Some countries require a greater level of detail for transaction reporting in certain accounts. To fulfill this requirement, Oracle General Ledger provides an allocation accounting structure that assigns required account segment values to one or more allocated accounts. The allocated accounts maintain parallel entries for transactions posted to General Ledger.
Depending on your needs, you can create either a one-to-one or one-to-many relationship between natural accounts and the allocation account structure. These two examples show an allocation accounting structure that illustrates these relationships.
These tables provide an example of a one-to-one relationship between the account journal line and the allocated journal line:
| AP Invoice Distribution Line | Account Segment | Debit | Credit |
|---|---|---|---|
| Line 1 | 100 | ||
| Line 2 | 150 |
| Accounting Entries | Account Segment | Debit | Credit |
|---|---|---|---|
| Expense | 6000 | 100 | |
| Expense | 6000 | 150 | |
| Liability | 5000 | 250 |
| Allocation Accounting Entries | Account Segment | Debit | Credit |
|---|---|---|---|
| Allocation | 920060 | 100 | |
| Allocation | 920160 | 150 | |
| Allocation Offset | 906000 | 250 |
These tables provide an example of a one-to-many relationship between the account journal line and several allocated journal lines:
| AP Invoice Distribution Line | Account Segment | Debit | Credit |
|---|---|---|---|
| Line 1 | 100 |
| Accounting Entries | Account Segment | Debit | Credit |
|---|---|---|---|
| Expense | 6000 | 100 | |
| Liability | 100 |
| Allocation Accounting Entries | Account Segment | Debit | Credit |
|---|---|---|---|
| Allocation | 920060 | 25 | |
| Allocation | 920160 | 25 | |
| Allocation | 920170 | 40 | |
| Allocation | 920180 | 10 | |
| Allocation Offset | 906000 | 100 |
Note that the allocation accounting structure includes a contra account (allocation offset) to balance out the allocation journal.
Oracle General Ledger provides this functionality to fulfill the allocation accounting requirement:
Define rules for creating allocated journals
Create allocated journal entries based on defined rules
Modify allocated journal entries
Post journal entries directly to allocated accounts
This section describes the tasks required for journal allocation:
Define journal source – Define a journal source for allocated journals
Define journal category – Define a journal category for allocated journals.
Define document sequences (optional) – Define document sequences for allocated journals
Set up audit trail (optional) – Set up an audit trail to document changes to journal allocation rules
Additional setup tasks:
If you are allocating Budget journals:
Set up budget organization
Set up budgets
If you are allocating Encumbrance journals:
Set up encumbrance types
After you perform the setup procedures that you want, define rule sets for allocated journals. See Defining Allocated Journals for more information.
Use the Define Journal Allocations window to define rule sets for allocated journals. You define allocated journal lines for all account values that require allocation entries.
You can define one rule set for each account type that requires journal allocation, or one rule set for all account types. When you choose an account type, Oracle General Ledger only displays the account ranges that refer to that account type.
The starting point for journal allocation is the cost center range. You define for each cost center, the account ranges to include in journal allocation and the destination allocation account values to use for each allocated journal line. Account ranges cannot overlap for the same cost center range; you cannot allocate the same account range twice for the same cost centers. If you do not use cost center ranges, define the account ranges to include in journal allocation and the destination allocation account values.
You also define the percentage amount that you want applied to each allocated journal line. For standard journal allocation, the total percentage amounts of all allocated journal lines must equal 100%. You can also create partial allocation entries that total less than 100% of the original accounting transaction, however, depending on your business requirements.
For each rule set that you create, choose the offset account at either the account level or the allocation level. Do not mix the level at which you define offset accounts within a rule set.
After you define your rule sets for journal allocation, run the Validate Allocation Rule Sets program to confirm the validity of the rule sets that you defined. See Validating Journal Allocations for more information.
After you validate your rule sets, run the Allocate Journals program to create allocated journals. See Creating Journal Allocations for more information.
Before you can define allocated journals, you must:
Define a ledger.
Assign your ledger to a responsibility.
To define a rule set for allocated journals:
Navigate to the Define Journal Allocations window.
In the Rule Set field, enter a unique name for this set of journal allocation rules.
In the Chart of Accounts field, enter the chart of accounts structure that you want to use. The default value is the responsibility chart of accounts name within your ledger.
If you use an account type, enter the account type in the Account Type field, such as Asset or Expense, for this rule set.
If you are going to use partial allocation, check the Allow Partial Allocation check box.
If you use cost centers, navigate to the Cost Center Range region. Otherwise go to step 9.
In the Low and High fields, enter the first cost center range to process.
In the Description field, you can optionally enter a unique description for this allocated journal.
If you import allocated journals into General Ledger after journal allocation and if you enter Yes in the Headers by Cost Center Range? parameter in the Allocate Journals program, Journal Import uses the description in this field as a prefix to the standard journal header created by the import process. This description appears in the journal header.
Navigate to the Account Range region.
In the Low and High fields, enter the account ranges to process. This field only returns values for the account type that you specify.
Note: Account ranges cannot overlap for the same cost center ranges.
In the Offset field, enter the offset account for these account ranges.
If you enter the offset here, the Offset fields are disabled in the Allocations region.
Navigate to the Allocations region.
In the percentage (%) fields, enter the percentage amount to allocate to each destination account.
The total of all percentages must equal 100, unless you checked the Allow Partial Allocation check box.
Note: Partial allocation is enforced when you run the Allocate Journals program or the Validate Allocation Rule Sets program.
In the Account fields, enter the destination account value or values for allocated journal lines.
In the Offset field, enter the offset account for the allocated account values, if you did not enter the offset in the Account Range region.
Save your work.
Repeat steps 7 to 16 for each required cost center range for this rule set.
Repeat steps 2 to 18 for each rule set that you want to create.
Run the Journal Allocation - Rule Set Listing to review your rule sets.
See Journal Allocation - Rule Set Listing for more information.
Use the Validate Allocation Rule Sets program to verify the completeness of your journal allocation definitions before actually creating physical journal allocations.
Run the Validate Allocation Rule Sets program under any of the following circumstances:
After you define rules sets and before you create journal allocations
Whenever you define a new rule set
Whenever you add new cost centers or new accounts to the accounting structure
The Validate Allocation Rule Sets program validates the rule set against posted journal lines and produces an exception report of invalid or missing rule set definitions.
After you validate your rule set definitions, you can create physical journal allocations. SeeCreating Journal Allocations for more information.
Use the Standard Request Submission windows to submit the Validate Allocation Rule Sets program.
Enter the rule set that you want to use for journal allocation.
Enter the accounting period that you want. The Validate Allocation Rule Sets program only processes posted journals within this period.
Enter the journal currency code.
Enter the amount type to assign to allocated journal entries:
Entered – Derives the allocated journal line amount from the entered journal line amount.
Accounted – Derives the allocated journal line amount from the accounted journal line amount.
Enter the journal balance type:
Actual – Derives the allocated journal lines based on Actual journal lines.
Budget – Derives the allocated journal lines based on Budget journal lines.
Encumbrance – Derives the allocated journal line amount based on Encumbrance journal lines.
Enter the budget name or encumbrance type, depending on whether you entered Budget or Encumbrance in the Balance Type field.
Enter the balancing segment value for allocated journal lines. The Validate Allocation Rule Sets program only processes journal lines containing this balancing segment value.
Enter the segment method that you want to use for allocated journal line account code combinations. Choose one of the following:
Journal Account – Derives all segments other than the account segment and balancing segment from the account code combination held against the original journal line. The account segment value is obtained from the destination account value defined in the journal allocation rule set.
Zero Filled – Populates all segments other than the balancing and account segments with the shortest number of zeroes (0).
Enter Warning (default) as the error handling method that you want to use to validate the rule set. The available options are:
Error –Validate Allocation Rule Sets program marks an error message against the journal line and aborts.
Warning – Validate Allocation Rule Sets program marks a warning message against the journal line and continues processing.
Ignore – Validate Allocation Rule Sets program ignores journal lines without journal allocation rules and continues processing.
Note: You must enter Warning as the error handling method to use to mark all journal lines without allocation rules and to continue processing until the program prints the execution report.
Related Topics
Running Reports and Programs, Oracle Applications User Guide
Use the Allocate Journals program to process posted accounting entries and create the new allocated journals. The Allocate Journals program creates allocated journals based on the rule sets that you defined in the Define Journal Allocations window.
The Allocate Journals program marks each journal line with a corresponding allocated journal line which prevents the program from reallocating the same journal lines in subsequent runs for the same period.
The Allocate Journals program loads the newly created allocated journals into the General Ledger Interface table. You can set the Allocate Journals program to run Journal Import after creating allocated journals. The Journal Import reads and validates the allocated journal entries, and creates new unposted journals in general ledger.
The Allocate Journals program produces an exception report of the journal lines without journal allocation rules or with invalid rule set definitions. Depending on your needs, you can set the Allocate Journals program to record errors and continue processing, to ignore any errors found, or to record errors and abort processing.
If you need to correct a rule set after you create the physical journal allocations, you can unallocate a previous journal allocation. You may also need to reverse or delete the imported journal. The Unallocate Journals program unmarks the journal lines marked by the Allocate Journals program. See Unallocating Journal Allocations for more information.
Allocated journals must conform to other General Ledger settings and rules, such as cross-validation rules. Oracle General Ledger does not validate all journal rules when you run the Allocate Journals program, but instead during the Journal Import process. If the allocated journals violate any other journal rules, you need to find and correct the source of the error. See Correcting Journal Allocations for more information.
You can run the Journal Allocation - Rule Set Listing to print a record of the current rule sets used to create allocated journals. See Journal Allocation - Rule Set Listing for more information.
You can run the Allocate Journals program by choosing Run Allocate Journals from the Special menu in the Define Journal Allocations window, or as a standard request submission.
Before you can create allocated journals, you must:
Create journal allocation rule sets.
Post all period journals, including budget and encumbrance journals if applicable, to ensure that General Ledger is current before journal allocation.
Enter these parameters to specify the desired program options:
Enter the rule set that you want to use for journal allocation.
Enter an open or future accounting period. The Allocate Journals program only processes posted journals within this period.
Enter the journal currency code.
Enter the amount type to assign to allocated journal entries:
Entered – Derives the allocated journal line amount from the entered journal line amount.
Accounted – Derives the allocated journal line amount from the accounted journal line amount.
Enter the journal balance type:
Actual – Derives the allocated journal lines based on Actual journal lines.
Budget – Derives the allocated journal lines based on Budget journal lines.
Encumbrance – Derives the allocated journal line amount based on Encumbrance journal lines.
Enter the budget name or encumbrance type, depending on whether you entered Budget or Encumbrance in the Balance Type field.
Enter the balancing segment value for allocated journal lines. The Allocate Journals program only processes journal lines with this balancing segment value.
Enter the ledger that you want to use to create allocated journals.
Enter an open period for allocated journals. You can enter the same open period that the allocated journal was created from, or any open period or future available period before or after.
Enter the journal source that you want to assign to allocated journals.
Enter the journal category that you want to use for allocated journals. The Allocate Journals program assigns this journal category to each allocated journal.
Enter the segment method that you want to use for allocated journal line account code combinations. Choose one of the following:
Journal Account – Derives all segments other than the account segment and balancing segment from the account code combination held against the original journal line. The account segment value is obtained from the destination account value defined in the journal allocation rule set.
Zero Filled – Populates all segments other than the balancing and account segments with the shortest number of zeroes (0).
Enter Yes if you want to create journal headers per cost center range.
Note: If you entered a cost center range description in the Description field in the Define Journal Allocations window, the description is included in each journal header. Enter No to create the same journal header for all ranges.
Enter the error handling method to use to validate the rule set:
Error –Validate Allocation Rule Sets program marks an error message against the journal line and aborts.
Warning –Validate Allocation Rule Sets program marks a warning message against the journal line and continues processing.
Ignore –Validate Allocation Rule Sets program ignores journal lines without journal allocation rules and continues processing.
Note: If you have already validated your rule set with the Validate Allocation Rule Sets program, you can use the Warning or Ignore error handling methods.
Enter Yes to run Journal Import after the Allocate Journals program creates physical journal allocations. Enter No to create physical journal allocations without running Journal Import.
Enter values in the following parameters if you entered Yes in the Run Journal Import? field.
Enter the summary level that you want to use for Journal Import:
Detail (default) – Journal Import transfers allocated journal lines in detail.
Summary – Journal Import summarizes allocated journal transactions for the same account code combination, period, and currency into one debit and one credit line.
Choose whether to import descriptive flexfields along with your journal information.
Note: You can only use this option if you entered Detail in the Destination Summary Level field.
Choose one of the following:
Yes - with Validation – Journal Import imports descriptive flexfields with validation and generates all journals.
Yes - without Validation – Journal Import imports descriptive flexfields without validation and generates all journals.
No – Journal Import generates all journals without importing descriptive flexfields.
If you entered Yes in the Run Journal Import? Field, enter Yes or No to specify whether Journal Import should post erroneous journals to a suspense account.
Note: You can only enter Yes if your destination ledger allows suspense posting.
Related Topics
Running Reports and Programs, Oracle Applications User Guide
After you run Journal Import for your allocated journals, you may find that Journal Import rejected data from journal allocation processing. In some cases, the allocated journals may violate the Oracle General Ledger cross-validation rules due to an error in the journal allocation rule set, or the cross-validation rules themselves may be in error.
To correct journal allocations, use one of these procedures:
If there are relatively few errors, use the Correct Journal Import Data window to correct the data.
If allocated journals violate other rules, such as cross-validation rules, correct the source of the problem and run Journal Import again.
If there are many errors in the journal import, due to an incorrect rule set, delete the erroneous data from the General Ledger interface tables, reverse the journal allocation, and correct the rule set in the Define Journal Allocations window. Validate your rule set and then re-run the Allocate Journals program.
See Unallocating Journal Allocations for information about unallocating a journal allocation.
Related Topics
Importing Journals, Oracle General Ledger User Guide
Use the Unallocate Journals program to unallocate a journal allocation. The Unallocate Journals program unmarks the journal lines used to create the allocated journal to include journal lines in a subsequent run of the Allocate Journals program.
Note: After you run the Unallocate Journals program, run the Delete Journal Import program to delete allocated journal lines that are already loaded into the General Ledger interface tables.
You need to reverse a journal allocation if the Allocate Journals program produces several errors during processing. The Allocate Journals program exception report provides details of all unallocated journal lines and invalid rule definitions.
Use the Define Journal Allocations window to modify the rule set, then run the Validate Allocation Rule Sets program or the Allocate Journals program again.
You can also use the Journal Allocation - Rule Set Listing to review your rule sets before running the Allocate Journals program. See Journal Allocation - Rule Set Listing for more information.
Use the Standard Request Submission windows to submit the Unallocate Journals program.
Enter the concurrent request ID of the last run of the Allocate Journals program. The concurrent request ID is part of your destination journal batch name.
Related Topics
Running Reports and Programs, Oracle Applications User Guide
Importing Journals, Oracle General Ledger User Guide
Use the Journal Allocation - Rule Set Listing to review your rule sets for journal allocation. The Journal Allocation - Rule Set Listing prints a listing, for each rule set, of the natural accounts and their destination allocated journal accounts and offsets.
After you review your rule sets, you can use the Define Journal Allocations window to correct any rule set errors.
Use the Standard Request Submission windows to submit the Journal Allocation - Rule Set Listing.
Enter the name of the rule set that you want to print for the report.
Related Topics
Running Reports and Programs, Oracle Applications User Guide
Many organizations follow specific procedures to generate special journal entries to close and open fiscal years. These closing entries apply to both the income statement and balance sheet. At fiscal year end, all accounts must be closed to get the economic result and balances. The E-Business Suite provides a program that closes the account by putting the debit sum in the credit and vice versa.
For some countries, fiscal requirements dictate that the accounts must be closed through the difference between Total Debit and Total Credit. In these countries, all year end process journals created require considering the resulting net amount between credit and debit amounts.
The Net Amount is the difference between total credit and total debit when the total credit is greater, or the difference between the total debit and the total credit when the total debit is greater.
To meet the Net Amount requirements for Year End Closing Journals, select the Net Closing Balance Journal checkbox in Accounting Setup Manager.
During setup in the Accounting Setup Manager, when you select the Net Closing Balance Journal checkbox in the Ledger Options page, net balance closing entries will be generated by the Close Process: Create Income Statement Closing Journals and Close Process: Create Balance Sheet Closing concurrent programs for Profit and Loss accounts and for Balance accounts. The entries are calculated as the difference between total debit and total credit, and vice versa.
The default option for this checkbox is unchecked. When the Net Closing Balance Journal checkbox remains unchecked, the Close Process: Create Balance Sheet Closing and Close Process: Create Income Statement Closing Journals concurrent programs will calculate closing journals in the standard accumulated balance method. Accumulated balance closing journal entries will be generated for Profit and Loss balance accounts, having both credit and debit amounts in the balances. The entries are calculated as the reciprocal of total debit in the credit side, and total credit in the debit side.
Before selecting the Net Closing Balance Journal checkbox, the following tasks must be completed:
All General Ledger setup is complete, including all subledger populating entries to General Ledger
Create Ledger
Set Up Accounting Setup Manager for the ledger
General Ledger Setup Steps, Oracle General Ledger Implementation Guide.
Running Reports and Programs, Oracle Applications User Guide.
Use the General Ledger Journal Entry report to retrieve all information required by the transactional reports. The transactional reports only require journal entry information and do not require account balance information. The journal entry information is used in all and comprises fields belonging to journal entry line, journal entry header, and journal batch information.
A journal entry represents a transaction in general ledger. It is an annotation of an event and is recorded by indicating the amount of the event and what it was used for. What it was used for is represented by an Account. Each Account has a meaning, which allows identifying what has been done; for example, an item was purchased, or sold, or returned. Additional information on a journal entry better allows describing and controlling the transaction (event).
The report uses the General Ledger Journal Entry Report XML Publisher template. The template is essentially the same as the report, but with changes like group by’s (Legal Entity, Effective Date, Batch, and Journal), Brought/Carried Forward and Page Total and Daily Brought/Carried Forward. The Journal Entry Data Extract program is used for information retrieval purposes.
Use the Standard Request Submission windows to submit the General Ledger Journal Entry report. First choose the General Ledger Journal Entry report and after entering the report parameters, chose the XML publisher template you want to run in the Options window.
Before submitting the General Ledger Journal Entry Report, you must post the subledger journals to the general ledger to ensure that all the report information appears correctly. Otherwise, certain report column values may not be available.
Complete the following:
Set up the reporting sequence for the ledger, assign the sequence to both subledger accounting journal entries and general ledger journal entries when the general ledger period is closed. This sequence is used as the main chronological sorting criterion to display the journal entries.
Close a general ledger period as part of the period end operations and the application runs the reporting sequence program automatically.
Additionally if you want, then independently sequence the subledger accounting with uniquely numbered journal entries at the time that the journal entry is completed. The sequence is assigned in the completion date order using the general ledger date as the date criterion for determining the sequence to be used.
Select the applicable posting status. The valid values are Error Status, Posted Journals, and Unposted Journals.
Select the applicable page number format. The valid values are Page: n and Page: n of m. Default value is Page: n of m.
Use the General Ledger Journal and Balance report to retrieve all information required by the reports that require transactions, for example journal entries, and account balances. An account balance represents the total currency amount of an account in a given period of time. This report enables you to identify how much was spent on purchases and how much was sold.
The report uses the General Ledger Journal and Balance Report and General Ledger Journal and Balance Report by Balancing Segment XML Publisher templates. These templates are essentially the same as the report, but with changes like group by’s (Legal Entity, Period, Natural Account Segment, Account, and Batch.) and Brought/Carried Forward and Page Total. The General Ledger Journal and Balance Report by Balancing Segment template has group by balancing segment as well. The report uses the General Ledger Journal and Balance Data Extract program for information retrieval purposes.
Use the Standard Request Submission windows to submit the General Ledger Journal and Balance reports. First choose the General Ledger Journal and Balance report and after entering the report parameters, chose the XML publisher template you want to run in the Options window.
Before submitting the General Ledger Journal and Balance reports, you must complete the following:
Post the subledger journals to the general ledger to ensure that all the report information appears correctly. Otherwise, certain report column values may not be available. tasks
Define the account hierarchy in the Define Key Flexfield Segment Values window.
Enter the primary currency and translated currencies. The default value is primary currency of the ledger selected.
Select the applicable type of currency. The default value is Total.
Displays the list of valid currencies when Currency Type is Entered, defaults to STAT when Currency Type is Statistical and defaults to N/A when Currency Type is Total. The default value is N/A
Select the applicable type of balance. The default is Actual (A).
It is required if the balance type is B or E. The default value is N/A.
Enter the number for degree reporting. The valid values are null and 1 through 10. Null means only detail rows will be printed. 1 through 10 means relevant number of parent total rows and detail rows will be printed.
Indicate the hierarchy that you want to work with. This is required if the account level is not null.
Select the applicable page number format. The valid values are Page: n and Page: n of m. The default value is Page: n of m.
Use the General Ledger Trial Balance report to retrieve all information required by the following reports and the flat file:
General Ledger Trial Balance Report:
Greek Fiscal Trial Balance Report
Turkish General Ledger Trial Balance Report: Turkish Trial Balance Report
Polish General Ledger Trial Balance Reports
Statutory Trial Balance Report
Portuguese General Ledger Trial Balance Report:
Portuguese General Ledger Detail Trial Balance Report
Portuguese General Ledger Summary Trial Balance Report
Portuguese General Ledger Results Trial Balance Report
Portuguese General Ledger Begin Year Trial Balance Report
Portuguese General Ledger End Year Trial Balance Report
Greek Fiscal Trial Balance File: Greek Trial Balance File
Greek General Ledger Trial Balance Report: Greek General Ledger Trial Balance Report
Greek Statutory Trial Balance Report: Greek Statutory Trial Balance Report
The General Ledger Trial Balance report shows accounting activity in the form of account balances. Below is a brief description of some of the information in the reports:
Shows natural account and its natural account description.
Shows the prior period activity and year-to-date activity. Additionally, it shows the period beginning and period ending balances for each account.
Optionally, can run reports assuming zero beginning balances for the beginning of the fiscal year.
Prints the account levels that you requested and totals the selected levels accordingly (uses the account hierarchy defined in Key Flexfield Segment Values window).
The General Ledger Trial Balance report uses the following XML Publisher templates:
General Ledger Trial Balance Report
Turkish General Ledger Trial Balance Report
Portuguese General Ledger Trial Balance Report
Greek Fiscal Trial Balance File
Greek General Ledger Trial Balance Report
Greek Statutory Trial Balance Report
The templates are essentially the same as the report, but with changes like group by’s (Legal Entity, Balancing Segment, Account Segment, and Account or Account Level Segment Value) and Brought/Carried Forward and Page Total. The report uses the General Ledger Trial Balance Report Data Extract program for information retrieval purposes.
Use the Standard Request Submission windows to submit the General Ledger Trial Balance report. First choose the General Ledger Trial Balance Report and after entering the report parameters, chose the XML publisher template you want to run in the Options window.
Before submitting the General Ledger Trial Balance report, you must complete these tasks:
Ensure that balances are available for printing in the selected date and account range.
Define the account hierarchy in the Define Key Flexfield Segment Values window.
Complete the following account hierarchy setup to provide balances at summary levels:
Ensure that every child value of the natural account in the chart of accounts has a parent. This parent must also have a parent, and so on, up to the highest parent level.
For the report to be run in summary mode for all values of the natural account, you must define a top level T account. This account must have, as child values, the highest level parent values of each natural account range. The following table provides an example:
| Account | Level | Parent/Child |
|---|---|---|
| T | 1 | Parent |
| 1 | 2 | Parent |
| 10 | 3 | Parent |
| 102 | 4 | Parent |
| 10210 | 5 | Child |
| 10220 | 5 | Child |
If you have completed the account hierarchy setup as required for the above range of accounts, then the summary report provides the following levels depending on the selected values of the Top Level Account and Account Level parameters:
| Account Level: 4 |
|---|
| Top Level Account: T |
| T |
| 1 |
| 10 |
| 102 |
| Account Level: 5 |
|---|
| Top Level Account: T |
| T |
| 1 |
| 10 |
| 102 |
| 10210 |
| 10220 |
| Account Level: 4 |
|---|
| Top Level Account: 1 |
| 1 |
| 10 |
| 102 |
| 10210 |
| 10220 |
As shown in the example, the account level and top level account parameters together determine the required detail of the report.
Select the primary currency and translated currencies. The default value is functional currency of the ledger selected.
Select the applicable type of currency. The default value is Total.
Displays the list of valid currencies when Currency Type is Entered, defaults to STAT when Currency Type is Statistical and defaults to N/A when Currency Type is Total. The default value is N/A.
Enter a period later than Period From, but in the same fiscal year.
Enter the number for degree reporting. The valid values are null and 1 through 10. Null means only detail rows will be printed. 1 through 10 means relevant number of parent total rows and detail rows will be printed.
Indicates the hierarchy that you want to work with. This is required if the account level is not null.
Select the applicable account class. The default value is All.
Select the applicable account delimiter. This is used for Greek Trial Balance reporting.
Select Yes to have zero balance for debit and credit. Select No to get the year begin balance of the year. The default value is No.
Select the applicable trial balance type. This is used for Portugal reporting only.
Select the applicable page number format. The valid values are Page: n and Page: n of m. The default value is Page: n of m.
Use the Portuguese General Ledger Trial Balance reports to meet legal, statutory, and internal management reporting requirements in Portugal. There are five separate reports with a standard layout; however, each report has different parameters. The reports display the current period, up to the end of the previous period, year-to-date, and current balance.
The Portuguese General Ledger Trial Balance reports print a single line of data for each natural account. The reports are sorted by natural account, in ascending order, for the segments that you specify. The report layout is 180 characters wide. The account balances are returned in functional currency only.
If you do not want the natural accounts reported as parent accounts, then you must define the accounts and make them non-posting accounts. The following table shows account values and their descriptions:
| Account Value | Description (with proper account descriptions) |
|---|---|
| 11 | Total for degree 2 range 11x |
| 111 | Total for degree 3 range 111x |
| 112 | Total for degree 3 range 112x |
| 1111 | Detailed Account 1111 |
| 1112 | Detailed Account 1112 |
| 1121 | Detailed Account 1121 |
| 1122 | Detailed Account 1122 |
Note: Balances for account 11 are the addition of accounts 1111, 1112, 1121, and 1122. Balances for account 111 are for accounts 1111 and 1112. Balances for account 112 are for accounts 1121 and 1122.
The degree that you select determines the level of summary information that appears for the account codes, period, and balancing segments that you select.
The Portuguese General Ledger Summary Trial Balance report displays selected accounts at Degree 1, such as the summary level. The report displays only two-digit accounts and aggregates all associated balances up to this degree level.
The Portuguese General Ledger Results Trial Balance report displays accounting balances for classes 6, 7, and 8 accounts (excluding account 88 - Year Net Result) for Degree 1 through Degree 7. These classes are associated with trading accounts. The Portuguese General Ledger Results Trial Balance report displays information on the trading position for the balancing segment that you select.
The Portuguese General Ledger Begin Year Trial Balance report excludes classes 6, 7, and 8 (apart from account 88 - Year Net Result), which are associated with the company's trading accounts. At the beginning of the year, only balance sheet accounts are displayed.
The Portuguese General Ledger End Year Trial Balance report is run after the Results Calculation because it represents the final year end trial balance for all accounts except for classes 6 and 7, which are set to zero at the end of the fiscal year.
Before running the Portuguese General Ledger Trial Balance reports, you must:
Set up a segment value for each degree parent account that you want to report on because the accounting flexfield is designed to support the Level/Degree structure. This segment value must only be used to retrieve and report the account description. The report must not reference the account to report any balance held against the account as a result of the account being defined as a summary account. These degree parent accounts must be designated as Postable - No.
Check that the Natural Account Flexfield Segment is numeric and up to eight digits in length. The segment can be more than eight digits in length, but if the segment has more than eight digits, the report will truncate the number. The standard Portuguese chart of accounts is comprised of ten classes of accounts, to form the Natural Account Flexfield Segment in General Ledger.
Set up a year in an Oracle Financials calendar with the first period and the last two periods as adjusting periods.
Greek law currently requires that you use a statutory account class hierarchy for your chart of accounts. This hierarchy is called a parent account structure. Companies must report on both summarized account balances and account activity for one or more account class levels in the parent account structure.
Greek law requires that at a minimum the first two account levels of the account class hierarchy are parent in most cases, or precision, levels with a fixed digit width. The first level has a fixed width of two digits. The second level has a fixed width of four digits: the first two digits of the second level replicate the first parent level values. A parent defined at the third level has a fixed width of six digits: the first four digits replicate the second parent level values plus two additional digits.
Every child value in the chart of accounts must have a parent to appear in a summarized report. This parent must also have a parent, and so on, up to the highest parent level. The highest parent level must have a two-digit width.
The first (highest) level in the parent account structure is called a class; the second level is called a sub-class; the third level is called a group.
This table is an example of an account structure with child at the third level:
| Value | Parent | Level | Regulated | Precision |
|---|---|---|---|---|
| 60 | Yes | First | Yes | Class |
| 6000 | Yes | Second | Yes | Sub-class |
| 6000234 | No | Third | No | Group |
This table is an example of an account structure with parent at the third level:
| Value | Parent | Level | Regulated | Precision |
|---|---|---|---|---|
| 62 | Yes | First | Yes | Class |
| 6200 | Yes | Second | Yes | Sub-class |
| 620002 | Yes | Third | No | Group |
| 620202234 | No | Fourth | No | No |
You must have a fixed parent account structure over the precision levels that are used for summarized reporting to fulfill statutory reporting requirements. Statutory reporting's summarized precision feature lets you report on accounts at the first, second, and third levels.
To provide a summarized report with the three levels, however, you cannot mix parent and child values at the third level in your chart of accounts because summarized statutory reporting cannot distinguish child values at the third level from parent values also defined at the third level.
You should set up a three-level parent account structure to make full use of the summarized statutory reporting functionality.
Related Topics
Defining Your Account Structure, Oracle General Ledger Implementation Guide
Parent and Child Values and Rollup Groups, Oracle General Ledger Implementation Guide
The following cutoff rules apply to postings in Oracle General Ledger:
Post the General Ledger, Payables, Receivables, and Cash Management transactions up to the 15th day of the following month, from the month that the relevant transactions have occurred.
Post adjustment journal entries within four months of their General Ledger date. These recommendations apply to adjustment journal entries: the General Ledger date for the closing adjustment period is the last day of the current fiscal year; the General Ledger date for the opening adjustment period is the first day of the following fiscal year.
Post analytical accounting entries by the end of the following fiscal period, preferably within 15 days.
Use the JEGR: Default Cutoff Days profile option to set the default number of cutoff days. The system uses this default when no cutoff rule is defined.
You must post all journals within the designated cutoff rule period. Oracle General Ledger invalidates journals that are not posted within the cutoff period, and the entire journal batch fails the posting process.
Oracle General Ledger automatically enforces the cutoff rules when you post a journal batch. Use the Journal Posting Execution report to review journal entries that failed due to cutoff rule violations.
To correct journals that violate cutoff rules:
Change the journal header effective date to within the cutoff rule period.
Save your changes.
Resubmit the journal batch for posting.
Run the allocate journal process to create your analytical accounting entries at the end of each period, after you:
Complete all General Ledger and subledger entries
Post all period journals
Analytical accounting journals can remain open until the end of the following fiscal period, which is the end of the following month. You should, however, complete journals within 15 days because Oracle Financials defines rule periods as a set number of days, and the number of days in a rule period is not consistent from month to month.
You can update unposted adjustment period journal entries for up to four months before posting. Adjustment periods overlap the beginning and end period for the fiscal year. Journal entries made to these adjustment periods are usually dated January 1 or December 31.
Related Topics
Posting Journal Batches, Oracle General Ledger User Guide
Use the Norwegian Government EDI reporting (GEI) functionality to electronically report accounting data from government departments to the central state accounting budget controlled by the Ministry of Finance (FIN). The GEI functionality enables you to:
Create the S-Report as a flat file and translate it into the EDIFACT standard. You can then transfer the S-Report to the Ministry of Finance and receive a receipt from the ministry. Some companies use the Ministry of Finance’s Web application to post the flat file as is
Request and receive the A-Report (Reconciliation List) from the Ministry of Finance.
To electronically report accounting data using the GEI functionality, you must complete the following tasks:
Setup the calendar with at least 12 periods to use as reporting periods in the government EDI reporting using the Accounting Calendar window in Oracle General Ledger. You can define a 13th period for corrections.
Setup the following accounting flexfield segments for the company's chart of accounts using the Segment Summary sub-window in the Key Flexfield Segments window in Oracle General Ledger:
A segment to enter the chapter/post/subpost either on the transaction level or on a parent level.
The segments for chapter/post/subpost will exist from before, but the levels may be distributed into several segments, or the levels may have been defined on levels above transaction level for other accounting segments. The GEI functionality is built on the use of Summary Accounts, which means that the amounts must be derived from a level higher than the transaction level. You may need to define higher levels to the transaction level, if you have not done this previously.
A segment to enter the authority code either on the transaction level or on parent level.
You must enter the authority code in the individual segment of the flexfield string. You can derive the authority code as a dependent value of the account number by setting up the applicable value set for the accounting flexfield segment. Additionally, you can define the cross validation rules to check if the combination of values in the chapter/post/subpost segment and the authority code segment are valid. This is useful if you want to use an authority code for solely one account. Define the cross validation rules in the Cross-Validation Rules window in Oracle General Ledger. You can also use the account combination templates, that automatically sets the authority code for a given account. However, you cannot combine templates with the cross validation rules.
Note: These segments are a pre-requisite as you cannot expand the number of accounting flexfield segments if the database already contains transactions for this accounting flexfield. Although you cannot expand a flexfield that is already in use, you can however build hierarchies on top of existing accounting flexfield segments. You cannot report on the chapter/post/subpost and the authority code on the transaction level for both of these segments. You must define at least one of them on a parent level.
Define your rollup groups in the Rollup Groups window in Oracle General Ledger to use parent levels in the summary account.
In order to use parent levels in the summary account, you first have to define a rollup group that are assigned to these parent level value sets. The GEI solution is dependent on a summary account that summarizes all transactions to the required reporting level as specified by the Ministry of Finance. You therefore have to define rollup groups for the parent values of the chapter/post/subpost and authority codes, if these are parent levels to a transaction level segment.
If the chapter/post/subpost values and the authority code values are on transaction level, then you do not need to define rollup groups, and you can define ’D’ for Detail in your Summary Account template. When you use the value ’Detail’ in your summary account template, all segment values are included. If you have some chapter/post/subpost values that you do not wish to include in the S-Report, then it is preferable to define a parent level with a rollup group to avoid including these transactions.
Enter the values for the Chapter/Post/SubPost and Authority Code segments in the Segment Values window in Oracle General Ledger.
The following table is an example of how to setup the values for the Chapter/Post/SubPost segment:
| Segment Value | Description | Parent Level | Rollup Group | Comment |
|---|---|---|---|---|
| 00210123 | Travel abroad | Yes | S-Report | Parent level to the transaction level |
| 0021012311 | Travel abroad air fares | No | Transaction level – Sub SubPost |
The following table is an example of how to setup the values for the Authority Code segment at the transaction level:
| Segment Value | Description | Parent Level | Rollup Group |
|---|---|---|---|
| Z1 | No authority | No | None |
| Z2 | Debit authority | No | None |
| Z3 | Posting authority | No | None |
| Z4 | Granting authority | No | None |
The following table is an example of how to setup the values for the Authority Code segment where the segment values are parent values to an existing accounting flexfield segment:
| Segment Value | Description | Parent Level | Rollup Group |
|---|---|---|---|
| Z1 | No authority | Yes | Authority Code |
| Z2 | Debit authority | Yes | Authority Code |
| Z3 | Posting authority | Yes | Authority Code |
| Z4 | Granting authority | Yes | Authority Code |
Define a Summary Account template indicating the applicable levels of summarization . You can choose the following levels:
D - Detail; summarized for every single value of the segment value.
T - Total; summarized per segment, regardless of segment value.
Per rollup group; for every single value of the rollup group
You must define the Summary Account template from the first period of the year in the Summary Account window in Oracle General Ledger.
The following table is an example of how to setup a Summary Account template definition. In the example, the authority code is registered on the transaction level, while the reporting level on chapter/post/subpost is from a rollup group:
| Segment Number | Accounting Flexfield | Summarization Level | Code |
|---|---|---|---|
| 1 | Sub-SubPost | Rollup group | Chapter/Post/SubPost |
| 2 | Cost Center | Total | T |
| 3 | Project | Total | T |
| 4 | Authority Code | Detail | D |
| 5 | Operation | Total | T |
Enter values for the system profile options listed in the following table:
Note: Sample values in this table are examples.
| Profiles | Sample Values | Comments |
|---|---|---|
| GEI Authority type | segment4 | Number in the accounting flexfield for Authority code |
| GEI Account for Sum Income | 60043101 | Value for the Reconciliation account towards the Bank of Norway Sum Income (parent value) |
| GEI Account for sum expenses | 60043102 | Value for the Reconciliation account towards the Bank of Norway Sum Expenses (parent value) |
| GEI Accounting Segment | segment1 | Number in the account flexfield for the account segment (segment for chp/post/subpost) |
| GEI Accounting Central | 9xxxxxxxx | Accountant number for the Accounting company |
| GEI Accountant | 9xxxxxxxx | Company Accountant number |
| GEI Summary Template ID | 1 | ID number allocated to the template after creation. |
If a company has multiple GLs and accountants reporting to the Ministry of Finance, then you must set up a new responsibility for each GL. Ensure that the system profile GL: General Ledger Name for the new responsibilities are set to the value for the GL.
Identify the GEI Summary Template ID using the Summary Account window in Oracle General Ledger. To find the template, query the template in question. Pull down the help menu, select Diagnostics, and then Examine. Select TEMPLATE_ ID from the list of values and you can see the template ID number in the Value filed.
Related Topics
General Ledger Setup Steps, Oracle General Ledger Implementation Guide
The routine for creating and sending a S-Report consists of the following steps:
Request Preliminary S-Report
Request final S-Report
Send S-Report to the Ministry of Finance
Receive return file from the Ministry of Finance
Check receipt
To check or reconcile the accounting figures, you can request a Preliminary S-Report before you create the file to be sent to the Ministry of Finance. The preliminary report coincides with the final S-Report, but unlike the final report it is possible to select open periods as parameters. If the Preliminary S-Report is ok, then you must temporarily close the accounting period in Oracle General Ledger, and request the final S-Report.
Generate the S-Report using the Norwegian GEI S-Report concurrent program in the Submit Request window.
Enter Yes if this is the final S-Report and No if it is the proposal.
Enter the period for which you are reporting.
Enter the sum from the account in the Norwegian Bank - revenue - Refer to Bank Statement. You must enter the balances representing assets for the company without the '-' or '+' prefix, and the balances representing liabilities for the company with a '-' (minus) prefix.
Enter the sum from the account in the Norwegian Bank - expenses - Refer to Bank Statement. You must enter the balances representing liabilities for the company without the '-' or '+' prefix, and the balances representing assets for the company with a '-' (minus) prefix.
Enter the filename and path for which the generated flat file should be written to. This is only needed for the final S-Report.
If the Preliminary S-Report is ok, then close the accounting period temporarily, and request the final S-Report, by running the Norwegian GEI S-Report, but this time with Yes for the Final Report? parameter. For this report, you can not select a period that has not been temporarily closed. Running the report in the final mode also creates a flat file in the specified output directory provided by the Filename and Path parameter. You send this file to the Ministry of Finance.
There are different ways of sending the file from the company to the Ministry of Finance. The most common is a third party program that checks, at constant intervals, the specified output directory (Filename and Path parameter) for requests that are waiting to be sent. The third party program then translates the flat file into EDIFACT standard and transfers it to the Ministry of Finance, which then prepares a receipt after checking the received S-Report. Some companies use the Ministry of Finance’s Web application to post the flat file as is.
The Ministry of Finance returns a receipt regardless of whether the S-report is rejected or approved, assuming the file does not contain syntax errors. The receipt is also referred to as a APERAK-control message. The receipt has one of the three status codes:
Approved (code 29)
Rejected (code 27)
Manual processing, message received but not processed (code 12)
The Ministry of Finance uses the last code when, for example, the reconciliation variance (or discrepancy) between the General Ledger figures and the Bank Statement figures is so small that the Ministry of Finance chooses to process the S-Report manually instead of rejecting it.
Use the A-Report to request reconciliation information from the State Central Accounts department, containing accumulated accounting figures that the company has reported to the Ministry of Finance. After checking this reconciliation information, against the GL figures, close the reporting period. The routine for requesting and receiving the A-Report from the Ministry of Finance is as follows:
Requesting the A-Report
Sending the request for the A-Report
Receiving the A-Report from the Ministry of Finance
Receiving control messages
Checking and closing the period
Use the Norwegian GEI Request A-Report concurrent program in the Submit Request window to request for the A-Report.
There are different ways of sending the file from the company to the Ministry of Finance. The most common is a third party program that checks, at constant intervals, the specified output directory (Filename and Path parameter) for requests that are waiting to be sent. The third party program then translates the flat file into EDIFACT standard and transfers it to the Ministry of Finance. Some companies use the Ministry of Finance’s Web application to post the flat file as is. The Ministry of Finance then prepares a receipt after checking the received S-Report, based on the following:
If the request is OK, then the Ministry of Finance creates and sends you the A-Report.
If the request is not OK, then the Ministry of Finance creates and sends you an APERAK message that describes the error.
If the request was approved, then the Ministry of Finance will return an A-Report. After you receive the transferred file on the unix-machine, you must run the following programs:
Translate the file from the EDIFACT standard using the third party EDI Translator.
Load the A-Report in OA-tables using the Norwegian GEI Load A-Report Data in the Submit Request window.
Create the receipt report using the Norwegian GEI A-Report in the Submit Request window.
Receive the control messages using the Norwegian GEI Load Messages and print the messages using the Norwegian GEI Print Messages in the Submit Requests window.
After receiving the A-Report, check it against the accumulated figures in the accounting system, for example a statement of account. If the figures are in agreement, then you must close the accounting period permanently using the Open and Close Periods window in Oracle General Ledger. If the figures in the A-Report do not agree with the statement of account, then you must correct them after reopening the reporting period. You must repeat the A-Report routine as described previously.
Receiving Control Messages
The Ministry of Finance always returns a control message when receiving an A-Report request or a S-Report. The message only implies if the shipment is accepted or rejected. You must check the control message if you do not receive the requested A-Report, or in case of a S-Report - an APERAK-message that the Ministry of Finance has received the S-Report. This can be the result of technical errors during sending and the request or report must be sent again. To enable the Ministry of Finance to send control messages, you must ensure that the EDI-translation program is setup correctly, such that the request for control messages is sent automatically. The control message is read directly from the unix-machine. There are three codes on the control message:
1 = Accepted
5 = Errors
6 = Rejected
If the S-Report is empty, it is because the view used to retrieve data does not contain any data. The reason for this can be:
The profile option GEI Summary Account Template ID Number contains incorrect value. Ensure that the number in the profile agrees with the S-Report Summary Account template Id number.
The Summary Account template is not generated correctly. Check the period it was created for and also check that no errors occurred during creation, by looking at the requests from the pulldown menu View/Requests – All my requests. Delete and recreate the Summary Account, if required.
Functionality for moving/combining accounts has been used. This functionality makes it possible to move the closing balance from one account to another, or combine closing balances on multiple accounts to one or more accounts. Move/Combine functionality will not update accounts and account records used in General Ledger. This applies to Summary Accounts. If you have used this functionality, then you must delete and recreate the Summary Account.