User Interface Setup

You can also set up system options, payment term templates, and discount rate indexes from the Manage Lease Accounting Configuration page.

You must do the following steps to start the setup process:

Ensure you have the Financial Application Administrator role assigned to you.

Navigate to the Setup and Maintenance page from the My Enterprise menu.

Change the functional area to Financials from the functional area list.

Click Lease Accounting.

You can set up Oracle Lease Accounting using the new user interface for setup in the 'Manage Lease Accounting Configuration' option.

Manage Lease Accounting Configuration UI Setup:

You can complete the setup required for system options, discount rate indexes, and payment term templates directly from the Search page.

You can select the following options from the Search Options:

• Search System Options

• Search Discount Rate Indexes

• Search Payment Term Templates

You can also edit, update, and duplicate the setups from the Manage Configuration setup.

System Options Setup

You can give the following information for system options setup:

General:

Field	Description
Business Unit	Select the business unit.
Primary Accounting Standard	Select the primary accounting standard. The valid options are IFRS16 and ASC842. The accounting for compliance leases and their balances are generated according to the selected accounting standard.
Secondary Accounting Standard	Select the secondary accounting standard, if you require. You must only select the secondary accounting standard if you need to comply with both standards. If the primary is IFRS16, the secondary will be ASC842 if both accounting standards are applicable for reporting and vice versa.
Item Master	Select the item master.
Default Currency Conversion Type	Select the default currency conversion type.
Ledger Name	Displays the ledger name.
Secondary Ledger	Select the secondary ledger. Add a secondary ledger only if you need to comply with the secondary accounting standard. Note: You don't need to choose a secondary ledger if you don't need to report and account in multiple GAAPs.

Amortizations:

Field	Description
Amortization Calculation Frequency	Select 'Daily' or 'Periodic' as the calculation frequency of amortizations.
Calculation Calendar	Select the calculation calendar.
Interest Calculation Method	Currently, 'Daily Compound Interest' is the default method.

Numbering:

Field	Description
Auto Lease Numbering	Select this option to allow autonumbering of leases.
Auto Asset Numbering	Select this option to allow autonumbering of assets.

Approvals:

Field	Description
Lease Transactions Approval	Select to allow approval of imported lease transactions.
Import Preference	Select the import preference. You can choose from the following import preferences: Auto Approve All Leases: Select to set all the leases to be auto approved for accounting. Auto Approve Migrated Leases: Select to set only the migrated leases to be auto approved for accounting. Auto Approve All Leases: Select to set only the nonmigrated leases to be auto approved for accounting. No Auto Approval: Select to set all the imported leases not to be auto approved for accounting.

Payment Processing:

Field	Description
Payables Integration	Select to allow Payables accounting integration in Lease Accounting.

Lease Liability Reclass:

Field	Description
Reclass Liability	Select to allow reclassification of liabilities in Lease Accounting.
Reclass Liability From Period	Initial Setting: No Active Leases in Lease Accounting: If there are no active leases already present in the business unit, FLA flips the value for the Reclass Liability from 'Null' to 'Yes', the reclass calculation starts from the Lease Amortization Date. The Lease Amortization Start Date can be different for different leases, so it can be different from lease to lease. All calculations for reclass will start from Lease Amortization Start Date. The Reclass Liability From Period has a value of Not Applicable in read-only mode as follows: Subsequent Setting, following matrix is followed: From To Active Leases Accruals Already Run? Reclass Liability From Period (Always read-only) Null Yes Yes Yes GL Period After Last Accrual. Null Yes Yes No Not Applicable. Lease Amortization Start Date. No Yes Yes Yes GL Period After Last Accrual. No Yes Yes No Not Applicable. Lease Amortization Start Date.

Click Save and Close.

Discount Rate Indexes Setup:

You can give the following information for setting up the discount rate indexes:

Field	Description
Business Unit	Select the business unit.
Index Name	Enter the name of the index.
Effective From	Select the effective start date for the index.
Description	Enter a description for the index.

Click Save and Close.

Payment Term Templates Setup

You can give the following information for setting up the payment term templates:

General:

Field	Description
Business Unit	Select the business unit.
Payment Template Name	Select the payment template name.
Template Type	Select whether the template is for a payment or an option.
Active	Select whether the template is active or not.
Description	Enter a description for the template.

Payment Details:

Field	Description
Payment Purpose	Select a payment purpose. You can choose from the following purposes: Base Rent Cleaning Depreciation Insurance Operating Expense Rent Percentage
Payment/Option Type	Select the payment or option type.
Template Type	Select whether the template is for a payment or an option. If the template is for a payment, you can choose from the following template types: Abatement Appliance Rental Base Rent Common Area Maintenance Cleaning Deposit Depreciation Direct Escalation Payment for Option If the template is for an option, you can choose from the following template types: Allowance Construction Warranty Expansion Holdover Purchase Renewal Early Termination Adjustment Residual
Payment Term	Select the payment term.
Payment Frequency	Select the payment frequency.
Supplier Name	Select the supplier.
Supplier Number	Displays the supplier number.
Supplier Site	Select the supplier site.

Accounting:

Field	Description
Liability	Select to allow liability balances on leases.
Right-of-Use	Select to allow right-of-use balances on leases.

Tax:

Field	Description
Primary Intended Use	Select the primary intended use.
Tax Classification	Select the tax classification.
Tax Included	Select whether to include tax or not.
Withholding Tax Group	Select the withholding tax group.
Product Category	Select the product category.
Product Fiscal Classification	Select the product fiscal classification.
Product Type	Select whether the template is for goods or a service.
Transaction Business Category	Select the transaction business category.
User-defined Fiscal Classification	Select the user-defined fiscal classification.

Distributions:

Click (+) to add distribution information.

Field	Description
Ledger	Select the distribution ledger name.
Account Name	Select the associated account.
Code Combination	Enter the code combination.

Click Save and Close.