Tell me about yourself?

(Please say about your latest experience with Oracle EBS and educational exp as chornological order)Which responsibilities and hurdles you have handle in current project?

Define/document requirements and covert it to Document functional design then to analyze and map business requirements to Oracle Financials features Perform data analysis, fulfil technical requirements of Oracle Financial's setup and Evaluate technical solution.

Develop User Training intstances and Perform Oracle Financials product installations and used to Monitor systems and respond to technical issues.

Ive to Work with the Finance team, Finance System Operations and IT staff to implement new solutions Analyze issues (as-is), gather requirements for new solutions, perform gap analysis, and then translate the business requirements into technical solutions or new business processes that close the gap (to-be), Help develop testing plans and scripts Execute and document Oracle Financial Applications testing to compare actual with expected results Prepare end-user and technical documentation Train end-users.

I have to provide information to clients in the selection, implementation, and support of Oracle modules Including Oracle AP, AR, Cash Management, Fixed Assets and GL.

My role is to use accounting skills, business knowledge and Oracle financials expertise to effectively integrate packaged technology into the clients business environment in order to achieve client expected business results.

In addition, Im good team man and able to translate business requirements into process definition. I'm responsible for Design, Development, Testing and Rollouts. Starting from understanding the requirements to Designing and developing the application and Implementation Support was my responsibility at the time of Implementations.

Also, I have experience in defining business processes, setup the system to meet the desired business process and requirements based on knowledge of the Oracle Financials functionality, tools like Oracle Application Implementation methodologies, process design, mapping, Troubleshooting and issue resolution with Oracle Applications Financial modules, configuration and training/assisting users Functional design.

Tell me how to setup of gl?

To set up Oracle General Ledger, you first set up the Chart of Accountsthis is the prerequisite for setting up everything else either 11i or R12.

When you are ready to set up a Chart of Accounts, your first step is determining the Chart of Accounts structure. This includes the number of segments, as well as the length and data type of each segment. Next, you set up the value set for each segment, which governs valid values for each segment. Once you have set up the value sets, you can set up the Accounting flexfield structure, tie each segment of your Chart of Accounts to a database column such as SEGMENT1, and identify the balancing segment, cost center segment, Secondary Tracking Segment, Intercompany Segment and natural account segment using qualifiers.

When all of that is taken care of, you are ready to set up valid values for each segment. For the natural account segment, you must specify the account type: Asset, Liability, Ownership/Stockholders Equity, Revenue, or Expense. At the segment or combination level, you must have specified two options: Allow Budgeting determines whether you can budget for that segment or combination, while Allow Posting specifies whether you can enter journals or setups for that segment or combination.

To enforce more complicated validation and security, you can optionally set up cross-validation rules and security rules. Cross-validations rules allow you to cross-validate account code combination of segments. For example, you can only utilize certain cost centers for certain companies. Security rules allow you to restrict responsibilities to certain segment values of any segment.

Implementation considerations for setting Chart of Accounts include reporting, growth, budgeting, security, validation, datatypes, and ordering. Reporting is important because the Chart of Accounts can be used to partition data. However, too much detail may cause data entry and performance problems. You can build growth within the segments by increasing the length of the segment and including one or more spare segments for future use. You cannot budget and encumber at levels lower than the Chart of Accounts. Security and validation also affect your Chart of Accounts design and ordering. Finally, considering what rollup names you are going to use will help determine the datatypes.

When the time comes to access the screen of Accounting Setup Manger, you must first define a Chart of Accounts, accounting calendars, currencies, convention and Legal Entity. In the Accounting Setup Manger, youve to complete some steps: journal processing options, Reporting Currency, balancing segment values, SLA, operating units, intercompany accounts and accounting and reporting sequencing options. journal processing options has four screens to specify the credentials includes COA, Currency, Calendar, SLA Convention then next screen shows Year End Processing , Journal Processing and Currency Balancing options in which most important options are retained earnings and suspense options. Third screen show tow option which includes: Journaling Reconciliations and Budgetary Controlling and last screen is the summary of all options.

Major implementation considerations for the Ledger include what Chart of Accounts to use, what functional currency to use, what accounting calendar to use and what accounting convention to usea change in even one of these parameters is what separates one Ledger from another. In addition, changing the parameters for the four options in the preceding paragraph can lead to a different Ledger. (The exception to this is the Budgetary Control options, because Budgetary Control can also be turned on and off at the Oracle Purchasing level.)

Once the Accounting setup has finished, you define the accounting and transaction calendars, currencies, journal sources, and journal categories. Next, you set up the statistical units of measure, system controls, and profile options. Then, need to predefine account combinations if you disable the Allow Dynamic Inserts option; in particular, you must set up the retained earnings accounts, the intercompany account (if intercompany accounting is enabled), and the suspense account (if suspense accounting is enabled) before you define a Ledger.

Once you have completed the setup steps, you can open the current accounting period. You can select from four statuses for an accounting period: FutureEntry, Open, Closed, and Permanently Closed. The original status of an accounting period is Never Opened. Once you change it to one of the four statuses, you cannot return it to the Never Opened option. Do not permanently close a period if you want to open it again; just set it to the regular Closed status. The FutureEntry status is automatically set based on the number of future periods you specified in the Ledger: if you set the number of future periods to 2, when you open an accounting period, the next two periods are set to FutureEntry status.

Accounting Setup Steps

Before you can use Accounting Setup Manager, you must complete the required General Ledger setup steps. At the very least, you must:

Define a chart of accounts

Define an accounting calendar

Enable currencies

Creating an accounting setup consists of the following steps:

Define Legal Entities. If you are not integrating with Oracle subledgers or are defining an accounting setup that does not require a legal entity context, then you can skip this step.

Assign none, one or multiple legal entities to an accounting setup.

Define a primary ledger by specifying a name, chart of accounts, calendar, currency, and optionally a subledger accounting method.

Optionally assign one or more secondary ledgers. Secondary ledgers can differ from the primary ledger in any or all of the following:

Chart of accounts

Calendar

Currency

Subledger Accounting Method

Optionally, you can create reporting currencies and assign to the primary and/or the secondary ledger if you want to maintain multiple currency representations.

Complete the Accounting Options by specifying the journal processing options and transaction processing options for the setup components in this accounting setup.

Mark the accounting setup complete. This will prevent certain changes to your accounting setup and launch the GL Accounting Setup Program that will make your setup components ready for data entry.

Complete Accounting Options

The second step is to assign a primary ledger and optionally one or more secondary ledgers. Secondary ledgers can differ in one or more of the following from the primary ledger:

* Chart of accounts

* Accounting calendar

* Currency

* Subledger accounting method

Save the structure.

Note: You can add secondary ledgers at any time.

Complete Accounting Options

After you have saved the structure, you are ready to complete the accounting options. The accounting options page is in a checklist format. You must complete all of the required steps. Different setup steps are displayed depending on whether or not you are using legal entities, secondary ledgers, and reporting currencies.

It is strongly advised that you assign balancing segment values to legal entities to help you identify legal entities during transaction processing and reporting. You must assign Balancing Segment Values (BSV) to legal entities if you plan to use the Advanced Global Intercompany System.

After all of the required setup steps are complete, you can complete the entire accounting setup.

How to setup Chart of Account?

When you are ready to set up a Chart of Accounts, your first step is determining the Chart of Accounts structure. This includes the number of segments, as well as the length and datatype of each segment. Next, you set up the value set for each segment, which governs valid values for each segment. Once you have set up the value sets, you can set up the Accounting flexfield structure, tie each segment of your Chart of Accounts to a database column such as SEGMENT1, and identify the balancing segment, cost center segment, and natural account segment using flexfield qualifiers.

When all of that is taken care of, you are ready to set up valid values for each segment. For the natural account segment, you must specify the account type: Asset, Liability, Ownership/Stockholders Equity, Revenue, or Expense. At the segment or combination level, you can specify two options: Allow Budgeting determines whether you can budget for that segment or combination, while Allow Posting specifies whether you can enter journals or setups for that segment or combination.

What is key flexfield and FF Qualifiers Segment Qualifiers?

Key Flexfield is to provide the user with ability to customize key information structure and appearance in a way that will be meaningful to a particular organization.

Descriptive Flexfield is to expand oracle application to capture additional information specific to a company or process without additional programming.

A flexfield qualifier tags a particular segment with applications associates functionalities with it while; segment qualifier tags a particular value for a segment.

Tell me about secondary tracking segments? How to using in GL and FA?

You have assigned the Secondary Tracking Segment qualifier to a segment in your chart of accounts, you can enable these options. You can use an additional segment in your chart of accounts to track more detail when General Ledger performs posting, year-end closing, translation, and revaluation activities. To use this feature identify one flexfield segment (cannot be the balancing, intercompany, or natural account segment) from your chart of accounts as the secondary tracking segment. Enable the Closing and Translation option, the Revaluation option, or both to track retained earnings, cumulative translation adjustment, and revaluation unrealized gain/loss specific to the balancing segment and secondary tracking segment value pair depending on the options you enabled.

Use the a secondary tracking segment to nominate a segment in your chart of accounts to act as your secondary tracking segment. Any segment, except the balancing segment or natural account segment, can be specified as the secondary tracking segment.

Once you choose which segment you want as the secondary tracking segment, its value is paired with the balancing segment value when generating account balances for the Retained Earnings account, Unrealized Gains or Losses account, and the Cumulative Translation Adjustment account.

What is the difference between cross-validation rules and security-rules?

Security rules for restricted segment values that user can enter during data entry. The list of values will only display that are not restricted by security rules assigned to the responsibility whenever your user logged on as. Security rules can be applied to KFF and DFF.

To prohibit certain users from accessing specific segment values, you can define flexfield security rules and assign those rules to the responsibility of the restricted users. For example, you can create a security rule that grants a user access only to his or her own department. Accounting Flexfield segment values must pass every assigned flexfield security rule for a user's responsibility before the value can be selected by the user.

Cross-Validations Rules are used to prohibit defining of inappropriate flexfield combination. In other words A cross-validation rule defines whether a value of a particular segment can be combined with specific values of other segments. CRV can be applied to KFF, only Exceptions Inventory Key flexfields.

What is Ledgers and Secondary Ledgers? What are the four conditions...?In short, "a legal entity accounts for itself in a ledger."

A ledger provides balanced ledger accounting for the accounting entity and serves as the repository of financial information. Consequently, it is the principal source of information for the analytical applications in the Oracle E-Business Suite.

Ledger balances have meaning. They assert that the balance on an account at a given date has a specific value in a particular currency and is properly calculated. This implies a consistent application of what we sometimes call "the 4 Cs": Chart of Accounts (COA), Calendar, Currency, and accounting Convention. The COA provides the account code; Calendar the date and accounting period; Currency the transaction currency; and Convention the accounting rules and regulations for the company/country.

A ledger is created keeping in mind the 'Accounting Structure". This is made up of 4 'Cs' - Chart of Accounts, Currency, Calendar and Conventions of Accounting which choose in SLA. Chart of Accounts is made up of segments. Max of 30 Segments is allowed. 2 Segments are mandatory - Balancing and Natural Account - you must specify the account type: Asset, Liability, Ownership/Stockholders Equity, Revenue, or Expense. This can have a max of 365 periods (daily calendar) and a min of 1 period (Yearly calendar). Periods can be monthly, fortnightly, weekly, daily.

Ledger is of 2 types Primary Ledger and Secondary Ledger. Primary Ledger - All transactions are with functional Currency, Secondary Ledger - All transactions are with foreign Currency. Elements Of Ledgers:

* Chart of Accounts

Your chart of accounts is the account structure you define to fit the specific needs of your organization.

You can choose the number of account segments as well as the length, name, and order of each segment.

* Accounting Calendar

An accounting calendar defines an accounting year and the periods it contains.

You can define multiple calendars and assign a different calendar to each Ledger.

* Currencies

You select the functional currency for your Ledgers as well as other currencies that you use to transact business and report in.

General Ledger converts monetary amounts entered in a foreign currency to functional currency equivalents using supplied rates.

* Subledger Accounting Method

Legal entities that operate in different countries or industries can have different accounting standards.

For example, one legal entity uses the accrual method of accounting and another uses the cash basis of accounting.

Tell me about the Secondary ledgers Conversion options.

Secondary Ledger Conversion Levels

Balance Level

* The balance level secondary ledger maintains primary ledger account balances in another accounting representation. This type of secondary ledger requires Oracle General Ledger Consolidation to transfer primary ledger balances to this secondary ledger.

Journal Level

* The journal level secondary ledger maintains journal entries and balances in an additional accounting representation.

* This type of secondary ledger is maintained using the General Ledger Posting program. Every time you post a journal in the primary ledger, the same journal can be automatically replicated and maintained in the secondary ledger for those journal sources and categories that are set up for this behavior.

Subledger Level

* The subledger level secondary ledger uses both Subledger Accounting and the General Ledger Posting program to create the necessary journals in both the primary and secondary ledgers simultaneously. Subledger Accounting creates the journal entries from subledger transactions that integrate with Subledger Accounting.

* General Ledger Posting creates the journal entries for all other transactions that do not integrate with Subledger Accounting, including manual journal entries.

Adjustments Only

* Secondary ledger level is an incomplete accounting representation that holds only adjustments.

* The adjustments can be manual adjustments or automated adjustments from Subledger Accounting. This type of ledger must share the same chart of accounts, accounting calendar/period type combination, and currency as the associated primary ledger. To obtain a complete secondary accounting representation that includes both the transactional data and the adjustments, use ledger sets to combine the adjustments-only secondary ledger with the primary ledger when running reports.

Reporting Currencies

If you only need a different currency representation of the primary or secondary ledgers, assign reporting currencies to them. Unlike secondary ledgers, reporting currencies must share the same chart of accounts, accounting calendar/period type combination, subledger accounting method, and ledger processing options as their source ledger.

As a general rule, always use reporting currencies instead of secondary ledgers if you only need to maintain an accounting representation that differs in currency alone.

You can assign reporting currencies to both primary and secondary ledgers. Reporting currencies are maintained at one of the following currency conversion levels:

Reporting Currency (RC) Conversion Levels

You can maintain additional currency representations at three different levels:

Balance level

Journal level

Subledger level

* Balance level maintains translated balances. Every time you run translation in General Ledger, balances are stored in a balance level reporting currency.

* Journal level, is a currency representation of only your GL journals and balances. Every time you post a journal in GL, the journal will be converted to one or more journal level reporting currencies.

* Subledger level is a complete currency representation of your subledger transactions, GL journals entries and balances.

Every time you enter a subledger transaction or enter and post a journal directly in GL, the same transaction and journal will be converted to one or more associated subledger level reporting currencies.

Ledger Sets

Ledger Sets enable you to group multiple ledgers that share the same COA and calendar combination. Essentially, Ledger Sets allow you to treat multiple ledgers as one. For example, you can open and close periods for multiple ledgers in a ledger set in a single submission by submitting the new Open and Close Periods programs from the Submit Request form.

Data Access Sets

Data Access Sets enable you to specify read only or read and write access for a legal entity, ledger, balancing segment value or management segment value.

What is organization hierarchy in R12?

Organization hierarchy in Oracle Apps is the Ledger, legal entity, operating unit, and inventory organization form a hierarchical relation.

Legal entity identifies unique employer tax identification and posts to a single Ledger. Operating Unit points to a single legal entity and is used to segregate payables, receivables, order entry and cash management. Inventory organization points to a single Operating unit and it is used to segregate bill of materials, work in process, engineering, master scheduling, material requirement planning, capacity, and inventory data. A Ledger segregates General Ledger and Assets data.

How many methods to reversing journal in GL?

There are two methods to create reversing journal entries: switch the original debit amounts to credit amounts and vice versa, or change the sign of the amounts. When you create the original journal entries, you can also specify a reversal accounting period and reversal method; this way, if you decide later to reverse the journal, the reversal accounting period and method entered in the original journal will be used. If you have specified both of these options, you can use the Reverse Journal form to reverse a posted journal instead of the Enter Journals form.

What is difference between Conversion, Revaluation and Translation?

Conversion

Conversion refers to foreign currency transactions that are immediately converted at the time of entry to the ledger currency of the ledger in which the transaction takes place.

Revaluation

Revaluation adjusts liability or asset accounts that may be materially understated or overstated at the end of a period due to a fluctuation in the exchange rate between the time of transaction was entered and the end of the period.

Translation

Translation refers to the act of restating an entire ledger or balances for a company from the functional currency to a foreign currency.

Budget Accounting Cycle

Defining Budgets and Budget Organizations

* Define budget periods, up to a maximum of sixty.

* Define budget organizations at any level: cost center, division, sector, and so on. Control access to budget data by assigning passwords to those organizations. Create subsequent budget organizations quickly by copying existing budget organizations.

Entering Budgets

* Enter budget data using standard entry, formula-based entry, and automatic allocations.

* Enter budget amounts using annual spread, fixed amounts, and calculated methods.

* Enter budget amounts using either an individual account or a worksheet-type screen layout.

* Transfer budget amounts from one account to another. You can transfer a fixed amount or a percentage; you can transfer multiple periods at one time.

Reviewing and Correcting Budgets

* Review budget amounts by period and account combination. Check for budget variances and violations.

* Perform online review of master/detail budgets. Compare summary balances between master/detail budgets.

Freezing Budgets

* Freeze budgets to prevent further update to completed budgets.

Reporting on Budgets

* Run standard or customized budget reports.

How to setup Budgeting?

There are two steps in creating budgets. First, you need to define budgets. Valid budget statuses are Open, Current, and Frozen. Budgets with status Open and Current allow you to enter or update budget amounts. Budgets with status Frozen will not allow any modifications. You can only have a budget with the Current status within one Ledger. This budget will be the default of many budget-related forms. You can also indicate whether budgets require budget journals. In addition, you can set up master budgets and tie detail budgets to them. If you have an existing budget, you can use the AutoCopy button to copy its budget amounts to a new budget.

Next, you must set up budget organizations. Budget organizations identify a set of valid account combinations. You can define a budget organization name of ALL, which does not need to have specific account combinations assigned to it. The ALL budget organization is defaulted to be valid for all account combinations assigned to other budget organizations. You can password-protect any budget organization. You can define the budget organization to allow either Entered or Calculated budget entry types. The Entered budget entry type allows you to use the Budget Enter form, budget journals, and Budget Upload. The Calculated budget entry type allows you to use budget formula and Mass Budget.

You define budget organizations by account ranges. Once you have created new account combinations that fit the account ranges assigned to budget organizations, you must run the concurrent program Maintain Budget Organization to read the new account combinations into the budget organization. This concurrent program can be initiated through the forms Maintain button or through standard report submission. You can delete specific account assignments from budget organizations, but they will reappear unless you change the account range, so you must modify the account ranges as well for permanent deletion. If there is an existing budget organization, you can use the AutoCopy button to copy its account assignments into the new budget organization.

You can establish master/detail budgets in three steps. First, you must define the master budget and its associated detail budgets. Next, create budget organizations corresponding to all defined budgets. Do not overlap account combinations assigned to the master budget organization with those assigned to its detail budget organizations. The master budget organization has account ranges that include only the summary accounts. As a last step, create summary accounts corresponding to your master budget organization. With the master/detail budgets set up, you can run various standard reports to verify the status of your master and detail budgets, including Budget Master/Detail, Budget Summary/Detail, and Budget Unbudgeted Master/Detail Accounts.

Once you have created budgets, you are ready to enter budget balances. There are seven ways to enter or update budget balances: Enter Budget form, budget journals, budget formulas, Mass Budget, Budget Upload, Transfer Budget, and Budget Wizard in ADI. Using the Enter Budget form, you can use the Enter Budget Amount form to enter budget balances directly. You can view the budget balances in two modes: worksheet mode and single-row mode. You can use various budget rules to assist in entering budget balances. These budget rules include Divide Evenly, Repeat per Period, 4/4/5, 4/5/4, 5/4/4, Prior Year (balance types), and Current Year (balance types).

You can also use budget journals to update budget balances. The Define Budget Journal form is very similar to the Enter Budget form, but allows you to enter budget amounts in journal mode, in addition to worksheet mode and single-row mode. The Define Budget Journal form generates unposted budget journals that you must post to update budget balances, whereas the Enter Budget Amounts form updates budget balances directly.

How to build reports in FSG? Tell me about parts of FSG?

You can create FSG reports for any combination of report components. Remember that each FSG report has two required report components: a row set and a column set. You can create a report set to group collections of reports that usually run together. You can also create ad hoc reports that run report components without defining an FSG report.

Column set has some additional features. One of these is the override segment which, together with the override value, enables you to create a report with each column as an individual segment value. Using this feature you can, for example, create reports showing a column for each company. The Column Set Heading option uses tokens such as &POI, &BUDGET, &ENCUMBRANCE TYPES, and &CURRENCY to generate headings. POI stands for period-of-interest, and a heading token of &POI0 refers to the accounting period you entered as parameter for the FSG reports. &POI-1 refers to the accounting period prior to the one entered as parameter. The column set options include a Column Set Builder, which provides a graphical interface through which you can build column sets. You can also define exceptions formulas for column sets, which will cause report rows to be flagged if they meet the conditions you define.

You can use account assignments and calculations for either a row set or a column set. If you assign accounts to both a row set and a column set, only the intersecting accounts will be displayed. If calculations are tied to both row set and column set, then the Report Generator checks whether Override Column calculation or Override Row calculation are enabled; if they both are, then column calculation takes precedence. For account assignment, you can choose from three display types: Expand expands the parent value or account range into all possible child values, Total sums all possible child values for the parent value or account range, and Both shows both the detail and the total.

Parent values are defined as a group or range of child values. Parent values can be assigned to rollup groups for reporting purposes. Rollup groups are used when defining summary account templates. Summary account templates generate summary accounts. Each segment can be set to show all possible child values (option D), a single total across all child values (option T), or a rollup group that creates one summary account per parent value in the rollup group. The parent value T must be created to span all possible child values; it must have its Allow Detailed Posting and Allow Detailed Budgeting options disabled. You only need to delete and re-create summary accounts if you added or deleted parent values from rollup group.

Parts of FSG

FSG reports are made up of two required componentsa row set and a column setand three optional componentsa content set, row order, and display set.Row Order defines how rows should be sorted in the report. You can order by rank, value, and description. You can also omit a segment from a row set by setting its width to 0, as well as change the display sequence of segments.

Display sets and display groups let you define which combination of row sequences and column sequences to display.

Content sets let you generate different reports by overriding account assignments in a row set.

Display types in content sets include N, CT, PE, PT, RE, RT, and RB. PE is the most commonly used display type, with each segment value generating a separate report. The display types RE, RT, and RB behave the same as E, T, and B at the row set. The setting PT overrides the account range but not the display type.

You can create FSG reports for any combination of report components. Remember that each FSG report has two required report components: a row set and a column set. You can create a report set to group collections of reports that usually run together. You can also create ad hoc reports that run report components without defining an FSG report.

What is the difference between Recurring Journals and Mass Allocation?

Recurring Journals are for transactions that repeat every accounting period.

Example: Rent expenses that recur every month. Mass Allocation Journals are for single journal entry formula that allocates revenues and expenses across a group of cost centers, departments, divisions or cost centers. Example: Redistribute monthly rent expense to departments based on the amount of space each dept occupies. Rent expense for each dept = Total rent expense x area used by dept/ total area TYPE OF ENTRYRECURRING JOURNALSMASS ALLOCATION JOURNALS Formulas per lineone formula per line one formula for many lines FormulaAny formula A*B/C

What is recurring invoices?

Some times suppliers would not be sending any invoices. But still the payment has to make to him. Ex: rent, lease rentals. In this situation, we have to create invoice every period wise. For that purpose we have to create one recurring invoice template. Template means with one master copy creating the multiple invoices is called template. Here we are creating the one invoice master copy is formally known as recurring invoice or recurring invoice template. SET UP: 1)we have to create one special calendar 2)we have to create one full distribution set 3)we have to enter payment terms in the recurring invoice window 4)enter the template no, first invoice amount, special invoice amounts

Recurring Entries are of 3 types1. Standard, 2. Skeleton 3.Fornulae Based In GL Module1. Define Formula Batch (E.g.: ABC Rent batch)2. Enter Lines (Here u has both Debit as well as Credit lines)3. Generate Recurring period4. Review Journal Batch5. Post the batch1. Standard Recurring Journal: It is used of same accounts & same amounts Eg: Utilities Dr CashCr2. Skeleton Recurring Journal: It is used for same accounts but for different amountsE.g.: Recurring Fee Dr Cash Cr3. Formule Based Journal: It is used for different accounts with different amountsE.g.: Salaries Dr Cash CrWhat is the purpose of Intercompany in GL? Explain purpose of criteria?

You can control intercompany transactions using Global Intercompany System (GIS). GIS is a central repository for intercompany transactions, enabling subsidiaries and parent companies to send intercompany transactions to each other for review and approval before posting to the corresponding Ledger. You set up GIS by establishing subsidiaries (including the parent company), assigning the profile option Intercompany: Subsidiary to a responsibility, and setting up intercompany clearing accounts and transaction types.

When setting up subsidiaries and intercompany transaction types, you can enable AutoApproval; this is done automatically for parent subsidiaries. If AutoApproval is enabled, the sender can approve intercompany transactions before transferring them to the receiver. In this case, the sender must enter the intercompany journals in both the sender and the receiver subsidiaries. If AutoApproval is not enabled, the receiver must approve intercompany transactions. When entering intercompany transactions, you must specify the receiver, accounting periods, and intercompany clearing account to use for balancing out-of-balance intercompany transactions. When a control total is specified in an intercompany transaction, it is used to match to the intercompany clearing account amount.

For intercompany transactions that occur periodically, you should define recurring intercompany transactions and generate them whenever necessary. Once the intercompany transactions are submitted, the sender can only recall them if they have not yet been approved. Both the sender subsidiary and the receiver must run the Intercompany Transfer program to generate unposted journals. The Intercompany Transfer program selects all of the approved intercompany transactions in CENTRA to generate unposted journals. These unposted journals can be posted to update account balances. At the end of the parent accounting period, you can reconcile CENTRA by running intercompany transaction reports. To trace transactions, each intercompany transaction has an assigned unique number.

The sender and receiver can belong to the same or different Ledger. If your multiple companies are within one Ledger, you only need to set up a separate eliminating company with a separate balancing segment value, and use recurring journals to generate eliminating journals every accounting period.

Using FSG, you can report on the consolidated balances, including the eliminating company balances. If your multiple companies have different Ledger, you must set up the Global Consolidation System (GCS) to consolidate balances.

Closing and Translation

Retained Earnings Update Process and the Open Period Program: Balances for all income statement account combinations for a given pair of primary balancing and secondary tracking segment values will be closed out to a retained earnings account combination bearing the same segment values at the beginning of a new fiscal year.

Posting: When prior period posting occurs for income statement items, the corresponding retained earnings account is updated using both the primary balancing and secondary tracking segment values.

Translation: The retained earnings account will be translated and the cumulative translation adjustment (CTA) account will be updated for each primary balancing and secondary tracking segment value pair.

Revaluation

Revaluation: Revaluation gain or loss amounts will be posted to the unrealized gain/loss account you specify and tracked by balancing segment value and secondary tracking segment value pair.

The following table illustrates how the primary balancing and secondary tracking segments are used to close out the profit and loss accounts to retained earnings using the Open Period process at the beginning of the fiscal year. Adjustments to the CTA account by Translation are also depicted. Assumptions:

Chart of Accounts Structure: Company. Cost-Center. Natural Account

Primary Balancing Segment: Company

Secondary Tracking Segment: Cost Center

YTD Equity Translation Method

Year-End PD 12/02 P/L Balances

Tell me about Journal Import Process?

You can import information for subledgers and external systems via the Journal Import program, which reads journal entries from an interface table (GL_INTERFACE) and inserts them into Oracle GL production tables (batches, headers, and lines). You can choose to import journal entries summarized by account combinations, currency, and accounting period. If journal import fails, then you can use the Correct Journal Import Data form to correct the interface table. If the failure was due to invalid journal entries from an Oracle subledger, you will need to fix the subledger setup after you correct the interface table; otherwise, the same error will probably happen again. To reload data from the interface table, you can use the Delete Journal Import Data form to delete an entire journal based on source, accounting date range, group ID, and other criteria. Don't do this if the journal entries came from Oracle subledgers, because the Oracle subledgers will not resend data that has already been written to the interface tables.

Setup of Multi-Organizations

The next section describes the Multiple-Organization Support structure. Remember that legal entity identifies unique employer tax identification and posts to a single Ledger. Operating Unit points to a single legal entity and is used to segregate payables, receivables, order entry, and cash management. Inventory organization points to a single Operating unit and is used to segregate bill of materials, work in process, engineering, master scheduling, material requirement planning, capacity, and inventory data. A Ledger segregates General Ledger and Assets data. Together, the Ledger, legal entity, operating unit, and inventory organization form a hierarchical relation. Legal Entity, Operating Unit, Inventory Organization, and Business Group are inventory classifications. The profile option MO: Operating Unit determines the operating unit to which a user is assigned.

The APPS schema in Multiple-Organization Support allows you to partition data by operating unit. For tables that are not partitioned by operating unit, the APPS schema simply contains synonyms that point to the tables. For tables that are operating unit partitioned, the APPS schema contains views that filter the data from the *_ALL tables by comparing their ORG_ID column to the users operating unit.

Multi-Reporting Currencies

MRC in Oracle Applications allows you to track accounting transactions in more than one functional currency. Oracle Applications modules that support MRC include Assets, Cash Management, Cost Management, General Ledger, Payables, Projects, Purchasing, and Receivables. You set up MRC by establishing Reporting Ledger that is associated with one Primary Ledger. Reporting Ledger have a different functional currency than the Primary Ledger.

MRC is made possible by translating accounting transactions into both the primary functional currency and the reporting functional currencies. Oracle subledgers convert the accounting transactions as the transactions are saved. The conversion rate used is defined by the Conversion option set at the Applications modules and books/operating units level. If no conversion rates are found, you can configure the system to either use the prior rate or generate an error. From the subledgers, you must transfer the accounting transactions multiple timesonce to the Primary Ledger, and once to every Reporting Ledger.

To initialize the Reporting Ledger balances, you can first translate the balance in the Primary Ledger to the Reporting functional currency, then consolidate the Primary Ledger balances into the Reporting Ledger. These processes can be performed for both budget and actual balances.

Translation translates account balances from the functional currency to any defined currency. In accordance with SOX -Compliance, the Translation program translates revenue and expense accounts based on period-average exchange rates, asset and liability accounts based on period-end exchange rates, and ownership/stockholders equity accounts based on historical rates. Adjustments are posted to the cumulative translation adjustment accounts specified when you define your Ledger.

Conversion rates for EMU currency are derived by first converting the EMU currency to EUR using the currency derivation factor. Based on the conversion date and conversion type in the foreign journals, the EUR amount is translated to the functional currency. If no conversion rate exists between EUR and the functional currency for the specified conversion date and conversion type, an error message will appear.

Foreign Currency Concepts

Conversion

* Conversion refers to foreign currency transactions that are immediately converted at the time of entry to the ledger currency of the ledger in which the transaction takes place.

Revaluation

* Revaluation adjusts liability or asset accounts that may be materially understated or overstated at the end of a period due to a fluctuation in the exchange rate between the time the transaction was entered and the end of the period.

Translation

* Translation refers to the act of restating an entire ledger or balances for a company from the ledger currency to a foreign currency.

Multiple Currency Support

Reporting Currencies are integrated with ledgers. You specify the reporting currency as a part of the ledger with which you are working.

* Reporting currency is flexible. You can maintain additional currency representations at three different levels:

Balance level

Journal level

Subledger level

* Balance level maintains translated balances. Every time you run translation in General Ledger, balances are stored in a balance level reporting currency.

* Journal level, is a currency representation of only your GL journals and balances. Every time you post a journal in GL, the journal will be converted to one or more journal level reporting currencies.

* Subledger level is a complete currency representation of your subledger transactions, GL journals entries and balances.

Every time you enter a subledger transaction or enter and post a journal directly in GL, the same transaction and journal will be converted to one or more associated subledger level reporting currencies.

Reporting Currencies are not the same as secondary ledgers. Looking at the 4 C's that define a ledger, we have a chart of accounts, calendar, accounting method, and currency.

If you only need multiple currencies to support your reporting requirements, use reporting currencies.

If you need to account for your data using different calendars, charts of accounts, accounting methods in addition to currency, use a secondary ledger.

Pl. describes Global Consolidations step wise?

To set up the GCS, you first create consolidation mappings, which determine how the subsidiary Chart of Accounts maps to the parent Chart of Accounts. Decide whether the mappings should utilize the Balances method or the Transactions method. Consolidate the statistical balances by entering STAT as the currency for the mappings. You can set up segment rules and account rules for the mappings. Account rules override the segment rules, so they are usually used as exceptions. The two Ledger need not share the same value set, but must have the same valid segment values. The second step in setting up the GCS is to prepare the consolidation data. Such data includes revaluing balances if any of your subsidiaries have balance sheet accounts entered in foreign currencies, as well as translating balances and running trial balances.Global Consolidation System (GCS) General Ledger provides the Consolidation Workbench to facilitate the consolidation process. Within the Consolidation Workbench is the State Controller, which is a set of colored buttons that help guide you through the consolidation process. To set up the GCS, you first create consolidation mappings, which determine how the subsidiary Chart of Accounts maps to the parent Chart of Accounts. Decide whether the mappings should utilize the Balances method or the Transactions method. Consolidate the statistical balances by entering STAT as the currency for the mappings.

You can set up segment rules and account rules for the mappings. Account rules override the segment rules, so they are usually used as exceptions. There are three actions for segment rules: Copy Value From, Assign Single Value, or Use Rollup Rules. Copy Value From means copying the segment value from the subsidiary Ledger directly into the segment value of the parent Ledger. (The two Ledger need not share the same value set, but must have the same valid segment values.(1) Assign Single Value means to use a constant as the segment value for the parent Ledger. Use Rollup Rules From means map segment values from the subsidiary Ledger to the parent Ledger using the four rollup rules with different combinations of values for the transfer-level and using parameters. These four combinations are: detail-detail ranges, in which all segment values within the range in the subsidiary map to the specified segment value in the parent; (2) detail-parent ranges, where the parent value in the subsidiary maps to the specified segment value in the parent; (3) summary-parent ranges, where the summary accounts tied to the parent value in the subsidiary map to the specified segment value in the parent; and (4) summary-parent ranges, where the summary accounts tied to the parent value ranges in the subsidiary map to the specified segment value in the parent.

If you wish, you can set up consolidation mapping sets that consist of multiple mappings with the same parent subsidiaries. These are helpful when multiple subsidiary mappings are being submitted at once.

The second step in setting up the GCS is to prepare the consolidation data. Such data includes revaluing balances if any of your subsidiaries have balance sheet accounts entered in foreign currencies, as well as translating balances and running trial balances.

Once you have finished setting up the GCS, you are ready to run consolidations. This is a multistep process. First, transfer the consolidation data. The transfer consolidation program gathers balances or transactions from the subsidiaries based on the consolidation mappings and then transfers the balances or transactions into the appropriate segment values of the parent Chart of Accounts. The transfer program generates unposted consolidation journals in the parent Ledger. Then the parent Ledger posts the unposted consolidation journals to update account balances. After posting, the parent Ledger must generate elimination journals to eliminate intercompany sales, subsidiary investments, and other intercompany activities. You can create elimination journals by manually entering the journals, or by creating and generating elimination sets from the State Controller. Elimination sets are set up the same way as recurring journals.

There are several consolidation reports that can help with the consolidation process. These include the Consolidation Unmapped Subsidiary Accounts report, which shows subsidiary accounts that are not mapped to any parent account. You can also use the drill-down feature from the online account inquiry form to discover more details on the consolidation balances.

Pl. describes Data Access Security for Legal Entities and Ledgers

Data Access Sets are a security feature that enables you to grant and secure access to ledgers, or portions of the ledger, by its balancing segment values or management segment values.

If a balancing segment value is assigned to a ledger, then you can secure access to specific balancing segment values.

Furthermore, if you have balancing segment values assigned to a legal entity, then you can secure access to specific legal entities.

Data Access Set Types:

Full Ledger Access means you have access to the entire ledger.

For example, this could mean read-only access to the entire ledger or both read and write access.

Specific BSVs means you can only access one or more balancing segment values for that ledger.

You can specify read-only, read and write access, or a combination of the two for different balancing segment values.

Notes:

Segment Value (Flexfield) Security Rules provide similar functionality. A key feature of Segment Value Security is general data access restriction within a responsibility.

Data Access Sets provide more advanced configurations within a responsibility, because you can now have tailored access rules to multiple ledgers within the same responsibility.

For example, you can block access to one segment for one ledger and allow access for the same segment in another ledger in the same responsibility for balancing and management segments.

Pl. describes Data Access Security for Legal Entities and Ledgers

BSV security adds an important aspect to multi-ledger processing. This aspect of Data Access Sets enables us to maintain more granular control for multi-ledger processing at the responsibility level.

For example, while reviewing ledger sets, you can perform the following GL processes across multiple ledgers simultaneously:

* Opening and closing periods

* Creating period-closing journals, mass allocations, and recurring journals

* Translating balances

* Viewing journals and balances using account inquiry

* Financial Reporting, including both standard reports and FSG reports.

With BSV Data Access Security, you can prevent or limit access to certain processes. For example, you can generate recurring journals for a subset of BSVs for multiple ledgers in a ledger set. For cross-ledger operations, a responsibility with limited access to one BSV in a set of ledgers can still run FSG reports, but can only query data from the segments for which the responsibility has access.

Pl. describes Data Access Security for Legal Entities and Ledgers

Setup and Process

The setup for the security aspect of Data Access Sets is the same as we saw earlier.

You manually define a Data Access Set and tailor it to your needs, or use the system-generated Data Access Sets.

Again, if you have more than GL responsibility assigned to a particular user, each responsibility for the particular user has access to the superset of all combined Data Access Sets assigned to the users responsibilities.

Setup - Define Data Access Set

(N) Setup : Financials : Data Access Sets

Notice the Access Set Type field. There are three options:

* Full Ledger

* Balancing Segment Value

* Management Segment Value

Each Data Access Set must be of one of these access set types. Depending on the Access Set Type, you can assign more specific access restrictions, such as to specific business segment or management segment values.

To specify BSV levels of data access granularity, the Access Set Type must be set accordingly and the corresponding BSVs specified in the Specific column under Access Details > Values.

Management Reporting and Security

In Release 12, a new type of segment qualifier has been added, a management segment qualifier. You can assign this to a segment in which you want to perform management reporting and analysis. For example, you can include a Cost Center, a Line of Business, or a Product Line because they tend to have managers assigned to them.

If you choose a management segment, you can use data access sets to limit access to specific management segment values.

Management Reporting and Security

Above is an example of how the management segment may be used. This is the cost center organizational hierarchy. Director A has cost center OU97, Director B has OS69 and Director C has OX53.

Assume Director A and his counterparts are very competitive with each other and theyre always competing on who has the lowest expenses and who gets the higher budgets, etc.

By assigning the cost center segment as the management segment, we can secure read and write access to certain management segment values based on cost center manager.

* For example, Director A may have read and write access to only his cost center enabling him to modify budget amounts or expense items and view his results in management reports.

* Director A would not have access to Director B or Director Cs cost center or to Vice President's cost center (which most likely is a parent value of all of his direct reports).

Management Reporting and Security Setup

* Select a segment of your chart of accounts to designate as your management segment.

* Define a data access set secured by management segment values within a ledger or across ledgers in a ledger set.

* Assign the data access set to a responsibility, and the security will take effect for that responsibility.

* This is available in all applications that use data access sets.

Note: The management segment can be any segment except the balancing segment, natural account segment or intercompany segment.

Pl. describes Setting Budgetary Control

Setting the Summary Account Budgetary Control Options

If budgetary control is enabled for your ledger, enter budgetary control options for your summary account template.

Choose the Incremental Add/Delete Summary Templates from the Submit Request window.

Note: You also need to run the program, Maintain Summary Templates to update summary accounts for nonflexfield hierarchy related changes.

To set the budgetary control options for a summary account template:

1.Open the Summary Accounts window.

2.Enter the summary account template Name.

3.Enter the summary account Template.

4.Enter the Earliest Period for which you want General Ledger to maintain your actual, encumbrance and budget summary account balances. General Ledger maintains summary account balances for this accounting period and for subsequent periods.

5.Enter the Funds Check Level. If you choose the Advisory or Absolute funds check level, you must enter values in the remaining budgetary control fields. You cannot enter values in these fields if you choose the None funds check level.

6.Assign a Debit or Credit balance type to your summary template. General Ledger uses the balance type to determine if funds are available, based on the funds available equation:

Funds Available = Budget Actual Encumbrance

For summary accounts with a Debit balance, General Ledger considers funds available to be sufficient if the funds available equation yields a positive result.

For summary accounts with a Credit balance, General Ledger considers funds available to be sufficient if the funds available equation yields a negative result.

Note: Assigning a balance type of debit or credit to a summary account does not restrict the balance type of the detail accounts that roll up into a summary account.

7.Enter the Amount Type, or cumulative balance used in the funds checking interval.

8.Enter the Boundary, or the endpoint of the funds checking interval. Combined with the amount type you specify, boundary determines the time interval over which to perform summary level budgetary control.

9.Enter the Funding Budget against which you want General Ledger to check or reserve funds. You can only choose a funding budget that requires journal entries. General Ledger requires you to create budget journal entries for your funding budget to enforce budgetary control.

Note: If you want to change the funds check level from None to Advisory or Absolute, you must delete the summary template and then recreate it with the appropriate funds check level. General Ledger does not perform summary level budgetary control retroactively for the summary accounts it creates.

To set the budgetary control options for a summary account template:

1.Open the Summary Accounts window.

2.Enter the summary account template Name.

3.Enter the summary account Template.

4.Enter the Earliest Period for which you want General Ledger to maintain your actual, encumbrance and budget summary account balances. General Ledger maintains summary account balances for this accounting period and for subsequent periods.

5.Enter the Funds Check Level. If you choose the Advisory or Absolute funds check level, you must enter values in the remaining budgetary control fields. You cannot enter values in these fields if you choose the None funds check level.

6.Assign a Debit or Credit balance type to your summary template. General Ledger uses the balance type to determine if funds are available, based on the funds available equation:

Funds Available = Budget Actual Encumbrance

For summary accounts with a Debit balance, General Ledger considers funds available to be sufficient if the funds available equation yields a positive result.

For summary accounts with a Credit balance, General Ledger considers funds available to be sufficient if the funds available equation yields a negative result.

Note: Assigning a balance type of debit or credit to a summary account does not restrict the balance type of the detail accounts that roll up into a summary account.

7.Enter the Amount Type, or cumulative balance used in the funds checking interval.

8.Enter the Boundary, or the endpoint of the funds checking interval. Combined with the amount type you specify, boundary determines the time interval over which to perform summary level budgetary control.

9.Enter the Funding Budget against which you want General Ledger to check or reserve funds. You can only choose a funding budget that requires journal entries. General Ledger requires you to create budget journal entries for your funding budget to enforce budgetary control.

Note: If you want to change the funds check level from None to Advisory or Absolute, you must delete the summary template and then recreate it with the appropriate funds check level. General Ledger does not perform summary level budgetary control retroactively for the summary accounts it creates.

Pl. describes Steps to Create MassAllocation Journals

Five-Step Process

1.Create MassAllocation Definition

* Enter batch information

* Create MassAllocation formulas

* Enter MassAllocation formulas

2.Validate Definition

3.Generate MassAllocation Journals

* Choose which batch to generate

4.Review Entries

* Review the journal for accuracy

5.Post the Journal Entry

Defining MassAllocation Journals

(N) Journals > Define > Allocation

To create MassAllocation Journal, use the following basic steps:

1.Open the Define MassAllocations window.

2.Enter a Name and Description (optional) for the MassAllocation batch.

3.Choose Actual or Encumbrance from the Balance Type poplist.

4.Select Formulas to enter MassAllocation formulas, then save your work.

5.Select Validate All to validate this batch and other unvalidated batches.

Note: Formulas cannot be generated until they have been validated successfully. Oracle General Ledger verifies that allocation formulas conform to MassAllocation definition rules. If Oracle General Ledger finds an invalid allocation, it marks the entire batch with an error status. Validation does not guarantee that an journal entry will be created from the journal definition. There must be balances in the accounts used in the MassAllocation journal.

6.Check the MassAllocation batch validation status:

* Validated: The definition is valid and follows the definition rules.

* Not Validated: The definition had not bee validated yet. Select the Validate ALL button.

* In Process: Oracle General Ledger is still validating the formula.

* Error: The formula is not correct. Make corrections and select for validation again.

7.Generate unposted journal batches from your MassAllocation formulas.

Note: You can identify errors using the MassAllocations/MassBudgeting Validation Report.

Defining MassAllocation Journals

(N) Journals > Define > Allocation

To create MassAllocation Journal, use the following basic steps:

1.Open the Define MassAllocations window.

2.Enter a Name and Description (optional) for the MassAllocation batch.

3.Choose Actual or Encumbrance from the Balance Type poplist.

4.Select Formulas to enter MassAllocation formulas, then save your work.

5.Select Validate All to validate this batch and other unvalidated batches.

Note: Formulas cannot be generated until they have been validated successfully. Oracle General Ledger verifies that allocation formulas conform to MassAllocation definition rules. If Oracle General Ledger finds an invalid allocation, it marks the entire batch with an error status. Validation does not guarantee that an journal entry will be created from the journal definition. There must be balances in the accounts used in the MassAllocation journal.

6.Check the MassAllocation batch validation status:

* Validated: The definition is valid and follows the definition rules.

* Not Validated: The definition had not bee validated yet. Select the Validate ALL button.

* In Process: Oracle General Ledger is still validating the formula.

* Error: The formula is not correct. Make corrections and select for validation again.

7.Generate unposted journal batches from your MassAllocation formulas.

Note: You can identify errors using the MassAllocations/MassBudgeting Validation Report.

Account Segment Types

Looping (L)

* Assign this type to a parent segment value to include each child value assigned to the parent value in the formula.

* The allocation program runs the formula once for each corresponding child segment value.

* You can loop only on parent values.

Summing (S)

* Assign this type to a parent segment value to sum the account balances of all the child segment values assigned to a parent.

* You can sum only on parent values.

Constant (C)

* Assign this type to a child segment value to use the detail account balance associated with the child value.

Target and Offset Accounts

These are the lines that are the actual journal entry.

Target (T)

* Enter an account in the Target line to specify the destination for your allocations.

* The parent value used in the target must be the same parent value used in the B and C lines of the formula.

Offset (O)

* Enter an account in the Offset line to specify the account to use for the offsetting debit or credit from your allocation.

* The Offset account is usually the same account as formula line A to reduce the cost pool by the allocated amount.

Rent Expense Example

* You can automatically allocate rent expense.

* Row

Co DeptN. Acct

* A

01 0005740

Allocate cost pool to all departments

*

C C C

* B

01999SQFT

Loop through square footage of each department

*

CLC

* C

01999SQFT

Total the square footage

*

CSC

* T

019995740

Assign each department the result of A*B/C

*

CLC

* O

010005740

Use cost pool as offset account.

*

CCC

* Note: In the last example, O must be different from A to add incremental allocations.

Validating MassAllocation Journals

There are four validation statuses:

* Validated: The definition is valid and follows the definition rules.

* Not Validated: The definition had not bee validated yet. Select the Validate ALL button.

* In Process: Oracle General Ledger is still validating the formula.

* Error: The formula is not correct. Make corrections and select for validation again.