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Oracle Lease and Finance Management User's Guide
Release 12.1
Part Number E13583-05
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Accounting Transactions

Accounting Transactions Overview

The accounting processes from the Period Open to Close enable accruals, loss provisions, write-downs, periodic adjustments, and journal entries specific to the asset-based finance industry. This chapter reviews Lease Management accounting transactions, transaction processes, inquiries, and summaries.

For more information on the Lease and Finance Management accounting process, see Accounting Integration.

Lease and Finance Management Accounting Transactions

Generate Accruals

Accruals Process Overview

The accrual process enables recognition of the periodic income and expense for a contract to satisfy accounting requirements. Lease and Finance Management has three concurrent programs to process accrual for contracts based on the Revenue Recognition Method defined on the product.

The amount of accrual is determined based on either the stream elements or the amount of the formula on the accounting template. All accrual amounts are in the contract currency.

The Generate Accruals concurrent program validates the accrual date. If the date is not in an open accounting period, the Generate Accruals program terminates with an error and displays an error message in the log file requesting that you open the period in the Accounting Periods page.

Generate Accruals Concurrent Programs

Three concurrent programs have been seeded for accrual processing for a contract. Each concurrent program selects contracts for accrual processing based on the value of the quality Revenue Recognition Method on the Financial Product. The accrual process generates accrual transactions for those stream types that are selected for accrual on the product. No other stream type is processed for accrual.

The concurrent programs to generate accruals are:

Generate Batch Accruals

Use this procedure to specify an accrual batch name and accrual date

Prerequisites

Optionally, define accrual rules. This should have been completed in the implementation of Oracle Lease and Finance Management. For more information, see Oracle Lease and Finance Management Implementation Guide.

Optionally, define accrual reversal days. This should have been completed in the implementation of Oracle Lease and Finance Management. For more information, see Oracle Lease and Finance Management Implementation Guide.

The accrual stream accounting templates should have been completed in the implementation of Oracle Lease and Finance Management. For more information, see Oracle Lease and Finance Management Implementation Guide.

Set the accrual override for contracts that you want to fail accrual evaluation. See Specify Accrual Override.

Generate Batch Accruals Procedure

Navigation options are as follows:

To generate batch accruals, perform the following steps:

  1. In the Batch Name field, enter a name for your accrual batch.

  2. In the Accrual Date field, click the Calendar icon and click a date.

  3. The Accrual Date is the cut-off date for income recognition and is the date that you specify. It does not need to be the current or system date.

  4. Click Submit.

Determining Accrual Accounts

Lease and Finance Management obtains the amounts used in accrual accounting from the streams or formula depending on whether the contract is a fixed or a variable rate contract. Fixed rate contracts include amounts from streams to determine an accrual amount. You set up streams at the product level. For more information on setting up streams, see Define Streams and Pricing, Oracle Lease and Finance Management Implementation Guide.

Variable rate contracts use a formula to determine an accrual amount. The automatic reversal of accruals in the next period happens only for variable rate contracts.

Accrual Reversal Rules

Accrual reversal rules create the following situations:

Accrual Accounting

Specify Accrual Override

Use this procedure to specify that accrual rule evaluation not apply to a specific contract. With the accrual override option, the accrual rule evaluation treats the contract as if evaluation has failed. Failure of accrual rule evaluation has the following consequences:

To specify an accrual override, navigate to Finance > Accrual Override and locate the current contract you want to override. Select the Override Accrual checkbox and click Apply.

Memo Checkbox in Accounting Templates

The Memo checkbox in accounting templates identifies the template to be used based on the accrual evaluation. If a contract fails accrual evaluation, income may be accounted for in a different account using an accounting template with the Memo checkbox set to Yes. A contract with accrual override also uses an accounting template with the Memo checkbox set toYes.

If a contract passes accrual evaluation, income goes to an income account and uses an accounting template with the Memo checkbox set to No.

Loss Provisions

Loss Provisions Overview

Loss provisions let you create estimated or tentative loss reserves against contracts. Loss provisions make use of aging buckets that you set up in Oracle Receivables. The loss provision rates associate aging buckets with loss provision rates. All loss provision amounts are in the contract currency.

The Generate Loss Provision concurrent program validates the loss provision date. If the date is not in an open accounting period, the program terminates with an error and displays an error message in the log file requesting you to open the period in the Accounting Periods page.

General Loss Provision

Determine General Loss Provision

General loss provisions apply to all contracts for a product except for any contract that has a specific loss provision. General loss provision calculations are based on the following:

General loss provisions apply reversals in the next period run or upon contract termination. When you determine an actual loss, you can create an adjusting entry to record that loss.

General Loss Provision Prerequisites

Before running this concurrent program, the following tasks must be completed:

Submit General Loss Provision

To calculate and process general loss provisions, you must run the General Loss Provision concurrent program.

  1. To run the General Loss Provision program, navigate to Finance > Processing > Schedule and select the General Loss Provision concurrent program.

  2. Enter the details for your lease scenario and click Submit.

The following table describes field options for the General Loss Provisions page.

Field Description
Product Applies to all contracts for the product unless you applied a Specific Loss Provision.
Stream Type Only General Loss Provision stream types are available.
Bucket Name You define loss rates for aging buckets in Lease and Finance Management setup. This task should have been completed during implementation. For more information, see Define Loss Provision Rules, Oracle Lease and Finance Management Implementation Guide.
Provision Date Effective date of the loss provision.

Specific Loss Provision

Specific Loss Provision Overview

Specific loss provisions are applicable to a specific contract. A specific loss provision reverses on contract termination, and it reverses previous provisions in addition to, or in place of, any earlier loss provisions.

Specific Loss Provision Prerequisites

Before you can create a loss provision, you must have completed the following tasks:

Create or Update Specific Loss Provision

To create or update a loss provision, navigate to Finance > Loss Provisions, locate the contract, click Create or Update, and enter the loss provision details. Then click Apply.

Like-Kind Exchanges

Like-Kind Exchanges Overview

Like-kind exchanges apply to off-lease assets whose tax properties you are applying to another new on-lease asset that has the same asset category. All asset amounts are in the functional currency of the ledger.

In like-kind exchanges, one replacement asset (new asset) is matched against multiple relinquished assets (old retired asset). Assets available as replacement assets must meet the following conditions:

Like-kind exchanges are calculated by dividing the proceeds of the sale of a relinquished asset in the tax book by the match amount for the relinquished asset.

Like Kind Exchanges Setup

Before you can process like-kind exchanges, you must have completed the following setup tasks:

For information on these setup tasks, see Set Up Assets For Like-Kind Exchanges, Oracle Lease and Finance Management Implementation Guide.

Like-Kind Exchanges Setup

Before you can process like-kind exchanges, you must have completed the following:

For more information on these tasks, see Search for a Returned Asset Request and Create a Manual Asset.

Like-Kind Exchanges Business Process

The following table outlines the business process for like-kind exchanges.

Step Description
Terminate Asset Terminate an asset in Lease and Finance Management.
Run Process Transaction Run the Process Transaction in Fixed Assets concurrent program in Lease and Finance Management.
Mark Retired Asset as Eligible Mark the retired asset as eligible for Like-Kind Exchange in Lease and Finance Management.
Retire Asset in Corporate Book Retire the relinquished asset in the corporate book and run the Calculate Gain Or Loss concurrent program in Fixed Assets.
Retire Asset in Tax Book Retire the relinquished asset in the tax book and run the Calculate Gain Or Loss concurrent program in Fixed Assets.

Like-Kind Exchange Procedure

To process like-kind exchanges, perform the following steps:

  1. Navigate to Assets > Transactions > Like-Kind Exchange > Create

  2. Select corporate book, tax book, asset category, and replacement asset book.

  3. Select the relinquished assets for the like-kind adjustment.

  4. Optionally, enter the match amount for each relinquished asset with the following restrictions:

Assets

The main topics in this section are:

Off-Lease Asset Transactions

You can create off-lease asset transactions on assets:

For off-lease assets, you may want to review or change the hold period and/or depreciation method. A hold period is the number of days during which you defer or suspend recognition of depreciation after the asset comes off of a lease. For more information on setting up the hold period, see the Oracle Lease and Finance Management Implementation Guide.

Note: All amounts associated with off-lease asset processing are in the ledger currency.

The topics in this section include:

Prerequisites

Set up off-lease Asset s. For more information, see the Oracle Lease and Finance Management Implementation Guide.

Responsibility

Lease Super User, Asset Manager

Navigation

Assets > Transactions > Off-Lease Asset Transactions

View Summary of Off-Lease Asset Transactions

When an asset comes off lease, Oracle Lease and Finance Management automatically creates an off-lease transaction record. On the Off-Lease Asset Transactions page, you can search and view the following information about off-lease asset transactions:

Update Off-Lease Asset Transaction Details

You can view or edit the hold periods days and the depreciation method of your off-lease asset.

Steps

Perform the following steps:

  1. Query the off-lease asset transactions using the Off-Lease Asset Transactions page.

  2. In the search results, click the asset number or the Update icon for the off-lease asset that you want to modify.

    The Off-Lease Asset Transaction page opens.

  3. Update any of the following fields:

  4. Click the Update button to save changes that you made.

    Changes happen whenever the concurrent program processes update the Oracle Assets module.

  5. To process the updated off-lease asset transaction details in Oracle Assets, run the Process Transactions In Fixed Assets concurrent program in Lease and Finance Management. This concurrent program will automatically update Oracle Assets.

Salvage Value Writedown

Salvage value is the remaining value of an asset that you do not depreciate. During the asset's life, you can revise the salvage value using the salvage value writedown procedures. The salvage value is in the ledger currency.

The topics in this section include:

Specify or Update Salvage Value Writedown

Use the following procedure to specify or change an asset's salvage value writedown. See Salvage Value Writedown.

Prerequisites

The asset must exist in Oracle Assets.

Responsibility

Lease Super User, Asset Manager

Navigation

Assets > Transactions > Salvage Value Writedown

Steps

Perform the following steps:

  1. On the Salvage Value Writedown page, search for the asset by specifying one or more search criteria by Asset Number, Asset Category, Asset Description, or Asset Corporate Book.

  2. Click the Go button.

    In the Results area, matches appear.

  3. On the row that shows the asset for which you are looking, enter the salvage value under the New Salvage Value column.

  4. Click Update to save your information.

  5. To process the updated salvage value writedown in Oracle Assets, run the Process Transactions In Fixed Assets concurrent program in Lease and Finance Management. This concurrent program will automatically update Oracle Assets.

View Asset Details - Salvage

You can view the following information about the assets: Asset Number, Asset Description, Contract Number, Contract Status, Asset Status, Contract Start Date, Contract End Date, Asset Type, Original Cost, Serial Number, In Service Date, Manufacturer Name, Model Number; Depreciation: Life in Months, New/Used, Salvage Value, Depreciation Category, and Depreciation Start Date.

Note: The Asset Details page of both the Salvage Value Writedown and the Residual Value Writedown areas contain the same fields and options.

Prerequisites

None

Responsibility

Lease Super User, Asset Manager

Navigation

Assets > Transactions > Salvage Value Writedown

Steps

Perform the following steps:

  1. On the Salvage Value Writedown page, search for the asset by specifying one or more search criteria by, Asset Number, Asset Category, Asset Description, or Asset Corporate Book.

  2. Click the Go button.

    In the Results area, matches appear.

  3. On the row that shows the asset for which you are looking, click the asset number hypertext link under the Asset Number column.

    The Asset page shows the asset's information. You cannot edit information on this page. You can specify or change the salvage value on another page. See Specify or Update Salvage Value Writedown or Specify or Change Residual Value Writedown.

Residual Value Writedown

Residual value is the value of an asset at the end of a lease term that you record on the lease contract. Periodically, you may need to reduce the residual value of the asset.

Note: The residual value is in the contract currency.

The topics in this section include:

Specify or Change Residual Value Writedown

Use the following procedure to specify or change an asset's residual value writedown. See Residual Value Writedown.

Prerequisites

A booked contract with assets having residual values

Responsibility

Lease Super User, Asset Manager

Navigation

Assets > Transactions > Residual Value Writedown

Steps

Perform the following steps:

  1. On the Residual Value Writedown page, search for the asset by specifying one or more search criteria for:

  2. Click the Go button.

    In the Results area, matches appear.

  3. On the row that shows the asset for which you are looking, enter the Residual Value under the New Residual Value column.

    Note: The residual value is in the contract currency.

  4. Click Update to save your information.

  5. To process the updated residual value writedown in Oracle Assets, run the Process Residual Value Writedown Transaction concurrent program in Lease and Finance Management. This concurrent program will automatically update Oracle Assets.

View Asset Details - Residual

You can view the following information about the assets: Asset Number, Asset Description, Contract Number, Contract Status, Asset Status, Contract Start Date, Contract End Date, Asset Type, Original Cost, Serial Number, In Service Date, Manufacturer Name, Model Number; Depreciation: Life in Months, New/Used, Salvage Value, Depreciation Category, and Depreciation Start Date.

Prerequisites

None

Responsibility

Lease Super User, Asset Manager

Navigation

Assets > Transactions > Residual Value Writedown

Steps

Perform the following steps:

  1. On the Residual Value Writedown page, search for the asset by specifying one or more search criteria: Asset Number, Item Category, Product, Asset Description, or Contract Number.

  2. Click the Go button.

    In the Results area, matches for the search appear.

  3. On the row that shows the asset for which you are looking, click the asset number hypertext link under the Asset Number column.

The Asset page shows the asset's information. You cannot edit information on this page, but you can specify or change the Residual value in another area. See Specify or Change Residual Value Writedown.

Miscellaneous Transactions

You can create manual journals for miscellaneous transactions for a contract in Subledger Accounting. You can also associate a contract number as a supporting reference to the journal lines if the supporting reference has been setup. For information on creating manual journal and using supporting references, see the Oracle Subledger Accounting Implementation Guide.

Lease and Finance Management Accounting Processes

Transaction Accounting

This section contains the following topics on creating accounting entries for transactions accounted in Lease and Finance Management:

Create Subledger Journals

Several processes in Lease and Finance Management, like Booking, Rebook, Termination, and Accrual create transactions in Lease and Finance Management. These transactions are accounted in Oracle Subledger through the Create Accounting concurrent program, which processes the accounting events for the transaction.

You can choose to create and post General Ledger journals in addition to creating subledger journals by selecting the required parameters on the Create Accounting program in Lease and Finance Management.

Navigate to Finance > Processing > Schedule to execute the Create Accounting concurrent program. The following table describes the additional parameters that allow you to customize the processing of the subledger journal or determine the output.

Create Accounting Parameters
Parameter Description
Representation Code Specify the valuation method for which the transactions should be processed.
Process Categroy Specify the Process Category that should be processed.
End Date Specify the date up to which transactions should be processed.
Mode Specify if the accounting process should create Draft or Final subledger journals.
Errors Only Specify if Output Report should be created in Detail or Summary, or should not be created.
Transfer to General Ledger Specify if the subledger journal should be transferred to General Ledger and create General Ledger journals.
Post in General Ledger Specify if the General Ledger journal should be posted.
General Ledger Batch Name Specify the batch name for the General Ledger journals.
Include User Transaction Identifiers Specify if the User Transaction Identifiers should be included in the output report.

If the Lease and Finance Management Create Accounting program fails to create subledger journals for any accounting event, that accounting event is assigned a status of Error. You can query the accounting events with an Error status in the Accounting Event inquiry screen to review the error message and make corrections.

For more information about the Create Accounting concurrent program, see Create Accounting, Oracle Subledger Accounting Implementation Guide.

Accrual Reversal

Reversal of estimated accrual for a contract with the Revenue Recognition Method of Estimated and Billed is automated using the accrual reversal functionality in Oracle Subledger Accounting. Lease and Finance Management flags the estimated accrual transactions for reversal and assigns the first date of the next accounting period as the Accrual Reversal Date.

When the Lease and Finance Management Create Accounting concurrent program processes the estimated accrual transaction with an Accrual Reversal date, the program also generates a reversal accrual entry with the Accrual Reversal Date.

For information on accrual reversal, see Oracle Subledger Accounting Implementation Guide.

Transfer to General Ledger

Lease and Finance Management has the following two methods to transfer subledger journal entries to Oracle General Ledger:

Create Accounting

You can transfer Lease and Finance Management subledger journal entries to General Ledger by running the Create Accounting concurrent program. To complete the transfer to GL, set the following program parameters when running Create Accounting:

This program creates and validates subledger journal entries and transfers the final journal entries to General Ledger.

Transfer Journal Entries to GL

You can also transfer Lease and Finance Management accounting entries to General Ledger by running the Transfer Journal Entries to GL concurrent program. This program transfers all journal entries that have been completed either manually or with a prior run of the Create Accounting program with the Transfer to General Ledger option set to No.

Generate Multi-GAAP Adjustment Report

Multi-GAAP Adjustment Report Overview

The Multi-GAAP Adjustment Report is generated by a concurrent program. The report provides users with information necessary to pass the month end adjustment accounting entries manually, to assist in multi-GAAP reporting.

All active contracts, whose local product is associated with a reporting product, are eligible for multi-GAAP reporting. Loan and loan-revolving contracts backed by a real estate line instead of an asset line are not eligible for multi-GAAP reporting.

The output report will display the following sets of information:

For each multi-GAAP-enabled contract, the contract information is as follows:

The summary information shows the data adjustments that you must make manually in Oracle General Ledger. The summary information is as follows:

Note: Accrual and revenue amounts appear in the contract currency. Depreciation amounts appear in the ledger currency.

Multi-GAAP Adjustment Report Prerequisites

Before generating the Multi-GAAP Adjustment Report, you must have completed the following tasks:

Generate Multi-GAAP Adjustment Report Procedure

To generate a Multi-GAAP Adjustment Report, perform the following steps:

  1. Navigate to Finance > Processing > Programs > Multi-GAAP Adjustment Report

  2. In the Batch Name field, specify a name that will appear in the report header.

  3. In the Period from field, specify the start date of the adjustment period.

  4. In the Period to field, specify the end date of the adjustment period.

  5. Click Submit.

Accounting Inquiry

Drill Down from Transactions to Subledger Journal

You can query transactions in Lease and Finance Management and review the accounting for any transaction. The following table describes search criteria fields for the Accounting Transactions page.

Field Description
Contract Number Enter the contract number you are searching for.
Transaction Date From Use Calendar icon to enter the starting date of the transaction.
Transaction Date To Use Calendar icon to enter end date of the transaction.
Transaction Type Select the transaction type.
Source Choose the application for the transaction, such as Oracle Assets, Oracle Payables, Oracle Receivables, or Lease and Finance Management.
Currency Choose the contract currency.

When the search is completed, all found transactions are listed in the Transaction Number column.

View Accounting Events

To view accounting events for a transaction, complete the following steps.

  1. Navigate to Finance > Accounting Transactions and search for the contract transaction. Click on the transaction and review the transaction lines. You can review transaction details like transaction type, stream type, transaction status, transaction and line amounts, and transaction date.

  2. Select the transaction and click View Accounting Event to review the details such as ledger, event class, event type, event status, and user transaction identifiers.

  3. Select an accounting event and click View Journal Entries to review account codes, entered and accounted amounts, entered currency, and supporting references.

Drill Down from General Ledger and Subledger Journal to Transactions

Lease and Finance Management creates transactions and subledger journals are created in Oracle Subledger Accounting which are then transferred to Oracle General Ledger. Drilling back to the source transactions for all journals posted in General Ledger provides the accountant an audit and review trail from the accounting back to the transaction.

There following two methods of drilling down are available:

General Ledger Drill Down

From a General Ledger journal, you can view subledger journal entry lines associated with that journal. To view the subledger journal entries from a General Ledger journals page, select the Drilldown option from the Tools menu to navigate to the Subledger Journal Entries page. This page displays all the subledger journal entry lines associated with the journal.

Important: To enable this drill down, you must ensure that the Import Journal References option is selected for the journal source in the General Ledger Journal Sources.

Subledger Accounting Drill Down

You can drill down to transactions in Lease and Finance Management from the Accounting Events or Subledger Journal Entry Lines.

For information on subledger accounting drill down, please refer to the Inquiries chapter in the Oracle Subledger Accounting Implementation Guide.

Summary of Period Close Process

To close an accounting period in Oracle Lease and Finance Management, perform the following tasks in sequence:

  1. Disburse funds that should be accounted in the current accounting period. This is part of the Credit Application to Booking key business flow.

  2. Book all contracts that should be accounted in the current accounting period. This is part of the Credit Application to Booking key business flow.

  3. Re-book all contracts that should be accounted in the current accounting period. This is part of the Credit Application to Booking key business flow.

  4. Carry out asset adjustments. Three key business flows are part of this area: Quote to Termination, Asset Return and Disposal, and Accounting Period to Close.

  5. Terminate contracts. This is part of the Quote to Termination key business flow.

  6. Condition assets. This is part of the Asset Return to Disposal key business flow.

  7. Remarket assets. This is part of the Asset Return to Disposal key business flow.

  8. Maintain insurance policies. This is part of the Inquiry to Resolution key business flow.

  9. Perform pre-billing activities. This is part of the Invoice to Receipt key business flow.

  10. Generate periodic billing for the open accounting period. This is part of the Invoice to Receipt key business flow.

  11. Enter receipts from customers. This is part of the Invoice to Receipt key business flow.

  12. Update syndicated contracts. This is part of the Credit Application to Booking key business flow.

  13. Create manual journal entries in Oracle Subledger Accounting for adjustments at a contract level. This is part of the Period Open to Close key business flow.

  14. Transfer miscellaneous disbursements and debit memos to Oracle Payables. This is part of the Oracle Payables module. These miscellaneous disbursements and debit memos include:

  15. Transfer miscellaneous billing and credit memos to Oracle Receivables. This is part of the Oracle Receivables module. These billings and credit memos include:

  16. Write-Off Receivables. This is part of Oracle Receivables.

  17. Run the accrual and income generation program for the accounting period. This is part of the Period Open to Close key business flow.

  18. Run the depreciation adjustment for accrual program for the accounting period, and pass manual journal entries if required. This is part of the Period Open to Close key business flow.

  19. Create loss provisions for the accounting period. This is part of the Period Open to Close key business flow.

  20. Run the loss provision program for the accounting period. This is part of the Period Open to Close key business flow.

  21. Close Oracle Payables (recommended but optional). This is part of the Oracle Payables.

  22. Close Oracle Receivables (recommended but optional). This is part of Oracle Receivables.

  23. Close Fixed Assets (recommended but optional). This is part of Oracle Fixed Assets.

  24. Create Accounting. This is part of the Period Open to Close key business flow.

  25. Transfer accounting from Oracle Lease and Finance Management to Oracle General Ledger (recommended but optional). This is part of the Period Open to Close key business flow.

  26. Close accounting period in Oracle Lease and Finance Management. This is part of the Period Open to Close key business flow.

You can schedule the concurrent programs to run at a specified time periodically, or you run them by manual intervention.

Reconciliation Report

In Lease and Finance Management and Finance, you can have reconciliation reports for Balance and Activity.

Reconciliation Report for Balance

The reconciliation process for balance identifies whether the accounting balance in General Ledger matches the related stream element for contracts in Lease and Finance Management for a specified period.

You can run reconciliation reports for the following balance sheet accounts and related streams.

Unbilled Receivables

The reconciliation between the sum of unbilled stream elements for a contract and the balance in the Unbilled Receivables account in GL for a specified period.

Unearned Income

The reconciliation between the sum of unearned income stream elements for a contract and the balance in the unearned income account in GL for a specified period.

Residual Value

The reconciliation between the residual value stream elements for a contract and the balance in the residual value account in GL for a specified period.

If the GL balance does not match the related stream elements for contracts, then the reconciliation report provides break up of the differences with the reason. For each reason, it provides drill down to related transactions. The reconciliation report also provide suggestions for corrective action to reconcile the balances based on the difference.

Reconciliation Report for Activity

The reconciliation process for activity identifies whether the accounting activity in General Ledger matches the related stream element and transacted activity for contracts in Lease and Finance Management for a specified period. Oracle Lease and Finance Management only supports accrual activity.

Note: The deviations between stream balance or activity, transaction balance or activity, and GL balance or activity are captured in separate categories.

Prerequisites

Set up Reconciliation Templates.

See: Set Up Reconciliation Report Templates, Oracle Leasing and Finance Management Implementation Guide.

Responsibility

Lease Administrator

Steps

To create a reconciliation report, perform the following:

  1. Navigate to the Submit Request page.

  2. Select Generate Reconciliation Report.

  3. Select a template type.

  4. Select a template name in the Report Definition Name field.

  5. Select a ledger name.

  6. Select a period range for which you want to generate the reconciliation report.

  7. Set the drill down level for the report output by selecting Yes or No.

    Note: Select Yes in Display Drilldown 2 to see transaction level details.

See: Using Standard Request Submission, Oracle Applications User Guide

Contract Trial Balance

Oracle Subledger Accounting provides the Supporting Reference Balance feature to store and report account balances on one or more transaction parameter such as Contract Number, Financial Product, and Customer. You can use this feature to report balance on a combination of parameters to maintain and view account balances.

Prerequisites

See: Set Up Subledger Accounting in Lease and Finance Management, Oracle Leasing and Finance Management Implementation Guide.

Run Create Accounting.

Responsibility

Lease Super User

Steps

To view the Contract Trial Balance at the contract level, perform the following:

Note: The account balance report is Multi-GAAP compliant and you can use the report to study the secondary representation.

Account Balance

The Account Balances report display transactions for the specified natural accounts. This report extracts data for the specified accounts for a specified period across contracts or a contract using the supporting references for transactions. The report has the following two levels of drilldown:

You can use this report to reconcile the activity for the specified natural accounts with the posting done in GL and balances in subledgers. The report also shows the extent of transactions not posted to GL, you can use this to complete the posting. Since the report is based on supporting references, you can do a variety of analysis, for example, instead of contract number, you can use asset number as a supporting reference and query data pertaining to some natural account for a particular asset number and analyse.

Note: The account balance report is Multi-GAAP compliant and you can use the report to study the secondary representation.

Prerequisites

Run Create Accounting.

Responsibility

Lease Super User

Steps

To generate an account balance report, perform the following:

  1. Navigate to the Account Balance page.

  2. Select a ledger and a supporting reference.

  3. Optionally, specify a value for the source to filter the report on that source. Some examples of sources are contract numbers, stream type names, and transaction date.

  4. Select an account range.

  5. Select the view balance date.

  6. Select a starting period for the activity.

  7. Enter the period ending balance range and click Go.

  8. Click account links to see the details.

  9. Click View Transaction to see the transaction details.