Professional Documents
Culture Documents
Deidre Figueroa
Oracle Corporation
Close/Open
Period
GL_INTERFACE
AP Data
GL Data AP Data
AP Transfer to Journal Import
GL
your invoices are ready to post, you should run Step 2 - Journal Import
autoapproval and review the hold reports Creates journals in the GL system
2. Look for unapproved invoices 2. The appropriate accounting transactions are created
After running autoapproval, you want to look for and inserted into the GL_INTERFACE table.
invoices containing holds and Oracle provides 3 reports This is the GL open interface used to import journals.
for this purpose. If an invoice appears on any of these It is a temporary table that holds all the accounting
reports, you either need to adjust the invoice or transactions received from AP until they are imported
manually remove the hold. into the GL system. Once a transaction has been
successfully imported into the GL system, it is deleted
Invoice Hold Report - displays all held invoices. from the GL_INTERFACE table.
Posting Hold Report - only displays invoices with holds
that prevent posting. 3. Transactions successfully selected and inserted into
Matching Hold Report - only displays invoices with the GL_INTERFACE table are updated to "Posted" in
matching holds. the AP system. Transactions that were selected but
encountered some exception are not inserted into the
Insure Payments are made: GL_INTERFACE table nor are they updated to
The pre-work for payments is limited to insuring that “Posted”. (Exceptions can be an inactive accounting
the transactions you want recorded in this period have flexfield value, a GL_DATE in an un-opened GL
been processed. You must insure that all your period, exchange rate missing, etc.)
payment batches have been completed: either
confirmed or canceled. A period will not close if there When an invoice or payment encounters an exception,
are payment batches in a status other than confirmed or the distribution containing the exception will not post,
canceled. yet will not prevent the other distributions from
posting. For example, an invoice with 2 distributions
If an invoice is approved by will not pay, you should can have one distribution that posted and one that
insure that the invoice is due to be paid and that the encountered an exception. If you query the invoice, the
payment schedule is not on hold. status will show as partially posted.
gl_headers
gl_interface Journal Import
Step 2 - Submit Journal Import
At this point, AP has completed its portion of the
posting process and the GL needs to complete the gl_lines
second portion: importing the accounting transactions gl_import_
into the GL system. references
Character: /Navigate Setup Journal Sources Note! In report only mode, you can run the report
GUI: Setup Journal Sources as often as you like. IN SWEEP MODE,
Import Journal References = YES THE REPORT SHOULD ONLY BE RUN
AFTER ALL DESIRED TRANSACTIONS HAVE
As with the AP process, it is possible that an exception BEEN POSTED IN THE CURRENT PERIOD. This is
can occur while attempting to import a transaction. very important, because the sweep report selects all
The Journal Import Exception report displays transactions that have NOT yet posted, and moves them
information about all the transactions that GL to the next open period. There is NO process to
attempted to import. The transactions are noted as "unsweep" transactions once they have been moved to
successful or containing exceptions. If an exception the next open period.
occurred, a code is associated with the transaction and
an explanation for each code is displayed at the bottom 2. Accounts Payable Trial Balance Report
of the report. If a batch encounters an exception, unless This report displays the individual liability for every
the exception can be posted to a suspense account, the supplier that has an open balance. The report is
entire batch is left in the GL_INTERFACE table and divided and summed by liability account, and should
is not imported. balance to the respective AP Liability account in the
general ledger.
Note! When submitting the Journal Import
process from the GL, there is an option to Only invoices and payments that have been POSTED in
import descriptive flexfields. The AP AP will display on this report. (They need not be
system does not currently send the information required posted in the GL).
to populate the descriptive flexfields. Although this
option can be used for importing from other 3. Posted Invoice Report, Posted Payment Report
applications, it does NOT work for AP journals. If you These reports display the invoices or payments that
require this feature, at this time you will need to have been posted to the general ledger in a given date
customize your AP system to insert the required range. In order for a transaction to appear on these
descriptive flexfield information into the reports, it must have been posted in audit in AP, and
GL_INTERFACE table. imported into the general ledger.
Balancing
The reports described above will be used in the AP Trial Balance AP Posted
balancing process. To determine if your system is in
balance, you need to insure that the amount reported in
AP matches the amount reported in the GL. In 1. GL posted transactions and AP trial balance
addition, there are times when you want to see that the Utilizing the trial balance report and the posting
AP system is in balance with itself. (i.e. Pilot testing, reports, you can insure that the transactions imported
checking the validity of converted data, or your AP and into the GL system agree with those entered and posted
GL systems don’t balance together). in the AP system. Although the posting reports are
run from the AP menu, they are based on data stored in
Balancing AP the GL system (GL_IMPORT_REFERENCES table).
Every transaction that is posted from AP to the GL is If you did not post in audit or are using Cash based
reflected in the Accounts Payable Trial Balance report. accounting, you will not be able to perform this
If you want to test the data on this report against the balancing process.
transactions entered for a supplier, you can spot check
individual suppliers. View the outstanding balance for To balance, you will need this months and last months
the individual supplier via the invoice inquiry form and AP Trial Balance Report, and this months posting
compare it to the data on the trial balance report. The reports. Last months trial balance, plus this months
on-line balance inquiry includes all transactions, unlike transactions should equal this months trial balance.
the trail balance report that only includes posted
transactions. Therefore, the on-line supplier balance Last Months Trial Balance
should match the data reported on the trial balance + This Months Posted (Posted Invoice
report, +/- any non-posted transactions. If a supplier Invoices Register Report)
does not appear on the trial balance report, that - This Months Posted (Posted Payment
indicates there is no outstanding posted liability for that Invoice Register Report
supplier. Payments
= Current Trial Balance (On-line Inquiry)
Character: /Navigate Invoice Inquiry
Search Option: Balance by Supplier
GUI: Invoices Inquiry Invoices
2. Balance GL liability account to the trial balance
Calculate Balance Owed
Verify that the GL liability accounts agree with the data
reported on the AP trial balance report.
Trial Balance Total (Posted Items)
+ Non-Posted Invoices (Posted Invoice
3. Balance GL batch to the AP posting batch
Register Report)
When you post and import transactions from AP into
- Non-Posted Payments (Posted Payment
the GL system, a unique GL batch is created. You can
Invoice Register Report)
balance a GL batch against the AP Journal Entry Audit
= Supplier Total (On-line Inquiry) report that was generated during the AP transfer
process.
If your set of books allows intercompany accounting, As you can see, the difference between the posted GL
the GL batch totals may be higher than the totals listed batch and the AP Journal Entry report is equal to the
on the AP Journal Entry Audit report. When posting a amount of the intercompany transactions created during
GL batch, if transactions do not balance across the GL posting process.
balancing segments, the GL system will automatically
create the entries necessary to balance the amounts in
each segment. These transactions will be displayed in Closing the Period
the posted GL batch, but will not be reflected in the AP
system. AP is not concerned with segment balances, When you are comfortable that your system is in
but with the overall balancing of debits and credits per balance, you are ready to close the period. To open or
transaction. Since the transactions are NOT created close a period in the Payables system, use the period
during the Journal Import process, you will not see the control form.
intercompany transactions until you post the GL batch.
Character: /Navigate - Control - Periods
GUI: Setup: Calendar - Accounting -
Example AP Invoice (Liability Account 1-200) AP Accounting Periods
Balancing Segments: 1 and 2
Description Amount Expense Although the AP periods mirror those defined in your
Account GL Set of Books, they are controlled independently.
Invoice #ABC Both the AP and GL systems are required to open and
Distribution #1 $40 1-500 close their own periods.
Distribution #2 $60 2-500
When attempting to close an AP period, if un-posted
transactions exist, a message will be displayed and the
AP Transactions on AP Journal Entry Report period will not be closed. At that point, you need to
Account Description Debit Credit repeat the pre-post steps mentioned above in order to
identify and adjust, or sweep the un-posted
1-200 Liability - Dist. #1 $40
transactions.
1-200 Liability - Dist. #2 $60
1-500 Expense - Dist. #1 $40
You can re-open a closed period in AP as long as it is
2-500 Expense - Dist. #2 $60 not finally closed, and the corresponding GL period is
not closed. Once a final close has been done, the
GL Batch: Transactions from GL Journal Import period can never be reopened. It is recommended that
Account Description Debit Credit you final close a period only if it is from a prior year.
1-200 Liability - Dist. #1 $40
1-200 Liability - Dist. #2 $60
1-500 Expense - Dist. #1 $40 II. SOLUTIONS TO FREQUENTLY
2-500 Expense - Dist. #2 $60 ENCOUNTERED PROBLEMS
When the trial balance report is generated, it groups all 2. Are there still transactions in the GL_INTERFACE
the entries for a supplier, and sums them by table that need to be imported? Those transactions
INVOICE_ID. If an invoice is paid, summing the would be displayed in the trial balance report, but
invoice and payment together should net to zero. If the would not yet display in the GL accounts.
amounts sum to zero, all transactions associated with
the invoice are removed from the report. Hence, you 3. Have the transactions been posted within the GL?
only see suppliers where the sum of their payments do The GL account balance is not updated until the GL
not equal the sum of their invoices, indicating that they journals are posted.
have an outstanding liability, credit, or un-posted
transaction. 4. Are you still in pilot testing? Perhaps you haven’t
converted your outstanding invoices yet but the GL
Because automatic offsets records a unique liability shows an up-to-date liability total. In this case, you
account for each distribution line, the trial balance would need to account for the converted GL amounts
sums transactions by INVOICE_ID and when balancing.
DISTRIBUTION_LINE_NUMBER. Under most
circumstances, the trial balance looks the same,
whether you are using automatic offsets or not. III. CASH MANAGEMENT
INTEGRATION
However, reversed distribution lines work differently.
When canceling an invoice, each distribution that
If you are running the 10SC product, you have the
currently exists on the invoice must be reversed. A
ability to use the Cash Management application and
reversal entry is created for each distribution being
integrate it with your Accounts Payable system. Cash
reversed. The reversal line shares the same
Management will help you reconcile your bank
INVOICE_ID as the original distribution, but has its
statements, create miscellaneous transactions, and
own unique DISTRIBUTION_LINE_NUMBER. When
manage your cash flow.
the trial balance report attempts to group and sum the
transactions by INVOICE_ID and
When defining the Payables system, you can decide
DISTRIBUTION_LINE_NUMBER, it does not net
whether or not you want the cash management
these items together and omit them from the trial
application to create accounting transactions when it
balance report.
processes the bank transactions. This option is called
"Allow Reconciliation Accounting", and it can be errors and miscellaneous payments. The payables
defined in the payables setup option. If you enable this system will then integrate all these transactions into the
option, Cash Management will create accounting standard posting and closing process.
transactions. If the option is not enabled, you can still
use the Cash Management application, but it will not Closing Impact
create accounting transactions.
Utilizing the Cash Management application will not
Char: /Navigate - Setup - System - Options alter the standard AP closing process, but will change
GUI: Setup - Options - Payables Options the some accounting transactions. In the standard
closing process, the invoice and payment transactions
Accounting Impact were discussed. If you are using autoreconciliation
accounting, your closing reports will still look the
When using the standard Payables system, the cash same, but will contain an additional section that
account is credited when issuing a payment. This holds contains the reconciliation transactions.
true for both accrual and cash based accounting.
For Example:
Example: Pay a $100 Invoice utilizing accrual The AP transfer to GL process will include the
accounting reconciliation transactions, and the data will be
displayed in a separate section on the AP Journal Entry
Audit reports.
GL Journal created for payment:
Account Description Debit Credit The Un-posted Invoice Sweep report will also display a
1-200 Invoice Liability $100 separate section for the reconciliation transactions.
1-100 Cash Account $100 This allows the un-posted transactions to be reported or
swept to the next period.
GL Journal created for payment: In addition, if you encounter a problem that requires
Account Description Debit Credit assistance, please remember to call Oracle Support.
1-200 Invoice Liability $100 They may have seen the issue before and may already
1-150 Cash Clearing $100 have a solution for the issue!