14. Annexure A - Accounting Entries and Advices

14.1 Introduction

This section contains details of the suggested accounting entries that can be set up, for the Profit and Charges module of Oracle FLEXCUBE. The details of the suggested accounting entries are listed event-wise.

This chapter contains the following sections:

14.2 IP Events

The following is an exhaustive list of events that can take place during Profit or Charge calculation. In the subsequent paragraphs we shall examine the accounting entries and advices for each of the events listed below.

Event Code Event Description
CLIQ Charges Liquidation
DEBK Term Deposit Booking
IACR Profit Accrual
ILIQ Profit Liquidation
IMAT Deposit Account Liquidation
IRDM Deposit Account Redemption
ROLL Discounted Deposit Rollover
UDCH UDE Values Change

14.3 Amount Tags

The amount tags listed below are hard-coded in Oracle FLEXCUBE.

Amount Tag Description
CHARGE Charges
CLIQ_ADJ Charge Adjustments
CLIQ_NADJ Charge Adjustments Negative
CLIQ_PADJ Charge Adjustments Positive
IACQUIRED Acquired Profit Amount
IACR Profit Accrual
IACR_ADJ Profit Accrual Adjustments
ILIQ Profit Liquidation
ILIQ_ADJ Profit Liquidation Adjustments
IMAT Profit Liquidation
PMAT Principal Liquidation
TAX Tax
TAX_ADJ Tax Adjustments
TD-INT Term Deposit Profit
TD-PRINC Term Deposit Principal
UDEFCHGBASIS Charge Basis for UDEF Charges
IRDM Redemption of Unclaimed Profit/Prin TD Acc

In addition to these you can define amount tags as per your requirements.

14.4 Advice Formats

The following advice formats are maintained for IP.

Format Description
IPCOD Certificate of Deposit
IPINTST Profit Statement
IPTD_REDM Redemption Advice
IPTD_ROLL Rollover Advice

14.5 Event-wise Accounting Entries and Advices

In this section we will discuss the suggested accounting entries and advices that should be generated for each event in process of Profit or Charge calculation.

Note

Also note that some of the Amount Tags linked to the Accounting Roles are user defined.

This section contains the following topics:

14.5.1 Charge Basis: ADHOC-STMT

14.5.1.1 CLIQ: Charges Liquidation

Accounting Entries

Accounting Role Amount Tag Dr./Cr. Indicator
CHG_BOOK CHARGE DEBIT
CHG_INCOME CHARGE CREDIT

 

Advices

No advices allowed for this event.

14.5.1.2 UDCH: UDE Values Change

No accounting entries allowed for this event.

Advices

Advice type Description
UDECA Advice Type

 

14.5.2 Charge Basis: NUM-CHQ-ISS

14.5.2.1 CLIQ: Charges Liquidation

Accounting Entries

Accounting Role Amount Tag Dr./Cr. Indicator
CHG_BOOK CHARGE DEBIT
CHG_INCOME CHARGE CREDIT

 

Advices

No advices allowed for this event.

14.5.2.2 UDCH: UDE Values Change

No accounting entries allowed for this event.

Advices

Advice type Description
UDECA  

 

14.5.3 Charge Basis: NUM-CHQ-RET

14.5.3.1 CLIQ: Charges Liquidation

Accounting Entries

Accounting Role Amount Tag Dr./Cr. Indicator
CHG_BOOK CHARGE DEBIT
CHG_INCOME CHARGE CREDIT

 

Advices

No advices allowed for this event.

14.5.3.2 UDCH: UDE Values Change

No accounting entries allowed for this event.

Advices

Advice type Description
UDECA  

 

14.5.4 Charge Basis: NUM-STOP-PAY

14.5.4.1 CLIQ: Charges Liquidation

Accounting Entries

Accounting Role Amount Tag Dr./Cr. Indicator
CHG_BOOK CHARGE DEBIT
CHG_INCOME CHARGE CREDIT

 

Advices

No advices allowed for this event.

14.5.4.2 UDCH: UDE Values Change

No accounting entries allowed for this event.

Advices

Advice type Description
UDECA  

 

14.5.5 Charge Basis: NUM-ACCT-STMTS

14.5.5.1 CLIQ: Charges Liquidation

Accounting Entries

Accounting Role Amount Tag Dr./Cr. Indicator
CHG_BOOK CHARGE DEBIT
CHG_INCOME CHARGE CREDIT

 

Advices

No advices allowed for this event.

14.5.5.2 UDCH: UDE Values Change

No accounting entries allowed for this event.

Advices

Advice type Description
UDECA  

 

14.5.6 Charge Basis: ITEM-COUNT

14.5.6.1 CLIQ: Charges Liquidation

Accounting Entries

Accounting Role Amount Tag Dr./Cr. Indicator
CHG_BOOK CHARGE DEBIT
CHG_INCOME CHARGE CREDIT

 

Advices

No advices allowed for this event.

14.5.6.2 UDCH: UDE Values Change

No accounting entries allowed for this event.

Advices

Advice type Description
UDECA  

 

14.5.7 Charge Basis: TURNOVER

14.5.7.1 CLIQ: Charges Liquidation

Accounting Entries

Accounting Role Amount Tag Dr./Cr. Indicator
CHG_BOOK CHARGE DEBIT
CHG_INCOME CHARGE CREDIT

 

Advices

No advices allowed for this event.

14.5.7.2 UDCH: UDE Values Change

No accounting entries allowed for this event.

Advices

Advice type Description
UDECA  

 

14.5.8 Accounting Entries and Advices for Profit

14.5.8.1 IACR: Profit Accrual

Accounting Entries

Accounting Role Amount Tag Dr./Cr. Indicator
ICDT-ACCR-1 IACR DEBIT
ICDT-PNL-1 IACR CREDIT
ICDX-ACCR-1 IACR DEBIT
ICDX-PNL-1 IACR CREDIT
ICMI-ACCR-1 IACR CREDIT
ICMI-PNL-1 IACR DEBIT
ICOD-ACCR-5 IACR DEBIT
ICOD-PNL-4 IACR CREDIT
ICOD-ACCR-4 IACR DEBIT
ICOD-PNL-5 IACR CREDIT
ICQC-ACCR-1 IACR DEBIT
ICQC-PNL-1 IACR CREDIT
ICQC-ACCR-3 IACR CREDIT
ICQC-PNL-3 IACR DEBIT
ICQC-ACCR-4 IACR DEBIT
ICQC-PNL-4 IACR CREDIT
MNS1-PNL-1 IACR CREDIT
MNS1-ACCR-1 IACR DEBIT
MNS2-ACCR-1 IACR DEBIT
MNS2-PNL-1 IACR CREDIT
Expense IACR DEBIT
Paid in advance IACR CREDIT

 

Advices

No advices allowed for this event.

14.5.8.2 ILIQ: Profit Liquidation

Accounting Entries

Accounting Role Amount Tag Dr./Cr.
ICDB-BOOK-2 ILIQ DEBIT
ICDB-PNL-2 ILIQ CREDIT
ICDB-PNL-1 ILIQ DEBIT
ICDB-BOOK-1 ILIQ CREDIT
ICDB-ACQUIRED-1 IACQUIRED DEBIT
ICDB-BOOK-1 IACQUIRED CREDIT
ICDB-BOOK-2 IACQUIRED DEBIT
ICDB-ACQUIRED-2 IACQUIRED CREDIT
ICDT-ACR_ADJ-1 IACR_ADJ DEBIT
ICDT-PNL_ADJ-1 IACR_ADJ CREDIT
ICDT-ACCR-1 ILIQ CREDIT
ICDT-PNL-2 ILIQ CREDIT
ICDT-BOOK-1 ILIQ DEBIT
ICDT-BOOK-1 IACQUIRED DEBIT
ICDT-BOOK-2 IACQUIRED DEBIT
ICDT-ACQUIRED-2 IACQUIRED CREDIT
ICDT-ACQUIRED-1 IACQUIRED CREDIT
ICDT-BOOK-2 ILIQ DEBIT
ICDT-TPBL-3 TAX CREDIT
ICDT-BOOK-3 TAX DEBIT
ICDX-ACR_ADJ-1 IACR_ADJ DEBIT
ICDX-PNL_ADJ-1 IACR_ADJ CREDIT
ICDX-ACCR-1 ILIQ CREDIT
ICDX-BOOK-1 ILIQ DEBIT
ICDX-BOOK-1 IACQUIRED DEBIT
ICDX-ACQUIRED-1 IACQUIRED CREDIT
ICMA-PNL-1 ILIQ DEBIT
ICMA-PNL-2 ILIQ DEBIT
ICMA-BOOK-2 ILIQ CREDIT
ICMA-BOOK-1 ILIQ CREDIT
ICMA-BOOK-2 IACQUIRED CREDIT
ICMA-ACQUIRED-2 IACQUIRED DEBIT
ICMA-BOOK-1 IACQUIRED CREDIT
ICMA-ACQUIRED-1 IACQUIRED DEBIT
ICMI-PNL-2 ILIQ CREDIT
ICMI-BOOK-2 ILIQ DEBIT
ICMI-ACCR-1 ILIQ DEBIT
ICMI-BOOK-1 ILIQ CREDIT
ICMI-BOOK-2 IACQUIRED DEBIT
ICMI-ACQUIRED-2 IACQUIRED CREDIT
ICMI-PNL_ADJ-1 IACR_ADJ DEBIT
ICMI-BOOK-1 IACQUIRED CREDIT
ICMI-ACQUIRED-1 ICMI-ACQUIRED-1 DEBIT
ICMI-ACR_ADJ-1 IACR_ADJ CREDIT
ICOD-ACR_ADJ-4 IACR_ADJ DEBIT
ICOD-PNL_ADJ-4 IACR_ADJ CREDIT
ICOD-ACR_ADJ-5 IACR_ADJ DEBIT
ICOD-PNL_ADJ-5 IACR_ADJ CREDIT
ICOD-ACCR-5 ILIQ CREDIT
ICOD-BOOK-4 ILIQ DEBIT
ICOD-ACCR-4 ILIQ CREDIT
ICOD-BOOK-5 ILIQ DEBIT
ICOD-BOOK-4 IACQUIRED DEBIT
ICOD-ACQUIRED-4 IACQUIRED CREDIT
ICOD-BOOK-5 IACQUIRED DEBIT
ICOD-ACQUIRED-5 IACQUIRED CREDIT
ICQC-ACR_ADJ-1 IACR_ADJ DEBIT
ICQC-PNL_ADJ-1 IACR_ADJ CREDIT
ICQC-ACR_ADJ-3 IACR_ADJ CREDIT
ICQC-PNL_ADJ-3 IACR_ADJ DEBIT
ICQC-PNL_ADJ-4 IACR_ADJ CREDIT
ICQC-ACR_ADJ-4 IACR_ADJ DEBIT
ICQC-ACCR-1 ILIQ CEBIT
ICQC-BOOK-1 ILIQ DEBIT
ICQC-PNL-2 ILIQ CREDIT
ICQC-BOOK-2 ILIQ DEBIT
ICQC-ACCR-3 ILIQ DEBIT
ICQC-BOOK-3 ILIQ CREDIT
ICQC-ACCR-4 ILIQ CREDIT
ICQC-BOOK-4 ILIQ DEBIT
ICQC-BOOK-1 IACQUIRED DEBIT
ICQC-ACQUIRED-1 IACQUIRED CREDIT
ICQC-BOOK-2 IACQUIRED DEBIT
ICQC-ACQUIRED-2 IACQUIRED CREDIT
ICQC-BOOK-3 IACQUIRED CREDIT
ICQC-ACQUIRED-3 IACQUIRED DEBIT
ICQC-BOOK-4 IACQUIRED DEBIT
ICQC-ACQUIRED-4 IACQUIRED CREDIT
MNS1-BOOK-1 ILIQ DEBIT
MNS1-BOOK-1 IACQUIRED DEBIT
MNS1-ACQUIRED-1 IACQUIRED CREDIT
MNS1-ACCR-1 ILIQ CREDIT
MNS2-ACCR-1 ILIQ CREDIT
MNS2-BOOK-1 ILIQ DEBIT
MNS2-BOOK-1 IACQUIRED DEBIT
MNS2-ACQUIRED-1 IACQUIRED CREDIT

Advices

No advices allowed for this event.

14.5.8.3 UDCH: UDE Values Change

Accounting Entries

No accounting entries allowed for this event.

Advices

Advice type Description
UDECA  

 

14.5.8.4 DEBK: Booking Term Deposits for discounted or true discounted deposit

Accounting Entries

Accounting Role Amount Tag Dr./Cr.
TD-PRINC-BOOK TDACCOUNT Cr
TD-PRINC-BOOK TDOFFSET Dr
TD-INT-LIQD TDOFFSET Cr
TD-INT-LIQD TDINTPIA Dr

 

14.5.8.5 DEBK: Booking Term Deposits for Bearing Type of Deposit

Accounting Entries

Accounting Role Amount Tag Dr./Cr.
TD-PRINC-BOOK TDACCOUNT Cr
TD-PRINC-BOOK TDOFFSET Dr

 

14.5.8.6 DEBK: Booking Term Deposits for discounted profit

This event will have additional entries for the discounted profit.

Accounting Entries

Accounting Role Amount Tag Dr./Cr.
Paid in Advance TD-INT Dr
Customer TD-INT Cr

14.5.8.7 ROLL: Roll Over Of Deposits

This event will be defined in the product to give out discounted profit on the extended portion of deposit and it will be used only for this purpose and all other operations of rollover remains as it is. This event is applicable only for Discounted deposits.

Accounting Entries

Accounting Role Amount Tag Dr./Cr.
Paid in Advance TD-INT Dr
Customer TD-INT Cr

14.5.9 Accounting Entries for Write-off Process

The following accounting entries are processed for each stage of Write-off process on OD account:

Liquidating Accruals

Dr/Cr Account Amount
Dr  Customer (OD account) Profit accrued (from last liquidation to till date)
Cr Profit Receivable Profit accrued (from last liquidation to till date)

 

Reversal Profit Income

Dr/Cr Account Amount
Dr Profit Income Profit Income
Cr Suspense GL Profit Income

 

Marking Principal Amount as Bad Debit

Dr/Cr Account Amount
Dr  Bad Debits Expense GL OD Principal
Cr Suspense GL OD Principal

 

Balance Transfer of OD Account

Dr/Cr Account Amount
Dr  Profit Receivable Profit accrued after status change
Cr Profit Income Suspense. This will be the GL mapped for the accrual for the new status ‘WROF’ Profit accrued after status change