Index

1. 4 c’s, Legal entity and primary ledger creation

2. Journals
1. Single journal
2. Batch journal
3. Reversal journal
4. Foreign currency journal
5. Auto copy journals
6. Mixed currency journals
3. Source and category
4. Account aliases
5. Accounting and reporting sequences
6. Reporting currencies/ ledger
7. Revaluation
8. Auto copy and Auto post
9. Allow dynamic inserts
10.Manage code combination
11.Translations
12.Ledger set
13.Data access set or define access set
14.Suspense account
15.Intercompany / intra company
16.Account inspector / Account query
17.Cross validation rules (CVR)
18.Security rules (SR)
19.Secondary ledger
20.Rapid implementation
21.Mass allocation
22.Recurring journals

General Ledger Page 1

 Fusion
User types?
We have three types of users in oracle fusion

a. Consultant user
b. Business/End user
c. Super/key user

System point of view

a. Application implementation user

b. Business user
c. Administration / IT user

User Creation
Go to navigator and go to tools and click on security console and click on User Add User Account

Give the user information

General Ledger Page 2

And click on add role and give the roles below

1. Application implementation consultant(USER)

(ORA_ASN_APPLICATON_IMPLEMENTATION_CONSULTANT_JOB)
2. Financial Analyst (GL)
(ORA_GL_FINANCIAL_ANALYST_JOB)
3. General accountant (GL)
(ORA_GL_GENERAL_ACCOUNT_JOB)
4. General accountant manager (GL)
(ORA_GL_GENERAL_ACCOUNTING_MANAGER_JOB) Save and close
5. It Security
6. Employee

General Ledger Page 3

Project Creation
Go to setup & maintenance, go to tasks

And click on management implementation project

And click on + to create project and give the details of project (client)

Click on next and enable the Financials, save and open project and done

Add offering and give the financials and assign to user and click on done

General Ledger Page 4

General ledger
4 c’s Creation
Currency
Calendar
Chart of accounts
Accounting convention method (SLAM)

1. Currency creation
Definition: A system of money in general use in a particular country called currency

Types of currencies

1. Functional currency/Accounted currency/ Primary currency (Local currency)

2. Entered currency / Foreign currency (Foreign currency)
3. Reporting currency (Head quarter currency)
4. Stat currency

These three currencies called monitory currencies and Stat currency (Ratios, meters and feet) called
non monitory currencies

Local currency in India = INR

Local currency in USA = USD

For India INR is functional currency (Local currency) and USD is foreign currency
For USA USD is functional currency (Local currency) and INR is foreign currency

 Go to set up and maintenance

 Set up: Financials
 Functional Area : Financial reporting structure
 Task: %Mange %currencies%
 Select Manage currencies

General Ledger Page 5

  Then select Manage currencies after UI (User Interface) will open)
 All currencies are predefined in system and we can create also
 Search for currency code (INR), it is predefined currency it should be Enabled then only we can
use this currency, Start date should be back date

 Save and close or save

2. Calendar creation
Definition: A chart of series of pages showing the days, weeks and months of particular year called
calendar.

General Ledger Page 6

 Types of calendars

A. Accounting calendar(Standard accrual concept)

 Calendar year (Jan-Dec)
 Fiscal year(Apr-Mar Depends on accounting methods)
B. Transaction calendar (Average balance concept)
It is used in the average balance concept to identify which day is the working day and which day
is holiday

In R12 we have two step process but in Fusion only 1 step process

 Go to set up and maintenance

 Set up: Financials
 Functional Area : Financial reporting structure
 Task: %manage %accounting% calendar
 Select Manage Accounting calendar
 Click the + icon to create calendar

 Then user interface will open

 Give the calendar details like Name, Description, Start date (Should be back date means company
start data or client request), Period Frequently (If you give the “other” we should define the
calendar manually in other cases system will define the calendar in fusion as like options provide
in the drop down list), Adjusting period frequency (Depend on client request you can choose)

General Ledger Page 7

  Give details of period name format like Use defined prefix (This is name is reflected in the first
of period option), Separator, Format and First period (Default option)

 Now we can see the Calendar defined by the system

 Save it and we can add next year calendar also by clicking the Add year option in period details
 Save and close

3. Chart of Accounts Creation

Definition: Chart of accounting is nothing but accounting structure of the company or organization.
We can define Max 30 segments and Min 2 segment which is balancing and Natural accounting
segment

1. Manage chart of accounts value set

Value set will determine the futures of segment values

 Go to set up and maintenance

General Ledger Page 8

  Set up: Financials
 Functional Area : Financial reporting structure
 Task: %Mange %chart% value%
 Select Manage chart of accounts values
 Click on + icon to create Chat of create account
 We have to create values set as per client request here I am creating as per my own
A. Company
B. Department
C. Natural Accounts
D. Activities
E. Product
F. Spare or Future or Alternative

A. Company

 Give the details of value set like value set code (It should be always in CAPITAL LETTER and
we shouldn’t give the any spaces between words), Description, Module, Validation type and
Value data type
 Give the details under Definition tab like Value sub type (After give this maximum size options
will enable), and Maximum length (it is depends upon client)
 Save and close

 Define the same for remaining segments like Natural accounts, activities
 These all are one time setup we can’t change once you defined

General Ledger Page 9

2. Manage chart of accounts Structure

 Go to set up and maintenance

 Set up: Financials
 Functional Area : Financial reporting structure
 Task: %Mange %chart% acct% structure
 Select Manage chart of accounts structure
 Click on + icon to create Chat of create account
 Search with Key flex code or key flex fields name (Accounting flex fields) or Module

 Select the General ledger and click on Manage structures

 Click on + icon to create accounting structure
 Give the details of structure code, Name, Description, Delimiter (Segment separator) and enable
the enabled option (Then only this will show in the structure)
 Save It (Then only we can create segment means + icon will highlight)

 Then click on + icon under Segments tab to create segments

General Ledger Page 10

  We have to create the segment as like which we created in the value sets like
1. Company
2. Department,
3. Natural accounts
4. Activities
5. Product
6. Spare
 Give the details of Segment code, API name, Name, Description, Sequence number(It indicates
numbering in the segments ex: if you give one for company two for natural accounts in the
structure company will show in first and Natural account in second), Prompt, Short prompt,
Display width, Column name (segment 1,2,3), Default value set code(which we created as
structure values) and Segment labels as Primary Balancing Segment.

 Define the same for remaining segments but have to change the few changes for few lines like
sequential number, display width, Column name and default value set code
 Department (segment label as cost center), Natural accounts (Segment label as natural accounts
or if you want default values you can give as corporate account)
 After define the all segments it will show under the structure like below picture

General Ledger Page 11

3. Manage Chart of account Structure instances
Manage structure is define one time and structure instances you can define as many you want because
structure is indicates Total parent company setup but instances is subsidiaries setups

 Go to set up and maintenance

 Set up: Financials
 Functional Area : Financial reporting structure
 Task: %Mange %chart% acct% structure
 Select Manage chart of accounts structure instances
 Search with Key flex code or key flex fields name (Accounting flex fields) or Module
 Then click on Manage structure instances tab

 Click on + icon to create structure instances

 Give the details like structure instances code, description and when you give the structure code
automatically segment values will appear

General Ledger Page 12

  Then go to segment instances tab select the company and click on Pencil (edit) icon button and
enable the required option then only in structure instances this segment will appear

 In the same way enable the option for remain segment instances and save and close.
 For suppose if you don’t want any segment for this instances just give the default type is constant
then default value will appear and give the default value as default means for this instances this
segment values will automatically come as default (In code combination)

General Ledger Page 13

4. Manage Chart of account value set values

 Go to set up and maintenance

 Set up: Financials
 Functional Area : Financial reporting structure
 Task: %Mange %chart% value%
 Select Manage chart of accounts value set values
 Query or Search with value set code then you get the segments of that value set and select the
value set code and click on manage value tab

General Ledger Page 14

  Then click on + icon to create values of each segment like below

 Save and close

 In the same way create values for remaining segment (Depends on client request)

Another Navigation

 Go to set up and maintenance

 Set up: Financials
 Functional Area : Financial reporting structure
 Task: %Mange %chart% value%
 Select Manage chart of accounts value sets
 Query the value set values and select the value set code

General Ledger Page 15

  Click on Manage values

 In this navigation we have on draw back, in this you can assign the values but you can’t define
parent or child

5. Manage Deploy Flex fields

 Go to set up and maintenance

 Set up: Financials
 Functional Area : Financial reporting structure
 Task: %Mange %chart% value%
 Select Manage chart of accounts structure
 Search with key flex fields name (Accounting flex fields)

General Ledger Page 16

  Click on Deploy flex field
 After deploy successful deployment status will be tick mark.

6. Manage Parent and child hierarchy

We have to create relationship for all segments

Company

a. Create Tree

 Go to set up and maintenance

 Set up: Financials
 Functional Area : Financial reporting structure
 Task: %Mange %account% hie%
 Select Manage Account hierarchies
 Go to actions and select create tree

 Give the Hierarchy details then automatically comes the details under data source parameters

General Ledger Page 17

  If you expand the each parameters it gives the value set code (It should be value set name
which we already created in value sets) details for parent and child.

 Then save and Click on next and submit

b. Create Tree version

 Go to set up and maintenance

 Set up: Financials
 Functional Area : Financial reporting structure
 Task: %Mange %account% hie%
 Select Manage Account hierarchies
 Query/search with tree name which we created one
 Select the Tree and go to actions and select create tree version

General Ledger Page 18

  Give the tree version details and click on next

 Click on + icon to create hierarchy for company

 And give the tree node details like Data source (parent and detailed) and move the values left
to right side throw click the yarrow icon

General Ledger Page 19

  After moved the values left to right side, build the relation between parent and child throw
drag the child values to parent values then screen will be appear as below

General Ledger Page 20

  Click on Submit

c. Run online audit

 Go to set up and maintenance

 Set up: Financials
 Functional Area : Financial reporting structure
 Task: %Mange %account% hie%
 Select Manage Account hierarchies
 Query/search with tree name which we created one
 Expand the tree name then tree version will appear
 Select it change the status as active throw go to action and select status and select the active
options then this version will active
 Then run online audit option will appear otherwise go to action and click on the Run online
audit option

d. Perform row and column flattening

 Go to set up and maintenance

 Set up: Financials
 Functional Area : Financial reporting structure
 Task: %Mange %account% hie%
 Select Manage Account hierarchies
 Query/search with tree name which we created one
 Expand the tree name then tree version will appear

 Select the Tree version and go to action click on flatten in that we have to options row and
column click on row flattening then click on online flattening next click on column flattening
next click on online flattening

General Ledger Page 21

 e. Publish accoun hierarchy

 Go to set up and maintenance

 Set up: Financials
 Functional Area : Financial reporting structure
 Task: %Publish% Account% Hie%
 Select publish account hierarchy
 Search the chart of account and segment name then COA will come if you click the expand
version will come select it and click the publish tab and save

 Go to navigator and click the schedule process, process should be completed otherwise this
hierarchy will not work

Natural accounts

Legal entity and ledger creation

Ledger

Definition: Ledger is a reporting entity. In which recording day to day transactions and it will determine
the 4 c’s in the organization. One business group contains multiple ledgers but one ledger must be
associated with only one business group

General Ledger Page 22

Legal entity

Legal entity is nothing but tax authority for generates tax report. One ledger entity contains multiple legal
entities but one legal entity must be associated with one ledger

Steps to be follow to create legal entity and ledger

1. Mange legal address

2. Manage legal entity
3. Manage primary ledger
4. Specify Ledger options
5. Assign legal entity to ledger
6. Assign Balancing segment values to legal entity
7. Run Review & submit accounting configuration
8. Assign data roles to user
9. Assign data access set
10. Open periods

1. Mange legal address

 Go to set up and maintenance

 Set up: Financials
 Functional Area : legal structure
 Task: %Mange %legal% address%
 Select Manage legal address
 Click on + icon to create legal address
 Give the details and save

General Ledger Page 23

2. Manage legal entity

 Go to set up and maintenance

 Set up: Financials
 Functional Area : legal structure
 Task: %Mange %legal%
 Select Manage legal entity scope should be your primary ledger
 Click on scope, click on create new and click on apply and go to task

 Click on + icon to create legal entity

 Give the details and legal address (which already created legal address), save and close

General Ledger Page 24

3. Manage primary ledger

 Go to set up and maintenance

 Set up: Financials
 Functional Area : General Ledgers
 Task: %Mange %primary% led%
 Select Manage primary ledger
 Click on + icon to create new primary ledger
 Give the details for primary ledger and save and close

4. Specify Ledger options

 Go to set up and maintenance

 Set up: Financials
 Functional Area : General Ledgers
 Task: %specify% ledger% options%
 Select Specify ledger options
 Select Specify ledger options (Scope should be our primary ledger)
 Click on scope, click on create new and click on apply and go to task

General Ledger Page 25

  In ledger options we have few tabs but all these tabs not mandatory for P leger creation. We
have only Period close (retained earnings) is main
 General information
 Accounting calendar
 Sub ledger accounting
 Period close
 Journal processing
 Average balance
 Sequencing
 Update ledger language in sub ledger accounting, retained earnings under period close and
sequencing by ledger under sequencing
 Save and close

General Ledger Page 26

5. Assign legal entities to ledger

 Go to set up and maintenance

 Set up: Financials
 Functional Area : General Ledgers
 Task: %assign% legal% entities%
 Select Assign legal entities
 Scope should be our primary ledger
 Click on add and select icon

And query the legal entity, select your legal entity apply and done

6. Assign Balancing segment values to legal entities

 Go to set up and maintenance

 Set up: Financials
 Functional Area : General Ledgers
 Task: %assign% balan% seg%
 Select Assign Balancing segment values to legal entities

General Ledger Page 27

  Scope should be our primary ledger
 Click on + icon to create to add the balancing values to legal entity and give the values if you
want to add another B.S values click on save and assign another and save and close

7. Run Review & submit accounting configuration

 Go to set up and maintenance

 Set up: Financials
 Functional Area : General Ledgers
 Task: %Review% and% submit%
 Select Review and submit accounting configuration
 Scope should be our primary ledger
 Select primary ledger and click on submit

Then go to tools scheduled process make sure that program should be success

General Ledger Page 28

8. Assign Data roles to user

 Go to Navigator, Tools and select security console select user and search for user
click on edit and add roles called
1. GENERAL ACCOUNTING MANAGER (ORA)
2. AND GENERAL ACCOUNTANT (ORA)
 After that run the retrieve LDAP (Light Weight Access Protocol) program. Navigator,
Tools and select scheduled process and run the LDAP program. LDAP program
should be run after adding the role to user
 Another navigation to add roles
 Go to set up and maintenance
 Set up: Financials
 Functional area: User and security
 Task: %manage% job% role%
 Select Manage job roles

General Ledger Page 29

9. Assign data access set

 Go to set up and maintenance

 Set up: Financials
 Functional area : General ledger
 Task: %manage %data% access%
 Select Manage data access set data access for user
 Oracle required 3 way links between
1. User
2. Role
3. Data
 Click on + to create assign data access set and give the user name and assign access set to
user

 Save and close

10. Open periods

 Go to navigator, General accounting and select period close, and then click on
General Ledger

General Ledger Page 30

  Go to actions click on Open Target period and give the target period and click on ok

Then period will open

Status
Never opened – No activity has been made
Future -Period is unopened but system will allow to doing journal and saving but can’t post it
Open – we can do activities like book post and review
Close – Can’t book and post the journals but we can review. We can reopen the period
Permanently closed – Can’t book and post and reopen also

General Ledger Page 31

 Journals
It is used to record day to day business transaction of the organization. It contains debit
and credit lines. Always debit equals to credit, Journal contains two types of categories.

1. Journal Header
2. Journal Lines

Methods of journals
We have two methods

1. Manual method – entering journals manually

2. Automatic – System generated automatically

Manual method

1. Single journal
2. Batch journal

Multiple ways to enter journals

1. Manual
2. FBDI (File Based Data Import)
3. ADFDI (Application desktop Framework Development Integration)
4. Automatic Journals (Mass allocation and Revaluation)

1. Single Journal

Click on navigator and choose the General accounting and click on Journals

General Ledger Page 32

Click on Task bar and click on Create journal under journal

Enter the journal details and save and post

General Ledger Page 33

In Real time we shouldn’t directly enter the journal in to General ledger. These are come from sub ledgers
(AP, AR)

Check the scheduled process weather it is succeeded or not

Query the journal

Click on navigator and choose the General accounting and click on Journals click on task and
Mange journal

Then search the journal with date or journal name, we have so many search options

General Ledger Page 34

And check the journal

2. Batch Journal

 Go to navigator
 Select General accounting
 Select Journals and go to Task icon
 Create Journals
 Enter the details and save it
 Re query the journal and add the lines if you want save
 At the month end or day end post it

Enter journals with using spread sheet

When entering the journals with spread sheet we have 2 options to upload the day from sheet to
system

 Single journal
 Batch journal/ Multiple journal

1. When data is less than 500 Mb then we use ADFDI

2. When data is more than 500 Mb then we use FBDI

1. Single Journal
 Select Navigator
 Go to General accounting
 Select Journals
 Go to Task icon and select Create journal in spreadsheet
 Spreadsheet will download open it and give the login details and give the data

General Ledger Page 35

  Enter the details

 Click on submit you will get one pop up choose the submit journal and posting

 Then query the journal and you will find the JV

General Ledger Page 36

 2. Batch Journal

 Select Navigator
 Go to General accounting
 Select Journals
 Go to Task icon and select Create journal in spreadsheet
 Spreadsheet will download and open it and give the login details and go to multiple journals tab
give the details and submit

General Ledger Page 37

  Submit
 Query the JV and check the results

Reversal journal’s

Reversal of journal is nothing but cancelling the journal. There are two types of reversal methods

1. Switch Dr /Cr
In this method system will create new reversal journal entry with opposite lines of
original journal
2. Change sign
In this method system will create new reversal journal entry with + ve amount

Go to navigator choose general accounting and select journals. Click on Task and select Manage journal

Query the journal which you want to reversal of cancel

 Select and open the journal

 Show more option beside Journal Tab click on it
 Give the reversal period and reversal method( Switch Dr/Cr or Change sing)

General Ledger Page 38

  Save it and then go to journal actions click on Reverse

 Then status will turn to as Reversed

 Query the journal and post it and journal name will change as reversal journal

Foreign currency journals / FX Journals/ Entered currency journals

Steps

1. Manage Exchange (Conversion) Rate type (Optional)

2. Mange Exchange( daily) Rates
3. Enter FX Journal and Post

Manage Exchange (Conversion) Rate type (Optional)

Oracle provided seeded rate types, if you want to define separately you can

General Ledger Page 39

We have 3 types of rates

1. Corporate (Higher management people will provide)

2. Spot/Market (Market rate)
3. User (On the time of journal entry)

 Go to set up and maintenance

 Set up: Financials
 Task: %manage %conv%
 Select Manage Conversion rate types
 Click on + to create rates types
 Give the details

 Save and close

o Enforce Inverse Relationship - It converts USD to INR

o Enable Cross Rates means – It converts multiple rates USD to INR, INR to GBP, GBP to AUD
o Allow Cross Rates Override – If you enable it you can overwrite the rates

Manage Daily rates

 Go to set up and maintenance

 Set up: Financials
 Task: %manage %daily%
 Select Manage daily rates
 Click on Daily rates
 Click on Create spreadsheet

General Ledger Page 40

  Give your login details then sheet will open and give the rate details
 Click on Submit

 After check the results in the system weather this details uploaded or not

Enter journal and post

 Go to Navigator
 Go to General accounting

General Ledger Page 41

  Journals
 Go to Task icon
 Create Journal
 Enter the details
 Currency should be USD and Conversion rate our own defined rate
 In the lines Entered currency line will add because we are entering in USD currency
 Conversion rate also appear in the lines
 Save and complete and post

Auto copy journals

It is allows to copy the existing Journal instead of creating new journal

 Search the Journal which you want to copy

 Go to batch actions tab and select copy
 Save and post it
 Query the journal ad you will find in JV’s, for this source is the auto copy

General Ledger Page 42

 Mixed currency Journals

It gives the advantage of enter Dr in INR and Cr in USD. It is available only in fusion (GL and
Sub ledgers)

Setup

1. Enable mixed currency stat journals at specify ledger options

2. Provide entered currency balancing segment account at specify ledger options
3. Define exchange rates
4. Enter and post journals
5. Verify Journal entries

1. Enable mixed currency stat journals at specify ledger options

 Go to set up and maintenance

 Set up: Financials
 Task: %specify %ledg%
 Select Specify ledger options
 Go to Journal Processing tab and enable Allow mixed statistical and monetary journals
 Save and close

General Ledger Page 43

2. Provide entered currency balancing segment account at specify ledger options

 Go to set up and maintenance

 Set up: Financials
 Task: %specify %ledg%
 Select Specify ledger options
 Go to Journal Processing tab and give the entered currency balancing account details
 Save and Close

3. Define Exchange rates

 Go to set up and maintenance

 Set up: Financials
 Task: %manage %daily%
 Select Manage daily rates
 Click on Daily rates
 Click on Create spreadsheet

General Ledger Page 44

  Give your login details then sheet will open and give the rate details
 Click on Submit

 After check the results in the system weather this details uploaded or not

4. Enter and post journals

 Go to navigator
 Select General accounts
 Open Journals
 Go to Task icon
 Click the create journals
 Currency should be leave blank
 Debit line INR and Credit line USD
 Complete and save
 Post

General Ledger Page 45

5. Verify Journal entries

 Go to navigator
 Select General accounting
 Select Journals
 Click on Task icon
 Click on Manage journals
 Query the journal
 Post it

General Ledger Page 46

Source and category

Journal Source

1. It is a Journal component; it is used to identify the ORIGIN of the journal.

2. When we import data from legacy systems to GL we require source names
3. Importing journal Reference:
To import detailed information from summary journals we use this option
4. Require Journal approval:
This field is used to get the journal approval by higher management for different journal
sources
5. Import using key: This is used to define whether journals will be imported using source key
or not

Creation

 Go to set up and maintenance

 Set up: Financials
 Task: %Manage % journal %Source%
 Select Manage journal source
 Click on + to create source
 Give the details
 Freeze journals - Yes

Freeze Journals:

General Ledger Page 47

  Yes- You can’t change the journal
 No- You can change the journal
 Partial- You can change few things in the journal

Effective date Rule:

 Fail: Journal Import will reject transactions when the effective date is not a valid
business day. No posting takes place.
 Leave Alone: Journal import will accept all transactions regardless of the effective date.
 Roll Date: Journal Import will accept the transaction, but roll the effective date back to
the nearest valid business day within the same period. If there is no prior valid business
day within the same period, the effective date is rolled forward.
 Note: The Effective Date Rule field will not appear unless you have average balance
processing enabled for at least one ledger.
 Save and close

Journal Category

1. Journal Category determines the purpose or type of the journal entry

2. When you enter a journal you specify a journal category

Examples:

1. AP Invoices
2. AP Payments
3. Adjustment

General Ledger Page 48

 4. Budget
5. Intercompany
6. Inventory
7. Payments
8. Payroll
9. Receipt
10. Year-end close

Creation

 Go to set up and maintenance

 Set up: Financials
 Task: %Manage % journal %Category%
 Select Manage journal Category
 Click on + to create category

Give the details

 Save and close

Account Aliases

It is used to define short names for code combinations. Use account aliases to reduce data entry
key scored while entering transactional data by calling out account aliases.

Example

Account aliases name Code combination

Cash in bank 101.0000.0000.11100.0000.0000

General Ledger Page 49

 1. Enable aliases at structure instances
2. Mange account aliases
3. Enter journal using aliases

1. Enable aliases at structure instances

 Go to set up and maintenance

 Set up: Financials
 Task: %Manage % account% stru%
 Select Manage Chart of account structures
 Query with accounting flex fields
 Select general ledger
 Go to select Manage structure instances

 Query your instances, select and edit instances

 Enable the shorthand aliases and save and close

General Ledger Page 50

2. Manage account aliases

 Go to set up and maintenance

 Set up: Financials
 Task: %Manage % short% aliases%
 Select Manage shorthand aliases
 Select you chart of accounts
 Search with Chart of accounts
 Click on + to create

 Click on + to create another combination

 Save and close

3. Enter journal with using shorthand aliases

 Go to navigator
 General accounting
 Select Journals
 Go to Task icon
 Create journals
 Enter details
 In lines while giving the code combination on the top alias pop up will highlight
 In that you can choose the code combination
 Complete and post

General Ledger Page 51

Accounting & Reporting sequences

It allows, generate a unique number for every JV which is posted. We have three sequencing
numbers

1. Document sequencing numbering – After save the invoice

2. Accounting sequencing numbering- After post the invoice
3. Reporting sequencing numbering – After close the period

Cloud

GL: No Document sequences concept

In other modules: Yes document sequences concept

Note: System will not assign new sequential number for the Reversal journal for the particular
journal. It assigns only the Original Journal sequential number to reversal journal

Setups

1. Manage sequences
2. Sequencing assignment

General Ledger Page 52

 3. Enter and post the Journal
4. Verify accounting sequencing for post journal

1. Manage sequences

 Go to set up and maintenance

 Set up: Financials
 Task: %Manage % account% sequence%
 Select Manage accounting and reporting sequences
 Click on + to create sequence number

Manual Journal

 Give the details and initial number indicates starting number of invoices that to
manual journals
 Save and close

Depreciation Journal

 Go to set up and maintenance

 Set up: Financials
 Task: %Manage % account% sequence%
 Select Manage accounting and reporting sequences
 Click on + to create sequence number

General Ledger Page 53

  Give the details and initial number indicates starting number of invoices that to
manual journals
 Save and Close

2. Sequencing assignment

 Go to set up and maintenance

 Set up: Financials
 Task: %Manage % account% sequence%
 Select Manage accounting and reporting sequences
 Change to Sequencing assignment tab

 Click on + to create numbering

 Give the ledger name and click on + (if Association is not available under the
sequences)
 Association name as manual and depreciation which we created earlier and journal
sources for manual is manual for Depreciation is Assets and category as all

General Ledger Page 54

  Save and close
o Required assignment for all journals
1. If it in enable mode system will not post the Journals which are not under the source and
category
2. If “All” option enable under the source and category then this is not required to enable

3. Enter and post journal

 Go to navigator
 Go to General accounting
 Go to Journals
 Go to Task icon
 Select Create journal
 Give the details , save and post the journal

General Ledger Page 55

 4. Verify accounting sequencing for post journal

 Go to navigator
 Go to General accounting
 Go to Journals
 Go to Task icon
 Go to manage journal
 Query the journal which you posted for sequential numbering
 Open the journal and click on show more (beside journal)
 Click on Sequencing tab then number will show like below

Reporting currencies/ ledger

Reporting Currency are the currency used for financial, legal & management reporting. If
the reporting currency is not same as that of ledger currency, we can use foreign currency
translation process or reporting currencies functionality to convert the ledger account balances in
the reporting currency. Reporting currency can be based on primary or secondary ledger. A
reporting currency can differ from its source ledger in its currency and some processing options,
but shares the same chart of accounts, accounting calendar, and accounting method with its
related ledger.

Conversion Rules

General Ledger Page 56

We have three types of conversion rules

1. Balance
2. Journal
3. Sub ledger

Steps

1. Manage reporting currencies

2. Assign Reporting currency ledger to data access
3. Open periods for reporting currencies ledger
4. Manage exchange rate for conversion
5. Enter and post journal in primary ledger
6. Verify results in Primary& Reporting ledger

1. Manage reporting currencies

 Go to set up and maintenance

 Set up: Financials
 Task: %Manage % report% currencies%
 Select Manage Reporting currencies
 Click on + to create
 Give the details of General information, ledger options, currency translation options
and journal conversion rules

General Ledger Page 57

 o Retain transaction rate type
If you keep it as yes able to create spot rate

o Missing conversion rate

o User last rate: It will take past 5 days
o Report error :Day wise

General Ledger Page 58

  Save and close

2. Assign Reporting currency ledger to data access

 Go to set up and maintenance

 Set up: Financials
 Task: %Manage %data% access%
 Select Manage data access sets data access for user
 Click on + for add to user
 Save and close
 Done

General Ledger Page 59

3. Open periods for reporting currencies ledger

 Go to navigator
 Go to General accounting
 Select period close
 Click on the General ledger
 Change data access set as Reporting ledger

 Click on General ledger

 Then open first period
 Go to actions click on Open target period
 Then give the target period means from which month to which month want to open the period

4. Manage exchange rate for conversion

 Go to set up and maintenance

General Ledger Page 60

  Set up: Financials
 Task: %Manage % Daily% rates%
 Select Manage Daily rates
 Select daily rates Tab
 Click on spread sheet
 Open the downloaded sheet and give the details and click on submit
 Check the rates in daily rates weather this are successfully uploaded or not

5. Enter and post journal in primary ledger

 Go to navigator
 Go to General accounting
 Go to Journals
 Change the data access set to reporting ledger
 Go to Task icon
 Select Create journal
 Give the details , save and post the journal

6. Verify journal in primary and secondary ledger

 Go to navigator
 Go to General accounting
 Change the data access set to reporting ledger
 Go to Task icon
 Select mange journal
 Query the journal which was create in primary ledger

 Go to Journals

General Ledger Page 61

 Go to Task icon

Revaluation

It is used to identify unrealized gain or loss which is occurring due to the exchange rate
fluctuations. Revaluation comes in two modules

1. General Ledger
2. Fixed assets

Revaluation reflects the changes in the exchange rates.

For example:

Invoice May 5th $1000 Rs 45 Rs 45000

Payment May 10th $1000 Rs 47 Rs 47000

If paid on `May 25th $1000 Rs 43 Rs 43000

In the above example gain or loss is Rs 2000

Steps

1. Manage unrealized gain loss account

2. Enable foreign currency code
3. Manage exchange rate for today and moth end
4. Manage revaluation template
5. Submit revaluation
6. Book FX Journal on credit

1. Manage unrealized gain loss account in COA values

 Go to set up and maintenance

General Ledger Page 62

  Set up: Financials
 Task: %Manage % chart% value set% values
 Select Manage Chart of account value set values
 Query your natural account segment
 Select and click on manage values

 If the value already define no need to define again, if not there have to create

General Ledger Page 63

2. Enable foreign currency code

 Go to set up and maintenance

 Set up: Financials
 Task: %Manage % currencies%
 Select Manage currencies
 Query foreign currencies and enable it (if already enabled no action required)

3. Manage exchange rate for today and moth end

 Go to set up and maintenance

 Set up: Financials
 Task: %Manage % daily% rates
 Select Manage daily rates
 Click on spread sheet open it and give the details and submit
 Check the rates weather it uploaded to system or not
 Then Create foreign journal with today and month end(then only you can see the
unrealized gain or loss)

4. Manage revaluation Template

 Click on navigator
 Go to General accounting
 Select general accounting dashboard
 Click on Task icon
 Click the Revalue balances under period close

General Ledger Page 64

  Click on + to create revaluation template
 Give the details and realized gain or losses account

 Click on + under revaluation and click on filter condition icon and give the condition for
natural accounts (Ap liability) add it because of we are running the revaluation on payment
account that’s the reason. We have to give the condition for which account you want to run
the account

General Ledger Page 65

  Save and complete

5. Submit Revaluation

 Go to navigator
 Go to General accounting
 Select General accounting dashboard
 Select created revaluation template
 Then Click on Generate tab
 Give the details and click on submit

6. Book FX Journal on credit

General Ledger Page 66

  Go to navigator
 Go to General accounting
 Select the Journals
 Go to Task icon
 Create journal
 Give the details currency is USD and credit line charge account is ap liability because of
purchased on credit
 Save and complete and post it

7. Run Trial Balance report

 Go to navigator
 Go to tools
 Select Scheduled new Process
 Search with trial balance report
 Give the month for which month you want run the trail balance
 Submit


Pending

General Ledger Page 67

 Auto Post

• We can post the journals automatically by specifying the some criteria in Auto post
criteria set.
• Criteria could be: combinations of ledger or ledger set, journal source, journal category,
balance type, and period.
• Once you define an Auto Post criteria set, run the Auto Post program to select and post
any journal batches that meet the criteria defined by the criteria set.
• You can also schedule the Auto Post program to run at specific times and submission
intervals.
• You can submit the Auto Post program or schedule Auto Post runs directly from the Auto
Post Criteria Sets window. Alternatively, you can use the Submit Request window

1. Manage auto post criteria sets

2. Create multiple journals for testing
3. Run auto post

1. Ma nage auto post criteria sets

 Go to set up and maintenance

 Set up: Financials
 Task: %Manage % auto% post%
 Select Manage auto post criteria set
 Click on + to create criteria set
 Give the details of auto post details
 Click on + to create criteria details

General Ledger Page 68

 o Sources Payables, Receivables, Spreadsheet we have to define different priority wise
depends on client request except Manual Journals
o Process all criteria
Yes: It will process all criteria
No: It will bring the batches wise
 Save and close

2. Create Multiple Journals for testing

 Go to navigator
 Go to General accounting
 Select the Journals
 Go to Task icon
 Create journal
 Give the details and save it
 Create the few more journals for testing purpose

3. Run Auto post

 Go to navigator
 Go to General accounting
 Select the Journals
 Go to Task icon
 Click on Run Auto post

General Ledger Page 69

  Auto post Criteria should be your criteria set

 Click on Submit
 Query the journal and check weather posted or not

Auto Reversal

Auto reverse is nothing but, reversing journal automatically based on the criteria that we
specify in the criteria sets

Criteria could be:

 Journal category
 Reversal Method

General Ledger Page 70

  Reversal period

If you routinely generate and post large numbers of journal reversals as part of your month end
closing and opening procedures, you can save time and reduce entry errors by using Automatic
Journal Reversal to automatically generate and post your journal reversals.

1. Manage Journal reversal criteria set

2. Assign criteria set to ledger options
3. Enter journals against the category mentioned in reversal criteria set
4. Open Next period
5. Review auto reversal

1. Manage Journal reversal criteria set

 Go to set up and maintenance

 Set up: Financials
 Task: %Manage % journal% reversal%
 Select Manage journal reversal criteria set
 Click on + to create criteria set
 Give the details and criteria set also
 Save and close

General Ledger Page 71

2. Assign criteria set to ledger options

 Go to set up and maintenance

 Set up: Financials
 Task: %specify% ledger% options%
 Select Specify ledger options
 Go to intercompany tab
 Assign criteria set to Journal auto reversal criteria set

 Save and close

3. Enter journal against criteria set

 Go to navigator
 Go to General accounting
 Select the Journals
 Go to Task icon
 Create journal
 Give the details category should be predefined criteria set ACCRUAL and in show more we
have Reversal tab in that tab we have to give future period

General Ledger Page 72

  Save and close

4. Run auto reversal

 Go to navigator
 Go to General accounting
 Select the Journals
 Go to Task icon
 Click on journal reversal option and give the reversal period
 Click the Advanced tab and go to scheduled tab and enable the using schedule and give the
Frequency: Hourly/Minute, Start date- check the journal for reversal entry
 You can also do this from scheduled process  Run  Auto Post job

General Ledger Page 73

 Allow Dynamic Inserts

We enable at this instances level, if you enable this you can give the any code combination
otherwise existing combination only will work

 Go to set up and maintenance

 Set up: Financials
 Task: %Manage % chart% stru%
 Select Manage Chart of account structure instances
 Query your COA and click on manage structure instances
 Enable Dynamic combination creation allows

 It allows to create new code combination while entering the journals

General Ledger Page 74

 Manage code combinations

1. It allows creating new code combinations (If dynamic insert is disenable)

2. It allows disable or end date an existing combination
3. It allows store all code combination user by user either manually or automatically

Create code combination (if dynamic insert is not enable in the structure instances level)

Manual creation

 Go to set up and maintenance

 Set up: Financials
 Task: %Manage % account% combination%
 Select Manage account combination
 Select your COA
 Click on + to create new code combination

Throw spreadsheet

 Go to set up and maintenance

 Set up: Financials
 Task: %Manage % account% combination%
 Select Manage account combination
 Select your COA
 Click on Spread sheet
 Open it and give the details and submit

General Ledger Page 75

 Translations

Translation is the process of translating account balances from functional currency to

another (reporting or foreign) currency. This process translates balances only. It doesn’t translate
individual transactions. While doing translation makes sure previous month period status should
be open Ex: Mar  Feb, AprMar

Translation rates

 Expenses & Revenue  Average rate

 Assets & Liabilities  Period end rate
 Equity & Owner ship  Period end rate/ Historical rate

Setups

1. Define Translation adjustment account and period end ,period average rates at specify
ledger options
2. Manage Conversion rates for period end, period average rates
3. Manage Historical rates conversion
4. Create translation ledger
5. Run translation process
6. Run General ledger trail balances report

1. Define Translation adjustment account and period end, period average rates at
specify ledger options

 Go to set up and maintenance

 Set up: Financials
 Task: %specify %ledger%
 Select Specify ledger options
 Update translation adjustment account under period close tab and give the period
and average rates
 Save and close

General Ledger Page 76

2. Create Conversion rates for period end, period average rates

 Go to set up and maintenance

 Set up: Financials
 Task: %manage% daily%
 Select Manage daily rates
 Go to daily rates tab
 Click on spread sheet
 Give the period and average rate

 Check the results in the system

General Ledger Page 77

3. Manage Historical rates conversion

 Go to set up and maintenance

 Set up: Financials
 Task: %manage% daily%
 Select Manage daily rates
 Go to historical rates tabs
 Give the ledger name, target currency and rate type
 Click on spread sheet

 Give the details and submit

4. Create translation ledger

 Go to set up and maintenance

 Set up: Financials
 Task: %manage% reporting%
 Select Manage reporting currencies
 Click on + to create
 Give the details
 Save and close

General Ledger Page 78

 o Currency conversion level : If you select the remaining options it will take it as foreign
currency or reporting currency

5. Run translation process

 Go to navigator
 Go to general accounting
 Select period close
 Go to Task icon
 Click on Translate balances under multi-currency

 Give the details and submit

General Ledger Page 79

  Check in Scheduled process for result it should be succeeded

6. Run General ledger trail balances report

 Go to navigator
 Go to tools
 Select scheduled process
 Click on the schedule new process
 Run a program called General ledger trail balance
 Give the details

General Ledger Page 80

  In the same way we can run another report called Trial Balances report(In R 12 we don’t have
this)
 After succeeded the scheduled process see the results
 Scroll down click on the publishselect which type of document you want and see the result

Leger set

It allows to access multiple ledgers at a time. We can book multiple ledgers in single user

1. User can enter journals against all ledgers without changing access
2. User can open/close periods for all ledgers without changing access
3. User can run report for all ledger in one go

Note: All ledgers should share the same COA & Calendar

Setups

1. Manage ledger set

2. Assign ledger set to role
3. Open/Close period using ledger set
4. Enter journals
5. Run Report

1. Manage ledger set

 Go to set up and maintenance

 Set up: Financials
 Task: %manage %ledger%
 Select Manage Ledger Set

General Ledger Page 81

  Give the details
 Click on + to assign ledgers to this ledger sets
 Save and close

2. Assign ledger set to role

 Go to set up and maintenance

 Set up: Financials
 Task:%manage %assign% data% access% set%
 Select Assign data access set data access for user
 Click on + to assign data access set

 Click on Save and Close

General Ledger Page 82

3. Open/Close period using ledger set

 Go to Navigator
 Go to Tools
 Select Scheduled process
 Choose New Scheduled process
 Run a Program called Open General ledger periods
 Give the details and Submit

4. Enter journals

 Go to navigator
 Go to General accounting
 Select the Journals
 Change data access set as Ledger set
 Go to Task icon
 Create journal
 Give the details and in the ledger all ledgers will appear

General Ledger Page 83

5. Run Report

 Go to Navigator
 Go to Tools
 Select Scheduled process
 Choose New Scheduled process
 Run Report called Trial balance

Data Access set or Definition access set

 It is a functionality gives the user privileges like Read only, Read and write for specific
balancing segments

 Data access controls two ledgers

1. Full ledger ( We can enter journals in all balancing segments like HYD, Chennai,
Bang, Mum)
Ex: 101,101,103,104

2. Primary Balancing segment( We can enter Journals in Few balancing segments)

Ex: 101 – Read and write
102, 103, 104, --- Read Only

General Ledger Page 84

Setups

1. Manage data access set

2. Assign data access set to role
3. Book the journal

1. Manage data access set

 Go to set up and maintenance

 Set up: Financials
 Task: %manage %data% access% set%
 Select Manage data access set
 Click on + to create access set
 Give the details access set type is balancing segment value
 Click on + under assign balancing segment values
 Give the details and Click on Save and close

2. Assign data access set to role

 Go to set up and maintenance

 Set up: Financials
 Task: %manage %data% access% set%
 Select Manage data access set data access for users
 Click on + to create access to role

General Ledger Page 85

  Save and close

3. Enter journals and check the results

 Go to navigator
 Go to General accounting
 Select the Journals
 Change data access set data access set
 Go to Task icon
 Create journal
 Now in lines will not book the journals with 102(restricted in the data access set)

General Ledger Page 86

 Suspense account

It happened when differences in journal and trial balance, 95 % we should not recommend to
client

Setups

1. Enter suspense account at ledger options

2. Enter unbalanced journal
3. Verify posted journals

1. Enter suspense account at ledger options

 Go to set up and maintenance

 Set up: Financials
 Task: %specify% ledger%
 Select Specify ledger options
 Give the suspense account under journal processing
 Save and close

2. Enter unbalanced journal

 Go to navigator

General Ledger Page 87

  Go to General accounting
 Select the Journals
 Click on Task icon
 Create journals
 Enter unbalanced lines, save ad post it

Note: If we not entering the suspense account in ledger option it will not post it because as per Balancing
segment label

3. Verify posted journal

 Go to navigator
 Go to General accounting
 Select journals
 Click on Task icon
 Mange generals
 Un balanced amount adjusted to suspense account

Inter Company / Intra Company

Intra Company

When a transaction happened within one legal entity is called intra company transaction.

Inter company

When a transaction happened within between two different legal entities is called inter company

General Ledger Page 88

 Inter and intra company transactions

Booking GL entries

With invoice = Entries would get transferred to GL

Without invoice = AP & AR

Segment label = Inter Company segment label

Options for Intro/Intra company transaction

1. Many to Many
2. Clearing Company

Setups

1. Define inter Company account

2. Enable inter Company flag at Ledger options
3. Manage inter Company balancing rules
4. Manage additional inter Company balancing and clearing options
5. Enter journal for 2 Balancing segments and post it
6. Verify journal entry results

1. Define inter and intra Company account

 Go to set up and maintenance

 Set up: Financials
 Task: %manage %chart %values%
 Select Manage chart of account value set values
 Query your COA
 Select Natural account segment and click on manage values

General Ledger Page 89

  Click on + to add values
 Add the Payables and Receivables clearance account
 Save and close

2. Enable inter Company flag at ledger options

 Go to set up and maintenance

 Set up: Financials
 Task: %specify% ledger %
 Select Specify ledger options
 Enable the inter Company flag

General Ledger Page 90

  Save and close

3. Manage inter Company balancing rules

 Go to set up and maintenance

 Set up: Financials
 Task: %manage% inter% company%
 Select Manage inter Company balancing rules
 You can define rules under primary segments rules and ledger rules both are same
 Click on + to create balancing rules

General Ledger Page 91

  Give the rules
 Balancing segment values 101-102,101-103,102-101 you can create rules like this
also

 Save and close

4. Manage additional inter Company balancing and clearing options

 Go to set up and maintenance

 Set up: Financials
 Task: %manage% inter% company%
 Select Manage additional inter Company balancing and clearing options
 Click on + to create options
 Give the details and Close and save

o Summarization
Summary: When you enter the multiple lines (code combinations), then this summary
option will summarize and add the lines and make it as one credit line for all debit
lines
Detailed: This option will not give like that it will give line by line for one debit line
has one credit line

5. Enter journal for 2 Balancing segments and post it

 Go to navigator

General Ledger Page 92

  Go to General accounting
 Select the Journals
 Go to Task icon
 Create journal
 Give the details in lines give the different segments save and post it

6. Verify journal entry results

 Go to navigator
 Go to General accounting
 Select the Journals
 Go to Task icon
 Manage Journal
 Query and open the journal then your will find system added lines

Account inspector/ Account inquiry

In R12 we called as account inquiry

An account inspector/inquiry shows you actual, budget, and encumbrance account balances for
summary and detail accounts. You can perform variance calculations for both summary and detail
accounts. You can also drill down to see the activity that comprises your detail account balances,

General Ledger Page 93

 including activity from Oracle Payables and Oracle Receivables, if these products are installed on
your server and you have set up the drilldown.

Summary/Balances Details

Current assets 2000 Furniture 500, inventory 500,cash1000

1. Balances
 Go to navigator
 Go to General accounting
 Click on Period close
 Go to task
 Inquire and Analyze balances

Doubt

2. Details
 Go to navigator
 Go to General accounting
 Click on period close
 Go to task
 Inquire in Details balances
 Give the details which you want

 Click on search
o If you want to filter the data you can filter and check
o Foreign currency journals also will be show in this data but after conversion amount will
show.

General Ledger Page 94

 Cross Validation Rules (CVR)

 It allows to restrict in using new code combination

 It works at structure instance level
 You can define CVR on any KFF
 CVR doesn’t work in existing code combination
 Data access set only for Ledger but cross validation rule for code combination

1. When you will book the expenses & Revenue with department not as default value then you can give
a rule

Expenses & Revenue

101.0000.74500.0000.0000
101.0000.74500.0000.0000
101.1001.74500.0000.0000

101 – Company
0000-Department
74500-Natural accounts
0000-Products
0000-Future

Setups

1. Manage CVR Rule

2. Deploy COA
3. Enter journal against restricted code combination

1. Manage CVR Rule

 Go to set up and maintenance

 Set up: Financials
 Task: %cross %validation% rules%
 Select Manage cross-validation rule

General Ledger Page 95

  Give the details and click on + to create rule

 Click on Condition filter icon

 Click on add fields add condition rules

 Click on validation filter icon

 Give the details
 Company should be Hyderabad only

General Ledger Page 96

  Natural accounts 1000- 39999 means 7000 is exempt because of condition is written on
expenses and 4000 is also exempt because of condition is written on assets
 Save and close

2. Deploy COA

 Go to set up and maintenance

 Set up: Financials
 Task: %manage %chart %structure%
 Select Manage chart of account structure
 Query your COA and click on Deployment tab

3. Enter journal against restricted code combination

 Go to navigator
 Go to General accounting
 Select journals and Go to task icon
 Click on create journal
 Entry the lines with restricted code combination

General Ledger Page 97

 Security rules (SR)

It is used to restrict the specific segment value

Security rules (SR) Cross validation rule (CVR)

1.It is allows to restrict a specific segment 1.It allows to restrict new code
value or range of segment value combination

2.It applies at role level 2.It works at structure instances level

3.Can be defined on KFF and DFF 3.Works on only at KFF level

1. In SR we don’t have Read & Write and Read only in this we have only Read & Write or not Read &
Write. We don’t have separate rules either you can give the full access or completely restrict
2. In SR we can restrict child and parent level for this we have to create hierarchy like tree and tree
structure
3. In Data access set we can restrict only for balancing segment values but in security rules we can
restricted on every segment

Setups

1. Enable security option at value set

2. Create condition
3. Create policy
a. Add general information
b. Add rule

General Ledger Page 98

 c. Create rule
4. Deploy COA
5. Publish account hierarchy
6. Enter journal against the restricted value

1. Enable security option at value set

 Go to set up and maintenance

 Set up: Financials
 Task: %manage %chart %values%
 Select Manage chart of account value set values
 Query your COA
 Select Company segment and click on edit
 Enable security enabled option and give the data security resource name
 If you want to do for other segments you can do
 Define data security & Edit

2. Create condition

 Go to set up and maintenance

 Set up: Financials
 Task: %manage %chart %values%
 Select Manage chart of account value set values
 Query your COA
 Select Company segment and click on edit

General Ledger Page 99

  After enable the security role edit data security is highlighted click on it

 Click on + to create data security under condition tab

 Give the details and save

 Tree operators
If you enable this you can give the condition throw the hierarchy

3. Create policy

 Go to set up and maintenance

 Set up: Financials
 Task: %manage %chart %values%
 Select Manage chart of account value set values
 Query your COA

General Ledger Page 100

  Select Company segment and click on edit
 After enable the security role edit data security is highlighted click on it

 Click on + to create data security under Policy tab

Give the details and save

 Go to Role tab under policy tab

 Assign General accountant role

General Ledger Page 101

  Go to rule tab under policy tab
 Give the Condition which you created one

 Click on submit

4. Deploy COA

General Ledger Page 102

  Go to set up and maintenance
 Set up: Financials
 Task: %manage %chart %structure%
 Select Manage chart of account structure
 Query your COA and click on Deployment tab

5. Enter journal against the restricted value

 Go to navigator
 Go to General accounting
 Select the Journals
 Go to Task icon
 Create journal
 Enter the journal with against the restricted value
 In lines we can see only non-restricted value

General Ledger Page 103

 Secondary Ledger

 Additional reporting requirement ( 4 c’s difference)

 Additional accounting needs ( Accounting methods, Gaaps)
 Additional statutory reporting needs (Corporate book and tax book)

 When there are any differences arises in any c’s (4 C’s) then we will bring secondary ledger in
concept
 When there is the difference in currencies (remaining should same) then we will bring reporting
ledger

We have two scenarios in creation

1. Take the already defined COA

2. Create the new COA

Setups

1st scenario
1. Manage secondary ledger
2. Specify ledger options
3. Complete primary to secondary ledger mapping

4. Run review and Submit accounting configuration

5. Assign data access to secondary ledger
6. Open secondary ledger period

If you want to do a few more steps or else ignore this

7. Manage ledger set

8. Assign data access
9. Enter Journal and post in primary ledger
10. Enter adjustment category journal in secondary ledger
11. Run trial balance report

1. Manage secondary ledger

 Go to set up and maintenance

 Set up: Financials

General Ledger Page 104

  Task: %manage %secondary %ledger
 Select Manage secondary ledger
 Click on + to create secondary ledger

 Data conversion level

When we are creating sec led we have to user only two levels (sub ledgers and adjustments
only) when we are using accounting method other you can assign anyting
Sub ledger and adjustment:

Adjustment:

General Ledger Page 105

2. Specify ledger options

 Go to set up and maintenance

 Set up: Financials
 Task: %specify% ledger% options%
 Select Specify ledger options (below one)
 Select scope and choose secondary ledger under secondary ledger

 Give the retain earnings account and save it

3. Compete primary to secondary ledger mapping

When we don’t have any difference b/w COA then no need to do this

 Go to set up and maintenance

 Set up: Financials
 Task: %complete% primary% map% sec%
 Select Complete primary to secondary ledger mapping

4. Run Review and submit accounting configuration

 Go to set up and maintenance

 Set up: Financials
 Task: %Review% submit% accounting%
 Select Review and submit accounting configuration

General Ledger Page 106

5. Assign data access to secondary ledger

 Go to set up and maintenance

 Set up: Financials
 Task: %manage %data% access%
 Select Manage Data access set access for user
 Assign secondary ledger to user

6. Open periods for secondary ledger

 Go to navigator
 Go to General accounting
 Select period end
 Go to action and open target period

7. Manage ledger set

 Go to set up and maintenance

 Set up: Financials
 Task: %manage %ledger% sets%
 Select Manage ledger sets

 If you want to add few more ledger sets just add it

 Save and close

8. Assign data access

 Go to set up and maintenance

 Set up: Financials
 Task: %manage %data% access%

General Ledger Page 107

  Select Manage Data access set access for user
 Assign ledger set to user

9. Enter journal and post in Primary ledger

 Go to navigator
 Go to General accounting
 Select the Journals
 Go to Task icon
 Create journal
 Category should be other than adjustment

10. Enter adjustment category journal in secondary ledger

 Go to navigator
 Go to General accounting
 Select the Journals
 Go to Task icon
 Create journal
 Category should be adjustment

General Ledger Page 108

 If you give the conversion adjustment level in the ledger creation as adjustment only, adjustment
category journal you can post in secondary ledger.
Apart from that if you give the remaining categories journals can copy form primary ledger to
secondary ledger
We have 3 conversion levels in Primary ledger
Balancing, Journal and sub ledger but in secondary ledger we have one conversion extra that is
adjustments only
If you choose these three every journal in primary get copy to secondary ledger
If you chose adjustment only journal will not copy Directly we can enter in secondary ledger

11. Run train balance

2nd scenario

1. Create COA value sets

2. Create structure
3. Create new structure
4. Create COA value sets values
5. Deploy COA
6. Manage secondary ledger
7. Specify ledger options
8. Manage COA mapping
9. Complete primary to secondary ledger mapping
10. Run review and submit accounting configuration
11. Assign data access
12. Open periods for secondary ledger
13. Enter journal and post in primary ledger

General Ledger Page 109

 14. Verify the journal entry in primary and secondary ledger

1. Manage COA structure value set

Using primary ledger COA value sets

2. Manage COA structure

 Go to set up and maintenance

 Set up: Financials
 Task: %manage %chart %structure%
 Select Manage chart of account structure
 Click on structure instances
 Create sec led instances
 Create only 3 segment because of for primary we have 5 segment in secondary
ledger should be COA change, (if currency change then we go for reporting ledger
so take the different segments like take only 3 segments)
 Save and close

3. Manage COA structure instances

 Go to set up and maintenance

 Set up: Financials
 Task: %manage %chart %structure%
 Select Manage chart of account structure instances
 Click on structure instances
 Click on + to create secondary ledger instances

General Ledger Page 110

  Create secondary ledger instances

 Save and close

4. Manage COA structure value set value

Using primary ledger COA value sets values

5. Deploy COA

 Go to set up and maintenance

 Set up: Financials
 Task: %manage %chart %structure%
 Select Manage chart of account structure
 Query the KFF
 Select the General ledger and click on deploy

6. Manage secondary ledger

 Go to set up and maintenance

 Set up: Financials
 Task: %manage %secondary %ledger
 Select Manage secondary ledger
 Click on + to create secondary ledger

General Ledger Page 111

 o Accounting method : leave blank this field when you give the conversion level as journal, for
remaining you can give

7. Specify ledger options

 Go to set up and maintenance

 Set up: Financials
 Task: %specify% ledger% options%
 Select Specify ledger options(below one)
 Select scope and choose secondary ledger under secondary ledger
 Give the retained earning account and save it

8. Manage Pl to Sl COA mapping

 Go to set up and maintenance

 Set up: Financials
 Task: %manage% chart% map%
 Select manage chart of accounts mapping
 Click on + to create mapping
 Give the details target and source COAs
 Under segment rules give the segments of primary and secondary

General Ledger Page 112

 o Mapping method
Copy value form source: it import the all information
Not assigned: it doesn’t import anything
Use rollup rules:
Assign single value: it imports the single accounts

9. Complete primary to secondary ledger mapping

 Go to set up and maintenance

 Set up: Financials
 Task: %complete% primary% map% sec%
 Select Complete primary to secondary ledger mapping
 Give the COA mapping name
 Set the conversion rules

General Ledger Page 113

 o Journal source and category
Other – other: if you give as transfer journals YES Irrespective of source and category
mapping will be there , if you give as NO mapping will not be there
Closing journal – other : If you give as Yes mapping will be there say as NO not there
Revaluation- other: If yes mapping will be there say as NO not there

10. Run review and submit accounting configuration

 Go to set up and maintenance

 Set up: Financials
 Task: %Review% submit% accounting%
 Select Review and submit accounting configuration

11. Assign data access

 Go to set up and maintenance

 Set up: Financials
 Task: %manage %data% access%
 Select Manage Data access set access for user
 Assign secondary ledger to user

12. Open periods for secondary ledger

General Ledger Page 114

  Go to navigator
 Go to General accounting
 Select period end
 Go to action and open target period

13. Enter journal and post in primary ledger

 Go to navigator
 Go to General accounting
 Select the Journals
 Go to Task icon
 Create journal

14. Verify the journal entry in secondary ledger

 Go to navigator
 Go to General accounting
 Change the data access set as sec led
 Select the Journals
 Go to Task icon
 Manage journal
 Query the journal

General Ledger Page 115

 Rapid implementation

Rapid implementation is a way to configures a financial enterprise and financial reporting structures
quickly using sheets in a workbook that upload lists of

1. Companies (legal entities)

2. Ledgers by country
3. Business units
4. Chart of accounts and segment values
5. Segment value hierarchies
6. Financials sequences
7. Required sub ledger accounts

Once the sheets have been uploaded, the application creates:

1. Chart of accounts structure and instance

2. Segment value hierarchies

3. Key accounts such as retained earnings

4. Required sub ledger accounts

5. Accounting calendar

6. Primary ledger for each country represented on the legal entities sheet

7. Legal entities and their locations

8. Business units

9. Document and journal sequencing

10. Set of Financial Reporting reports

11. Three account groups

Disadvantages

1. You can’t upload intercompany

2. You can’t upload multiple ledger with same currency
3. You can’t upload Reporting ledger, secondary ledger only primary ledger you can create

General Ledger Page 116

 4. Assignment segment values will not use

Setups

1. Download rapid implementation sheet

2. Fill the template with details
3. Validate the templates
4. Upload the template
5. Verify the setup

1. Download rapid implementation sheet

 Go to task icon

 Click on search and search for rapid implementation

 Choose Define common financials configuration for rapid implementations

General Ledger Page 117

  Click on Create chart of accounts, ledger, legal entities and business unit in spread sheet
 Spread sheet will download

2. Fill the template with details

 Select the COA, Calendar, and ledger worksheet

 Give the ledger name, calendar, segments and segment labels

General Ledger Page 118

  Give the Business units work sheet and give the details

 Select Companies and legal work sheet and give the companies and entities details

General Ledger Page 119

Note:

1. In spread sheet oracle give only two segments (Natural accounts and Balancing accounts) if you want
remaining once go to COA, Calendar and ledger work sheet click on add segment sheets then
automatically creates the sheet for which you defines segments in the COA sheet
2. In Values creation you shouldn’t leave the parent and relationship values for all segments

 Click on natural accounts worksheet

General Ledger Page 120

  Give the natural accounts

 Click on Financial sequences worksheet

 Give the details

o Restart
Annually: Sequencing number should annually

General Ledger Page 121

 Monthly: Sequencing number should monthly
Never: Irrespective of dates it will assign sequencing number
 Likewise update remaining spread sheets
 After completion of all sheets updation

3. Validate the templates

 Go to COA sheet and click on step 1

 If you done any mistakes it will throw the error report just fix it do the validation again
 Step 2 Generate chart of account file validate it and save the file in your system
 Step 3 General ledger, LE and BU file and save the file in your system

4. Upload the template

 Go to task icon

COA Template

 Click on search and search for upload chart of accounts

 Click on upload chart of accounts
 In the basic options under upload enterprise structure Click on data File
 Upload your COA file which was you saved in your system

General Ledger Page 122

  Click on submit

Ledger, legal entity and Business unit Template

 Click on search and search for Upload ledger, legal entities and business unit
 In the basic options under upload enterprise structure Click on data File
 Upload your Ledger file which was you saved in your system
 Click on submit
 And check in the instances that information is loaded or not
1. Calendar created as the name of primary ledger name (Cello pri ledger)
2. Value sets will information will not there in the instances
3. Structure name will create as the name of primary ledge name (Cello pri ledger) and in this value
sets will automatically create
4. Legal entity will create for total countries (you defined countries in rapid implementation) and
primary ledgers also
5. When you define the legal entities for

Mass allocation

Mass allocation is a functionality to distribute the account balances from one account to several
others based on formula or mathematic logic.

Ex

Company exhibit the products in trade meet and the expenses related to two or three departments so
we have to allocate the expenses to total departments

General Ledger Page 123

 Cost pool account
Cost pools is an accounting term that refers to groups of accounts serving to express
the cost of goods and service allocatable within a business or manufacturing organization

DR: 101(HYD).0000(DEPT).79800(promotional expenses).0000(Future)

101.0000.79800.0000 --------------- 2000 (It should be zero after allocation)
CR: 101(HYD).0000(DEPT).11000(Cash).0000(Future)
101.0000.11000.0000 ---------------------------2000
 Stat Journal
It describes that percentage you want to allocate for each department

DR: 101(HYD).1001(Finance).9991(Oracle control accounts).0000(Future) ----- 60%

DR: 101(HYD).1002(HR).9991(Oracle control accounts).0000(Future) ----- 25%
DR: 101(HYD).1003(R&D).9991(Oracle control accounts).0000(Future ----- 5%
DR: 101(HYD).1004(Sales.).9991(Oracle control accounts).0000(Future) ----- 10%
Allocation

DR: 101.1001.79800.0000 ------------- 12000

DR: 101.1002.79800.0000 -------------- 5000
DR: 101.1003.79800.0000 -------------- 1000
DR: 101.1004.79800.0000 -------------- 2000
CR: 101.0000.79800.0000 ---------------------------------- 20000

Note: Not only promotional expenses you can allocate the other expenses also

 Allocation Rule
1. Point of view
2. Source – From which source we have to allocate ( Cost pooling account)
3. Allocation range – Department wise (Finance, Sales)
4. Target account – To which you want to allocate/ distribute the expenses
5. Offset account – Offset account would be DR,CR (Cr amount used to balance the allocation
journal it is always cost pool account
6. Exclude – It is optional one (Not in R12), if you want to exclude any department which you
assign in range you can exclude
7. Basis – Stat account 99991 (Whenever run the allocation it will consider 99991 stat account)

Setups

1. Enter cost pool account journal

2. Enter and post stat journal
3. Define allocation variables
4. Define allocation rules
5. Validate and deploy rules
6. Generate allocation

General Ledger Page 124

7. Review allocation journal

1. Enter cost pool account journal

 Go to navigator
 Go to General accounting
 Select the Journals
 Go to Task icon
 Create journal
 Save and post it

2. Enter and post stat journal

 Go to navigator
 Go to General accounting
 Select the Journals
 Go to Task icon
 Create journal
 Select the currency as Stat it means this journal balances not reflected in Gl

General Ledger Page 125

  Save and post it

Note

1. Select the currency as Stat it means this journal balances not reflected in Gl
2. Is it not necessary to equal 100% you can allot any amount of percentage and remaining amount will
hit for cost pooling account(advertisement)

3. Define allocation variables

 Go to navigator
 Go to General accounting
 Select period close
 Go to Task icon
 Click on Open workspace for finance reports under financial reports

General Ledger Page 126

  It opens the Enterprise performance system(EPS) separate tab
 Go to Navigator tab and click on administrator and select calculation manager

 Expand the Essbase cubes and select your Structure instances

 Expand it and select Db and expand it select rules and right click on it

 Right click on it and select new

 And give the rule name and click on ok these all under system view tab
 After click on ok it will create and take to rule name(advertisement) tab

General Ledger Page 127

  Under advertisement tab we have point of view drag that in between the begin and end
 Under Point of view tab we have variable sector icon click on it
 In that we have category list in this we have already created ones but in real time we have to
create

 Then variable designer tab will create

 Then expand your Essbase cubes and select your COA

General Ledger Page 128

  Click on expand and select db then right click on it and click on new you will get one popup for
creation of properties

 Under properties tab give the name (It will show in parameters) and select type as member then
will get dimension tab in the below
 Under that give the dimension, Limits, default value, RTP and RTP text save it
 Then that will save under variable designer

o You can run the different parameters under dimension like currency, currency type, amount
and amount type

General Ledger Page 129

4. Define allocation rules

 Navigation is same
 Continuation of the same screen
 Under Cost pool (advertisement) tab we have point of view tab under this we should defined the
dimensions like the ledger, company, future and spare(it will convert to default ones) don’t give
the natural accounts and department because of we are writing the rule for both

 Drag the Allocation objective between point of view nodes will get allocation wizard window for
point of view skip it because of already defined in point of view object

General Ledger Page 130

  Click on next
 Source allocation wizard pop will come and give the department and natural account values
 Click on department action icon and select member give the default 0000 values and same as
natural accounts as pooled account(advertisement)

 Click on next
 Allocation range wizard pop will come give the range of department (Have to select the parent
values)

General Ledger Page 131

  Click on next
 Target wizard popup will come in this give the target natural accounts as cost pool account
(Advertisement)

 Click on next

General Ledger Page 132

  Offset wizard popup will come give the account it should be cost pool account

 Click on next
 Exclude wizard popup will come, if you want to exclude anything exclude it otherwise skip
this step throw the click on the next button
 Basic wizard popup will come in this give the natural accounts and balance amounts, here we
will give the stat journal ( 99991)

General Ledger Page 133

  Click on next will get the basic options wizard ignore it
 Click on next will get the rounding wizard give the decimal numbers
 Click on next and finish

General Ledger Page 134

5. Validate and deploy rules

 In the same scree on the top we have action under this we have validate click on this and
validate it then click on deploy we have this under the validate button in the action menu

General Ledger Page 135

6. Generate allocation

 Go to navigator
 Go to General accounting
 Select the Journals
 Go to Task icon
 Generate general ledger allocation

 Give the rule set name period, category, conversion type and enable the post allocations
 submit

General Ledger Page 136

7. Review allocation journal

 Go to navigator
 Go to General accounting
 Select the Journals
 Click on task icon
 Select manage account
 Query your journal which you entered then you will see on the journal line items will fine the
percentage wise amounts.

Recurring journals

A recurring journal entry is a journal entry that is recorded in every accounting period.
Recording accrual entries is main thing in this recurring journal

For example, a company issuing monthly financial statements might record depreciation by debiting
Depreciation Expense for $3,000 and crediting Accumulated Depreciation for $3,000 each and every
month.

R12 Fusion

Skeleton Skeleton ADFDI format

Standard Standard

Formula Formula

In calculation manager we are using recurring journals

1. Rule ----- Allocation

General Ledger Page 137

 2. Formula ------ Recurring journal

Ex:

Advertisement expenses 10000

101 (Hyd).0000 (Dept).74500 (Adv ex).0000 (Prod).0000 (Future) --- 10000

1. Define Rule
2. Define Formula
3. Enter Cost pool journal
4. Enter Stat journal
5.

1. Rule

 Go to navigator
 Go to General accounting
 Select period close
 Go to Task icon
 Click on Open workspace for finance reports under financial reports

 It opens the Enterprise performance system(EPS) separate tab

 Go to Navigator tab and click on administrator and select calculation manager

General Ledger Page 138

 o In Calculation manager we have to options
1. Point of view: If you define the values in it these values will be constant otherwise while creation of
recurring journal every time you have to give the other values also.
2. Formula: In this % is available like 70% and 30% is available
 Expand the Essbase cubes and select your Structure instances
 Expand the COA and will get Rule set and db then expand the db will get rules and formulas

 Right click on the rules and click on new will get one window give the rule name and click on ok

 It will get into the designer and rule designer tabs under stationary expenses tab

General Ledger Page 139

  In that tab contain Begin and end rules on left side we have Point of view, Allocation and
Formula objects
 Drag the Point of view objective in between Begin and End then you will get point of view tab in
below
 Then give the Dimensions for point of view in this natural account should be Pooled
account(stationary) because of we are writing the rule for this and department should be blank
because of we have to allocate this expenses to all departments

2. Formula

 Click on formula object on left side drag it and keep it between Point of view and end In offset
member we have write for department as default because of we are distributing the amount to
different department
 Under the comment section we have to write the formula Enter number name as Department like
finance or sales and in the formula first add the department as default and add the balance amount
in that select the ending balance and then give the manual percentages like give the “.”after that
give the”*”and then percentage like 70% or 30 %
 Save you formula

General Ledger Page 140

pending

General Ledger Page 141

 Doubts

1. Reversal criteria set assignments total concept

2. Auto post results (JV) not posted
3. Difference between reporting ledger and translation
4. Data access set and security rules difference
5. Secondary ledger concept
a. Structure is same instances is different is possible for sec ledger
b. Scenario 1 doubt
c.

General Ledger Page 142