Professional Documents
Culture Documents
x Oracle Cash
Management Fundamentals
Student Guide
D60083GC10
Edition 1.0
March 2010
D66101
Author
Mathew Daniel, Melanie Heisler
Technical Contributors and Reviewers
David Barnacle, Byung-Hyun Chung, Ivy Farren, Suzanne Miller, Parthasawarthy Ramaratnam,
Lata Sundar, Kathryn Wohnoutka
This book was published using:
Oracle Tutor
Table of Contents
Oracle Cash Management Overview .............................................................................................................1-1
Oracle Cash Management Overview .............................................................................................................1-3
Objectives ......................................................................................................................................................1-4
Agenda...........................................................................................................................................................1-5
Overview .......................................................................................................................................................1-6
Cash Management Integration.......................................................................................................................1-7
Overview of Bank Account Model................................................................................................................1-8
Setting Up for Reconciliation ........................................................................................................................1-9
Reconciliation................................................................................................................................................1-10
Reconciliation: Bank Statement Information.................................................................................................1-11
Reconciliation: Integration ............................................................................................................................1-12
Reconciliation: Oracle Receivables and Payables .........................................................................................1-13
Reconciliation: Oracle Payroll, Oracle Treasury, and Oracle General Ledger ..............................................1-14
Reconciliation: Oracle Payments...................................................................................................................1-16
Cash Forecasting ...........................................................................................................................................1-17
Cash Forecasting (Continued) .......................................................................................................................1-18
Cash Positioning............................................................................................................................................1-19
Cash Pools .....................................................................................................................................................1-20
Oracle Cash Management Reports and Programs .........................................................................................1-21
Quiz ...............................................................................................................................................................1-22
Summary........................................................................................................................................................1-26
Cash Management Security ............................................................................................................................2-1
Cash Management Security ...........................................................................................................................2-3
Objectives ......................................................................................................................................................2-4
Agenda...........................................................................................................................................................2-5
MOAC and Cash Management......................................................................................................................2-6
Multiple Organizations Access Control Setup Set Profile Options ............................................................2-7
Cash Management Security Model................................................................................................................2-9
Bank Account Maintenance Security ............................................................................................................2-10
Bank Account Access Security......................................................................................................................2-12
Cash Management Security Profiles and Reconciling Bank Statements .......................................................2-13
Cash Management Security Components ......................................................................................................2-14
Setting Up Security........................................................................................................................................2-16
Creating Bank Account Security Grants........................................................................................................2-18
Quiz ...............................................................................................................................................................2-19
Summary........................................................................................................................................................2-23
Setting Up Oracle Cash Management............................................................................................................3-1
Setting Up Oracle Cash Management............................................................................................................3-3
Objectives ......................................................................................................................................................3-4
Agenda...........................................................................................................................................................3-5
Overview .......................................................................................................................................................3-6
Setting Up Oracle General Ledger.................................................................................................................3-7
Setting Up Oracle Payables ...........................................................................................................................3-8
Setting Up Oracle Receivables ......................................................................................................................3-10
Setting Up Oracle Payroll..............................................................................................................................3-11
Setting Up Oracle Treasury ...........................................................................................................................3-12
Setting Up Oracle Cash Management: System Parameters ...........................................................................3-13
Setting up Oracle Cash Management: Bank Transaction Codes ...................................................................3-15
Setting Up Oracle Cash Management: Bank Statement Open Interface........................................................3-16
Setting Up Oracle Cash Management: Reconciliation Open Interface..........................................................3-17
Setting Up Oracle Cash Management: External Cashflow Open Interface ...................................................3-19
Copyright Oracle 2010. All rights reserved.
Objectives ......................................................................................................................................................9-4
Agenda...........................................................................................................................................................9-5
Overview .......................................................................................................................................................9-6
Creating Cash Position Worksheets...............................................................................................................9-7
Creating Cash Position Worksheets: Source Transaction Dates....................................................................9-8
Creating Cash Position Worksheets: Overdue Transactions..........................................................................9-9
Generating Cash Positions From Worksheets................................................................................................9-10
Generating Cash Positions From Worksheets (Continued) ...........................................................................9-11
Generating a Cash Leveling Proposal............................................................................................................9-14
Generating a Cash Leveling Proposal (Continued) .......................................................................................9-15
Viewing Cash Position Results......................................................................................................................9-16
Viewing Cash Position Results (Continued) .................................................................................................9-18
Exporting Cash Position Results to Your Spreadsheet Application ..............................................................9-19
Viewing Cash Positions in Discoverer ..........................................................................................................9-20
Quiz ...............................................................................................................................................................9-21
Summary........................................................................................................................................................9-25
Cash Forecasting..............................................................................................................................................10-1
Cash Forecasting ...........................................................................................................................................10-3
Objectives ......................................................................................................................................................10-4
Agenda...........................................................................................................................................................10-5
Overview of Cash Forecasting.......................................................................................................................10-6
Sources for Cash Forecasting ........................................................................................................................10-7
Cash Forecasting and Cash Positioning.........................................................................................................10-9
Defining a Cash Forecast Template...............................................................................................................10-10
Generating a Cash Forecast ...........................................................................................................................10-11
Generating a Cash Forecast: Multicurrency Forecasts ..................................................................................10-12
Modifying a Cash Forecast............................................................................................................................10-13
Exporting Cash Forecasts to Your Spreadsheet Application .........................................................................10-14
Implementation Considerations .....................................................................................................................10-15
Using Cash Forecasting Reports....................................................................................................................10-16
Quiz ...............................................................................................................................................................10-18
Summary........................................................................................................................................................10-22
Accounting Events ...........................................................................................................................................11-1
Accounting Events.........................................................................................................................................11-3
Objectives ......................................................................................................................................................11-4
Agenda...........................................................................................................................................................11-5
Overview of Accounting and Cash Management ..........................................................................................11-6
Oracle Subledger Accounting........................................................................................................................11-7
Oracle Subledger Accounting Integration .....................................................................................................11-8
Subledger Accounting: Key Concepts...........................................................................................................11-10
Subledger Accounting: Key Concepts in Cash Management ........................................................................11-11
Subledger Accounting: Setup and Process ....................................................................................................11-13
Subledger Accounting Process for Cash Management .................................................................................11-14
Creating Manual Journal Entries ...................................................................................................................11-16
Quiz ...............................................................................................................................................................11-17
Summary........................................................................................................................................................11-21
Balances and Interest ......................................................................................................................................12-1
Balances and Interest .....................................................................................................................................12-3
Objectives ......................................................................................................................................................12-4
Agenda...........................................................................................................................................................12-5
Agenda (Continued) ......................................................................................................................................12-6
Overview .......................................................................................................................................................12-7
Overview (Continued) ...................................................................................................................................12-8
Tracking Bank Balances by Account.............................................................................................................12-9
Tracking Bank Balances for Multiple Accounts............................................................................................12-10
Copyright Oracle 2010. All rights reserved.
Preface
Profile
Before You Begin This Course
Prerequisites
Related Publications
Oracle Publications
Title
Oracle Cash Management User Guide
Additional Publications
Read-me files
Oracle Magazine
Part Number
E13483-03
Typographic Conventions
Typographic Conventions in Text
Convention
Bold italic
Caps and
lowercase
Courier new,
case sensitive
(default is
lowercase)
Initial cap
Element
Glossary term (if
there is a glossary)
Buttons,
check boxes,
triggers,
windows
Code output,
directory names,
filenames,
passwords,
pathnames,
URLs,
user input,
usernames
Arrow
Brackets
Commas
Graphics labels
(unless the term is a
proper noun)
Emphasized words
and phrases,
titles of books and
courses,
variables
Interface elements
with long names
that have only
initial caps;
lesson and chapter
titles in crossreferences
SQL column
names, commands,
functions, schemas,
table names
Menu paths
Key names
Key sequences
Plus signs
Key combinations
Italic
Quotation
marks
Uppercase
Example
The algorithm inserts the new key.
Click the Executable button.
Select the Cant Delete Card check box.
Assign a When-Validate-Item trigger to the ORD block.
Open the Master Schedule window.
Code output: debug.set (I, 300);
Directory: bin (DOS), $FMHOME (UNIX)
Filename: Locate the init.ora file.
Password: User tiger as your password.
Pathname: Open c:\my_docs\projects
URL: Go to http://www.oracle.com
User input: Enter 300
Username: Log on as scott
Customer address (but Oracle Payables)
Element
Oracle Forms
triggers
Column names,
table names
Example
When-Validate-Item
Passwords
SELECT last_name
FROM s_emp;
PL/SQL objects
Lowercase
italic
Uppercase
Syntax variables
1.
(N) From the Navigator window, select Invoice then Entry then Invoice Batches
Summary.
2.
3.
Notations:
(N) = Navigator
(M) = Menu
(T) = Tab
(B) = Button
(I) = Icon
(H) = Hyperlink
(ST) = Sub Tab
Copyright Oracle 2010. All rights reserved.
In the navigation frame of the help system window, expand the General Ledger entry.
2.
3.
4.
Review the Enter Journals topic that appears in the document frame of the help system
window.
Objectives
Agenda
Overview
Overview
Oracle Cash Management is an enterprise cash management solution that helps you manage
your liquidity and cash position.
Manage and control your cash cycle: track closing ledger and available balances as well
as month-to-date and year-to-date averages.
Create all bank accounts centrally
Transfer funds between bank accounts manually or automatically.
Reconcile bank accounts
Use cash pools to optimize funds
Forecast your cash needs
Reconciliation
Reconciliation
This graphic depicts the Reconciliation lifecycle flow.
Enter the detailed bank information manually or electronically.
Reconcile these information with your system transactions manually or automatically.
While reconciling, you can create miscellaneous transactions for bank-originated entries and
manually enter payments and receipts.
You can manually or automatically clear payments, receipts, open interface and
miscellaneous transactions before reconciliation to maintain current cash account balances.
After reconciliation, review the Bank Statement Detail, Bank Statement Summary, and Bank
Statement by Number Reports.
You can post the accounting entries to your general ledger. You can reconcile your general
ledger cash account balance to your bank account balance in Cash Management by printing
the General Ledger Reconciliation Report.
Reconciliation: Integration
Reconciliation: Integration
Oracle Cash Management shares functionality with Receivables, Payables, Payroll,
Payments, Treasury, General Ledger, and other external systems.
When you import bank statements from a shared bank account, Cash Management uses
the balance provided by your bank to update the bank account balances in Treasury.
Cash Forecasting
Cash Forecasting
This graphic depicts the Cash Forecasting process flow.
Cash Forecasting is a planning tool for anticipating business cash inflow and outflow so that
you can protect your cash needs and evaluate your liquidity position.
Cash Positioning
Cash Positioning
Cash Positioning is a planning tool for viewing your daily cash position by currency or bank
account to protect your cash needs and evaluate your liquidity position. The daily cash
positions are based on actual cash flows from various Oracle applications. You can generate
a daily cash position from a single or multiple currencies, bank accounts, and legal entities.
Cash Pools
Cash Pools
Cash pooling is a Cash Management technique for optimizing bank account balances at one
or several banks. It is usually performed daily, by transaction, or by total net end-of-day
balances.
If your cash position includes cash pools, generate a cash leveling proposal. The cash
leveling proposal is calculated online based on the sub account target balances and transfer
amount calculation rules.
For notional cash pools and physical cash pools with bank initiated sweeps, use the cash
leveling proposal to approximate the projected closing balance of the concentration account,
so that the investment or funding decisions could be made from the concentration account
based on the projection.
For physical cash pools that do not have bank initiated sweeps, generate Intercompany
Funding Transactions and/or Inter-Account transfers from the cash leveling proposal. These
transfers can then be included in the payment file and sent to the bank through Oracle
Treasury.
Quiz
Answers: 1
Quiz Specifications
The correct answer is You can use Oracle Cash Management to manage your bank
and bank account information.
Quiz
Answers: 4
Quiz Specifications
The correct answer is In Batch Booking, a statement line can be matched to a Batch, a
Group, or a Transaction.
Quiz
Answers: 2
Quiz Specifications
The correct answer is Oracle Cash Management through Oracle Payments covers the
SEPA Credit Transfer (SCT) feature, which is a payment instrument for the execution of
credit transfers in Euro between two parties located in the SEPA (Single European
Payment Area) zone.
Quiz
Answers: 2, 4
Quiz Specifications
The correct answer is Cash inflow data is accessible for forecasting from Oracle
Receivables and Oracle Projects.
Summary
Objectives
Agenda
MO: Operating Unit profile option provides backwards compatibility and supports
products that do not use MOAC. If you specify a security profile for the MO: Security
Profile, then those products that use MOAC will ignore the MO: Operating Unit profile
option.
For more information on multiple organization setup, see: Oracle Applications Multiple
Organizations Implementation Guide.
Note: If a user is assigned to multiple roles and those roles have bank account maintenance
grants to multiple legal entities, then the user will view all legal entities in Cash Management
regardless of which responsibility he or she uses to access the application.
Setting Up Security
Setting Up Security
To set up security to control access to your bank accounts, you need to complete the following
steps. These steps are a general guideline to the components that affect bank account
security but may be performed at various stages during implementation of your system. Once
the setup is in place, it will be referenced to verify access every time a user attempts to create
a bank account, reconcile a bank statement or perform any other actions in Cash
Management.
Define business groups.
Create users, assign responsibilities, and set HR profile options including HR: Business
Group.
Define legal entities and accounting setups.
Define operating units and run replicate seed program.
Define security profiles: For Multi-Org access, select operating units for your security
profile. The security profile is then assigned to the responsibility or user which will give
the responsibility or user access to these operating units.
Set Cash Management profile options: MO: Security Profile, MO: Default Operating Unit,
and MO: Operating Unit (if needed).
Set up UMX security: Use the CE UMX Security Wizard and create security grants for
legal entities for specific roles (responsibilities).
Set up system parameters for Cash Management, Treasury (if using), Payroll (if using)
and other applications as needed.
Create bank accounts
Quiz
Answers: 1
Quiz Specifications
The correct answer is Multiple Organization Access Control (MOAC) lets you define
multiple organizations and the relationships among them in a single installation of Oracle
Applications.
Quiz
Answers: 1, 2, 4
Quiz Specifications
The correct answer is The three different types of security used by Cash Management
are Bank Account Maintenance, Bank Account Access, and Bank Account Transfer .
Quiz
Answers: 2
Quiz Specifications
The correct answer is Users can transfer funds if their assigned Legal Entity has been
given Bank Account Transfer right.
Quiz
Answers: 2
Quiz Specifications
The correct answer is MOAC uses three profile options: MO: Security Profile, MO:
Default Operating Unit, and MO: Operating Unit.
Summary
Objectives
Agenda
Overview
Overview
Setting Up Oracle Cash Management
Before setting up Cash Management, you should set up Oracle Application responsibilities
and users for the implementation. You must also set up underlying Oracle Applications
Technology.
Through Oracle Applications Multiple Organization Support, you can use multiple sets of
books for one Cash Management installation and assign a ledger (with its unique calendar,
chart of accounts, and functional currency) to each operating unit you define. You can
segregate transactions by operating unit while sharing certain data:
Currencies
Exchange Rates
Organizations
Ledgers
Bank Accounts
Use the Payables Setup section in the Oracle Payables Implementation Guide for help in
completing the setup steps.
Show Void Payments: You must check this check box if you want voided payments
available for reconciliation.
Signing Authority Approval:
Workflow Enabled
Manually Controlled
Cash Management Transactions:
Accounting: Exchange Rate Type, Bank Statement Cashflow Rate Date, Bank Transfer
Rate Date
Bank Account Transfers: Authorization
Note: Set up bank reconciliation controls such as matching order and float status for each
bank account when you create or update a bank account.
Quiz
Answers: 2
Quiz Specifications
The correct answer is Set the AR: Allow Tax Code Override profile option to Yes to
override the default value for the Tax Code field.
Quiz
Answers: 3
Quiz Specifications
The correct answer is Assign the business group to the HR security profile is part of the
setup for Oracle Payroll.
Quiz
Answers: 2
Quiz Specifications
The correct answer is You can also use a custom loader program to load the bank
statement information into Oracle Cash Management.
Quiz
Answers: 4
Quiz Specifications
Summary
Objectives
Agenda
Defining Banks
Defining Banks
(N) Cash Management, Vision Operations (USA) > Setup > Banks (T) Bank
To define a bank, complete these setup steps:
Bank Information
Select Create.
Select one of the two radio buttons in the Bank Options region. When creating a new
bank, you can either create a new bank or add bank details to an existing party defined
in your Trading Community.
Enter a country name or select a country from the list of values. This is a mandatory
field.
Enter the Bank Name. This is a mandatory field.
Optionally, enter an Alternative Bank Name, Short Bank Name, Bank Number,
Description, Taxpayer ID, Tax Registration Number, XML Messages Email, Inactive
Date, and Context Value.
Select Finish to save your bank or select Save and Next to enter Bank Address
information
Bank Address Information
Copyright Oracle, 2010. All rights reserved.
Enable the Multiple Currency Payments, Allow Zero Payments, and Pooled
Account options, if required.
- Enter the Maximum Outlay, Minimum Payment, and Maximum Payment.
Reconciliation Controls Region
- Select the Payables Matching Order 1 and Matching Order 2, Receivables
Matching Order, and Float Handling.
Foreign Currency Bank Region
- Select the Exchange Rate Type and Exchange Rate Date.
Open Interface Controls Region
- Select the Use Reconciliation Open Interfaces, if required, and Open Interface
Matching Criteria.
- Enter the Float Status and Clear Status.
Manual Reconciliation Tolerances Region
- Enter the Tolerance Amount and Tolerance Percentage.
Auto Reconciliation Tolerances Region - Payments
- Enter the Tolerance Amount and Tolerance Percentage.
- Select the Foreign Tolerance Differences and Tolerance Differences.
Auto Reconciliation Tolerances Region - Cashflows
-
Bank accounts you assign to your payment methods are used for Payroll
reconciliation in your Cash Management responsibility. To use the bank accounts
in Cash Management, provide the following information:
Name
Type
Currency
Source Bank
Bank Details
Ledger (optional)
GL Cash Account (optional)
To use the Journal Entry Line reconciliation feature from your Payroll bank accounts in
Cash Management, specify a cash account and ledger. The ledger you specify here
should be the same ledger you assign to the GL: Ledger profile option for your Cash
Management responsibility.
In Cash Management, you can view reconcile Payroll transactions whose bank accounts
are set up with Payroll Use and the business group assigned in the Bank Account Use is
the one you have in HR: Security profile option.
Set up the bank transactions codes in Cash Management for the bank account defined
in Payroll: Payments and Stopped Payments.
Use the Setting Up Oracle Payroll for Oracle Cash Management Integration section in the
Oracle Cash Management User Guide for help in completing the setup steps.
Optionally, select whether to create transactions for any miscellaneous payments and
miscellaneous receipts reported on the bank statement when no transaction number is
provided. If you selected Create option, specify the Receivables Activity type and
Receipt Method.
Click Save to record the bank transaction code. Similarly, you can define other
transaction codes for the bank account.
Use the Bank Transaction Codes section in the Oracle Cash Management User Guide for
help in completing the setup steps.
If the start date of a new entry for the same signer and bank account is before the earliest
start date of the existing entries, the end date should be prior to the earliest start date of the
existing entries.
Enter a Signing Authority Multiple Times
You may enter a signer multiple times on the same account, but you cannot overlap the
effective date ranges.
If the start date of a new entry for the same signer and bank account is before the earliest
start date of the existing entries, the end date should be before the earliest start date of the
existing entries.
Example To add signer As limit for April through June 2005, enter the start and end dates to
be before 01-APR-05.
Signer A, Single Limit 50,000, Start Date 01-JAN-07, End Date 31-MAR-07
Signer A, Single Limit 70,000, Start Date 01-JUL-07, End Date <NULL>
Use the Maintaining Bank Account Signing Authorities section in the Oracle Cash
Management User Guide for help in completing the setup steps.
Quiz
Answers: 2
Quiz Specifications
The correct answer is Entering the Tax Registration Number while creating a bank is
optional.
Quiz
Answers: 2
Quiz Specifications
The correct answer is The Branch Type field is mandatory while creating a bank
branch.
Quiz
Answers: 2
Quiz Specifications
The correct answer is In Reconciliation Controls, we have two Payables Matching order
and one Receivables Matching order.
Quiz
Answers: 3, 4
Quiz Specifications
Summary
Bank Transfers
Chapter 5
Bank Transfers
Chapter 5 - Page 1
Bank Transfers
Chapter 5 - Page 2
Cash Transactions
Bank Transfers
Chapter 5 - Page 3
Objectives
Bank Transfers
Chapter 5 - Page 4
Agenda
Bank Transfers
Chapter 5 - Page 5
Overview
Overview
Bank account transfers represent fund transfers between internal bank accounts.
Bank account transfers can be done either manually or automatically. The access to bank
account transfer creation for a particular legal entity is subject to bank account use security.
The bank account transfers are reflected in Cash Position automatically. Payment processing
for bank account transfers is managed using Oracle Payments. Journal entries are created
through a centralized subledger accounting engine.
From the point of view of bank account ownership, you can either do a Intra-Company bank
transfer or a Inter-Company bank transfer. Intra-company transfers represent cash transfers
between two internal bank accounts that belong to the same legal entity, while Inter-company
transfers represent cash transfers between two internal bank accounts that belong to two
different legal entities. In case of such transfers, the system can produce balanced journal
entries for both legal entities.
And from the point of view of transfer currency, you can either do a Domestic bank transfer or
an International bank transfer. In Domestic bank transfer, the currency of both bank accounts
and the transfer amount is the same. For example, you are transferring USD between two
bank accounts that are denominated in USD. In International bank transfer, The currency of
one bank account is the same as the currency of the transfer amount but the currency of the
Bank Transfers
Chapter 5 - Page 6
other bank account is different. For example, you are transferring USD from a bank account
denominated in USD to the bank account denominated in EUR.
Bank Transfers
Chapter 5 - Page 7
Bank Transfers
Chapter 5 - Page 8
Bank Transfers
Chapter 5 - Page 9
Bank Transfers
Chapter 5 - Page 10
Bank Transfers
Chapter 5 - Page 11
Bank Transfers
Chapter 5 - Page 12
Bank Transfers
Chapter 5 - Page 13
Bank Transfers
Chapter 5 - Page 14
Bank Transfers
Chapter 5 - Page 15
Cashflows
Cashflows
Cashflows can be created from the following programs:
Manual Entry of Bank Account Transfers.
Generate Sweep Transactions
Cash Leveling
Bank Statement Cashflows
Each cashflow is designed to produce a balanced journal, with a debit and credit journal entry.
Cashflows are also used in clearing and reconciliation. Cashflows can be included in Cash
Positioning as inflow and outflow sources.
Bank Transfers
Chapter 5 - Page 16
Bank Transfers
Chapter 5 - Page 17
Enter the GL Account Number which will be used to record the receipt or expense. The
cash GL Account Number will be derived from the bank accounts cash GL account
defined in the General Controls.
Optionally, enter the Reference information. This can be used for reporting purposes and
will be included in the journal entry associated with the created cashflow.
Optionally, Select a Transaction Subtype.
Bank Transfers
Chapter 5 - Page 18
Bank Transfers
Chapter 5 - Page 19
Bank Transfers
Chapter 5 - Page 20
Quiz
Answers: 1
Quiz Specifications
The correct answer is A bank account transfer is available for journal creation only after
it is validated.
Bank Transfers
Chapter 5 - Page 21
Quiz
Answers: 1, 3
Quiz Specifications
The correct answer is Cashflows can be generated using the Generate Sweep
Transactions and Cash Leveling programs among others.
Bank Transfers
Chapter 5 - Page 22
Quiz
Answers: 2
Quiz Specifications
The correct answer is Cash Management supports both automatic and manual creation
of journal entries.
Bank Transfers
Chapter 5 - Page 23
Quiz
Answers: 3
Quiz Specifications
Bank Transfers
Chapter 5 - Page 24
Summary
Bank Transfers
Chapter 5 - Page 25
Bank Transfers
Chapter 5 - Page 26
Objectives
Agenda
Overview
Overview
This graphic depicts the Bank Statement process flow from receiving and loading bank
statement to performing reconciliation to creating journal entries and posting to General
Ledger.
Loading Bank Statement Open Interface: Using the Bank Statement Loader
Program
This graphic depicts the process flow of loading bank statements using the loader program.
Use the Bank Statement Loader program to map and transfer bank statement data from an
electronic bank statement into the open interface tables in Oracle Cash Management.
You can execute the Bank Statement Loader program in one of the following modes:
Load
Load and Import: Bank Statement Import program starts after the Bank Statement
Loader program completes successfully.
Load, Import, and AutoReconciliation: Bank Statement Import and AutoReconciliation
programs launch after successful completion of the Bank Statement Loader program.
In either case, if the Bank Statement Loader program completes with errors or warnings, the
concurrent request terminates. You can review the exceptions encountered by the Bank
Statement Loader program using the Bank Statement Loader Execution Report.
Quiz
Answers: 1
Quiz Specifications
The correct answer is If the validation of bank statements fails, the XML Gateway sends
e-mail notifications to the administrator and bank contact.
Quiz
Answers: 2, 4
Quiz Specifications
The correct answer is When you load bank statement information into the Bank
Statement Open Interface tables, the Bank Statement Import program performs the
following validations: Bank statement header, Control total, Statement line, and
Multicurrency.
Quiz
Answers: 1
Quiz Specifications
The correct answer is You can correct the data using the Bank Statement Interface and
Bank Statement Interface Lines windows.
Quiz
Answers: 1, 2, 4
Quiz Specifications
The correct answer is Load, Load and Import, and Load, Import, and AutoReconciliation
are the valid modes for execution of the Bank Statement Loader program.
Summary
Objectives
Objectives
Agenda
Agenda
Agenda
Overview
Overview
This graphic depicts the Bank Statement process flow from receiving and loading bank
statement to performing reconciliation to creating journal entries and posting to General
Ledger.
You can use the AutoReconciliation program to automatically reconcile any bank statement in
Oracle Cash Management.
After you run the program, you can review the AutoReconciliation Execution Report to identify
any reconciliation errors that need to be corrected. You can run this report automatically or as
needed, and also review reconciliation errors online.
After automatically reconciling a bank statement and correcting any reconciliation errors, you
can run the Bank Statement Detail Report, which shows statement and transaction data for a
specific bank account statement, any unreconciled transactions separately with their current
status, and the statement totals for each transaction type. Or you can use the View Bank
Statements window to review reconciled and unreconciled statement lines. If lines remained
unreconciled, you can update the bank statement and rerun the AutoReconciliation program
and reconcile the statement lines manually.
Once you have reviewed your reconciliation results, you can transfer the accounting entries to
your general ledger from Oracle Payables and Oracle Receivables. If you use Oracle General
Ledger, you can reconcile you General Ledger cash account balance to your bank account
balance by running the GL Reconciliation Report.
Overview (Continued)
Overview (continued)
You can run the following programs from the Submit Request, Reconcile Bank Statements, or
the Bank Statement Interface windows. You can also import and automatically reconcile a
bank statement from the Bank Statement Loader program by selecting the Load, Import, and
AutoReconciliation option.
AutoReconciliation: Used to reconcile any bank statement entered in Cash
Management.
Bank Statement Import: Used to import an electronic bank statement after loading the
bank statement file into the Bank Statement Open Interface tables
Bank Statement Import and AutoReconciliation: Used to import and reconcile a bank
statement in the same run.
Overview (Continued)
Overview (continued)
Bank reconciliation features linking to multiple sources such as Oracle Payables, Oracle
Receivables, Oracle Payroll, Oracle Treasury, and Oracle General Ledger from Oracle Cash
Management.
Overview (Continued)
Overview (continued)
Bank reconciliation features reconciling bank accounts across different operating units.
Note: The BIC validation will be done in the Supplier Bank Branch screens. It will also be
validated when the BIC code is entered from the supplier's screen during defining an external
bank account.
Unreconciling Transactions
Unreconciling Transactions
When you unreconcile transactions, Cash Management changes the Reconciled Status of the
statement line. The unreconciled transactions are once again available for reconciliation.
Unreconciliation can be done for each reconciled statement line manually or for whole bank
statement by submitting the Unreconcile Bank Statement Program in the Submit Request
window. The program has three parameters: Bank Account, Statement Number, and Line
Number. To view the results of the Unreconcile Bank Statement program, navigate to the
Bank Statement Lines window.
Recording Exceptions
Recording Exceptions
If you implement the automatic bank transmission feature, use the Payment Exceptions
Report to view payment exceptions generated by the bank and transmitted to your local
directory. You can view the transmission history and the actual report in the Transmissions
window. In the Find Transmissions window, choose the file type of EXCEPTION to query
exceptions reports. Select the File Text field of the file you want to view and choose Edit Field
from the Edit menu. The Editor window displays the content of the file you selected.
To resolve the payment exceptions, you need to manually unreconcile the transactions in
Cash Management and void the payment in Payables.
Entering Reversals
AutoReconciliation Matching
AutoReconciliation Matching
The AutoReconciliation program can match to a payment, receipt, miscellaneous payment, or
miscellaneous receipt line. The program handles both reversal and adjustment methods. If
you dont have the transaction number, Cash Management will use the invoice and the agent
bank account number to match.
Reversal Method: For example, if the reversal entry is a miscellaneous receipt, then the
program matches to a payment or miscellaneous payment. If the amounts net out to zero,
then the program assumes there is a match and reconciles the statement lines.
Adjustment Method: The statement line can be a payment, receipt, miscellaneous payment,
or miscellaneous receipt, as long as the amount netted out is within the tolerance of the
original transaction.
If the error statement line is already reconciled to a transaction due to the amount difference
between the transaction and statement line falling within the tolerance amount, you must first
unreconcile the error statement line before the AutoReconciliation program will reconcile it
with the correction statement line.
Summary
Quiz
Answers: 2
Quiz Specifications
The correct answer is A SEPA Credit Transfer (SCT) is a payment instrument for the
execution of credit transfers in Euro between two parties located in the SEPA (Single
European Payment Area) zone.
Quiz
Answers: 1, 2, 3
Quiz Specifications
The correct answer is During automatic sweep generation, the following error messages
are shown in the output file: Transaction generation failure, incomplete cash pool setup,
Transaction generation failure, bank account number is missing, and Transaction
generation successful, with a limit warning.
Quiz
Answers: 2
Quiz Specifications
The correct answer is The three character for branch code element is optional in the
Bank Identifier Code.
Quiz
Answers: 2, 4
Quiz Specifications
The correct answer is If the payment amount and the statement line amount difference
is within defined tolerances, AutoReconciliation posts the difference to either the
Payables Bank Charges account or the Bank Errors account, depending on how you
defined the Cash Management Payables Tolerance Differences system parameter.
Summary
Cash Pools
Chapter 8
Cash Pools
Chapter 8 - Page 1
Cash Pools
Chapter 8 - Page 2
Cash Pools
Cash Pools
Chapter 8 - Page 3
Objectives
Cash Pools
Chapter 8 - Page 4
Agenda
Cash Pools
Chapter 8 - Page 5
Overview
Overview
Cash leveling or Cash Pooling is a cash management technique aimed at optimizing the
balances of the internal bank accounts held at one or several banks. It is usually performed on
a daily basis and can be done by transaction or by total net end-of-day balances.
To perform cash leveling, you need to define a cash pool and assign internal bank accounts
set up in Oracle Treasury to the cash pool.
Cash Pools
Chapter 8 - Page 6
Cash Pools
Chapter 8 - Page 7
Cash Pools
Chapter 8 - Page 8
Quiz
Answers: 1
Quiz Specifications
The correct answer is Cash leveling can be done by transaction or by total net end-ofday balances.
Cash Pools
Chapter 8 - Page 9
Quiz
Answers: 1
Quiz Specifications
The correct answer is To perform cash leveling, you need to define a cash pool and
assign internal bank accounts set up in Oracle Treasury to the cash pool.
Cash Pools
Chapter 8 - Page 10
Quiz
Answers: 2
Quiz Specifications
The correct answer is Physical Cash Pools consist of one or two concentration
accounts and multiple sub-accounts.
Cash Pools
Chapter 8 - Page 11
Quiz
Answers: 2
Quiz Specifications
Cash Pools
Chapter 8 - Page 12
Summary
Cash Pools
Chapter 8 - Page 13
Cash Pools
Chapter 8 - Page 14
Cash Positioning
Chapter 9
Cash Positioning
Chapter 9 - Page 1
Cash Positioning
Chapter 9 - Page 2
Cash Positioning
Cash Positioning
Chapter 9 - Page 3
Objectives
Cash Positioning
Chapter 9 - Page 4
Agenda
Cash Positioning
Chapter 9 - Page 5
Overview
Overview
The daily cash positions are based on actual cash flows from various Oracle Applications. You
can generate a daily cash position for single or multiple currencies, bank accounts, and legal
entities.
Cash Positioning
Chapter 9 - Page 6
Cash Positioning
Chapter 9 - Page 7
Cash Positioning
Chapter 9 - Page 8
Cash Positioning
Chapter 9 - Page 9
Cash Positioning
Chapter 9 - Page 10
Cash Positioning
Chapter 9 - Page 11
Cash Positioning
Chapter 9 - Page 12
Cash Positioning
Chapter 9 - Page 13
Cash Positioning
Chapter 9 - Page 14
Cash Positioning
Chapter 9 - Page 15
Cash Positioning
Chapter 9 - Page 16
Drill down to transaction details corresponding to the deal types of short term money,
discounted and fixed income securities in the Available Liquidity section.
Cash Positioning
Chapter 9 - Page 17
Cash Positioning
Chapter 9 - Page 18
Cash Positioning
Chapter 9 - Page 19
Cash Positioning
Chapter 9 - Page 20
Quiz
Answers: 2
Quiz Specifications
The correct answer is The expected activity dates for Customer Receipts type in the
Cash Position Worksheet are Value Date (Actual then Anticipated), Maturity Date, or
Latest Receipt Transaction Date.
Cash Positioning
Chapter 9 - Page 21
Quiz
Answers: 1
Quiz Specifications
The correct answer is You cannot create cashflows from cash positions.
Cash Positioning
Chapter 9 - Page 22
Quiz
Answers: 2
Quiz Specifications
The correct answer is Closing Balance = Opening Balance + Prior Day Cash Flows +
Net Cash Flow.
Cash Positioning
Chapter 9 - Page 23
Quiz
Answers: 2, 3, 4
Quiz Specifications
The correct answer is Supplier Payments, Customer Receipts, Treasury Inflow, and
Treasury Outflow.
Cash Positioning
Chapter 9 - Page 24
Summary
Cash Positioning
Chapter 9 - Page 25
Cash Positioning
Chapter 9 - Page 26
Cash Forecasting
Chapter 10
Cash Forecasting
Chapter 10 - Page 1
Cash Forecasting
Chapter 10 - Page 2
Cash Forecasting
Cash Forecasting
Chapter 10 - Page 3
Objectives
Cash Forecasting
Chapter 10 - Page 4
Agenda
Cash Forecasting
Chapter 10 - Page 5
Cash Forecasting
Chapter 10 - Page 6
Payables: supplier invoices, supplier payments (historical and future), expense reports
Cash Forecasting
Chapter 10 - Page 7
Cash Forecasting
Chapter 10 - Page 8
Cash Forecasting
Chapter 10 - Page 9
Cash Forecasting
Chapter 10 - Page 10
Cash Forecasting
Chapter 10 - Page 11
Cash Forecasting
Chapter 10 - Page 12
Cash Forecasting
Chapter 10 - Page 13
Cash Forecasting
Chapter 10 - Page 14
Implementation Considerations
Cash Forecasting
Chapter 10 - Page 15
Cash Forecasting
Chapter 10 - Page 16
If you submit this report using Oracle Report eXchange, then you can export the data to
your spreadsheet application.
You can also view cash forecast amounts online.
Purge Cash Forecasts Report
Automatically generated when you run the Purge Cash Forecasts program.
Lists cash forecasts that have been successfully purged.
Cash Forecasting
Chapter 10 - Page 17
Quiz
Answers: 2
Quiz Specifications
The correct answer is GL encumbrances and GL budget outflows are outflow sources
and revenue account budget amounts are inflow sources for Cash Forecasting. .
Cash Forecasting
Chapter 10 - Page 18
Quiz
Answers: 4
Quiz Specifications
The correct answer is You cannot generate cash forecast data online as in Cash
Positioning but through concurrent programs and manually..
Cash Forecasting
Chapter 10 - Page 19
Quiz
Answers: 1
Quiz Specifications
The correct answer is It is possible to have user defined inflow and outflow sources for
Cash Forecasting.
Cash Forecasting
Chapter 10 - Page 20
Quiz
Answers: 1
Quiz Specifications
The correct answer is You can delete rows and columns for new templates while
modifying a Cash Forecast.
Cash Forecasting
Chapter 10 - Page 21
Summary
Cash Forecasting
Chapter 10 - Page 22
Accounting Events
Chapter 11
Accounting Events
Chapter 11 - Page 1
Accounting Events
Chapter 11 - Page 2
Accounting Events
Accounting Events
Chapter 11 - Page 3
Objectives
Accounting Events
Chapter 11 - Page 4
Agenda
Accounting Events
Chapter 11 - Page 5
Accounting Events
Chapter 11 - Page 6
Accounting Events
Chapter 11 - Page 7
Accounting Events
Chapter 11 - Page 8
Globalizations
For complete details regarding Subledger Accounting, see: Oracle Subledger Accounting
Implementation Guide.
Accounting Events
Chapter 11 - Page 9
Accounting Events
Chapter 11 - Page 10
Accounting Events
Chapter 11 - Page 11
Bank Statement Cashflows: An accounting event is raised when a bank statement cashflow is
recorded or canceled.
If you create journal entries for the Bank Statement Cashflow Recorded event and then cancel
the bank statement cashflow, the Bank Statement Cashflow Canceled event will produce
reversing journal entries. If you cancel a bank statement cashflow before creating journal
entries, then no journal entries are created at all.
Accounting Events
Chapter 11 - Page 12
Accounting Events
Chapter 11 - Page 13
Accounting Events
Chapter 11 - Page 14
Accounting Events
Chapter 11 - Page 15
Accounting Events
Chapter 11 - Page 16
Quiz
Answers: 1
Quiz Specifications
The correct answer is You can define your own accounting rules to create journal
entries for accounting events.
Accounting Events
Chapter 11 - Page 17
Quiz
Answers: 2, 4
Quiz Specifications
The correct answer is The two event classes for Cash Management are Bank Account
Transfer and Bank Statement Cashflows.
Accounting Events
Chapter 11 - Page 18
Quiz
Answers: 2
Quiz Specifications
The correct answer is Oracle Subledger Accounting (SLA) is not a separate product in
itself, but it is Oracles engine catering to the accounting needs of both Oracle and
external modules.
Accounting Events
Chapter 11 - Page 19
Quiz
Answers: 2
Quiz Specifications
The correct answer is You can automatically transfer and post journals to General
Ledger.
Accounting Events
Chapter 11 - Page 20
Summary
Accounting Events
Chapter 11 - Page 21
Accounting Events
Chapter 11 - Page 22
Objectives
Agenda
Agenda (Continued)
Overview
Overview
Bank account balance maintenance and reporting is supported for all internal bank accounts
in the system that are defined in Oracle Cash Management.
For each bank account, you can keep track of multiple bank account balance types including:
ledger, available, value dated, 1-day float, 2-day float, projected month-to-date average, and
year-to-date average.
Reporting tools are available to view all this centrally stored balance history for trend analysis
as well as to compare actual versus projected balances.
Overview (Continued)
Overview (continued)
You can also verify interest amounts charged or credited by banks based on balance history
and user-defined interest rate schedules.
Note: If you have bank accounts authorized for use in Oracle Treasury, you have to assign an
interest rate schedule to such accounts before you can maintain their bank account balances.
In the Column Properties region, select the columns you would like to display, arrange
them in the desired order, rename, if needed, and add totals where appropriate. You can
also specify which columns should be used for sorting the bank account balance data.
In the search query to filter data in your table, enter the search criteria to fetch the bank
account balance data. Please note that you must select at least either a Name or
Account Number.
Click Apply.
Quiz
Answers: 1
Quiz Specifications
Quiz
Answers: 4
Quiz Specifications
The correct answer is For each bank account, you can keep track of multiple bank
account balance types including: ledger, available, value dated, 1-day float, 2-day float,
projected month-to-date average, and year-to-date average.
Quiz
Answers: 2
Quiz Specifications
The correct answer is In the Create Schedule page, the default value of Interest
Rounding is Nearest.
Quiz
Answers: 1
Quiz Specifications
The correct answer is The following XML Publisher reports for Account Balances and
Interest Calculations are available: Bank Account Balances Single Date Report, Bank
Account Balances Date Range Report, and Bank Account Balances Actual versus
Projected.
Summary