Oracle by Example brandingSetting Up Billing Frequency Codes

section 0Before You Begin

This 10-min OBE shows you how to set up billing frequency codes. Billing frequencies determine how often and in which month recurring billing payments are made and are used during amortization schedule creation.

Background

Many businesses lease office space and equipment from different suppliers. According to the new lease accounting standards, businesses must account for these leases and the leased asset on them on their balance sheets. The Lease Accounting functionality in JD Edwards provides the ability to comply with these standards.

Scenario Guidelines

In this series of OBEs, you will learn how to set up the system and perform the required actions for following lease scenario:

  • You are leasing a copier from Electronics R Us.
  • The lease is for two years and you expect to return the copier at the end of the lease.
  • You will pay $2,500 quarterly in advance.
  • You have to pay an up-front installation charge of $1,000 to secure the lease.
  • At the beginning of the second quarter, you renegotiate the price of this lease based on an agreement to lease other equipment from the vendor and they agree to a price break on the existing lease. Your new quarterly payment will be $2,250 starting from the second quarter.
  • At the end of the second quarter, the copier breaks down and the cost of repairs is greater than the replacement cost, so you negotiate with the vendor to terminate this lease and create a new one for a newer copier model.

What Do You Need?

You must have completed the following tasks:

  • Set up date pattern R based on a calendar year.

section 1Setting Up Billing Frequency Codes

  1. Navigate to EnterpriseOne Menus, Financials (G1), Lessee Accounting (G15202), System Setup (G1520240), RE SystemSetup (G1520241), Bill Codes/Adjustment Reasons (P1512).
  2. On the Work with Billing Frequency Codes form, click Add to add a new bill frequency code.
  3. On the Billing Frequency Codes Revisions form complete these fields:
    • Billing Frequency Code: R
    • Description: Quarterly – In advance
    • Fiscal Date Pattern: R
  4. Select the Periodic option.
  5. Select the following boxes:
    • Per 1
    • Per 4
    • Per 7
    • Per 10

    6. Your billing frequency record should look this:

    Billing Frequency
    Billing Frequency Record
  6. Click OK to save the entries.
  7. Click Cancel to exit the revisions form.