warning message if the invoice type you choose has Post to GL or Open Receivable set to No.
These are default accounts used by the Transactions window. You can accept these defaults or enter other accounts when you enter your commitments.
This is the transaction type used for credit memos that reference a commitment. If you create a deposit, then all credit memos that reference this deposit must be assigned to this credit memo type. You should choose a credit memo type that has Post to GL and Open Receivable set to Yes. Receivables displays a warning message if the credit memo type you choose has Post to GL or Open Receivable set to No.
(N) SetupTransactions Transaction Types
Receivables Setup
Transaction Sources - Manual
Check the Automatic Batch Numbering box and enter a Last Number to automatically number new manual batches created using this source Enter a Type of 'Manual'
To automatically number new transactions created using this source, check the Automatic Transaction Numbering box and enter a Last Number. You can use automatic transaction numbering with both Imported and Manual sources.
Enter the Standard Transaction Type for this batch source. When you choose a batch source during transaction entry, this is the default transaction type.
Check to use the same value for both the document number and the transaction number for transactions assigned to this source
To number credit memos created against invoices and commitments with this source differently than the invoices or commitments they are crediting.
(N) SetupTransactions Sources
Receivables Setup
Transaction Sources - Imported
Check the Automatic Batch Numbering box and enter a Last Number to automatically number new manual batches created using this source Enter a Type of 'Imported.' To automatically number new transactions created using this source, check the Automatic Transaction Numbering box and enter a Last Number. You can use automatic transaction numbering with both Imported and Manual sources.
Enter the Standard Transaction Type for this batch source. When you choose a batch source during transaction entry, this is the default transaction type.
Check to use the same value for both the document number and the transaction number for transactions assigned to this source
To number credit memos created against invoices and commitments with this source differently than the invoices or commitments they are crediting.
Receivables Setup
Specify how you want AutoInvoice to handle imported transactions that have Invalid Tax Rates. An invalid tax rate is one in which the imported transaction's tax rate does not match its tax code. Enter 'Correct' if you want AutoInvoice to automatically update the tax rate that you supplied to the one that you defined previously for the tax code. Enter 'Reject' if you want AutoInvoice to reject the transaction.
Specify how you want AutoInvoice to handle imported transactions with Invalid Lines by entering either 'Reject Invoice' or 'Create Invoice.'
Enter a Grouping Rule to use for a transaction line (optional).
Specify how you want AutoInvoice to handle imported transactions that have lines in the Interface Lines table that are in a closed period. To have AutoInvoice automatically adjust the GL dates to the first GL date of the next open or future enterable period, enter 'Adjust' in the GL Date in a Closed Period field. Enter 'Reject' to reject these transactions.
Check the Create Clearing box if you want AutoInvoice to require that the revenue amount for each transaction line is equal to the selling price times the quantity specified for that line. Use this option to distribute revenue on an transaction in an amount that is not equal to the transaction line amount.
Indicate whether sales credits can be entered for transactions using this source by checking or unchecking the Allow Sales Credit box.
Receivables Setup
Choose either 'Value' or 'ID' for each option to indicate whether AutoInvoice validates customer information for this batch source using a value or identifier. Choose 'None' for no validation. Choose Value to import a record into AutoInvoice tables using its actual name. Choose ID to use its internal identifier.
Receivables Setup
Choose ID, Value, or None to indicate how AutoInvoice validates your Invoice and Accounting Rule data for this batch source.
Check the Derive Date check box to derive the default rule start date and default GL date from the ship date, rule start date, order date and the default date that you supply when you submit AutoInvoice.
Choose either 'Id' or 'Segment' to indicate whether you want AutoInvoice to validate the identifier or the flexfield segment for this batch source.
Choose either 'Id' or 'Value' to indicate whether AutoInvoice validates your Payment Terms for this batch source using identifiers or values.
Choose either 'Amount' or 'Percent' to indicate how you want AutoInvoice to validate your Revenue Account Allocation data for this batch source.
Receivables Setup
Choose how AutoInvoice should validate data. Choose Number, ID, or Value to validate information using identifiers, numbers, or values for this batch source. Choose 'None' for no validation
Choose how you want AutoInvoice to validate data for agents, revenue credit types, and revenue credit. Choose Number, ID, or Value to validate information using identifiers, numbers, or values for this batch source. Choose to validate Revenue Credits based on either Amount or Percent.
Receivables Setup
Standard Memo Lines
Enter the Name and a Description of this memo line. Receivables prints this description on your debit memo, onaccount credit, debit memo reversal, chargeback, commitment, or invoice. Choose a line type of Chargeback Line, Charges, Debit Memo Receipt Reversal, Freight, Line, or Tax. Enter the ad hoc tax code to associate with this standard line (optional). If you are defining a standard invoice line and AutoAccounting depends on tax codes, Receivables uses the tax code you enter here along with your AutoAccounting rules to determine the default tax account for invoices with this standard line.
Enter the Unit List Price for this memo line (optional). Receivables displays this price on the debit memos, on-account credits, chargebacks, and invoices you create using this standard line.
If the type of this memo line is 'Line,' enter a Unit of Measure. Receivables defaults the unit of measure to this value when you choose this standard line item during invoice or memo entry.
Enter the Accounting Rule to use with this standard line
(N) SetupTransactions Memo Lines
Receivables Setup
Invoicing and Accounting Rules
Use the Accounting, Fixed Duration type to recognize revenue evenly over a specific number of periods. Revenue can be spread evenly or a percentage can be specified for each period. Use the Accounting, Variable Duration type to recognize revenue by a percentage for the first period. The remaining revenue is spread evenly across the number of periods you specify during transaction entry. Enter the Period to use for the accounting rule schedule. Choose from any of the Period Types defined
If this accounting rule type is 'Accounting, Fixed Duration,' enter the Number of Periods to use for the accounting rule schedule
If this accounting rule type is 'Accounting, Fixed Duration,' Receivables displays a rule schedule according to the period and number of periods entered. The sum of all periods for this type must equal 100 percent. If this accounting rule type is 'Accounting, Variable Duration,' do not enter any information. Receivables uses the number of periods passed through AutoInvoice or entered manually in the Transaction window to determine the payment schedule of the accounting rule.
If this accounting rule type is 'Accounting, Fixed Duration,' and Specific Date is chosen as the period, enter specific dates for each period of the revenue recognition schedule for this rule.
(N) SetupTransactions Accounting Rules
Receivables Setup
AutoInvoice Line Ordering Rules
Enter a Name and Description for this rule. Enter the Transaction Attribute to use to order your invoice lines. Receivables uses the transaction attributes you specify to determine how AutoInvoice orders invoice lines when it groups the transactions that it creates into invoices, debit memos, and credit memos.
Enter the priority of the transaction attribute in the Sequence field. Enter a higher number to specify a lower priority transaction attribute for this invoice line ordering rule.
Enter the type of this line ordering attribute. Enter either 'Ascending' or 'Descending' to specify whether you want this transaction attribute to be ordered from least to greatest (Ascending), or greatest to least (Descending).
(N) SetupTransactions Autoinvoice Line Ordering Rules
Receivables Setup
AutoInvoice Grouping Rules
Enter a Name and Description for this grouping rule.
Enter the Transaction Class to define for this grouping rule. Choose from the following classes: Invoice, Debit Memo, or Credit Memo.
Enter the invoice line ordering rule for this grouping rule (optional). The invoice line ordering rule tells AutoInvoice how to order transaction lines within this grouping rule.
Enter any Optional Grouping Characteristics you want to use to group your transactions. Receivables ensures that you do not assign duplicate transaction class grouping characteristics to your grouping rule.
(N) SetupTransactions Autoinvoice Grouping Rules
Receivables Setup
Approval Limits
Enter the Username of the person for whom you are defining approval limits, or select from the list of values. Enter the Reason for which the user has got the approval limits Enter a maximum approval amount in this currency for this user. You can enter either a positive or negative amount, but the To Amount must be equal to or greater than the From Amount.
Enter the document type for which the approval limit is being set for the User
If you specified a Document Type of Credit Memo, indicate whether this approver is the primary approver for this range by checking the Primary box.
Enter a Currency code. You can define multiple user approval limits for each currency defined in your system.
Enter a minimum approval amount in this currency for this user. You can enter either a positive or negative amount, but the From Amount must be less than or equal to the To Amount.
(N) SetupTransactions Approval Limits
Receivables Setup
Auto Accounting
An expenditure type class tells Oracle Projects how to process an expenditure item. Oracle Projects predefines all expenditure type classes.
(N) SetupTransactions AutoAccounting
Receivables Setup
Receivable Activities
An activity's type determines whether it uses a distribution set or GL account and in which window your activity appears in the list of values. You can choose from the following types: Adjustment: Used in the Adjustments window. Create at least one activity of this type. Bank Error: Used in the Receipts window when entering Miscellaneous transactions. Use this type of activity to help reconcile bank statements using Oracle Cash Management. Earned Discount: Used in the Adjustments and the Remittance Banks windows. Use this type of activity to adjust a transaction if payment is received within the discount period (determined by the transaction's payment terms). Finance Charge: Used in the Customers and System Options window. Define a finance charge activity if finance charges are included on statements or dunning letters. You can only define one activity of this type. Miscellaneous Cash: Used in the Receipts window when entering Miscellaneous transactions. You must create at least one activity of this type. Short Term Debt: Used in the GL Account tabbed region of the Remittance Banks window. The short-term debt account records advances made to creditors by the bank when bills receivable are factored with recourse. Receivables assigns shortterm debt receivables activities to bills receivable remittance payment methods. Unearned Discount: Used in the Adjustments and the Remittance Banks windows. Use this type of activity to adjust a transaction if payment is received after the discount period (determined by the transaction's payment terms).
(N) Setup Receipts Receivable Activities
Receivables Setup
Receivable Activities (Contd)
Indicate how Receivables should derive the accounts for the expense or revenue generated by this activity by specifying a GL Account Source.
Specify a Tax Code Source to indicate where Receivables derives the tax code for this activity. Choose one of the following: Activity: Allocate the tax amount to the Asset or Liability tax accounts specified by the Receivables Activity. Invoice: Distribute the tax amount to the tax accounts specified by the tax code on the invoice. You cannot choose this option if the activity Type is Miscellaneous Cash or Finance Charges. None: Allocates the entire tax amount according to the GL Account Source you specified. Choose this option if you do not want to separately account for tax.
Enter an Activity GL Account, or select from the list of values. If the activity type is Miscellaneous Cash and the GL Account Source is Distribution Set, you cannot enter a value here.
If the activity type is Miscellaneous Cash, enter a Distribution Set, or select from the list of values.
If the activity type is Miscellaneous Cash and you specified a tax Code Source of Activity, enter an Asset and Liability tax code, or select from the list of values. The Asset tax code is your collected tax account (tax received); use this tax code to account for tax on miscellaneous receipts. The Liability tax code is your deductible account (tax paid); use this tax code to account for tax on miscellaneous payments.
(N) Setup Receipts Receivable Activities
Receivables Setup
AutoCash Rule Sets
Enter the Name and Description of this AutoCash rule set. Check to include finance charges when calculating customer's open balance Check to include items in dispute when calculating customer's open balance Enter the type of Discount you want to automatically give to your customer for this AutoCash Rule Set. Choose from: Earned Only: Customer can take earned discounts according to the receipt terms of sale. Earned and Unearned: Customer can take both earned and unearned discounts. An unearned discount is one taken after the discount period passes. You cannot choose this option if the system option Unearned Discounts is set to No. None: Customer cannot take discounts
If this rule set will include the Apply to the Oldest Invoice First rule, choose how you want to apply any Remaining Remittance Amount.
Check to automatically apply partial receipts when using the Apply to the Oldest Invoice First rule
Enter one or more AutoCash Rules for this AutoCash rule set
(N) Setup Receipts AutoCash Rule Sets
Receivables Setup
Distribution Sets
Enter the Name and Description for this distribution set.
Enter the receipt percentage to allocate to this distribution set account.
Enter the Account segments for each distribution set account you create for your distribution set. Receivables generates general ledger distributions using the account information assigned here.
(N) Setup Receipts Distribution Sets
Receivables Setup
Receipt Sources
Choose whether the receipt is created manually or automatically
Enter a Receipt Class. The receipt class determines the required processing steps for receipts you create using this batch source (confirmation, remittance, and bank clearance).
Enter a Payment Method. The payment method determines the accounting for automatic and manual receipts.
To associate a remittance bank with this receipt batch source, enter a Bank Account. To manually enter batch numbers for receipt batches you create using this source, choose Manual Batch Numbering. To have Receivables automatically assign sequential batch numbers to receipt batches you create using this source, choose Automatic Batch Numbering.
(N) Setup Receipts Receipt Sources
Receivables Setup
Receipt Classes Automatic
Choose a Creation Method of Automatic. If the Require Confirmation box is checked, choose a Remittance Method. Check the Notes Receivable box to create a Notes Receivable receipt class Check to require automatic receipts assigned to this receipt class to be confirmed before they can be remitted
Enter the Payment Method to assign to this receipt class.
Choose a Clearance Method to require receipts created using a payment method assigned to this receipt class to be reconciled before posting them to your cash account in the general ledger.
Check the Inherit Transaction Number box to use the transaction number as the receipt number Enter the Grouping Rule to use for this payment method. Enter Earliest or Latest in the Derive Maturity Date field to indicate whether to derive the maturity date for a bill receivable from the earliest or latest due date of all transactions grouped into the bill. Enter to run a printing program when you format remittance batches for receipts remitted to you using this payment method.
Check the Debit Memos Inherit Receipt Numbers box, if you want debit memo reversals of receipts applied to a bill receivable remitted with this payment method to inherit the receipt number. Enter the bills receivable Transaction Type for this payment method.
(N) Setup Receipts Receipt Classes
Enter the number of days before the invoice due date that a transaction payment schedule can be exchanged for a bill receivable.
Receivables Setup
Receipt Classes Manual
Check the Notes Receivable box to create a Notes Receivable receipt class Choose a Creation Method of Manual. Check to require receipts assigned to this receipt class to be confirmed before they can be remitted
If the Require Confirmation box is checked, choose a Remittance Method.
Enter the Payment Method to assign to this receipt class.
Choose a Clearance Method to require receipts created using a payment method assigned to this receipt class to be reconciled before posting them to the cash account in the general ledger.
Check the Debit Memos Inherit Receipt Numbers box, if you want debit memo reversals of receipts applied to a bill receivable remitted with this payment method to inherit the receipt number.
(N) Setup Receipts Receipt Classes
Receivables Setup
Banks
Name. The name of the bank. Alternate Name. You can enter an alternate name for your bank if you enable the AP: Enter Alternate Fields profile option. If you do not enable this option, the Alternate Name field will not appear. Name. The name of the bank branch. Number. The number of the bank branch. Payables uses this information to identify the bank branch in payment formats using electronic payment methods, in creating positive pay files, and when laser printing the MICR line on checks. Type. The banking organization to which this branch belongs. You must enter a value in this field if you will use this bank for payments with Oracle eCommerce Gateway. EDI Location. The Electronic Data Interchange (EDI) location code for this bank. EDI ID Number. This field is used only by Oracle Energy, if you have installed it. If you have not installed Oracle Energy, leave this field blank. Enter address information for your bank account in this region. EFT Number. Your organization's EFT (electronic funds transfer) user number. This number is used to identify your organization on any EFT transmissions with the bank.
Number. Identification number of the bank. The system uses this information to identify the bank in payment formats that use electronic payment methods. The combination of Bank Number and Branch Number must be unique.
Institution. Enter either Bank or Clearing House to indicate what type of bank branch you are defining.
(N) Setup Receipts Banks
Receivables Setup
Banks Transmission Details
Username. Bank-assigned login name used to access the bank's system directory. Password. Bank-assigned password used to access the bank's system directory. Protocol. Bank's required protocol by which files are transferred. External Identifier. Identifier by which the transmitting entity (your enterprise) is known to the bank. Bank Confirmation File. Bank's directory from which the confirmation files are retrieved. Payment File Extension. Extension added to the payment file name. For example, .txt. Payment File Prefix. Prefix added to the payment file name. For example, ACH. Confirmation File Extension. Extension of the confirmation file name. Transmission Code. Unique name assigned to the transmission setup. In the Payment Documents window, you select this code when you create a transmittable payment document. You also select this code when you submit a transmission program. Program. Your bank's custom transmission program. This custom file contains the extensions that the Automatic Bank Transmission feature uses to modify the payment file and communicate directly with your bank. This field is case-sensitive. Transmission E-mail. Workflow role assigned to the Payables user who should receive an e-mail notification that the payment file was sent or that the payment file transmission failed. Confirmation E-mail. Workflow role assigned to the Payables user who should receive an email notification that the confirmation file was received or that there was a transmission error. Local Payment File. Local directory where the modified payment file is stored. Local Confirmation File. Local directory where the bank's confirmation files are stored. Bank Payment File. Bank's directory to which the payment file is delivered.
Confirmation File Prefix. Prefix of the confirmation file name.
Confirmation File Suffix. Suffix of the confirmation file name.
Payment File Suffix. Suffix added to the payment file name.
Receivables Setup
Workflow role assigned to the user who should receive an e-mail notification that the payment exceptions reports were retrieved or that there was a transmission error. Local directory where the payment exceptions reports are placed.
Bank's directory from which the payment exceptions reports are retrieved. Suffix of the payment exceptions file. Extension of the payment exceptions file. Prefix of the payment exceptions file.
Receivables Setup
Workflow role assigned to the user who should receive an e-mail notification that the previous day bank statement file was retrieved or that the previous day bank statement file transmission failed. Workflow role assigned to the user who should receive an e-mail notification that the intra-day bank statement file was retrieved or that the intra-day bank statement file transmission failed. Local directory where the previous day bank statement files are placed. This directory path must be defined in the init.ora file. Local directory where the intraday bank statement files are placed. This directory path must be defined in the init.ora file.
Extension added to the previous day bank statement file name to distinguish the type of file. For example, .dat.
Bank's directory from which the previous day bank statements are retrieved. Bank's directory from which the intra-day bank statements are retrieved. Suffix added to the previous day bank statement file name.
Extension added to the intra-day bank statement file name to distinguish the type of file. For example, .dat.
Prefix added to the previous day bank statement file name to distinguish the type of file. For example, BAI.
Prefix added to the intra-day bank statement file name to distinguish the type of file. For example, BAI.
Suffix added to the intra-day bank statement file name.
Receivables Setup
Bank Accounts
The name used to refer to the bank account. Indicates the account holder of this account. Currency. Currency for a bank account. The default value is your functional currency. Account Type. Type of your bank account. The value used to validate the authenticity of the bank account number according to country specific bank account validation requirements. This value is provided by the financial institution.
The bank account identification number. The combination of Bank Account Number, Bank Branch Number, Account Use, and Currency must be unique for each bank. Enable this option if the bank account belongs to an organization that receives payments for multiple suppliers Enter the cash account associated with the bank account. This account must be an asset account. If Automatic Receipts are used and receipt information is to be sent to the customer before applying the receipt, the receivable is maintained in the Accounts Receivable account until it is confirmed by the customer. Upon confirmation, it is reversed from the Accounts Receivable account and placed into this account.
Enter the cash clearing account associated with the bank account.
Enter the bank charges account associated with the bank account.
Enter the bank errors account associated with the bank account. Enter the default value for the future dated payment account.
Receivables Setup
Bank Accounts
Enable this option if you want to use this bank account to enter receipts in multiple currencies.
Enter the short term debt account associated with the bank account.
Enter the Remitted Receipts account associated with the bank account. Enter the cash clearing account associated with the bank account. Enter the unidentified Receipts account associated with the bank account. Enter the on Account Receipts account associated with the bank account. Enter the Unearned discounts receivable activity associated with the bank account. Enter the earned discounts receivable activity associated with the bank account.
Enter the factored receipts account associated with the bank account.
Enter the Unapplied Receipts account associated with the bank account.
Receivables Setup
Bank Accounts
Maximum Outlay. The largest currency outlay that you allow for a payment batch for this bank account. Maximum Payment. The largest payment amount that you allow in a payment batch. Multiple Currency Payments. Enable this option if you want to use this bank account to pay invoices entered in multiple currencies.
Allow Zero Payments. If you will allow zero-amount payments from this bank account, enable this option.
Pooled Account. If you use Automatic Offsets and you want to associate multiple companies with this bank account, then enable this option.
Minimum Payment. The lowest payment amount that you allow in a payment batch.
Realized Gain. If the bank account is a foreign currency or multiple currency account, enter the account you want Payables to use when creating accounting entries for realized exchange rate gain/loss on foreign currency payments.
Receivables Setup
Bank Codes
Select a transaction Type from the poplist. The transaction type determines how Cash Management will match and account for transactions with that code.
Enter the Code used by the bank.
Enter the number of Float Days that you want Cash Management to add to or subtract from the statement date to create an anticipated value date for automatic lockbox receipts.
(N) Setup Receipts Banks Bank Codes
Enter a Transaction Source for payment and receipt transactions. Choose Journal from the list of values to reconcile statement items with the assigned transaction code to General Ledger journals. Choose Open Interface to reconcile statement items to settlements in Oracle Treasury or external transactions in the Reconciliation Open Interface. Choose Payables Payments or Receivables Receipts to reconcile statement items to transactions in Oracle Payables or Oracle Receivables.
Receivables Setup
Bank Accounts Payables Documents
Enter a name for the payment document that is unique for the bank account. Select a Disbursement Type and Payment Format.
Enter the number of Setup Checks you want Payables to print at the beginning of each automatic payment batch or Quick payment. Enter in the Last Document Number field the last payment document number you used on a payment document. In the Last Available Document Number field, enter the last payment document number available for a payment document. If the sequential numbering feature is used, assign a Document Category.
(N) Setup Receipts Banks Payable Documents
Enter to void a range of payment documents
Receivables Setup
Bank Accounts Payables Documents
If you have enabled Oracle Cash Management integration for reconciliation, optionally override the GL Accounts in the GL Accounts region.
If you want to use the payment document for future dated payments, then in the Future Dated payments tabbed region, set the Future Date Use option to either Allowed or Mandatory. If you use the future dated payment account from the payment document rather than the supplier site, then enter the account.
(N) Setup Receipts Banks Payable Documents
Receivables Setup
Auto Lockbox
Enter the lockbox Number provided by the bank. Enter the receipt Batch Source for this lockbox. Enter a batch source that uses automatic numbering. Receivables enters the bank name and account, address, contact person, and accounting flexfield information associated with this batch source.
Enter the Bank Origination Number provided by the bank. This number uniquely identifies the bank branch that sends lockbox information.
(N) Setup Receipts Lockboxes Lockboxes
Receivables Setup
AutoLockbox
Enter the Batch Size the Lockbox Validation program should assign to each receipt batch. Enter your GL Date Source. This source determines the general ledger date for receipts in this lockbox. If exchange rate type is not specified in the bank file, enter an Exchange Rate Type. Enter the Receipt Method to assign to this lockbox. The default is the payment method associated with the receipt batch source entered. If this box is checked, AutoLockbox will only validate the receipt if the billing location is provided; otherwise, Lockbox will import and validate these receipts successfully.
Choose a Match Receipts By method. Lockbox uses this value to determine what type of matching numbers will be used in this transmission. Choose whether to Match on Corresponding Date for transactions in this Lockbox transmission. The matching date will correspond to either the transaction, sales order, purchase order, or consolidated billing invoice date, depending on the Match Receipts By method chosen.
Check to enable the Lockbox Validation program to use the debit item number to determine a customer
Choose how this Lockbox will handle receipts that were identified by the customer or MICR number but could not be fully applied because of invalid transaction numbers.
(N) Setup Receipts Lockboxes Lockboxes
Receivables Setup
LockboxTransmission Formats
Enter a Name and Description for this transmission format. Enter the Record Type associated with this identifier. Batch Header: A Batch Header marks the beginning of a specific batch. Batch Headers usually contain information such as batch number, deposit date, and lockbox number. Batch Trailer: A Batch Trailer marks the end of a specific batch. Batch Trailers usually contain information such as batch number, lockbox number, batch record count, and batch amount. Lockbox Header: A Lockbox Header marks the beginning of a specific lockbox. Lockbox Headers usually contain information such as destination account and origination number. Lockbox Trailer: A Lockbox Trailer marks the end of a specific lockbox. Lockbox Trailers usually contain information such as lockbox number, deposit date, lockbox amount, and lockbox record count. Overflow Receipt: An Overflow Payment usually contains invoice information for a specific payment such as batch number, item number, sequence number, overflow indicator, invoice number, debit memo number, or chargeback number, and debit item amounts. Receivables combines the overflow and payment records to create a logical record to submit payment applications. Receipt: A Payment usually contains information such as MICR number, batch number, item number, check number, and remittance amount. Service Header: Service Header records contain general information about the transmission. Enter an Identifier that uniquely identifies each record type in a transmission format. The bank defines this value and uniquely identifies each type of record in the bank file. Transmission Header: A Transmission Header marks the beginning of a specific data file. Transmission Headers usually contain information such as destination account, origination number, deposit date, and deposit time. Transmission Trailer: A Transmission Trailer marks the end of a specific data file. Transmission Trailers usually contain information such as total record count.
(N) Setup Receipts Lockboxes Transmission Formats
Receivables Setup
Lockbox Transmission Formats
Enter Start and End Position numbers for this record type. These positions determine how Receivables identifies the starting and ending position of the field type when data from bank file is imported. Enter either Left or Right in the Justify field to indicate from which side Receivables will start reading data in the transmission field. Enter the type of character that the bank places in the extra spaces for this field type in the Fill Symbol field. Valid values are 'Blank' or 'Zero.' If the field type is related to a date, enter the Date format your bank uses, or select from the list of values. This field is required when Field Type is either Deposit Date or Receipt Date.
Enter the Field Type to assign to the start and end positions
Enter a value that indicates that there are additional overflow records for the transmission record If the field type is related to time, enter the Time format the bank uses. This field is required when Field Type is Deposit Time.
Enter a Description for the field type defined (optional). Use field descriptions to help recognize what information is contained in a particular field type.
Enter either Yes or No in the Format Amount field to indicate if Receivables should reformat the amount transmitted
(N) Setup Receipts Lockboxes Transmission Formats
Receivables Setup
Collectors
Enter a Name and Description for this collector. Enter a Correspondence Name and Telephone Number for this collector (optional). This information appears on dunning letters if they are entered when formatting dunning letters. If the Credit Memo Request Approval workflow is used, enter the collector's employee name or select it from the list of values. Receivables uses this information to ensure that the collector is also an employee and therefore can receive workflow notifications.
(N) Setup Collections Collectors
Receivables Setup
Aging Buckets
Choose the Type of aging bucket being defined. Choose from the following 4-Bucket Aging: Use this type to define an aging bucket with four periods. 7-Bucket Aging: Use this type to define an aging bucket with seven periods. Credit Snapshot: Receivables displays this aging bucket in the list of values of the Print Collections Report window when the Customer Credit Snapshot report is printed. Statement Aging: Use this type to define an aging bucket with five periods. This aging bucket appears on your statements. You can define as many statement aging buckets as you need. Receivables displays your active statement aging buckets as list of values choices in the Print Statements window. Enter the Type of aging bucket line being defined. Choose from the following types: Current: Display transactions that are not yet due. Past Due: Display transactions that have a number of days past due in the range you specify for this line. Dispute Only: Display transactions that are in dispute with your customer. Pending Adjustment Only: Display transactions that have pending adjustments. Dispute and Pending Adjustments: Display transactions that are in dispute and transactions that have pending adjustments in this line. Future: Display transactions that will be due in the future. Enter a Name for this aging bucket. If this line type is Current, Past Due, or Future, enter the starting day number in the Days From field. If this line type is Current, Past Due, or Future, enter the ending day number in the Days To field.
Enter a Sequence Number to reflect the order in which Receivables prints the aging bucket period.
Enter the column headings to appear in the report above the bucket being defined. Enter a maximum of fifteen characters for each column heading.
(N) Setup Collections Aging Buckets
Receivables Setup
Receivable Lookup Codes
(N) Setup System Quick Codes Receivables
Receivables Setup
System Options Accounting
Enter a Finance Charge Activity. If the accounting method is Accrual, enter the Realized Gains and Realized Losses Accounts. Receivables posts changes in the functional currency to the Realized Gains or Losses account in GL if there are differences in exchange rate gains or losses. Enter the Tax Account to use as the default value in the Tax Codes and Rates window. If the accounting method is Cash Basis, enter the Unallocated Revenue Account. Receivables uses this account when cash receipt is applied with a balance other than zero to an invoice with a zero balance. Enter the Accounting Method to use for the set of books. Enter 'Accrual' to record revenue from invoices, debit memos, and chargebacks. When this method is used, Receivables debits the cash account and credits the receivables account upon payment of a debit item. Enter 'Cash Basis' to recognize revenue at the time payment is received for an invoice, debit memo, or chargeback. Receivables debits cash and credits revenue when using the Cash Basis method.
Enter the Name of the receivables accounting set of books. Enter a Cross Currency Rounding Account. Receivables uses this account to record any rounding error amounts created during a cross currency receipt application for currencies that have a fixed rate relationship.
Define a Header Rounding Account and enable Header Level Rounding (optional). Receivables uses this account to record any rounding differences that occur when converting foreign currency transactions to the functional currency. After you enable Header Level Rounding and save your work, you cannot disable the feature.
To import the batches of transaction records that post into general ledger, check the Automatic Journal Import box.
Enter the number of Days per Posting Cycle. This allows processing of transactions being posting in smaller groups to ensure that you do not run out of rollback space during posting.
(N) Setup System System Options Accounting
Receivables Setup
System Options Tax
Enter the Tax Method. Choose either 'Sales Tax' or 'VAT' Enter the sales tax Location Flexfield Structure. Use this to validate customer addresses as well as calculate sales tax based on the customer's shipping address. Enter the Postal Code Range to be the default value when entering sales tax rate assignments in the Tax Locations and Rates window. Enter the type of Address Validation to use. This option is only valid for addresses in the home country. To compound taxes in Receivables, check the Compound Taxes box. Enter the Tax Vendor Views to use to calculate tax, or select one from the list of values. If the sales tax vendor is Taxware Sales/Use Tax System, enter a value for the Sales Tax Geo Override.
Check the Inclusive Tax Used box to use inclusive tax codes.
Choose a Calculation Level. Choose Line to calculate tax for each invoice line (this is the default). Choose Header to calculate tax once for each invoice for each rate. Choose a Rounding Rule.
Enter the Invoice Printing method to use. This is the method Receivables will use when printing tax amounts on invoices.
Enter your Reporting Currency (this is the same as your functional currency). Enter the standard Precision to use for tax calculations in this currency.
Enter a Tax Registration Number to print on customer invoices. To be able to specify Tax Calculation and Tax Rounding at the customer or site level, check the Allow Override box.
Enter the Minimum Accountable Unit for tax rounding in this currency.
(N) Setup System System Options Tax
Receivables Setup
System Options Tax Defaults and Rules
Choose whether to Enforce Tax from the Revenue Account. Check to enable the tax engine to calculate tax for each imported credit memo.
If the Tax Method is VAT, enter a default Tax Code
Define Tax Code Defaults and hierarchy by checking the appropriate boxes and entering a sequence number for each. This hierarchy determines the order in which Receivables derives a default tax rate when you manually enter transactions or import them using AutoInvoice.
Check this box to include customer exemptions when calculating tax for your transactions. Use the Tax Exemptions window to exempt customers and items from specific tax. If you do not check this box, you cannot set the Default Tax and the Tax fields in the Transaction window to 'Exempt'.
Check this box to include item exemptions when calculating tax for your transactions. Use the Tax Exemptions window to exempt customers and items from specific tax.
Check this box to use the tax rate you defined for specific products based on the customer's Ship-To address. Use the Item Tax Rate Exceptions window to enter tax rates for specific items based on Ship-To address.
(N) Setup System System Options Tax Defaults and Rules
Receivables Setup
System Options Transaction and Customers
Check to allow updates to transactions that have been printed. Check to Show Consolidated Billing Number. Check to allow transactions to be deleted from Receivables after they have been saved
Check to allow receipt applications to debit items of unrelated customers, or to allow bills receivable assignments to transactions of unrelated customers To activate SQL trace for AutoInvoice, check the SQL Trace box. Check to automatically purge the AutoInvoice Interface tables after running AutoInvoice Check to automatically assign unique numbers to customers when new customers are defined Check to automatically assign numbers to your customer's business purposes Check to automatically create a reciprocal relationship between two customers when you are defining customer relationships
Choose when to generate sequential number if Document sequencing is enabled. On Saving the transaction or on Completion. Enter the Accounting, System Items, and Territory Flexfield segments that are most often selected by AutoInvoice. Receivables uses this information to increase AutoInvoice performance. Enter the Maximum Memory (in bytes) to allocate to AutoInvoice for validation. Enter a Log File Message Level. This number (from 0 to 3) indicates the amount of detail you want AutoInvoice to display in the AutoInvoice log file. The higher the number, the greater the detail. Enter the default Grouping Rule Name you want AutoInvoice to use.
(N) Setup System System Options Trans & Customers
Receivables Setup
System Options Miscellaneous
Enter the Split Amount that Receivables will use when the Collection Effectiveness Indicators Report is generated. Enter the Number of Days to use when calculating conventional Days Sales Outstanding for the Collection Effectiveness Indicators Report. Accrue Interest box: Check to automatically update the open balance in the Transactions workbench for transactions that are past due Enter the Discount Basis Receivables should use when calculating discounts for invoices. Enter an AutoCash Rule Set Receivables uses this AutoCash Rule Set for a customer whose profile class has not been assigned an AutoCash Rule Set. Enter a Sales Credit Percent Limit (optional). The Sales Credit Percent Limit imposes a limit on the percentage of revenue plus non-revenue sales credit that a agent can have on a transaction line. Check to require that a bill-to location be associated with a cash receipt Check to allow Receivables to accept unearned discounts Check To require that agents be entered when entering transactions Check to print the remit-to addresses on customer statements Check to print home country on invoices and statements that refer to addresses in that country
Check to allow discounts to be taken for partial payments Check to enable the Trade Accounting feature Check to enable the Bills Receivable feature
(N) Setup System System Options Miscellaneous
Receivables Setup
System Options Miscellaneous (Contd)
Enter the number of invoices the Automatic Receipt program to process before saving in the Invoices per Commit field. Enter the number of receipts the Automatic Receipt program to process before saving in the Receipts per Commit field. Enter the Source of Territory Receivables should use to default into the Agents, Transactions, and Customers windows. Choose from the following sources: Bill-To Site: Use your customer's BillTo Address as the default. Agent: Use the territory assigned to your customer's primary agent as the default. Ship-To Site: Use your customer's Ship-To Address as the default. None: Do not enter a default territory.
Enter the default Chargeback Due Date. Receivables uses this date a chargeback is created. Choose from the following: Open Invoice Due Date: Use the due date of the invoice or debit memo as the default. Receipt Date: Use the receipt date as the default. This is the date that you entered the receipt. Current Date: Use today's date as the default. Deposit Date: Use the receipt deposit date as the default. Enter a Default Country. Receivables uses this information to specify the home country for tax calculation, flexible bank structures, flexible address formats, and taxpayer id and tax registration number validation.
Enter an Application Rule Set or select one from the list of values.
(N) Setup System System Options Miscellaneous
Receivables Setup
Enter the Sequence number for this application rule. Receivables applies payments in this sequence, beginning with the lowest sequence number. If you chose a Type of 'Line', choose a Tax Treatment. Choose one of the following: Prorate: Choose this option to proportionately reduce the net amount of the line and associated tax amounts. Before: Choose this option to first reduce the open tax amount, then apply any remaining amount to the line. After: Choose this option to reduce the open line amount, then apply any remaining amount to the associated tax.
Enter Rule Details for this application rule. This section indicates the type of charges and the tax handling for this rule. Choose a Type of Line, Freight, or Charges. Enter at least one type for the rule set.
Enter an application Rule. Each rule will correspond to a line type (for example, lines, freight, or charges). Each rule set must have at least one application rule.
Check to automatically adjust this line type to account for any rounding corrections within this rule set
(N) Setup System Application Rule Sets
Receivables Setup
Tax Codes and Rules
Choose a Tax Type. If location based tax is used, enter one enabled tax code with tax type of Location Based Tax for a given date range. Specify a Taxable Basis to control how Receivables calculates tax on transactions assigned to this tax code. Choose one of the following: After Discount: Calculate tax on the invoice line amount, after any early payment discount is taken. Before Discount: Calculate tax on the invoice line amount, before any early payment discount is taken. Quantity: Calculate tax based on the quantity ordered and unit of measure of the invoice line. If you choose this option, specify a Tax Amount. PL/SQL: Calculate tax using the PL/SQL formula that you specify. Prior Tax: Select this option if you use this tax code as part of a tax group (to calculate multiple taxes) and you want to calculate tax on only the tax for the previous tax line. If the tax type is not 'Location Based Tax' and a taxable Basis of either After Discount or Before Discount is specified, enter a Tax Rate. If the Taxable Basis is Quantity, enter a Tax Amount. Indicate whether this tax code is positive or negative by setting the Sign parameter to either 'Cr' or 'Dr', respectively. When you use a tax code with a sign of 'Dr' (negative), Receivables debits your tax account. When you use a tax code with a sign of 'Cr' (positive), Receivables credits your tax account.
(N) Setup Tax Codes
Receivables Setup
Tax Codes and Rules
Choose a Tax Class. Choose Output to use this tax code with invoices, debit memos credit memos, adjustments, discounts, finance charges and miscellaneous cash receipts. Choose Input to use this tax code with miscellaneous cash payments (negative receipts). Input tax codes appear only in the list of values for the Liability Tax Code field in the Receivables Activities window; output tax codes appear in all Receivables transaction and set up windows. If you do not want to be able to change this tax code from inclusive to exclusive (or vice versa) when entering invoices, uncheck the Allow Inclusive Override box. Locationbased tax codes are always tax exclusive and you cannot change them to be tax inclusive.
Uncheck to prevent this tax code from appearing in Receivables windows. To be able to use this tax code only within a tax group, uncheck this box.
Check to be able to change the tax rate for this tax code in the Transaction windows. You can only check this box if the tax type is not 'Location Based Tax.'
Check to automatically display line amounts including tax
(N) Setup Tax Codes
Receivables Setup
Tax Codes and Rules
The default account is the Location Tax Account you defined in the System Options window. Enter the Printed Tax Name as you want it to appear on printed transactions. Enter a VAT Transaction Type (optional). This field is used for Spanish and Belgian Tax reporting.
To use deferred tax, check the Deferred box and then enter an Interim Tax Account, or select from the list of values. The Deferred check box and the Interim Tax Account cannot be updated after saving.
If tax is not deductible for an activity type, enter a Non-Recoverable Tax Account. The Non Recoverable Tax Account records tax amounts that cannot be claimed as a legitimate deduction to decrease tax liability.
Enter an Expense/Revenue Account for each Receivables Activity type, including Adjustment, Earned Discount, Unearned Discount, and Finance Charge
(N) Setup Tax Codes
Receivables Setup
Tax Locations
Choose the type of sales tax structure to define. Choose City, County, or State. To update an existing location or rate, update the Tax Account, Tax Rate, and range of Effective Dates or Postal Codes for this location To add a new location, choose New Record from the Edit menu and enter the Name and Description of this location.
If this segment has been assigned to the tax account qualifier, Receivables enters a default Tax Account. This is the account you defined for the 'Location' tax code type in the Tax Codes and Rates window.
Enter the Tax Rate percentage to assign to this location
Enter a range of Effective Dates for this tax rate. The default start date is today's date. If an end date is not entered, this tax rate will be valid indefinitely.
(N) Setup Tax Locations
Enter a range of Postal Codes for this tax rate. Receivables uses the date and postal code range for locations to determine which tax rate assignments to use when creating sales tax rates.
Receivables Setup
Tax Exemptions
To define an exemption for a customer: Choose to create Exemptions By Customer. Enter the customer Name or Number. To view existing exemptions for this customer or item(s), choose Find. Enter the Locations for which this exemption will be valid (optional). Enter the Site to exempt (optional). Leave this field blank to exempt all of this customer's sites or if you want to create a regional exemption using the Location flexfield. Define your Exemption. To define an exemption for an item: Choose to create Exemptions By Item. Enter the Item, or select from the list of values. To view existing exemptions for this item, choose Find. To create a new exemption, choose New Record from the Edit menu. Define your Exemption. To define an exemption for a range of items: Choose to create Exemptions By Range. Enter the Category and Category Set to which the range of items belongs. Enter the User Item Type. Enter the range of Items for this exemption. Define your Exemption. Enter the Tax Code from which you are partially or fully exempting this customer or item(s). Enter a Status for this exemption. Unapproved: Exemptions created automatically during Invoice entry or import are recorded as Unapproved. Exemptions with this status may be changed to any of the statuses listed here. Enter an exemption Number (optional). Manual: This exemption has been approved but Receivables will not automatically use it. You have to explicitly use this exemption. Exemptions with this status can only be changed to Primary or Expired. Primary: This exemption has been approved and Receivables will automatically calculate tax. Exemptions with this status can only be changed to Manual or Expired. Expired: Discontinue a previously approved exemption. Once discontinued, their status cannot be changed. Enter the tax code percentage to exempt.
Enter a Reason for this exemption, or select from the list of values.
Enter the range of Effective Dates for this exemption.
(N) Setup Tax Exemptions
Rejected: Reject an Unapproved exemption. Once rejected, their status cannot be changed.
Receivables Setup
Tax Exceptions
Choose to create an Exception By Item or Range. If you chose exceptions by Item, enter the Item to exempt or select from the list of values. If you chose exceptions by Range, enter the Category Set, User Item Type, and a range of Items. Enter the range of Effective Dates for this exception. Choose a Reason for creating this tax exception.
Enter the authority Location for which you want to define a tax exception for this item or range of items.
Enter the Tax Rates for each location in your authority.
(N) Setup Tax Exceptions
Receivables Setup
Tax Groups
Enter a Group Name for this Tax Group. The default is the Group Code. Choose Output to use this Tax Group with invoices, debit memos credit memos, adjustments, discounts, finance charges and miscellaneous cash. Choose Input to use this Tax Group in Oracle Public Sector Payables. Enter a Compounding Precedence number (optional). This number indicates the order in which Receivables selects tax codes when compounding taxes in a Tax Group.
To disable this Tax Group, uncheck the Enabled box. Enter the Group Code for this Tax Group.
To specify a Group Condition for this Tax Group, choose an existing Group Condition, or choose the Conditions button to define a new one Enter a Tax Code or select one from the list of values. You can only select tax codes with effective dates that are within the effective dates for this Tax Group. The Tax Code attributed default from the code definition
To specify a Group Exception for this Tax Group, choose an existing Group Exception, or choose the Exceptions Button to define a new one
Select to specify a Group Constraint for this Tax Group
(N) Setup Tax Groups
Receivables Setup
Tax Group Constraints
Assign Group Constraints to a Tax Group to ensure specific conditions are met before using this Tax Group. Receivables checks all Group Constraints when you assign a Tax Group to a transaction. If none of the constraints are found, Receivables uses the Tax Group to calculate tax; otherwise, Receivables performs the action specified. A Group Constraint Set can be used in multiple Tax Groups. Valid options for defining a Group Constraint are the same as for Condition Sets, except: The list of available Entities also includes Tax Code The list of available Operators also includes 'Not Found' The list of available Actions are Error Message, Default Tax Code, System Error, Use This Tax Group, and Do Not Use This Tax Group The list of available Fields does not include 'Warehouse' The list of available Fields does not include 'Tax Registration Number' The list of available Operators does not include 'is' and 'is not'
(N) Setup Tax Groups Constraints
Receivables Setup
Tax Group Exceptions
To automatically change the rate for a tax code within a Tax Group, assign an Exception Set to the tax code. When this tax code is used, Receivables changes the tax rate to the rate specified in the Exception Set. An Exception Set can be used in multiple Tax Groups. Valid options for defining an Exception Set are the same as for Condition Sets, except: The list of available Operators also includes 'Not Found' The list of available Actions also includes 'Apply Exception' and 'Do Not Apply Exception' The list of available Fields does not include 'Tax Registration Number' The list of available Operators does not include 'is' and 'is not'
(N) Setup Tax Groups Exceptions
Receivables Setup
Tax Group Conditions
Use a Condition Set to indicate that each tax code within the Tax Group is dependent upon one or more conditions specified. A Condition Set can be used in multiple Tax Groups. A Condition Set can be setup using these options: Clause. If, And, Or, Else Operator. =, < > (does not equal), < (less than), >(greater than), <= (less than or equal to), >= (greater than or equal to) This table shows the valid values for the Entity option, and the corresponding valid values for the Field option: Field Ship From - Country; State; County; Province; City Ship-To - Country; State; County; Province; City; Tax Registration Number Bill-To - Country; State; County; Province; City; Tax Classification; Tax Registration Number Order Origin - Country; State; County; Province; City Order Acceptance - Country; State; County; Province; City Transaction - FOB; Type Item - User Item Type An action can also be specified for each Condition Set using these options: Action. Error Message, Use This Tax Code, Do Not Use This Tax Code, Default Tax Code, System Error
(N) Setup Tax Groups Conditions
Receivables Setup
Statement Cycles
Enter the Interval for this statement cycle to indicate how often Receivables will generate your statements. Choose Weekly, Monthly, or Quarterly. The Date Printed field displays the last date you printed statements from the Print Statements window for each statement date within a statement cycle. Receivables does not display a printed date for statement dates that you have either elected to skip or have not yet selected for a statement submission.
Enter Statement Dates for this statement cycle. Receivables uses the statement date to determine past due items and calculate finance charges.
To prevent Receivables from printing a statement on a specific statement date, check the Skip box.
(N) Setup Print Statement Cycles
Receivables Setup
Standard Messages
Enter a Name for this message.
Enter the Type of message being defined. Valid standard message types include Legal Message, 'Holiday' and 'Promotional'.
Enter the Start and End Dates during which this standard message will be active.
Enter the standard Message to appear on customer statements. The text of the standard message cannot exceed 255 characters.
(N) Setup Print Standard Messages
Receivables Setup
Dunning Letters
Enter a Name for this letter. Enter a Description of this dunning letter (optional).
Enter the header text for this letter (optional). Rows that are left blank in the Dunning Letters window appear as blank spaces when dunning letters are printed. Place the cursor in another row, then enter the body text for this letter. Enter up to 4000 characters. Receivables automatically wraps the text of the letter to the next line when the letter is printed. To include customer's invoice information in the letter, place the cursor in a blank row, then enter '&invoice'. Enter any footer text as required (optional).
(N) Setup Print Dunning Letters
Receivables Setup
Dunning Letter Sets
Enter the Name and a Description for this dunning letter set. Check to resend the last letter that was sent within this dunning letter set. If you also check the Send Letters in Sequence box for a dunning letter set, Receivables will only resend a letter if the past due date range has not been exceeded. If both the Send Letters in Sequence and Resend Last Letter boxes are checked, Receivables will only resend the second letter in the set. Check to take into account the receipt grace days specified for the customer or customer site profile assigned to this set Check to include items that have been placed in dispute in all letters within this set
Check to include finance charges for all dunning letters within this set
Check to calculate finance charges on items in dispute
Check to include On-Account and Unapplied receipts in this set. Receivables groups these receipts together with the past due invoices in the same currency to show the net balance in that currency for a customer or site.
Check to maintain the order in which Receivables sends letters in this set. Sequencing allows control and incrementally increase the severity of the dunning letters. If this box is checked, Receivables ignores the value of the Resend Last Letter check box.
Choose the dunning method for this dunning letter set. Choose Days Overdue for the standard dunning method in which each letter is based on the number of days outstanding items are past due. Choose Staged Dunning increase the dunning level of past due items based on the last time a dunning letter was sent to this customer.
(N) Setup Print Dunning Letter Sets
Receivables Setup
Dunning Letter Sets (Contd)
Enter the dunning Letter Name to include in this set. If the Days Overdue dunning method is chosen, enter the minimum number of Days Past Due From (less receipt grace days) that a customer's oldest invoice, debit memo, credit memo, chargeback and unapplied and on-account payment must be to receive this dunning letter. In the Days Past Due To field, enter the maximum number of days past due (less receipt grace days) that a customer's oldest invoice, debit memo, credit memo, chargeback and unapplied and on-account payment must be to receive this dunning letter. Enter '999999' for the last letter in this dunning letter set to ensure that customers to whom this dunning letter set is assigned always receive dunning letters for their oldest outstanding debit items.
NOTE: If the Staged Dunning method is chosen, enter a number in the Dunning Level From field to indicate the minimum dunning level that a customer's oldest invoice, debit memo, or chargeback must be assigned to receive this dunning letter. Enter a number in the Dunning Level To field to indicate the maximum dunning level that a customer's oldest invoice, debit memo, or chargeback must be assigned to receive this dunning letter. Enter the minimum number of days (Min Days) that must pass before Receivables will increment an item to the next dunning level.
Check to include all of this customer's debit items that are not yet due in this dunning letter
Check to send copies of the invoices that this dunning letter includes with this dunning letter.
(N) Setup Print Dunning Letter Sets
Receivables Setup
Remit To Addresses
Enter the Country for this address. The default is the country entered in the System Options window. Enter an Alternate Name for this address (optional). Information can only be entered in this field if the profile option AR: Customers - Enter Alternate Fields is Yes. Enter a remit-to Address.
Enter the Postal Code for this remitto address. A postal code must be entered if values for both the From Postal Code and the To Postal Code are entered in the System Options window. This postal code appears when printing remit-to address on either statements or dunning letters.
Enter each Country to assign to this remit-to address. Receivables assigns all of customers who have bill-to addresses in the countries that you enter to this remit-to address.
Enter the State and range of Postal Codes for each country (optional). Multiple assignments for a remitto address that has the same country, state, or province but different postal code ranges can be defined.
(N) Setup Print Remit-To Address
Receivables Setup
Credit Usage Rules
Enter a name for the rule set Select the Global Exposure check box to enable the Usage Rule Set for global exposure (across operating units). The default value for this check box is un-checked (do not enable Global Exposure for the usage rule set).
Select the value Currency in the Usage Type field.
Enter a currency in the Currency field. The Currency field can contain any Currency Code currently defined. The Currency field may also use the lookup All Currencies to indicate the usage rule is for all currencies defined.
Chose to exclude a specific currency for your usage rule by selecting the Exclude check box. The default is unchecked, or No. If the field Currency has value of All, the Exclude check box is nonupdateable.
(N) Setup Credit Credit Usage Rules
Receivables Setup
Assign Credit Usage Rules
Before a Usage Rule Set can be assigned to a Credit Profile, first select the Credit Profile Type and then locate the corresponding Credit Profiles. Certain query processing logic has been disabled within the Find Credit Profiles window; If the value of the Credit Profile Type field is Profile Class, then fields Operating Unit, Customer, Bill To Site, and Item Category are disabled. If the value of the Credit Profile Type field is Customer, then fields Profile Class, Operating Unit, and Item Category are disabled. If the value of the Credit Profile Type field is Operating Unit Default, then fields Profile Class, Customer, Bill To Site, and Item Category are disabled. If the value of the Credit Profile Type field is Item Category, then fields Profile Class, Operating Unit, Customer, Bill To Site, and Overall Credit Limit fields are disabled.
The data appearing in the upper region of the window defaults from the Credit Profile queried. This information is protected against update.
Select a Name from the List of Values, and the included and excluded currencies fields will display currencies that the usage rule set consists of. These values are protected against update from this window.
(N) Setup Credit Assign Usage Rules
Receivables Setup
Credit Profiles
Select a value for the Credit Profile Type in the Credit Profile Type field. Valid Values are: Item Category Operating Unit Default If Credit Profile Type = Operating Unit Default, the Item Category field is disabled. If Credit Profile Type = Item Category, the Overall Credit Limit field is disabled. Select an Operating Unit name from a list of values if a Operating Unit Default Credit Profile is being defined. Select an Item Category name from a list of values if an Item Category Credit Profile is being defined.
Enter a numeric value in the Tolerance field. Tolerance values are used to calculate extended exposure limits during credit checking.
The following fields are for future use and are for information purposes only. Values that are ignored during the credit checking process are: Credit Check Credit Hold Credit Rating Next Review Date Select a value in the Currency field to limit the Credit Profile to a specific currency. Enter a value in the Order Credit Limit field, based upon the Credit Profile Type. New orders may not exceed the value entered in the Order Credit Limit field if the checking processing defaults to the operating unit level. Enter a value in the Overall Credit Limit field for a a Operating Unit Default Credit Profile Type. Total exposure within an operating unit for the particular customer may not exceed the value entered in the Overall Credit Limit field if credit checking processing defaults to the operating unit level.
(N) Setup Credit Define Credit Profiles
Receivables Setup
AR Accounting Periods
To open the next accounting period after the Latest Open Period, choose Open Next Period. Receivables changes the status of the next period to 'Open.' To update the status of an accounting period, place the cursor in the Status field next to that period, then enter a new status. An accounting period can have one of the following statuses: Closed: Journal entry, posting, and transaction entry are not allowed unless the accounting period is reopened. Receivables verifies that there are no unposted items in this period. Receivables does not let you close a period that contains unposted items. Close Pending: Similar to Closed, but does not validate for Unposted items. Journal entry, posting, and transaction entry are not allowed unless the accounting period is reopened. Future: This period is not yet open, but you can enter transactions in this period. However, you cannot post in this period until you open it. Not Opened: This period has never been opened and journal entry and posting are not allowed. Open: Journal entry and posting are allowed.
(N) Control Accounting Open/Close Periods
Profile Options
Profile Options
Profile Option Tax: Allow Ad Hoc Tax Changes Tax: Allow Manual Tax Lines Tax: Allow Override of Customer Exemptions Tax: Allow Override of Tax Code Tax: Invoice Freight as Revenue AR: Allow Overapplication in Lockbox AR: Application GL Date Default Function This profile option lets you choose whether to update rates and amounts assigned to tax codes in the Transactions window in Receivables, if you defined tax codes in the Tax Codes and Rates window and set Ad Hoc to Yes. Determines whether users can enter manual tax lines in the Transactions windows in Receivables. Determines whether users can override Customer Exemptions defined in the system This profile option lets you choose whether to override a system-derived tax code during order or invoice entry. Determines how Order Management imports freight amounts to Receivables when the Receivables Interface program is run. Controls how AutoLockbox handles receipts when the payment amount is greater than the balance due for a transaction. Determines how Receivables determines the default GL Date when receipts are applied.
Profile Options
Profile Option AR: Automatic Contact Numbering AR: Cash - Allow Actions AR: Change Customer on Transaction AR: Change Customer Name AR: Close Periods Run Collections Effectiveness Report AR: Create Bank Charges AR: Cross Currency Rate Type Function Determines whether customer contact numbers are automatically generated when new customers are entered. Determines whether adjustments and chargebacks can be created when applying receipts in the Applications window. Determines whether customer bill-to and ship-to names in the Transaction windows can be updated. Determines whether to let users update customer names in the Customer windows. determines whether Receivables automatically submits the Collections Effectiveness Report when a period is closed. Determines whether Receivables will consider bank charges and tolerance limits when applying receipts. Determines the default exchange rate Receivables uses when the receipt and transaction currency are different and the two currencies do not have a fixed rate relationship.
Profile Options
Profile Option AR: Default Exchange Rate Type AR: Enable Cross Currency AR: Enable SQL Trace AR: Include Receipts at Risk in Customer Balance AR: Invoices with Unconfirmed Receipts AR: Mask Bank Account Numbers AR: Override Adjustment Activity Account Option Function Determines the default exchange rate to use when converting foreign currency transactions to the functional currency. Controls whether a receipt in one currency can be applied to one or more transactions in a different currency using AutoLockbox and the Applications window. Enable this profile option before reproducing and researching SQL errors.
Controls whether Receivables displays items at risk and includes them when calculating customer account balances. Determines whether to adjust or credit invoices selected for automatic receipt. Control the display of bank account numbers in Receivables windows.
Choose whether you can override the default adjustment account when entering or updating manual adjustments and when updating automatic adjustments.
Profile Options
Profile Option AR: Receipt Batch Source AR: Sort Customer Reports by Alternate Fields AR: Transaction Batch Source AR: Update Due Date Function The default receipt source for the Batch field in the Receipts and Receipt Batches windows. Only Receipt sources with a Receipt Source Type of 'Manual' will be displayed in the list of values. controls whether Receivables will sort information using the value of the Alternate Name field in the Customers window. To use this option, the AR: Customers - Enter Alternate Fields profile option must also be set to Yes. Determines the default invoice source that will appear in the Batch field of the Transaction and Credit Memo windows. Determines whether the due date (payment schedule) of a transaction in the Installments and Account Details windows can be updated. Determines whether to automatically generate the party number when a Customer is created.
HZ: Generate Party Number
Reports
Reports
Report Aging Reports Description/ Function Use Aging reports to review information about open items. These reports print both detail and summary information about customer's current and past due invoices, debit memos, chargebacks, on-account credits, and onaccount and unapplied cash amounts. Review how customers' receipts were applied to invoices and debit memos or reversed from invoices and debit memos. The Applied Receipts Register prints all applications within the date range that specified, regardless of check date. Use this report to review a detailed list of transactions for the date range that you specify. You can also see all the activities against each transaction. This report prints one line for each activity against the transaction. Use this report to review summary information for your customer commitments. Receivables prints each commitment displaying information about the commitment, customer, primary agent, and other commitment information. Receivables also automatically prints all invoices and credit memos against the initial commitment, and displays the remaining balance of the commitment.
Applied Receipts Register
Billing and Receipt History
Commitment Balance Report
Reports
Report Cross Currency Exchange Gain/Loss Report Invoice Exception Report Description/ Function Use this report to review detailed information about your cross currency settlements. Use this report to match revenue accounts to accounts receivable. Receivables lists all transactions where Open Receivables is set to No. These transactions appear on the Transaction Register, but do not display in agings Use this report to identify the General Ledger journal entries imported from particular transactions in Receivables. Transactions that have not been transferred to General Ledger are marked with an indicator. Use this report to review miscellaneous receipts and document number information. Receivables prints deposit date, batch information, receipt information, code combination, and the percent allocated to each account for each receipt. Use this report to review a list of receipts for the range of dates, receipt numbers, or document numbers that you specify.
Journal with GL Details Report Miscellaneous Transactions
Receipt Register
Reports
Report Receipt Journal Report Description/ Function Use this report to review details of receipts that appear in your Journal Entries report. The Journal Entries report shows the receipt numbers that contribute to a particular GL account. Using the receipt number you can see the detailed information on the Receipt Journal report. Use this report to review all transactions. The summary totals for the revenue journal are by Posting Status, Agency, and Transaction Currency Use the Transaction Register to check that all postable items are reflected on your Sales Journal. Use the following formula to ensure that the Transaction Register matches your Sales Journal: Transaction Register (postable items) + 2 (Credit Memo Total) = Sales Journal (debits + credits) Use the Unapplied Receipts Register to review detailed information about your customers on-account and unapplied payments for the date range that you specify. You can use this report to determine how much your customer owes after taking into account all on-account and unapplied amounts. Receivables displays information about your on-account or unapplied payment such as GL date, batch source, batch name, payment method, payment number, payment date, on-account amount, and unapplied amount. This report includes both cash and miscellaneous receipts.
Revenue Journal by Customer Transaction Register
Unapplied Receipts Register
Reports
Report Unposted Items Report Description/ Function Receivables prints the Unposted Items Report for all items that are not posted for the specified GL date range. There are two ways to generate this report: through the Submit Requests window or by running the General Ledger Interface Program. Use this report to review your tax liability to the various tax authorities around the US. The US Sales Tax report includes all Invoices, Credit Memos, and Adjustments broken down by Ship To State, County, and City and lists taxable, exempt, and tax amounts. This report is used as the basis for the periodic Sales Tax Returns required by each state. Use the Tax Register report to review your tax liability. This report groups total tax amounts by tax type, tax class, and company. This report includes deferred tax accounting information and all transactions for which tax accounting is defined. Use this report to monitor your customers' overall payment patterns and see debit item information by the split amount you defined in the System Options window. Receivables automatically runs this report when you close an accounting period. Use this report to review and manage your collectors productivity. Receivables gives you a percentage breakdown of call topics and responses for each of your collectors within the date range that you specify.
US Sales Tax Report
Tax Register Report
Collection Effectiveness Indicators Collection Key Indicators Report
Reports
Report Past Due Invoice Report Customer Credit Snapshot Report Account Status Report AutoInvoice Reports Description/ Function Use this report to view information about your customer's past due invoices, debit memos, deposits, chargebacks, and guarantees. Use this report to see an overview of your customer's credit history. This report provides aging, customer credit history, and a brief look at the last transactions Receivables recorded for this customer. Use this report to review your customer accounts. For each customer in your Account Status report, Receivables prints all open debit items, credit items, and total balance due in your functional currency. Use the AutoInvoice Execution report to review the results of your AutoInvoice request. This report lists summary information telling you how many revenue and credit transactions are selected, accepted, and rejected for each currency. The AutoInvoice Execution report also shows the total invoice amount for each transaction type for all transactions processed. AutoInvoice automatically produces this report each time you run AutoInvoice. Use this report to review the number and amount of automatic receipts and remittances you have created, approved, or formatted. Receivables automatically generates this report when you submit a batch of automatic receipts or remittances to be created, approved, or formatted
Automatic Receipts and Remittances Execution Report
Reports
Report Posting Execution Report Invoice Print Preview Report Description/ Function Use this report to view a summary of all transactions by category and currency that make up your entries to your general ledger. Receivables automatically generates this report when you run General Ledger Interface. Use this report to review the invoices, debit memos, chargebacks, deposits, guarantees, credit memos, and on-account credits that will print if you specify these report parameters. You can submit this report from either the Print Invoices or the Submit Requests window. Use the Print Invoices window to submit your invoices, debit memos, chargebacks, deposits, guarantees, invoices against deposits, invoices against guarantees, credit memos, on-account credits, and adjustments for printing. You can print a batch of invoices, new invoices, selected invoices, and adjustments. Use this report to review a list of transactions that have been designated for automatic receipt application (i.e., that have been assigned an automatic payment method). You can review all transactions that are in different stages of the creation process. These stages include creating, approving, and formatting. Use this report to view a list of all transactions that have revenue amounts posted to suspense accounts.
Print Invoice Reports
Transactions Awaiting Consolidation
Invoices Posted to Suspense

Oracle Accounts Receivables

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Oracle Accounts Receivables

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Oracle Applications 11i

Oracle Accounts Receivables

A Presentation by EAS Oracle Applications December 2003

Oracle Accounts Receivables

Overview of Oracle Accounts Receivables

Enter Enter Customers Customers

Create Create Invoices Invoices

Print Print Invoices Invoices

Send to Send to Customers Customers

Use Use iReceivables iReceivables

Create customer profile classes

Enter customer information

Assign customers to profile classes

Review customer information

Eliminate duplicate information

Create customer relationships

Interface to Oracle General Ledger Interface to Oracle General Ledger

Update Update customer customer balance balance

Clear Clear receipt receipt

Reconcile Reconcile bank bank statement statement

Account Account overview overview

Release/ Release/ credit hold credit hold

Account detail Call Print statement Print dunning

Account Account detail detail

Call Call Customer account Transaction overview Correspondence

Trans./Receipt Trans./Receipt workbench workbench

Dispute Dispute history history

Oracle Receivables Owned by Oracle CRM Suite

Standard customer entry

Quick customer entry

Setting Customer Tax Attributes

Bank accounts Business purpose

Order Management information

Temporary Interface Tables

Oracle Receivables Customer Tables

Correct errors with SQL*Plus

Customer Interface Execution Report

(N) SetupExpendituresExpenditure Types

(N) SetupExpendituresExpenditure Types

(N) CustomersCustomer Accounts

Ship To site Bill to site

Ship To site Marketing

Bill To site Statements Dunning Legal

Warehouse Freight Terms FOB Ship Method Over/Undership Preferences

The system displays contacts in the Transaction and Collections windows.

(N) CustomersCustomer AccountsRelationships

Relationship types Relationship types categorize categorize relationships. relationships.

Credit check Collector Payment application Dunning letters Finance charges

Invoice line and tax printing Statement cycle Consolidated invoices

Payment terms Discounts Grace days

(N) CustomersProfile Class

(N) CustomersProfile Class

(N) CustomersProfile Class

The maximum amount of an individual order

(N) CustomersProfile Class

Create manual transactions

Calculate taxes, create GL accounts, update customer balances

Invoice Batch Statuses

Enter invoice header information

Enter invoice lines

Enter freight lines

AutoAccounting creates accounts

Open Available for entry and posting to GL