Set Up Oracle Payables for Joint Venture Debit Memos

When joint venture accountants need to make adjustments to a payables invoice, they create a debit memo to back out the amount in the invoice.

The process to create debit memos carries over the partner account from the invoice to the debit memo. If you’re using the source account for the partner account, then no additional setup is needed for debit memos. However, if you're using subledger accounting rules to override the partner account with a different account, you must use subledger accounting rules to apply the same override for debit memos.

Note: This setup for debit memos isn't applicable to nonoperated joint ventures.

If you need to use subledger accounting rules to define the partner account for debit memos, the only difference is that in the mapping set for debit memos, you select Debit Memo for the event class. And then you map the same values that you mapped in the mapping set for payables invoices.

When you set up a mapping set for debit memos, make sure to give it a name that’s distinct from the mapping set that you set up for defining the partner account for payables invoices. This will help you identify the mapping set when you assign it to an account rule. Also, give the account rule a distinct name to help you identify it when you add it to the journal entry rule set.