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Oracle® Fusion Accounting Hub Implementation Guide
11g Release 1 (11.1.2)
Part Number E20374-02
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7 Define Accounting Transformation

This chapter contains the following:

Accounting Transformation Configuration: Overview

Analysis of Accounting Events

Register Source Systems

Accounting Event Interfaces

Create Accounting Integration

Manage Accounting Rules

Accounting Transformation Configuration: Overview

Accounting Transformations: Overview

Oracle Fusion Accounting Hub creates detailed, auditable journal entries for source system transactions. The subledger journal entries are transferred to the Oracle Fusion General Ledger. These general ledger journals are posted and update the general ledger balances. Then the balances are used by the Financial Reporting Center for reporting and analysis. The following figure depicts this process.

Oracle Fusion Subledger Accounting
performs accounting transformations on data from external source systems
using accounting rules and an accounting engine to create subledger
journals. The subledger journals are transferred to the Oracle Fusion
General Ledger. Posting the journals populates the general ledger
balances and prepares the data for financial reporting.

Accounting transformations refer to the process of converting transactions or activities, referred to as accounting events, from source systems into journal entries. Source systems may be diverse applications that have been purchased from non-Oracle software providers or created internally. Often, source systems are industry specific solutions. Examples of source systems are core banking applications, insurance policy administration systems, telecommunications billing systems, and point of sales systems.

Accounting Transformation Flow Chart

When using the accounting transformation implementation process:

The following figure summarizes the accounting transformation process.

The above graphic contains a representation
of the accounting transformation process for which the steps are detailed
in the table below.

Accounting Transformation Steps

Complete the steps described in the following table in the order listed to account for accounting events of each of your source systems.


Implementation Phase

Step Number

Description

Analysis

1

Analyze source system transactions or activities to determine what accounting events to capture.

 

2

Analyze transaction objects requirements.

  • What source transaction information is available and needed for accounting?

  • What reference information is needed for reconciliation and reporting?

 

3

Analyze and map the source system's current accounting.

Definition and Build

4

Register source systems and define event model, including: process categories, event classes, and event types.

 

5

Code calls to event capture routines.

 

6

Build programs to extract the information from the source systems and populate it in the Accounting Hub transaction objects.

 

7

Run the Create and Assign Sources program and revise source definitions and map accounting attributes.

Integration

8

Create programs that capture accounting events and their related information and send it to the Accounting Hub.

Implement and Test

9

Create accounting rules.

 

10

Perform comprehensive testing to ensure that all accounting is correctly generated.

Accounting Transformations Analysis: Explained

The analysis phase of accounting transformation implementation includes three steps.

The steps are:

The figure illustrates the steps of
the analysis phase of the accounting transformation implementation.

Analyze Accounting Events

Some business events have financial accounting significance and require the recording of financial information. These business events are known as accounting events and provide the data used in accounting transformations.

Examples of business events from a revenue recognition or billing system include:

Examples of business events from a point of sale system include:

Examples of business events from a loan (core banking) system include:

An accounting event and its associated transaction data typically relate to a single document or transaction. However, the nature of source systems may prevent them from extracting this discrete information and sending it to Oracle Fusion Accounting Hub for processing. In some cases, summarized event information, such as overall customer activity for the day, is sent for accounting transformation.

The first task is to carry out a complete analysis to determine which accounting events are captured. This analysis incorporates both the functional requirements for accounting for the source system events, as well as a review of how the events can be captured. There may be limitations on the source system, as well as volume considerations that make it desirable to capture summarized event information such as total customer activity for a day.

Complete the following analysis to identify accounting events:

Analyze Source Data Requirements

Verify that all the required sources, such as accounting amount and date, that can potentially be used to create subledger journal entries are included in the accounting transaction objects. Sources are the appropriate contextual and reference data of transactions. They provide the information that is used to create subledger journal entries. For example, the following items could be used:

Complete the analysis to determine what source data is necessary to successfully create subledger journal entries from transactions.

Flexibility in creating accounting rules is dependent on the number of sources available. There is a balance between providing all the information that can be extracted versus how much is practical to send based on your processing resources. The following list provides examples of source data:

Study the transaction objects data model used by the Oracle Fusion Accounting Hub. The data model provides detailed information about the different types of transaction objects. Transaction objects are the views and tables that store transaction data in the standardized form required by the Create Accounting program.

When specifying optional header and line objects, use single table views. If you specify optional objects as multi-table views, it can result in poor performance.

Data stored in transaction objects must also satisfy accounting transaction objects validation rules. These rules verify both completion and validity of the data.

Analyze Accounting Requirements for Events

Some source systems may already produce accounting entries, while others may produce raw transactions with no associated accounting. As part of the analysis, determine how much transformation is required to produce subledger journal entries. Once this is done, examine the subcomponents of the journal entry rule set to determine how to complete rules to produce the required subledger journal entries. This exercise helps determine which subledger journal entry rule set subcomponents must be defined for the source systems data to be properly transformed into subledger journal entries.

Journal entry rule set subcomponents include the description rule, account rules, journal line rules, and supporting references.

Such an analysis should, at a minimum, answer the following questions:

Note

This list is not comprehensive.

Accounting Transformations Definition and Build: Explained

This section describes the steps for the accounting transformation definition and build phase of the Oracle Fusion Accounting Hub implementation.

The figure illustrates the steps in
the Oracle Fusion Accounting Hub accounting transformation definition
and build phase.

Register the Source System and Define Events Information

After registering the source system, set up the accounting event model. The accounting events from the source system are registered in the Oracle Fusion Accounting Hub.

Define Process Categories

Define Event Classes

Define Event Types

Code Calls to the Accounting Event Capture Routines

Using application programming interfaces (APIs), create programs to capture the accounting events. The Create Accounting program combines the event information with the transaction object information and the accounting rules to create subledger journal entries. The Create Accounting Program reads the event type for each event. Based upon the event type and the primary ledger, it determines which set of accounting rules should be applied to create the subledger journal entry. Once it determines which rules to use, it gets the information from the event and the transaction object rows related to the event to create the journal entry.

The following APIs for creating and updating accounting events are provided:

Define Transaction Objects and Write Programs

Transaction objects are tables or views defined for each event class, capturing source transaction data for accounting events. The Create Accounting program gets the source transaction data from the transaction objects to generate journal entries.

To build transaction objects, perform following tasks:

There are different types of transaction objects, indicating whether they are used at the header or line level, and whether they hold translated values:

Header sources have the same value for all transaction lines or distributions associated with an accounting event. These sources are typically associated with a transaction header or with transaction reference data. An example of a header standard source for a mortgage loan is the loan number. A mortgage loan can have only one loan number. This number would be on the header transaction object and would not vary by line number.

Line sources have values that can vary by the transaction lines or distributions associated with an accounting event. They must be stored in the transaction objects at the line level.

Transaction objects can be mandatory or optional. At least one header transaction object is mandatory.

When creating optional transaction objects, specify them as single table views. Specifying optional objects as multi-table views may result in poor performance.

It is also possible for accounting event classes to share transaction objects. For example, when accounting for a core banking system, use the same transaction objects line table or view for both of the event classes: Fixed Rate Mortgages and Variable Rate Mortgages.

Transaction objects need to be populated before the accounting for the events occurs; otherwise, the source transaction information will not be available to generate the journal entries for the events.

Transaction objects can be populated in advance of running the Create Accounting program or they can be populated as part of the Create Accounting program by customizing xla_acct_hooks_pkg to automate this coordination.

Create Sources

After the transaction objects are registered, sources and source assignments to event classes are created based on these objects. Assigning sources to event classes makes them available for creating accounting rules for those classes. The transaction objects column names are used to generate sources. Each column in each transaction object is registered as a separate source. These sources are used in the definition of accounting rules used in creating journal entries.

Create and Assign Sources process also validates the transaction objects by verifying that.

Revise Source Definitions and Assign Accounting Attributes

Once sources have been created, revise the source definitions before they can be used. These revisions are:

After the sources are created, they need to be mapped to the accounting attributes for each event class. An accounting attribute is a piece of the journal entry; the mapping of sources to accounting attributes specifies how the Create Accounting program gets the value for each piece of the journal entry. For example, an attribute of entered currency is used to map source values to the entered currency field for subledger journal entry lines.

Accounting Transformations Create Accounting Program: Explained

This section describes the accounting transformation implementation steps for the integration of source system programs with the Create Accounting program in the Oracle Fusion Accounting Hub.

The figure illustrates the steps in
the uptake subledger accounting services Create Accounting program
integration phase.

Integrate Source System Programs with the Create Accounting Program

For Oracle Fusion Subledger Application, integrate source system programs to create accounting events using application programming interfaces (APIs). For Oracle Fusion Accounting Hub, you need to customize the xla_acct_hooks_pkg.

Accounting Transformations Implement and Test: Explained

This section describes the steps in the accounting transformations implement and test phase of the Oracle Fusion Accounting Hub implementation.

The figure illustrates the steps in
the uptake subledger accounting services implement and test phase.

Accounting methods group subledger journal entry rule sets together to define a consistent accounting treatment for each of the accounting event classes and accounting event types for all source systems.

The following steps must be completed:

Define Accounting Methods

Define accounting methods to group subledger journal entry rule sets to determine how the source system transactions are accounted for a given ledger. Your goals in defining accounting methods are to:

Assign journal entry rule sets to event class and event type combinations in an accounting method to determine how the subledger journal entries for that class or type are created.

The following are the subcomponents of a journal entry rule set:

You can attach conditions to journal line rules, description rules, and account rules components. A condition combines constants, source values, and operands to indicate when a particular journal line rule, description, or account rule is used. For example, for mortgage loans, you can elect to use a specific loan receivable account based on the loan type.

Perform Testing

Once the setup is complete, testing should be comprehensive to ensure that all accounting is correctly generated. To complete testing, use accounting events and information from the source system, that is populate the transaction objects. This should, at a minimum, include testing that:

Note

The above list is not intended to be comprehensive.

Analysis of Accounting Events

Accounting Event Analysis: Overview

Accounting events have financial accounting significance and are used as a basis for recording financial information.

The diagram below describes the process to create subledger journal entries from accounting events using a custom Loans application as an example and is explained in the succeeding text.

This displays the process to create
subledger journal entries from accounting event, using a custom Loans
application as an example.

As illustrated in the above diagram, after transactions occur, accounting events are captured to record their accounting impact. Accounting events can be captured as transactions are generated in the source system, or they can be captured in bulk as part of a standard daily close or batch process. When accounting events are captured is based upon the flexibility of the source system and the frequency with which accounting should be created. For each eligible event, the transaction object contains contextual information about the event, such as source values.

The setups associated with a ledger use the source data for the event to create the appropriate subledger journal entry. Each accounting event can be used to create one or more subledger journal entries. Subsequently, the accounting event links transactions to their corresponding subledger journal entries.

Capturing Accounting Events: Explained

All business events that can have an accounting impact should be captured as accounting events.

Identification and Significance of Accounting Events

The following procedures can assist in the analysis and identification of accounting events:

Business events vary by industry and organization. Examples of business events include the contract, order and delivery of goods and services, and receipts and payments to third parties.

Some business events have financial significance. Their impact must be accounted.

The following examples have a financial accounting impact and therefore are accounting events:

Not all events are accounted. As an example, consider a loan application. The loan origination event results in accounting if the accounting method is Accrual, but may not result in accounting if the accounting method is Cash Basis.

Accounting Event Attributes: Explained

When an accounting event is captured, different event attributes are passed to the Oracle Fusion Accounting Hub.

The following table lists some of the attributes that are stored for an accounting event along with their corresponding descriptions.


Attribute

Description

Event ID

Accounting event internal identifier; provided by Create Accounting.

Event Number

Unique event sequence number within a document. Create Accounting processes events in the order of their event number.

Event Type

Represents the business operation that can be performed on the end user transaction type event class and has accounting significance.

Transaction Identifiers

Identifies the document or transaction in the subledger tables and constitute the primary key of the transaction.

Event Status

Available statuses are:

  • Incomplete

    The application is not yet ready to account for the event.

  • Unprocessed

    Finalized accounting has not yet been generated for this event.

  • No Action

    There is no accounting that needs to be done for this event.

  • Processed

    Accounting was done for this event in final mode with no validation failures.

Event Date

Date of the accounting event that originated the journal entry.

Transaction Context Values

  • Legal Entity

  • Ledger

  • Asset Book

Application Specific Attributes

Additional columns are provided for implementers to store data drawn from the transaction model (state) at the time the event is captured. These can be useful in cases where the transaction data changes and information is needed on the original event.

Security Context Values

Provide the event's security context. Examples include organization identifier and asset book.

On Hold Flag

Indicates whether there is a gap ahead of an accounting event. If there is a gap, the event is put on hold.

The Oracle Fusion Accounting Hub does not process accounting events on hold due to a gap.

The Oracle Fusion Accounting Hub event tables store the event data for these attributes. The presence of this data enables the creation of individual subledger journal entries for each accounting event. It also provides an audit trail between the subledger journal entry and the transaction data of the accounting event.

Event capture routines populate these tables when the events are created.

Event Status: Explained

The event status is an indicator of what actions have been completed on the transaction and what operations are yet to be done.

Create Accounting makes updates to this status as the accounting process progresses. Once Create Accounting successfully processes the accounting event, the status of the event will be updated to Processed.

Event Status Details

The table below lists the event statuses along with their corresponding details. At any point of time, an event can have only one of these statuses.


Status

Details

Incomplete

The accounting event data is in the process of being created. Some of the accounting event data cannot be created at this point. There can be validations that have not yet been performed. No subledger journal entry exists for the accounting event. If Create Accounting is run, it does not process accounting events with a status of Incomplete. The subledger application updates this event status.

Unprocessed

All of the transaction data for this accounting event has been created and all validations have been performed. At this point of time, the subledger journal entry can be created. When Create Accounting is run, it processes accounting events with a status of unprocessed.

No action

This status is set when creating or updating events using APIs. No subledger journal entry is needed for this accounting event.

Processed

All of the transaction data for this accounting event is created, all validations are performed and, if appropriate, the final subledger journal entry is created. The transaction data associated with the accounting event should not be changed.

For those transactions where multiple accounting events are allowed, any changes to the transaction data at this point of time results in a new accounting event. The changed transaction data is tracked under the new accounting event. After successfully creating subledger journal entries, Create Accounting updates the event status.

However, you can enter new lines provided the subledger functionality allows such a change. New lines entered are recorded with new accounting events.

Event Status and the Accounting Event Life Cycle

Every event has a life cycle. The event status indicates what actions have been completed on a event. An accounting event does not necessarily go through each of the statuses.

Accounting Events Life Cycle

Possible event statuses are displayed below.

The image represents the accounting
event life cycle, as described below.

The above diagram illustrates all the possible status changes for accounting events. An accounting event will not necessarily go through each of the statuses.

The diagram has three blocks. The left block, From Event Status, shows the possible initial statuses of an event. These statuses are Incomplete, Unprocessed, No Action, and Processed.

The center block, Action, represents actions that users complete in subledger applications. These actions result in events being created, processed, or deleted.

The right block, To Event Status, shows the possible final status based on the action in the central block. The status values include Incomplete, Unprocessed, No Action, and Processed Program.

All of the possible status changes are displayed in the diagram. Not all accounting event types can support all of these status changes. For example, some accounting events, once they have a status of Unprocessed, cannot be updated to an Incomplete status. Implementers are responsible for determining the supported status changes for an event.

There may also be conditions that determine whether the accounting event can move from one status to another. These conditions can vary by accounting event.

For example, a loan that has not been processed for accounting may be cancelled and will be set to a No Action event status. However, if unprocessed loan interest accrual events cannot be cancelled, the event status cannot be set to a No Action status.

Event Date: Explained

Each accounting event must have one and only one event date. If there are multiple dates for a particular event type, then one accounting event must be created for each accounting date.

For example assume a loan is originated and accounted. The next day the loan interest is adjusted. Later, a loan payment is scheduled.

This creates three accounting events:

This displays several Loan accounting
events.

If the transaction has the potential to create multiple events, then both the event date and status of the previous event determines whether a new accounting event is created. Consider the following examples:

Register Source Systems

Register Source Systems: Critical Choices

Subledger applications can support third party control account type and calculate reporting currency amounts.

Support Third Party Control Account Type

You can set up the subledger application to support customer, supplier, or both third party control account types (customer and supplier).

Calculate Reporting Currency Amount

If the subledger application is configured to calculate reporting currency amount, there is no need to provide reporting currency information in the transaction objects.

Additional Considerations

The following are additional considerations when creating a subledger application:

  1. Determine the subledgers requirement. For example, how many subledgers are to be created? This may depend on what security your company wants to have over its accounting rules.

  2. Determine the transaction objects requirements. These requirements determine what source data is required to successfully create subledger journal entries from transactions that are captured in transaction objects and shared in reference objects.

  3. Analyze accounting events to determine what events to capture for the subledger application.

    Create programs to capture accounting events using APIs (application programming interfaces) that are provided as follows:

  4. Determine how often to capture accounting events, populate transaction objects, and run the Create Accounting program. This may depend on the immediacy and volumes of accounting requirements in your company.

Accounting Event Model: Explained

Accounting events represent transactions that may have financial significance. Events with significantly different fiscal or operational implications are classified into different accounting event types. Event types categorize accounting events. Accounting definitions in the Oracle Fusion Accounting Hub are based on event types. An event type must be unique within an application, process category, and event class.

Examples of accounting events are issuing a loan and disposing of an asset. Financial accounting information can be recorded for these events and accounted by the Create Accounting process.

Accounting Process Overview

The figure below provides a high-level overview of the process used to create subledger journal entries and is described in the succeeding text.

Note

Accounting events are predefined for Oracle Fusion subledger applications. If you are using Subledger Accounting for a non-Oracle source system, define your accounting events from a business perspective. Determine what activities or transactions occur in your source system which may create a financial impact.

The above diagram illustrates the process
used to create subledger journal entries, which is described in the
following text.

The above diagram illustrates the process used to create subledger journal entries.

The Create Accounting program uses the transaction objects data to create subledger journal entries. For example, if a subledger journal entry rule set specifies that the customer name should appear in the description of a subledger journal entry line, then the customer name value is taken from the customer name source data provided by the transaction objects.

When transactions are committed in a subledger, accounting events are captured and stored in subledger accounting.

The Create Accounting program identifies all accounting events eligible to be processed. For each of these events, the transaction objects process provides the Create Accounting program with transaction objects data (source information). This is the contextual data of the transaction, such as amounts and accounting dates.

When the Create Accounting program is run, journal entry rule set definition and accounting transaction objects data are applied to the transaction object data to create subledger journal entries.

Subsequently, these entries are summarized and transferred to Oracle Fusion General Ledger.

Accounting Event Model

Define accounting events for non-Oracle source systems from a business perspective. Determine what activities or transactions occur in your source system which may create a financial impact.

Events are captured when transactions are committed in the subledgers, or they may be captured during end of day or period end processing. As an example, a loan is originated, possibly adjusted, interest is accrued, and then the loan is paid or canceled. The accounting events representing these activities can create one or more subledger journal entries, and subsequently link the originating transaction to its corresponding journal entries.

Note

The accounting event model, including the system and user transaction identifiers, is predefined for Oracle Fusion subledger applications, and therefore not updateable by subledger application users.

An example of an accounting event model setup for a loan application is shown below:

This graphic is a visual representation
of the process category, accounting event class and accounting event
types that are detailed in the following section.

Process Categories

Process categories can be used to restrict the events selected for accounting when users submit the Create Accounting program. Selecting a process category indicates that all associated accounting event classes and their assigned accounting event types are selected for processing.

Event Classes

You can assign a transaction view, system transaction identifiers, and optionally user transaction identifiers for an event class in the Event Class window.

At least one system transaction identifier must be defined for the accounting event class. System identifiers are used to link accounting events with transactions from subledger applications.

Optionally, you may define user transaction identifiers. You can specify up to ten columns from the transaction views that are available for inquiry and reports. The user transaction identifiers help provide contextual information for inquiry and reports.

The transaction view should include all columns that have been mapped to system transaction identifiers for the accounting event class as well as the user transaction identifiers.

Optionally, you can define the processing predecessor for an accounting event class. The Processing Predecessor establishes an order in which the Create Accounting program processes events selected for accounting.

Event Types

Specify whether an accounting event has accounting or tax impact for an accounting event type. When the Create Accounting program is submitted, it only accounts business events that are enabled for accounting.

Transaction Identifiers

There are two types of transaction identifiers:

System Transaction Identifiers

System transaction identifiers provide a link between an accounting event and its associated transaction or document.

System transaction identifiers constitute the primary key of the underlying subledger transaction. Typically, the identifier is the name of the surrogate key column on the transaction (header) associated with the accounting event.

Whenever an accounting event is captured, the values of the system transaction identifiers are stored on the accounting event record along with other event data. Whenever system transaction identifiers are defined for the accounting event, the event capture mechanism validates that the system transaction identifiers are populated.

User Transaction Identifiers

User transaction identifiers constitute the user-oriented key of the underlying subledger transaction. They are typically drawn from one or more database tables.

These identifiers are primarily used in accounting events inquiry and on accounting reports. Users use these identifiers to uniquely identify underlying transactions.

The Oracle Fusion Accounting Hub displays user transaction identifiers on accounting event reports and inquiries.

User transaction identifiers enable users to uniquely identify any subledger transaction. The transaction data that identifies the transaction varies by accounting event class. Accounting event reports and inquiries display the transaction identifiers and their labels appropriate for the corresponding event class. The user transaction identifiers can be displayed for an event regardless of its status. This includes the case where the accounting event has not been used to create subledger journal entries due to an error or the cases where it has not been processed. The user transaction identifier values are displayed at the time that the accounting event reports and inquiries are run. If a transaction identifier value has changed after the accounting event was captured, the accounting event reports and inquiries reflect the change.

Transaction Objects: Points to Consider

You may assign transaction and reference objects for each accounting event class in the subledger application. Sources are generated based on the transaction objects and are assigned to the corresponding accounting event classes.

Sources are used to create accounting rules. Subledgers pass information to the application by populating transaction object tables. The columns in these tables are named after the source codes. Transaction and reference objects hold transaction information that is useful when creating journal entry rules for accounting. The transaction and reference objects are defined for an accounting event class so that source assignments to accounting event class can be generated using these objects.

Transaction Objects

Transaction objects refer to the tables or views from which the Create Accounting program takes the source values to create subledger journal entries. Source values, along with accounting event identifiers, are stored in the transaction objects. The Create Accounting program uses this information to create subledger journal entries.

You have several options. You can:

The transaction objects and or views must be accessible to the Create Accounting program. Typically, an ETL (extract, transformation, and load) program is used to take values from the source system and load them into the database used by the Create Accounting program. The ETL process is done outside of the Create Accounting program processing.

The following are transaction object types:

Reference Objects

Reference objects are useful for storing information that is used for creating subledger journal entries. This information may not be directly from the source system or may be used for many entries, thus making it redundant. Use reference objects to share sources information across applications.

For example, store customer attributes, such as the customer class or credit rating in a reference object, and then, use it to account for different journal entries in a loan cycle, such as loan origination or interest accrual. Store information, such as bond ratings and terms, and use it to account for entries across the life of bonds, such as interest accruals or bond retirement.

Reference objects can either have a direct relationship to transaction objects (primary reference object), or be related to other reference objects (secondary).

Managing Accounting Sources: Critical Choices

Sources are a key component for setting up accounting rules. Sources represent transaction and reference information from subledger applications or reference systems. Contextual and reference data of transactions that are set up as sources can be used in accounting rules definitions.

Oracle Fusion Applications predefines sources for its subledger. When determining what sources should be available for non-Oracle applications, it is helpful to begin the analysis by considering which information from your systems is accounting in nature. Examples of sources that are accounting in nature include general ledger accounts that are entered on transactions, the currency of a transaction, and transaction amounts. Sources that are not always required for accounting rules include items that are related to the transaction for other purposes than accounting. Examples of information that may not be specifically for accounting, but which may be useful for creating subledger journal entries, are transaction identification number (loan number, customer number, or billing account number), counter party information, and transaction dates.

Provide a rich library of sources from your subledger applications for maximum flexibility when creating definitions for subledger journal entries. Predefined sources are provided as part of the startup data of the application.

Sources are assigned to accounting event classes by submitting the Create and Assign Sources program.

There is a distinct difference between sources and source values. Sources are representations of the data from transactions used to create accounting rules. Source values are used by the Create Accounting program to create subledger journal entries based upon source assignments to accounting rules.

Sources

Sources must be registered prior to creating accounting rules. This is a predefined step which must be undertaken before the application can be used to create subledger journal entries.

To set up appropriate journal entry rule sets, users and those implementing need to understand the origins, meaning, and context of sources. Use business oriented names for sources to allow accountants and analysts to effectively create accounting rules.

Source Values

Source values are stored in transaction objects. They are used to create subledger journal entries for the events. To enable the creation of subledger journal entries, first complete the definition of the sources and storing of the source values in the transaction objects. Transaction objects can be tables or views.

Accounting Attribute Assignments: Points to Consider

The Create Accounting program uses the values of sources assigned to accounting attributes plus accounting rules to create subledger journal entries. Almost all accounting attributes have sources assigned at the accounting event class level. Depending on the accounting attribute, the accounting attribute assignment defaulted from the accounting event class can be overridden on journal line rules or subledger journal entry rule sets.

Once sources are assigned to accounting event classes, they are eligible for assignment to accounting attributes for the same accounting event classes.

The Create Accounting program uses these assignments to copy values from transaction objects to subledger journal entries. For example, you may map the invoice entered currency to the subledger journal entry entered currency.

Each accounting attribute is associated with a level:

  1. Header: To be used when creating subledger journal entry headers.

  2. Line: To be used when creating subledger journal entry lines.

The types of accounting attributes values are as follows:

Values that are Subject to Special Processing

You may have values that are subject to special processing or values that are stored in named columns in journal entry headers and lines.

Examples of accounting attributes are Entered Currency Code and Entered Amount.

Values that Control the Behavior of the Create Accounting Program

You may have values that control the behavior of the Create Accounting program when processing a specific accounting event or transaction object line.

An example of accounting attributes of this type is Accounting Reversal Indicator.

Accounting Attributes

Accounting attribute groups are represented in the tables below:

Accounted Amount Overwrite


Accounting Attributes

Data Type

Journal Entry Level

Assignment to Rules

Assignment Required?

Validation Rules

Accounted Amount Overwrite Indicator

Alphanumeric

Line

Event Class and Journal Line Rule

No

Y - Overwrite accounted amount

N - Not overwrite accounted amount

Accounting Date


Accounting Attributes

Data Type

Journal Entry Level

Assignment to Rules

Assignment Required?

Validation Rules

Accounting Date

Date

Header

Event Class and Journal Entry Rule Set

Yes

Should be in open general ledger period

Accrual Reversal GL Date

Date

Header

Event Class and Journal Entry Rule Set

No

Should be later than the accounting date

Accounting Reversal


Accounting Attributes

Data Type

Journal Entry Level

Assignment to Rules

Assignment Required?

Validation Rules

Accounting Reversal Distribution Type

Alphanumeric

Line

Event Class

Yes, if another accounting reversal accounting attribute is assigned.

 

Accounting Reversal First Distribution Identifier

Alphanumeric

Line

Event Class

Yes, if another accounting reversal accounting attribute is assigned.

 

Accounting Reversal Second Distribution Identifier

Alphanumeric

Line

Event Class

No

 

Accounting Reversal Third Distribution Identifier

Alphanumeric

Line

Event Class

No

 

Accounting Reversal Fourth Distribution Identifier

Alphanumeric

Line

Event Class

No

 

Accounting Reversal Fifth Distribution Identifier

Alphanumeric

Line

Event Class

No

 

Accounting Reversal Indicator

Alphanumeric

Line

Event Class

Yes, if another accounting reversal accounting attribute is assigned.

Y - Reverse without creating a replacement line

B - Reverse and create a new line as replacement

N or Null - Not a reversal

Transaction Accounting Reversal Indicator

Alphanumeric

Header

Event Class

No

Y - Reversal transaction object header

N or null - Standard transaction object header

Business Flow

Note

When enabling business flow to link journal lines in the Journal Line Rule page, certain accounting attribute values are unavailable for source assignment in the Accounting Attributes Assignments window of the same page because they will be copied from the related prior journal entry.


Accounting Attributes

Data Type

Journal Entry Level

Assignment to Rules

Assignment Required?

Validation Rules

Applied to Amount

Number

Line

Event Class and Journal Line Rule

No

 

Applied to First System Transaction Identifier

Alphanumeric

Line

Event Class and Journal Line Rule

Yes, if another accounting attribute in the same group has assignment.

 

Applied to Second System Transaction Identifier

Alphanumeric

Line

Event Class and Journal Line Rule

No

 

Applied to Third System Transaction Identifier

Alphanumeric

Line

Event Class and Journal Line Rule

No

 

Applied to Fourth System Transaction Identifier

Alphanumeric

Line

Event Class and Journal Line Rule

No

 

Applied to Distribution Type

Alphanumeric

Line

Event Class and Journal Line Rule

Yes, if another accounting attribute in the same group has assignment.

 

Applied to First Distribution Identifier

Alphanumeric

Line

Event Class and Journal Line Rule

Yes, if another accounting attribute in the same group has assignment.

 

Applied to Second Distribution Identifier

Alphanumeric

Line

Event Class and Journal Line Rule

No

 

Applied to Third Distribution Identifier

Alphanumeric

Line

Event Class and Journal Line Rule

No

 

Applied to Fourth Distribution Identifier

Alphanumeric

Line

Event Class and Journal Line Rule

No

 

Applied to Fifth Distribution Identifier

Alphanumeric

Line

Event Class and Journal Line Rule

No

 

Applied to Application ID

Number

Line

Event Class and Journal Line Rule

Yes, if another accounting attribute in the same group has assignment.

Must be a valid application ID

Applied to Entity Code

Alphanumeric

Line

Event Class and Journal Line Rule

Yes, if another accounting attribute in the same group has assignment.

Must be a valid Entity for the application selected in Applied to Application ID

Distribution Identifier


Accounting Attributes

Data Type

Journal Entry Level

Assignment to Rules

Assignment Required?

Validation Rules

Distribution Type

Alphanumeric

Line

Event Class

Yes

 

First Distribution Identifier

Alphanumeric

Line

Event Class

Yes

 

Second Distribution Identifier

Alphanumeric

Line

Event Class

No

 

Third Distribution Identifier

Alphanumeric

Line

Event Class

No

 

Fourth Distribution Identifier

Alphanumeric

Line

Event Class

No

 

Fifth Distribution Identifier

Alphanumeric

Line

Event Class

No

 

Document Sequence


Accounting Attributes

Data Type

Journal Entry Level

Assignment to Rules

Assignment Required?

Validation Rules

Subledger Document Sequence Category

Alphanumeric

Header

Event Class

Yes, if another accounting attribute in the same group has assignment.

 

Subledger Document Sequence Identifier

Number

Header

Event Class

Yes, if another accounting attribute in the same group has assignment.

 

Subledger Document Sequence Value

Number

Header

Event Class

Yes, if another accounting attribute in the same group has assignment.

 

Entered Currency


Accounting Attributes

Data Type

Journal Entry Level

Assignment to Rules

Assignment Required?

Validation Rules

Currency Code

Alphanumeric

Line

Event Class and Journal Line Rule

Yes

A valid currency code

Entered Amount

Number

Line

Event Class and Journal Line Rule

Yes

 

Ledger Currency


Accounting Attributes

Data Type

Journal Entry Level

Assignment to Rules

Assignment Required?

Validation Rules

Accounted Amount

Number

Line

Event Class and Journal Line Rule

No

 

Conversion Date

Date

Line

Event Class and Journal Line Rule

No

 

Conversion Rate

Number

Line

Event Class and Journal Line Rule

No

 

Conversion Rate Type

Alphanumeric

Line

Event Class and Journal Line Rule

No

A valid general ledger conversion rate type or User

Tax


Accounting Attributes

Data Type

Journal Entry Level

Assignment to Rules

Assignment Required?

Validation Rules

Detail Tax Distribution Reference

Number

Line

Event Class

No

 

Detail Tax Line Reference

Number

Line

Event Class

No

 

Summary Tax Line Reference

Number

Line

Event Class

No

 

Third Party


Accounting Attributes

Data Type

Journal Entry Level

Assignment to Rules

Assignment Required?

Validation Rules

Party Identifier

Number

Line

Event Class and Journal Line Rule

Yes, if another accounting attribute in the same group has assignment.

If party type C - Should be a valid customer account

If party type is S - Should be a valid supplier identifier

Party Site Identifier

Number

Line

Event Class and Journal Line Rule

Yes, if another accounting attribute in the same group has assignment.

If party type C - Should be a valid customer account

If party type is S - Should be a valid supplier identifier

Party Type

Alphanumeric

Line

Event Class

Yes, if another accounting attribute in the same group has assignment.

C for Customer

S for Supplier

Exchange Gain Account, Exchange Loss Account


Accounting Attributes

Data Type

Journal Entry Level

Assignment to Rules

Assignment Required?

Validation Rules

Exchange Gain Account

Number

Header

Event Class

No

 

Exchange Loss Account

Number

Header

Event Class

No

 

Gain or Loss Reference


Accounting Attributes

Data Type

Journal Entry Level

Assignment to Rules

Assignment Required?

Validation Rules

Gain or Loss Reference

Alphanumeric

Line

Event Class

No

 

Transfer to GL Indicator


Accounting Attributes

Data Type

Journal Entry Level

Assignment to Rules

Assignment Required?

Validation Rules

Transfer to GL Indicator

Alphanumeric

Header

Event Class

No

Should be Y or N

Accounting Event Interfaces

Accounting Event Interfaces: Overview

The Oracle Fusion Accounting Hub provides a set of common APIs to capture accounting events. All event operations must be performed through these APIs. By ensuring that event operations are executed through generic APIs, the architecture meets the needs of implementers:

The Accounting Hub relies on accounting events to indicate that there are activities from source systems that require accounting.

The Create Accounting program selects accounting events based on criteria specified by users. The Create Accounting program does not check for any functional dependencies between transactions or event types.

Note

For each eligible event, the Create Accounting program retrieves source values from the transaction objects. Subledger journal entries are created using both event and source information.

Procedures to Create Event Capture Routines: Explained

Implementers must undertake the following steps to create event capture routines:

Perform Event Setups

As a prerequisite, you must register the application.

An additional prerequisite step is to define and register event process categories, accounting event classes, and event types before events can be captured. The event APIs use event information to perform the necessary validations when creating events.

Write Product Specific Cover Routines

In order to reduce dependencies and facilitate maintenance, it is recommended that you write a wrapper routine on top of the Oracle Fusion Accounting Hub APIs. Wrapper routines can encapsulate source system specific logic to perform necessary validations before creating new events. Map source system specific parameters to the API parameters

For example, if you were implementing the Accounting Hub to capture information for a loans application, you could use a package called LOAN_XLA_EVENTS_PKG, which contains all the APIs to implement accounting events in Loans. The code for this package is shown below.

Assume that this example loans application has two event classes Create Loan and Create Payment. To handle accounting events for loan transactions, you could create a procedure create_loan_event() with p_loan_id as an input parameter, instead of using a generic parameters like source_id_int_1. The procedure create_loan_event() calls the appropriate Accounting Hub API to create an event.

Similarly, create create_payment_event() to handle accounting events for the event class Create Payment.

LOAN_XLA_EVENTS_PKG
-- Procedure to create events for creating a loan
PROCEDURE create_loan_event
(p_loan_id
,p_event_type
,p_event_date
,p_event_status) IS
l_loan_source_info XLA_EVENTS_PUB_PKG.t_event_source_info;
l_security_context XLA_EVENTS_PUB_PKG.t_security; BEGIN
BEGIN
-- Perform product specific checks
... 
-- Map generic event API parameter to the product specific columns
l_load_source_info.application_id = loan_application_id;
l_loan_source_info.legal_entity_id = l_legal_entity_id;
l_loan_source_info.source_id_int_1 = p_loan_id;
-- Call XLA API
XLA_EVENTS_PUB_PKG.create_event
(p_event_source_info => l_loan_source_info
,p_event_type_code => p_event_type
,p_event_date => p_event_date
,p_event_status_code => p_event_status
,p_event_number => NULL
,p_reference_info => NULL
,p_valuation_method => NULL
,p_security_context => l_security_context);
...
...
EXCEPTIONS
....
END;

 

Integrate Event APIs with Source Systems

It is suggested that implementers create an Enterprise Scheduler Service (ESS) process for the event capture wrapper routines. Using an ESS process instead of directly running the routines in the database will provide for the following:

Overview of Event APIs

Getting Event Information: Overview

You may need to perform certain checks with respect to events. For example, before creating a new accounting event, it is necessary to check whether there is an existing unprocessed event for the same transaction with the same accounting event type and event date.

You may also want to know the status of a particular event or query events already created for the transaction.

To perform these checks, obtain event information for a transaction by doing the following:

  1. Determine the system transaction identifiers and accounting event class for the transaction.

    Note

    System transaction identifiers identify the transaction on which events are based. The Oracle Fusion Accounting Hub uses these identifiers to search the events table and identify all the events that are related to a transaction.

  2. Call the function Get_Array_Event_Info() with the appropriate transaction parameters. The function returns an array of all events for a transaction.

To obtain all the events created for a particular event type within a transaction, do the following:

  1. Determine the system transaction identifiers, event class, and event type of the transaction.

  2. Call the function Get_Array_Event_Info() with the appropriate transaction and event type input parameters. The function returns an array of all accounting events for that transaction and event type. Optionally pass the event class, event date, and event status to further restrict the rows returned.

To get information about a specific event, do the following:

  1. Determine the event_id.

  2. Call the function Get_Event_Info() with the event_id parameter. This function returns a PL/SQL record containing all information pertaining to that particular event.

Creating Events: Explained

This section describes the following guidelines on creating events using the create event APIs:

Creating a Single Event

To create a new event:

  1. Determine the accounting event type, event date, and event status for the new event.

  2. Call the Oracle Fusion Accounting Hub function Create_Event() with the appropriate input parameters.

The Create_Event() API creates a single event at a time. The function returns the event_id of the created event.

Creating Events in Bulk

Create events in bulk using the API Create_Bulk_Events().

Note

Do not use this API for existing transactions that already have events associated with them. For performance reasons, bulk event APIs do not perform checks as to whether events for the transaction already exist. Therefore, use this API only to create events for new transactions that do not have any prior events created.

Updating Events: Overview

Update the event to keep the transaction data and related events synchronized.

Update an event as long as it is not processed. Once an event is accounted in Final status, you cannot update the event or the data associated with it.

Use the following APIs to update your events:

Deleting Events: Explained

To delete all Unprocessed events associated with a transaction:

  1. Determine the transaction source information.

  2. Call the Oracle Fusion Accounting Hub function Delete_Events() with the transaction source information.

  3. Optionally, specify the accounting event type, event status, or event date, to restrict the events deleted.

If a transaction is deleted, the Delete_Entity() API must be called to delete the row in the XLA_TRANSACTIONS_ENTITY table.

Updating Transaction Numbers: Overview

In the case where the transaction number of the transaction has been changed, this API updates the transaction number on the events in the XLA_TRANSACTION_ENTITIES table so that they are consistent with the transaction number on the transaction.

The API checks the source information for a valid application, legal entity, event process category, and source identifiers. However, no validation is performed on the transaction number.

Event API Details

Event API Details: Overview

This section describes the event APIs accessible by implementers to perform event operations. The APIs described are generic and available to all applications.

Event APIs have the following characteristics:

Event APIs have the following types of input parameters:

The XLA_EVENT_PUB_PKG package contains the following items:

Use these constants and structures when passing and reading values to and from the APIs.

Getting Event Information APIs: Examples

This section provides details on the APIs that obtain event information.

1. XLA_EVENTS_PUB_PKG.GET_EVENT_INFO()

This API returns information for a particular event. The event is identified by specifying the transaction and event identifier. The API locks the specified event before returning any event information.

The API checks all source information for valid application, legal entity, event entity, and source identifiers (IDs). It ensures that the required parameters are not passed as null and that the event ID belongs to the same transaction, as the other transaction information being passed.

The API returns a PL/SQL record containing event information.

FUNCTION XLA_EVENTS_PUB_PKG.get_event_info
(p_event_source_info IN xla_events_pub_pkg.t_event_source_info
,p_event_id IN NUMBER
,p_valuation_method IN VARCHAR2
,p_security_context IN xla_events_pub_pkg.t_security)
RETURN xla_events_pub_pkg.t_event_info;

 

2. XLA_EVENTS_PUB_PKG.GET_ARRAY_EVENT_INFO()

This routine returns information for one or more events within a transaction. The calling program specifies the transaction and event selection criteria. Return information contains data on all events that belong to the specified transaction and fall under the given criteria. The API locks the specified events before returning the event information.

The API checks all source information for valid application, legal entity, event process category, and source IDs. It ensures that the required parameters are not passed as null and also validates the accounting event class, event type, and event status. Note that the API truncates the event date.

The API returns an array of event information.

FUNCTION XLA_EVENTS_PUB_PKG.get_array_event_info
(p_event_source_info IN xla_events_pub_pkg.t_event_source_info
,p_event_class_code IN VARCHAR2 DEFAULT NULL
,p_event_type_code IN VARCHAR2 DEFAULT NULL
,p_event_date IN DATE DEFAULT NULL
,p_event_status_code IN VARCHAR2 DEFAULT NULL
,p_valuation_method IN VARCHAR2
,p_security_context IN xla_events_pub_pkg.t_security)
RETURN xla_events_pub_pkg.t_array_event_info;

 

3. XLA_EVENTS_PUB_PKG.GET_EVENT_STATUS()

This API returns the event status for a specified event. The calling program needs to specify the transaction and event identifier. The API locks the specified event record before returning the status.

The API checks all source information for valid application, legal entity, event process category, and source IDs. It ensures that the required parameters are not null and the event belongs to the same transaction as the other transaction information being passed.

This API returns an event status. The Oracle Fusion Accounting Hub has defined all event statuses as Constants.

FUNCTION XLA_EVENTS_PUB_PKG.get_event_status
(p_event_source_info IN xla_events_pub_pkg.t_event_source_info
,p_event_id IN NUMBER
,p_valuation_method IN VARCHAR2
,p_security_context IN xla_events_pub_pkg.t_security)
RETURN VARCHAR2;

 

4. XLA_EVENTS_PUB_PKG.EVENT_EXISTS()

This API checks whether an event exists for the specified criteria. It returns True if it finds at least one event matching the criteria; otherwise, it returns False. The API locks the event rows before returning a value.

The API checks all source information for valid application, legal entity, event process category, and source IDs. It ensures that the required parameters are not null and also validates the event class, event type, and event status. The API truncates the event date.

The API returns True if an event is found for the specified criteria; otherwise, it returns False.

FUNCTION XLA_EVENTS_PUB_PKG.event_exists
(p_event_source_info IN xla_events_pub_pkg.t_event_source_info
,p_event_class_code IN VARCHAR2 DEFAULT NULL
,p_event_type_code IN VARCHAR2 DEFAULT NULL
,p_event_date IN DATE DEFAULT NULL
,p_event_status_code IN VARCHAR2 DEFAULT NULL
,p_event_number IN NUMBER DEFAULT NULL
,p_valuation_method IN VARCHAR2
,p_security_context IN xla_events_pub_pkg.t_security)
RETURN BOOLEAN;

 

Creating Event APIs: Examples

This section provides details on the API that create events.

1. XLA_EVENTS_PUB_PKG.CREATE_EVENT()

This API creates a new event.

The API checks all source information for valid application, legal entity, event process category, and source IDs. It ensures that the required parameters are not null and also validates the accounting event type and event status.

No validations are performed against the reference columns and event number. However, if no event number is passed, the routine populates the next highest event number for that transaction. The event date is truncated.

If an event is created successfully, then the function returns its event ID.

FUNCTION XLA_EVENTS_PUB_PKG.create_event
(p_source_event_info IN xla_events_pub_pkg.t_event_source_info
,p_event_type_code IN VARCHAR2
,p_event_date IN DATE
,p_event_status_code IN VARCHAR2
,p_event_number IN NUMBER DEFAULT NULL
,p_reference_info IN xla_events_pub_pkg.t_event_reference_info
DEFAULT NULL
,p_valuation_method IN VARCHAR2
,p_transaction_date IN DATE DEFAULT NULL
,p_security_context IN xla_events_pub_pkg.t_security
,p_budgetary_control_flag IN VARCHAR2)
RETURN NUMBER;

FUNCTION XLA_EVENTS_PUB_PKG.create_event
(p_event_source_info IN xla_events_pub_pkg.t_event_source_info
,p_event_type_code IN VARCHAR2
,p_event_date IN DATE
,p_event_status_code IN VARCHAR2
,p_event_number IN NUMBER DEFAULT NULL
,p_transaction_date IN DATE DEFAULT NULL
,p_reference_info IN xla_events_pub_pkg.t_event_reference_info
DEFAULT NULL
,p_valuation_method IN VARCHAR2
,p_security_context IN xla_events_pub_pkg.t_security)
RETURN NUMBER;

 

2. XLA_EVENTS_PUB_PKG.CREATE_BULK_EVENTS()

This API creates multiple events for multiple transactions.

Note

Do not use this API for existing transactions that already have events associated with them. For performance reasons, bulk event APIs do not perform checks as to whether events for the transaction already exist. Therefore, use this API only to create events for new transactions that do not have any prior events created.

Information required for each event is inserted into the XLA_EVENTS_INT_GT table as described below, before the API is called.

The API checks all source information for valid application, legal entity, event entity, event number, and source IDs. It ensures that the required parameters are not null and also validates the event type and event status.

No validations are performed against the reference columns and event number.


Column Name

Data Type

Size

Required

ENTITY_CODE

VARCHAR2

30

Yes

APPLICATION_ID

NUMBER

15

Yes

LEDGER_ID

NUMBER

15

Yes

EVENT_STATUS_CODE

VARCHAR2

30

Yes

EVENT_TYPE_CODE

VARCHAR2

30

Yes

EVENT_DATE

DATE

-

Yes

TRANSACTION_DATE

DATE

-

No

VALUATION_METHOD

VARCHAR2

30

No

TRANSACTION_ NUMBER

VARCHAR2

240

No

BUDGETARY_ CONTROL_FLAG

VARCHAR2

1

No

SOURCE_ID_INT_1

NUMBER

15

No

SOURCE_ID_INT_2

NUMBER

15

No

SOURCE_ID_INT_3

NUMBER

15

No

SOURCE_ID_INT_4

NUMBER

15

No

SOURCE_ID_CHAR_1

VARCHAR2

30

No

SOURCE_ID_CHAR_2

VARCHAR2

30

No

SOURCE_ID_CHAR_3

VARCHAR2

30

No

SOURCE_ID_CHAR_4

VARCHAR2

30

No

SECURITY_ID_INT_1

NUMBER

15

No

SECURITY_ID_INT_2

NUMBER

15

No

SECURITY_ID_INT_3

NUMBER

15

No

SECURITY_ID_CHAR_1

VARCHAR2

30

No

SECURITY_ID_CHAR_2

VARCHAR2

30

No

SECURITY_ID_CHAR_3

VARCHAR2

30

No

REFERENCE_NUM_1/REFERENCE_NUM _4

NUMBER

15

No

REFERENCE_CHAR_1/REFERENCE_CHAR_4

VARCHAR2

30

No

REFERENCE_DATE_1/REFERENCE_DATE_4

DATE

-

No

Procedure XLA_EVENTS_PUB_PKG.create_bulk_events
(p_source_application_id IN NUMBER DEFAULT NULL
,p_application_id IN NUMBER
,p_legal_entity_id IN NUMBER DEFAULT NULL
,p_ledger_id IN NUMBER
,p_entity_type_code IN VARCHAR2);

 

Updating Event APIs: Examples

The Update_Event_Status() API updates the event statuses of more than one event of a transaction. There is a set of overloaded APIs that can be used to update more than one attribute for an event. These APIs update accounting event type, event date, event status, event number, and reference information for an event. All of these API's use the Update_Event() API.

Note

Though these update event APIs retain the same name Update_Event(), they use the PL/SQL feature of overloading to create unique procedures. In overloading, the input parameter names and types are distinct, resulting in unique procedures. Different columns are updated in the tables, depending on which procedure is called.

An event can be updated as long as it is not processed. Once an event is processed, you cannot update the event or the data associated with it.

This topic provides examples of the APIs that update events.

1. XLA_EVENTS_PUB_PKG.UPDATE_EVENT_STATUS()

In this example, the API updates the event status of one or more events within a transaction matching the specified criteria.

The API checks all source information for valid application, legal entity, event process category, and source IDs. It ensures that the required parameters are not null. The API also validates event status and if passed, event class and event type. The event date is truncated.

PROCEDURE XLA_EVENTS_PUB_PKG.update_event_status
(p_event_source_info IN xla_events_pub_pkg.t_event_source_info
,p_event_class_code IN VARCHAR2 DEFAULT NULL
,p_event_type_code IN VARCHAR2 DEFAULT NULL
,p_event_date IN DATE DEFAULT NULL
,p_event_status_code IN VARCHAR2
,p_valuation_method IN VARCHAR2
,p_security_context IN xla_events_pub_pkg.t_security);

 

2. XLA_EVENTS_PUB_PKG.UPDATE_EVENT()

In this example the API updates multiple attributes of a single event. Using this API, the calling program can update event type, event date, and event status. An error code is returned if the update fails.

This API checks all source information for valid application, legal entity, event entity, and source IDs. The API ensures that the event ID is not null, that it belongs to the same transaction as the other transaction information being passed, and that the event has not already been accounted.

The parameters event type, event date, and event status are also validated if passed Not Null.

PROCEDURE XLA_EVENTS_PUB_PKG.update_event
(p_event_source_info IN xla_events_pub_pkg.t_event_source_info
,p_event_id IN NUMBER
,p_event_type_code IN VARCHAR2 DEFAULT NULL
,p_event_date IN DATE DEFAULT NULL
,p_event_status_code IN VARCHAR2 DEFAULT NULL
,p_event_number IN NUMBER
,p_reference_info IN
xla_events_pub_pkg.t_event_reference_info
,p_valuation_method IN VARCHAR2
,p_security_context IN xla_events_pub_pkg.t_security);
,p_transaction_date IN DATE DEFAULT NULL)

 

3. XLA_EVENTS_PUB_PKG.UPDATE_EVENT()

In this example the API updates multiple attributes of a single event. Using this API, the calling program can update event type, event date, event status, and event number. An error code is returned if the update fails.

The API checks all source information for valid application, legal entity, event entity, and source IDs. No validations are performed against the event number but if no event number is passed, the routine populates the next highest event number for that transaction. The event date is truncated.

The API ensures that the event ID is not null, that it belongs to the same transaction as the other transaction information being passed, and that the event has not already been accounted. The parameters event type, event date, and event status are also validated if passed Not Null.

PROCEDURE XLA_EVENTS_PUB_PKG.UPDATE_EVENT
(p_event_source_info IN xla_events_pub_pkg.t_event_source_info
,p_event_id IN NUMBER
,p_event_type_code IN VARCHAR2 DEFAULT NULL
,p_event_date IN DATE DEFAULT NULL
,p_event_status_code IN VARCHAR2 DEFAULT NULL
,p_event_number IN NUMBER
,p_valuation_method IN VARCHAR2
,p_transaction_date IN DATE DEFAULT NULL
,p_security_context IN xla_events_pub_pkg.t_security);

 

4. XLA_EVENTS_PUB_PKG.UPDATE_EVENT()

In this example the API updates multiple attributes of a single event. Using this API, the calling program can update event type, event date, event status, and the event's reference information. An error code is returned if the update fails.

The API checks all source information for valid application, legal entity, event entity, and source IDs. No validations are performed on the reference information.

The API ensures that the event ID is not null, that it belongs to the same transaction as the other transaction information being passed, and that the event has not already been accounted. The parameters event type, event date, and event status are also validated if passed Not Null.

(p_event_source_info IN xla_events_pub_pkg.t_event_source_info
,p_event_id IN NUMBER
,p_event_type_code IN VARCHAR2 DEFAULT NULL
,p_event_date IN DATE DEFAULT NULL
,p_event_status_code IN VARCHAR2 DEFAULT NULL
,p_reference_info IN xla_events_pub_pkg.t_event_reference_info
,p_valuation_method IN VARCHAR2
,p_transaction_date IN DATE DEFAULT NULL
,p_security_context IN xla_events_pub_pkg.t_security);

 

5. XLA_EVENTS_PUB_PKG.UPDATE_EVENT()

In this example the API updates multiple attributes of a single event. Using this API, the calling program can update event type, event date, event status, event number, and the event's reference information. An error code is returned if the update fails.

Note

This API updates both the event's event number and reference information.

The API checks all source information for valid application, legal entity, event entity, and source IDs. The API ensures that the event ID is not null, that it belongs to the same transaction as the other transaction information being passed, and that the event has not already been accounted.

The parameters event type, event date, and event status are also validated if passed Not Null. No validations are performed against the event number and reference information, but if no event number is passed, the routine populates the next highest event number for that transaction.

PROCEDURE XLA_EVENTS_PUB_PKG.update_event
(p_event_source_info IN xla_events_pub_pkg.t_event_source_info
,p_event_id IN NUMBER
,p_event_type_code IN VARCHAR2 DEFAULT NULL
,p_event_date IN DATE DEFAULT NULL
,p_event_status_code IN VARCHAR2 DEFAULT NULL
,p_valuation_method IN VARCHAR2
,p_transaction_date IN DATE DEFAULT NULL)
,p_security_context IN xla_events_pub_pkg.t_security);

 

6. XLA_EVENTS_PUB_PKG.UPDATE_BULK_EVENT_STATUSES

This API updates the event status of multiple events. Before calling this API, users must populate the XLA_EVENTS_INT_GT table with the following:

The API updates the events in the XLA_EVENTS table to the new status.

This API validates the application ID, event entity, event ID, and event status. The status of both the new and old status cannot be Processed. The new status must be a valid event status.

Procedure XLA_EVENTS_PUB_PKG.update_bulk_event_statuses
(p_application_id IN INTEGER);

 

Deleting Event APIs: Examples

This topic provides examples of the APIs that delete events.

1. XLA_EVENTS_PUB_PKG.DELETE_EVENT()

This API deletes an unaccounted event based on its event identifier. The API returns an error code if the delete fails.

The API checks all source information for valid application, legal entity, event process category, and source IDs. The API also ensures that the mandatory parameters are not null, that the event ID belongs to the same transaction as the other transaction information being passed, and that the event has not been accounted.

PROCEDURE XLA_EVENTS_PUB_PKG.delete_event
(p_event_source_info IN xla_events_pub_pkg.t_event_source_info
,p_event_id IN NUMBER
,p_valuation_method IN VARCHAR2
,p_security_context IN xla_events_pub_pkg.t_security);

 

2. XLA_EVENTS_PUB_PKG.DELETE_EVENTS()

This API deletes all events for a transaction that meet the specified criteria. When called, events that belong to the given accounting event class, event type, and event date are deleted.

The API checks all source information for valid application, legal entity, event process category, and source IDs. It ensures that the required parameters are not null and if passed, validates the event type and event status.

The function returns the number of events deleted.

FUNCTION XLA_EVENTS_PUB_PKG.delete_events
(p_event_source_info IN xla_events_pub_pkg.t_event_source_info
,p_event_class_code IN VARCHAR2 DEFAULT NULL
,p_event_type_code IN VARCHAR2 DEFAULT NULL
,p_event_date IN DATE DEFAULT NULL
,p_valuation_method IN VARCHAR2
,p_security_context IN xla_events_pub_pkg.t_security)
RETURN INTEGER;

 

3. XLA_EVENTS_PUB_PKG.DELETE_ENTITY()

This API deletes a row from the XLA_TRANSACTION_ENTITIES table. The routine checks if there are still events associated with the transaction. If yes, the routine does nothing and returns 1; otherwise, it deletes the transaction in the XLA_TRANSACTION_ENTITIES table and returns 0.

There are no validations for this API.

If a transaction is deleted, users must call the DELETE_ENTITY API to delete the row in the XLA_TRANSACTION_ENTITIES table.

Function XLA_EVENTS_PUB_PKG.delete_entity
(p_source_info IN xla_events_pub_pkg.t_event_source_info
,p_valuation_method IN VARCHAR2
,p_security_context IN xla_events_pub_pkg.t_security)
RETURN INTEGER;

 

4. XLA_EVENTS_PUB_PKG.DELETE_BULK_EVENTS()

This API deletes multiple events. Before calling this API, users must populate the XLA_EVENTS_INT_GT table with the following:

The API deletes events from the XLA_EVENTS table.

This API validates the application ID, event process category, and event ID. The status of the event to be deleted cannot be processed.

Procedure XLA_EVENTS_PUB_PKG.delete_bulk_events
(p_application_id IN INTEGER);

 

Common Parameters: Explained

This topic provides details on the parameters common to many event APIs.

This topic includes information on the following types of parameters:

Transaction Identifiers

The table below describes transaction identifier attributes.


Parameter Name

Type

Description

p_transaction_number

Varchar2(240)

Transaction number of the event-based transaction. This is the user transaction identifier and serves as a reference for the transaction.

p_event_source_info

xla_events_pub_pkg.t_event_ source_info

System transaction identifiers

Contextual Information

The table below describes contextual information details.


Parameter Name

Type

Description

p_source_application_id

Integer

Internal identifier of the application that generates the document or transaction. This may be different from the application that generates and/or owns the accounting for the corresponding event.

If no value is provided, the default is p_application_id.

Used for Oracle subledgers. This parameter is unlikely to be used for non-Oracle systems.

p_application_id

Number

Application internal identifier.

p_legal_entity_id

Number

Legal entity internal identifier.

p_ledger_id

Number

Ledger internal identifier.

p_valuation_method

Varchar2(30)

Valuation method used for securing a transaction. Some applications secure their transactions by valuation method.

Used for Oracle subledgers. This parameter is unlikely to be used for non-Oracle systems.

Transaction Security Identifiers

The table below describes transaction security identifier attributes.


Parameter Name

Type

Description

p_security_context

xla_events_pub_pkg.t_Security

Security context information for the transaction that has created the events.

Transaction Reference Information

The table below describes transaction reference parameter attributes.


Parameter Name

Type

Description

p_array_reference_info

xla_events_pub_pkg.t_array_ event_reference_info

Array of optional reference information for multiple events. These are stored with the events.

p_reference_info

xla_events_pub_pkg.t_event_ reference_info

Optional reference information for a particular event.

Event Information

The table below describes event information parameter attributes.


Parameter Name

Type

Description

p_entity_type_code

Varchar2(30)

Entity type internal code.

p_event_class_code

Varchar2(30)

Event class internal code.

p_event_type_code

Varchar2(30)

Event type internal code

p_event_id

Number

Event internal identifier.

p_event_date

Date

Event accounting date.

p_event_status_code

Varchar2(1)

External status code for an event.

p_event_number

Number

Event sequence number within a transaction. Events are ordered by this sequence number for accounting.

p_array_entity_source_info

xla_events_pub_pkg.t_array_ entity_source_info

Array of transaction source ID information as stamped on the entity.

p_array_event_type_code

xla_events_pub_pkg.t_array_ event_type_code

Array of internal codes for the event type as defined by applications.

p_array_event_date

xla_events_pub_pkg.t_array_ event_date

Array of accounting dates for events.

p_array_event_status_code

xla_events_pub_pkg.t_array_ event_status_code

Array of external status codes for events.

p_array_event_number

xla_events_pub_pkg.t_array_ event_number

Array of event sequence numbers within a transaction. Events are ordered by these sequence numbers for accounting.

p_array_entity_event_info

xla_events_pub_pkg.t_array_ entity_event_info

Array of combined entity and event attributes.

PL/SQL Data Types: Explained

The following are the predefined PL/SQL data structures available in the XLA_EVENTS_PUB_PKG package.

PL/SQL Record Structures

Transaction Source Information

TYPE t_event_source_info IS RECORD
(source_application_id           NUMBER                  DEFAULT NULL
,application_id                  NUMBER
,legal_entity_id                 NUMBER
,ledger_id                       NUMBER
,entity_type_code                VARCHAR2(30)
,transaction_number              VARCHAR2(240)
,source_id_int_1                 NUMBER
,source_id_int_2                 NUMBER
,source_id_int_3                 NUMBER
,source_id_int_4                 NUMBER
,source_id_char_1                VARCHAR2(30)
,source_id_char_2                VARCHAR2(30)
,source_id_char_3                VARCHAR2(30)
,source_id_char_4                VARCHAR2(30));

 

The table below provides descriptions on select attributes listed above.

Attribute Table #1


Attribute

Description

source_application_id

Internal identifier of the application that generates the document or transaction. This may be different from the application that generates and or owns the accounting for the corresponding event. Source applications do not need to be registered as subledger applications.

If no value is provided, the default is application_id.

Used for Oracle subledgers. This parameter is unlikely to be used for non-Oracle systems.

application_id

Application transaction owner identifier.

legal_entity_id

Transaction legal entity identifier.

ledger_id

Transaction ledger identifier.

entity_type_code

Entity code as defined by applications during setup.

transaction_number

Transaction number of the transaction that has created the events. The transaction number serves as a reference for the transaction.

source_id_xxx_n

Generic columns that store the identifier for the transaction in the transaction table.

Event Reference Information

TYPE t_event_reference_info IS RECORD
(reference_num_1             NUMBER
,reference_num_2             NUMBER
,reference_num_3             NUMBER
,reference_num_4             NUMBER
,reference_char_1            VARCHAR2(240)
,reference_char_2            VARCHAR2(240)
,reference_char_3            VARCHAR2(240)
,reference_char_4            VARCHAR2(240)
,reference_date_1            DATE
,reference_date_2            DATE
,reference_date_3            DATE
,reference_date_4            DATE);

 

See Attribute Table #2.

Event Information

TYPE t_event_info IS RECORD
(event_id                    NUMBER
,event_number                NUMBER
,event_type_code             VARCHAR2(30)
,event_date                  DATE
,event_status_code           VARCHAR2(1)
,process_status_code         VARCHAR2(1)
,reference_num_1             NUMBER
,reference_num_2             NUMBER
,reference_num_3             NUMBER
,reference_num_4             NUMBER
,reference_char_1            VARCHAR2(240)
,reference_char_2            VARCHAR2(240)
,reference_char_3            VARCHAR2(240)
,reference_char_4            VARCHAR2(240)
,reference_date_1            DATE
,reference_date_2            DATE
,reference_date_3            DATE
,reference_date_4            DATE);

 

See Attribute Table #2.

The table below provides descriptions on select attributes listed above.

Attribute Table #2


Attribute

Description

event_type_code

Code for the event type of the event, as defined during setup.

event_date

Event accounting date.

event_id

Event internal identifier.

event_number

Event sequence number for the event within a transaction. Events are processed in the order of their event number.

event_status_code

Status code for the event. This is the event's external status and is used by implementers.

transaction_number

Transaction number of the transaction that has created the events. The transaction number serves as a reference for the transaction.

source_id_xxx_n

Generic columns that store the identifier for the transaction in the transaction table.

reference_xxx_n

Generic columns that store reference information for the event.

valuation_method

Valuation method code used as a security context for applications that support the valuation method.

Used for Oracle subledgers. This parameter is unlikely to be used for non-Oracle systems.

security_id_xxx_n

Security contexts.

Security Context Information

Security context information is optional and restricts a user's access to several features in the Oracle Fusion Accounting Hub. In conjunction with the Fusion Security model, the security context information will determine:

If used, the securing organization's IDs should be populated in the attributes. As an example, a securing organization can be a business unit or a ledger.

Use the following record structure to pass security context information through event APIs. This structure is defined in XLA_EVENTS_PUB_PKG package.

TYPE t_security IS RECORD
(security_id_int_1              NUMBER
,security_id_int_2              NUMBER
,security_id_int_3              NUMBER
,security_id_char_1             VARCHAR2(30)
,security_id_char_2             VARCHAR2(30)
,security_id_char_3             VARCHAR2(30));

 

The table below provides descriptions for the attributes listed above.

Attribute Table #3


Attribute

Description

security_id_int_n

Security context information in INTEGER type.

security_id_char_n

Security context information in VARCHAR type.

PL/SQL Table Structure

Array of Information based on above Structures

TYPE t_array_event_reference_info IS  TABLE OF t_event_reference_info
TYPE t_array_event_info           IS  TABLE OF t_event_info
TYPE t_array_event_source_info    IS  TABLE OF t_event_source_info

 

Other Array Structures

TYPE t_array_event_type           IS  TABLE OF VARCHAR2(30)

TYPE t_array_event_date           IS  TABLE OF DATE
TYPE t_array_event_status_code    IS  TABLE OF VARCHAR2(1)
TYPE t_array_entity_id            IS  TABLE OF NUMBER
TYPE t_array_event_id             IS  TABLE OF NUMBER
TYPE t_array_event_number         IS  TABLE OF NUMBER

 

Constants: Explained

The Oracle Fusion Accounting Hub uses predefined accounting event status Constants. These constants are defined in the XLA_EVENTS_PUB_PKG package.

Event Statuses and Constants

The table below lists event statuses and the corresponding constants that must be used when employing event APIs.


Event Status

Constant

Incomplete

XLA_EVENTS_PUB_PKG.C_EVENT_ INCOMPLETE

Unprocessed

XLA_EVENTS_PUB_PKG.C_EVENT_ UNPROCESSED

No Action

XLA_EVENTS_PUB_PKG.C_EVENT_NOACTION

Processed

XLA_EVENTS_PUB_PKG.C_EVENT_PROCESSED

Create Accounting Integration

Create Accounting Integration: Overview

The Oracle Fusion Accounting Hub enables customers to extend and customize the integration with the Create Accounting program by invoking API calls. The Accounting Hub code structure enables the integration of customized business logic at various stages during the accounting process.

Specifically, you will need to customize the xla_acct_hooks_pkg if you want to add custom logic.

Implementers of the Accounting Hub at the customer site can add logic to these APIs that they want the Create Accounting program to perform at the indicated step.

Timing and Positioning of APIs: Explained

This section describes the life cycle of Create Accounting.

Create Accounting Process Life Cycle

The figure below shows the life cycle of Create Accounting.

This displays the lifecycle of the
Create Accounting program as described below.

Preaccounting

The preaccounting logic is called at the beginning of Create Accounting before selecting accounting events for processing.

Example: This can be used to evaluate a condition to identify transactions for processing.

Extract

The extract logic is called for all modes of accounting, final and draft, in batch as well as document mode. It is called after selecting the next set of events to be processed, but before any processing is done. Events selected for processing are made available to custom logic through the global temporary table XLA_EVENTS_GT. Implementers adding code to this API can use it to populate transaction objects based on information in the XLA_EVENTS_GT table.

Example: Use this to populate transaction objects.

Postprocessing

The postprocessing logic is called after creating subledger journal entries for each processing unit (commit unit). Custom logic within this API can use the view XLA_POST_ACCTG_EVENTS_V to determine which accounting events were successfully accounted by Create Accounting.

Example: Use this to update posted flags on the transaction distributions to indicate whether the transaction was accounted successfully.

Postaccounting

The postaccounting logic is called after subledger journal entries are successfully committed in the database.

Examples: Use this to send a notification to a system administrator that the accounting process has completed.

Or, use this to export the supporting reference balances to a third party reconciliation tool for comparison to source system totals to ensure accounting is complete.

XLA_POST_ACCTG_EVENTS_V

The table below describes the view structure.


Column Name

Null?

Data Type

Description

APPLICATION_ID

Not Null

NUMBER(18)

Internal identifier for the application to which the event belongs

ENTITY_CODE

Not Null

VARCHAR2(30)

Event entity type code

ENTITY_ID

Not Null

NUMBER(18)

Internal identifier for the entity representing the actual document

EVENT_CLASS_CODE

Not Null

VARCHAR2(30)

Event class code

EVENT_DATE

Not Null

DATE

Event or accounting date for the event

EVENT_ID

Not Null

NUMBER(18)

Event internal identifier

EVENT_NUMBER

Not Null

NUMBER(18)

Event number assigned to the event within the document

EVENT_STATUS_CODE

Not Null

VARCHAR2(1)

Event status code

EVENT_TYPE_CODE

Null

VARCHAR2(30)

Code for the event type that classifies the event being created

LEDGER_ID

Not Null

NUMBER(18)

Ledger internal identifier to which event the belongs

LEGAL_ENTITY_ID

Null

NUMBER(18)

Internal identifier for the legal entity

PROCESS_STATUS_ CODE

Not Null

VARCHAR2(1)

Event process code

REFERENCE_NUM_1

Null

NUMBER

Reference information

REFERENCE_NUM_2

Null

NUMBER

Reference information

REFERENCE_NUM_3

Null

NUMBER

Reference information

REFERENCE_NUM_4

Null

NUMBER

Reference information

REFERENCE_CHAR_1

Null

VARCHAR2(240)

Reference information

REFERENCE_CHAR_2

Null

VARCHAR2(240)

Reference information

REFERENCE_CHAR_3

Null

VARCHAR2(240)

Reference information

REFERENCE_CHAR_4

Null

VARCHAR2(240)

Reference information

REFERENCE_DATE_1

Null

DATE

Reference information

REFERENCE_DATE_2

Null

DATE

Reference information

REFERENCE_DATE_3

Null

DATE

Reference information

REFERENCE_DATE_4

Null

DATE

Reference information

SOURCE_ID_INT_1

Null

NUMBER(18)

Placeholder column that stores internal identifier of the document being represented by the entity

SOURCE_ID_INT_2

Null

NUMBER(18)

Placeholder column that stores internal identifier of the document being represented by the entity

SOURCE_ID_INT_3

Null

NUMBER(18)

Placeholder column that stores internal identifier of the document being represented by the entity

SOURCE_ID_INT_4

Null

NUMBER(18)

Placeholder column that stores internal identifier of the document being represented by the entity

SOURCE_ID_CHAR_1

Null

VARCHAR2(30)

Placeholder column that stores internal identifier of the document being represented by the entity

SOURCE_ID_CHAR_2

Null

VARCHAR2(30)

Placeholder column that stores internal identifier of the document being represented by the entity

SOURCE_ID_CHAR_3

Null

VARCHAR2(30)

Placeholder column that stores internal identifier of the document being represented by the entity

SOURCE_ID_CHAR_4

Null

VARCHAR2(30)

Placeholder column that stores internal identifier of the document being represented by the entity

TRANSACTION_ NUMBER

Null

VARCHAR2(240)

Transaction number given to the document by the products owning the document

Parameter Specifications: Explained

This section describes parameters for the Create Accounting program integration points

Preaccounting Parameters

The table below describes the parameters for xla_acct_hooks_pkg.preaccounting().


Parameter Name

Description

P_APPLICATION_ID

Application identifier for which Create Accounting is submitted. The custom logic checks this parameter first to see if it is the desired application.

P_LEDGER_ID

Ledger identifier for which Create Accounting is submitted

P_PROCESS_CATEGORY

Process category specified by users when launching the Create Accounting request

P_END_DATE

End date specified by users

P_ACCOUNTING_MODE

Indicates the mode in which the Create Accounting request is submitted

P_REPORT_REQUEST_ID

Request ID of Create Accounting request submitted by user.

P_VALUATION_METHOD

Valuation method specified by users.

Relevant for internal Oracle applications.

P_SECURITY_ID_INT_1

P_SECURITY_ID_INT_2

P_SECURITY_ID_INT_3

P_SECURITY_ID_CHAR_1

P_SECURITY_ID_CHAR_2

P_SECURITY_ID_CHAR_3

Security context values as passed in as a parameter for Create Accounting

Extract Parameters

The table below describes the parameters for xla_acct_hooks_pkg.extract().


Parameter Name

Description

P_APPLICATION_ID

Application identifier for which Create Accounting is submitted. The custom logic checks this parameter first to see if it is the desired application.

P_ACCOUNTING_MODE

Indicates the mode in which the Create Accounting program is submitted

Postprocessing Parameters

The table that describes the parameters for xla_acct_hooks_pkg.postprocessing() is the same as the table that defines the parameters for extract.

Postaccounting Parameters

The table that describes the parameters for xla_acct_hooks_pkg.postaccounting() is the same as the table that defines the parameters for preaccounting.

FAQs for Create Account Integration

How can I integrate non-Oracle applications or customizations with the Oracle Fusion Accounting Hub?

To integrate non-Oracle applications or customizations with the Oracle Fusion Accounting Hub, you can add logic to the preaccounting, extract, postprocessing, or postaccounting APIs in the xla_acct_hook_pkg, as described above.

In order to improve the performance, it is recommended that you check the application ID as the first step in your logic and exit if it does not match.

What happens if there is an exception to the API logic?

If the API logic raises an exception, then that exception will abort the Create Accounting program.

If the logic that raises the exception is in preaccounting, then the Create Accounting program will immediately rollback and exit without doing any accounting.

If the logic that raises the exception is in extract or postprocessing, then any accounting done for the current set of transactions will be aborted and rolled back, and the worker will exit. However, other workers may continue processing.

If the logic that raises the exception is in postaccounting, then the Create Accounting program will rollback and exit. However, this will only rollback anything done by the postaccounting logic. It will not rollback any accounting done by Create Accounting.

Can I receive a notification of the status of a Create Accounting request?

In Oracle Fusion Accounting Hub you can add logic to the postaccounting API to notify you of the status of the Create Accounting requests.

Manage Accounting Rules

Creating Accounting Method: Explained

Accounting methods group subledger journal entry rule sets together to define a consistent accounting treatment for each of the accounting event classes and accounting event types for all subledger applications. The grouping allows a set of subledger journal entry rule sets to be assigned collectively to a ledger.

For example, a subledger accounting method entitled US GAAP can be defined to group subledger journal entry rule sets that adhere to and comply with US Generally Accepted Accounting Principles (GAAP) criteria.

By assigning a different subledger accounting method to each related ledger, you can create multiple accounting representations of transactions.

Accounting rules can be defined with either a top down, or a bottom up approach. When defining subledger accounting rules from the top down, you will initially define the accounting method followed by components of each rule, which will need to be assigned to it. When defining subledger accounting rules from the bottom up, you will initially define components for each rule and then assign them as required.

The Create Accounting program uses the accounting method definition with active journal entry rule set assignments to create subledger journal entries.

When an accounting method is initially defined, or after modifying a component of any accounting rule associated to the assigned journal entry rule set, its status changes to Incomplete.

The accounting method must be completed, by activating its journal entry rule set assignments, so that it can be used to create accounting.

The following definitions are utilized to define the journal entries, and are applied as updates to the accounting method:

Updates on Predefined Accounting Method

You may update a predefined accounting method by end dating the existing assignment and creating a new assignment with an effective start date.

Assignment of Journal Entry Rule Set for Accounting Event Class and Accounting Event Type

You create the assignment of a journal entry rule set for an accounting event class and accounting event type using the accounting method page.

The following should be considered for assigning rule sets:

Assignment of Accounting Methods to Ledgers

If the accounting method has an assigned chart of accounts, it may only be used by ledgers that use the same chart of accounts.

If the accounting method does not have an assigned chart of accounts, the accounting method can be assigned to any ledger.

Activation of Subledger Journal Entry Rule Set Assignments

You can activate the subledger journal entry rule set assignments from the Accounting Method page. You can also submit the Activate Subledger Journal Entry Rule Set Assignments program to validate and activate your accounting setups.

Fusion Setup Flow

The figure below shows the relationship of components making up an accounting method as described in the above text.

The image visually defines the flow
of subledger components. The subledger may be setup top down, or bottom
up, utilizing the components of the accounting method which include
journal entry rule set which are assigned journal line rules, account
rules and description rules. The journal entry rule set is assigned
to the accounting method, which is assigned to the ledger.

Creating Subledger Journal Entry Rule Sets: Explained

Subledger journal entry rule sets provide the definition for generating a complete journal entry for an accounting event.

Select the option to define the subledger journal entry rule set for a particular accounting event class or accounting event type.

If you are using multiple ledgers to meet divergent and mutually exclusive accounting requirements, you can vary journal entry rule sets by ledger. Each of the subledger journal entry rule sets can meet a specific type of accounting requirements.

For example, use US Generally Accepted Accounting Principles (GAAP) oriented subledger journal entry rule sets for a ledger dedicated to US GAAP reporting, and French statutory accounting conventions for a ledger dedicated to French statutory reporting. These two sets of definitions have differences based on the setup of the various components that make up their subledger journal entry rule sets.

Seeded subledger journal entry rule sets are provided for all Oracle subledgers. If specific requirements are not met by seeded subledger journal entry rule sets, users can create new ones of copy the seeded definitions and then rename and modify the new copied definitions and their assignments.

Subledger journal entry rule set assignments can be made at two levels, header and line. The following are the subcomponents of a subledger journal entry rule set:

Assignment at Header Level

Header assignments define subledger journal header information and line assignments define journal line accounting treatment.

A header assignment includes the following:

Assignment at Line Level

You can define multiple subledger journal entry rule sets for an accounting event class or accounting event type. A single journal entry is generated per accounting event per ledger using the line assignments from the journal entry rule set assigned to the accounting event class or accounting event type.

The following can be assigned to a journal entry line:

Assignment of Description Rules

If a description rule is defined with sources, the sources must also be assigned to the accounting event class that is assigned to the journal entry rule set. The description rule may be assigned at either the header or line level of the journal entry or to both levels.

Assignment of Journal Line Rules

When assigning the journal line rule, you must identify the line type: Gain, Loss, Gain or Loss, Credit, or Debit. The journal line rule must be assigned to the same accounting event class as the one assigned to the subledger journal entry rule set.

When assigning a journal line rule that is enabled for accounting for a business flow, the account combination and certain accounting attribute values are copied from its related journal line having the same business flow class as the current line. Optionally, copy the description rule into the current line instead of assigning a separate description rule.

When assigning a journal line rule that is enabled to copy from the corresponding line within the same journal entry, you have the option to copy the account combination, the segment value, or the line description from the corresponding line into the current line.

Assignment of Account Rules

The account rule assignment will define which accounts will be used for the subledger journal line. If the account rule is setup with a chart of accounts, it must have the same chart of accounts as the one assigned to the journal entry rule set. When account rules are defined with sources, the sources must also be assigned to the accounting event class that is assigned the journal entry rule set.

There are two types of account rules:

Assignment of Supporting References

Supporting references may be assigned at the header or line level of the journal entry to capture transaction values on the journal entry header or lines. If the supporting reference segments are assigned multiple sources, at least one source must also be assigned to the accounting event class that is assigned the journal entry rule set.

Journal Line Rules: Explained

Journal line rules are defined within the context of accounting event classes. A journal line rule can be used in a subledger journal entry rule set that has the same event class. You may also assign conditions to the journal line rule.

Journal Line Rules

Journal line rules are assigned to journal entry rule sets.

To create a journal line rule, select values for options such as:


Link Journal Lines Option

Description

None

No link is established.

Copy from corresponding line

Build account for a journal line using segments from the offsetting entry of the current journal line. For example, when the business process requires that a cost center incurring an expense must also bear the invoice liability and cash outlay.

Business flow

Link logically related business transactions. For example, when recording the closing of a loan, you can link to the account that was used to book the loan origination. Journal line rules that are linked must also be assigned the same business flow class.

Defining Conditions for Journal Line Rules

You may set conditions to specify whether the journal line rule will be used to create a subledger journal entry line. If the conditions are true, the line rule is used to create a subledger journal entry line. Use sources to create these conditions.

For example, you can set up a condition that will create a journal line to record tax, only if there is tax for an invoice. The line type and account class mentioned here are examples of sources.

Another example is a condition that creates a journal line for freight when there are freight charges on an invoice.

Journal line rule conditions determine whether a journal line rule and its associated account rules and description rules, are used to create the subledger journal entry line.

Account Rules: Explained

Account rules are used to determine the accounts for subledger journal entry lines. In addition, you can specify the conditions under which these rules apply. Using these capabilities, you can develop complex rules for defining accounts under different circumstances to meet your specific requirements. You can define account rules for an account, segment, or value set.

Account Rules by Account

Define account rules by account to determine the entire account combination. For example, an account rule defined by account can be used to determine the complete supplier liability account in Oracle Fusion Payables.

Account Rules by Segment

Define segment rules to derive a specific segment of the general ledger account. For example, a particular segment like the company segment can be determined from the distribution account. Another segment can be determined with the use of a constant value. Creating the account one segment at a time offers greater flexibility, but also requires more setup.

Use both segment based and account based rules to derive a single account. Segment specific rules are used, where they are defined, and take the remaining values from an account based rule. For example, you can select an account rule which is for all segments and also separately select a rule which is for one particular segment. Segment specific rules take precedence over the all segments account based rule.

Combine account rules with segment rules. In this case, the segment value is derived from the segment rule to override the corresponding segment of the account. However, if the segment rule has conditions associated with the priorities and none of the conditions are met, no override occurs and therefore, the segment value is derived from the account rule.

Note

If the returned account is end dated with a date that is the same or before the subledger journal entry accounting date and a substitute account is defined in Oracle Fusion General Ledger, a substitute account is used. The original account is stored on the journal line for audit purposes. If the substitute account is invalid, and the Post Invalid Accounts to Suspense Account option is selected in the Create Accounting program, then a suspense account is used. An error message is displayed if a valid suspense account is not available.

Account Rules by Value Sets

In the absence of a chart of accounts, you may define account rules based upon value sets. This enables you to share the same rule between more than one chart of accounts if the segments in these charts of accounts share the same value set.

Sharing Account Rules across Applications

You may share account rules across applications in the following ways.

Note

To share an account rule across applications, all sources used by the account rule must be available for the event class.

If the sources are available, an account rule is assigned to a journal line rule in the journal entry rule set, and verification occurs to confirm that all sources used by the account rule are available for the journal line rule accounting event class. Journal line rules are only available if the sources are shared; such as reference objects.

Account Rules and Mapping Sets

Mapping sets can be used to associate a specific output value for an account or segment. You can use mapping sets in account rules to build the account.

Account Rules Conditions

In the account rules you may specify conditions for each rule detail line. Priorities determine the order in which account rule conditions are examined. When the condition is met, the rule associated with that priority is used. Depending on which of the defined conditions is met, a different account rule detail is employed to create the account.

The Create Accounting program evaluates conditions based on the priority of the rule detail. When the condition is met, the rule detail is applied.

Creating Account Rules: Points to Consider

You can define an account rule using the following rule types:

Account Combination Rules

Set up account combination rules based upon the following value types:

  1. Source Value Type: Derive the account combination by specifying a source. Sources that have been set up as accounts can be assigned to an account combination rule. Oracle Fusion Subledger Accounting then obtains the code combination identifier from the source.

  2. Constant Value Type: Establish the account as a constant value.

    For example, the constant could be a completed account combination from the chart of accounts specified. An example is the account combination, 01.000.2210.0000.000. This is the simplest way to derive an account.

  3. Mapping Set Value Type: Derive the account combination by referencing a mapping set. Set up a mapping set to determine the complete account combination from the chart of accounts specified.

  4. Account Rule Value Type: Derive the account by referencing another account rule.

    The chart of accounts does not need to be specified when defining this type of rule. If the account rule has a chart of accounts assigned, then all the related account rules must use the same or no chart of accounts.

Note

A chart of accounts must be specified for rules using constants.

Segment Rules

Set up segment rules as follows:

Set up segment rules using the same methods discussed in the preceding Account Combination Rules section. By specifying different value types, users can select the way in which the segment value is derived.

Note

A chart of accounts must be specified for rules using constants.

Value Set Rules

Value set based rules can be created when a chart of accounts is not specified. This enables you to share the same rule between more than one chart of accounts if the segments in these charts of accounts share the same value set.

Set up value set based rules using the same methods discussed in the preceding Account Combination Rules section.

Creating Description Rules: Explained

Use descriptions rules to define the elements of a description that appears on the subledger journal entry at the header and/or the line. The definition determines both the content and sequence in which the elements of the description appear. You can assign a condition to a description rule to determine that the description is selected for display if the condition is satisfied.

Description Rule Definition

A description rule can be defined with combinations of source and literal values. If sources are used in the rule, the accounting event class associated with the sources determines in which subledger journal entry rule set the description rule can be selected and used.

Build descriptions using the available sources for the application.

The following is the description details that have been entered, using a literal and a source:

Assuming that the source value of the Origination Date is 11/01/11, then a journal entry that has the above description rule attached will have the description, Loan Origination Date 11/01/11.

Creating Conditions: Examples

The following illustrates an example of defining an account rule with a condition.

Example 1: Custom Real Estate Application Account Rule Condition Example

This is an example to define an account rule for assignment for a loan journal line. The account rule has two priorities, a mapping set and a constant.

The following table describes the setup of the condition on the first priority:


(

Source

Operator

Value

)

(

"Credit Status"

is not null

 

)

The second priority will create an output from a constant value (0.9100030.50034206331.0.0.0). There is no condition associated with the second priority.

Example 2: Oracle Fusion Assets Account Rule Condition Example

This is an example of a rule for a capital purchase. The rule is to be applied only if the distribution account cost center is the same as the liability account cost center and the asset tracking option is Yes. This condition can be expressed as:

The following tables describe the setup of the condition:


(

Source

De-limiter

Segment

Operator

Value

De-limiter

Segment

)

And Or

(

"Dis-tribution Account"

.

"Cost Center"

=

"Liability Account"

.

"Cost Center"

)

'AND'

(

"Asset Flag"

 

=

Yes

 

)

 

The following two rows of data are used in the accounting event, to which the account rule and condition applies.

Account Rule Condition Example: Accounting Event Data


Account

Invoice 1

Invoice 2

Asset Flag

Distribution Account

02-640-2210-1234

01-780-6120-0000

Yes

Liability Account

01-640-2210-0000

02-782-2210-0000

Yes

In the Accounting Event Data table above, assume the cost center segment is the second segment. When the account rule with this condition is used to derive the account for the transaction, the account rule is applied to derive the account of Invoice 1 only. For Invoice 2, even though the assets tracking option is set to Yes, the cost center for the Distribution account and Liability account are not the same. Both conditions must be met in order for the rule to apply.

Note

When an account source is selected or entered, you must also select or enter a specific segment. If an entire account is required to be used in the condition instead of a specific segment, then select or enter All as the segment for the account.

The condition uses the account source, Distribution Account, and a segment must be provided. In this example, the Cost Center segment is provided.

Creating Supporting References: Explained

Supporting references can be used to store additional source information about a subledger journal entry either at the header or line level.

Sources are assigned to supporting reference segments to indicate which transaction values should be captured on subledger journal entries. The segments are grouped into one supporting reference.

Supporting references that have the option for maintain balances set to Yes, establish subledger balances for a particular source and account.

You may want to use Supporting Reference balances for supporting:

Supporting Reference Assignment

If the information requirement is purely informational, and not needed for reconciliation or balances, you may consider using description rules to store the source values.

There are several key points to consider when assigning supporting references:

As an example:

Sources will be assigned to each of these segments and the source values for each of these segments will be used to create separate balances.