Account Hierarchy Trees

Account hierarchies are defined in Oracle Fusion applications using tree functionality. Each account hierarchy is defined as a tree with one or more versions. Tree versions are used to track account hierarchies as they change over time.

For example, an account hierarchy to summarize cost of goods has different accounts for 2011, versus 2010. The changes are in the business operations and affect the chart of accounts values.

Chart of accounts values can be associated with multiple hierarchies by defining multiple trees. Using multiple trees enable create financial reports for different target audiences. For example, you can use different hierarchies to track cost centers either by geography or line of business.