GENERAL LEDGER

GENERAL LEDGER

GENERAL LEDGER

General Ledger

1. What are the key functions provided by GL?

General Accounting                              Budgeting

Multiple Currencies                              Inter-company Accounting

Cost Accounting                                             Consolidation

Financial Reporting

2. What are the three types tables available in Oracle Applictions?

Master Table: Store Static data,. This is shared with in each module as well as across all

of the Oracle financial application modules ex. ACCOUNTS, SUPPLIER, CUSTOMER etc.

Setup Table: it store setup data. That is never shared between applications such

as application parameters and LOOK UP tables.

Transaction Tables: these tables stores day-to-day transaction data such as payables invoices,

journal entries etc.

3. What are the Oracle General Ledger Setups?

1. Chart of Accounts

2. Account combinations (o)

3. Period types

4. Accounting Calendar

5. Transaction Calendar (o)

6. Currencies

7. Set of Books

8. Assign set of books

9. Currency exchange rate types

10. Currency exchange rates

11. Journal Sources (o)

12. Journal Categories (o)

13. Suspense Accounts (o)

14. Inter-Company Accounts (o)

15. Summary Accounts

16. Statistical Units measures (o)

17. Historical Currency Exchange Rates

18. Document sequences (o)

19. Automatic Posting (o)

20. Encumbrance Types (o)

21. Concurrent program Controls (o)

22. Storage Parameters (o)

23. Budgetary Control Groups

24. Profile options

25. Descriptive Flexfileds

26. Open and Close Accting periods

4. Chart Of accounts: A Chart of Accounts is the account structure we use to record accounting transactions and maintain accounting balances. It is a key flex field.

5. Flex Fied: A Flex Field is a combination of one or more data segments defined by the user. For Chart of accounts, we configure up to 30 segments in a flexfield and min is 2.

Descriptive Flexfield: We can store the additional Information in customized form or  existing form.

6. Value Set: value set defines the valid values for each segment of our Chart of Accounts. There are 6 validations types 1. Dependent 2. Independent 3.none 4. Pair 5 special 6. Table

INDEPENDENT: An independent value set provides a pre-defined list of values for a segment.

DEPENDENT: A dependent value set is similer to independent value set, or dependent value set depends on any independent or dependent value set.

TABLE: Table provides list of values like an independent set. But values will stored in application table.

NONE: No restrictions.

7.Transactions: Exchange of goods and services with the intension of earning

8.What is a Qualifier?

Qualifier is a behavior of a segment.

9. Flex field Qualifiers

Companies       ---------- Balancing segment

Departments   ----------Cost Centers Segment

Accounts          ----------Natural Accounts Segment.

10. What are the format types available in Values sets?

Character, date, date time, number, std date, std date time,. Time.

11. What are Accounting Qualifiers?

Allow budgeting

Allow positing

Account type

Control Account

Reconsiliation flag

12. Security Rules:

These are used to limit access to certain segment values for a particular segment.

13. Cross Validation Rules:

These rules validate data across segments of a flex field.

14. Types of Calender:

Normal: January to Dec.

Fiscal: April to march.

15. Period Types:

Daily, Month, Quarter, Year.

16. Accounting Calender:

It is used to define the no. Of periods in the calendar year. Our calendar can contain both adjusting and non-adjusting accounting periods.

17. Transaction Calender:

It is used to define the business days of an organanization.

18. Types of Currency:

Functional currency: The currency we define in our SOB.

Foreign currency

19. S.O.B:

Put together information is called as Sets Of Books. It consists of Cart of Accounts, Currency, Calender and Six mandatory Accounts.

20. What are Mandatory Accounts:

Mandatory Account

Mandatory Account	Usage	Acct Type
Retained Earnings	Last Year closing balances C/F (carry forward) to current year balance	Ownership
Translation Adj Acct	When the currency conversion takes place the difference amt is stored in this acct	Asset/liability
Suspense Account	The variation of credit and debit amounts is suspense acct	Asset/liability
Rounding Difference Acct	The difference amt after rounding the amount is posted to this account.	Expense/Revenue
Net Income Acct	Surplus of profit and loss account.	Ownership No budget and No posting
Reserve for Encumbrance	Planning for reserving some amount(budget)	ownership

21. States of Periods.

Open, Close, Future Entry, Permanently closed.

22. What is Journal?

A journal is a form in which we enter the business transactions.

23. What are the Balance Types?

Acutal, Budget, Encumbrance.

24.  Categories of Journals.

Ø Batch Journal.

Ø Source Journal

Ø Statistical Journal

Ø Suspense Journal

Ø Encumbrance Journal

Ø Reverse Journal

Ø Tax Journal

Ø Recurring Journal

§ Standard Recurring Journal.

§ Formula Recurring Journal.

§ Skelton Recurring Journal.

25. Batch Journal:

A group of common journals is called as a Batch

26. Source Journal:

A source journal is a journal where we can get the journal information from other modules.

27. Statistical Journal:

Statistical journal entries do not require balanced debit and credits. Here we use ratios to calculate amounts.

28. Suspense Journal:

When the debit amount and credit amount are not equal in the journal entry then the deficit amount is added to suspense account and such types of journals are called as suspense journals.

29 Encumbrance Journal:

For funding budgets we have to enter the encumberance journals. Using this amount we can perform the actual expenses. The part of the budget we reserve is called as reserve for encumberance. The journals involving this budget are called as encumbrance journals.

30. Reverse Journal:

We cannot alter the posted journals. We can only post additional journals which contain reverse to that of credit and debit amounts of the original journal. This types of method is called as reverse journal.

31. Tax Journal:

The tax journals will calculate the tax on the credit and debit amounts in the journal depending on the tax information.

32. Inter-company Journal:

If multiple companies in our enterprise share the same SOB then we can automatically balance inter-company journals. Here we define intercompnay accounts for different combinations of sources, category and balancing segment value.

32. Recurring Journals:

Journals which will be repeated automatically are called as Recurring journals.

The advantage of recurring journal is one journal can be posted in each and every month without creating each and every time.

There are three types of recurring journals.

Standard R.J: Where we know the fixed amount and account information.

Formula R.J: Here we may or may not know the actual information. We calculate the amounts depending on a formula. In formula block first field should be “enter”

Skelton Journal: It is raised when we know only account information but not amount information.

Control Total:

This is used to raise the journal with a fixed amount. The error message is not displayed at the saving time but it is displayed while posting the journal.

33. Mass Allocation (Allocation journal):

Mass allocation is used to avoid the repeating entry of journals for different departments and it considers only actual accounts.

(Or)

When we are trying to allocate an amount for a period for a combination of segment values is called as Mass Allocation.

Mass allocation formula:

Cost pool * usage factor/total usage factor

Summary Accounts:

Summary accounts store balances of multiple accounts. We need summary template to define a summary account.

Roll up groups:

A roll up group is a collection of parent values for a given segment. This is used to provide a condition to the template.

Amount types:

PTD (period-to-date)                            YTD (year-to-date)

PJTD (project-to-date)              QTD (Quarter-to-Date)

Financial Statement Generator A powerful and flexible report building tool for Oracle General Ledger. You can design and generate fiancial reports, apply security rules to control access to data via reports, and use specific features to improve reporting productivity.

Budget

It is one of the management tool by using which we can estimate the amounts for a specific range of periods for an organization.

Each budget can have maximum of 60 periods.

Budget can have any one of the following states

Current (the first budget we define in our sob)

Open (To activate a budget)

Frozen (to deactivate or close a budget)

For using budgets we have to define a budget and a budget organization.

Budget Types:

Planning Budget:

We can just plan but we cannot raise journal entries.

We can convert it into funding budget by enabling Required Budget Journal option.

Fund check levels are:  none, advisory, absolute.

Funding Budget:

This is the actual budget. Once the budget is approved, the organization can start spending the budget amount for various expenses.

Budget Journals:

It is a combination of budget organization and budget. These offer an alternative way to enter budget amounts, and they assist in maintaining audit trials.

Budget Formulas

We can also enter budget amounts by using budget formulas. Budget formulas similar to recurring formulas for actual amounts. To use budget formulas we must first define the budget formula and generate it

ALLOCATED AMOUNT=COSTPOOL * USAGE FACTOR/TOTAL USAGE

Cost pool: the total budget amount that has to be allocated to the child values in organizations

Usage Factor: to allocate the budget amount to the child values the ratio by which you are going to distribute the cost pool amount.

TOTAL USAGE: the total ratio of usage factor would be the total usage.

Currency Translations:

Types of Rates:

Period rates, Liability rate, Historical Rate.

Foreign to functional:

Revaluation:  Within the company.

Consolidation:  Multiple companies

Functional to Foreign:

Translation: within the company

Mrc: Multiple companies.

Translation amd MRC will not affect the actual balances but revaluation and consolidation affects the actual balances.

Translation:

1. This is only for reporting purpose. It does not effect the actual balances

2. It is used for converting functional currency to foreign within the single company.

3. This is used for subsidiary corporations and we cannot perform for the first period of a calendar.

Revaluation:

1. This effects on the actual balances.

2. Before and after periods should be open.

Consolidation:

1. This is used when the chart of accts differs between each other.

2. This will effect the actual balances.

3. The chart of accts and currency may be same or different but the period(calendar) must be same.

4. Two typs of consolidation: Global Consolidation, Normal consolidation.

MRC

1. This is used for converting functional transactions to foreign currency for reporting purpose.

2. The CoA and calendar can be same but the currencies should be different.

3. This allows us to maintain accounting transactions in more than one functional currency.

Multi-Org:

Single installation of multiple operating units is called Multi-Org.

Flow of Multi-Org:

Business Group.

Set of Books.

Location.

Hr Organization.

Legal Entity

Operating Unit.

Inventory.

BASICS

JOURNAL ENTRY

BUDGETING

ENCUMBRANC ACCOUNTING

AVERAGE BALANCE PROCESSING

MULTI CURRENCY ACCOUNTING

FINANCIAL REPORTING

ONLINE INQUERIES

MULTI COMPANY ACCOUNTING AND CONSOLIDATON

SEGMENT QUALIFIERS

ü Balancing

ü Natural Accounting

ü Cost Center

ü Intercompany

Creation Of COA : 30 SEGMENTS WITH 25 Characters Per SEGMENTS

MAIN TABLES

GL_PERIODS: ACCOUNTING PERIODS USING A/C CALLENDER

GL_PERIOD_STATUS: Store Status Of A/C Periods

GL_PERIOD_SETS: CALLENDERS

GL_PERIOD_TYPES: Period Types

GL_SETS_OF__BOOKS: Set Of Books

GL_CODE_COMBINATIONS: Valid Code Combinations For A/C FF

GL_BALANCES: Actual, Budget And Encumbrance Balances For Detail And Summary A/C

GL_JE_HEADERS: Journal Entries

GL_JE_LINES: Journal Entry Lines Invoices And Checks

GL_JEBATCHES: Journal Entry Batches

GL_BUDGET_ENTITIES: Budget Organization

GL_BUDGET_VERSIONS: Budget Versions

GL_MC_BOOK_ASSIGNMENTS: Reporting Sob Assignments each Budget Org’s

GL_MC_CONVERSION_RULES: GL Multiple Currencies

GL_DAILY_CONVERSION_TYPES: Conversion Rate Types

GL_DAILY_RATES: Daily Conversion Rates For Foreign Currency Transactions

GL_INTERFACE

GL_INTERFACE_CONTROL: Control Journal Import

GL_INTERFACE_HISTORY: Stores the rows that are successfully imported GL_INTERFACE through journal import.

GL_DAILY_RATES_INTERFACE

GL_BC_PACKETS

GL_CONSOLIDATION

GL_ENCUMRANCE_TYPES

GL_SESPENSE_ACCOUNTS

GL_INTERCOMPANY_ACCOUNTS

GL_NET_INCOME_ACCOUNTS

GL_HISTORY_RATES

GL_TRANSACTION_RATES

GL_SUMMARY_TEMPLATE

CORE VALIDATION ROLES:

FND_FLEX_VALIDATION_RULES

FND_FLEX_VALIDATION_RULE_LINES

MASS ALLOCATION:

GL_ALLOC_BATCHES

GL_ALLOC_FORMULAS

GL_ALLOC_FORMULA_LINES

CONTROLS:

GL_INTERFACE_CONTROLS

TEMPORARY:

GL_POSTING_INTERIM

GL_TEMPORARY_COMBINATIONS

LOG:

GL_IMPORT_REFERENCES

ARCHEIVE AND PURGE:

GL_ARCHEIVE_BATCHES

HISTORY :

GL_ALLOC_HISTORY

GL_ARCHEIVE_HISTORY

GL_INTERFACE_HISTORY

API

XX_IMPACT_XFER_GL_IFACE_API.TRANSFER_TO_GL