Posting When You Use Oracle Cash Management
If you are using Oracle Cash Management to reconcile your payments and you have enabled the Allow Reconciliation Accounting Payables option, Payables creates two sets of accounting distributions for each payment. When you create a payment, Payables creates the first set of distributions which debit the AP liability account of an invoice and credit the cash clearing account of the bank account or payment document you used. After you reconcile the payment using Oracle Cash Management, Payables creates the second set of distributions which debit the cash clearing account originally credited and credit the cash account of the bank account you used to pay the invoice.
When you create a payment, Payables may also create distributions for any discount taken and foreign currency exchange gain or loss between invoice and payment time. When you reconcile the payment using Oracle Cash Management, Payables may also create distributions for a foreign currency exchange gain or loss between payment and reconciliation time, or bank errors and bank charges.
See Also
Reconciling Payments with Oracle Cash Management
Payables Transfer to General Ledger Program (Posting)
Payables Options
Oracle Cash Management User's Guide
Encumbrance Entries in Payables
