This glossary includes terms that are shared by all Oracle Financial Applications products.
See also: Oracle Projects Glossary, Oracle Projects documentation set
A calendar with 12 uneven periods: typically two four-week periods followed by one five week period in a quarter. Calendars are defined in General Ledger and Oracle subledger applications. Depreciation is usually divided by days for a 4-4-5 calendar. Since a 4-4-5 calendar has 364 days per year, it has different start and end dates for the fiscal year each year.
The business relationship that a party can enter into with another party. The account has information about the terms and conditions of doing business with the party.
A unique combination of segment values that records accounting transactions. A typical account combination contains the following segments: company, division, department, account and product.
account derivation rule
(Oracle Subledger Accounting) A component of the Accounting Methods Builder (AMB) that determines the Accounting Flexfield for the subledger journal entries.
Fixed asset or long-term liabilities for which governments usually maintain separate accountability. Governments usually maintain these transactions in account groups known as the general fixed assets account group and the general long-term debt account group.
A hierarchical account structure containing parent and child accounts, where a range of child values roll up to parent accounts. A multi-level parent hierarchy can exist where higher level parents are parents of lower level parents. Parent hierarchies let you define reports using parent values instead of individual child values in Oracle General Ledger. Parent values also facilitate summary account creation to allow you to view summarized account balances online.
A relationship that implies financial responsibility between the owners of the accounts. For example, a customer account relationship lets you apply payments to and create invoices for related customers, as well as apply invoices to related customers' commitments.
The role that a party has in regard to controlling or using an account, for example, owner, authorized user, or contact.
One of up to 30 different sections of your Accounting Flexfield, which together make up your general ledger account combination. In a commercial context, each segment typically represents an element of your business structure, such as Company, Cost Center or Account.
account segment value
A series of characters and a description that define a unique value for a particular value set.
A site that is used within the context of an account, for example, for billing or shipping purposes.
Placeholders used by Subledger Accounting to store source values that are used to create subledger journal entries. Examples of accounting attributes are Entered Currency Code, Entered Amount, and Party ID.
The calendar that defines your accounting periods and fiscal years in Oracle General Ledger and subledger applications. Oracle Financial Analyzer will automatically create a Time dimension using your accounting calendar.
accounting chart of accounts
(Oracle Subledger Accounting) In the AMB, the accounting chart of accounts refers to the ledger's chart of accounts which is used to create the Accounting Flexfields for the subledger and journal entries. All journal entries are created in the context of an accounting chart of accounts.Usually, the transaction and accounting charts of accounts are the same. The transaction and accounting charts of accounts differ only when a primary ledger and any of its associated secondary ledger are defined with different charts of accounts.See: Transaction Chart of Accounts
In some financial contexts, a term used to refer to the currency in which accounting data is maintained. In this manual, this currency is called ledger currency.
A subledger journal entry in Subledger Accounting or a general ledger entry in General Ledger.
See: Business Events.
accounting event entity
(Oracle Subledger Accounting) Accounting event entities group one or more event classes together and often correspond to a database object. The event entity may also logically correspond to a single document which is used as the basis for several related transactions, for example, Payables or Receivables invoices.
accounting event type
(Oracle Subledger Accounting) Accounting event types represent the business operations that can be performed on the transactions. For example, Payables invoices are subject to three types of business operations: Invoice Validated, Invoice Adjusted, and Invoice Canceled, each of them corresponding to a different accounting event type. Accounting event types provide the lowest level of detail for assigning accounting definitions.
The code you use to identify a general ledger account in an Oracle Financials application. Each Accounting Flexfield segment value corresponds to a summary or rollup account within your chart of accounts.
accounting flexfield structure
The account structure you define to fit the specific needs of your organization. You choose the number of segments, as well as the length, name, and order of each segment in your Accounting Flexfield structure.
accounting flexfield value set
A group of values and attributes of the values. For example, in a commercial context, the value length and value type that you assign to your account segment to identify a particular element of your business, such as Company, Division, Region, or Product.
Accounting Methods Builder (AMB)
(Oracle Subledger Accounting) A common module used to define application accounting definitions. Oracle seeds default application accounting definitions in the AMB that cannot be modified. Users use the AMB to create their own application accounting definitions to meet local fiscal or managerial reporting requirements. Components of the AMB include journal entry header and line descriptions, account derivation rules, journal line types, application accounting definitions, journal lines definitions, and subledger accounting methods.
A set of selected individual accounts and account ranges. You can assign a name to an accounting model. Once an accounting model is defined for a particular group of accounts, you can reuse that accounting model whenever you want to work on that group of accounts. Use your accounting models to choose the accounts that you want to adjust when you run the inflation adjustment process. Although there are no rules for grouping accounts, you may want to define different accounting models for different kinds of accounts. For example, you can define one accounting model for all of your asset accounts and another accounting model for all of your liability accounts.
(Oracle Subledger Accounting) A consistent representation of the financial situation of an organization expressed in terms of journal entries and account balances. An organization can use multiple primary and secondary accounting representations, each oriented towards a different audience of financial readers. For example, a U.S. organization with a legal entity in France may utilize a French Fiscal accounting representation oriented towards the French auditors. It may also use a U.S. GAAP representation, which is used for consolidating financial statement results with the U.S. operations and read by U.S. investors.
Rules that you can use for imported and manually entered transactions to specify revenue recognition schedules. You can define an accounting rule in which revenue is recognized over a fixed or variable period of time. For example, you can define a fixed duration accounting rule with monthly revenue recognition for a period of 12 months.
(Oracle Subledger Accounting) A journal entry created to record revenue or expenses, which can be incurred over multiple GL periods. Typically, these items are booked into a deferred or prepaid account and later recognized in the periods in which they are incurred with an accrual reversal entry.
A tax book for Adjusted Current Earnings ("ACE") tax calculations.
ACH (Automated Clearing House)
In Oracle Payments, the network commonly used in the United States for low value electronic funds transfers.
In Oracle Payments, a file provided by a payment system in response to a settlement batch or electronic payment instruction, indicating that the payment system has read and can understand the settlement batch or payment instruction.
(Oracle Trading Community Architecture) The part of the DQM matching process that matches input record attributes against the attributes in the staged schema to get a smaller group of records that form the work unit. This process narrows down the records that can be scored in the scoring part of the matching process.
(Oracle Trading Community Architecture) Attributes used for selecting the most relevant subset of records for matching, or the work unit. For example, to get records based on D-U-N-S Number, you include the D-U-N-S Number attribute for acquisition.
acquisition and disposal category
(Oracle Financial Consolidation Hub) A category that enables users to automate accounting entries or input manual entries as a result of acquisition and disposals.
In Oracle Receivables, a name that you use to refer to a receivables activity such as a payment, credit memo, or adjustment.
In Oracle Advanced Collections, events that occur during a customer interaction, such as taking a payment, submitting a dispute, or sending a dunning letter.
(Oracle Trading Community Architecture) A device that enables different pieces of software to be compatible. In the context of address validation, adapters facilitate integration between the TCA Registry and a third party or a deploying company data source.
adjusted current earnings ("ACE")
A set of depreciation rules defined by United States tax law. Oracle Assets supports the Adjusted Current Earnings tax rules.
In Oracle Payables, an advance is a prepayment paid to an employee. You can apply an advance to an employee expense report during expense report entry, once you fully pay the advance.In Oracle Payables, payments made before work commences, which are not necessarily tied to the completion of a task or a milestone.
In Oracle Payables, Receivables and General Ledger, an individual responsible for providing goods or services or authorizing their provision to another government entity or recipient. In Oracle Cash Management, the customer name or supplier name on a bank statement line.
The sum of the end-of-day balances for a range of days. There are three types of aggregate balances: period-to-date (PTD), quarter-to-date (QTD), and year-to-date (YTD). All three are stored in the General Ledger database for every calendar day.
The Aggregation category creates consolidated financial results for each consolidation entity. It writes to the consolidation entity the summation of data for all children across all categories.
In Oracle Receivables and Oracle Payables, time periods you define to age your debit items. Aging buckets are used in the Aging reports to see both current and outstanding debit items. For example, you can define an aging bucket that includes all debit items that are 1 to 30 days past due.In Oracle Cash Management, aging buckets are used to define time periods represented in the forecast. Examples of aging buckets are date ranges or accounting periods.
A journal entry you use to allocate revenues or costs.
See: Accounting Methods Builder
In Oracle Payables, an order you place, receive, and pay, based solely on the amount of service you purchase.
A tax identified as chargeable for a specific transaction.
(Oracle E-Business Tax) In the context of a tax rule, the setting that indicates that a rule only applies to event classes belonging to that application.
application accounting definition
(Oracle Subledger Accounting) The collection of setups or rules that determine how accounting events are processed by the Subledger Accounting program to create subledger and general ledger journal entries. The application accounting definition includes journal line types, account derivation rules, journal entry descriptions, and journal lines definitions. These components are set up in the AMB.
application event class
A category of documents or transactions of an Oracle E-Business Suite application.
application event type
An action on a document or transaction of an application event class. Typical event types include Create, Cancel, and Validate.
application events mapping
A mapping of an application event class to a tax event class.
An authorization by a legislative body that permits a government to incur obligations and make payments for specified purposes. An appropriation usually follows enactment of authorizing legislation. Appropriations are limitations on the amounts agencies can obligate during the time specified in the appropriation act.
Limits you assign to users for creating adjustments and approving credit memo requests. Receivables enforces the limits that you define here when users enter receivables adjustments or approve credit memo requests initiated from iReceivables. When users enter adjustments that are within their approval limit, Receivables automatically approves the adjustment. When users enter adjustments outside their approval limit, Receivables assigns a status of pending to the adjustment.
To archive a fiscal year is to copy the depreciation expense and adjustment transaction data for that year to a storage device.
area code time zone
A time zone that corresponds to a specific area code, used for countries that have multiple time zones.
(Oracle E-Business Tax) The deemed price at which a product is valued, by a tax authority, for tax calculation purposes. The same product can have more than one assessable value, as given by different tax authorities.
A general ledger account to which you charge the cost of an asset when you purchase it. You must define an account as an asset account.
An Oracle Financial Analyzer database object that links or relates the values of two dimensions. For example, you might define an attribute that relates the Sales District dimension to the Region dimension so that you can select data for sales districts according to region.(Oracle Trading Community Architecture) Corresponds to a column in a TCA registry table, and the attribute value is the value that is stored in the column. For example, party name is an attribute and the actual values of party names are stored in a column in the HZ_PARTIES table.
A group of closely related attributes within the same entity. The values for each attribute in a group must come from the same data source.
In Oracle Payments, the first of two steps involved in capturing funds from a credit card or a debit card. This step usually involves checking that the credit card has sufficient funds for payment and reserving the transaction amount for settlement. Once an authorization is obtained, then the second step, settlement, can be performed. For some payment systems, debit card authorization includes the settlement step. Payments works with payment systems to perform authorizations in real time.
In Oracle General Ledger, rules you define for the Global Intercompany System (GIS) to generate intercompany transactions automatically.
A group of allocation rules that you can run in sequence that you specify (step-down allocations) or at the same time (parallel allocations).
An event with an event type classification of Automatic. Billing extensions create automatic events to account for the revenue and invoice amounts calculated by the billing extensions.
automatic merge threshold
(Oracle Trading Community Architecture) Value used in DQM matching to evaluate match scores. A record with a score that exceeds the automatic merge threshold is by default selected for party merge.
The amount computed by dividing an aggregate balance by the number of calendar days in the related range.
average exchange rate
An exchange rate that is the average rate for an entire accounting period. General Ledger automatically translates revenue and expense account balances using period-average rates in accordance with FASB 52 (U.S.). And, for companies in highly inflationary economies, General Ledger uses average exchange rates to translate your non-historical revenue and expense accounts in accordance with FASB 8 (U.S.). Also known as period-average exchange rate.
Transactions whose effective date is prior to the current accounting date. Also known as value-dated transactions.
An organization represented as a balancing segment value in the accounting flexfield. Equivalent of a fund in government organizations. Examples of balancing entities are companies, strategic business units, and divisions.
Reports that print a balance summed by period (range), third party, balancing segment, and accounting segment. A balance report only reports within a fiscal year. A balance is only printed for accounts that are marked as control accounts.
An Accounting Flexfield segment that you define so that General Ledger automatically balances all journal entries for each value of this segment. For example, if your company segment is a balancing segment, General Ledger ensures that, within every journal entry, the total debits to company 01 equal the total credits to company 01.
bank account transfers
In Oracle Payments, a funds capture transaction that captures funds by directly deducting the payment amount from the payer's bank account. Bank account transfers are often used for recurring payments such as utility expenses. Bank account transfers may include an optional step that validates the payer's bank account. See Bank Account Verifications.
bank account verification
In Oracle Payments, an optional first step in a bank account transfer. It varies by payment system and business process, and is not always performed. Rather than reserving funds like credit card authorizations, the bank account verification provides a payee with some assurance that payment will be made, by checking that the account exists, or that it does not appear on black lists.
In Oracle Receivables and Oracle Payables, the data file you receive from the bank containing all of the payment information that the bank has deposited in your bank account. In Oracle Cash Management, the electronic statement file you receive from your bank (for example, BAI format or SWIFT940). It contains all transaction information that the bank has processed through your bank account.
bank identification code
Formerly known as SWIFT code, identifies a bank or bank branch for electronic funds and wire transfers.
bank transaction code
The transaction code used by a bank to identify types of transactions on a bank statement, such as debits, credits, bank charges, and interest. You define these codes for each bank account using the Cash Management Bank Transaction Codes window.
The amount that represents the denominator for the ratio used to determine the amount due. You specify your base amount when you define your payment terms.Amount Due = Relative Amount/Base Amount * Invoice Amount
The model item from which a configuration item was created.
(Oracle Financial Consolidation Hub) An organization that is used during consolidation processing as a default for automatic creation of consolidation entries.
base rate modifier
The rate by which a line amount is increased or decreased. To calculate tax on a reduced base, the base rate modifier can be entered as a negative number.
To approve a budget for use in reporting and accounting.
The authorized budget for a project or task which is used for performance reporting and revenue calculation.
basis reduction rate
Each Investment Tax Credit Rate has a basis reduction rate associated with it. Oracle Assets applies the basis reduction rate to the ITC basis to determine the amount by which it will reduce the depreciable basis. Oracle Assets displays the basis reduction rate with its corresponding investment tax credit rate in the Assign Investment Tax Credit form so you can easily see whether the rate you choose will reduce the depreciable basis of the asset.
A source you define in Oracle Receivables to identify where your invoicing activity originates. The batch source also controls invoice defaults and invoice numbering. Also known as a transaction batch source.
The beginning balance is the balance of the transaction item as of the beginning GL Date that you specified. This amount should be the same as the Outstanding Balance amount of the Aging - 7 Buckets Report where the As Of Date is the same as the beginning GL Date.
In Oracle Cash Management, a method of payment involving the transfer of funds between bank accounts, where one party promises to pay another a specified amount on a specified date.In Oracle Payables, a method of payment. Also known as a future dated payment in some countries, including France.
In Oracle Payables, an agreement made with your supplier, in which a promise is made to pay a specified amount on a specific date (called the maturity date) for goods or services.
The address of the customer who is to receive the invoice. Equivalent to Invoice To Address in Oracle Order Management.
A customer location to which you have assigned a Bill-To business purpose. You can define your customer's bill-to sites in the Customers windows.
In Oracle Receivables, promissory notes used primarily between companies for business payments.
(Oracle Trading Community Architecture) An abstraction of a device or system in which only its externally visible behavior is considered and not its implementation or inner workings. In the context of TCA adapters for address validation, a black box is a central XML open-standards based functionality that allows integration between the TCA Registry and third party or other data sources, through adapters. The black box accepts requests from callers, sends requests to adapters, and receives the adapters' responses.
blanket purchase agreement
In Oracle Payables, a type of purchase order you issue before you request actual delivery of goods or services.
An inventory bridging account is an offset account used to balance your accounting entries. In some European countries, a bridging account is a legal requirement.
broken promise to pay
In Advanced Collections, an unfulfilled promise to pay with a past due promise payment date.
Estimated cost, revenue, labor hours or other quantities for a project or task. Each budget may optionally be categorized by resource. Different budget types may be set up to classify budgets for different purposes. In addition, different versions can exist for each user-defined budget type: current, original, revised original, and historical versions. The current version of a budget is the most recently baselined version.
A book that you use to track planned capital expenditures.
A mathematical expression used to calculate budget amounts based on actual results, other budget amounts and statistics. With budget formulas, you can automatically create budgets using complex equations, calculations and allocations.
A group of budgets linked at different levels such that the budgeting authority of a lower-level budget is controlled by an upper-level budget.
Estimated cost, revenue, labor hours, or other quantity for a project or task categorized by a resource.
In Oracle Payables, an entity (department, cost center, division or other group) responsible for entering and maintaining budget data. You define budget organizations for your company, then assign the appropriate accounts to each budget organization.
A variety of shorthand techniques you can use to speed manual budget entry. With budget rules you can divide a total amount evenly among budget periods, repeat a given amount in each budget period or enter budget amounts derived from your account balances.
Oracle Assets holds your budget in the budget worksheet so that you can review and change it before you load it into your budget book. Your budget must be in a budget book before you can run depreciation projections or reports. In Oracle General Ledger, a worksheet that contains budget data. In the Enter Budget Amounts window in Oracle General Ledger, you can choose the Worksheet mode to enter budgets for several accounts at once. You can also use Applications Desktop Integrator to upload budget data from an Excel worksheet to Oracle General Ledger.
An account segment value (such as 6110) that is assigned one of the two budgetary account types. You use budgetary accounts to record the movement of funds through the budget process from appropriation to expended appropriation.
budgetary account type
Either of the two account types Budgetary DR and Budgetary CR.
An Oracle Financials feature you use to control actual and anticipated expenditures against a budget. When budgetary control is enabled, you can check funds online for transactions, and you can reserve funds for transactions by creating encumbrances. Oracle Financials automatically calculates funds available (budget less encumbrances less actual expenditures) when you attempt to reserve funds for a transaction. Oracle Financials notifies you online if funds available are insufficient for your transaction.
A person, place, or thing that is tracked by your business. For example, a business entity can be an account, a customer, or a part.
(Oracle Subledger Accounting) Occurrences of operational significance that are captured and recorded by Oracle applications. They are also referred to as transactions. The nature of business events differs by application. Not all business events create accounting events. Examples of business events that are accounting events include issuing invoices to customers, issuing payments to suppliers, and retiring an asset. An example of a business event which is not an accounting event is receiving a customer call.
An organization representing the consolidated enterprise, a major division, or an operation company used by Human Resources application. A business group (BG) is a highest level in an organization hierarchy.
Business Information Report
(Oracle Trading Community Architecture) A report that provides many of the data elements from the D&B database in a standard report format.
(Oracle Trading Community Architecture) An abstract grouping of Oracle Trading Community Architecture entities to form an operable, logical business unit. Business objects contain attributes specific to that object, as well as embedded business objects, business structures, and granular entities.
(Oracle Trading Community Architecture) Also known as site use, a business purpose describes which functions are performed at a particular customer account site. For example, the address where you ship your goods has a ship-to business purpose, and the address where you will send dunning letters has a dunning business purpose.
The same as a business object, except that you cannot perform operations and services on them individually, for example with APIs. Business structures can contain embedded business structures and granular entities, but not embedded business objects.
An organizational group within an enterprise. See also: organization.
In Oracle Payables, the person responsible for placing item resupply orders with suppliers and negotiating supplier contracts.
calculated tax lines
(Oracle E-Business Tax) The tax lines determined automatically by Oracle E-Business Tax for a given transaction line.
(Oracle Financial Consolidation Hub) Is a user-defined mechanism that defines the relationship between the periods of two different calendars.
(Oracle Trading Community Architecture) A source that sends requests to black boxes for data services through integration with adapters. Examples of callers are concurrent programs and APIs.
A record that Payables selects to purge based on the last activity date you specify. Payables only selects records that you have not updated since the last activity date you specify. Payables does not purge a candidate until you confirm a purge.
The minimum time you must hold an asset for Oracle Assets to report it as a capital gain when you retire it. If you hold an asset for at least as long as the capital gain threshold, Oracle Assets reports it as a capital gain when you retire it. If you hold the asset for less than the threshold, Oracle Assets reports it as an ordinary income from the retirement.
cash activity date
The date that the cash flow from the source transaction is expected to affect your cash position. When Cash Management generates a forecast, it includes source transactions whose cash activity date falls within the time period you defined.
cash clearing account
The cash clearing account you associate with a payment document. You use this account if you account for payments at clearing time. Oracle Payables credits this account instead of your Asset (Cash) account and debits your Liability account when you create accounting entries for uncleared payments. Oracle Payables debits this account and credits your Asset (Cash) account once you clear your payments in Oracle Cash Management.
cash-generating unit (CGU)
A cash-generating unit is the smallest identifiable group of assets that generates cash inflows that are largely independent of the cash inflows from other assets or groups of assets.
(Oracle Financial Consolidation Hub) Categories control how a consolidation is processed and reported. They provide a means of grouping process logic, as well as specifying parameters impacting the output of such logic.
(Oracle Trading Community Architecture) Controls which object can use a given class category. For example, the SIC code 1977 can be used only by parties of type Organization.
A level that identifies the extent to which a record is certified, according to quality standards that your organization sets. The record is manually evaluated and assigned the certification level.
chart of accounts
The account structure your organization uses to record transactions and maintain account balances.
chart of accounts security
Restricts user access to those charts of accounts associated with that user's responsibility.
In Oracle Payables, a bill of exchange drawn on a bank and payable on demand. Or, a written order on a bank to pay on demand a specified sum of money to a named person, to his or her order, or to the bearer out of money on deposit to the credit of the maker. A check differs from a warrant in that a warrant is not necessarily payable on demand and may not be negotiable. It differs from a voucher in that a voucher is not an order to pay.
A check printing situation where there are more invoices paid by a check than can fit on the remittance advice of the check.
child segment value
A value that lies in a range of values belonging to one or more parent values. You can budget, enter, and post transactions to child values only.
Circular relationships participate in a circle of relationships between entities. For example, Party A is related to Party B, who is related to Party C, who is related to Party A.
A discrepancy between the billed amount and the paid amount. Claims are often referred to as deductions, but a claim can be positive or negative.
Consists of multiple classification codes that allow for broad grouping of entities. Categories can have rules pertaining to a set of class codes, for example, Multiple Parent, Multiple Assignment, and Leaf Node Assignment rules.
Provides a specific value for a class category.
A means of categorizing different objects in Oracle Applications. Classifications are not limited to parties but can include projects, tasks, orders, and so on. Classifications can be user defined or based on external standards, such as the NAICS (North American Industrial Classification System), NACE (European Union's Statistical Classification of Economic Activity), or SIC (Standard Industrial Classification).
(Oracle E-Business Tax) A categorization that further qualifies a tax determining factor that is used in a tax rule. For example, the class qualifier "Ship From" or "Ship To" further qualifies the tax determining factor class of Party Fiscal Classification.
A payment status when the bank has disbursed funds for the payment, and the payment has been cleared but not matched to a bank statement within Oracle Cash Management.
An account used to ensure that both sides of an accounting transaction are recorded. For example, Oracle General Ledger uses clearing accounts to balance intercompany transactions.When you purchase an asset, your payables group creates a journal entry to the asset clearing account. When your fixed assets group records the asset, they create an offset journal entry to the asset clearing account to balance the entry from the payables group.
code (code name)
In Subledger Accounting, uniquely identifies an object. The object code is the internal key used by programs and routines to refer to the object. Because object names are translated, Subledger Accounting uses object codes to uniquely identify the object.
(Oracle Trading Community Architecture) Relates various class codes within a category in a hierarchy. For example, IT is a parent of Software.
In Oracle Receivables, a contractual guarantee with a customer for future purchases, usually involving deposits or prepayments. You can create invoices against the commitment to absorb the deposit or prepayment. Receivables automatically records all necessary accounting entries for your commitments. Oracle Order Management allows you to enter order lines against commitments.In Oracle General Ledger, an encumbrance type typically associated with purchase requisitions to track expenditures. You can view funds available and report on commitments. Oracle Order Management allows you to enter order lines against commitments.
(Oracle Financial Consolidation Hub) Serves as the linkage between the company segment of General Ledger operational balances and Financial Consolidation Hub entities.
An invoice with a status of Complete. When you enter a new invoice, the status remains incomplete until you actually choose to complete it. To have a status of Complete, the invoice total must be greater than or equal to zero, the invoice must have at least one invoice line, revenue records must exist for each line, revenue records for each line must add up to the line amount, and a tax and revenue credit record must exist for each line.
A condition where the invoice quantity matches the quantity originally ordered, and you approve the entire quantity.
A method of calculating tax on top of other tax charges. You can create compound taxes in the Transactions window or with AutoInvoice.
A tax that is dependent on (the tax value of) one or more taxes.
A tax regime used to fully qualify a compounding tax.
A rule used in the context of a tax calculation formula to indicate whether a compounding tax is added or subtracted.
A tax that is used in deriving the value of a compounded tax.
The settings for a first party and each tax regime assigned to the party that indicate that the first party is subject to the regime and that designate how the tax and tax rules for the regime are maintained and/or shared.
A legal entity or operating unit that owns the responsibility of maintaining tax content.
The process of combining the financial results of multiple companies into one financial statement. See: Global Consolidation System in the Oracle General Ledger User Guide.
(Oracle Financial Consolidation Hub) An entity that contains consolidated balances. A consolidation entity may own other consolidation or operating entities, and aggregates its immediate children.
consolidation global value set combination
(Financial Consolidation Hub) Determines the value set used for consolidation for each dimension.
(Financial Consolidation Hub) A user-defined, date-effective structure that represents the parent/child relationships of entities that are processed during consolidation.
consolidation hierarchy structure
(Financial Consolidation Hub) The hierarchy structure that comprises consolidation entities, elimination entities, and operating entities. Each entity, other than the top entity, has relationship attributes that define the nature of its association with its one or more parents.
(Financial Consolidation Hub) A mechanism that defines the accounting method applied during consolidation. Consolidation rules are assigned to each consolidation method. A consolidation method is assigned to each parent child/relationship within the Consolidation Hierarchy user interface.
consolidation of balances
Recalculating the balances for a third party is sometimes called consolidation or consolidation of balances. This consolidation is not related to the General Ledger consolidation functionality.
(Financial Consolidation Hub) The process that brings together financial data from disparate sources to create a single, global view of financial information across the entire enterprise.
(Financial Consolidation Hub) A user-defined mechanism that enables you to automate the creation of consolidation entries during consolidation processing.
A ledger into which you consolidate the financial results of multiple companies. You can consolidate actual, average, translated, budget, and statistical balances.A field in Oracle General Ledger's ledger window that must be enabled in order to consolidate average balances
constant unit of money
A constant unit of money represents the real value of money at the end of a period. Financial statements must be prepared using the constant unit of money. The constant unit of money is independent of any methods used to evaluate a company's assets.
In Oracle Receivables, a representative who is responsible for communication between you and a specific part of your customer's company. For example, your customer may have a shipping contact person who handles all questions regarding orders shipped to that address. Receivables lets you enter contacts for your customers, addresses, and business purposes.
A means of contacting a party other than postal mail, for example, a phone number, e-mail address, fax number, and so on.
Provides information about when and how parties prefer to be contacted. You can specify the subjects on which to contact a party, the number of times to contact a party, and the reason for specifying a contact preference. You can also set preferences for a party's e-mail address or phone number.
A responsibility that you associate to a specific contact. Oracle Receivables provides 'Bill To', 'Ship To', and 'Statements,' but you can enter additional responsibilities.
In Oracle Payables, financing that is paid based on work performed or cost to date. If the contractually specified performance or cost milestones are met, financing is given to aid in the completion of subsequent work prior to the delivery of the contract line item.
contract financing payment
In Oracle Payables, payments that are made before final acceptance of work or products. In the government sector, financing Payments include advances, performance based Payments, and progress payments. In the private sector, only advances are considered financing, while progress Payments are invoiced.
An accounting segment status for an account combination. This type of account is used in subledgers such as Payables or Receivables. Control accounts are used to maintain special balances for third parties per period. You should not change control accounts from a General Ledger responsibility; define and use security to protect your control accounts.
A feature you use to specify the total amount available for payment of a recurring payment. When you generate invoices for a recurring payment, Oracle Payables uses the control amount and the total number of payments to determine the invoice amount.
A tax book, used for mass depreciation adjustments, that holds the minimum accumulated depreciation for each asset.
(Financial Consolidation Hub) A controlling entity is an operating entity that is associated with a consolidation entity.
A process that converts foreign currency transactions to your ledger currency.
A depreciation book that you use to track financial information for your balance sheet.
corporate exchange rate
An exchange rate you can optionally use to perform foreign currency conversion. The corporate exchange rate is usually a standard market rate determined by senior financial management for use throughout the organization. You define this rate in Oracle General Ledger.
A hierarchical definition of geography types for a country. For example, the structure for United States is: State, County, City, then Postal Code.
country time zone
A time zone that applies to an entire country.
An invoice you receive from a supplier representing a credit amount that the supplier owes to you. A credit invoice can represent a quantity credit or a price reduction. You can create a mass addition line from a credit invoice and apply it to an asset.
Any item you can apply to an open debit item to reduce the balance due for a customer. Oracle Receivables includes credit memos, on-account credits, and unapplied and on-account cash as credit items. Credit items remain open until you apply the full amount to debit items.
In Oracle Payables, a document that partially or fully reverses an original invoice. In Oracle Receivables, a document that partially or fully reverses an original invoice. You can create credit memos in the Receivables Credit Transactions window or with AutoInvoice.
cross currency receipt
A receipt that is applied to a transaction denominated in a currency different than that of the receipt. Cross currency receipt applications usually generate a foreign exchange gain or loss due to fluctuating exchange rates between currencies.
An exchange rate you use to convert one foreign currency amount to another foreign currency amount. In Oracle Payables, you use a cross rate to convert your invoice currency to your payment currency.
cross site and cross customer receipts
Receipts that you apply across customers and sites and are fully applied. Each of these receipts appears on the statements of the customer site that owns the receipt. The invoice(s) to which you have applied a cross receipt appear on the statement of the customer or site that owns the invoice.
The process whereby taxes from one regime are compounded with taxes of another regime.
Rules that restrict the user from entering invalid key flexfield segment value combinations during data entry. For example, you may set up a cross-validation rule that disallows using department segments with balance sheet accounts.
Cumulative Translation Adjustment
A balance sheet account included in stockholder's equity in which Oracle General Ledger records net translation adjustments in accordance with FASB 52 (U.S.). You specify the account you want to use for Cumulative Translation Adjustment when you define each ledger in the ledger window.
(Oracle Trading Community Architecture) A person or organization that the deploying company has a selling relationship with, regardless of whether anything has been purchased or serviced. A selling relationship can be established simply by negotiation terms that will be used if you later sell products.
A location where your customer can be reached. A customer can have many addresses. You can also associate business purposes with addresses.
A bank account you define when entering customer information to allow funds to be transferred from these accounts to your remittance bank accounts as payment for goods or services provided.
A method to classify your customers by their business type, size, or location. You can create an unlimited number of customer classes. (Receivables Lookup)
A specific customer employee with whom you communicate. Oracle Receivables lets you define as many contacts as you wish for each customer. You can also define contacts for an address and assign previously defined contacts to each business purpose.
A method used to categorize your customers based on credit information. Receivables uses credit profiles to assign statement cycles, dunning letter cycles, salespersons, and collectors to your customers. You can also decide whether you want to charge your customers interest. Oracle Order Management uses the order and total order limits when performing credit checking.
customer profile class
A category for your customers based on credit information, payment terms, currency limits, and correspondence types.
An association that exists between customers which lets you apply payments to related customers, apply invoices to related customer's commitments, and create invoices for related customers.
A site where a customer is located. A customer can have more than one site. Site names can more easily identify a customer address, facilitating invoice and order entry.
(Oracle Trading Community Architecture) Contains hierarchical corporate relationships that D&B provides through batch load and the online Enterprise Management Global Data Product (GDP). You can view this corporate structure in a relationship hierarchy.
Data Quality Management (DQM)
(Oracle Trading Community Architecture) A set of tools to keep the TCA registry clean and accurate, with matching, duplicate identification, and merging functionality.
(Oracle Trading Community Architecture) A piece of information in a data product that you can use to identify, contact, and evaluate the credit risk of parties. The complete D&B database includes over 150 key business data elements. Examples of data elements include the D-U-N-S Number, local business ID, and D&B rating.
(Oracle Trading Community Architecture) A fixed set of data elements from D&B containing country-specific information to meet your business decision-making criteria.
data sharing group
Groups information about business entities such as parties, their addresses, contact points, relationships, and the like based on criteria such as classifications, relationship types, or created by modules. For example, one Data Sharing Group might be created for patients, another for employees, and another for parties classified as both patients and employees. A security administrator may then assign privileged access to create, update, or delete information secured by this Data Sharing Group based on the applicable business policy.
The source of the records in the TCA Registry; for example user entered or third party.
date placed in service
The calendar date on which you start using an asset.
In Oracle Payments, a third party payer, in some regions, may need to provide written permission to authorize a first party payee to initiate debits against the payer's bank account. Payments can keep records of these debit authorizations.
In Oracle Payables, an invoice you generate to send to a supplier representing a credit amount that the supplier owes to you. A debit invoice can represent a quantity credit or a price reduction.
Any item that increases your customer's balance. Oracle Receivables includes invoices, debit memos, and chargebacks as debit items. Debit items remain open until the balance due is zero.
Debit that you assign to a customer to collect additional charges. For example, you may want to charge a customer for unearned discounts taken, additional freight charges, taxes, or finance charges.
debit memo reversal
A reversal of a payment that generates a new debit memo, instead of reopening old invoices and debit memos.
The default for the moment either when the tax recovery is used to reduce tax due, or when the tax liability becomes due for settlement (typically in the next reporting period). The values are immediate (at invoice time) or deferred (when, and to the extent, payment is made).
A tax for which the accrual, both due and recoverable, (and therefore the settlement and/or reporting) is delayed beyond the invoice date, based on special tax regulations specified by a tax authority. The deferred tax only applies to a subset of transactions.
An open (unpaid) invoice, debit memo, or chargeback with a past due date.
The status of a transaction assigned by a scoring engine. It can be current, pre-delinquent or delinquent.
In some financial contexts, a term used to refer to the currency in which a transaction takes place. In this manual, this currency is called transaction currency.
The Oracle customer that has or will install, implement, and run all or part of the Oracle E-Business Suite.
A type of commitment whereby a customer agrees to deposit or prepay a sum of money for the future purchase of goods and services.
depreciable basis rule
Depreciable basis rules provide a means of calculating the asset bases to which the depreciation rate will be applied. Examples are PA (Period Average Balance), PE (Period End Balance), and YA (YTD Average Balance). You select these rules when defining a depreciation method. The basis rule and depreciation method together determine how the depreciable basis and depreciation expense are derived.
A book to store financial information for a group of assets. A depreciation book can be corporate, tax, or budget. Also known as book.
The depreciation calendar determines the number of accounting periods in a fiscal year. It also determines, with the divide depreciation flag, what fraction of the annual depreciation amount to take each period. You must specify a depreciation calendar for each book.
A denominator that is used to derive the depreciation rate for declining methods that function under Polish regulations.
The expected depreciation expense for specified future periods.
A lower level budget whose authority is controlled by a Master budget.
An Oracle Financial Analyzer database object used to organize and index the data stored in a variable. Dimensions answer the following questions about data: "What?" "When?" and "Where?" For example, a variable called Units Sold might be associated with the dimensions Product, Month, and District. In this case, Units Sold describes the number of products sold during specific months within specific districts.
Elements that make up an Oracle Financial Analyzer dimension. For example, the dimension values of the Product dimension might include Tents, Canoes, Racquets, and Sportswear.
In Oracle Payables, a request for payment to a payee that is not a supplier. For example, a request to disburse funds to a borrower or to refund a Receivables customer.
A feature you use to determine the type of payment for which a payment document is used. For example, computer-generated payments and recorded checks or wire transfers.
In Oracle Payables, the amount or percentage that you allow a supplier to decrease the balance due when making a payment. In Oracle Receivables, you use Payment Terms to define customer discounts and can choose whether to allow earned and unearned discounts.
In Advanced Collections and iReceivables, disputes about specific invoices or invoice sections are submitted to AR where they can become credit memos.
(Oracle Subledger Accounting) A distribution identifier corresponds to the sources that form the unique key of transaction distributions. Examples of distribution identifiers include invoice_distribution_id and distribution_id.
In Oracle Assets, information such as employee, general ledger depreciation expense account, and location to which you have assigned an asset. You can create any number of distribution lines for each asset. Oracle Assets uses distribution lines to allocate depreciation expense and to produce your Property Tax and Responsibility Reports.In Oracle Payables, a line corresponding to an accounting transaction for an expenditure item on an invoice, or a liability on a payment.
In Subledger Accounting, a mechanism that ties subledger journal entry lines to their supporting transaction distributions.
In Oracle Payables, a feature you use to assign a name to a predefined expense distribution or combination of distributions (by percentage). Payables displays on a list of values the list of Distributions Sets you define. With Distribution Sets, you can enter routine invoices into Payables without having to enter accounting information. In Oracle Receivables, a predefined group of general ledger accounting codes that determine the debit accounts for other receipt payments. Receivables lets you relate distribution sets to receivables activities to speed data entry.
The total amount of the distribution lines of an invoice. The distribution total must equal the invoice amount before you can pay or post an invoice.
The physical base of a transaction, such as an invoice, a receipt, or a payment.
A document category is used to split transactions into logical groups. You can assign a different sequence to each category and, by doing so, separately number each logical group. Each category is associated with a table. When you assign a sequence to a category, the sequence numbers the transactions in that table. Oracle Receivables lets you set up categories for each type of transaction, receipt, and adjustment.
document fiscal classification
A tax classification used by a tax authority to categorize a document that is associated with a transaction.
In Oracle Payments, a transaction in a source product that is sent to Oracle Payments for payment. An example of a document payable is an invoice in Oracle Payables.
In Oracle Payments, a transaction in a source product that requires settlement. An example of a document receivable is an invoice in Oracle Receivables.
A unique number that is manually or automatically assigned to documents such as bank statements in Oracle Cash Management, invoices in Oracle Receivables, or journal entries in Oracle General Ledger. Also used to provide an audit trail. Many countries require all documents to be sequentially numbered. Document sequencing can also be used in Public Sector implementations to comply with reporting and audit requirements.
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.
A record that has been identified as a duplicate of at least one other record.
A group of records (such as parties, addresses or relationships) that has been identified as potential duplicates of one another in appearance and/or function.
Discounts your customers are allowed to take if they remit payment for their invoices on or before the discount date. The discount date is determined by the payment terms assigned to an invoice. Oracle Receivables takes into account any discount grace days you assign to this customer's credit profile. For example, if the discount due date is the 15th of each month, but discount grace days is 5, your customer must pay on or before the 20th to receive the earned discount. Discounts are determined by the terms you assign to an invoice during invoice entry.
The date a transaction affects the balances in the general ledger. This does not have to be the same as the posting date. Also known as the value date.
(Financial Consolidation Hub) The entity that holds entries and adjustments produced during the consolidation process. A unique elimination entity is automatically created for each consolidation entity.
The organization to which an employee is assigned.
employee supervisor hierarchy
In Oracle Payables, an approval routing structure based on employee/supervisor relationships.
An entry you make to record anticipated expenditures of any type. Oracle Financials create requisition encumbrances and purchase order encumbrances automatically when encumbrance accounting or budgetary control is enabled. You can also record other encumbrances manually. For example, you can record encumbrances for your payroll.
An Oracle Financials feature you use to create encumbrances automatically for requisitions, purchase orders, and invoices. The budgetary control feature uses encumbrance accounting to reserve funds for budgets. If you enable encumbrance accounting only, you can create encumbrances automatically or manually; however, you cannot check funds online and Oracle Financials does not verify available funds for your transaction.
In Oracle General Ledger and Oracle Payables, an encumbrance type typically associated with purchase requisitions to track expenditures. You can view funds available and report on commitments.
encumbrance journal entry
In Oracle Payables, a journal entry that increases or relieves encumbrances. Encumbrance entries can include encumbrances of any type. If you have enabled encumbrance accounting, when you successfully validate an invoice matched to an encumbered purchase order, Oracle General Ledger automatically creates encumbrance journal entries that relieve the original encumbrance journal entries. General Ledger also creates new encumbrance journal entries for any quantity or price variance between an invoice and the matched purchase order. General Ledger automatically creates encumbrance journal entries for an unmatched invoice when you validate the invoice.
In Oracle General Ledger, an encumbrance category that allows you to track your anticipated expenditures according to your purchase approval process and to more accurately control your planned expenditures. Examples of encumbrance types are commitments (requisition encumbrances) and obligations (purchase order encumbrances).
end of period's unit of money
The end of period's unit of money is the value that represents money's acquiring power as of period end.
The ending balance represents the balance of the transaction as of the ending GL Date that you have specified. This column should be the same as the Outstanding Balance of the Aging - 7 Buckets Report for this item.
(Oracle Trading Community Architecture) A group of related attributes in the TCA Registry; for example Organization Profile, Person Profile, Address, and Contact Point.
Establishments are 100-percent owned and controlled entities, also referred to as branches, divisions, establishments (domestic or foreign), inventory organizations, and physical locations (for example, manufacturing plants and warehouses). They can be a physical (address) or logical (specific activity) subdivision of the legal entityIn many countries, establishments need to be registered with local regulatory bodies. They have significant existence (their own address, often supporting local taxes and regulations, in some countries a threshold of number of employees per site), or significant business autonomy (for example, they may have their activity code, their own budget, P&L, and handle their own bank accounts). They are not liable to the outside world (and cannot be sued separately in court). They support or represent local or distant registrations of the legal entity. They represent the Dun & Bradstreet Division and Branch.
estimated index value
In some countries, if the index value for a period is not known, you can use an estimated index value. The inflation adjustment process operates the same way as when the exact index value is known.
(Oracle Subledger Accounting) Represents the actions possible for a particular transaction type or document. Application accounting definitions, which include journal line types and descriptions, can be assigned by event class. This simplifies setup when the accounting requirements for all event types within a class are the same. Also, sources assigned to an event class are available for the accounting of all event types within that event class.(Oracle E-Business Tax) A categorization of events within an application, such as Purchasing or Payables. For example, Purchasing event classes include Requisition; Purchase Order and Agreement; and Release.
event class mapping
A mapping that indicates, for an application event class, the tax event class that it is grouped under for tax purposes.
See: Accounting Event Entity
event entity identifier
(Oracle Subledger Accounting) A mechanism to link an event with its underlying transaction. Event identifiers are stored on accounting events when an accounting event is captured. For example, an identifier of check_id can be used to link a Payables payment event to the underlying payment transaction.
Matching method that requires an exact character match, as compared to a search that uses the similarity algorithm.
exchange rate type
The source of an exchange rate. For example, user defined, spot, or corporate rate.
The difference between the exchange rate for a foreign-currency invoice and its matched purchase order. Payables tracks any exchange rate variances for your foreign-currency invoices.
A document obtained from a taxing authority which certifies that a customer or item is either partially or fully exempt from tax. The document details the reason for the exemption and the effective and expiration dates of the certificate.
Activities that represent payments, repayments, or receipts for goods or services provided. For some governments, expenditures include anticipated expenses, such as encumbrances, in addition to activity that directly leads to an outlay of cash, such as an invoice. In Oracle Public Sector Financials, the term expenditures includes actual expenses and accrued liabilities. Expenditures do not include anticipated expenses, such as encumbrances.
An asset that you do not depreciate, but charge the entire cost in a single period. Oracle Assets does not depreciate an expensed asset, or create any journal entries for it. You can, however, use Oracle Assets to track expensed assets. The Asset Type for these assets is "Expensed".
Items that do NOT depreciate; the entire cost is charged in a single period to an expense account. Oracle Assets tracks expensed items, but does not create journal entries for them.
(Oracle Trading Community Architecture) Extended attributes and their attribute values. These custom attributes extend the TCA Registry. TCA extensions use the extensibility framework and features from Oracle Product Lifecycle Management (PLM).
external bank accounts
In Oracle Payments, the third party's bank account.
Transactions between an EU (European Union) trader and a supplier or customer located in a non-EU country. Customers and sites in non-EU countries are tax exempt and should have a zero tax code assigned to all invoices.
In Oracle Payments, an XML file that includes transaction and payment data that is formatted by XML Publisher according to the requirements of the applicable payment system to which it is submitted.
In Oracle General Ledger, data upon which you perform some mathematical operation. Fixed amounts, statistical account balances, account balances, and report rows and columns are all data types you can use in formulas. In Oracle Payables, the payee of an invoice when the payee differs from the supplier on the invoice. For example, a supplier may have sold their receivables to a financial institution or factor.
The process by which you sell your accounts receivable to a financial institution (such as a bank) in return for cash. Financial institutions usually charge a fee for factoring.
A non-Oracle system from which you can pass information into Oracle Assets. For example, you can pass budget or production information from a spreadsheet into Oracle Assets.
A fund type for which the accounting and reporting techniques depend on whether the fund is expendable or nonexpendable. Examples of fiduciary funds include Trust and Agency funds.
In Oracle Payables, a purchase order control you can assign to prevent modifications to or actions against completed documents, lines, and shipments by final closing them. Final-closed documents are not accessible in the corresponding entry windows and you cannot perform the following actions against final-closed entities: receive, transfer, inspect, deliver, correct receipt quantities, invoice, return to supplier, or return to receiving.
financial data item
An Oracle Financial Analyzer database object that is made up of either a variable, or a variable and a formula. For example, a financial data item called "Actuals" would be a variable, while a financial data item called "Actuals Variance" would be made up of a variable (Actuals) and a formula that calculates a variance.
In Oracle Payments, the institution where an account is held and that disburses or receives funds. There are various types of financial institutions: commercial banks, building societies, and credit unions. Often, the term Bank is used instead of Financial Institution.
Financial Statement Generator
A powerful and flexible report building tool for Oracle General Ledger. You can design and generate financial reports, apply security rules to control access to data via reports, and use specific features to improve reporting productivity.
first party payee
In Oracle Payments, the deploying company receiving funds for payment. The first party payee receives funds from customers in various ways: by credit card payments, by direct debits to bank accounts, and by bills receivable transactions sent to banks.
first party payer
In Oracle Payments, the deploying company making fund disbursements. The first party payer disburses funds to pay suppliers, customer refunds, and to reimburse employee expenses.
A classification used by a tax authority. This is further divided into: party fiscal classification, party site fiscal classification, product fiscal classification, transaction fiscal classification, and document fiscal classification.
fiscal classification type
A scheme or system of classification or categorization used by a tax authority. Examples of fiscal classification types are the SIC (Standard Industrial Classification), a party classification type; and the UNSPSC (United Nations Standard Products and Services Code), a product classification type.
fiscal classification type group
A grouping of fiscal classification types where each type defines a different level of the same fiscal classification.
A legal and/or business document used to support tax compliance.
(Oracle Subledger Accounting) An accounting representation that typically contains no more than the minimum data required to comply with statutory regulations. See: Analytical Representation
fixed assets unit
A measure for the number of asset parts tracked in Oracle Assets. You can assign one or more units to a distribution line.
fixed rate currencies
Currencies with fixed exchange rates. No longer applicable to EU member states.
A specific amount of tax, regardless of the amount of the item. There is no rate associated with flat taxes. Flat taxes are charged on items such as cigarettes, gasoline, and insurance.
flexible address format
Oracle Applications allows you to enter an address in the format most relevant for the country of your customer, supplier, bank, or remit-to site. This is done by using descriptive flexfields to enter and display address information in the appropriate formats. The descriptive flexfield opens if the country you enter has a flexible address style assigned to it, allowing you to enter an address in the layout associated with that country.
In General Ledger, a currency that is different from the ledger currency you defined for your ledger. When you enter and pay a foreign currency invoice, Oracle Payables automatically converts the foreign currency into your ledger currency at the rate you define. General Ledger automatically converts foreign currency journal entries into your ledger currency at the rate you define.
A journal entry in which you record transactions in a foreign currency. Oracle General Ledger automatically converts foreign currency amounts into your ledger currency using an exchange rate you specify.
Gains or losses on foreign currency transactions due to foreign currency fluctuations. Typically, the gain or loss is tracked for assets or liabilities for a period of time. Oracle General Ledger posts all foreign currency gains or losses resulting from revaluations to the Cumulative Translation Adjustment account defined in your ledger. Oracle Payables determines the foreign currency gain or loss as the difference between the invoiced amount and the payment amount due to changes in exchange rates.
foreign currency revaluation
A process that allows you to revalue assets and liabilities denominated in a foreign currency using a period-end (usually a balance sheet date) exchange rate. Oracle General Ledger automatically revalues your foreign assets and liabilities using the period-end exchange rate you specify. Revaluation gains and losses result from fluctuations in an exchange rate between a transaction date and a balance sheet date. General Ledger automatically creates a journal entry in accordance with FASB 52 (U.S.) to adjust your unrealized gain/loss account when you run revaluation.
foreign currency translation
A process that allows you to restate your ledger currency account balances into a reporting currency. Oracle General Ledger multiplies the average, periodic, or historical rate you define by your ledger currency account balances to perform foreign currency translation. General Ledger translates foreign currency in accordance with FASB 52 (U.S.). General Ledger also remeasures foreign currencies for companies in highly inflationary economies, in accordance with FASB 8 (U.S.).
In Oracle Payments, to place data in a data file by using a template that contains prescribed formatting attributes, such as location, font, and font size. Financial institutions, payment systems, and/or countries have specific electronic formatting requirements for payment instructions and settlement batches. For example, Oracle Payments uses Oracle XML Publisher to format electronic payment instructions according to formatting requirements of specific financial institutions.
A recurring journal entry that uses formulas to calculate journal entry lines. Instead of specifying amounts, as you would for a standard entry, you use formulas, and Oracle General Ledger calculates the amounts for you. For example, you might use recurring journal entries to do complex allocations or accruals that are computed using statistics or multiple accounts.
(Financial Consolidation Hub) A consolidation method where 100% of the subsidiary's balances are brought into the consolidated statements.
A fiscal and accounting entity with a self-balancing set of accounts in which cash and other financial resources, all related liabilities and residual equities or balances and changes to these balances are recorded. A fund is segregated to carry on specific activities or attain certain objectives in accordance with special regulations, restrictions, or limitations. When you implement Oracle Public Sector Financials, Fund is typically the balancing segment of your Accounting Flexfield.
Fund balance is the equity portion of a fund balance sheet. Fund balance may contain one or more of the following subdivisions: reserved - A portion of the fund balance not available for expenditure or legally segregated for a specific future use. For example, Reserve for Encumbrances and Reserve for Inventory are reserved portions of fund balance. Unreserved, designated - A portion of the fund balance established to indicate tentative plans for the future use of current resources. Unreserved, undesignated - Fund balance available for use without predefined restrictions.
In Oracle Payments, 1. Receipt of funds. 2. An automated process through electronic payment channels, such as direct debits of bank accounts, credit cards, and remittance of bills receivable, where payment is retrieved from the payer who owes a debt to the payee.
funds capture process profile
In Oracle Payments, a key setup entity that holds rules for funds capture processing. The assignment of a funds capture process profile to a document is determined by the routing rules on the Payee. When a user creates a funds capture process profile, he specifies rules such as the following: 1) how authorization messages are formatted and transmitted, 2) how settlements are aggregated into a settlement batch, 3) how the settlement batch is formatted, and 4) how acknowledgements received from the payment system is processed.
funds capture process request
In Oracle Payments, a request to capture funds that is made by a source product for Oracle Payments' settlement service. The request contains identifying information, optional settlement instructions, and all the settlements. Funds capture process requests originate from Oracle Receivables and contain receipts for electronic funds capture. The funds capture process request includes only settlements. Any necessary credit card authorizations and bank account verification must have been performed before the submission of the funds capture process request.
In Oracle Payables, a payment sent from the first party payer to the third party payee. A payment can take an electronic form; such as EFT or wire, or a printed form such as a check.
A general category of funds for which you report fund activity as a whole. Plant funds, restricted funds, and general operating funds are examples of fund groups. Each fund group can have one or more funds associated with it. In Oracle Public Sector Financials, you can summarize funds into fund groups using rollup groups.
The segment of your Accounting Flexfield that you use to record fund, appropriation, or other information relating to a fiscal entity. In Oracle Public Sector Financials, fund segment is a generic term for the balancing segment you specify when you implement Oracle Public Sector Financials.
A classification of funds for specifying accounting attributes. GAAP and other accounting authorities specify the fund types in general use and the appropriate accounting method, use of encumbrance, use of budgetary or proprietary accounts, and other attributes. For example, governmental units typically use the following fund types: General, Special Revenue, Capital Projects, Debt Service, Internal Service, Enterprise, and Trust & Agency.
A budget against which accounting transactions are checked for available funds when budgetary control is enabled for your ledger.
In Oracle General Ledger, the difference between the amount you are authorized to spend and the amount of your expenditures plus commitments. You can track funds availability at different authority levels using the Online Funds Available inquiry window, or you can create custom reports with the General Ledger Financial Statement Generator.
The process of certifying funds available. In Oracle Payables, you can check funds when you enter a requisition, purchase order, or invoice.In Oracle General Ledger, you can check funds when you enter actual, budget, or encumbrance journals.When you check funds, Oracle Financials compares the amount of your transaction against your funds available and notifies you online whether funds are available for your transaction. Oracle Financials does not reserve funds for your transaction when you check funds.
In Oracle General Ledger, the process of reserving funds available. You can reserve funds when you enter actual, budget, or encumbrance journals. When you reserve funds, Oracle Financials compares the amount of your transaction against your funds available and notifies you online whether funds are available for your transaction.In Oracle Payables, the creation of requisition, purchase order, or invoice encumbrance journal entries. Payables reserves funds for your invoice when you validate the invoice. Invoice Validation creates encumbrance journal entries for an unmatched invoice or for price and quantity variances between an invoice and the purchase order to which you match the invoice. Payables immediately updates your funds available balances and creates an encumbrance journal entry that you can post in your general ledger.
In Oracle Payments, any kind of automatic process to perform a transfer of funds from or to a payer's bank account. See Bank Account Transfer, Direct Debit, or ACH.
The date, referenced from Oracle General Ledger, used to determine the correct accounting period for your transactions. In Oracle Payables and Receivables, you assign a GL Date to your invoices and payments when they are created.
global configuration owner
(Oracle E-Business Tax) A special configuration owner that owns tax configuration data that is visible to all legal entities and operating units within an enterprise. The global configuration owner provides central management of enterprise tax configuration data; a legal entity or operating unit makes use of the data by subscribing to the global configuration owner for a tax regime.
A type of fund whose objective is to provide services to the public. Governmental funds are concerned with the availability of resources to provide services. Examples of governmental funds are General, Special Revenue, Capital Projects, and Debt Service.
In Advanced Collections, a defined period of time before a promise to pay is considered broken.
Assistance awards in which a government agency provides funding to another government agency or other recipient, and in which the granting agency does not have substantial involvement with the receiving agency or recipient during the performance of the grant activity. For example, a state government might give grants to regional and local governments for various purposes. The regional and local governments administer the grant for the state government.
A collation of member assets. The cost of a group asset is the sum of the cost of all its member assets.
A rule set you define that AutoInvoice uses to group revenue and credit transactions into invoices, debit, and credit memos.
A contractual obligation to purchase a specified amount of goods or services over a predefined period of time.
A relationship in which a party is ranked above the other. The rank is determined by the role that they are taking in a relationship.
Historical balances are composed of journal entry line amounts expressed in the units of money that were current when the transactions took place. Historical balances are the opposite of inflation-adjusted balances.
historical exchange rate
A weighted-average rate for transactions that occur at different times. Oracle General Ledger uses historical rates to translate owner's equity accounts in accordance with FASB 52 (U.S.). For companies in highly inflationary economies, General Ledger uses historical rates to remeasure specific historical account balances, according to FASB 8.
User-defined rates or amounts for non-monetary assets, non-monetary liabilities, owner's equity accounts, or revenues or expenses associated with non-monetary assets or liabilities.
In Oracle Payables, holds are systematically placed on invoices if the invoices require further review. You can manually place a hold on an invoice or an invoice scheduled payment line. All holds in Payables prevent payment; some holds also prevent accounting.In Oracle Receivables and Advanced Collections, a feature that prevents an order or order line from progressing through the order cycle. If you place a customer on credit hold in Receivables, you cannot create new orders for this customer in Oracle Order Management. However, you can still create transactions for this customer in Receivables.
The first jurisdiction an entity must register with to be allowed to do business in a country. If a legal entity needs to register with more than one jurisdiction to commence business, one must be chosen as the identifying jurisdiction.
income tax region
The region or state you assign to paid invoice distribution lines for a 1099 supplier. If you participate in the Combined Filing Program, Payables produces K records for all income tax regions participating in the Combined Filing Program that have qualifying payments.
An invoice whose status has not been changed to Complete or that has failed validation. To complete an invoice, several conditions must be met. For example, the invoice must have at least one line and the GL date must be in an Open or Future period.
An index value represents the price level for the period that the value applies to in relation to a fixed base level. Index values are used to calculate the correction factor that represents the inflation rate in the inflation adjustment process.
Inflation-adjusted balances are composed of the original journal entry line amounts and the inflation adjustment journal entry line amounts. If you use the historical/adjusted option, you maintain inflation-adjusted balances in a separate inflation-adjusted ledger in Oracle General Ledger. If you use the adjusted-only option, you maintain inflation-adjusted balances in your primary ledger.
inflation adjustment date
The inflation adjustment date (Fecha Valor) is the date that each journal entry must be adjusted from, which can be different than the journal entry's effective date. Every journal entry must be adjusted for the period from the inflation adjustment date until the present time. The default value for the inflation adjustment date is the journal entry's effective date.
inflation start date
The inflation start date for an asset specifies when inflation begins to impact an asset. The asset is adjusted for inflation from this date onward. The inflation start date is generally the same date as the date placed in service. You can, however, define an inflation start date that is different than the date placed in service. For example, if you enter an asset that is already in service and that has already been adjusted for inflation, you can set the inflation start date to an appropriate date to begin calculating new inflation adjustments in Oracle Assets.
A tax incurred by a party on the importation, acquisition, purchase, or movement of a product.
One of many successive payments of a debt. You specify a payment schedule when defining your payment terms.
A number that identifies the installment for a specific transaction.
A long term asset with no physical substance, such as a patent, copyright, trademark, leasehold, and formula. You can depreciate intangible assets using Oracle Assets.
A tax classification based on the purpose for which a product is used.
A general ledger account that you define in an Accounting Flexfield to balance intercompany transactions. You can define multiple intercompany accounts for use with different types of accounts payable journal entries.
(Financial Consolidation Hub) The category that eliminates balances from transactions that occur between entities in the consolidation hierarchy.
intercompany elimination entry
(Financial Consolidation Hub) The entries that eliminate balances between entities to ensure that they are not included in consolidated results.
intercompany journal entry
A journal entry that records transactions between legal entities. General Ledger keeps your accounting records in balance for each company by automatically creating offsetting entries to an intercompany account you define.
(Financial Consolidation Hub) A mechanism that identifies intercompany activity to be matched and eliminated.
A segment you define in your chart of accounts to track intercompany transactions by company or trading partner.
A transaction that involves two or more legal entities within the enterprise.
An invoice that Oracle Payables creates to pay interest on a past-due invoice. Payables automatically creates an expense distribution line for an interest invoice using an account you specify.
A general ledger account you define in an Accounting Flexfield to balance interfund transactions. You can define multiple interfund accounts for use with different types of journal entries. You can define multiple interfund accounts and link them with balancing segment values so each fund can have multiple interfund accounts. For example, fund A can have an interfund payable account for fund B and an interfund receivable account for fund B. Fund A can have an interfund payable account for fund C and an interfund receivable account for fund C.
A transaction between two or more funds. For example, an activity funded out of the General Fund that is to be reimbursed by the Plant Fund is an interfund transaction. Oracle Public Sector Financials can automatically create basic interfund entries when you post a journal entry that does not balance by balancing segment value or fund.
interfund journal entry
A journal entry that records transactions between affiliates. Oracle General Ledger keeps your accounting records in balance for each fund by automatically creating offsetting entries to an interfund account you define.
All interfund transactions except for loans, advances, quasi-external transactions, and reimbursements.
A request within your company for goods or services. An internal sales order originates from an employee or from another process as a requisition, such as inventory or manufacturing, and becomes an internal sales order when the information is transferred from Purchasing to Order Management. Also known as internal requisition or purchase requisition.
(Financial Consolidation Hub) The category that eliminates balances from transactions that occur between different organizations within an entity. The Intracompany category is always sequenced before Translation.
intracompany elimination entry
(Financial Consolidation Hub) The entries that offset balances occurring between different business units or companies within the same operating entity.
A transaction between different business units belonging to one legal entity.
intraEU, taxed transaction
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.
intraEU, 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.
Items being shipped from one inventory organization to another. While items are intransit you can view and update arrival date, freight charges, and so on.
investment tax credit (ITC)
A tax recovery of an input tax that is typically permitted when the purchase is used as an asset.
In Oracle Payables and Oracle Assets, a document you receive from a supplier that lists amounts owed to the supplier for purchased goods or services. In Payables, you create an invoice online using the information your supplier provides on the document, or you import an invoice from a supplier. Payments, inquiries, adjustments and any other transactions relating to a supplier's invoice are based upon the invoice information you enter. In Oracle Receivables and Oracle Cash Management, a document that you create in Receivables that lists amounts owed for the purchases of goods or services. This document also lists any tax, freight charges, and payment terms.
In Oracle Payables, a feature that allows you to enter multiple invoices together in a group. You enter the batch count, or number of invoices in the batch, and the total batch amount, which is the sum of the invoice amounts in the batch, for each batch of invoices you create. You can also optionally enter batch defaults for each invoice in a batch. When you use the Invoice Batch Controls profile option, Payables automatically creates invoice batches for Payables expense reports, prepayments, and recurring invoices, as well as all standard invoices. In addition, you can specify a batch name when you import invoices.In Oracle Receivables, a group of invoices you enter together to ensure accurate invoice entry. Invoices within the same batch share the same batch source and batch name. Receivables displays any differences between the control and actual counts and amounts. An invoice batch can contain invoices in different currencies.
In Oracle Assets, the date that appears on a customer invoice. This date is used to calculate the invoice due date, according to the customer's payment terms.In Oracle Receivables, the date an invoice is created. This is also the date that Receivables prints on each invoice. Receivables also uses this date to determine the payment due date based on the payment terms you specify on the invoice.In Oracle Payables, the date you assign to an invoice you enter in Payables. Payables uses this date to calculate the invoice due date, according to the payment terms for the invoice. The invoice date can be the date the invoice was entered or it can be a different date you specify.
invoice distribution line
A line representing an expenditure item on an invoice. A single expenditure item may have multiple distribution lines for cost and revenue. An invoice distribution line holds an amount, account code, and accounting date.
invoice line types
A feature that classifies every invoice line or distribution. For example, item tax, freight, or miscellaneous.
A number or combination of numbers and characters that uniquely identifies an invoice within your system. Usually generated automatically by your receivables system to avoid assigning duplicate numbers.
invoice price variance
The difference between the item price for an invoice and its matched purchase order. For your inventory items, Payables tracks any invoice price variances.
invoice quantity variance
The difference between the quantity-billed for an invoice and the quantity-ordered (or received/accepted, depending on the level of matching you use) for its matched purchase order. Payables distributes invoice quantity variances to the Accounting Flexfield for your invoice distribution lines.
invoice related claim
A claim that is due to a discrepancy between the billed amount and the paid amount for a specific transaction
In Oracle Payables, an invoice submitted without a purchase order by a supplier via Oracle iSupplier Portal, which is pending review and approval by the appropriate persons within the deploying company.
A transaction that reduces the amount outstanding on an invoice by a given amount and credits a bad debt account. Submitted in Oracle Advanced Collections as an adjustment for Receivables invoices and as a write-off for Leasing invoices.
The function of preparing a client invoice. Invoice generation refers to the function of creating the invoice. Invoicing is broader in the terms of creating, adjusting, and approving an invoice.
Rules that Receivables uses to determine when you will bill your customer and the accounting period in which the receivable amount is recorded. You can bill In Advance or In Arrears.
The investment tax credit allowed on an asset. The ITC amount is based on a percentage of the asset cost. When you change an asset's cost in the accounting period you enter it, Oracle Assets automatically recalculates the ITC amount.
The maximum cost that Oracle Assets can use to calculate an investment tax credit amount for your asset. If you enabled ITC ceilings for the asset category you assigned to an asset, the ITC basis is the lesser of the asset's original cost or the ITC ceiling.
A limit on the maximum cost that Oracle Assets can use to calculate investment tax credit for an asset. You can use different ceilings depending on the asset's date placed in service.
A rate used to calculate the investment tax credit amount. This percentage varies according to the expected life of the asset and the tax year.
If you retire an asset before the end of its useful life, Oracle Assets automatically calculates what fraction of the original investment tax credit must be repaid to the government. This amount is called the investment tax credit recapture.
Anything you buy, sell, or handle in your business. An item may be a tangible item in your warehouse, such as a wrench or tractor, or an intangible item, such as a service.
journal entry batch
A method used to group journal entries according to your ledger and accounting period. When you initiate the transfer of invoice or payment accounting entries to your general ledger for posting, Payables transfers the necessary information to create journal entry batches for the information you transfer. Journal Import in General Ledger uses the information to create a journal entry batch for each ledger and accounting period. You can name your journal entry batches the way you want for easy identification in your general ledger. General Ledger attaches the journal entry category, date, and time of transfer to your batch name so that each name is unique. If you choose not to enter your own batch name when you transfer posting information, General Ledger uses the journal entry category, date, and time of transfer.
journal entry category
A category to indicate the purpose or nature of a journal entry, such as Adjustment or Addition. Oracle General Ledger associates each of your journal entry headers with a journal category. You can use one of General Ledger's pre-defined journal categories or define your own.For Oracle Payables, there are three journal entry categories in Oracle Projects if you use the accrual basis accounting method: Invoices, Payments, and All (both Invoices and Payments).
journal entry description
(Oracle Subledger Accounting) The description that appears as part of a subledger journal entry header or line. Journal entry descriptions enable users to determine the purpose and scope of a subledger journal entry.
journal entry header
A method used to group journal entries by currency and journal entry category within a journal entry batch. When you initiate the transfer of invoices or payments to your general ledger for posting, Oracle Payables transfers the necessary information to create journal entry headers for the information you transfer. Journal Import in General Ledger uses the information to create a journal entry header for each currency and journal entry category in a journal entry batch. A journal entry batch can have multiple journal entry headers.
journal entry lines
Each journal entry header contains one or more journal entry lines. The lines are the actual journal entries that your general ledger posts to update account balances. The number and type of lines in a journal entry header depend on the volume of transactions, frequency of transfer from Oracle Payables, and your method of summarizing journal entries from Oracle Payables.
journal entry source
Identifies the origin of journal entries from Oracle and non-Oracle feeder systems. General Ledger supplies predefined journal sources or you can create your own.
journal entry status
(Oracle Subledger Accounting) Status of journal entry that includes Draft, Final, Incomplete, Invalid, and Invalid Related Entry.
journal line types
(Oracle Subledger Accounting) A component of the AMB that includes information necessary to convert transaction data into subledger journal entry lines.
journal lines definition
(Oracle Subledger Accounting) A group of account derivation rules, journal line types, and journal entry descriptions that can be shared across application accounting definitions.
In Oracle Payments, payment documents that are numbered as they are printed.
Latin Tax Engine (LTE)
A collection of programs, user-defined system parameters, setup tables, and rules used by Oracle Receivables for Latin America to calculate tax.
An improvement to leased property or leasehold. Leasehold improvements are normally amortized over the service life or the life of the lease, whichever is shorter.
A set of accounting information for a legal or business entity. Each ledger is associated with a chart of accounts, calendar, currency, and subledger accounting method for which accounting information is recorded. There are two types of ledgers: primary ledgers and secondary ledgers. Each ledger is fully balanced and can be closed independently of other ledgers.
The primary currency of a ledger. A ledger can have multiple currencies: one ledger currency and one or more reporting currencies.
A governing legal body that operates within a jurisdiction. The legal authority is responsible for enforcing legislation, collecting fees and taxes, and making financial appropriations within a given physical area for a type of law. For example, the Internal Revenue Service is the legal authority for income tax law in the US.
A paper document sent to or sent by the customer or supplier. Many countries require that legal documents are stored for up to ten years.
A clearly identified entity, which is given rights and responsibilities under commercial law, through registration with a country's appropriate legal authority. These rights and responsibilities are enforceable through the judicial system. A legal entity generally has the right to own property, trade, the responsibility to repay debt, and comply with labor law. Legal entities are responsible to account for themselves to company regulators, taxation authorities, and owners according to rules specified in the relevant legislation.
Journals that print all journal entries according to your legal requirements. Entries might include period balances for customers or suppliers. Legal journals vary from country to country.
The registration of a party with an authority to ensure that legal and/or commercial rights and responsibilities are upheld.
(Financial Consolidation Hub) Specifies the relationship between a line item value and an intercompany value in the consolidation chart of accounts. Each line item value can be mapped to an intercompany value or no value at all.
line ordering rules
You define line ordering rules for invoice lines that you import into Receivables using AutoInvoice. AutoInvoice uses these rules to order invoice lines when it groups the transactions it creates into invoices, debit memos, and credit memos.
In Oracle Assets, a key flexfield combination specifying a particular place. You assign each asset to a location. Oracle Assets uses location information to produce Responsibility and Property Tax Reports.In Oracle Receivables, a shorthand name for an address. Location appears in address list of values to let you select the correct address based on an intuitive name. For example, you may want to give the location name of Receiving Dock to the Ship To business purpose of 100 Main Street. In TCA, a point in geographical space described by an address.
Oracle Assets lets you define what information you want to keep about the locations you use. You use your Location Flexfield to define how you want to keep the information.
In Oracle Financial Analyzer, a relationship between one or more values of one base dimension with one or more values of a second base dimension. For example, if you have a Many-to-Many attribute definition where the first base dimension is Organization and the second base dimension is Line Item, then a single organization can be related to several line items, and a single line item can be related to several organizations.
(Oracle Subledger Accounting) Component of the AMB that enables users to assign a specific value to a segment or Accounting Flexfield based upon source values. Mapping sets are used for defining account derivation rules. For example, users can create a mapping set which would indicate that if an invoice is for a supplier type of Services, then use an Accounting Flexfield segment that maps to an account used for services. Mapping sets are similar in concept to Project Accounting lookup sets.
A budget that controls the authority of other budgets.
A set of rules that determines which records are matches for an input record. A match rule consists of an acquisition portion to determine potential matches, a scoring portion to score the potential matches, and thresholds that the scores are compared against to determine actual matches.
In Oracle Cash Management, the process where batches or detailed transactions are associated with a statement line based on the transaction number, amount, currency and other variables, taking Cash Management system parameters into consideration. In Cash Management, matching can be done manually or automatically.(Financial Consolidation Hub) The process of grouping intercompany balances together to consider whether the balances offset completely and therefore require a suspense entry for balancing.In Oracle Payables and Oracle Assets, the process of comparing purchase order, invoice, and receiving information to verify that ordering, billing, and receiving information is consistent within accepted tolerance levels. Payables uses matching to control payments to suppliers. You can use the matching feature in Payables if you have Purchasing or another purchasing system. Payables supports two-, three-, and four-way matching.
The acceptable degrees of variance you define for matched invoices and purchase orders. If any of the variances between a matched invoice and purchase order exceed the tolerances you specify, validation places the invoice on hold.
In Oracle Payables and Oracle Cash Management, the date your bank disburses funds to a supplier for a future dated payment. Payables displays the maturity date on the future dated payment document to inform your supplier and bank when the bank should transfer funds to the supplier's bank. You can update the payment status from Issued to Negotiable on or after the maturity date.In Oracle Receivables, a date that determines when funds for an automatic receipt can be transferred from your customer's bank account to your bank account.
maximum depreciation expense
The maximum possible depreciation expense for an asset in a mass depreciation adjustment. The maximum depreciation expense for an asset is the greatest of the depreciation actually taken in the tax book, the amount needed to bring the accumulated depreciation up to the accumulated depreciation in the corporate book, or the amount needed to bring the accumulated depreciation up to the accumulated depreciation in the control book.
A unique identification number used for credit card processing. The merchant ID identifies your business to iPayment, to your customer's electronic payment system and credit card vendor, and to your remittance bank.
Data you enter in Oracle General Ledger to represent structures in Oracle Financial Analyzer. Meta data consists of the dimensions, segment range sets, hierarchies, financial data items, and financial data sets you define in Oracle General Ledger. When you load financial data from Oracle General Ledger, Oracle Financial Analyzer creates dimensions, dimension values, hierarchies, and variables based on the meta data.
minimum accountable unit
The smallest meaningful denomination of a currency (this might not correspond to the standard precision). While a currency may require a precision of three places to the right of the decimal point, for example, .001 (one thousandth), the lowest denomination of the currency may represent 0.025 (twenty-five thousandths). Under this example, the Minimum Accountable Unit would be .025. Calculations in this currency would be rounded to .025 (the Minimum Accountable Unit), not .001 (the precision).
minimum depreciation expense
The minimum possible depreciation expense for an asset in a mass depreciation adjustment. The minimum depreciation expense for an asset in a tax book is the amount needed to bring the accumulated depreciation up to the accumulated depreciation in the corporate book or control book, or zero, whichever is greater.
minimum interest amount
The amount below which Payables does not pay interest on an overdue invoice. Payables automatically compares the interest amount it calculates on past due invoices with the minimum interest amount you have defined, and does not create an interest invoice unless the amount of interest exceeds the minimum interest amount.
minority interest category
(Financial Consolidation Hub) The category that holds the consolidation accounting entries needed to recognize non-controlling interest on consolidated financial statements.
A feature that lets you record payments that you do not apply to debit items, such as refunds and interest income.
A set of interrelated equations for calculating data in Oracle Financial Analyzer.
An invoice used as a template that you copy to create new invoices.
Monetary accounts, such as the Cash, Banks, Receivables, or Payables accounts, are accounts that remain the same through different periods. Monetary accounts are not adjusted for inflation, but these accounts do generate inflation gain or loss.
(Oracle Subledger Accounting) Recognition of revenue or a prepaid expense or revenue across multiple GL periods. Deferred revenue and expense recognition are examples of multiperiod accounting.
National Automated Clearing House Association. Payment format that allows users to make electronic payments within the Automated Clearing House (ACH), the largest standardized electronic payment system in the United States.
natural account segment
In Oracle General Ledger, the segment that determines whether an account is an asset, liability, owners' equity, revenue, or expense account. When you define your chart of accounts, you must define one segment as the natural account segment. Each value for this segment is assigned one of the five account types.
A transaction type parameter that, if enabled, does not let you apply a transaction to a debit item if the application will reverse the sign of the debit item (for example, from a positive to a negative balance). Natural application does not apply to chargebacks and adjustments.
The act of grouping calculations to express the sequence of routines in a formula. Traditional mathematical nesting uses parenthesis and brackets. Oracle General Ledger EasyCalc uses a straightforward and logical nesting method that eliminates the need for parenthetical expressions.
In Oracle Payables, the process where trading partners agree to offset their payables and receivables.
Allocation in which you post the net of all allocations to an allocated-out account.
In Oracle Payables, a group of trading partners with their associated business rules that determine the types of transactions to be selected for netting. The Netting Agreement controls how a group of trading partners net Payables and Receivables transactions.
The amount and degree of business activity that must be present before a tax authority can impose a registration, tax filing, and/or tax collection responsibility on an entity. The amount of activity or connection that is necessary to create nexus tends to vary from jurisdiction to jurisdiction, and consequently, is defined by jurisdiction.
non-invoice related claim
A claim that is due to a discrepancy between the billed amount and the paid amount, and cannot be identified with a particular transaction.
Non-monetary accounts, such as fixed assets and most expense and revenue accounts, are accounts that are revalued due to inflation or deflation effects. Non-monetary accounts must be adjusted at each period-end to reflect balance changes.
(Financial Consolidation Hub) A consolidation method where an entity's balances can be used as input into a consolidation rule, but the entity's balances are not brought into the consolidated statements.
object or object classification
A means of identifying transactions by the nature of the goods or services purchased, such as personnel compensation, supplies and material, or equipment. Typically, Object is a segment of your Accounting Flexfield when you implement Oracle Public Sector Financials. Many agencies have standard object classification codes. Objects are also known as "Detail" in some governments.
An encumbrance you record when you turn a requisition into a purchase order.A transaction representing a legally binding purchase.
An offset account is used to balance journal entries in your General Ledger. For example, offsetting accounts for a guarantee are the Unbilled Receivables and the Unbilled Revenue accounts.
A tax used to calculate and record tax liability on Payables transactions for reverse charges, self-assessments, and, in the United States, Consumer's Use tax.
offset tax rate
A tax rate of an offset tax. An offset tax rate is always negative.
The status of a payment of which you apply all or part of its amount to a customer without reference to a specific debit item. Examples of these are prepayments and deposits.
one time billing hold
A type of hold that places expenditure items and events on billing hold for a particular invoice; when you release that invoice, the items are billed on the next invoice.
A relationship in Oracle Financial Analyzer where one or more values of a base dimension are related to a single value of an aggregate dimension. For example, if you have a One-to-Many attribute definition where the base dimension is Organization and the aggregate dimension is Level, each organization can be related to only a single level.
Any item, such as an invoice, debit memo, credit memo, chargeback, on-account credit, on-account payment, or unapplied payment, whose balance due is not yet zero.
An autonomous organization having business activities corresponding to one of these products: Receivables, Order Management, Payables, Purchasing and Projects. Operating units are related to a primary ledger.
(Financial Consolidation Hub) An entity that contains operating balances, which are loaded from General Ledger or other financial systems via data submission. An operating entity may own other consolidation or operating entities, but does not consolidate that ownership structure.
A business unit such as a company, division, or department. Organization can refer to a complete company, or to divisions within a company. Typically, you define an organization or a similar term as part of your account when you implement Oracle Financials.A government or public sector entity or sub-entity. Organization can refer to an entire agency or to divisions within an agency. For example, an agency might be composed of several bureaus, each of which has several departments. Each department is an organization, as is each bureau and the agency itself. A state university system is an organization, as is each campus within the university system, and each department within each campus. Typically, you define organization or a similar term as part of your Accounting Flexfield when you implement Oracle Public Sector Financials.
Organization classifications are set of system-defined attributes that categorize an organization. Examples of classifications include operating unit, project expenditure organization, inventory organization and human resources organization.
An organization hierarchy displays hierarchical relationships between organizations in enterprise. Use organization hierarchy to create security profiles.
(Financial Consolidation Hub) A target entity where the results of a consolidation rule or a manual adjustment is written.
A tax charged by a party on the sale or movement of a product.
out of balance batch
The status of a batch when the control count or amount does not equal the actual count or amount.
A transaction type parameter that, if enabled, lets you apply a transaction to a debit item even if it will reverse the sign of the debit item (for example, from a positive to a negative balance). Overapplication applies to debit items such as debit memos, deposits, guarantees, credit memos, and on-account credits.
A type of bank file record that stores additional payment information that could not fit on the payment record. Each overflow record must have a payment record as a parent. Typically, an overflow record will store additional invoice numbers and the amount of the payment to apply to each invoice.
A set of allocation rules that carries out the rules in an autoallocation set without regard to the outcome of the other rules in the set.
A parent asset has one or more subcomponent assets. First you add the parent asset. Then, you add the subcomponent asset and assign it to the parent asset in the Additions form. You can change parent/subcomponent relationships at any time.
A tax regime that is used to group other tax regimes.
parent segment value
An account segment value that references a number of other segment values, called child segment values. Oracle General Ledger uses parent segment values to create summary accounts, to report on summary balances, and in MassAllocations and MassBudgeting. You can create parent segment values for independent segments, but not for dependent segments.Oracle Financial Analyzer uses parent and child segment values to create hierarchies.
A condition where the invoice quantity is less than the quantity originally ordered, in which case you are matching only part of a purchase order shipment line.
A transaction that retires part of an asset. You can retire any number of units of a multiple unit asset or you can retire part of an asset cost. If you retire by units, Oracle Assets automatically calculates the cost retired.
A person, organization, relationship, or collection of parties that can enter into business relationships with other parties.
A full or partial reduction in the tax that is normally charged to a party.
party fiscal classification
A tax classification used by a tax authority to categorize a party.
party fiscal classification type
A classification code used to categorize a party fiscal classification.
A binary relationship between two parties, for example a partnership.
A location used by a party.
party site exemption
A full or partial reduction in the tax that is normally charged to a party site.
party site fiscal classification
A tax classification used by a tax authority to categorize a party site.
party tax profile
The profile used to view and maintain tax information for relevant parties, including tax registration and party fiscal classifications.
The type of party; Person, Organization, Group, or Relationship.
A feature you use to select invoices for payment in a payment batch. You can define a pay group and assign it to one or more suppliers. You can override the supplier's pay group on individual invoices. For example, you can create an Employee Pay Group to pay your employee expenses separately from other invoices.
In Oracle Payments, scheduled progress for Service Procurement contracts.
A supplier site that is able to receive payments.A supplier must have at least one supplier site defined as a pay site before Payables allows payments to be issued to that supplier. You cannot enter an invoice for a supplier site that is not defined as a pay site.
In Oracle Payments, the third party payer, as registered in Payments.
A document that includes the amount disbursed to any supplier/pay site combination as the result of a payment batch. A payment can pay one or more invoices.Any form of remittance, including checks, cash, money orders, credit cards, and Electronic Funds Transfer.
In Oracle Payments, payment details, such as the payment method, which are used by Payments, payment systems, financial institutions, or central banks to process, categorize, or identify payments. These attributes may exist on documents payable, as well as on payments.
This report column represents the payments that were applied to the item within the GL Date range that you specified. If the transaction number corresponds to the item the payment was applied to, then the amount should be positive. If the transaction number is the payment itself, then the amount should be negative. The amount in this column should match the sum of the amounts in the Applied Amount, Earned Discount, and Unearned Discount columns of the Applied Receipts Register Report.
In Oracle Payables, a group of invoices selected for automatic payment processing. Payables creates a payment batch when you initiate AutoSelect. Payables builds and formats payments for the invoices in the batch according to the payment method and format you specify for a chosen bank account.
In Oracle Payments, a payment instrument that comes in the form of a card. Examples of payment cards include credit cards and debit cards. Payment cards are used in a variety of business scenarios and these tend to vary by geographic region, as well as by industry.
payment creation rules
In Oracle Payments, rules that specify how documents payable are grouped into payments. Some rules are hard coded, while others are user-defined.
payment distribution line
A line representing the liability transaction on a payment. Each payment has at least one liability distribution line, but may have additional lines to record discounts taken and realized gains and losses (foreign currency payments only).
In Oracle Payables, a medium you use to instruct your bank to disburse funds from your bank account to the bank account or site location of a supplier. With Oracle Payables you can make payments using several types of payment documents. You can send your supplier a check that you manually create or computer-generate. You can instruct your bank to transfer funds to the bank account of a supplier. For each payment document, you can generate a separate remittance advice. Payables updates your invoice scheduled payment the same way regardless of which payment document you use to pay an invoice. Payables also allows you to instruct your bank to pay in a currency different from your ledger currency, if you enable the multiple currency system option and define a multi-currency payment format.In Oracle Payments, a set of documents, such as check stock, on which checks and promissory notes can be printed or written. Payment documents usually have security features such as watermarks to prevent fraud.
payment factory model
In Oracle Payments, a payment model that allows operating units to maintain their own accounts payable and other payment administrative functions. The role of the payment factory is to handle communication and transactions with the company's banking partners. Invoice selection can be done in Oracle Payables within a single operating unit. Then a payment factory administrator using Payments can consolidate payments from different operating units into a single payment file for transmission and settlement, thereby reducing transaction costs.
In Oracle Payables, a definition that determines your payment creation and remittance advice programs for a given payment document. When you define a payment format, you do so for a particular payment method. In Oracle Receivables, a feature that allows you to make invoice payments using a variety of methods. You can then assign one or more payment formats to a bank account. You can have multiple payment formats for each receipt method. Receivables associates receipt class, remittance bank, and receipt account information with your receipt entries.
In Oracle Payments, a file that contains instructions for a financial institution to make or collect payments on behalf of the first party payer or first party payee.
In Oracle Payments, a collection of payments, along with aggregate payment information, created during the funds disbursement flow. Depending on the setup, a payment instruction may be converted into a file to be printed onto checks or into a payment file that is transmitted to a payment system for further processing and disbursement.
In Oracle Payments, the entity used for settling a payment. Examples of payment instruments used by Payments are credit cards, company purchase cards, and bank accounts.
In Oracle Cash Management, you can assign a payment method to suppliers, supplier sites, invoice payment schedule lines, and payment formats. You can then assign one or more payment formats to a bank account. You can have multiple payment formats for each payment method.In Oracle Payables, a feature that allows you to make invoice payments using a variety of methods. You can disburse funds using checks, electronic funds transfers, and wire transfers. Oracle Payables updates your payment schedules the same way regardless of which payment method you use. You can assign a payment method to suppliers, supplier sites, invoice payment schedule lines, and payment formats. You can then assign one or more payment formats to a bank account. You can have multiple payment formats for each payment method.
payment method (funds capture)
In Oracle Payments, the medium by which the third party payer chooses to remit payment to the first party payee. By default, Payments supports three payment channels for automated funds capture processing: bank account transfers, credit cards, and PINless debit cards. Payments also supports the recording of payer-initiated channels such as check or wire transfer, but does not perform any processing for these channels.
payment method (funds disbursement)
In Oracle Payments, a payment attribute on a document payable. The payment method indicates the medium by which the first party payer will make a payment to a third party payee. Examples of payment methods are checks printed in-house by the payer, checks outsourced to the bank for printing, and wires.
In Oracle Payables, a value, ranging from 1 (high) to 99 (low), assigned to an invoice that determines how Payables selects invoices for payment in a payment process request. You can assign default payment priorities to suppliers, supplier sites, and invoice scheduled payments in Oracle Payables.
payment process profile
In Oracle Payments, a payment attribute assigned to documents payable (and therefore to payments) to specify their handling by Payments. Payment process profiles include several pieces of information, including specifications for formatting and transmission. The selection of a payment profile is driven by the payment method assigned to a document.
payment process request
In Oracle Payments, a request made by a source product for Payments' payment services. The payment process request contains one or more documents payable to be paid, identifying information, and optional payment instructions.
In Oracle Payables, a program you use to build and format your payment. Oracle Payables provides several payment programs. You can define as many additional programs as you need. Oracle Payables recognizes three payment program types: Build, Format, and Remittance Advice.
The due date and discount date for payment of an invoice. For example, the payment term '2% 10, Net 30' lets a customer take a two percent discount if payment is received within 10 days with the full invoice amount due within 30 days of the invoice date.
In Oracle Payments, a communication system that provides financial settlement services. Companies that deploy Payments choose payment systems to process their funds captures and, sometimes, their funds disbursements. The payment system can be the bank at which the deploying company has its bank accounts or it can be a third party processor that connects companies and financial institutions. The latter is commonly the case for credit card processing.
payment system certification
In Oracle Payments, a certification from a payment system indicating that Payments has built and tested integrations for funds capture transactions. Certifications do not preclude the deploying company from having to test their Payments installation with the payment system issuing the certification.
The due date and discount date for payment of a transaction. For example, the payment term '2% 10, Net 30' lets a customer take a two percent discount if payment is received within 10 days; after 10 days, the entire balance is due within 30 days of the invoice date with no applicable discount.
The average of the end-of-day balances for a related range of days within a period.
period-end exchange rate
The daily exchange rate on the last day of an accounting period. The system automatically translates monetary asset and liability account balances using period-end rates. When you run revaluation for a period, the system uses period-end rates to revalue the ledger currency equivalent balance associated with foreign currency-denominated account balances.
Used when you define your accounting calendar. General Ledger has predefined period types of Month, Quarter, and Year. You can also define your own period types.
place of supply
The tax jurisdiction where the supply of goods or services is deemed to have taken place for a specific tax. The place of supply can differ for different taxes on the same transaction.
planned purchase order
A type of purchase order you issue before you order delivery of goods and services for specific dates and locations. You usually enter a planned purchase order to specify items you want to order and when you want the items delivered. You later enter a shipment release against the planned purchase order to order the items.
positive pay file
In Oracle Payments, a document that the deploying company sends to its payment system to inform it of payments made by check.
Positive Pay Program
Third party or custom software that formats the output file of the Payables Positive Pay Report into the format required by your bank, and transmits it electronically to your bank. This prevents check fraud by informing the bank which checks are negotiable or non-negotiable and for what amount.
The date a journal entry is posted to the general ledger.
Numbers used to determine how Receivables will compound taxes. The tax line with the highest precedence number will calculate tax on all tax lines with a lower precedence number.
A payment you make to a supplier in anticipation of his provision of goods or services. A prepayment may also be an advance you pay to an employee for anticipated expenses. In Payables a prepayment is a type of invoice that you can apply to an outstanding invoice or employee expense report to reduce the amount of the invoice or expense report. You must validate the prepayment and fully pay the prepayment before you can apply the prepayment.
pre-printed payment documents
In Oracle Payments, documents that are pre-numbered.
An invoice you receive from a supplier that is an adjustment to the unit price of an invoice you previously matched to a purchase order shipment. You can match the price correction to specific purchase order distribution lines or you can have Payables prorate the price correction across all previously matched purchase order distributions. If you receive a price correction that represents a price reduction, you enter the price correction as a Credit invoice. If you receive a price correction that represents a price increase, you enter the price correction as a Standard invoice.
The default agent that receives 100% of the revenue credits when you first enter an invoice or commitment.
primary customer information
Address and contact information for your customer's headquarters or principal place of business. Primary addresses and contacts can provide defaults during order entry.
A ledger that acts as the main record-keeping ledger. If used for maintaining transactions for one or more legal entities, it uses the legal entities' main chart of accounts, accounting calendar, currency, subledger accounting method, and ledger processing options to record and report on all of their financial transactions. If used for other business purposes where no legal entities are involved, then the primary ledger is defined with the chart of accounts, accounting calendar, and currency that is suited for the business need. One primary ledger is required for each accounting setup. A primary ledger can have secondary ledgers and reporting currencies associated with it.
Your customer contact's principle business function according to your company's terminology. For example, people in your company may refer to accounting responsibilities such as Controller or Receivables Supervisor.
The salesperson that receives 100% of the sales credits when you first enter an invoice or commitment.
print lead days
The number of days you subtract from the payment due date to determine the invoice date for each installment. You can only specify Print Lead Days when you are defining split payment terms.
prior period addition
An addition is a prior period addition if you enter it in an accounting period that is after the period in which you placed the asset in service. Also known as retroactive addition.
prior period reinstatement
A reinstatement is a prior period reinstatement if you enter it in an accounting period that is after the period in which the retirement took place. Also known as retroactive reinstatement.
prior period retirement
A retirement is a prior period retirement if you enter it in an accounting period that is after the period in which you entered the retirement. Also known as retroactive retirement.
prior period transfer
A transfer is a prior period transfer if you enter it in an accounting period that is after the period in which the transfer took place. Also known as retroactive transfer.
(Oracle E-Business Tax) A number assigned to a tax rule, which specifies the order in which the rule is evaluated when the tax engine attempts to retrieve the result of a given process.
(Oracle Subledger Accounting) Mechanism to restrict the events selected for processing by the Subledger Accounting program. A single process category can be assigned to one or more event classes. When users submit the request to run the Subledger Accounting program, they can opt to limit the selection to a specified process category. As a result, only those event classes with the specified process category are selected for processing.
(Oracle Subledger Accounting) Number of transactions processed by Subledger Accounting in one commit cycle.
A full or partial reduction in the tax that is normally charged on a product.
product fiscal classification
A tax classification used by a tax authority to categorize a product. Examples of product fiscal classifications under the UNSPSC product fiscal classification types are "40151600: Compressors" and "40151601: Air compressors".
product fiscal classification type
A system of classification or categorization used by a tax authority to classify products. An example of a product fiscal classification type is the UNSPSC (United Nations Standard Products and Services Code).
The total number of production or similar units expected from an asset.
The process by which Oracle Assets loads production information from the Production Interface table into Oracle Assets. You can use the Production Information Upload process to transfer production information from a feeder system, such as a spreadsheet, to Oracle Assets.
An organized set of objectives directed towards a common purpose or goal, undertaken or proposed by an agency to carry out its responsibilities. Program can also mean an agency's mission, programs, functions, activities, services, projects, and processes. You can define a segment of your Accounting Flexfield to capture program information when you implement Oracle Public Sector Financials.
The date on which a customer promises to pay for products or services. The date on which you agree you can ship the products to your customer, or that your customer will receive the products.
promise to pay
A commitment by a customer to remit amounts due within a specific time period.
prompt payment act due date
The date by which you must pay an invoice to comply with United States Prompt Payment Act regulations. Oracle Payables automatically revises your scheduled payment in accordance with Prompt Payment Act requirements when you validate an invoice.
In Oracle Payments, a grouping of documents payable into payments, which have not yet been approved by the payment administrator or moved into the payment instruction creation phase.
An account segment value (such as 3500) assigned one of the five proprietary account types: Asset, Liability, Owner's Equity, Revenue, and Expense.
proprietary account type
Any of the five account types: Asset, Liability, Owner's Equity, Revenue, and Expense.
A fund type that uses accounting and reporting techniques similar to commercial enterprises. Examples of proprietary funds include internal service funds, such as a central motor pool or central public works facility, and enterprise funds.
The prorate calendar determines the number of prorate periods in your fiscal year. It also determines, with the prorate or retirement convention, which depreciation rate to select from the rate table for your table-based depreciation methods. You must specify a prorate calendar for each book.
Oracle Assets uses the prorate convention to determine how much depreciation to take in the first and last year of an asset's life based on when you place the asset in service. If you retire an asset before it is fully reserved, Oracle Assets uses the retirement convention to determine how much depreciation to take in the last year of life based on the retirement date. Your tax department determines your prorate and retirement conventions.
Oracle Assets uses the prorate date to calculate depreciation expense for the first and last year of an asset's life.
proxima payment terms
A payment term you define for invoices due on the same day each period, such as your credit card or telephone bills. This type of payment term is also used with balance forward bills.
In Oracle Payments, a type of credit card, which is typically issued by a company to an employee, but where the company is responsible for payment. These credit cards are often used for low value business procurement purchases.
purchase order (PO)
In Oracle Assets, the order on which the purchasing department approved a purchase.In Oracle General Ledger, a document used to buy and request delivery of goods or services from a supplier. In Oracle Payables, a type of purchase order you issue when you request delivery of goods or services for specific dates and locations. You can order multiple items for each planned or standard purchase order. Each purchase order line can have multiple shipments and you can distribute each shipment across multiple accounts.
purchase order distribution
Each purchase order shipment consists of one or more purchase order distributions. A purchase order distribution consists of the Accounting Flexfield information Payables uses to create invoice distributions.
purchase order encumbrance
A transaction representing a legally binding purchase. Purchasing subtracts purchase order encumbrances from funds available when you approve a purchase order. If you cancel a purchase order, Purchasing creates appropriate reversing encumbrances entries in your general ledger. Also known as obligation, encumbrance or lien.
purchase order line
An order for a specific quantity of a particular item at a negotiated price. Each purchase order in Purchasing can consist of one or more purchase order lines.
purchase order requisition line
Each purchase order line is created from one or more purchase order requisition lines. Purchasing creates purchase order requisition lines from individual requisitions.
purchase order revision
In Oracle Payables, a number that distinguishes printed purchase order versions. Purchasing automatically sets the revision to 0 when you initially create a purchase order. Each purchase order you print displays the current revision number.
purchase order shipment
A scheduled delivery of goods or services from a purchase order line to a specified location. Each purchase order line can have one or more purchase order shipments. Purchasing defines a purchase order shipment by a purchase order line location you enter in Purchasing. When you perform matching during invoice entry, you can match an invoice to one or more shipments.
An internal request for goods or services. A requisition can originate from an employee or from another process, such as inventory or manufacturing. Each requisition can include many lines, generally with a distinct item on each requisition line. Each requisition line includes at least a description of the item, the unit of measure, the quantity needed, the price per item, and the Accounting Flexfield you are charging for the item. Also known as internal requisition.
A supplier site from which you order goods or services. You must enter at least one purchasing site before Purchasing will allow you to enter a purchase order.
To purge a fiscal year is to remove the depreciation expense and adjustment transaction records for that year from Oracle Assets. You must archive and purge all earlier fiscal years and archive this fiscal year before you can purge it.An Oracle Receivables process where you identify a group of records for Receivables to delete from the database. Receivables purges each record and its related records. Receivables maintains summary data for each record it purges.
In Oracle Payables, an order you place, receive, and pay, based on the quantity, unit of measure, and price of the goods or services that you purchase.
The average of the end-of-day balances for a related range of days within a quarter.
The period for which a specific tax rate and related information is applicable.
receipt acceptance period
The number of days you allow for acceptance or rejection of goods. Oracle Payables uses this to recalculate invoice scheduled payments. You specify receipt acceptance days when you define your Financials options.
receipt batch source
A name that you use to refer to how your company accounts for receipts. Receipt batch sources relate your receipt batches to both the bank and the accounting information required for recording and posting your receipts.
Automatic receipt processing steps that you relate to your receipt methods. You can choose whether to confirm, remit, and clear automatic receipts.
The currency in which an expense report item originates.
receipt grace days
A specific number of days that you assign to your customers and sites to effectively extend the due dates for their outstanding debit items.
In Oracle Receivables, an attribute that associates receipt class, remittance bank and receipt account information with your receipts. You can define receipt methods for both manual and automatic receipts.
Your name for a source from which your company receives cash. Your receipt sources determine the accounting for payments that are associated with them. Receipts that you deposit in different banks belong in different payment sources.
Payment received in exchange for goods or services. These include applied and unapplied receipts entered within the GL date range that you specified. In Oracle Payments, funds that Oracle Receivables receives as payments against its invoices.
Predefined Receivables activities used to define the general ledger accounts with which you associate your receivables activities.
reciprocal customer relationship
An equal relationship shared between two customers. Both customers can enter invoices against each others commitments as well as pay each others debit items.
recognition journal entry
See: multiperiod accounting
In Oracle Payables, the process of matching and clearing your bank account statement lines with payments and receipts entered in Payables and Receivables. A reconciled document has been matched to a bank statement line in Cash Management. Oracle Payables inserts a cleared date and amount for all payments that your bank reports as cleared. In Oracle Receivables, an analysis that explains the difference between two balances. If you are using Cash Management to reconcile receipts, payments are reconciled when they are matched to a bank statement line.
A variance amount used by Cash Management's AutoReconciliation program to match bank statement lines with receivables and payables transactions. If a transaction amount falls within the range of amounts defined by a bank statement line amount, plus/minus the reconciliation tolerance, a match is made.
A bank file is made up of many different rows or records. Each record must have a type. For example, a record may store information about a payment record or a batch record. Record types help Oracle Receivables determine where different types of data are stored in your bank file.
In Oracle Payables, the process of recovering prepaid amounts when invoicing for progress or the final delivery of goods or services, based on specific terms captured in the Services Procurement contract.
The recoverable amount of an asset or a cash-generating unit is the higher of its fair value less costs to sell and its value in use.
The lesser of the cost ceiling or the current asset cost less the salvage value and ITC basis reduction amount. Recoverable cost is the total amount of depreciation you are allowed to take on an asset throughout its life.
recoverable tax amount
The part of the tax amount on a transaction that can be recovered.
A feature that lets you create invoices for an expense that occurs regularly and is not usually invoiced. Monthly rents and lease payments are examples of typical recurring payments. You define recurring invoice templates and Payables lets you define recurring invoices using these templates.
A journal entry you define once; then, at your request, General Ledger repeats the journal entry for you each accounting period. You use recurring journal entries to define automatic consolidating and eliminating entries. Also known as recurring formula.
A rule that is applied to the model invoice to determine the invoice dates of the recurring invoices. You can choose Annually, Bi-Monthly, Days, Monthly, Quarterly, Semi-Annually, Single Copy, and Weekly.
A schedule used to determine the number of recurring invoices created. You specify the recurring rule and number of recurring invoices you want to create.
The reexpression coefficient (revaluation rate or correction factor) is the factor used to adjust cost, accumulated depreciation, and depreciation expense amounts for inflation. Historical amounts are multiplied by the reexpression coefficient to calculate the inflation-adjusted amounts.
(Oracle Subledger Accounting) Database objects that can be used to provide sources for creating subledger accounting, even though they do not contain the subledger accounting primary keys. Developers need to provide a joining clause between the reference objects and the transaction objects. Reference objects also enable sharing of sources across applications.See: transaction objects
(Oracle E-Business Tax) The hierarchy of tax configuration details belonging to a tax regime, including all taxes, tax statuses, and tax rates.
The record of a party's identity related details (registration number, legal address, business activity, etc.), along with the appropriate government/legal authorities for the purpose of claiming and ensuring legal and/or commercial rights and responsibilities.
A transaction you reflect once for the government as a whole, such as expenditures you make from a fund that are properly applicable to another fund. For example, if you charge an expenditure to the special revenue fund that is properly chargeable to the general fund, you reimburse the special revenue fund by recording the expenditure in the general fund and reducing the expenditure in the special revenue fund to be reimbursed.
The currency in which an employee chooses to be reimbursed for an expense report.
A mechanism for grouping similar relationship roles and phrases together. As a general rule, this grouping is used to determine which relationship roles and phrases are displayed in application user interfaces but can also be used to group roles and phrases for other functional uses.
Defines the role of the subject of a relationship. For example, if an organization is an employer of a person, the Employer Of role describes the subject.
A categorization that defines the rules and characteristics of a relationship.
The amount that represents the numerator for the ratio used to determine the amount due. You specify your relative amount when you define your payment terms.Amount Due = Relative Amount/Base Amount x Invoice Amount
An actual order of goods or services you issue against a blanket purchase order. The blanket purchase order determines the characteristics and prices of the items. The release specifies the actual quantities and dates ordered for the items. You identify a release by the combination of blanket purchase order number and release number.
The release name Oracle Payables or you assign when releasing a hold from an invoice.
The date on which an invoice and its associated revenue is released.
A document that lists the invoices being paid with a particular payment document. You can create and define remittance advices which you can use with any payment format or you can use a standard remittance advice that Oracle Payables provides.
The bank in which you deposit your receipts.
The unit at which capital costs and expenses are recorded or reported (for example, well, lease, completion, prospect, facility, transport, transport measurement point, division, department, etc.).
Reporting currencies are additional currency representations of primary or secondary ledgers in which accounting and reporting can be performed. This currency can be used for supplementary reporting purposes, like consolidation or management reporting. Reporting currencies can only differ by currency from their source ledger.
The oversight unit and all related component units that combine to form a governmental reporting entity.
Summary relationships within an account segment that let you group detailed values of that segment to prepare summary reports. You define summary (parent) values that reference the detailed (children) values of that segment.
(Oracle Subledger Accounting) A sequence for subledger journal entries assigned when a GL period is closed. Legal subledger journal entry sequences are used to meet fiscal reporting requirements. Sequence numbers can be retroactively updated when subledger journal entries are used to account for activity in prior periods.
A transaction representing an intent to purchase goods and services as indicated by the completion and approval of a requisition. Purchasing subtracts requisition encumbrances from funds available when you reserve funds for a requisition. If you cancel a requisition, Purchasing creates appropriate reversing entries in your general ledger. Also known as commitment, pre-encumbrance or pre-lien.
A financial statement containing information organized by management responsibility. For example, a responsibility report for a cost center contains information for that specific cost center, a responsibility report for a division manager contains information for all organizational units within that division, and so on. A manager typically receives reports for the organizational unit(s) (such as cost center, department, division, group, and so on) for which he or she is responsible.
To restore a fiscal year is to reload the depreciation expense and adjustment transaction records for that fiscal year into Oracle Assets from a storage device. You can only restore the most recently purged fiscal year.
In Oracle Payables, the common practice of withholding a fixed amount or percentage of payment until all work under a contract is completed and accepted. Retainage is also called Retention or Contractual Withholds. The intention of retainage is to reduce the risk of an incomplete project.
In Oracle Payables, a request to release amounts retained under a Services Procurement Contract when contracted work is completed and accepted.
Justification for a return of product. Many companies have standard reasons that are assigned to returns to be used to analyze the quantity and types of returns.
In Oracle Assets, a feature that allows you to adjust the cost of your assets by a revaluation rate. The cost adjustment is necessary due to inflation or deflation. You can define revaluation rules for accumulated depreciation, for amortization of revaluation reserve, and for revaluation ceilings.In Oracle Receivables and Oracle General Ledger, a process that restates assets or liabilities denominated in a foreign currency using exchange rates that you enter. Changes in exchange rates between the transaction and revaluation dates result in revaluation gains or losses.
revaluation gain/loss account
An income statement account you define that records net gains and losses associated with the revaluation of foreign currency-denominated accounts, in ledger currency units. You select the appropriate gain/loss account in the Revalue Balances window.
revaluation journal entry
A journal entry that is automatically created when you revalue foreign currency-denominated accounts. The revaluation process creates a batch of revaluation journal entries reflecting changes in market rates for each revalued currency and directs the gain or loss amount to the gain/loss account that you specify.
revaluation status report
A report that summarizes the results of your revaluation. Oracle General Ledger automatically generates this report whenever you revalue foreign asset and liability account balances for an accounting period in your calendar. You can review this report to identify accounts that were revalued in Oracle General Ledger and journal batches and entries that were created because of the revaluation.
The point at which revenue is recorded. The concept of revenue recognition is central to accrual-basis accounting. Revenue recognition schedules detail the points at which percent amounts of a sale are recognized as revenue.
revenue sales credit
Sales credit you assign to your salespeople that is based on your invoice lines. The total percentage of all revenue sales credit must be equal to 100% of your invoice lines amount. Also known as quota sales credits.
A journal entry General Ledger creates by reversing an existing journal entry. You can reverse any journal entry and post it to any open accounting period.
RFQ Only Site
A supplier site from which you receive quotations.
In Oracle Payments, a service provided to evaluate the potential for fraud and to flag risky transactions. This service, performed during authorization, incorporates information from the payment system, such as the results of address verification.
The process of taking the beginning balance of a period and then accounting for the transactions within that period by attempting to equate the beginning balance with the ending balance for the period.
A collection of parent segment values for a given segment. You use rollup groups to define summary accounts based on parents in the group. You can use letters as well as numbers to name your rollup groups.
A parent segment value in Oracle General Ledger that is the topmost node of a hierarchy. When you define a hierarchy using the Account Hierarchy Manager or Applications Desktop Integrators Account Hierarchy Editor, you specify a root node for each segment. Oracle Financial Analyzer creates a hierarchy by starting at the root node and drilling down through all of the parent and child segment values.
A tax collected by a tax authority on purchases of goods and services. The supplier of the good or service collects sales taxes from its customers (tax is usually included in the invoice amount) and remits them to a tax authority. Tax is usually charged as a percentage of the price of the good or service. The percentage rate usually varies by authority and sometimes by category of product. Sales taxes are expenses to the buyer of goods and services.
sales tax structure
The collection of taxing bodies that you will use to determine your tax authority. 'State.County.City' is an example of a Sales Tax Structure. Oracle Receivables adds together the tax rates for all of these components to determine a customer's total tax liability for a transaction.
A schedule used to determine the amount and date of payment due. You use payment terms to determine your scheduled payment as well as any discounts offered.
Assigns value to an object such as a customer, account, bill to location, or delinquency and determines delinquency status.
Uses a select statement or function to derive quantifiable values for business questions such as the total number of delinquencies for a customer.
An optional, additional ledger that is associated with the primary ledger for an accounting setup. Secondary ledgers can represent the primary ledger's data in another accounting representation that differs in one or more of the following: chart of accounts, accounting calendar/period type combination, currency, subledger accounting method and ledger processing options. Secondary ledgers can be maintained at four different data conversion levels: Balance, Journal, Subledger Journal, and Adjustments Only.
In Oracle Advanced Collections, a database view used for scoring and strategies.The building blocks of your chart of accounts in Oracle General Ledger. You define the structure and meaning of individual segments when customizing a flexfield. Each account is comprised of multiple segments. Commonly used segments include company, cost center, department, account, and product.
The first tax location in your sales tax structure. This segment does not have a parent location. For example, in the sales tax structure 'State.County.City', State is the senior tax authority.
Sequence generates numbers for documents or accounting entries. The generated sequence numbers are stored in the database tables registered as Sequence Entity.
Allows users to control sequence numbering by specifying sequencing rules for a given sequence.
The business boundaries for generating sequence numbers for documents or accounting entries may be generated. Examples include Legal Entity, Tax Registration Number, Ledger.
sequence control attribute
An attribute, which is unique to the records of a Sequence Entity.
sequence control attribute combination
Unique set of values for individual sequence control attributes that make up a sequence control attribute structure.
sequence control attribute structure
Corresponds to a collection of sequence control attribute.
sequence control date type
Date type available to a Sequence Entity.
Represents the product table information for documents or accounting entries that are available for being sequence numbered.
An event that triggers a document or an accounting entry sequence numbering. Examples include Payables Invoices approval for document and posting of GL journal entries for accounting entries. Sequence events can be triggered when:
Posting: When GL journal entries are posted to a ledger
GL Period Close: When accounting entries are closed
Creation/Commit: When GL journal entries are created or committed to the database
Receivables provides two types of sequences: Automatic and Manual. Automatic numbering sequentially assigns a unique number to each transaction as it is created. Manual numbering requires that you manually assign a unique number to each transaction when you create it. You can skip or omit numbers if desired.
Information regarding the series of sequence number and the effective date range of the series.
The business boundaries for generating sequence numbers for documents or accounting entries may be generated. Examples include Legal Entity, Tax Registration Number, Ledger.
Sequencing rules define the relationships between Sequence Events, Sequence Entities, Sequence Context Types, Sequence Control Attributes, and Sequence Control Date Types.
separate remittance advice
In Oracle Payments, a file or document for each payee that lists the invoices that the deploying company has paid to that payee. This is an optional feature initiated by the deploying company.
The settings that let a combination of tax regime and first party use the tax calculation services of a tax service provider in place of Oracle E-Business Tax. The tax calculation services of the tax service provider are used to calculate the applicable taxes of this tax regime for transactions belonging to the first party.
In Oracle Payments, the actual payment in the funds capture flow. Funds are captured against a payment instrument and deposited to the first party payee's bank account. For credit card transactions and for debit card transactions with some payment systems, this is the second step in the funds capture process, after authorization.
In Oracle Payments, a collection of settlements (and sometimes credits), along with aggregate settlement information created by Oracle Payments during the funds capture flow. A settlement batch is usually converted into a payment file to be transmitted to a payment system for further processing and settlement.
settlement batch creation rules
In Oracle Payments, rules that specify how funds capture transactions are grouped into settlement batches. Some rules are hard coded while others are user-defined.
The date before which you cannot apply a prepayment to an invoice. Oracle Payables prevents you from applying a temporary prepayment to an invoice until on or after the Settlement Date of the prepayment.
shared use assets
When your accounting entities in the same corporate book share the use of an asset, you can apportion depreciation expense to each by percentage or units used.
The address of the customer who is to receive products or services listed on the invoice or order.
A recurring journal entry the amounts of which change each accounting period. You simply define a recurring journal entry without amounts, then enter the appropriate amounts each accounting period. For example, you might define a skeleton entry to record depreciation in the same accounts every month, but with different amounts due to additions and retirements.
The origin of imported invoices. Import sources for the Payables Open Interface include Invoice Gateway, Oracle Assets, Oracle Property Manager, Credit Card, EDI Gateway (e-Commerce Gateway), ERS, RTS (Return to Supplier), and Internet Supplier Portal. You can define other sources in Payables for invoices you import from other accounting systems. Import sources for the Expense Report Open Interface are Payables Expense Report for invoices you enter in Payables or Internet Expenses, and Oracle Projects for invoices from Oracle Projects.(Oracle E-Business Tax) An identifier that designates whether a tax registration is explicitly or implicitly defined.(Oracle Subledger Accounting) The contextual and reference data drawn from the transaction model and included in transaction objects data, which can be used to determine how the event should be accounted. For example, the sources associated with a receipt application can include the trading partner name, trading partner type, receipt method, and bank account name.
Relative to Oracle Payments, a product within the Oracle E-Business Suite that wants to use Oracle Payments for payment processing. Source products are those that accept payment instruments for funds capture, such as Oracle iStore, Oracle Order Management, and Oracle Student System, or for funds disbursement, such as Oracle Payables.
For related transactions, the identifying source transaction from which the related items are created.
A dollar amount that determines the number of invoices over and under this amount, as well as the total amounts remaining. For example, your company generates invoices that are either $300 or $500. You choose $400 as your split amount so that you can review how much of your open receivables are comprised of your $300 business and how much corresponds to your $500 business. The split amount appears in the Collection Effectiveness Indicators Report.
split payment terms
A feature used to automatically schedule multiple payments for an invoice. You can split payments using either a flat amount or a percentage of the total amount due.
spot exchange rate
A daily exchange rate you use to perform foreign currency conversions. The spot exchange rate is usually a quoted market rate that applies to the immediate delivery of one currency for another.
An individual asset that does not belong to a group asset.
The usual and customary period-to-date, quarter-to-date, or year-to-date balance for an account. The standard balance is the sum of an account's opening balance, plus all activity for a specified period, quarter, or year. Unlike an average balance, no additional computations are needed to arrive at the standard balance.
A recurring journal entry whose amount is the same each accounting period. For example, you might define a standard entry for fixed accruals, such as rent, interest, and audit fees.
standard memo lines
A type of line that you assign to an invoice when the item is not an inventory item (for example, 'Consulting Services'). You define standard memo lines to speed data entry when creating your transactions.
A payment reversal where Oracle Receivables automatically updates your general ledger and re-opens the debit items you closed by reversing the original payment.
The statistical currency Oracle General Ledger uses for maintaining statistical balances. If you enter a statistical transaction using the STAT currency, Oracle General Ledger will not convert your transaction amounts.
statistical journal entry
A journal entry in which you enter nonfinancial information such as headcount, production units, and sales units.
Statistical information relating to the unit of measure for an invoice distribution line. For example, when you enter invoices for office rent, you can enter Square Feet (or whatever Unit of Measure you define in General Ledger) in the Unit field for an invoice distribution, and the number of square feet in the Statistical Quantity field for an invoice distribution. Oracle Payables includes the statistical quantity in the journal entries it creates for General Ledger during posting. You must use General Ledger in order to define a unit of measure and to be able to enter statistical quantities.
Accounting information (other than currency amounts) you use to manage your business operations. With Oracle General Ledger, you can maintain budget and actual statistics and use these statistics with budget rules and formulas.
In Oracle General Ledger, a group of allocations that are ordered so that the posted results of one step are used in the next step of the AutoAllocation set. For example, you might allocate parent company overhead to operating companies based on revenues. You can then use a step-down allocation to allocate overhead to cost centers within the operating companies based on headcount.
In Advanced Collections strategies are used to manage collections issues with specific customers. A strategy has one or more work items.
(Oracle Subledger Accounting) A ledger that is subsidiary to the general ledger, representing the accounting for a single Oracle application. Transactions occur in Oracle applications such as Payables and Receivables. To represent the financial impact of these transactions, accounting is created as subledger and general ledger entries. An organization can create several subledger accounting representations to meet the needs of different groups of readers, such as regulatory officials or investors. The AMB creates these representations. Each representation is created using a subledger accounting method, and posted to a distinct ledger. For example, the entries created for Payables can be created once using a fiscal subledger accounting method and a second time using an analytical subledger accounting method. Each of these subledger entries are transferred and posted. However, they are transferred and posted to different ledgers.
Refers to the infrastructure for creating and maintaining subledger journal entries. Subledger Accounting includes the AMB, the Subledger Accounting program, transaction account builder, control and third party control accounts, and the ability to inquire, view, and drill from subledger journal entries. These components enable users to create flexible application accounting definitions and multiple representations of accounting, which are independent of their transaction models.
Subledger Accounting method
A group of consistent application accounting definitions that determines how accounting events are processed by the Subledger Accounting program. The subledger accounting method is assigned to a ledger. An example of a subledger accounting method is U.S. GAAP accounting method, which includes a U.S. GAAP application accounting definition for Payables, Assets, and other Oracle applications. This method is assigned to a ledger which uses U.S. GAAP.
Subledger Accounting program
(Oracle Subledger Accounting) A program that processes eligible accounting events to create subledger journal entries. For each accounting event, the Subledger Accounting program retrieves source values from the transaction objects and applies the application accounting definitions to create subledger journal entries. The Subledger Accounting program is also responsible for the transfer of journal entries to the General Ledger.
An Oracle application used to create transactions that may require accounting. For example, Oracle Process Manufacturing, Projects, and Assets are subledger applications.
subledger journal entry
(Oracle Subledger Accounting) A journal entry which includes all of the journal lines used to account for an event originating from a subledger application. Several subledger journal entries can be summarized to create a single general ledger journal entry. Users determine whether to summarize subledger journal entries when they create journal line types in the AMB. Because subledger journal entries provide the details for accounting, their corresponding general ledger entries are typically summarized. For example, the entries created to record the approval of a single invoice is a subledger journal entry. Several such entries can be summarized to form a single General Ledger journal entry.
(Oracle Subledger Accounting) The recording of an action in a subledger application. A transaction is typically created to represent the impact of a business event. It frequently corresponds to a document. However, the transaction should not be identified exclusively by a document, since each document can be used as a basis for multiple transactions. Some transactions generate a subledger journal entry. Examples of subledger transactions that typically generate journal entries include approving invoices, creating expenditure batches, and adding fixed assets.
An account whose balance represents the sum of other account balances. You can use summary accounts for faster reporting and inquiry as well as in formulas and allocations.
Used to standardize the depreciation method and limits across a range of group assets. When you assign a super group to a group asset, the group asset depreciation is calculated using the depreciation method and the rules defined for the super group.
A business or individual that provides goods or services or both in return for payment.
An external supplier's invoice entered into Oracle Payables.
A number or combination of numbers and characters that uniquely identifies a supplier within your system.
A facility maintained by a supplier for the purpose of conducting business. A supplier may have one or many supplier sites.Payables maintains supplier information regarding each supplier site you define for a supplier. You may define a supplier site as a pay site only, a purchasing site only, both a pay site and a purchasing site, or as an RFQ only site, in which case it may not have purchase orders entered against it. You can also select one pay site as your primary pay site.
A party that is responsible for the remittance and/or reporting of taxes to a tax authority on behalf of another taxpayer.
The value of a tax for a given tax jurisdiction for a given tax event. Each tax amount that is calculated for a tax may contain both a recoverable tax amount and a non-recoverable tax amount.
The process that identifies all of the taxes to be determined and levied on a transaction.
A governmental entity that collects taxes on goods and services purchased by a customer from a supplier. In some countries, there are many authorities (for example, state, local, and federal governments in the U.S.), while in others there may be only one. Each authority may charge a different tax rate.
A depreciation book that you use to track financial information for your reporting authorities.
The process and data by which a tax amount is determined for one or more taxes for a tax event.
tax calculation formula
A formula used in tax calculation. The standard tax formula is (tax rate) * (line amount) = tax amount.
tax classification code
A code that represents a migrated tax code, including the tax codes within a tax group, from Release 11i tax functionality to Release 12 Oracle E-Business Tax. Payables and Purchasing tax codes migrate as input tax classification codes; Receivables and Projects tax codes migrate as output tax classification codes. A tax classification code is used in tax rules as a determining factor in direct tax rate determination.
In Release 11i, the code that you assign Payables or Receivables transaction tax information, including sales tax or value-added tax rates, tax type, taxable basis, tax controls, and tax accounting. In Release 12, these tax code functions migrate to Oracle E-Business Tax as various codes in the regime-to-rate flow. Payables tax codes for withholding tax still retain the Release 11i functionality in Release 12.
An occurrence of a tax event type on a tax event class.
tax event class
A business classification used to categorize a group of documents (application event classes) of one or more E-Business Suite applications that are essentially the same from the tax perspective, such as an invoice, a purchase order, or an inventory issue.
tax event type
An action on a tax event class, which results in a call to a published tax service.
A customer, business purpose, or item to which tax charges do not apply.
A formula used to define the taxable basis and tax calculation for a given tax.
tax formula type
A type that indicates the usage of a tax formula.
An implementation of a user-defined geography for tax purposes.
tax geography type
A classification of a tax geography for a specific tax purpose, such as the counties in the US State of California.
A tax that is included in the sales or cost price of a product.
A geographic area where a tax is levied by a specific tax authority.
tax jurisdiction rate
The tax rate for a given tax jurisdiction.
A line for a specific tax that is related to one or more transaction lines. A detail tax line relates to exactly one item line, whereas a summary tax line can relate to one or more item lines within the same transaction. A tax line may have one or more tax recovery schedules associated with it.
A specific tax location within your tax authority. For example 'Redwood Shores' is a tax location in the Tax Authority California.San Mateo.Redwood Shores.
tax only tax line
A tax line that is not related to any item line on the current invoice. Typically, such lines figure in tax-only invoices, that pertain to purchases that are invoiced separately.
The order or priority to be observed in a tax calculation of more than one tax. Taxes are ranked in order of calculation because the calculated value of one tax affects the taxable basis of the subsequent tax calculation.
The rate specified for a tax status for an effective time period. A tax rate can be expressed as a percentage, a value per unit quantity, or a fixed sum per transaction.
tax rate type
A classification that indicates whether the tax rate is a percentage or a quantity based rate.
The full or partial reclaim of taxes paid on the purchase or movement of a product.
tax recovery rate
The rate specified for the full or partial reclaim of taxes paid on the purchase or movement of a product.
tax recovery type
A classification of tax recovery.
The set of tax rules that determines the treatment of one or more taxes administered by a tax authority.
tax regime level
The level at which a tax regime is defined, that is, for a specific country or group of countries.
The registration of a party with a tax authority that confers tax rights and imposes certain tax obligations.
A user-defined rule that looks for a result for a specific tax determination process, such as determining place of supply or tax registration, in relation to a tax on a transaction. A tax rule comprises a tax determining factor set and one or more tax condition sets. The tax condition sets are evaluated for a match between the rule value and the transaction line value. If a match is found, the result associated with the matching condition set is used. If a match is not found, the next tax rule in order of priority is processed.
A third party software company that provides tax calculation services to Oracle E-Business Tax via service subscriptions.
The taxable nature of a product in the context of a transaction for a tax.
The acceptable degrees of variance you define for the differences between the calculated tax amount on an invoice and the actual tax amount on the invoice. The calculated tax amount is the amount of tax on the invoice as determined by the tax name for the invoice (which has a defined tax rate) and the amount of the invoice. The actual tax amount is the sum of all the tax distribution lines. If the variance between these two amounts exceeds the tolerances you specify, Invoice Validation places the invoice on hold.
A high-level categorization of taxes that is common across all tax regimes. For example, Canadian GST, French TVA, Spanish IVA, and Brazilian IPI can all use the tax type "Value Added Tax".
A geographical area or group of areas (either contiguous or not) within a tax zone type that has a common behavior for one or more taxes.
tax zone type
A geography type, such as state, county, city, or province, that divides the geography of a country into smaller geographic areas for tax purposes.
The value or quantity on which a specific tax is calculated. For a value-based tax, the taxable basis is typically the transaction line amount; for a quantity-based tax, the taxable basis is typically the transaction line quantity. The taxable basis of a value-based tax may differ from the transaction line amount if discounts, charges, compounded taxes, and base rate modifiers need to be considered.
The central repository of party information for all Oracle applications. The party information includes details about organizations and people, the relationship among the parties, and the places where the parties do business.
A pattern that Oracle General Ledger uses to create and maintain summary accounts. For each template you specify, General Ledger automatically creates the appropriate summary accounts.
Terms Date Basis
The method that determines the date from which Oracle Payables calculates an invoice scheduled payment. The terms date basis can be Current, Goods Received, Invoice, or Invoice Received.
A feature that lets you categorize your customers or salespeople. For example, you can categorize your customers by geographic region or industry type.
third party control accounts
(Oracle Subledger Accounting) Natural accounts which only have meaning within the context of a subledger that records a subledger's balance and activity in relation to trading partners. When setting up a third party control account, users can specify whether the account will be used to record activity for suppliers, customers, or both.Control account balances are updated exclusively by subledger journal entries originating in the subledger applications. Posting to third party control accounts is generally completed in summary mode, as the detail is tracked in the subledger. Examples of third party control accounts include receivables and liability accounts.
third party payee
In Oracle Payments, the external party, such as a supplier, receiving funds disbursements from the first party payer.
third party payer
In Oracle Payments, the external party, such as a customer, remitting funds for payment to the first party payee.
third party subidentification
A generic term for a customer address, a supplier site, or a subinventory.
A feature you use to specify acceptable matching and tax variances. You can specify either percentage-based or amount-based tolerances or both for quantity and item price variances between matched invoices and purchase orders. You can also specify percentage-based or amount-based tolerances for your tax variances. Invoice Validation uses the tolerance levels you define to determine whether to hold or validate invoices for payment.
The percentage amount by which customers are allowed to exceed their credit limit and still pass the credit check.
In Oracle Payables, a single entity that is both a customer and a supplier to the deploying company
In Oracle Receivables, these include invoices, debit memos, credit memos, deposits, guarantees and chargebacks entered with a GL date that is between the beginning and ending GL dates.Relative to Oracle Payments, an entity in another product for which money must be collected. For example, in Oracle Order Management, a transaction is a sales order. In Oracle Quoting, a transaction is a quote. In Oracle Receivables, an example of a transaction is an invoice created manually in the transactions workbench or an invoice created via AutoInvoice.
Transaction Account Builder (TAB)
(Oracle Subledger Accounting) A mechanism to derive default accounts for transactions. TAB shares some components with AMB, for example sources and derivation rules.
transaction authorization entity
In Payments, an entity that is used to store information about the authorization portion of a transaction.
A business classification used to categorize an Oracle E-Business Suite transaction.
transaction chart of accounts
(Oracle Subledger Accounting) The chart of accounts used to enter Accounting Flexfield information on transactions in subledger applications. For example, when a receivables invoice is recorded in the system, the item, tax, and freight Accounting Flexfields that the user views and enters for the invoice contains values from the transaction chart of accounts.
Note: While the accounting chart of accounts is used to create Accounting Flexfields for subledger journal entries, the transaction chart of accounts is used when subledger transactions are created.
See: accounting chart of accounts
In Oracle Cash Management, you define transaction codes that your bank uses to identify different types of transactions on its statements. For example, your bank may use transaction codes T01, T02, and T03 to represent debit, credit, and stop payment.In Oracle Payables, a feature you use to describe bank transactions prior to initiating automatic reconciliation from a bank tape. You define transaction codes based on those your bank provides, and Oracle Payables uses them to load information from your bank tape. For example, your bank may use transaction codes T01, T02, and T03 to represent debit, credit, and stop payment.
The currency in which a transaction originally takes place. For processing purposes, the reimbursement currency in an expense report is the transaction currency.
In Payments, a row in the Transaction Payment-Extension Entity table that contains the payment attributes of the transaction and an identifier that corresponds to the transaction.
transaction fiscal classification
A tax classification used by a tax authority to categorize a transaction.
transaction intended use
A tax classification that describes the purpose for which a good or a service involved in a transaction is ultimately used. Examples of transaction intended use in a purchase transaction are Consumption and Resale, which can have different implications for tax recovery.
(Oracle Subledger Accounting) Tables or views that contain transaction data sources in a standardized format required by the Subledger Accounting program. Transaction objects enable accounting independence from transaction models. The transaction objects should include all data which may be required to create subledger journal entries from accounting events.See: source
transaction payment-extension entity
In Payments, an entity that is used to store payment attributes for transactions that require funds capture. Records in this entity are linked one-to-one with the source products' transaction records, and are thought of as extensions of these transactions. Attributes in this table include payment method and payment instrument ID.
transformation rule set
(Financial Consolidation Hub) The rule that transforms the data when it is submitted.
In Oracle Assets, the kind of action performed on an asset. Transaction types include addition, adjustment, transfer, and retirement.In Oracle Cash Management, transaction types determine how Cash Management matches and accounts for transactions. Cash Management transaction types include Miscellaneous Receipt, Miscellaneous Payment, Non-Sufficient Funds (NSF), Payment, Receipt, Rejected, and Stopped.(Oracle E-Business Tax) A sub-classification of a transaction class used to categorize a transaction.In Oracle Receivables, an invoice control feature that lets you specify default values for invoice printing, posting to the general ledger, and updating open receivable balances.
A seeded or user-defined rule that transforms and standardizes TCA attribute values into representations that can assist in the identification of potential matches.
(Financial Consolidation Hub) Adjustments done while translating from one currency to the other.
(Financial Consolidation Hub) The category that picks up all data from a child entity and translates it to the parent's currency.
(Financial Consolidation Hub) A collection of settings that determines the currency processing that is applied to a parent/child relationship during consolidation.
A transmission format defines what data your bank is sending in the bank file, and how that data is organized. In Oracle Receivables, you define a transmission format that identifies what types of records you want to import, what data is in each type of record, and the position in which that data is located on the record.
The status of a payment for which you can identify the customer, but you have not applied or placed on account all or part of the payment. For example, you receive a check for $1200.00 and you apply it to an open debit item for $1000.00. The remaining $200.00 is unapplied until you either apply the payment to a debit item or place the amount On Account.
In Payables, payments that have not cleared an internal bank account. Usually this happens when a payee did not receive a check payment, or received it and never deposited it.
Discounts your customers are allowed to take if they pay for their invoices after the discount date. (The discount date is determined by the payment terms.) You can specify at the system level whether you want to allow customers to take unearned discounts.
Revenue received and recorded as a liability or revenue before the revenue has been earned by providing goods or services to a customer.
The status of a payment for which the customer is unknown. Oracle Receivables retains unidentified payments for you to process further.
unit of measure
A classification created in Oracle General Ledger that you assign to transactions in General Ledger and subledger applications. Each unit of measure belongs to a unit of measure class.For example, in Oracle Payables, you define square feet as a unit of measure. When you enter invoices for office rent, you can track the square footage addition to the dollar amount of the invoice. In Oracle Assets, a label for the production quantities for a units of production asset. The unit used to measure production amounts.
Levied on the end consumer, prior stages of supply are exempt by certificate awarded by the state of the recipient. Government and other organizations are exempt by statute. Many taxes may apply to a single transaction, including state, County, City, Transit, and Muni tax. Monthly returns to each state are required only if the operating company is registered for business within that state. Monthly reporting of Sales and Use tax can be on an accrual or cash basis.
A tax that you pay directly to a tax authority instead of to the supplier. Suppliers do not include use tax on their invoices. You sometimes owe use tax for goods or services you purchased outside of, but consumed (used) within the territory of a tax authority. Use taxes are liabilities to the buyer of goods and services. You can define a tax name for use taxes. When you enter a use tax name on an invoice, Oracle General Ledger does not create an invoice distribution or general ledger journal entry for the tax.
An implementation of a geography, defined by a party, for specific purposes.
In Oracle Payments, a period of time for which a credit card funds authorization is valid. The validity period is controlled by the issuing bank.
validation rule set
(Financial Consolidation Hub) A rule set that checks the data when it is submitted.
In Subledger Accounting terminology, each monetary valuation of an underlying accounting event is called a valuation method. In most applications, there is one transaction recorded for each underlying accounting event. Although there may be many possible interpretations of the financial impact of the accounting event and therefore many possible accounting representation, the underlying event has only one monetary value.However, in some applications, a single underlying business event can produce one or more transactions, each with a different monetary value. For example, a fixed asset may be depreciated and therefore valued according to corporate rules in a corporate book and according to tax rules in one or more tax books. Each of these asset books represents a different valuation method.
Value Added Tax (VAT)
An indirect tax on consumer expenditure that is collected on business transactions and imports. VAT is charged at each stage (production, distribution, retail) in the supply of products. If the customer is registered for VAT and uses the supplies for "taxable" business purposes, he will typically receive credit for this VAT paid. The broad effect is that the VAT is actually borne by the final consumer of a product.
values set maps
(Financial Consolidation Hub) A map specifies the relationship between dimension members in child value sets to dimension members in the consolidation value set.
A feature you use to void a range of blank check stock.
A generic term for accounting entries created from a transaction for a document, such as an invoice or credit memo.
A number used as a record of a business transaction. A voucher number may be used to review invoice information, in which case it serves as a unique reference to a single invoice.
To store approved invoices for payment by a central Treasury or a central accounts payable department.
In government accounting, an order drawn authorizing payment to a designated payee. Not to be confused with a stock warrant.
weighted-average exchange rate
An exchange rate that Oracle General Ledger automatically calculates by multiplying journal amounts for an account by the translation rate that applies to each journal amount. You choose whether the rate that applies to each journal amount is based on the inverse of the daily conversation rate or on an exception rate you enter manually. General Ledger uses the weighted-average rate, instead of the period-end, average, or historical rates, to translate balances for accounts assigned a weighted-average rate type.
weighted-average translation rate
The rate General Ledger uses to translate your ledger currency into a foreign currency for your transactions. Oracle Payables provides transaction information based on daily rates you enter in the system and rate exceptions you define for individual transactions. This transaction information allows General Ledger to calculate an accurate weighted-average translation rate.
The withholding of taxes that one party performs on behalf of another or itself, for remittance to a tax authority.
withholding tax group
You can assign one or more Withholding Tax type tax names to a withholding tax group. Assign a withholding tax group to an invoice or distribution line and use Oracle Payables to automatically withhold tax for expense reports and supplier invoices.
withholding tax rate
The rate at which Payables withholds tax for an invoice distribution line that has a Withholding Tax type tax name assigned to it.
A word mapping that is used to create synonyms which are treated as equivalents for searching and matching.
work in process
An item in various phases of production in a manufacturing plant. This includes raw material awaiting processing up to final assemblies ready to be received into inventory.
Limits that you set at the system and user levels for creating receipt write-offs. Oracle Receivables enforces the limits that you define when users write-off receipts. Users can only write off receipt balances within their user limit for a given currency and the total cumulative write-off amount cannot exceed the system level write-off limit.
An event type classification that causes revenue to accrue and generates an invoice for the amount of the write-on.
The average of the end-of-day balances for a related range of days within a year.