4Manage Accounts Receivable Balances

This chapter contains the following:

Access Receivables Information

Oracle Receivables Predefined Reports

Receivables provides predefined reports to help you analyze and manage your accounts receivable information.

The Receivables predefined reports cover the following areas:

  • Bill Presentment Templates

  • Accounting Reports

  • Billing Reports

  • Receivables Balances Reports

  • Bills Receivable Reports

  • Netting Settlement Reports

  • Reconciliation Process and Report

You schedule and run all Receivables reports from the Scheduled Processes work area. You can also access and open all reports in the Reports and Analytics work area.

To run a report from Scheduled Processes:

  1. Click the Schedule New Process button.

  2. Search for the process name that you want.

  3. Enter values for the parameters that you need.

  4. Enter the desired process options and schedule.

  5. Click Submit.

The following tables group the Receivables reports by type and provide a description of each report.

Bill Presentment Templates

The predefined print templates are used to print Receivables transactions. You can also create your own versions of these print templates.

Display Name Description

Print Invoices Template

Layout for printing invoices. Includes information about the customer, due date, line amount, tax amount, and outstanding balance.

Print Credit Memos Template

Layout for printing credit memos. Includes information about the customer, application date, line amount, and total amount applied.

Print Debit Memos Template

Layout for printing debit memos. Includes information about the customer, due date, line amount, and outstanding balance.

Print Chargebacks Template

Layout for printing chargebacks. Includes information about the customer, due date, line amount, and outstanding balance.

Print Summary Balance Forward Bills Template

Layout for printing balance forward bills in summary mode. Includes information on the beginning balance, summary information of current customer billing activity, and ending balance for the billing cycle.

Print Detailed Balance Forward Bills Template

Layout for printing balance forward bills in detail mode. Includes information on the beginning balance, details of current customer billing activity, and ending balance for the billing cycle.

Print Bills Receivable Template

Layout for printing bills receivable. Includes information about the customer drawee, drawee contact, creation date, transactions assigned to the bill, and total bill amount.

Accounting Reports

Use these reports to review and analyze Receivables accounting information.

Display Name Description

Bad Debt Provision Report

Provides information for reviewing bad debt exposure and provisioning based on percent collectible assigned to the customer. Includes transaction number, balance due amount, and bad debt provision amount in the ledger currency.

Invoices Posted to Suspense Report

Provides a list of all transactions that have revenue amounts posted to suspense accounts as a result of running the Import AutoInvoice process. Includes information on transaction class, customer, transaction date, and transaction amount by business unit.

Potential Reconciling Items Report

Provides a list of journal items that may potentially post to incorrect general ledger accounts. Includes customer account number, payment number, transaction number, and credit and debit amounts by reporting level, reporting context, accounting date, and balancing segment.

Billing Reports

Use these reports to review and analyze Receivables billing and related transaction information.

Display Name Description

Billing History Report

Provides a summarized history of transactions and activities against them by customer site for a specified date range. Includes information on original transaction amount, current balance due, sum of all payments applied to the transaction, total credit memo amounts against the transaction, and total adjustment amounts to the transaction.

Import AutoInvoice Execution Report

Report for the process that imports transactions from other source systems into Receivables. Includes information about both successful and rejected transactions by transaction type, customer, transaction number, and transaction date.

Print Adjustments Report

Prints information about adjustments associated with specified transactions and customers by business unit, adjustment number, and transaction number.

Transaction Details Report

Lists invoices, credit memos, debit memos, and chargebacks for review. Includes information about transaction header, transaction lines, sales credits, revenue accounts, account sets, and transaction flexfields by business unit, transaction number, and transaction type.

Receivables Balances Reports

Use these reports to review and analyze payment information and customer balances.

Display Name Description

Automatic Receipt Creation and Remittance Execution Report

Report for the process that creates automatic receipts and receipt remittances in a batch. Includes information about automatically generated receipts, remitted receipts, and data validation errors by batch.

Bank Risk Report

Provides information about receipts that are currently at risk with the remittance bank. Includes information about the remittance batch, receipt, and receipt amount by business unit, remittance bank branch, and remittance bank account.

Clear Receipts Automatically Execution Report

Report for the process that clears receipts automatically. Includes information about the clearing of customer receipts by remittance bank account, receipt number, and customer.

Create Automatic Receipt Write-offs Execution Report

Report for the process that writes off unapplied amounts on selected receipts. Includes information about the receipt write-offs by currency, customer, receipt number, amount, and date.

Create Customer Statements Execution Report

Report for the process that generates customer statements. Prints customer billing information in a format presentable to the customer. Includes information on invoices, debit memos, chargebacks, payments, on-account credits, credit memos, adjustments, and past due information.

Customer Account Status Report

Provides a list of customer open items and the total balance due based on customer account status for the specified ledger currency.

Customer Balances Revaluation Report

Displays information related to the difference between the original customer balance and the revaluated balance for manually adjusting the general ledger. Includes the customer balance and the open items that make up that balance by business unit, revaluation period, and customer.

Document Number Audit Report

Provides a list of document numbers assigned to transactions, adjustments, and receipts to help identify missing document numbers for a business unit, document sequence name, and document number range. Includes information about the status, customer, currency, and amount of the transactions, adjustments, and receipts.

Format Automatic Receipts Report

Prints automatic receipts in a specified receipt batch so that they can be sent to customers for confirmation. Includes receipt number, receipt date, currency, and the transactions applied to each receipt.

Generate Late Charges Report

Prints information on late charges for transactions that are overdue or have late payments by batch name. Includes transaction number, due date, and overdue amount of transactions.

Process Receipts Through Lockbox Execution Report

Report for the process that creates receipts for payments made through lockbox. Includes information on lockbox receipts and data validation errors for each transmission from the bank.

Receipts Days Late Analysis Report

Provides the cost of late customer payments by calculating weighted average days late for each customer. Includes information about the transaction number, transaction type, due date, receipt number, receipt days late, and receipt weighted days late by business unit, customer, transaction number, and collector.

Receipts Awaiting Bank Clearance Report

Provides a list of receipts waiting to be cleared by the remittance bank. Includes information about the remittance bank account name, remittance batch date, maturity date, receipt number and receipt amount by business unit, maturity date, and currency.

Receipts Awaiting Remittance Report

Provides a list of receipts waiting to be remitted to the bank. Includes information about the remittance bank account name, maturity date, receipt number, and receipt amount by business unit, remittance bank account, maturity date, and currency.

Receivables Aging by General Ledger Account Report

Provides information about outstanding receivables balances by general ledger account as of a specific date. Includes information about customer, transaction number, due date, and outstanding amount by balancing segment, transaction as-of date, aging buckets, currency, and customer.

Receivables Open Items Revaluation Report

Displays the amount needed to manually adjust general ledger account balances to reflect the difference between the original and revalued customer open items. Includes information about transaction number, due date, currency, open original amount, conversion rate, open ledger currency amount, revaluation rate, and revaluation open amount by business unit, revaluation period, conversion rate type and balancing segment.

Receivables Projected Gains and Losses Report

Compares the revalued amount of foreign currency transactions with the entered amount and prints the projected unrealized gain or loss. Includes information about the currency, entered amount, ledger currency amount, revaluation rate, and the revaluation gain and loss by business unit, ledger currency, customer, and transaction number.

Recognize Revenue Execution Report

Report for the process that recognizes revenue and creates revenue distributions for transactions that use invoicing and revenue scheduling rules. Includes information about revenue accounting distributions and unprocessed or partially processed transactions for customer billing.

Reversal Status Report

Provides information about the status of automatic receipt reversals processed for a settlement batch. Includes the receipt date, receipt number, receipt amount, reversal reason code, and a description of automatic receipt reversals that were unsuccessful.

Bills Receivable Reports

Use these reports to review and analyze bills receivable activity.

Display Name Description

Automatic Bills Receivable Remittance Execution Report

Report for the process that creates a bills receivable remittance from bills receivable. Provides the details of bills receivable remitted to the bank to initiate collection from customers.

Automatic Bills Receivable Transactions Batch Report

Report for the process that creates bills receivable from transactions. Lists the transactions assigned to each bill receivable.

Close Matured Bills Receivable Execution Report

Report for the process that creates and applies receipts for standard remitted bills receivable, and applies receipts and eliminates risk on bills receivable factored with recourse. Lists the changes to each bill receivable and shows all receipts that were cleared by the process run.

Print Bills Receivable Report

Prints bills receivable either individually, belonging to a bills receivable batch, or belonging to a bills receivable remittance batch.

Netting Settlement Reports

Use these reports to review and analyze Payables and Receivables netting settlements.

Display Name Description

Netting Settlement Letter

Prints a letter that provides details of Payables and Receivables transactions in a netting settlement.

Netting Reversal Letter

Prints a letter that provides details of Payables and Receivables reversed transactions in a netting settlement.

Netting Settlement Report

Lists the Payables and Receivables transactions belonging to a specific netting settlement in PDF format.

Netting Settlement Listing

Lists the Payables and Receivables transactions belonging to a specific netting settlement in spreadsheet format.

Reconciliation Process and Report

Use this process and report to help you reconcile receivables data to the general ledger.

Display Name Description

Prepare Receivables to General Ledger Reconciliation

Extracts and prepares transaction and accounting information for reconciling Receivables to the General Ledger. You must run this process before you can use the Receivables to General Ledger Reconciliation Report.

Receivables to General Ledger Reconciliation Report

Provides both summary and detailed reconciliation of receivables data to the general ledger. The summary report displays receivables and accounting beginning and ending balances, as well as summarized activity for the period and how this activity was accounted. The detail reports display the real-time details that make up balances from the summary report, and indicate potential causes for differences between actual and reconciling amounts.

Receivables Subject Areas, Folders, and Attributes

Use the subject areas, folders, and attributes to create real-time analyses of Receivables.

Subject Areas

To create an analysis, you begin by selecting a subject area and then selecting columns of information to include in the analysis. For example, to create an analysis of transaction information, you begin by selecting the Receivables - Transactions Real Time subject area. Subject areas are based around a business object or fact. In this example, the subject area is based on the column in the transactions tables.

Receivables has fourteen specific subject areas:

  • Receivables - Adjustments Real Time

  • Receivables - Credit Memo Applications Real Time

  • Receivables - Credit Memo Requests Real Time

  • Receivables - Miscellaneous Receipts Real Time

  • Receivables - Payment Schedules Real Time

  • Receivables - Receipt Conversion Rate Adjustments Real Time

  • Receivables - Receipts Details Real Time

  • Receivables - Revenue Adjustments Real Time

  • Receivables - Standard Receipts Application Details Real Time

  • Receivables - Transactions Real Time

  • Receivables - Bills Receivable Real Time

  • Receivables - Customer Real Time

  • Receivables - Customer Tax Profile Real Time

  • Receivables - Customer Account Site Tax Profile Real Time

Folders

Each subject area has one or more fact folders and a number of dimension folders. Fact folders contain attributes that can be measured, meaning that they are numeric values like transaction line amounts. Fact folders are usually last in the list of folders and are usually named after the subject area. Dimension folders contain attribute and hierarchical columns like customer information.

Some folders appear in more than one subject area, such as Time. These are referred to as common folders or common dimensions.

Each folder within a subject area may have a different level of granularity. For example:

  • Bill-to Customer has customer attributes.

  • Transaction Line Details has subfolders and attributes within the subfolders for the various line amounts.

Attributes

Each dimension folder contains attributes (columns), such as customer category and customer codes.

These two figures illustrate the structure of subject areas, folders, and attributes.

This graphic shows the hierarchy of the Receivables
- Transactions Real Time subject area, with one first level folder
open to reveal two second level folders, and one of the second level
folders open to reveal the third levelThis graphic shows a detail of some of the second
and third levels of the Receivables - Transactions Real Time subject
area

These two figures illustrate the following components:

  • Subject area: Receivables - Transactions Real Time

  • Dimension - Presentation Folder: Bill-to Customer > Bill-to Customer Classification

  • Dimension - Attributes: Bill-to Customer Class Category and Bill-to Customer Class Code

  • Fact - Presentation Folder: Line Amounts

  • Fact - Measures: Deferred Line values, Line Amount, Transaction Line values

How Transaction Activities are Stored

This topic describes how Receivables stores transaction activities.

These transaction activities are:

  • Invoices and Debit Memos

  • Credit Memos

  • On-Account Credit Memos

  • Chargebacks

  • Adjustments

Invoices and Debit Memos

When you create an invoice or debit memo either manually or using AutoInvoice, Receivables creates records in the following tables:

  • RA_CUSTOMER_TRX

  • RA_CUSTOMER_TRX_LINES

  • RA_CUST_TRX_LINE_SALESREPS

  • RA_CUST_TRX_LINE_GL_DIST

  • AR_PAYMENT_SCHEDULES

Consider this sample invoice:

  • Invoice Number: I-101

  • Bill-to Customer: ABC Inc

  • Invoice Date: 22-May-11

  • Invoice Lines: 5

    Item Amount Tax Total Amount

    10 chairs @ $200

    $2,000

    $160

    $2,160

    10 tables @ $300

    $3,000

    $240

    $3,240

    Freight

    $1000

    NA

    $1000

    TOTAL

    NA

    NA

    $6400

The RA_CUSTOMER_TRX table stores information from Invoice I-101 as follows:

CUSTOMER_TRX_ID TRX_NUMBER BILL_TO_CUSTOMER_ID TRX_DATE

101467

I-101

ABC Inc

22-May-11

The RA_CUSTOMER_TRX_LINES table stores information from Invoice I-101 as follows:

CUSTOMER_TRX_LINE_ID CUSTOMER_TRX_ID LINK_TO_CUST_TRX_LINE _ID LINE_TYPE EXTENDED_AMOUNT

100

101467

NA

LINE

2000

101

101467

100

TAX

160

102

101467

NA

LINE

3000

103

101467

102

TAX

240

104

101467

NA

FREIGHT

1000

Note: Because the sample invoice had freight at the header level, it is not linked to any line and therefore the link_to_cust_trx_line_id column is null.

The RA_CUST_TRX_LINE_SALESREPS table reflects the sales credits allotted to salespersons 1492, 1525, and 1624. The revenue and non-revenue amounts associated with the first line item of the invoice are split between salesperson 1492 and salesperson 1525. Salesperson 1624 gets the complete sales credit for the second line item of the invoice, while all three share the credit for the header level freight.

The RA_CUST_TRX_LINE_SALESREPS table stores information from Invoice I-101 as follows:

CUST_TRX_LINE_SALESREP_ID SALES_REP_ID CUSTOMER_TRX_LINE_ID REVENUE_AMOUNT_SPLIT NON_REVENUE_AMOUNT_SPLIT PREV_CUST_TRX_LINE _SALESREP_ID

140195

1492

100

1000

0

NULL

140196

1525

100

1000

0

NULL

140197

1492

101

0

80

NULL

140198

1525

101

0

80

NULL

140199

1624

102

3000

0

NULL

140200

1624

103

0

240

NULL

140201

1492

104

0

200

NULL

140202

1525

104

0

200

NULL

140203

1624

104

0

600

NULL

The RA_CUST_TRX_LINE_GL_DIST table stores information from Invoice I-101 as follows:

CUST_TRX_LINE_GL_DIST_ID CODE_COMBINATION_ID CUSTOMER_TRX_LINE_ID ACCOUNT_CLASS AMOUNT

10866

01-1200-1000-3000

NA

REC

64000

10867

01-8100-1000-3000

100

REV

2000

10868

01-4100-1000-3000

101

TAX

160

10869

01-8200-1000-3000

102

REV

3000

10870

01-4200-1000-3000

103

TAX

240

10871

01-4400-1000-3000

104

FREIGHT

1000

Note: If you enter an invoice with rules, the account distributions are not built when the invoice is first created. Instead the RA_CUST_TRX_LINE_GL_DIST table stores an account set, which represents how the actual distribution rows should be created and what percentage of the actual distribution should be allocated to each account. Account sets can be identified by a Y in the account_set_flag column. The actual distribution records are built when you run revenue recognition.

The AR_PAYMENT_SCHEDULES table reflects the current status of Invoice I-101. The invoice has a status of OP (open) and an amount_applied of NULL, because no payment has been applied against it. Once payment is received in full, the status will change to CL (closed), the amount_applied will change to 6400, and the amount_due_remaining will be zero.

The AR_PAYMENT_SCHEDULES table stores information from Invoice I-101 as follows:

PAYMENT_SCHEDULE_ID AMOUNT_DUE_ORIGINAL AMOUNT_DUE _REMAINING CUSTOMER_TRX_ID CASH_RECEIPT_ID TRX_NUMBER STATUS AMOUNT _APPLIED CLASS

30191

6400

6400

101467

NULL

I-101

OP

NULL

INV

Note: Receivables handles debit memos the same as invoices in all tables, except that in the AR_PAYMENT_SCHEDULES table it sets the class of the payment schedule to DM instead of INV.

Credit Memos

When you enter a credit memo against an invoice, Receivables creates records in the following tables:

  • RA_CUSTOMER_TRX

  • RA_CUSTOMER_TRX_LINES

  • RA_CUST_TRX_LINE_SALESREPS

  • RA_CUST_TRX_LINE_GL_DIST

  • AR_PAYMENT_SCHEDULES

  • AR_RECEIVABLE_APPLICATIONS

Consider a sample credit memo against line number 1 of Invoice I-101:

  • Credit Memo Number: CM-101

  • Bill-to Customer: ABC Inc

  • Credit Memo Date: 01-Jun-11

  • Credit Memo Amount: -1000

The RA_CUSTOMER_TRX table stores Credit Memo CM-101 as follows:

CUSTOMER_TRX_ID TRX_NUMBER BILL_TO_CUSTOMER_ID TRX_DATE PREVIOUS_CUSTOMER _TRX_ID

123456

CM-101

ABC Inc

01-Jun-11

101467

Note: The previous_customer_trx_id column references the original transaction you have credited.

The RA_CUSTOMER_TRX_LINES table stores Credit Memo CM-101 as follows:

CUSTOMER_TRX_LINE_ID CUSTOMER_TRX_ID LINK_TO_CUST_TRX_LINE_ID LINE_TYPE EXTENDED_AMOUNT PREVIOUS_CUSTOMER_TRX_ID PREVIOUS_CUSTOMER_TRX_LINE_ID

150

123456

NA

LINE

-926

101467

110100

151

123456

150

TAX

-74

101467

NA

Note: Based on the sample credit memo, Receivables inserts two records into the RA_CUSTOMER_TRX_LINES table. The total value of the credit memo is prorated between the invoice and tax lines associated with line 1 of the original invoice. The previous_customer_trx_line_id column references the customer_trx_line_id column of the original invoice you have credited.

The RA_CUST_TRX_LINE_SALESREPS table stores Credit Memo CM-101 as follows:

CUST_TRX_LINE_SALESREP_ID SALES_REP_ID CUSTOMER_TRX_LINE_ID REVENUE_AMOUNT_SPLIT NON_REVENUE_AMOUNT_SPLIT PREV_CUST_TRX_LINE _SALESREP_ID

150205

1492

100

-463

0

140195

150206

1525

100

-463

0

140196

150207

1492

101

0

-37

140197

150208

1525

101

0

-37

140198

Note: Assuming the credit memo is only applied to the first line of the invoice, salesperson 1492 and salesperson 1525 will split the loss of the sales credit. The prev_cust_trx_line_salesrep_id column references the original sales credit from the original invoice.

The RA_CUST_TRX_LINE_GL_DIST table stores Credit Memo CM-101 as follows:

CUST_TRX_LINE_GL_DIST_ID CODE_COMBINATION_ID CUSTOMER_TRX_LINE_ID ACCOUNT_CLASS AMOUNT

150160

01-1200-1000-3000

NA

REC

-1000

150161

01-8100-1000-3000

150

REV

-926

150162

01-4100-1000-3000

151

TAX

-74

Note: Because this is a credit memo, the revenue and tax accounts will be debited and the receivable account will be credited.

The AR_PAYMENT_SCHEDULES table stores Credit Memo CM-101 as follows:

PAYMENT_SCHEDULE_ID AMOUNT_DUE_ORIGINAL AMOUNT_DUE_REMAINING CUSTOMER_TRX_ID TRX_NUMBER STATUS AMOUNT_APPLIED CLASS AMOUNT_CREDITED

400100

-1000

0

123456

CM-101

CL

-1000

CM

NULL

Note: The class column of the credit memo payment schedule is CM. The example credit memo has a status of CL (closed) and the amount_applied column equals the amount of the credit memo, because the credit memo has been applied to an invoice. The amount_due_original column equals the amount of the credit memo, -1000. The amount_due_remaining is zero because the credit memo has been applied to an invoice.

After applying the credit memo, the AR_PAYMENT_SCHEDULES table stores Invoice I-101 as follows:

PAYMENT_SCHEDULE_ID AMOUNT_DUE_ORIGINAL AMOUNT_DUE_REMAINING CUSTOMER_TRX_ID TRX_NUMBER STATUS AMOUNT_APPLIED CLASS AMOUNT_CREDITED

30191

6400

5400

101467

I-101

OP

NULL

INV

-1000

Note: Receivables updates the payment schedule of the invoice to reflect the application of the credit memo. The amount_due_remaining column is reduced by -1000 and the amount_credited column is -1000, the amount of the credit memo.

The AR_RECEIVABLE_APPLICATIONS table stores Credit Memo CM-101 as follows:

RECEIVABLE_APPLICATION_ID AMOUNT_APPLIED STATUS PAYMENT_SCHEDULE_ID CUSTOMER_TRX_ID CASH_RECEIPT_ID APPLIED_PAYMENT_SCHEDULE_ID APPLIED_CUSTOMER_TRX_ID

400

1000

APP

400100

123456

NULL

30191

101467

Receivables uses the AR_RECEIVABLE_APPLICATIONS table to store the mapping of the credit memo to the invoice being credited. The payment_schedule_id and customer_trx_id columns contain the credit memo data, while the applied_payment_schedule_id and applied_customer_trx_id reference the original invoice. If the credit memo applies to an invoice with multiple payment schedules, a record is inserted into AR_RECEIVABLE_APPLICATIONS for each payment schedule of the invoice. The code_combination_id column, which is not shown, stores the receivable account of the invoice. However, when the transaction is posted to the general ledger it posts as two distributions. One entry is posted to the receivable account of the credit memo, as it is stored in the RA_CUST_TRX_LINE_GL_DIST table, and the other entry is posted to the receivable account of the invoice, as it is stored in the RA_CUST_TRX_LINE_GL_DIST table.

For a standard credit memo, the receivable account of the credit memo is debited, while the receivable account of the invoice is credited. Normally, the receivable accounts will be the same, but this process permits the flexibility of using a unique receivable account to record your credit memos.

On-Account Credit Memos

When you enter an on-account credit without a specific invoice reference, Receivables creates records in the following tables:

  • RA_CUSTOMER_TRX

  • RA_CUSTOMER_TRX_LINES

  • RA_CUST_TRX_LINE_GL_DIST

Consider a sample on-account credit applied to customer ABC Inc:

  • Transaction Number: OC-101

  • Bill-to Customer: ABC Inc

  • Transaction Date: 05-Jun-11

  • Credit Amount: -1000

The RA_CUSTOMER_TRX table stores On-Account Credit transaction number OC-101 as follows:

CUSTOMER_TRX_ID TRX_NUMBER ABC Inc BILL_TO_CUSTOMER_ID TRX_DATE PREVIOUS_CUSTOMER_TRX_ID

660108

OC-101

NA

05-Jun-11

NULL

Note: The previous_customer_trx_id column is NULL because the credit doesn't apply to a specific invoice.

The RA_CUSTOMER_TRX_LINES table stores On-Account Credit transaction number OC-101 as follows:

CUSTOMER_TRX_LINE_ID CUSTOMER_TRX_ID LINK_TO_CUST_TRX_LINE_ID LINE_TYPE EXTENDED_AMOUNT PREVIOUS_CUSTOMER_TRX_ID PREVIOUS_CUSTOMER_TRX_LINE_ID

170

660108

NA

LINE

-1000

NA

NA

If there had been a sales credit for this invoice, records relating to the revenue credit would be inserted in the RA_CUST_TRX_LINE_SALESREPS table, linked using the column customer_trx_line_id.

For on-account credits, Receivables inserts one record into the RA_CUSTOMER_TRX_LINES table. The total value of the credit is stored in the EXTENDED_AMOUNT column. The previous_customer_trx_line_id and previous_customer_trx_id columns are null because the credit doesn't apply to a specific invoice.

The RA_CUST_TRX_LINE_GL_DIST table stores On-Account Credit transaction number OC-101 as follows:

CUST_TRX_LINE_GL_DIST_ID CODE_COMBINATION_ID CUSTOMER_TRX_LINE_ID ACCOUNT_CLASS AMOUNT

210220

01-1200-1000-3000

NA

REC

-1000

210221

01-8100-1000-3000

170

REV

-1000

Chargebacks

You create chargebacks to decrease the balance of an invoice and to create another debit item for the same amount. Receivables handles chargebacks the same as invoices, but also creates an adjustment to decrease the balance of the invoice.

Receivables uses the following tables to store chargeback information:

  • RA_CUSTOMER_TRX

  • RA_CUSTOMER_TRX_LINES

  • RA_CUST_TRX_LINE_GL_DIST

  • AR_ADJUSTMENTS

  • AR_PAYMENT_SCHEDULES

Consider again sample invoice I-101:

  • Invoice Number: I-101

  • Bill-to Customer: ABC Inc

  • Invoice Date: 22-May-11

  • Invoice Total: $6400

You receive a payment for $2000 on June 1, 2011, and decide to create chargeback CB-101 for the balance due of $4400.

The RA_CUSTOMER_TRX table stores CB-101 as follows:

CUSTOMER_TRX_ID TRX_NUMBER BILL_TO_CUSTOMER_ID TRX_DATE

765432

CB-101

ABC Inc

01-Jun-11

The RA_CUSTOMER_TRX_LINES table stores CB-101 as follows:

CUSTOMER_TRX_LINE_ID CUSTOMER_TRX_ID LINK_TO_CUST_TRX_LINE_ID LINE_TYPE EXTENDED_AMOUNT

711

765432

NA

CB

4400

Receivables creates one record in RA_CUSTOMER_TRX_LINES for the chargeback with a line_type of CB and the EXTENDED_AMOUNT equal to the balance of the invoice.

Note: There is no impact to the RA_CUST_TRX_LINE_SALESREPS table.

The RA_CUST_TRX_LINE_GL_DIST table stores CB-101 as follows:

CUST_TRX_LINE_GL_DIST_ID CODE_COMBINATION_ID CUSTOMER_TRX_LINE_ID ACCOUNT_CLASS AMOUNT

660116

01-1200-1000-3000

NULL

REC

4400

660117

01-8100-1000-3000

711

REV

4400

Receivables inserts two records into the RA_CUST_TRX_LINE_GL_DIST table. The code_combination_id of the REC record stores the receivable account distribution for the chargeback. The code_combination_id of the REV record stores the revenue account distribution for the chargeback.

The AR_ADJUSTMENTS table stores CB-101 as follows:

ADJUSTMENT_ID AMOUNT CUSTOMER_TRX_ID TYPE PAYMENT_SCHEDULE_ID CODE_COMBINATION_ID

57931

-4400

101467

INVOICE

30191

01-8100-1000-3000

When the chargeback is created, Receivables inserts a record into the AR_ADJUSTMENTS table to record an adjustment against the invoice. The amount column equals the inverse of the amount_due_remaining column on the invoice payment schedule in the AR_PAYMENT_SCHEDULES table. The customer_trx_id and the payment_schedule_id columns reference the original invoice.

For chargebacks, the type column is always INVOICE. The code_combination_id column stores the revenue account of the chargeback. This transaction will offset the REV distribution from the RA_CUST_TRX_LINE_GL_DIST table. To link this adjustment with the chargeback, the chargeback_customer_trx_id column, which is not shown, stores the customer_trx_id of the chargeback.

The AR_PAYMENT_SCHEDULES table stores CB-101 as follows:

PAYMENT_SCHEDULE_ID AMOUNT_DUE_ORIGINAL AMOUNT_DUE_REMAINING CUSTOMER_TRX_ID TRX_NUMBER STATUS AMOUNT_APPLIED CLASS AMOUNT_ADJUSTED

565785

4400

4400

765432

CB-101

OP

NULL

CB

NULL

The class column identifies this payment schedule as a chargeback. The example chargeback has a status of OP (open) and an amount_applied of NULL, because no payment has been applied against it. The amount_due_original and amount_due_remaining columns equal the amount of the chargeback.

After creating the chargeback , the AR_PAYMENT_SCHEDULES table stores Invoice I-101 as follows:

PAYMENT_SCHEDULE_ID AMOUNT_DUE_ORIGINAL AMOUNT_DUE_REMAINING CUSTOMER_TRX_ID TRX_NUMBER STATUS AMOUNT_APPLIED CLASS AMOUNT_ADJUSTED

30191

6400

0

101467

I-101

CL

2000

INV

-4400

Receivables updates the invoice payment schedule in the AR_PAYMENT_SCHEDULES table by reducing the amount_due_remaining column to zero, to reflect the application of the chargeback to the invoice. The amount_adjusted column equals the amount of the chargeback and the status column is changed to closed (CL).

Adjustments

You can create adjustments to increase or decrease invoice balances. You can make adjustments to invoices, lines, tax, or freight. Receivables uses the following tables to store adjustment information:

  • AR_ADJUSTMENTS

  • AR_PAYMENT_SCHEDULES

Consider an adjustment to invoice I-101 to write off the remaining balance of $2400.

The AR_ADJUSTMENTS table stores the adjustment to I-101 as follows:

ADJUSTMENT_ID AMOUNT CUSTOMER_TRX_ID TYPE PAYMENT_SCHEDULE_ID CODE_COMBINATION_ID

987654

-2400

899143

INVOICE

646566

01-5100-3000-1000

Receivables inserts a record into the AR_ADJUSTMENTS table to record adjustment details, such as the amount, the type of adjustment, the customer_trx_id, and the payment_schedule_id of the invoice to adjust. The amount column equals the amount of the adjustment. The code_combination_id column stores the general ledger distribution for the adjustment transaction.

The AR_PAYMENT_SCHEDULES table stores the adjustment to I-101 as follows:

PAYMENT_SCHEDULE_ID AMOUNT_DUE_ORIGINAL AMOUNT_DUE_REMAINING CUSTOMER_TRX_ID TRX_NUMBER STATUS AMOUNT_APPLIED CLASS AMOUNT_ADJUSTED

646566

6400

0

899143

I-101

CL

4000

INV

-2400

Receivables updates the payment schedule record of the invoice in AR_PAYMENT_SCHEDULES, by adjusting the amount_due_remaining to zero, changing the status to CL, and changing the amount_adjusted to -2400.

How Payment Activities are Stored

This topic describes how Receivables stores payment activities.

These payment activities are:

  • Unapplied Receipts

  • Applied Receipts

  • Reverse Receipts

  • Miscellaneous Receipts

Unapplied Receipts

When you create a receipt, Receivables creates records in the following tables:

  • AR_CASH_RECEIPTS

  • AR_CASH_RECEIPT_HISTORY

  • AR_PAYMENT_SCHEDULES

  • AR_RECEIVABLE_APPLICATIONS

Consider this sample receipt:

  • Receipt Number: R-101

  • Received From: ABC Inc

  • Receipt Date: 05-Jul-11

  • Receipt Amount: 4000

The AR_CASH_RECEIPTS table stores information from Receipt R-101 as follows:

credit_receipt_id amount status receipt_number type

338700

4000

UNAPP

R-101

CASH

The AR_CASH_RECEIPT_HISTORY table stores information from Receipt R-101 as follows:

cash_receipt_history_id amount status

457890

4000

CLEARED

The AR_PAYMENT_SCHEDULES table stores information from Receipt R-101 as follows:

payment_schedule_id amount_due_original amount_due_remaining cash_receipt_id customer_ trx_id trx_number status amount_applied class

510555

-4000

-4000

338700

NULL

R-101

OP

0

PMT

The example receipt has a status of OP (open) and an amount_applied of NULL because the receipt hasn't been applied to a customer balance. The amount_due_original column equals the sum of the amount column in the AR_CASH_RECEIPTS table for the given cash_receipts_id. The class is PMT because this is a receipt related to a receivable activity. The amount_due_original and amount_due_remaining columns equal the inverse amount of the receipt.

The AR_RECEIVABLE_APPLICATIONS table stores information from Receipt R-101 as follows:

payment_schedule_id amount_applied status payment_schedule_id code_combination_id cash_receipt_id applied_payment_schedule_id applied_customer_trx_id

408289

4000

UNAPP

400100

01-1100-1000

338700

NULL

NULL

The applied_payment_schedule_id and applied_customer_trx_id columns are NULL because the receipt hasn't been applied to a specific transaction. The amount_applied column equals the amount of the receipt. The code_combination_id column stores the general ledger account associated with unapplied cash receipts.

Applied Receipts: Same Currency

When you apply a receipt, Receivables creates records in the following tables:

  • AR_CASH_RECEIPTS: Stores one record for each receipt.

  • AR_PAYMENT_SCHEDULES: Stores customer balance information at the transaction level.

  • AR_RECEIVABLE_APPLICATIONS: Stores accounting entries for cash and credit memo applications.

Consider sample receipt R-101, which is now applied to customer invoice I-101 for 6400 USD:

  • Receipt Number: R-101

  • Received From: ABC Inc

  • Receipt Date: 05-Jul-11

  • Receipt Amount: 4000

The AR_CASH_RECEIPTS table stores information from Receipt R-101 as follows:

credit_receipt_id receipt_number amount status type currency rate

1521

R-101

4000

UNAPP

CASH

USD

NULL

After you apply the receipt, Receivables updates the status column from UNAPP to APP. If the receipt were only partially applied, the status would remain UNAPP.

The AR_PAYMENT_SCHEDULES table stores information from Receipt R-101 as follows:

payment_schedule_id amount_due_original amount_due_remaining cash_receipt_id customer_ trx_id trx_number status amount_applied class currency

2211

6400

2400

NULL

1422

I-101

OP

4000

INV

USD

2225

-4000

0

1521

NA

R-101

CL

-4000

PMT

USD

The payment schedule of invoice I-101 has a class of INV, while the payment schedule of receipt R-101 has a class of PMT. The payment schedule record of the receipt is updated to reduce the amount_due_remaining column by the amount applied. Since the entire amount is applied, the amount_due_remaining is zero. The status of the receipt is changed to CL, and the amount_applied is -4000.

Note: If the cash receipt is not confirmed in the AR_CASH_RECEIPT_HISTORY table, the applications of that receipt are not reflected in the payment schedule of the transaction the receipt is applied against.

Receivables updates the payment schedule record of the invoice to reduce the amount_due_remaining by the amount of the applied receipt. The status is still OP because the entire balance hasn't been paid. Receivables updates the amount_applied to reflect the amount applied to the invoice.

The AR_RECEIVABLE_APPLICATIONS table stores information from Receipt R-101 as follows:

receivable_application_id status trx_number amount_applied code_combination_id

3132

UNAPP

NULL

4000

01-1100-1000

3134

UNAPP

NULL

- 4000

01-1200-1100

3135

APP

I-101

4000

01-1200-1100

Receivables inserts three records into the AR_RECEIVABLE_APPLICATIONS table. The first record, with a status of UNAPP, records the original unapplied receipt. The second record, with a status of UNAPP, offsets the original unapplied receipt. The third record, with a status of APP, stores the applied receipt information, including a reference to the applied invoice, from the trx_number column.

The code_combination_id column stores the general ledger account for this receipt, based on the status of the receipt. For the UNAPP record, the code_combination_id represents the general ledger account associated with unapplied receipts. For the APP record, the code_combination_id is the receivable account associated with the invoice transaction to which this receipt is applied.

Applied Receipts: Cross Currency

Consider the sample receipt R-102, which, according to the customer remittance advice, is to fully pay invoice I-102, using a cross currency rate of 1 CAD = 0.729355 EUR.

Receipt Number: R-102:

  • Received From: ABC Inc.

  • Transaction Date: 5-JUL-11

  • Receipt Amount: 100 EUR

  • Conversion Rate: 1 EUR = .860956 USD

Invoice Number: I-102:

  • Transaction Date: 05-JUN-11

  • Invoice Amount: 52.50

  • Conversion Rate: 1 CAD = .666667 USD

The AR_CASH_RECEIPTS table stores information from Receipt R-102 as follows:

credit_receipt_id receipt_number amount status type currency rate

1521

R-102

100

APP

CASH

EUR

.865956

When you apply the entire receipt, Receivables updates the status column from UNAPP to APP. If the receipt were only partially applied, the status would remain UNAPP.

The AR_PAYMENT_SCHEDULES table stores information from Receipt R-102 as follows:

payment_schedule_id amount_due_original amount_due_remaining cash_receipt_id customer_ trx_id trx_number status amount_applied class currency

2212

52.5

0

NA

1423

I-102

CL

52.5

INV

CAD

2224

-100

0

1520

NA

R-102

CL

-100

PMT

EUR

The payment schedule of the invoice has a class of INV, while the payment schedule of the receipt has a class of PMT. The payment schedule record of the receipt is updated to reduce the amount_due_remaining column by the amount applied. Since the entire amount is applied, the amount_due_remaining is zero. The status of the receipt is changed to CL, and the amount_applied is -100.

The AR_RECEIVABLE_APPLICATIONS table stores information from Receipt R-102 as follows:

receivable_application_id status trx_number amount_applied amount_applied_from trx_to_rcpt_rate acct_amt_applied_to acct_amt_applied_from code_combination_id

3142

UNAPP

NULL

100

NA

NA

NA

33.33

01-1100-1000

3134

UNAPP

NULL

-100

-100

NA

-33.33

-33.33

01-1200-1100

3135

APP

I-102

52.5

100

1.9048

35

33.33

01-1200-1000

Receivables inserts three records into the AR_RECEIVABLE_APPLICATIONS table. The first record, with a status of UNAPP, records the original unapplied receipt. The second record, with a status of UNAPP, offsets the original unapplied receipt. The third record, with a status of APP, stores the applied receipt information, including a reference to the applied invoice, from the trx_number column.

The code_combination_id column stores the general ledger account for this receipt, based on the status of the receipt. For the UNAPP record, the code_combination_id represents the general ledger account associated with unapplied receipts. For the APP record, the code_combination_id is the receivable account associated with the invoice transaction to which this receipt is applied.

Reverse Receipts

When you reverse a receipt, Receivables creates records in the following tables:

  • AR_CASH_RECEIPTS

  • AR_CASH_RECEIPT_HISTORY

  • AR_PAYMENT_SCHEDULES

  • AR_RECEIVABLE_APPLICATIONS

If receipt R-101 were not an actual receipt, we could enter a reverse receipt transaction to cancel the receipt.

The AR_CASH_RECEIPTS table stores information for the reversed receipt as follows:

credit_receipt_id amount status receipt_number type

338700

4000

REV

R-101

CASH

Receivables updates the status column of the original receipt from applied (APP) to reversed (REV).

The AR_CASH_RECEIPTS_HISTORY table stores information for the reversed receipt as follows:

cash_receipt_history_id amount status

545352

4000

REVERSED

A new record, which is not postable, is inserted into the AR_CASH_RECEIPT_HISTORY table to record the reversed receipt. Additionally, the current_record_flag of the original cash receipt record is updated to null, while the reverse_gl_date column of the original receipt record is populated.

The AR_PAYMENT_SCHEDULES table stores information for the reversed receipt as follows:

payment_s chedule_id amount_due_original amount_due_remaining cash_receipt_id customer_trx_id trx_number status amount_applied class

510555

-4000

0

338700

NULL

R-101

CL

0

PMT

30191

6400

6400

NULL

101467

I-101

OP

0

INV

The payment schedule of the invoice has a class of INV, while the payment schedule of the receipt has a class of PMT. Because the receipt was reversed, the amount_due_remaining and amount_applied columns are zero and the status column is closed (CL).

Receivables updates the payment schedule record of the invoice to increase the amount_due_remaining by the amount of the reversed receipt. The status is still OP because the entire balance is not paid. The amount_applied column is zero because no transactions have been applied to the invoice.

The AR_RECEIVABLE_APPLICATIONS table stores information for the reversed receipt as follows:

receivable_application_id amount_applied status payment_schedule_id code_combination_id cash_receipt_id applied_payment_schedule_id applied_customer_trx_id

408292

-4000

APP

400100

01-1200-1100

338700

30191

101467

408293

4000

UNAPP

400100

01-1100-1000

338700

NULL

NULL

408294

-4000

UNAPP

400100

01-1100-1000

338700

NULL

NULL

Receivables inserts three records into the AR_RECEIVABLE_APPLICATIONS table. The first record, with a status of APP, offsets the original application of the receipt, including a reference to the applied invoice, from the applied_payment_schedule_id and applied_customer_trx_id columns.

The second and third records, with a status of UNAPP, offset the original unapplied transactions. The code_combination_id for the APP record is the receivable account associated with the invoice to which this receipt was originally applied. The code_combination_id for the two UNAPP records is the general ledger account associated with unapplied receipts.

Miscellaneous Receipts

When you create a miscellaneous receipt, Receivables creates records in the following tables:

  • AR_CASH_RECEIPTS

  • AR_CASH_RECEIPT_HISTORY

  • AR_MISC_CASH_DISTRIBUTIONS

Consider this sample miscellaneous receipt:

  • Receipt Number: R-102

  • Received From: Stock Broker

  • Receipt Date: 07-Jul-11

  • Receipt Amount: 500

The AR_CASH_RECEIPTS table stores information for the miscellaneous receipt as follows:

credit_receipt_id amount status receipt_number type

345678

500

APP

R-102

MISC

Receivables uses a status of APP for miscellaneous receipts. The type column is MISC for receipts not related to a receivables activity. The amount column stores the net amount of the receipt, while the receipt_number column stores the receipt number.

The AR_CASH_RECEIPTS_HISTORY table stores information for the miscellaneous receipt as follows:

cash_receipt_history_id amount status

467890

500

CLEARED

The only valid status values for a miscellaneous receipt are REMITTED, CLEARED, and REVERSED.

The AR_MISC_CASH_DISTRIBUTIONS table stores information for the miscellaneous receipt as follows:

misc_cash_distribution_id cash_receipt_id code_combination_id amount

101789

345678

01-1190-1000-3000

250

101790

345678

01-1195-1000-3000

250

The code_combination_id stores the general ledger account associated with miscellaneous receipts. Each receipt may have multiple account distributions. The sum of the distributions for a given receipt will equal the amount of the receipt.

Some transactions and transaction updates may not display at any given time on the Review Customer Account Details page. This can be due, for example, to new customer data or to transactions becoming past due.

To ensure the display of accurate information in the Activities section of the Review Customer Account Details page, and to ensure that you can search for new customers and display associated summary information in the Overview section of the Review Customer Account Details page, use the Scheduled Processes work area to schedule regular runs of the related synchronization processes.

These processes are:

  • Refresh Receivables Transactional Events for Summary Tables: This process synchronizes all receivables data. Run this process during implementation, and thereafter when entering transactions for new customers.

  • Process Receivables Transactional Events for Summary Tables: This process synchronizes updated receivables data. Run this process nightly or as needed according to the frequency and volume of transactions.

  • Refresh Receivables Past Due Transactions for Summary Tables: This process synchronizes receivables past due transaction data. Run this process nightly or as needed according to the frequency and volume of transactions.

Process Late Charges

When you set up a late charge profile for your customers, you must decide the method to use to calculate late charges.

You select the calculation method in the Late Charge Calculation Method field in the Credit Limits and Late Charges tab of the Customer Profile Class pages, or on the applicable customer or customer site profile.

The interest calculation methods are:

  • Average Daily Balance: Calculate late charges based on the average daily balance of overdue invoices. This method is for balance forward bills only.

  • Late Payments Only: Calculate late charges based on the number of days between the payment due date and the actual payment date. This method uses the paid amount as the overdue invoice amount when calculating the late charge.

  • Overdue Transactions Only: Calculate late charges for transactions based on the number of days a payment is late when you submit the Create Late Charges program.

  • Overdue Transactions and Late Payments: Calculate late charges on both overdue transactions and late payments. This option levies the largest late charge amount on a customer.

    For example, your enterprise calculates late charges on the 15th and 30th of each month. Your customer has an overdue invoice of $100 that falls due on November 16:

    • On November 30, you run the Create Late Charges program. The program calculates late charges for this overdue invoice.

    • On December 10, your customer pays the invoice.

    • On December 15, you run the Create Late Charges program again. The program assesses further charges for the additional 10 days that the payment was overdue.

When you set up a late charge profile for your customers, you must decide the formula to use to calculate late charges.

You select the calculation formula in the Interest Calculation Formula field in the Charge Calculation Setup section in the Credit Limits and Late Charges tab of the Customer Profile Class pages, or on the applicable customer or customer site profile.

The interest calculation formulas are:

  • Flat Rate: Use a flat rate to calculate the late charge amount. Receivables ignores the number of days that a payment is overdue. If you use balance forward billing and the average daily balance calculation method, then this is the calculation formula used. The formula is:

    Amount Overdue * (Interest Rate/100)
  • Simple: Calculate late charges on overdue transactions only. If you use interest tiers and charge schedules to create late charges and penalties, then this is the calculation formula used. The formula is:

    Amount Overdue * (Interest Rate/100) * (Number of Days Late/Number of Days in Period)
  • Compound: Calculate late charges on the sum of overdue transactions and prior late charges. The formula is:

    (Amount Overdue + Prior Late Charges) * (Interest Rate/100) * (Number of Days Late/Number of Days in Period)

Use interest tiers and charge schedules to assess increasingly higher late charges the longer a payment is overdue. You can define interest tiers and charge schedules for late charges and, if applicable, for additional penalty charges.

The interest tier provides period ranges for number of days overdue, and the charge schedule indicates the flat amount or percentage to charge in each overdue period.

Tip: The charge schedule approach provides you with a convenient method to update interest rates or amounts when your late charge policy changes. You can simply apply a new charge schedule to the applicable interest tiers. If you don't use charge schedules, then when your late charge policy changes you must update each of your applicable customer profiles with the new rates.

Settings That Affect Late Charge Calculation Using Interest Tiers

These settings affect late charge calculation using interest tiers:

  • Interest Tiers: Use the Manage Interest Tiers page to define a set of interest tiers based on ranges of late days. Use these settings for each set of interest tiers:

    • Aging Type: Select the value Interest Tier.

    • Sequence Number: Use a numbering scheme to reflect the order in which to consider each period.

    • Detail Type: Select the value Past Due.

    • From Days/To Days: Enter the date range for each period.

  • Charge Schedules: Use the Manage Charge Schedules page to assign late charge rates to the periods of the sets of interest tiers that you have defined. Use these settings for each charge schedule:

    • Charge Method: Select the charge method to use for the interest tier periods:

      • Amount: Apply a flat amount against overdue transactions that fall within the specified period ranges.

      • Percentage: Apply a percentage of the overdue transactions that fall within the specified period ranges.

    • Tier Levels Rate: Assign the rate, either a flat amount or percentage of the outstanding balance, to each period in the interest tier.

  • Profile Class: Specify these values on the related profile class, or customer or customer account profile:

    • Use multiple interest rates option: If you set the Use multiple interest rates option, then if the effective dates for two charge schedules occur within the same charge calculation period, both rates apply to late charge calculations during that period.

      Note: This applies to interest invoices only.
    • Currency Settings: Enter for each currency in which you intend to calculate late charges, the charge schedules to use for late charges and, if applicable, penalty charges:

      • Interest Charge Type field and Penalty Charge Type field: Enter the value Charge Schedule.

      • Interest Charge Schedule field and Penalty Charge Schedule field: Enter the charge schedules that you previously defined to use for late charges and penalty charges.

How Late Charges Using Interest Tiers Are Calculated

The active interest tier and charge schedule values are used to calculate late charges using the Simple calculation formula.

The Simple calculation formula is the amount overdue multiplied by the rate and days overdue in the period:

Amount Overdue * (Interest Rate/100) * (Number of Days Late/Number of Days in Period)

This table provides an example of a charge schedule with four interest tier periods, each with an assigned interest rate.

Days Overdue Tiers Interest Rate

1-30 days

2%

31-45 days

3%

46-60 days

4%

Over 60 days

5%

In this example:

  • An invoice for $1,000 is 45 days overdue.

  • There are 30 days in the billing period.

The late charges are calculated as follows:

$1,000 * (3/100) * (45/30) = $45

After an additional 15 days (60 days overdue), the late charges are calculated as follows:

$1,000 * (4/100) * (60/30) = $80

If you use balance forward billing, use the Average Daily Balance charge calculation method to calculate late charges.

Settings That Affect Late Charge Calculation Using Average Daily Balance

These settings affect late charge calculation using average daily balance:

  • Billing and Revenue Receivables System Options: Set these system options for late charges in the Late Charges section of the Billing and Revenue tab of the Create System Options page:

    • Assess late charges option: Set the Assess late charges option to indicate that your enterprise assesses late charges on overdue transactions. This option is reviewed first, before reviewing the various aspects of your late charge policy defined in system options or customer profiles.

    • Average Daily Balance Calculation Basis field: Select a calculation basis to include or exclude as part of the balance calculation any debit items that were billed after the most recently generated balance forward bill:

      • Include Post-Billing Debit Items: The average daily balance formula includes debit items that were created after the previous balance forward bill cutoff date.

      • Exclude Post-Billing Debit Items: The average daily balance includes only those debit items that were already included on the last balance forward bill.

    • Average Daily Balance Calculation Period field: Select the period that Receivables uses to calculate the average daily balance:

      • Due-Date to Run Date: Receivables computes the sum of the applicable debits and credits for each day that falls between the balance forward bill due date and the Create Balance Forward Bill program submission date. To calculate the average daily balance, Receivables divides the sum by the number of days.

      • Run-Date to Run-Date: Receivables computes the sum of the applicable debits and credits for each day that falls between the last submission date and current submission date of the Create Balance Forward Bill program. To calculate the average daily balance, Receivables divides the sum by the number of days.

  • Customer Profile Class: Set these options for late charges in the Credit Limits and Late Charges tab on the Create Receivables Customer Profile Class page, or on the applicable customer or customer site profile:

    • Enable late charges option: Set the Enable late charges option to enable the assessment of late charges for customers assigned this profile.

    • Late Charge Calculation Method field: Select the calculation method Average Daily Balance.

    • Receipt Grace Days field: Enter the number of receipt grace days after the transaction due date before late charges are calculated.

      Note: After the grace days expire, Receivables calculates the number of days overdue using the original due date.

How Late Charges Using Average Daily Balance Are Calculated

The Average Daily Balance charge calculation method is based on the average daily balance of overdue invoices for balance forward bills. The formula is:

(Daily Balance/Number of Days in Billing Cycle) * (Interest Rate/100)

This table provides an example of an average daily balance calculation. In this example, there are five days in the billing period, and a student enrolls in a class and makes a partial payment two days later.

Date Activity Student Balance

June 1

No activity

$0

June 2

Enroll in class

$1,000

June 3

No activity

$1,000

June 4

$250 payment

$750

June 5

No activity

$750

In this example:

  • The beginning balance for this customer is $0 and there is no account activity on the first, third, and fifth day.

  • When the student enrolls in a class on June 2, there is a single charge of $1,000.

  • The student makes a partial payment of $250 against the enrollment fee on June 4.

  • The last column represents the daily balance. The average daily balance is $700.

If the interest rate is 10%, then the total late charge for this billing period is $70. This is calculated as follows:

($0 + $1,000 + $1,000 + $750 + $750 = $3,500) / 5 days = $700
$700 * 10% interest rate = $70 total late charge

During your late charges setup, you must decide how to record and present late charges to your customers.

You can record and present late charges as one of three documents:

  • Adjustments

  • Debit Memos

  • Interest Invoices

You must complete the entire setup for late charges. In addition, you must complete specific steps for the document that you intend to use.

Note: Because interest invoices and debit memos are considered to be regular transactions, tax may be calculated on these transaction amounts.

Adjustments

If you record late charges as adjustments, then Receivables combines all interest charges relating to an overdue transaction, and creates a single late charge adjustment against that transaction.

Note: You can't record late charges as adjustments for bills receivable transactions. You can only record late charges for bills receivable as debit memos or interest invoices.

If you also assess penalty charges, then Receivables creates two adjustments.

If you select Credit Items in the Charge Reductions field of the applicable customer profile, then credit items belonging to the customer reduce the outstanding overdue amount during late charge calculations.

You must complete these steps to record late charges as adjustments:

  1. Select Adjustment in the Late Charge Type field on the Credit Limits and Late Charges tab of the applicable customer profile.

  2. Define a Late Charges receivables activity and enter an activity GL account.

  3. If you assess penalties in addition to late charges, then define a separate Late Charges receivables activity for Penalties and enter an activity GL account. Receivables creates penalties as a separate adjustment against the overdue transaction.

  4. Assign these activities to Billing and Revenue system options:

    • Select the receivables activity for late charges in the Interest Charge Activity field in the Late Charges section.

    • Select the receivables activity for penalties in the Penalty Charge Activity field in the Late Charges section.

Debit Memos

If you record late charges as debit memos, then Receivables creates one debit memo per overdue transaction.

If you also assess penalty charges, then Receivables includes a separate line for penalty charges on the debit memo.

If you select Credit Items in the Charge Reductions field of the applicable customer profile, then credit items belonging to the customer reduce the outstanding overdue amount during late charge calculations.

You must complete these steps to record late charges as debit memos:

  1. Select Debit Memo in the Late Charge Type field on the Credit Limits and Late Charges tab of the applicable customer profile.

  2. Define a transaction source for late charges with a type of Imported. Receivables creates a debit memo batch using the Invoice API.

  3. Define a transaction type for late charges:

    • Select a class of Debit Memo.

    • Specify the receivable and revenue accounts for this transaction type. Receivables uses these accounts instead of AutoAccounting when generating late charges.

  4. Assign the transaction source and transaction type to Billing and Revenue system options:

    • Select the debit memo transaction type in the Debit Memo Charge Transaction Type field in the Late Charges section.

    • Select the debit memo transaction source in the Late Charge Transaction Source field in the Late Charges section.

  5. Select payment terms for the applicable customer profiles to indicate the debit memo due date.

Interest Invoices

If you record late charges as interest invoices, then Receivables creates a single interest invoice per customer site and currency. The interest invoice consolidates and itemizes charges for a period, and includes details about charges for each overdue transaction.

If you also assess penalty charges, then Receivables includes a separate line for penalty charges on the invoice.

If you select Credit Items in the Charge Reductions field of the applicable customer profile, then Receivables calculates negative charges on existing credit items belonging to the customer, and includes these negative charges as lines on the interest invoice.

You must complete these steps to record late charges as interest invoices:

  1. Select Invoice in the Late Charge Type field on the Credit Limits and Late Charges tab of the applicable customer profile.

  2. Define a transaction source for late charges with a type of Imported. Receivables creates an interest invoice batch using the Invoice API.

  3. Define a transaction type for late charges:

    • Select a class of Invoice.

    • Specify the receivable and revenue accounts for this transaction type. Receivables uses these accounts instead of AutoAccounting when generating late charges.

  4. Assign the transaction source and transaction type to Billing and Revenue system options:

    • Select the interest invoice transaction type in the Interest Invoice Transaction Type field in the Late Charges section.

    • Select the interest invoice transaction source in the Late Charge Transaction Source field in the Late Charges section.

  5. If you use interest tiers and charge schedules to assess increasingly higher late charges the longer a payment is overdue, you can set the Use multiple interest rates option on the related profile class, or on an individual customer or customer account profile.

    If you set this option, then if the effective dates for two charge schedules occur within a charge calculation period, both rates apply to late charge calculations during that period.

  6. Select payment terms for the applicable customer profiles to indicate the interest invoice due date.

You can generate separate late charges as interest invoices for each legal entity associated with an overdue transaction. These separate late charges interest invoices apply to each legal entity associated with the active ledger of the business unit of overdue transactions.

When you set up interest invoice late charges by legal entity, a run of the Create Late Charges process performs these operations:

  • Generates a separate late charge interest invoice for each legal entity associated with the active ledger of the business unit of the overdue transaction.

  • Replaces the balancing segment value of the receivable and revenue account code combinations of the late charge interest invoice, as defined in Receivables system options, with the balancing segment value assigned to the legal entity of the overdue transactions.

Set Up for Interest Invoice Late Charges by Legal Entity

To set up for interest invoice late charges by legal entity, you must:

  • Complete the setups for recording late charges as interest invoices.

  • Create a lookup code to enable the replacement of the legal entity balancing segment value.

To create a lookup code for the replacement of the legal entity balancing segment value:

  1. Navigate to the Manage Receivables Lookups page.

  2. Search for the AR_FEATURES lookup type.

    If the lookup type AR_FEATURES doesn't exist, create this lookup type in the Manage Standard Lookups page.

  3. Select the AR_FEATURES lookup type and click the Plus (+) icon to create a new row for entering the lookup code.

  4. In the Lookup Code field, enter AR_LATE_CHARGE_BSV_OPTION.

  5. Check the Enabled box to activate the replacement of the legal entity balancing segment value.

  6. In the Start Date field, enter the date that this lookup code becomes active.

  7. Complete the other lookup code fields according to your business requirements.

  8. Save your work.

When the AR_LATE_CHARGE_BSV_OPTION lookup code is activated, a run of the Create Late Charges process replaces the balancing segment value of the receivable and revenue accounts defined in the interest invoice transaction type assigned to the Interest Invoice Transaction Type field in the Late Charges section of Billing and Revenue Receivables System Options for all legal entities of overdue transactions that don't have multiple balancing segment values.

If any legal entity has multiple balancing segment values assigned, then the Create Late Charges process doesn't replace the balancing segment value of the receivable and revenue account code combinations but instead retains the default values.

Example of Generating Interest Invoice Late Charges by Legal Entity

The following example illustrates how a run of the Create Late Charges process generates interest invoices by legal entity and manages balancing segment values.

The Interest Invoice Transaction Type assigned to Receivables System Options for the business unit has the following receivable and revenue accounts (Company-Account-Activity-Cost Center-Intercompany-Project-Site-SubAccount, with the Company segment defined as the primary balancing segment):

  • Receivable Account: 01-1410000-3-1010-00-000-C-0

  • Revenue Account: 01-210000-3-1010-00-000-C-0

The business unit has three legal entities: Vision Operations, Vision Services, Vision Foods.

This table describes overdue customer transactions as of the date the late charges are calculated (all transactions belong to the same business unit):

Transaction Number Transaction Date Due Date Legal Entity BSV

I-101

4/9/2018

5/9/2018

Vision Operations

01

I-102

3/19/2018

4/3/2018

Vision Services

02

I-103

4/22/2018

5/21/2018

Vision Services

02

I-104

3/5/2018

4/19/2018

Vision Foods

03, 04

This table describes the resulting interest invoices and balancing segment value assignments generated for each legal entity after a run of the Create Late Charges process:

Late Charge Batch Interest Invoice Number Legal Entity Overdue Transactions Interest Invoice Receivable Account Interest Invoice Revenue Account

2030 05-31-2018

2001

Vision Operations

I-101

01-1410000-3-1010-00-000-C-0

01-210000-3-1010-00-000-C-0

2030 05-31-2018

2002

Vision Services

I-102, I-103

02-1410000-3-1010-00-000-C-0

02-210000-3-1010-00-000-C-0

2030 05-31-2018

2003

Vision Foods

I-104

01-1410000-3-1010-00-000-C-0

01-210000-3-1010-00-000-C-0

  • Interest Invoice 2001 has the balancing segment value assignment 01 with legal entity Vision Operations.

  • Interest Invoice 2002 has the balancing segment value replaced as 02 with legal entity Vision Services.

  • Interest Invoice 2003 has the balancing segment value retained as 01 with legal entity Vision Foods.

In situations where it is not cost effective to calculate and collect late charges for small amounts, you can set a minimum customer balance for late charges.

You set a minimum customer balance per currency on the Credit Limits and Late Charges tab of the Create Receivables Customer Profile Class page, or on the applicable customer or customer site profile. Receivables only assesses late charges when the minimum balance of the applicable customers is exceeded.

These examples illustrate the difference between calculating the minimum customer balance using the Overdue Transactions Only charge calculation method and the Average Daily Balance charge calculation method. In these examples, the minimum customer balance is $250.

These examples also illustrate how submitting the Create Late Charges program on different dates (May 20 or May 30) can potentially change the activity that is selected for late charge calculation.

This table includes a timeline of debits and credits to a customer account:

Date Charge Type Amount

April 10

Debit

$200

April 12

Debit

$200

May 4

Debit

$100

May 6

Credit

$50

May 13

Credit

$25

May 18

Credit

$200

May 24

Credit

$50

May 27

Debit

$100

In these examples:

  • The billing date is May 1 and the billing cycle is from the first day of the month to the last day of month inclusive.

  • The due date is the 10th of the following month.

  • The receipt grace period is three days.

Create Late Charges on May 20: Overdue Transactions Only

The Overdue Transactions Only calculation method compares the minimum customer balance to the sum of all customer debit and credit activities as of the date when you run the Create Late Charges program.

If you submit the Create Late Charges program on May 20, then the customer balance includes 3 overdue invoices (April 10, April 12, and May 4) for a total of $500. The balance also includes 3 payments (May 6, May 13, and May18) for a total of $275.

The total customer balance is $225, which is below the minimum balance of $250. Therefore, late charges are not calculated for this customer.

Create Late Charges on May 20: Average Daily Balance

The Average Daily Balance calculation method starts with the ending balance of the last balance forward bill, and subtracts all credits (receipts and credit memos) up through the due date plus receipt grace days to determine if the customer balance is eligible for late charges.

To calculate late charges, Receivables starts with the ending balance of the last balance forward bill and includes only invoices that were on the last bill. In this case, Receivables includes invoices that were created before May 1 (April 10 and April 12) for a total of $400.

Receivables then subtracts all credits that were recorded before May 13 (the due date plus receipt grace days). Credits include the receipts from May 6 and May 13 for a total of $75.

In this case, the total customer balance is $325, which is higher than the minimum balance of $250. Therefore, late charges are calculated for this customer, using the applicable Average Daily Balance calculation method.

Create Late Charges on May 30: Overdue Transactions Only

If you submit the Create Late Charges program on May 30, then the customer balance includes 4 overdue invoices (April 10, April 12, May 4, and May 27) for a total of $600. The balance also includes 4 payments (May 6, May 13, May 18, and May 24) for a total of $325.

The total customer balance is $275, which is higher than the minimum balance of $250. On this day, late charges are calculated for this customer.

Create Late Charges on May 30: Average Daily Balance

In this example, submitting the Create Late Charges program on May 30, as opposed to May 20, doesn't change the customer balance calculation.

To determine the customer balance, Receivables still starts with the ending balance of the last balance forward bill (May 1), and subtracts all credits (receipts and credit memos) up through the due date plus receipt grace days (May 13).

This example demonstrates how to set up a late charge policy for the customer Business World. The example includes the setup of late charge documents, the Business World customer profile, and your user-defined settings.

This table summarizes key decisions for this scenario.

Decisions to Consider In This Example

Which document will record late charges?

Adjustments

What period basis is used for late charge calculations?

Monthly

Which currencies?

US dollar and British pound sterling

Are there exceptions to the general policy?

Yes, for the customer account site and customer transactions

Summary of the Tasks

The calculation of late charges is determined by your late charge policy. The late charge policy comprises the late charge document, Receivables system option settings, and customer profile settings.

  1. Define a Late Charges receivables activity..

  2. Set Receivables system options for late charges.

  3. Set up the Business World customer profile for late charges.

  4. Update the customer site and customer transactions for late charges.

Define a Late Charges Receivables Activity

To record late charges as adjustments, define a Receivables activity for late charges:

  1. Open the Create Receivables Activity page.

  2. Complete the fields, as shown in this table:

    Field Value

    Name

    Name that identifies this Receivables activity as a late charge adjustment.

    Activity Type

    Late Charges

    Activity GL Account

    General ledger account for late charges.

Set Receivables System Options for Late Charges

Set Receivables system options for late charges:

  1. Open the Create or Edit Receivables System Options page.

  2. Complete the fields in the Late Charges section of the Billing and Revenue tab, as shown in this table:

    Field Value

    Assess late charges

    Enable this option.

    Interest Charge Activity

    Name of the Late Charges receivables activity that you previously defined.

Set Up the Customer Profile

Set up the customer profile for Business World for late charges:

  1. Open the Create Receivables Customer Profile Class page.

  2. Complete the general required fields for the profile class.

  3. Click the Credit Limits and Late Charges tab.

  4. Complete the fields in the Late Charges section, as shown in this table:

    Field Value

    Enable late charges

    Enable this option.

    Late Charge Calculation Method

    Overdue Invoices and Late Payments

    Charge Reductions

    Credit Items

    Late Charge Type

    Adjustment

    Interest Calculation Formula

    Compound

    Interest Calculation Period

    Monthly

    Receipt Grace Days

    2

    Interest Days Period

    30

    Assess Late Charges Once

    No

  5. In the Currency Settings section, click the Add icon.

  6. Complete the fields, as shown in this table:

    Field Value

    Currency

    USD (US Dollar)

    Minimum Invoice Balance Overdue Type

    Percent

    Minimum Invoice Balance Overdue Percent

    15

    Minimum Customer Balance Overdue Type

    Percent

    Minimum Customer Balance Overdue Percent

    15

    Interest Charge Type

    Fixed Rate

    Interest Charge Rate

    9

  7. Repeat steps 5 and 6 for British pound sterling (GBP).

  8. Assign this profile class to the Business World bill-to site.

Update the Customer Site and Transactions

Update the Business World customer site and transactions for late charges:

  1. Open the Statement, Dunning, and Late Charges Site Profiles Used profile option.

  2. Set the profile option to No.

    By setting this profile option to No, the Create Late Charges program uses the late charge policy assigned to the bill-to site.

  3. Open the Create Transaction Type page and create a transaction type that excludes invoices from late charges.

  4. Complete the fields, as shown in this table:

    Field Value

    Name

    Late charges exemption

    Transaction Class

    Invoice

    Transaction Status

    Open

    Exclude from late charges calculation

    Enable this option.

  5. Assign this transaction type to the applicable invoice transactions.

Use the Generate Late Charges Report to review a run of the Generate Late Charges program. You can also print the report for an individual late charge batch.

The Generate Late Charges Report outlines the specific late charges that were calculated, whether you ran the process in Draft or Final mode. The report includes sections for each type of charge, such as overdue transactions, late payments, and penalties.

Review this report after a run of the Generate Late Charges program, or run the program in Draft mode to review the results before generating late charges.

Report Output

You can present late charges to the customer as an interest invoice, an adjustment, or a debit memo.

For interest invoice late charges, the report displays multiple rows for multiple overdue transactions or late payments, as well as a total that includes all charges. The Generate Late Charges program creates one interest invoice per customer site and currency.

For adjustment or debit memo late charges, the Generate Late Charges program creates only one adjustment or debit memo per overdue transaction or late payment. The report displays one page per adjustment or debit memo.

This table describes important column headings in the Generate Late Charges Report.

Column Heading Description

Due Date

The transaction due date. Late charges apply to the open balance on the transaction after the due date.

Original Amount

The original transaction amount.

Overdue Amount

The balance of the transaction that is still outstanding.

Days Late

The number of days that the outstanding balance is past due.

Interest Days

The number of past-due days that interest applies to the outstanding balance.

Interest Rate

The rate used to calculate the late charges.

Interest Charge

The amount of interest charged on the outstanding balance.

This table describes important row headings in the Generate Late Charges Report.

Row Heading Description

Adjustment Number

The number assigned to the adjustment, for late charges presented as an adjustment.

Charge Calculation Date

The date the late charges were calculated for this report.

Currency

The currency for the late charge calculation.

Total Interest Charge for Overdue Invoices

The total late charge calculated for overdue invoices.

Total Late Charge

The total of all late charges calculated for the customer for the report period.

FAQs for Process Late Charges

You must ensure that you assign an interest charge to each currency that you do business in for the applicable customer profiles. If you don't assign an interest charge to a currency, then Receivables doesn't calculate late charges for past due items in that currency.

To ensure that late charges appear on transactions, enter values in the Interest Charge Type field, and either the Interest Charge Rate, Interest Charge Amount, or Interest Charge Schedule field for each currency in the Late Charges section of the customer profile.

If you also assess penalty charges, then complete the related fields for penalty charges.

Process Statements

Example of Cross-Site and Cross-Customer Receipts on Statements

Customer statements accurately record and report on receipts that were applied across customers and customer sites.

The statement process displays each cross-customer or cross-site receipt on the statement of the customer or customer site associated with the transaction to which the receipt was applied, as well as on the statement of the customer or customer site that owns the receipt. The Reference column on the statement includes the amount of each receipt, and the corresponding Transaction column displays the amount of each receipt applied to a specific transaction.

Receipts that have cross-site or cross-customer applications are reported on statements after the On-Account and Unapplied receipts. These entries display the amount applied to transactions of other sites in the Transaction Amount column and have no effect on the balance of the statement.

Scenario

In this example two sites, SF (San Francisco) and CA (California), pay each other's invoices. Every receipt is recorded against the invoice to which it is applied. It is also reported on the statement of the site that owns the receipt as a cross-site entry, with the amount applied to the other site displayed as the transaction amount. If the receipt is not fully applied, the portion not applied is entered as an unapplied receipt.

This table illustrates the statement that the SF site receives:

Invoice Transaction Reference Site Transaction Amount Amount

Invoice 1

Invoice

NA

SF

200.00

NA

Invoice 1

Payment

check p1 200.00

CA

-150.00

50.00

Invoice 5

Invoice

NA

SF

1200.00

NA

Invoice 5

Payment

check p5 700.00

SF

-600.00

NA

Invoice 5

Payment

check p6 600.00

CA

-600.00

0.00

Unapplied

Payment

check p2 500.00

SF

-100.00

NA

Unapplied

Payment

check p5 700.00

SF

-100.00

-200.00

Cross Receipt

Payment

check p2 500.00

SF

400.00

NA

Cross Receipt

Payment

check p3 500.00

SF

500.00

NA

Cross Receipt

Payment

check p4 100.00

SF

100.00

NA

This table illustrates the statement that the CA site receives:

Invoice Transaction Reference Site Transaction Amount Amount

Invoice 2

Invoice

NA

CA

500.00

NA

Invoice 2

Payment

check p2 500.00

SF

-400.00

100.00

Invoice 3

Invoice

NA

SF

600.00

NA

Invoice 3

Payment

check p3 500.00

CA

-500.00

NA

Invoice 3

Payment

check p4 100.00

SF

-100.00

0.00

Unapplied

Payment

check p1 200.00

CA

-50.00

-50.00

Cross Receipt

Payment

check p1 200.00

CA

150.00

NA

Cross Receipt

Payment

check p6 600.00

CA

600.00

0.00

Create Customer Statements Execution Report

Use the Create Customer Statements Execution Report to review a run of the Create Customer Statements program.

Review this report after you submit customer statements. You can also use this report to review draft statements before sending them to your customers.

Selected Report Parameters

Transaction Business Unit

The selected business unit to print customer statements for.

Generate Bill
  • Print a draft statement for a customer: If you select this option, you must enter a customer name or customer account number.

  • Print Statements: Print statements for specified customers or statement cycle

  • Reprint Statements: Reprint a previous statement for specified customers or statement cycle.

Bucket

The name of the aging bucket to use for statements.

Cycle

The statement cycle for the statement submission.

Statement Date

The date on which to print statements.

As-of Date

The date from which to include data on statements.

Transaction Type

Print statements for this transaction type only.

Primary Salesperson

Print statements for this salesperson only.

Standard Messages

The names of the standard messages to print on statements. Use the numbered fields to indicate the order in which you want messages to appear.

Report Output

The report summarizes transactions and amounts due by customer bill-to site, with a final total for the customer account.

Selected Report Headings
Remit-to Address

The address for your customers to use to send payment for their open debit items.

Bill-to

The customer name and address for each statement. The country of the customer address is included if it is different from the home country specified in Receivables system options.

Note: If you do not have a statement address defined for a customer, the program prints a statement for each bill-to address that has activity during the statement cycle for the statement submission.
Statement Date

The date the statement is generated.

Account Number

The customer account number.

Column Headings
Transaction Number

The number of the transaction activity. For example, if the activity is a payment, the report prints the debit item number to which this payment applies. The report also identifies cross-site and cross-customer receipts.

Transaction Date

The date of the transaction activity.

Class

The name of each debit and credit activity:

  • Invoice

  • Adjustment

  • Credit Memo

  • Debit Memo

  • Payment

  • Late Charge

Note: Receivables does not print NSF or STOP payments that were reversed after your statement date.
Due Date

The date that payment is due on the open item.

Reference

Additional information about each transaction activity, including payment number, credit memo number, purchase order number, and adjustment name.

Bill-to Site

The bill-to site for the transaction.

Total Amount

The original amount of the transaction.

Amount Due

The remaining amount due on the transaction. Credit items appear with negative amount due values.

Current

Customer open item information based on the aging bucket you define as your first bucket.

1-30 Days Past Due

Customer open item information based on the aging bucket you define as your second bucket.

31-60 Days Past Due

Customer open item information based on the aging bucket you define as your third bucket.

61-90 Days Past Due

Customer open item information based on the aging bucket you define as your fourth bucket.

Over 90 Days Past Due

Customer open item information based on the aging bucket you define as your fifth bucket.

Financial Charges

The total amount of late charges for the customer site.

Total Amount Due

The total amount due for the customer site in the entered currency. If the customer has open items in multiple currencies, the report contains a separate page for each currency.

FAQs for Process Statements

What's the difference between printing a statement and a draft statement?

When you print a statement, you must provide both an As of Date and a Statement Date. If you set the Print Option parameter to Print Draft Statement, the process uses the As of Date parameter value.

If you set the Print Option parameter to Print Statement, the program uses the Statement Date parameter value.

What's the difference between a statement and a balance forward bill?

A statement is an information document that provides a customer with a complete record of transaction, receipt, and adjustment activity over a specified time period.

A balance forward bill is a single bill presented for payment that consolidates the open debit items of a customer over a specified time period.

How many statements will a customer receive?

If you defined a statement site for the customer, Receivables generates a single, consolidated statement of all customer activity for the specified period and sends the statement to this site.

If you have not defined a statement site for a customer, Receivables generates statements for each customer bill-to site for the specified period that has these profile settings:

  • Send statement option is enabled.

  • Statement Cycle is provided.

  • Minimum outstanding balance in the given currency is greater than the Minimum Statement Amount value.

Close Receivables Accounting Period

Receivables Accounting Event Model

An accounting event is a business event in Receivables that has an accounting impact. For example, creating or applying a receipt is an accounting event.

Not all business events have an accounting impact, but you can decide which events you want to monitor as accounting events. You can modify the accounting setup to create accounting for some events and not for others.

Subledger Accounting categorizes accounting events as event types. Event types are grouped into event classes that in turn are grouped into event entities. The overall grouping of these components is called an event model. The Receivables accounting event model is predefined for you, and includes each Receivables event class and its life cycle. This accounting event model forms the basis for creating subledger accounting.

As the foundation of the event model, Receivables contains predefined event entities. An event entity enables Subledger Accounting to handle the accounting for similar business events in a consistent manner. The event entities for Receivables are:

  • Transactions

  • Receipts

  • Adjustments

  • Bills Receivable

Each event entity is associated with one or more event classes. An event class represents a category of business events for a particular activity or document. Event classes group similar event types and enable the sharing of accounting definitions.

An event type represents a business operation that you can perform for an event class. An accounting event has both an event class and an event type that affect how the Create Receivables Accounting program determines the subledger accounting for it. Event types provide the lowest level of detail for storing accounting definitions.

Transactions Event Entity

This table describes the predefined event classes and event types for the Transactions event entity.

Event Class Event Types

Chargeback

Chargeback Created

Credit Memo

Credit Memo Created

Credit Memo Updated

Debit Memo

Debit Memo Created

Debit Memo Updated

Invoice

Invoice Created

Invoice Updated

Receipts Event Entity

This table describes the predefined event classes and event types for the Receipts event entity.

Event Class Event Types

Miscellaneous Receipt

Miscellaneous Receipt Created

Miscellaneous Receipt Reverse

Miscellaneous Receipt Updated

Receipt

Receipt Created

Receipt Reverse

Receipt Updated

Adjustments Event Entity

This table describes the predefined event classes and event types for the Adjustments event entity.

Event Class Event Types

Adjustment

Adjustment Created

Bills Receivable Event Entity

This table describes the predefined event classes and event types for the Bills Receivable event entity.

Event Class Event Types

Bills Receivable

Bills Receivable Created

Bills Receivable Updated

Guidelines for Receivables to General Ledger Reconciliation

Periodically you need to reconcile the transactions in your accounts receivable system, both before and after you post to the general ledger. The Receivables to General Ledger Reconciliation extract and report help to simplify this process and reduce the amount of manual reconciling activity required.

The automated activities in the reconciliation process function according to the way you set up your Financials environment. A review of some of these setups can help improve the overall reconciliation process.

Review these activities related to setting up your Financials environment for Receivables to General Ledger reconciliation:

  • Business Unit vs. Ledger Reconciliation

  • Accounts Receivable Financial Category

  • Profile Option Settings

  • User Security

Business Unit vs. Ledger Reconciliation

If you implicitly map primary balancing segment values to your business unit, you can reconcile based on business unit. This allows employees from different business units to balance their respective organization activity.

If you don't implicitly map primary balancing segment values to business unit, you must reconcile based on ledger. In this case, you will need access to all business units associated with the ledger to perform a thorough reconciliation.

Note: Implicit mapping means that no specific setup is used to assign the business unit to a primary balancing segment. This is a business decision, and your setup in Receivables should be such that the default accounting assigned to activities for that business unit should be the primary balancing segment value that was decided.

Accounts Receivable Financial Category

You must assign the financial category of Accounts Receivable to all of your receivables natural account values. This is a required setup step for Receivables to General Ledger reconciliation. You perform this task under the Manage Chart of Accounts Value Sets activity.

If the financial category of Accounts Receivable is not included in the chart of accounts setup, the Receivables to General Ledger Reconciliation report won't select any data. When you run the extract program, if you try to select general ledger natural account values that don't have this category assigned, the extract program displays an error indicating that the financial category was not assigned.

Once you assign the Accounts Receivable financial category, you can leave the Account parameter blank when you run the extract, in order to include all accounts that have the Accounts Receivable financial category in the ledger. You can alternatively enter specific natural account values to limit the report to reconciling only a subset of the receivables accounts in the ledger, but these values must have the Accounts Receivable financial category assigned.

If you set up accounts for unidentified, unapplied, and on-account receipts, and on-account credit memos, you must also assign the Accounts Receivable financial category to these accounts in order to include them in reconciliation. If you want to exclude these accounts during reconciliation, then you must exclude them from the Account parameter, and both the Include On-Account Items parameter and the Include Unapplied and Unidentified Receipts parameter.

Caution: You must assign unique general ledger accounts to unidentified, unapplied, and on-account receipts, and on-account credit memos, to exclude them from reconciliation. Don't assign them the same receivables accounts as that used for transactions, because the accounting for transactions would also be excluded, causing reconciling differences.

Profile Option Settings

Review the setting of these profile options:

  • Reconciliation Data Purge Frequency

  • Zero Amount Journal Lines Displayed

Use the Reconciliation Data Purge Frequency profile option to indicate the number of days to keep reconciliation extract data in the tables. Enter a value for the number of days needed to not lose prior extracts that you may need for comparison purposes.

Every time you run the extract program, it refers to the value of the Reconciliation Data Purge Frequency profile option. If there are any reconciliation data extract requests in the table older than the number of days specified in the profile option, these requests are purged.

For example, if a reconciliation data extract is run on January 1, and the value of this profile option is set to 30 days, then the data from January 1 is not purged if you run another extract on January 29. However, the data is purged if you run another extract on February 1.

The Zero Amount Journal Lines Displayed profile option affects whether journal lines with zero amounts display in the Not Transferred to GL Detail report. If this profile option is set to Yes, the Summary report may equal zero and the detail report will list these zero amount journal lines. This doesn't prevent Period Close and doesn't cause reconciling issues as the net effect on the report is zero.

User Security

This section includes considerations for segment security and data access set.

Segment security applies to Detail reports only. If you don't have segment security access, then summary and detail report totals may not match.

Typically General Ledger users are secured by a data access set, and Receivables users by business unit security. This means that for the Receivables to General Ledger Reconciliation report:

  • General Ledger users can see general ledger data for the balancing segment values in their data access set, as well as the Receivables and Subledger Accounting data for all business units linked to the ledger.

  • Receivables users can see the Receivables and Subledger Accounting data for business units in their security definition, as well as general ledger data for all balancing segment values in the ledger.

However, if security is configured such that the data role for the General Ledger or Receivables job roles also have FND grants to specific business units for General Ledger users or specific data access sets for Receivables users, then the reconciliation report will only include:

  • For General Ledger users, the Receivables and Subledger Accounting data for those business units in the ledger to which the user has access.

  • For Receivables users, general ledger data for those balancing segment values included in the data access set to which the user has access.

This doesn't present a problem for the Receivables to General Ledger Reconciliation report if there is an implicit mapping between business units and balancing segment values. Users can simply filter the report for the balancing segment values that are mapped to the business units to which they have access, and the report should work properly.

However, if there is not an intentional and implicit mapping between balancing segment values and business units, then this can cause the Receivables to General Ledger Reconciliation report to display undesirable results:

  • For General Ledger users, the report will include general ledger data for all balancing segment values in the data access set, while Receivables and Subledger Accounting data are limited to the business units to which a user is granted access.

  • For Receivables users, the report either won't include any general ledger data, or it will include general ledger data that is not properly mapped to the Receivables and Subledger Accounting data for the business unit.

You can resolve this issue by removing the FND grants from specific business units for the General Ledger job roles, and from specific data access sets for the Receivables job roles.

Extract Reconciliation Data from Receivables to General Ledger

Run the Prepare Receivables to General Ledger Reconciliation program to select data for the Summary section of the Receivables to General Ledger Reconciliation Report. The extract must run successfully in order to see the most current Summary report, and before you can run the Receivables to General Ledger Reconciliation Report.

Use the following parameters of the Prepare Receivables to General Ledger Reconciliation program to control the Receivables transaction activity that you intend to include in the extract:

  • Business Unit

  • Include Intercompany Transactions

  • Include On-Account Items

  • Include Unapplied and Unidentified Receipts

Tip: To avoid unintended reconciling differences, you must ensure that you include or exclude the related accounting activity associated with the Receivables transaction activity included in a given extract.

For example, if you intend to reconcile by a specific business unit but don't select the associated primary balancing segment values in the Account parameter, accounting data from other business units belonging to the same ledger will display as differences.

Prepare Receivables to General Ledger Reconciliation Parameters

Request Name

Enter a name that is descriptive of this extract. Consider using a name that indicates the accounting period, date, and time, especially if you are planning to create multiple extracts.

Note: Enter a unique request name each time you run the extract. If you reuse a request name, then the extract may contain no data.
Ledger

The ledgers available for selection are based on your security assignment. The default is the first ledger in alphabetic order.

Business Unit

Use this parameter if you need to reconcile by a specific organization.

Note: The business unit must be mapped to a balancing segment. If not, you must reconcile by ledger. If you have implicitly mapped your business unit to one or more primary balancing segment values, you will also need to select these values when you run the extract.
Accounting Period

You can select either an Open or Closed accounting period. The default is the latest period in the Closed Pending status, if it exists, for the selected ledger.

You can run the extract on an Open period to see point-in-time summary balances, in order to review possible reconciling activities you may encounter during period close processing. If you select an Open period for reconciliation, users can still enter activity against the period after the extract runs, creating potential discrepancies between the summary and detail information on the report. Best practice is to close the accounting period to be reconciled before you run the extract, and then select this Closed period in the Accounting Period parameter.

Include Intercompany Transactions

You can include or exclude Intercompany transactions, or you can reconcile by Intercompany activity only.

Include On-Account Items

You can include or exclude on-account items. On-account items include on-account receipts and on-account credit memos.

Note: You may want to exclude on-account items if they typically post to non-receivable accounts. If you plan to exclude on-account items, you also need to exclude the related general ledger account in the Account parameter. Therefore, don't post this activity to the same Receivables account as your invoices to avoid reconciling differences.
Include Unapplied and Unidentified Receipts

You can include or exclude unapplied receipts and unidentified receipts. Unapplied receipts are receipts that haven't yet applied; unidentified receipts are receipts without customer information.

Note: You may want to exclude unapplied and unidentified receipts if they typically post to non-receivable accounts. If you plan to exclude unapplied and unidentified receipts, you also need to exclude the related general ledger account in the Account parameter. Therefore, don't post this activity to the same Receivables account as your transactions to avoid reconciling differences.
Account

You can select values from any of the segments of the accounting flexfield. The natural account segment values must have the financial category of Accounts Receivable assigned in your general ledger setup in order for the extract and report to work properly.

If you are excluding on-account items, or unapplied and unidentified receipts, from your reconciliation, you must also exclude their associated general ledger accounts, if those accounts have the financial category of Accounts Receivable assigned. If they don't have the financial category assigned, by default these accounts are not included in your reconciliation.

If you are reconciling by business unit, select the range of balancing segment values implicitly mapped to your business unit.

If you are reconciling Intercompany activity, select the range of Intercompany accounts. These accounts must have the financial category of Accounts Receivable assigned.

If you are reconciling everything, you don't need to select any values. The report automatically selects data for Receivables accounts that have the financial category of Accounts Receivable assigned.

Guidelines for Using the Receivables to General Ledger Reconciliation Report

Use the Receivables to General Ledger Reconciliation report to facilitate the reconciliation of receivables data to the general ledger.

The interactive reporting capability of the Receivables to General Ledger Reconciliation report provides both summarized and detailed reconciling data for review. The Summary report lets you see receivables and accounting beginning and ending balances, as well as summarized activity for the period and how this activity was accounted.

Drill down on any amount in the Summary report Difference column to display the Differences Detail report for that item. The Differences Detail reports display the details that make up balances from the Summary report, and indicate potential causes for differences between actual and reconciling amounts.

Note: For a more efficient reconciliation, don't allow general ledger sources other than Receivables to post to Receivables accounts.

If you restrict the number of general ledger accounts that you include in a run of the Prepare Receivables to General Ledger Reconciliation program, this can affect the display of data in the detail reports and may be the cause of a difference between the accounted amount of a transaction and the reconciling amount.

For example, if Receivables transactions are recorded against balancing segment values 1, 2, 3 or natural accounts A, B, C, and the account range you used excluded some of these values, then these transactions would show up as differences on the report.

If you are downloading a large amount of data from the report to a spreadsheet and you plan to perform a number of data manipulations, use the CSV format. If you are downloading data for reference purposes only, use the Excel or PDF format.

Review these additional guidelines for using the Receivables to General Ledger Reconciliation report:

  • Differences between Transactional and Accounted Amounts

  • Differences between Summary and Detail Amounts

  • Differences between the Reconciliation Report and the Aging Report

  • Recommendations for Reconciling by Business Unit and by Intercompany Activity

  • Recommendations for Reconciling Unapplied and Unidentified Receipts and On-Account Items

  • Recommendations for Reconciling Bills Receivable

Differences between Transactional and Accounted Amounts

Ideally the Summary report should display no differences between receivables transactional amounts and accounted amounts. In addition, the beginning and ending receivables balances should agree with the Receivables Aging by Account report.

Note: It may happen that the Summary report will contain variance amounts. If the Summary report contains variance amounts, contact your system administrator.

Any differences that you find require further investigation and possible correction. Common reasons for differences between transactional amounts and accounted amounts include:

  • Transactions that are not accounted.

  • Transactions with subledger accounts that fall outside the account range of the report.

  • Transaction amounts don't agree with the subledger journal line amounts.

  • Journals are posted to the subledger or general ledger that didn't come from Receivables.

  • Subledger journals were not transferred or posted to general ledger.

After finding and correcting discrepancies, you must re-run the Prepare Receivables to General Ledger Reconciliation program and review the Summary report.

Note: Some differences may be valid. For example, if you included unapplied and unidentified receipts in your extract, but you don't post these receipts to a receivables account or an account with the financial category of Accounts Receivable assigned, then these receipts appear as a difference that is outside the account range of the report. In this case, you can re-run the extract and exclude these items.

Differences between Summary and Detail Amounts

The Non-Receivables Begin Balance amount is any portion of a general ledger account beginning balance that didn't originate from Receivables transactions. You can drill down on this amount to see a list of general ledger journal lines that have an accounting date that falls within the current fiscal year but prior to the period of the reconciliation report; and that have an account combination that falls within the account range of the report.

The drill-down page doesn't include non-Receivables journal lines dated in previous fiscal years, which means that these journal lines won't match the Non-Receivables Begin Balance amount. The drill-down page is only intended to provide current fiscal year journals that might have posted erroneously to the receivables account.

The journal source of these journals is typically not Receivables. However, you may see manual subledger journal entries that were entered for the Receivables source directly into the subledger but not necessarily linked to a specific Receivables transaction. Most of these entries represent adjustment journal entries.

Manual subledger journals created during the current reconciling period display in the Summary report in the Other Accounting section, and become part of the Non-Receivables Begin Balance amount in subsequent periods. Manual general ledger journals that may affect receivables accounts are created directly in the general ledger and don't display in the Other Accounting section on the Summary report, but display instead in the Non-Receivables Activity amount.

Summary amounts may not reflect totals on detail pages because:

  • Data was modified after the data extract was run for a given accounting period. If transactions or accounting were created or modified between the time the extract was executed and the moment you drill down from a summary amount to its detail amounts, the summary amount won't reflect the detail page totals.

    To limit discrepancies between the summary and detail reports, set the Receivables accounting period status to Close Pending or Closed.

  • Security rules in your setup may restrict you from seeing data from certain business units or segment values.

    Ensure that appropriate security is given to users for all business units and accounting flexfield segment values that each user is responsible for reconciling.

Differences between the Reconciliation Report and the Aging Report

You may find differences between the data displayed in the Receivables to General Ledger Reconciliation report and the Receivables Aging by Account report. This list provides the principle reasons why this occurs and recommendations for working with these differences:

  • Intercompany Transactions: You can't limit the display of intercompany transactions on the Receivables Aging by Account report. If the reconciliation extract either excludes intercompany transactions or displays intercompany transactions only, then the Receivables to General Ledger Reconciliation report and the Receivables Aging by Account report won't display compatible data.

  • Unaccounted Amounts: The Receivables Aging by Account report doesn't display unaccounted activity. Unaccounted amounts display as differences in the Summary Reconciliation report. In this case, compare the Accounting End Balance with the Receivables Aging by Account report. You will need to subtract out any amount in Other Accounting, as this is not included in the Receivables Aging by Account report.

  • Receipts at Risk: The Receivables Aging by Account Report has the option to display or ignore Receipts at Risk. The Receivables to General Ledger Reconciliation report doesn't use this option, and always excludes receipts at risk. For reconciliation purposes, be sure to exclude receipts at risk when running the Receivables Aging by Account report.

  • Open Credits: The Receivables Aging by Account report has the option to Age, Summarize, or Exclude open credits. For reconciliation purposes, it is recommended that you Age or Summarize open credits.

Caution: Do not use Advanced Collections Aging reports for reconciliation because they don't include general ledger account information. This applies to these three reports:
  • Aging by Common Currency Report

  • Collections Aging 4-Bucket Report

  • Collections Aging by Collector 7-Bucket Report

Recommendations for Reconciling by Business Unit and by Intercompany Activity

To reconcile by business unit, you need to have an implicit mapping of the business unit to one or more primary balancing segment values. When you run the Prepare Receivables to General Ledger Reconciliation program, you must specify both the business unit to reconcile and the balancing segment value or range of values assigned to that business unit. The Business Unit parameter selects the receivables activity and the balancing segment value selects the accounting data.

You have three options for reconciling Intercompany activity:

  • Include Intercompany activity with other Receivables activity.

  • Exclude Intercompany activity from reconciliation.

  • Include only Intercompany activity.

If you want to include Intercompany activity with other Receivables activity, set the Include Intercompany parameter to Yes and include the Intercompany account in the range of account values to extract. By default, if no account range is selected, all accounts with the financial category of Accounts Receivable are included in the extract.

If you want to exclude Intercompany activity from reconciliation, set the Include Intercompany parameter to No, and also exclude the Intercompany range of accounts from the extract.

If you are reconciling only the Intercompany activity, set the Include Intercompany parameter to Intercompany Only, and select the account range for your Intercompany Receivables accounts.

Recommendations for Reconciling Unapplied and Unidentified Receipts and On-Account Items

If you want to exclude unapplied and unidentified receipts, and on-account items, from reconciliation, set the Include Unapplied and Unidentified Receipts parameter and the Include On-Account Items parameter to No, and exclude the respective ranges of accounts from the extract. To avoid reconciling differences, unapplied and unidentified receipts, and on-account items, should not post to the same general ledger accounts as that used for transactions. If they do, then the accounting for transactions would also be excluded.

If you never include unapplied and unidentified receipts, or on-account items, in your reconciliation, then don't assign the financial category of Accounts Receivable to these accounts in your chart of accounts setup.

Recommendations for Reconciling Bills Receivable

Two rows on the Summary report display bills receivable activity for the accounting period:

  • Bills Receivable: Bills receivable created (unsigned or drawee-issued), accepted (signed), and canceled during the accounting period.

  • Bills Receivable Applications: All customer transactions applied to bills receivable created, accepted, and canceled during the accounting period.

The totals for Bills Receivable and Bills Receivable Application net to zero, because both sides of the creation of bills receivable and the application of transactions, or unapplication in the case of canceled bills, are recorded here. Creation and Acceptance require the assignment of transactions to the bill receivable, so each of these bills display the associated transaction applications. Cancellation reverses the bill receivable and its applications, so canceled bills display both sides of the activity, application and unapplication.

Status changes to Remitted, Unpaid, and Factored bills receivable have an accounting impact only because, as the bill goes through its lifecycle, only the account it posts to changes. These events display in the Summary report in the Other Accounting section. Like all other events related to reconciliation, the accounts used for these activities need to have the financial category of Accounts Receivable assigned to the natural account segment in the chart of accounts.

Other activities against bills receivable are included in existing sections of the Summary report and the related drill-down reports. On-account credit memos against a bill receivable display in the Invoices section, along with all other transaction activity. Receipts applied to bills receivable display with other receipts in the Applied Receipts section.

Reports for Close Receivables Accounting Period

Potential Reconciling Items Report

During the internal reconciliation process, you use the Receivables to General Ledger Reconciliation Report to confirm that transactional data and accounting data match. However, even if the data matches, the journals could still post to incorrect general ledger accounts, due to issues with your Receivables setup.

Use the Potential Reconciling Items Report to help you identify and correct these setup issues.

You typically run the Potential Reconciling Items Report:

  • For new software installations, prior to running final accounting, in order to confirm the correct derivation of accounting.

  • Whenever the accounting setup has been modified--such as the creation of new transaction types, receipt methods or receivables activities--prior to running final accounting.

The report suggests journal items that potentially posted to general ledger accounts with unexpected account types, thus creating reconciliation issues in general ledger. An unexpected account type refers to general ledger account types that are not normally associated with an item general ledger category. General ledger account types used by Receivables include assets, liabilities, income, and expense.

For example, a receivable item might be expected to post to an asset account. If the item posts to a non-asset account, then it will appear on the Potential Reconciling Items Report.

Typical items that the Potential Reconciling Items Report includes are:

  • Adjustment journals with offset accounts that are asset accounts, rather than income or expense.

  • Revenue journals for invoices and credit memos that post to account types other than income.

  • Unearned revenue journals that post to an account type other than liability.

  • Unbilled journals created for deferred billing that post to an account type other than asset.

  • Late charge journals that post to an account type other than income.

  • Cash, confirmation, or remittance journals that post to account types other than asset.

  • Short term debt journals created by factoring receipts that post to account types other than liability.

  • Nonrecoverable tax that posts to an account type other than expense.

Possible causes for discrepancy include:

  • Incorrect accounting setup.

  • Incorrect manual updating of general ledger account distributions.

  • Setup created for activities that is inconsistent with the intended use of Receivables.

When a potential reconciling item is an error, correct both the individual transaction and the incorrect setup to prevent future occurrences of the same error.

Overview of the Projected Gains and Losses Report

This topic contains summary information about the Projected Gains and Losses Report.

Overview

The Projected Gains and Losses Report lets you review open foreign (non-ledger) currency invoices, debit memos, and chargebacks revalued according to the revaluation rate that you specify.

This image shows output from the Projected Gains
and Losses Report.
Key Insights

The report compares the revalued amount of each debit item with the entered amount and prints the unrealized gain or loss.

Frequently Asked Questions

The following table lists frequently asked questions about the Projected Gains and Losses Report.

FAQ Answer

How do I find this report?

Reports and Analytics pane - Shared Folders - Financials - Receivables - Receivables Balances

Who uses this report?

Financial Manager during period close processing.

When do I use this report?

To review projected gain or loss for open foreign currency transactions revalued according to the revaluation rate that you specify.

What can I do with this report?

Schedule as needed.

What type of report is this?

Oracle Business Intelligence Publisher

Projected Gains and Losses Report

Use the Projected Gains and Losses Report to review open foreign (non-ledger) currency invoices, debit memos, and chargebacks revalued according to the revaluation rate that you specify. The report compares the revalued amount of each debit item with the entered amount and prints the unrealized gain or loss.

The report summarizes by customer and prints, for each transaction type, the total debit item foreign currency amount by currency and the unrealized gain or loss, with subtotals for each transaction type and customer.

The report includes a final summary section at the end by currency to review your unrealized gain and loss totals for each currency. The net revaluation gain or loss totals, calculated as the difference between the revaluation gain and revaluation loss, average out to the same for the customer/transaction type totals and the currency totals.

Use this report according to your customer account and open balance reviews and revaluations.

Selected Report Parameters
Conversion Type

Conversion rate type to use as the revaluation rate.

Conversion Date

Date that corresponds to the conversion rate to use as the revaluation rate. The rate date and the rate type together determine the revaluation rate used to revalue your debit items.

For example, if you are using the Spot rate for June 1, 2014, enter 01-Jun-14. If you are using Period Average as your rate type, enter a date that is within the Receivables accounting period for the Period Average rate you defined.

If you enter a rate type and rate date that do not exist for a currency, the report does not calculate unrealized gains or losses for that currency.

From/To Accounting Date

Debit item accounting date range.

From/To Customer Name or Account Number

Customer range. The report summarizes transactions by customer account.

Report Output

This table describes important column headings in the Projected Gains and Losses Report.

Column Heading Description

Invoice Type

The transaction type assigned to the transaction.

Currency

The transaction entered currency.

Entered Amount

The transaction amount in the entered currency.

Ledger Currency Amount

The transaction amount converted to the ledger currency.

Revaluation Rate

Rate that the report uses to revalue the balance of the transaction.

Revaluation Gain

Unrealized gain between the revalued amount and the entered amount.

Revaluation Loss

Unrealized loss between the revalued amount and the entered amount.

This table describes important row headings in the Projected Gains and Losses Report.

Row Heading Description

Customer Account Number and Customer Name

Summary section for each customer account.

Total for Type [Transaction Type]

The total unrealized gain and unrealized loss for each transaction type per customer account.

Total for Customer [Customer Name]

The total unrealized gain and unrealized loss for each customer account.

Total for Report

The total unrealized gain and unrealized loss for all customer accounts in the report.

This table describes the currency summary headings in the Projected Gains and Losses Report.

Currency Summary Heading Description

Currency

The identifier of each foreign currency.

Foreign Invoice Amount

The total transaction amount in each foreign currency.

Ledger Currency Invoice Amount

The total transaction amount in the ledger currency for each foreign currency.

Revaluation Rate

Rate that the report uses to revalue the transaction amount for each foreign currency.

Revaluation Gain

The total unrealized gain between the revalued amount and the entered amount for each currency.

Revaluation Loss

The total unrealized loss between the revalued amount and the entered amount for each currency.

Total for Report

The total unrealized gain and unrealized loss for all open items on this report.

Overview of the Receivables Aging by General Ledger Account Report

This topic contains summary information about the Receivables Aging by General Ledger Account Report.

Overview

The Receivables Aging by General Ledger Account Report helps you review information about outstanding receivables balances.

This image shows output from the Receivables Aging
by General Ledger Account Report.
Key Insights

You can use this report either during reconciliation or to age or summarize open receivables.

Frequently Asked Questions

The following table lists frequently asked questions about the Receivables Aging by General Ledger Account Report.

FAQ Answer

How do I find this report?

Reports and Analytics pane - Shared Folders - Financials - Receivables - Receivables Balances

Who uses this report?

Financial Manager during period close processing.

When do I use this report?

Review information about your customer outstanding receivables balances by general ledger account as of a specific accounting date.

What can I do with this report?

Schedule periodically.

What type of report is this?

Oracle Business Intelligence Publisher

Receivables Aging by General Ledger Account Report

Use the Receivables Aging by General Ledger Account Report to review information about outstanding receivables balances by general ledger account as of a specific accounting date and customer or customer site. You can use this report both for aging and for reconciliation to the general ledger.

The following notes refer to using the Receivables Aging by General Ledger Account Report for reconciliation:

  • Select report parameter values consistent with the parameters of the Receivables to General Ledger Reconciliation extract and report for inclusion or exclusion of on-account credits, unidentified payments, and on-account and unapplied cash.

  • Select the same balancing segment value as for the Receivables to General Ledger Reconciliation extract and report.

    Note: You can run the reconciliation report for other segments of the accounting flexfield, but this can cause different results between the two reports because only the Balancing Segment parameter is used by the aging report.
  • If you are including credits in reconciliation, set the Show Open Credits parameter to Age to include credits in the total customer balance.

  • When reconciling by general ledger account, set the Report Summary parameter to Customer Summary to display grand totals by accounting flexfield.

Caution: Do not use Advanced Collections Aging reports for reconciliation, because they do not include general ledger account information. This applies to these three reports:
  • Aging by Common Currency Report

  • Collections Aging 4 Bucket Report

  • Collections Aging by Collector 7 Bucket Report

Use the Receivables Aging by General Ledger Account Report:

  • During reconciliation, to compare with the balances of the Receivables to General Ledger Reconciliation Report.

  • To age or summarize open receivables.

Selected Report Parameters
Balancing Segment

Always select specific balancing segment values rather than running the report for all values.

Transaction As-of Date

Accounting date from which to include receivable open items.

Report Summary
  • Customer Summary: Prints customer names with their total open balances.

  • Invoice Summary: Prints information on all customer open receivables.

Report Format

The report format affects customer information, not transaction information:

  • Brief: Prints customer name and customer account number with item information.

  • Detailed: Prints customer city and state with contact name and telephone number.

Aging Bucket

Prints information from the bucket set you specify.

Show Open Credits

Select whether and how to include credit items in the report:

  • Age: Receivables ages your credit items and includes the credit amounts in the appropriate aging bucket columns.

  • Do Not Show: The report does not include credit items in your customer balances. In this case, the report does not display any of your unapplied, on-account or unidentified payments, or on-account credit memos.

  • Summarize: Displays the sum of your credit items in the Customer Credit Memos, Customer Payments, and Customer Balance rows.

Note: When using the report for reconciliation, set the Show Open Credits parameter to Do Not Show, if you did not include these items in the Receivables to General Ledger Reconciliation extract and report.
Show Receipts at Risk

Receipts at risk are standard receipts that have not been cleared or factored receipts that have not been risk eliminated:

  • Age: Include receipts at risk in this report. The report displays the receipts at risk with other open receipts in the appropriate bucket and includes them when determining the customer balance.

  • Do Not Show: Receipts at risk are not included in this report.

  • Summarize: Displays the sum of your receipts at risk in the Customer Credit Memos, Customer Payments, and Customer Balance rows.

Note: When using the report for reconciliation, always set the Show Receipts at Risk parameter to Do Not Show.
Report Output

The report can include both detail and summary information about customer current and past due invoices, debit memos, and chargebacks. If you set the Report Format parameter to Detailed, the report provides totals by customer site. If you set the Report Format parameter to Brief, the report provides totals by customer account number.

Report Headings
Company

The balancing segment of the receivables account associated with the transaction included in this group.

Accounting Flexfield

The general ledger account concatenated segments and concatenated description.

Row Headings
Company Total

The total outstanding amount for the balancing segment value of the accounting flexfield. This heading only appears when the Report Summary parameter is set to Invoice Summary.

  • If you set the Show Open Credits parameter to Do Not Show or Summarize, the report does not include credit item amounts in your company total.

  • If you set the Show Open Credits parameter to Age, the report includes credit item amounts in your company total.

Customer Balance

The total balance for each customer when you set the Show Open Credits parameter to Summarize. This balance includes all debit and credit items for each customer.

Customer Credit Memos

The total amount of credit memos for each customer if you set the Show Open Credits parameter to Summarize. This total is included in the Customer Balance row for each customer.

Total Debits

If you set the Show Open Credits parameter to Age, this total includes both debit items and credit items.

Customer Payments

If you set the Show Open Credits parameter to Summarize, this displays the total amount of payments for each customer within this site. Payments include both unapplied and on-account cash. This total is included in the Customer Balance row for each customer.

Customer Balance

The total balance for each customer.

  • If you set the Show Open Credits parameter to Do Not Show or Age, the report does not include on-account payments, unapplied payments, and on-account credits in your customer balances.

  • If you set the Show Open Credits parameter to Summarize, these credit items are included in your customer balances.

Site Balance

If you set the Show Open Credits parameter to Summarize, this displays the total balance for each site. This balance includes all debit and credit items for each customer.

Site Credit Memos

If you set the Show Open Credits parameter to Summarize, this displays the total amount of credit memos for each customer site. This total is included in the Site Balance row for each customer.

Total Customer Balance

The total customer balance for all customers in the report.

Total for All Customers

The totals for all customers in the report.

Total Payments and Credit Memos

The total of credit items for all customers in the report.

Total for Accounting Flexfield

The total for each unique account code combination of the accounting flexfield.

Total for Report

This total only appears when the Report Summary parameter is set to Invoice Summary.

If you set the Show Open Credits parameter to Summarize, this total does not include credits.

Overview of the Receivables Open Items Revaluation Report

This topic contains summary information about the Receivables Open Items Revaluation Report.

Overview

The Receivables Open Items Revaluation Report is used to revalue your open items, including invoices, credit memos, and debit memos.

This image shows output from the Receivables Open
Items Revaluation Report.
Key Insights

Revalue open items based on the revaluation rate that you specify, which is either an end-of-period rate or a daily rate. The report is divided into sections for each unique combination of balancing segment and receivables account.

Frequently Asked Questions

The following table lists frequently asked questions about the Receivables Open Items Revaluation Report.

FAQ Answer

How do I find this report?

Reports and Analytics pane - Shared Folders - Financials - Receivables - Receivables Balances

Who uses this report?

Financial Manager during period close processing.

When do I use this report?

When you need to revalue your customer open transactions for determining the amount needed to manually adjust your general ledger balance to reflect the difference between the original and revalued balance.

What can I do with this report?

Schedule as needed.

What type of report is this?

Oracle Business Intelligence Publisher

Receivables Open Items Revaluation Report

Use the Receivables Open Items Revaluation Report to revalue your open items, including invoices, credit memos, and debit memos. The report takes into account changes in the value of your receivables due to changes in foreign currency rates. You revalue open items based on the revaluation rate that you specify, which is either an end-of-period rate or a daily rate.

The Receivables Open Items Revaluation Report provides you with three amounts:

  • Open Original Amount: The value of your open items before revaluation, which you can reconcile with your general ledger balances. The report also provides a complete list of all open items and explains the balance of your receivables account.

  • Revaluation Open Amount: The value for each revalued open item with the revaluation rate. This itemized total is required in some countries.

  • Open Revalued Amount: The higher of the two item values both before and after the revaluation. The report adds up these values and calculates the difference. This total is required in some countries, where the lower market value of open items needs to be determined.

The report is divided into sections for each unique combination of balancing segment and receivable account. Within each section, the report lists open items for each customer.

The Receivables Open Items Revaluation Report determines the amount needed to manually adjust your general ledger balance to reflect the difference between the original and revalued balance. This revaluation difference is calculated and summarized for each accounting flexfield. You should reverse this adjustment at the beginning of the next period to synchronize Receivables and General Ledger balances.

You can run the Receivables Open Items Revaluation Report for a revaluation period, up to a particular due date, and for a range of balance segment values. Check that you have entered rate information for each currency that you use. Use the Include Up To Due Date parameter to split your assets into short-term, mid-term, or long-term receivables.

Report Parameters
Revaluation Period

The accounting period that you want to revalue. All open transactions with transaction dates up to the last date of this period are selected.

Include up to Due Date

Enter a date if you want to differentiate short-term, mid-term, and long-term receivables. Otherwise, leave this field blank. The date is the maximum due date included in this report.

Rate Type

Select the rate type to use to revalue open transactions:

  • Period. Rate at the end of the revaluation period.

  • Daily. If you select Daily, then enter values for the Conversion Rate Type and Conversion Date parameters.

Conversion Rate Type

If you select Daily as your rate type, select a conversion rate type.

Conversion Date

If you select Daily as your rate type, select the conversion date.

Transferred to GL Only
  • Yes: Include only transactions transferred to general ledger. Only receipts transferred to general ledger affect open balances.

  • No: Include both posted transactions and transactions and receipts not yet posted to affect open balances.

Cleared Only
  • Yes: Only cleared receipts affect open balances.

  • No: Both cleared receipts and receipts not yet cleared affect open balances.

Balancing Segment

Define the filtering conditions for the balancing segment values to include or exclude.

Report Output

This table describes the report headings in the Receivables Open Items Revaluation Report.

Report Heading Description

Revaluation Date

The date of the revaluation.

Balancing Segment

Each value of the balancing segment for the selected balancing segment range.

Accounting Flexfield

The accounting flexfield for each of the accounts with the balancing segments within the selected range.

This table describes the column headings in the Receivables Open Items Revaluation Report.

Column Heading Description

Transaction Number

The number of the transaction.

Transaction Type:

The transaction type assigned to the transaction.

Transaction Date

The date the transaction was created.

Due Date

The date payment is due on the transaction.

Currency

The transaction entered currency.

Open Original Amount

The transaction amount in the entered currency. The report prints an asterisk if the open amount differs from the original amount. The open amount may differ if receipts were applied or adjustments made to the transaction.

Conversion Rate

The conversion rate used for foreign currency transactions. This value is 1 for ledger currency transactions.

Open Ledger Currency Amount

The ledger currency balance of the transaction, valued at the conversion rate used when the transaction was approved.

Revaluation Rate

The rate that the report uses to revalue the balance of the transaction.

Revaluation Open Amount

The transaction balance, revalued using the revaluation rate.

Open Revalued Amount

The difference between the Revaluation Open Amount and the Open Ledger Currency Amount. During reconciliation, debit the receivables account if the difference is positive; credit the receivables account if the difference is negative. In other words, Open Revalued Amount = Revaluation Open Amount - Open Ledger Currency Amount (with sign).

This table describes row headings in the Receivables Open Items Revaluation Report.

Row Heading Description

Customer Name

The name of the customer with items charged to the accounting flexfield of the receivables account.

Customer Account Number

The account number of the customer with items charged to the accounting flexfield of the receivables account.

Total

The transaction totals.

Total for [Customer]

The customer totals.

Total for Accounting Flexfield

The accounting flexfield totals.

This table describes the summary headings in the Receivables Open Items Revaluation Report.

Summary Heading Description

Accounting Flexfield

The accounting flexfield that totals are calculated for.

Open Ledger Currency Amount

The total for each accounting flexfield, balancing segment, and the entire report.

Revalued Amount

The total for each accounting flexfield, balancing segment, and the entire report.

Difference

The total for the difference between the Open Ledger Currency Amount and the Revaluation Open Amount for each accounting flexfield, balancing segment, and the entire report.

Open Revalued Amount

The total for each accounting flexfield, balancing segment, and the entire report.

Difference

The total for the difference between the Open Ledger Currency Amount and the Open Revalued Amount for each accounting flexfield and the entire report.

Total

The total for the report.

Overview of the Receivables to General Ledger Reconciliation Report

This topic contains summary information about the Receivables to General Ledger Reconciliation Report.

Overview

The Receivables to General Ledger Reconciliation Report is the primary tool for the reconciliation of receivables data to the general ledger.

This image shows output from the Receivables to
General Ledger Reconciliation Report.
Key Insights

The report provides both summarized and detailed reconciling data for review and analysis.

Frequently Asked Questions

The following table lists frequently asked questions about the Receivables to General Ledger Reconciliation Report.

FAQ Answer

How do I find this report?

Reports and Analytics pane - Shared Folders - Financials - Receivables - Receivables to Ledger Reconciliation

Who uses this report?

Financial Manager during period close processing.

When do I use this report?

When you are reconciling your receivables to your general ledger balances.

What can I do with this report?

Review report after running the Prepare Receivables to General Ledger Reconciliation scheduled process.

What type of report is this?

Oracle Transactional Business Intelligence

Related Subject Areas

This report uses these subject areas:

  • Receivables - Adjustments Real Time

  • Receivables - Bill Receivable Real Time

  • Receivables - Credit Memo Applications Real Time

  • Receivables - Receipt Details Real Time

  • Receivables - Standard Receipt Application Details Real Time

  • Receivables - Transactions Real Time

  • Subledger Accounting - Journals Real Time

  • Subledger Accounting - Receivables Summary Reconciliation Real Time

  • General Ledger - Journals Real Time

  • General Ledger - Transactional Balances Real Time

FAQs for Close Receivables Accounting Period

How are accounts reconciled to general ledger?

The Receivables to General Ledger Reconciliation report only reconciles accounts receivable for accrual basis accounting, and only reconciles accounting in the primary ledgers.

The Receivables to General Ledger Reconciliation report reconciles the transaction types that impact the accounts receivable in general ledger. These include:

  • Invoice

  • Debit memo

  • Credit memo

  • On-account credit memo

  • Chargeback

  • Adjustment

  • Applied receipt

  • On-account receipt

  • Unapplied receipt

  • Unidentified receipt

  • Bills receivable

  • Bills receivable application

Note: On-account credit memo refund amounts and on-account credit memo gain or loss amounts are included in the Invoices section of the Reconciliation report, because they affect the open balance of the receivable amount of the credit memo. In all cases the intent is to close the credit memo, so both the original credit memo and the activity against it are displayed.

The report also reconciles manual journal entries created in the Receivables subledger.

If your business unit is implicitly mapped to the primary balancing segment value in the chart of accounts, you can run the report to reconcile by either business unit or ledger. If there is no implicit mapping, then you must reconcile by ledger.

Note: This mapping is not defined anywhere in Receivables or General Ledger.

What happens to accounting periods during reconciliation?

When you drill down in the Receivables to General Ledger Reconciliation report, you see real-time details that make up balances from the summary report. In order to guarantee that the summary balance for each type of activity agrees with the drill-down detail, you must ensure that you limit access to an accounting period when you run the Prepare Receivables to General Ledger Reconciliation program. Otherwise additional activity might be added to that period after the extract has run.

Set the accounting period status to Closed or Close Pending. You typically set the accounting period to Close Pending during the review process, and then reopen the period if adjusting entries need to be added. You must ensure that the subsequent accounting period is open, in order that business operations continue during the reconciliation process.

There is one important difference between a Closed and Close Pending status. If the period status is set to Closed, Receivables checks for incomplete invoices and orphan accounting lines. These validation checks are not performed under a Close Pending status.

Either status will prevent additional entries in the closed period.

Note: You can't reopen a Closed or Close Pending Receivables accounting period once the general ledger accounting period has been closed. This guarantees that the subledger is properly synchronized to the general ledger.

What's a variance amount?

A variance amount is a line in the Receivables to General Ledger Reconciliation report that displays the total amount of variance between transactional and accounted amounts.

Variance amounts are due to some type of data corruption. There are two types of variance amounts: receivables variance and accounting variance. A receivables variance is the result of data corruption in the Receivables tables. An accounting variance is the result of data corruption either in subledger accounting or the general ledger. Variance amounts don't display in any other section of the summary or detail reports.

The Receivables to General Ledger Reconciliation Accounting variance report captures information related to these two causes of data corruption:

  • Accounting entries in general ledger sourced from subledger accounting that are present in the general ledger tables, but not available in the subledger accounting tables.

  • Accounting entries transferred from the subledger to general ledger that are present in the subledger accounting tables, but are not available in the general ledger tables.

Why can't I close an accounting period?

One or more exceptions are preventing you from closing the accounting period.

Set the period status to Close Pending and run the Subledger Period Close Exceptions report. This report provides detailed information about your accounts, including any exceptions that may prevent you from closing an accounting period. After you clear the exceptions, you can close the accounting period.

What's the difference between a closed and close pending accounting period?

To set an accounting period to the Closed status, you must first clear any unposted items. Once an accounting period is closed, journal entry, transaction entry, and posting are not allowed unless you reopen the accounting period.

The Close Pending status differs from the Closed status in two ways:

  • This status doesn't validate for unposted items.

  • You can still create journal entries for activity that existed in the accounting period prior to setting it to Close Pending.

Reports for Customer Account Balances

Overview of the Bad Debt Provision Report

This topic contains summary information about the Bad Debt Provision Report.

Overview

The Bad Debt Provision Report provides information about your bad debt exposure.

This image shows output from the Bad Debt Provision
Report.

Key Insights

The report uses the percent collectible value that you specify in the Collectible field of the Credit and Collections section of the customer account profile to calculate the bad debt provision.

Frequently Asked Questions

The following table lists frequently asked questions about the Bad Debt Provision Report.

FAQ Answer

How do I find this report?

Reports and Analytics pane - Shared Folders - Financials - Receivables - Accounting

Who uses this report?

Financial Manager during period close processing.

When do I use this report?

When you need customer overdue transaction collectibility information to create the provision for bad debt accounting journals.

What can I do with this report?

Schedule periodically.

What type of report is this?

Oracle Business Intelligence Publisher

Bad Debt Provision Report

Use the Bad Debt Provision Report to review your bad debt exposure. The report prints for each customer all open debit items, unapplied receipts, and on-account credits, and the provision for bad debt based on the percent collectible.

The Bad Debt Provision Report uses the percent collectible value that you specify in the Collectible field of the Credit and Collections section of the customer account profile to calculate the bad debt provision. The report does not include customers with profiles that do not have a value assigned to this field.

Submit this report according to your customer account review requirements.

Report Output

The report by default sorts information by customer account status, but you can sort the information within each account status by customer name or customer account number.

This table describes column headings in the output of the Bad Debt Provision Report.

Column Heading Description

Class and Transaction Type

In the context of this report, any activity against an open item, including payments.

Ledger Currency Bad Debt Provision

The bad debt provision based on the ledger currency balance due and the percent that is uncollectible.

This table describes row headings in the output of the Bad Debt Provision Report.

Row Heading Description

Total for Customer [Name]

The total balance due and provision for each customer in the ledger currency.

Total for Report

The total balance due and provision for all customers in the report in the ledger currency.

Overview of the Customer Account Status Report

This topic contains summary information about the Customer Account Status Report.

Overview

The Customer Account Status Report displays detailed information about each of your customer accounts.

This image shows output from the Customer Account
Status Report.

Key Insights

The report displays for each customer all open debit items, credit items, and total balance due in the ledger currency.

Frequently Asked Questions

The following table lists frequently asked questions about the Customer Account Status Report.

FAQ Answer

How do I find this report?

Reports and Analytics pane - Shared Folders - Financials - Receivables - Receivables Balances

Who uses this report?

Financial Specialist or Financial Manager when analyzing customer accounts.

When do I use this report?

When you want to analyze the detail that makes up the customer account balances by specific account statuses or collectors.

What can I do with this report?

Schedule as needed.

What type of report is this?

Oracle Business Intelligence Publisher

Customer Account Status Report

Use the Customer Account Status Report to review your customer accounts. The report displays for each customer all open debit items, credit items, and total balance due in the ledger currency.

Run this report according to your customer account review process.

Selected Report Parameters

Order By

Arrange the information in the report by Collector, Customer Name or Customer Account Number.

From/To Account Status

Limit the report to customer accounts within a range of account statuses. The range you specify includes all statuses in alphabetic order.

Report Output

This table describes important column headings in the Customer Account Status Report.

Column Heading Description

Transaction Number

Either the transaction number or the receipt number for customer payments.

Class

Indicates a debit item, credit item, bill receivable or payment.

Transaction Date

Either the transaction date for an invoice, debit memo, credit memo or on-account credit, or the receipt date for customer payments.

Transaction Type

The transaction type for each transaction in the report. If this is a payment, the report displays Payment.

Transaction Due Date

The date payment is due for the transaction. If the transaction is an installment invoice, the report displays a separate row for each due date.

Original Amount in Ledger Currency

The original amount of the transaction in the ledger currency. The report displays credit items as negative numbers.

Balance Due in Ledger Currency

The remaining amount due for each transaction converted to the ledger currency. The report displays credit balances as negative numbers.

This table describes important row headings in the Customer Account Status Report.

Row Heading Description

Total for Account Status

The total balance due for each account status in the ledger currency.

Total for Collector (collector name) and Customer Site (site number)

The total balance due for each customer site in the ledger currency.

Total for Report

The total balance due for the entire report in the ledger currency.

Overview of the Customer Balance Revaluation Report

This topic contains summary information about the Customer Balance Revaluation Report.

Overview

The Customer Balance Revaluation Report identifies customers with credit (negative) balances.

This image shows output from the Customer Balance
Revaluation Report.

Key Insights

The report provides the balance of a customer and the open items that make up the balance, and lists customers by positive and negative balance.

Frequently Asked Questions

The following table lists frequently asked questions about the Customer Balance Revaluation Report.

FAQ Answer

How do I find this report?

Reports and Analytics pane - Shared Folders - Financials - Receivables - Receivables Balances

Who uses this report?

Financial Manager during period close processing.

When do I use this report?

When you need to create accounting journals for revaluated customer accounts and identify customers with negative balances.

What can I do with this report?

Schedule as needed.

What type of report is this?

Oracle Business Intelligence Publisher

Customer Balance Revaluation Report

Use the Customer Balance Revaluation Report to identify customers with credit (negative) balances. The enterprises in certain countries are required to enter a manual journal entry to adjust the general ledger balance for these customers.

The report provides you with two results:

  • Independent from the accounting entries for your receivables account, this report gives you the balance of your customer and the open items that make up the balance. It takes into account on-account receipts.

  • The report lists the customers with a negative balance only, customers with a positive balance only, or both positive and negative balances, depending on the setting of the Customer Balance parameter. This information is needed for countries that require a separate entry on the balance sheet for customers with a negative balance.

Use the results of this report to determine the amount you need to manually adjust your general ledger balance to reflect the difference between the original balance and the revaluated balance. You would then reverse this entry at the beginning of the following period to resynchronize your receivables with general ledger accounts.

Note: Make sure you have entered an End-of-Period (EOP) rate for each currency used. If any EOP is missing, the report notifies you that the results calculated may be incorrect.

Run this report in conjunction with both your customer account reviews and reconciliation activities.

Selected Report Parameters

Revaluation Period

The period that you want to revaluate.

Include up to Due Date

If you want to differentiate short-term, mid-term, and long-term receivables activities, enter a date in this parameter. Otherwise, leave the field blank.

Customer Balance
  • Show positive Balance: List only customers with a positive balance.

  • Show negative Balance: List only customers with a negative balance.

  • Show positive and negative Balance: List the balance for all customers. This is the default.

Report Output

This table describes important column headings in the Customer Balance Revaluation Report.

Column Heading Description

Transaction Number

The number of the transaction.

Transaction Type

The name of the transaction type.

Transaction Date

The date of the transaction.

Due Date

The due date of the transaction.

Currency

The transaction currency.

Open Original Amount

The balance of the transaction in the entered currency.

Conversion Rate

The conversion rate for foreign currency transactions. This value is 1 for ledger currency transactions.

Open Ledger Currency Amount

The balance of the transaction in the ledger currency valuated at the conversion rate used when the transaction was approved.

EOP Rate

The End-of-Period rate, which the report uses to revaluate the balance of the transaction.

EOP Open Ledger Currency Amount

The balance of the transaction in the ledger currency revaluated using the EOP rate.

Open Revaluated Amount

Receivables uses the lower of the Open Ledger Currency Amount and the EOP Open Ledger Currency Amount to determine the market value of the open item.

This table describes important row headings in the Customer Balance Revaluation Report.

Row Heading Description

Customer Name/Customer Account Number

The customer name, customer account number, and customer site with open items.

Total

The total open ledger currency amount, EOP open ledger currency amount, and open revaluated amount for the customer.

Balance for [Customer Name]

The total open balance for the customer in the ledger currency.

Debit

The sum of the positive open items for the customer.

Credit

The sum of the negative open items for the customer.

Tip: The Debit and Credit totals help you determine the amount of the adjustments to your general ledger balances.

FAQs for Review Customer Account Balances

When is a receipt at risk?

You can apply a receipt to an open debit item before cash is actually received from the bank. Receipts with a Standard remittance method are considered at risk if they have been confirmed, but not yet cleared. Receipts with a Factored remittance method are considered at risk if they haven't yet been risk-eliminated.

By default receipts at risk appear as part of the customer open balance. Enable the Exclude receipts at risk option to remove these receipt amounts from the open balance calculation.

The total open receivables amount is the amount per currency of the amount in the Total Transaction Due Amount column less the amount in the Receipts Pending Application Amount column. This amount provides the current receivables position of a customer account.

What is the last transaction and last receipt?

The Review Customer Account Details page displays information about the most recent transaction and the most recent receipt belonging to the selected customer account. If there were multiple transactions or receipts on the same date, the page displays the transaction and receipt with the largest amount.

This display is by date and, if applicable, by amount only. The transaction and receipt displayed don't necessarily reference the same business unit or share the same entered currency.

What's the difference between account activity and transaction activity?

Activity against a customer account refers to the transactions and payments that go into the details of the account.

Customer account activities include:

  • Invoice

  • Credit Memo

  • Debit Memo

  • Chargeback

  • Payment (receipt)

Activity against an individual transaction or receipt refers to the specific debits, credits, reversals, and adjustments that constitute the history of one receivables item.