r12 receivables guide(2)

8/13/2019 R12 Receivables Guide(2)

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Oracle Applications

Release 12.1.1

Accounts Receivables

Students Manual

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Table of Contents

1CUSTOMER PROFILE CLASSES............................................................................................................................ 4

2CUSTOMERS............................................................................................................................................................ 7

4BILLS RECEIVABLES............................................................................................................................................ 21

8.NOTES RECEIVABLES......................................................................................................................................... 33

BALANCE FORWARD BILLING.............................................................................................................................. 43

RECEIPTS................................................................................................................................................................. 49

10.REMITTANCES.................................................................................................................................................... 62

MISCELLANEOUS RECEIPTS................................................................................................................................. 69

PAYMENT NETTING................................................................................................................................................. 70

AGING BUCETS..................................................................................................................................................... 72

INVOICES WIT! RULES........................................................................................................................................... 73

AGING ...................................................................................................................................................................... 83

PAYMENT TERMS.................................................................................................................................................... 86

TRANSACTION TYPES"........................................................................................................................................... 91

TRANSACTION SOURCES ..................................................................................................................................... 96

STANDARD MEMO LINES .................................................................................................................................... 100

ACCOUNTING RULES............................................................................................................................................ 102

AUTOACCOUNTING .............................................................................................................................................. 106

APPROVAL LIMITS ............................................................................................................................................... 109

RECEIVABLES ACTIVITIES".................................................................................................................................. 110

APPLICATION RULE SETS ................................................................................................................................... 118

DISTRIBUTION SETS ............................................................................................................................................ 121

RECEIPT SOURCES .............................................................................................................................................. 122

RECEIPT CLASSES ............................................................................................................................................... 123

SYSTEM OPTIONS................................................................................................................................................. 130

AR ACCOUNTING PERIODS................................................................................................................................. 140

ACCOUNTING ENTRIES........................................................................................................................................ 141

MULTIPLE C!OICE #UESTIONS.......................................................................................................................... 1$0

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FRE#UENTLY ASED #UESTIONS..................................................................................................................... 1$8

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1 Customer Profile Classes

Use Customer Profiles to group customer accounts with similar creditworthiness, business volume, and payment cycles. For each profile classyou can define information such as credit limits, payment terms,

statement cycles, invoicing, and discount information. You can alsodefine amount limits for your finance charges, dunning, and statementsfor each currency in which you do business.

For example, you might define three categories: one for prompt payingcustomers one for late paying customers with high finance chargerates and a third for customers who mostly pay on time, with discountincentives for early payment. You can also use the profile class!"#F$U%&,! which 'racle (eceivables provides.

You can assign a profile class to customers and addresses through theCustomers)*tandard window. &he customer profile class you assignprovides the default values, which you can optionally customi+e to meetspecific reuirements for each customer or address.

-f a profile is assigned to a customer and an address of the samecustomer, the options set at the address level tae precedence overthose set at the customer level. For statement site and dunning siteprofile amounts, however, (eceivables uses the options at the address

level onlyif you set the $(: Use *tatement *ite / "unning *ite Profilesprofile option to Yes.

Prerequisites

"efine statement cycles

"efine customer profile looups

"efine credit analysis

"efine dunning letters

"efine collectors

"efine grouping rules

"efine payment terms

"efine $utoCash rule sets

"efine *ystem 'ptions

0avigate to profile class window 10avigation: customer: profile classes2

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Credit Profile

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Customer Profile Classes 3 Profile Class $mounts

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2 Customers

Customer and Customer sites define customer name and addressinformation to bill customer4s goods and services rendered. 5inimally,

customer records have three components: a customer record, acustomer site record, and a customer site business purpose record.

&he one)customer)to)many)customer)sites architecture allows onecustomer record to have one or more site records. Understanding andutili+ing the one)customer)to)many)customer)sites concept is critical for'racle (eceivables to run as efficiently and effectively as possible *trictin)house naming standards, customer verification procedures, and dataentry procedures will improve the 'racle (eceivables system and in)house business processes.

Customer and customer site records may be converted or imported. $review of the active customer and address records in the legacy systemshould occur. &he number of records should determine if the customerconversion process is manual or automated. 6oth conversion strategiesreuire users to clean the data. &he current customer data must beextracted and the users must review the data. &he one)customer)to)

many)customer)sites architecture must be established and duplicatesmust be eliminated. -n addition, consistent in)house naming standardsmust be applied. &hen the customer data may be entered manually orvia a conversion program. Fortunately, there is a delivered customerinterface. 7owever, the customer conversion program must still bewritten in)house or delivered by a consulting organi+ation. -n addition,the user community must have strict procedures as to what systemowns the customer and customer site data.

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Customer *ite $rchitecture

&he third record is the customer site use record. &his data indicates thebusiness purpose of the customer address data such as the bill)toaddress or the ship)to address data. &he appropriate site will appear inthe %ist of 8alues during data entry. For example, in the bill)to customersite field, only the sites with a business purpose of 6ill to will display.

1i2 *ome of the 'racle (eceivables table names start with the prefix9($ because prior releases of 'racle (eceivables included the 'racle(evenue $ccounting 1($2 application which is now included within the'racle (eceivables application.

Customer Entry

&he 'racle (eceivables displays the customer entry find window whenopening the window

1. From the (eceivables menu Customers Standard.

;. &he system displays search window. #nter the customer name andsay go. &o verify the customer record doesn4t already exist to avoidaccidental duplicate customer records.


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1. Customer window will appear.2. #nter the name of the organi+ation.3. Profile class, account type and customer status.

. >ive relevant address and bill to, ship to address.

!. *ay save and apply. &hen it will display status active and again sayapply.

". $ddress will appear in the address field.

Customer $ddress

'racle (eceivables lets you add, change, or deactivate business purposeinformation for a specific address. *ince customer accounts can havemultiple addresses, business purposes let you describe which functions

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are performed at a particular customer account site. For example,assign a ship)to business purpose to the address where you ship yourgoods and a "unning business purpose to the address where you willsend "unning %etters.

?hen you assign a business purpose to an address, its default status is

$ctive. You can mae the business purpose inactive by unchecing the$ctive chec box in the 6usiness Purposes tabbed region.

$ddresses can have multiple business purposes, such as shipping,billing, or sending statements, dunning letters, mareting collateral, andlegal documents. You can also define your own business purposes in the(eceivables %ooups window.

#ote$ $n address assigned to a ship)to business purpose is alsoreferred to as a !*hip)&o site!, an address assigned to a "unning

business purpose is referred to as a !"unning site!, and so on.

%usiness Purposes and &ultiple Or'ani(ation Support

-f you are using the 5ultiple 'rgani+ation support feature, you canassign a salesperson to a customer account site. -f you are not usingmultiple organi+ations, you can assign a salesperson to a customeraccount andto each of their site uses. You can also create a centrali+edstatement and dunning site for each customer account in a multiple

organi+ation environment.6usiness purposes in a multiple organi+ation environment areorgani+ation specific. For example, only the transactions associated witha bill)to site for a specific organi+ation appear on a statement ordunning letter. -f the same bill)to site is used by more than oneorgani+ation, then you must set up the address and associated businesspurpose of this bill)to site in each organi+ation. &hen, for eachorgani+ation, you must run separate statements and dunning letters forthis same bill)to site.

Consolidated statements and dunning letters for a single customer arealso organi+ation specific. ?hen you run a consolidated statement ordunning letter, (eceivables consolidates all organi+ation)specifictransactions for the customer into a single document and sends thedocument to the bill)to address with the relevant business purpose1*tatement or "unning2.

For example, *ites $ and 6 belong to organi+ation 5iniCo, and sites 6

and C belong to organi+ation 6igCo. (eceivables will record transactionsfor site 6 in both organi+ations. 7owever, when you run consolidateddocuments, only the transactions created by 5iniCo appear on 5iniCo

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documents and only the transactions created by 6igCo appear on 6igCodocuments. 6ecause 5iniCo and 6igCo are separate organi+ations, theactivity for site 6 is not duplicated on both organi+ations! documents.

Common Types of %usiness Purposes

%ill To$ *end invoices to this address. &he bill)to address can be

different from this customer account!s ship)to address.

)ra*ee$ "esignate this address as a customer account drawee. $customer drawee is a customer account site responsible for paying billsreceivable.

S+ip To$ *end your goods or services to this address. &he ship)toaddress can be different from this customer account!s bill)to address.

%usiness purpose usa'e

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Transactions

&he following setup steps are important for entering transactions in theapplication:

&ransaction *ource

&ransaction &ype

Customer

$uto $ccounting

Standard Transaction ,#a-i'ation$ transactions$ transactions

&ransaction 3 5ain &ab

*ource *elect the &ransaction *ource. &he *ource specifies automaticor manual and invoice numbering, the standard transactiontype, determines which attribute of the -nvoice &ransactionFlex field is used to default into the (eference field.

0umber #nter the transaction number if automatic numbering is notenabled. -f automatic numbering is specified, (eceivablesgenerates a number

Class *elect the -nvoice Class from the list

&ype *elect the &ransaction &ype. &ransaction types determinewhether a transaction updates open receivables, can beposted to >%, if (eceivables calculates tax, the transaction4screation sign, whether transactions with this type use natural

application only or will allow over application, provide thedefault transaction class, payment term, and printing optionsfor each transaction.

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"ate #nter the transaction date the default is the current date

>% "ate #nter the >% date the default is the current date. if thecurrent date is not in an open period, the default is the lastdate of the most recent open period

%egal#ntity

"efault legal entity will be populated. &his can be changedbased security access

*hip &o #nter customer ship to address. $ll other details will bepopulated by 'racle

6ill &o #nter customer 6ill to address. $ll other details will bepopulated by 'racle

Payment&erm

*elect the payment term applicable to the customer. 'raclewill calculate the due date based on this

&ore Tab$

&ransaction 3 5ore &ab

#otes Tabbed Re'ion$

Transaction /ines

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0rei'+t *indo* reference

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Sales Credits indo* Reference$

)istributions indo* Reference$

Complete$, Completing an invoice means that payment schedules and aged

receivable amounts are calculated, and this transaction can be

transferred to the >%., ?hen all reuired information has been entered, clic the Complete

button.

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, 'nly completed transactions can be printed.

Press on complete button then go to number tab there one icon willappear press on it then view following window.

E+ibit Completed &ransaction

E+ibit

Credit &ransaction 1nav: transactions: credit transactions2

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Apply credit amount to open transaction

*ay find credit transactions window will appear and clic on credit linesfollowing window will appear. #nter number, description, uantity inminus and amount. *ave the data.

uery Ori'inal Transaction$

'riginal &ransaction

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@uery Credit 5emo &ransaction which system automatically crated andopen the (eference -nformation &abbed (egion and see the 'riginal&ransaction effected -nformation

Credit 5emo (eference -nformation

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3 Deposit Transaction

Prerequisites

"eposit &ransaction &ype

Process$

Create "eposit &ransaction

Create normal transaction and $pply to Commitment 1"eposit2

&ransaction

'pen Commitment &abbed (egion and enter commitment amount and#ffective "ates

#nter Commitment $mount

Commitment &ransaction

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Create normal transaction and $pply to Commitment 1"eposit2&ransaction

(un C'55-&5#0& 6$%$0C# (#P'(& to now available balance in a

Commitment

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4 Bills receivables

4.1 Standard Remitted Bills Receivable

6ills receivables is the provision through which organi+ation can getcustomer transaction amount balance on or before the actual paymentby customer.

Prerequisites$A. Customer should be a )ra*ee

;. &here should be a completed transaction of that customer 1"rawee2


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Note: Code Combinations (accounts) will be populated from autoaccounting (assumed that auto accounting set-up is completed).

B. "efine &ransaction source for 6ills (eceivables &ransaction 1 nav :setup: transactions : sources2

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. "efine (eceipt Class

Procedure: 0ow we can create bills receivables transaction

1. 0:bills receivabletransaction

;. select the transaction type, source, currency, >% date, issue date,customer details


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$ssignment window 1


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$fter completion of creation, status changes from started creation tocompleted creation

0ow approve and format

First the status is started approvalthen changes to completed approval

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Factored Bills Receivables

A. "efine (eceipt Class with remittance method Factoring.1 nav:setup: receipt : receipt class2

;. Create a 6ills (eceivable &ransaction1 nav: bills receivable :transaction2

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(emit the 6ills (eceivablesComplete the transaction and navigate to remittances window 1nav:bills receivable: remittances2

Clic on maintain to maintain remittance

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. $fter successful completion of the above programs the status of 6ills(eceivables will be changed to Factored.D. $utomatically system will create a receipt for the Factored 6ills

(eceivable with receipt number same as 6ills (eceivable number.

$nd you can see the accounting entry for the receipt as follows.

E. $fter reconciliation=manual clearing in Cash 5anagement the statusof the receipt will be changed to Cleared.

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$nd you can see the accounting entry as follows

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! "otes Receivables

(eceivables let you enter and trac future)dated payments. &hese typesof payments can either be a future dated chec or a formal documentcalled a promissory note. $ promissory note is a formal, printeddocument in which the issuer promises to a pay a specific amount on a

specific date to another party 1the note holder2. &he date that paymentis due is called the note maturity date. Promissory notes areguaranteed by the ban that issues the note.

?hen a promissory note is created, the issuer specifies the amount due,the maturity date, and the ban branch from which the holder canreceive the payment. ?hen the note reaches its maturity date, theholder submits it to their ban. &he ban then submits the note to aclearing institution, which transfers the payment from the issuer!s ban

to the holder!s ban.

0otes issued by the customer can also be returned to the supplier priorto the maturity date if, for example, the note had been issued as adeposit, advance payment, or as payment for existing customerinvoices.

?hen a promissory note or future dated chec is received as paymentfor goods or services, it is called a Note Receivable.

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Prereuisites to complete notes receivables:

A. "efine a (eceipt class with notes receivables enabled

;. Create / Complete a normal transaction

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?e can classify the notes receivables based on their remittance method

Standard remittance notes recei-ables

0actored remittance notes recei-ables

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Standard remittance

1. 0:receiptsreceipts

;. #nter receipt payment method, receipt number, receipt amount, notes receivable issuer details1 in more tab page2


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. >o to receipt the status changes from conformed to remitted

6. 0:toolsview accounting 1to see the accounting entries2

E. >o to cash management and reconcile the receipt with banstatement

G. -n receipt the status changes from remitted to cleared

9. 0:toolsview accounting1to see the accounting entries2

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Factored remittance

Prerequisite$

"efine a (eceipt Class / the (emittance method should beFactored=*tandard /Factoring

Procedure: to create the receipt

A. 0:receiptsreceipts;. Create a receipt payment method, receipt amount, notes receivableissuer details 1in more tab page2


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Clic on manual = auto createselect the receiptapproveformat

&he status becomes completed formatting.

-n receipt the status changes from conformed to remitted

D. *witch over to Cash 5anagement and reconcile the receipt with theban statement. &he status of the receipt changes from remitted tocleared

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1. (un the clear= ris elimination program and see the status andentries in receipt

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Balance #or$ard Billin%

Step 1 4 Set 5p System Option

*elect *how 6illing 0umber option 1&rans / Customers &abbed (egion2chec box to display the forward billing number in (eceivables windows

and reports.

Step 2 - Define Payment Terms

Create one or more proxima payment terms for use with consolidatedbilling invoices. &he Consolidated 6illing -nvoice program uses the cutoffdate and payment terms that you specify in the submission parametersto select the transactions to include on a consolidated billing invoice.

?hen defining proxima payment terms for consolidated billing, performthe following:

#nter a Cutoff "ay ) &he program uses this day to select transactionsfor a consolidated billing invoice.

#nter a single due date in the "ay of 5onth field ) You cannot usemultiple due dates 1i.e. split payment terms2 with consolidated billinginvoices. $dditionally, when defining the due date, enter a value forthe 5onths $head field. "o notenter a value in the "ays or "atefields the Consolidated 6illing -nvoice program does not use eitherfield.

You can define more than one payment term for use with consolidatedbilling invoices. &hese payment terms can use the same or a differentcutoff day. ?hen printing consolidated billing invoices, you can specifywhich payment term to use.

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Step 3 )efine 4 #e* or 5pdate Eistin' Customer Profiles

$ customer!s profile class indicates whether a customer should receiveconsolidated billing invoices and whether the invoice format is "etail or*ummary. &he profile class also determines the payment term on theconsolidated billing invoice.

Consolidated billing invoices are generated at the bill)to site only.

Customers with multiple bill)to sites cannotreceive a single invoice thatconsolidates transactions across customer sites.

-f a customer has multiple bill)to sites, the level at which you define aconsolidated billing profile class determines the number of consolidatedbills that are printed for that customer. ?hen you define a consolidatedbilling profile class at the customer level only, (eceivables will printmany consolidated billing invoices, one for each bill)to site. ?hen youdefine a consolidated billing profile class at a bill)to site only,

(eceivables will print a single consolidated billing invoice specific to thatbill)to site.

Update the profile class at the customer and=or the customer site levelto enable consolidated billing:

Chec the #nable 1H2 chec box.

Choose a consolidated billing format.

Choose a Format of *ummary, "etail, or -mported. Choose the "etail

format to list the item description, uantity, and unit price for each itemon each invoice choose the *ummary format to list only the totalamount of each transaction.

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Attention$ &he -mported format is for use with the -mported 6illing0umber feature. &he -mported format will not be printed through theConsolidated 6illing Print program. Use custom invoices instead.

$ssign a proxima payment term and unchec the 'verride &erms box.

You must assign a proxima payment term at either the customer site or

the business purpose level for any bill)to site that you want to send aconsolidated bill to.

"o not chec the 'verride &erms box on the customer profile. &heConsolidated 6illing -nvoice program ignores the payment termsassigned to individual invoices when selecting transactions. (eceivables,however, uses the payment terms on individual invoices to calculateaging and finance charges. -f you chec this box, then individualinvoices may have payment terms that are different from the

consolidated bill!s payment terms. Conseuently, a customer couldreceive a consolidated bill that includes invoices that are already pastdue and incurring finance charges.

6y not checing the 'verride &erms box, (eceivables automaticallydefaults payment terms for invoices from the customer profile. $llinvoices for a given bill)to site, therefore, will have the same paymentterm as the consolidated billing invoice.

Su''estion$-f you want to print a consolidated billing invoice for all ofa customer!s bill)to sites, enable consolidated billing at the customerlevel and enter the proxima payment term at the business purpose levelfor all the bill)to sites.

Exhibit Customer Profile Transactions-Terms

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Consolidated 6ill

1. $ter 'ra$sactio$s a$d Create Accou$ti$

2. Submit Co$curre$t /roram 0%euest or u$ctio$

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et /eriod

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Receipts

Use the (eceipts window to enter new or uery existing receipts. Foreach receipt, you can see whether the receipt is identified and what

portion of the receipt has been applied, placed on)account, and leftunapplied.

You can enter two types of receipts in (eceivables:

Standard$Payment 1such as cash or a chec2 that you receive fromyour customers for goods or services.

&iscellaneous$ (evenue earned from investments, interest,refunds, and stoc sales.

You can apply receipts to invoices, debit memos, deposits, guarantees,on)account credits, and chargebacs. You can partially or fully apply areceipt to a single debit item or to several debit items. You can enterreceipts and apply them to transactions in either 'pen or Futureaccounting periods. You can also create chargebacs or adIustmentsagainst these transactions.

-f you do not specify a customer for a receipt, the receipt isunidentified. -n this case, the receipt amount appears in theUnidentified field in the (eceipts window. You cannot apply anunidentified receipt.

#ote$ You can view the detail accounting lines for an existing receipt inthe form of a balanced accounting entry 1i.e., debits eual credits2 bychoosing 8iew $ccounting from the &ools menu. You can also choose toview the detail accounting as t)accounts.

Receipt Status

$ receipt can have one of the following statuses:

Appro-ed$ &his receipt has been approved for automatic receipt

creation. &his status is only valid for automatic receipts.

Confirmed$ For manually entered receipts, this status indicates the

receipt belongs to a receipt class that reuires remittance. Forautomatic receipts, this status indicates the receipt has beenconfirmed.

Remitted$ &his receipt has been remitted. &his status is valid for

both automatic and manually entered receipts.

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Cleared$ &he payment of this receipt was transferred to your ban

account and the ban statement has been reconciled within(eceivables. &his status is valid for both automatic and manuallyentered receipts.

Re-ersed$ &his receipt has been reversed. You can reverse a

receipt when your customer stops payment on a receipt, if a receiptcomes from an account with non)sufficient funds or if you want tore)enter and reapply it in (eceivables. You can reverse cash receiptsand miscellaneous transactions.

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Standard Receipts

A. #nter the receipt information, including (eceipt 0umber, Currency,(eceipt $mount, >% "ate, and (eceipt "ate. &he default (eceipt "ate isthe current date, but you can change it. -f the (eceipt "ate is not in anopen period, (eceivables changes the >% "ate to the last date of the

most recent open period. You can change the >% "ate, but it must be inan open or future period.

You can enter transactions in any currency defined in the system if youhave at least one remittance ban account with a (eceipts 5ulti)Currency flag set to Yes. -f no such ban account exists, you are limitedto entering only those currencies in which ban accounts exist. 1&hecurrency of a multiple currency ban account must be the same as yourfunctional currency.2

-f the currency for this receipt is different from your functional currencyand you have not defined daily conversion rates, enter exchange rateinformation.

;. #nter a Payment 5ethod. (eceivables use the payment method todetermine the accounting and remittance ban accounts for this receipt.You can only select payment methods that have remittance banaccounts that are in the same currency as the receipt.


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Attention$ -f you do not enter a 6ill)&o %ocation and the customerhas no statement site, any unapplied or on)account receiptamounts will not appear on statements sent to this customer.

D. -f you are manually entering an automatic receipt, enter a 6an0ame or $ccount 0umber.

E. 'pen the (emittance tabbed region, then enter the receipt "eposit"ate 1optional2. &he default is either the deposit date entered at thebatch level or, if there is no batch information, the receipt date. &hedefault receipt maturity date is the deposit date.

G. (eceivables derive the default remittance ban account from thepayment method you entered. You can accept this value or enter anyban account assigned to the payment method if the ban account is inthe same currency as that of the receipt or the 5ulti)Currency flag for

the remittance ban is set to yes. 'nly ban accounts that are in yourfunctional currency can accept multiple currency deposits.

6. &o prevent the receipt (emittance ban from being automaticallyoverridden during the remittance process, choose "on!t $llow in the'verride 6an $ccount field 1optional2. -f you choose $llow, (eceivablescan automatically change the receipt remittance ban to the remittancebatch ban during the remittance process.

AJ. -f ban charges apply, enter an amount for 6an Charges. 6ancharges may apply if the receipt!s creation status is !Cleared! 1theclearance method of the associated receipt class must be set to!"irectly!2.

AA. *ave your wor. -f you entered a customer, the receipt amountappears in the unapplied field. 'therwise, the entire receipt amountappears in the unidentified field.

4 5nidentified Receipt

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Enter 7eader le-el information only

To -ie* t+e accountin' entries Tools89ie* Accountin'

Accountin' Entries for 5nidentified Receipt

5napplied Receipt$

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Enter t+e Customer #ame and Press Tab button amount

transferred from 5nidentified to 5napplied

9ie* t+e accountin' for 5napplied Receipt

Applied Receipt$

Press from the receipt window and enter specific transaction you cansee the particular transaction or all the transaction of the customer.

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On Account Receipts$

1. Enter Receipt : select customer2. Press Apply button3. Select ;On Account< from t+e list of -alues and sa-e.

Accountin' for On Account Receipt

C&ar%ebac' (Receipt) Transaction

A. #nter 0ormal &ransaction;. #nter Partial (eceipt


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Apply to Transaction : Sa-e

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#nter the &ype as Chargebac

#nter the new due date and save, system will assign a Chargebac0umber.

@uery the charge bac &ransaction from &ransaction window.

&ransaction Class / &ype will be Chargebac.

"ue date will be the date which you entered at the time of

chargebac in (eceipt.

Press more tab and see t+e Ori'inal Transaction number appliedto C+ar'ebac=

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uery Ori'inal Transaction

&he balance of 'riginal &ransaction will be Kero.

?henever you receive the amount from the customer apply that

amount to Chargebac &ransaction.

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Receipt Ad*ustments

Prerequisites

(eceivable $ctivity

Process$ #nter *tandard (eceipt

$pply to 'pen &ransaction

$pply to $dIustments / *elect $dIustment $ctivity

$pply to 'pen &ransaction

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*elect $ctivity 0ame from %ist of 8alues and save, system will assign anumber for adIustment

$pply to $dIustment / *electing $ctivity 0ame

$ctivity names

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$ccounting entry for adIustment / observe &ransaction 0umber appliedto 1for $dIustment system will picup account code combination from(eceivable $ctivity which you selected for2

$ccounting for $dIustment

1+!Remittances

Standard Remittance

Prerequisites$

(eceipt Class

6an

Process$A. #nter (eceipt;. *tandard (emittance


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Standard (eceipt

*tandard (emittance

#nter "ates, (emittance 5ethod as *tandard, (eceipt Class, Payment5ethod, 6an "etails and Press (eceipt.

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*electing (eceipt for (emittance

*elect (eceipts which you want to remit to 6an and save. Press$pprove and system will populate a "ecision 6ox press yes

$fter Completed $pproval re)uery remittance batch and press Formatbutton system will populate a "ecision 6ox Press Yes

(eceipt *tatus will be changed from Confirmed to (emitted

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$fter successful receipt remittance go to Cash management and *electreceipt and press clear transaction 15anually clear receipt2

(eceipt *tatus will be changed from (emitted to Cleared

8iew (eceipt 7istory from (eceipt window

Factored Remittance

Prerequisites

(eceipt Class with (emittance method Factored or *tandard andFactoring

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Process Stepsa2 Create (eceiptb2 (emittance with Factoringc2 *elect (eceipt for which you want to Factord2 *ubmit $pproval=Formate2 Clear &ransaction in C51optional2

f2 (un $utomatic Clearing for (eceipts Program

a Create Receipt

b Remittance *it+ 0actorin'

c Select Receipts for *+ic+ you *ant to 0actor

d Submit Appro-al>0ormatYour can submit format without submitting approval, first system willrun approval process and after format process.

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(eceipt status will be changed from Confirmed to (emitted

8iew accounting entries for Confirmed and Factored (eceipts

e Clear Transaction in C& ,optional

$fter this process go to Cash 5anagement and manually cleartransaction

$ccounting entry will be"r CashCr *hort &erm "ept

$nd (eceipt *tatus will changed from (emitted to Cleared

f Run Request ;Automatic Clearin' for Receipts< andview outputfile

$utomatic Clearing for (eceipts

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$utomatic Clearing for (eceipts Program output

$fter successful completion of the above program accounting entry willbe

"r *hort &erm "eptCr Factor

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(eceipt status will changed from Cleared to (is #liminated

Miscellaneous Receipts

Prerequisites$

5iscellaneous Cash (eceivable $ctivity

Process$ #nter (eceipt

*elect (eceipt &ype as 5iscellaneous

*elect $ctivity Purpose from list of values

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$ccounting #ntry for 5iscellaneous (eceipt

Pa,ment "ettin%

You can net receipts in (eceivables. &o net receipts, you apply a receiptagainst another open receipt, and then apply the resulting unappliedreceipt balance to a transaction.

'pen receipts include receipts that have:

Unapplied cash

'n)account cash

Attention$?hen netting receipts, both receipts must be in the samecurrency.

Prerequisites$

(eceivable $ctivity 3 Payment 0etting

Process$

a2 Create *tandard (eceipt 1 'n)$ccount=Unapplied2b2 Create another *tandard (eceipt / $pply to on $ccount=Unapplied

receipta Create one receipt and apply t+e amount to on account.

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b Create anot+er receipt and apply to on account receipt andopen transaction

'bserve 0ew (eceipt applied amount

8iew $ccounting #ntry for new receipt

'bserve old receipt i.e., 'n $ccount (eceipt changed to $pplied (eceipt

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A%in% Buc'ets

$ging bucets are time periods you can use to review and report onyour open receivables. For example, the B)6ucet $ging bucet that(eceivables provides consists of four periods: )LLL to J days past due,A to


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-nvoices $it& Rules

-nvoicing and accounting rules let you create invoices that span severalaccounting periods.Accounting rulesdetermine the accounting periodor periods in which the revenue distributions for an invoice line arerecorded. Invoicing rulesdetermine the accounting period in which

the receivable amount is recorded.

You can assign invoicing and accounting rules to transactions that youimport into (eceivables using $uto-nvoice and to invoices that youcreate manually in the &ransactions window.

,i Accountin' Rules

Use accounting rules to determine revenue recognition schedules foryour invoice lines. You can assign a different accounting rule to each

invoice line.$ccounting rules let you specify the number of periods andthe percentage of the total revenue to recogni+e in each period.

You can also specify whether the accounting rules are of Fixed or8ariable "uration. $ccounting rules of Fixed Duration span apredefined number of periods. $ccounting rules of Variable Durationlet you define the number of periods during invoice entry.

You can also create rules that will defer revenue to an unearned

revenue account. &his lets you delay specifying the revenue recognitionschedule until the exact details are nown. ?hen these details arenown, you use the $ctions wi+ard to recogni+e the revenue.

,ii ?n-oicin' Rules

Use invoicing rules to determine when to recogni+e your receivable forinvoices that span more than one accounting period. You can onlyassign one invoicing rule to an invoice.

(eceivables provide the following invoicing rules:

o %ill ?n Ad-ance$ Use this rule to recogni+e your receivable

immediately ,see 0i'ure 1 4 31 belo*.

o %ill in Arrears$Use this rule if you want to record the receivable at

the end of the revenue recognition schedule ,see 0i'ure 1 4 32belo*2.

,iii Account Sets

$ccount sets are templates used to create revenue and offsetaccounting distributions for individual invoice lines with accountingrules. &hese account sets enable you to split revenue for a line over one

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or more revenue or offset accounts. &o meet your businessreuirements, you can change account sets before the (evenue(ecognition program is run. $fter the (evenue (ecognition program isrun, you can change the individual >% distribution lines and (eceivablesautomatically creates reversing >% entries. $uto$ccounting creates theinitial revenue and offset account sets for your invoice.

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0i'ure 1 4 31. %ill in Ad-ance Accountin' Entries

0i'ure 1 4 32. %ill in Arrears Entries

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Re-enue Reco'nition

&he (evenue (ecognition program identifies all new transactions andcreates the revenue distributions for those transactions. &hedistributions are created for all periods, even in periods whose status is0ot 'pen, using the rules associated with the transactions.

A ?n-oice *it+ ;Accountin' Rule 0ied )uration< : ;?n-oicin'Rule ?n Ad-ance% to Yes, $llow Freight, &ax Calculation, and $llow'verapplication to 0o, Creation *ign to !Positive *ign,! and 0atural$pplication 'nly to Yes. You cannot change these options.

Open Recei-able$-f 'pen (eceivable is set to Yes, (eceivables updatesyour customer balances each time you create a complete debit memo,credit memo, chargebac, or on)account credit with this transactiontype. (eceivables also includes these transactions in the standard agingand collection processes.

-f this transaction type!s class is not "eposit or >uarantee, indicatewhether you want transactions with this type to update your customerbalances by checing or unchecing the 'pen (eceivable box.

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Post to /$ &o be able to post transactions with this type to yourgeneral ledger, chec the Post &o >% box. &he default is the valueyou specified for the 'pen (eceivables option. &his box must becheced if the class is "eposit or >uarantee.

Terms$ #nter the payment &erms to use for transactions with this

transaction type.$ny payment terms entered at the customer level will override thepayment terms that you enter here.

Printin' Option$Choose a default Printing 'ption for transactions withthis transaction type. Choose Print or "o 0ot Print. You can override thisvalue when entering transactions.

Transaction Status$Choose a &ransaction *tatus of 'pen, Closed,

Pending, or 8oid. Use these statuses to implement your own invoiceapproval system. #nter !8oid! to void debit memos, on)account creditsor invoices to which you assign this transaction type.

Allo* 0rei'+t$ &o allow freight to be entered for transactions with thistransaction type, chec the $llow Freight box.

Ta Calculation$ &o let (eceivables calculate tax for transactions withthis transaction type, chec the &ax Calculation box.

-f you do not chec this box, the &ax Code field in the %ines window willbe optional, not reuired. -f you do not enter a tax code on thetransaction line, then (eceivables will not perform tax calculations orcreate tax accounting entries for transactions with this transaction type1this is also true for transactions in 'racle 'rder 5anagement and'racle *ales and 5areting2.

Creation Si'n: Choose a Creation *ign. &he default is Positive *ign fortransaction types with a class of either >uarantee or "eposit. -f you are

using the Cash 6asis accounting method, your transaction!s creation signmust be Positive *ign, 0egative *ign, or $ny *ign. You cannot updatethis field after you enter transactions with this type.

#atural Application only$ -f this transaction type!s class is not "epositor >uarantee and you want to restrict the direction in which items withthis transaction type can be updated by applications entered againstthem, chec the 0atural $pplication 'nly box. -f you chec this box,(eceivables sets $llow 'verapplication to 0o.

0ote: -f the $llow 'verapplication box is checed and you then checthe 0atural $pplication 'nly box, (eceivables automatically unchecthe $llow 'verapplication box. &o chec the $llow 'verapplication box

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again, you must first manually unchec the 0atural $pplication 'nlybox. You can update these options.

For Cash 6asis accounting, both chec boxes are uncheced and youcannot change these options. -n this case, the balance of transactionswith this transaction type can be updated in any direction in the same

sign.Application Rule Set$#nter an $pplication (ule *et for this transactiontype or select one from the list of values 1optional2. $n $pplication (ule*et determines the default payment steps when you use the $pplicationswindow or $uto%ocbox to apply receipts to transactions using this type.-f you do not enter a rule set, (eceivables uses the rule set in the*ystem 'ptions window as the default.

-f this transaction type!s class is not "eposit or >uarantee, and you did

not chec the 0atural $pplication 'nly box, choose whether to $llow'verapplication against items with this transaction type by checing orunchecing this box. You can update these options.

-f you use the Cash 6asis accounting method, the default value is 0oand you cannot change it.

?n-oice Type$ -f this transaction type!s class is either "eposit or>uarantee, enter the -nvoice &ype to use for invoices entered against

commitments or deposits with this transaction type. ?hen you enter aninvoice against either a deposit or a guarantee with this transactiontype, the value you enter here is the default invoice transaction type.

Credit &emo Type$-f this transaction type!s class is "eposit,>uarantee, "ebit 5emo, or -nvoice, enter the Credit 5emo &ype to usewhen crediting items with this transaction type 1optional2. ?hen youenter a credit memo against an invoice with this transaction type, thevalue you enter here is the default credit memo transaction type.

Accounts$-f this transaction type!s class is -nvoice, Chargebac, Credit5emo, "ebit 5emo, or >uarantee, then define the accounting for thistransaction type in the $ccounts tabbed region.

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%ills Recei-ables$ "f this transaction type#s class is $ills %eceivables,then complete these fields in the $ills %eceivables tabbed region:

6ills receivable transaction types indicate the type of bill receivable, suchas accepted bill, promissory note, or unsigned bill, and define accountingand other attributes for bills receivable. You enter a transaction class of!6ills (eceivable! to enable the 6ills (eceivable tabbed region for enteringbills receivable transaction type information.

Use the *igned and -ssued by "rawee boxes to identify the type of billreceivable for this transaction type according to the combinations in thistable:

TFPE O0 %?// Si'ned?ssued by)ra*ee

(euires acceptance Checed Uncheced

-ssued by drawee Uncheced Checed

Unsigned bill Uncheced Uncheced

)eposit$-f this transaction type!s class is "eposit, then complete these

fields in the "eposit tabbed region:

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-n the $llocation 6asis field, indicate how you want to apply the balanceof deposits with this transaction type to transactions.

You can select &ines nlyto apply deposits to invoice lines only. 'r, youcan select&ines, 'a! and reightto include tax and freight amounts oninvoices when applying deposits to transactions.

-f you set the $(: "eposit 'ffset $ccount *ource profile option to'ransaction 'ype, then (eceivables uses the 'ffset $ccount that youspecify here to derive the offset account for deposits. 'therwise,

(eceivables uses $uto$ccounting to derive the deposit!s offset account.

Transaction Sources

6atch sources control the standard transaction type assigned to atransaction and determine whether (eceivables automatically numbersyour transactions and transaction batches. $ctive transaction batch

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sources appear as list of values choices in the &ransactions, &ransactions*ummary, and Credit &ransactions windows, and for bills receivable inthe 6ills (eceivable and 6ills (eceivable &ransaction 6atches windows.

#ote$ $ batch source provides default information, which you canoptionally change at the transaction level.

You can define two types of transaction batch sources:

&anual$ Use manual batch sources with transactions that you

enter manually in the &ransactions and &ransactions *ummarywindows, and for bills receivable transactions.

Credit memos that are created by the Credit 5emo worflow alsouse manual batch sources.

?mported$Use imported batch sources to import transactions into

(eceivables using $uto-nvoice.

You can mae a batch source inactive by unchecing the $ctive checbox and then saving your wor. (eceivables does not display inactivetransaction batch sources as list of values choices or let you assign themto your transactions.

%ills recei-able batc+ sources$$fter you define batch sources forbills receivable, enter a batch source in the profile option $(: 6ills

(eceivable 6atch *ource.

Transaction Source *indo* reference$

0ote: &he 'perating Unit field is provided to support functionalityplanned for a future release.

#ame$ #nter a uniue 0ame and a "escription for this transactionsource.

Type$ #nter a &ype of !5anual! or !-mported.! For bills receivable batchsources, enter !5anual.!

)escription$#nter the description

Effecti-e )ates$#nter the range of #ffective "ates for this source. &he*tart date is the current date, but you can change it. -f you do not enteran end date, this transaction batch source will be active indefinitely.

Automatic %atc+ #umberin'$-f this is a 5anual source and you want

to automatically number new batches you create using this source, or ifthis is a 5anual source for bills receivable and you want to generate billsreceivable automatically, chec the $utomatic 6atch 0umbering box and

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enter a %ast 0umber. For example, to start numbering your batches withAJJJ, enter LLL in the %ast 0umber field. -f you are defining an-mported transaction batch source, (eceivables automatically numbersthe batch with the batch source name ) reuest -".

Automatic Transaction #umberin'$ &o automatically number new

transactions you create using this source, chec the $utomatic&ransaction 0umbering box and enter a %ast 0umber. You can useautomatic transaction numbering with both -mported and 5anualsources.

#ote: (eceivables automatically updates the %ast 0umber fields, soyou can review this batch source later and see the last transactionnumber that was generated 1note that this number is only anapproximation due to caching2.

)ocument #umber to Transaction #umber bo$ &o use the samevalue for both the document number and the transaction number fortransactions assigned to this source, chec the Copy "ocument 0umberto &ransaction 0umber box 1optional2.

Su''estion$ -f your application uses >apless document seuences,chec this box if you reuire gapless transaction numbers. Checingthis box ensures that transaction numbers are generated seuentiallyand there are no MmissingM numbers.

Copy Transaction ?nformation 0lefield to Credit &emo$*elect theCopy &ransaction -nformation Flexfield to Credit 5emo chec box if youwant to copy an invoice!s &ransaction -nformation flexfield data to arelated credit memo that uses this batch source 1optional2.

&his chec box is enabled only if this source!s type is 5anual.

?henever you save a credit memo, (eceivables checs the batchsource. -f the source type is 5anual and the box is selected, then

(eceivables copies &ransaction -nformation flexfield data, if available onthe invoice, to the credit memo.

Receipts 7andlin' for Credits$

-ndicate your enterprise!s policy for automatic receipt handling forimported credits against paid invoices 1optional2.

*et this option only if you want $uto-nvoice to automatically evaluateimported credits for receipt handling.

*elect n ccount if you want $uto-nvoice to place any credit

reuests on account.

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*elect Credit Card %efund if you want $uto-nvoice to automatically

create a credit card refund for the amount of the reuested credit.

6y default, no option is selected.

#ote$ &his setting affects only transactions paid by credit card orpurchase card. &ransactions paid by other payment types are alwaysput on account.

$dditionally, only imported sources use this setting. 5anual sourcesignore any value entered here.

Reference 0ield )efault 9alue$#nter the -nvoice &ransaction Flexfieldattribute that you want to appear in the (eference field of the&ransactions window. (eceivables uses this to further identify the invoiceand displays this value under the (eference column in the invoice list of

values in the $pplications window.

&he default value is -0(F$C#S7#$"#(S$&&(-6UA.

Standard Transaction Type: #nter the *tandard &ransaction &ype forthis batch source. ?hen you choose a batch source during transactionentry, this is the default transaction type. You can define newtransaction types in the &ransaction &ypes window.

Credit &emo %atc+ Source$ &o number your credit memos created

against invoices and commitments with this source differently than theinvoices or commitments they are crediting, enter a Credit 5emo 6atch*ource. 6efore you can assign a credit memo batch source, you mustfirst define your credit memo batch sources using this window. -f you donot specify a credit memo batch source, (eceivables enters the invoiceor commitment batch source here.

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Standard Memo /ines

*tandard memo lines are lines that you assign to a transaction when theitem is not an inventory item 1for example, !Consulting *ervices!2. Youcan assign memo lines to debit memos, on)account credits, debit memoreversals, chargebacs, commitments, and invoices. (eceivablesdisplays your standard memo lines as list of values choices during creditmemo entry in the Credit &ransactions window and during invoice entryin the %ines window. ?hen you create chargebacs and debit memo

reversals, you can either use the standard line that (eceivables providesor enter your own. You can create an unlimited number of standardmemo lines.

-f $uto$ccounting depends on standard line items, (eceivables uses therevenue account that you enter here along with your $uto$ccountingsetup to determine the default revenue, freight, $uto-nvoice Clearing,&ax, Unbilled (eceivable, Unearned (evenue, and (eceivable accountsfor invoices with this line item.

arnin'$?hen you enter a standard memo line in the %ines window,place the cursor in the "escription field and then use the list of values toselect a memo line. -f $uto$ccounting is based on *tandard %ines andyou type or copy the memo line information, (eceivables will notgenerate the proper accounting entries for this line when you save.

(eceivables lets you enter tax code, unit list price, and unit of measureinformation for each standard memo line. You can also specify astandard invoicing and accounting rule for each standard memo line.

Standard memo line *indo* reference$

#ote$ &he 'perating Unit field is provided to support functionality

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planned for a future release.

#ame$ #nter the 0ame and a "escription of this memo line. (eceivablesprints this description on your debit memo, on)account credit, debitmemo reversal, chargebac, commitment, or invoice.

#ote$ -f you are modifying your chargebac or debit memo reversal

standard line, (eceivables lets you embed variables within the text ofyour description. For example, you may want to print the receiptnumber on your debit memo reversals. &o do this, enter /receiptSnumber / within your the text of your description. (eceivablethen prints the corresponding receipt number on your debit memoreversal. &he following are valid variable types: receiptSnumber fordebit memo reversals and invoiceSnumber for invoices, chargebacs,and debit memos.

Type$ Choose a line type of Chargebac %ine, Charges, "ebit 5emo(eceipt (eversal, Freight, %ine, or &ax.

Ta Code$ #nter the ad hoc tax code to associate with this standard line1optional2. -f you are defining a standard invoice line and$uto$ccounting depends on tax codes, (eceivables uses the tax codeyou enter here along with your $uto$ccounting rules to determine thedefault tax account for invoices with this standard line.

5nit /ist Price$ #nter the Unit %ist Price for this memo line 1optional2.(eceivables displays this price on the debit memos, on)account credits,chargebacs, and invoices you create using this standard line.

5nit of &easure$ -f the type of this memo line is !%ine,! enter a Unit of5easure. (eceivables defaults the unit of measure to this value whenyou choose this standard line item during invoice or memo entry.

Re-enue Account $ #nter the (evenue $ccount for this memo line1optional2. ?hen you create a debit memo or on)account credit, this

revenue account will be the default for each standard memo line thatyou select. ?hen you create debit memo reversals or chargebacs,(eceivables uses the (evenue Flexfield from the original receivable itemas the credit account. &herefore, (eceivables does not let you specify avalue for the (evenue Flexfield for your debit memo reversal andchargebac standard lines.

#ote$$uto$ccounting lets you use the values that you specify for thesegments of your standard lines! revenue accounts to determine the

revenue accounts of your invoices. (eceivables uses these revenueaccount segment values in combination with the rest of your$uto$ccounting structure to determine the default revenue, freight,

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$uto-nvoice Clearing, &ax, Unbilled (eceivable, Unearned (evenue,and (eceivable accounts for invoices which include this standardinvoice line.

?n-oicin' Rule$#nter the -nvoicing (ule to use with this standard line1optional2. (eceivables does not currently use this information when you

select a standard line 1in the %ines window during invoice entry2 to whichyou have assigned a standard invoicing rule. 'racle 'rder 5anagementassigns standard invoicing rules to standard lines for orders that youimport through $uto-nvoice.

Accountin' Rule$ #nter the $ccounting (ule to use with this standardline 1optional2. -f you select a standard line during invoice entry to whichyou have assigned a standard accounting rule, (eceivables uses this ruleto determine this line!s revenue recognition schedule. 'racle 'rder

5anagement lets you assign standard accounting rules to standard linesfor orders that you import through $uto-nvoice.

Acti-e )ates: #nter the range of $ctive "ates for this standard line.&he start date is today!s date, but you can change it. -f you do not enteran end date, this memo line will be active indefinitely.

#ote$You can have only one line type of Chargebac %ine activeat a time.

Accountin% Rules

"efine accounting rules to create revenue recognition schedules for yourinvoices. $ccounting rules determine the number of periods and

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percentage of total revenue to record in each accounting period. You canuse accounting rules with transactions that you import into (eceivablesusing $uto-nvoice and with invoices that you create manually in the&ransaction windows. You can define an unlimited number of accountingrules.

?hen you run the (evenue (ecognition program for an invoice that isassociated with one or more accounting rules, (eceivables creates theinvoice!s revenue distributions for the period or periods in which therules fall.

#ote$(evenue (ecognition creates accounting distributions for allperiods of status 'pen, Future, or 0ot 'pen. -f any period has astatus of Closed or Close Pending, then (evenue (ecognitioncreates the distributions in the next 'pen, Future, or 0ot 'pen

period."epending on your business needs, you may reuire deferred accountingrules, which you can create by selecting the "eferred (evenue chec boxduring rule definition. "eferred accounting rules let you defer revenue toan unearned revenue account until you are ready to specify the revenuerecognition schedule.

Attention$-nvoicing and $ccounting (ules are not applicable if you areusing the Cash 6asis method of accounting. -f you use the Cash 6asis

method, $uto-nvoice will reIect any transaction lines that are associatedwith invoice or accounting rules.

-f you want to credit an invoice that uses invoice and accounting rules toschedule revenue and billed receivable recognition, you can specify howyou want to adIust this invoice!s revenue account assignments bychoosing a (ules 5ethod in the Credit 5emos window.

Accounting rule window reference:

#ame$ #nter a 0ame for this accounting rule.

Type$ #nter an accounting rule &ype. #nter !$ccounting, Fixed "uration!to prorate revenue recognition evenly over a predefined period of time.&he revenue recognition schedule is always the same every time youchoose this accounting rule. For example, if you have four schedules foryour rule with this type, you will recogni+e twenty)five percent of yourrevenue at the end of each schedule.

#nter !$ccounting, 8ariable "uration! to be able to specify the number ofperiods over which you want to recogni+e revenue for invoices to whichyou assign this rule. You can assign this type of accounting rule to

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invoices that you manually enter in the &ransaction window or importinto (eceivables using $uto-nvoice. &he revenue recognition schedulechanges for invoices that are assigned this type of accounting ruledepending upon the value that you either pass through $uto-nvoice orspecify when you manually enter an invoice.

Period$#nter the Period to use for your accounting rule schedule. Youcan choose from any of the Period &ypes you defined, but you can onlychoose a period type that has overlapping dates if it is an adIustingperiod. -n addition, you can only choose !*pecific "ate! as your periodtype for accounting rules to which you have assigned a type of!$ccounting, Fixed "uration.! You can only update this field for theaccounting rule !-55#"-$.!

#umber of Periods$ -f this accounting rule type is !$ccounting, Fixed

"uration,! enter the 0umber of Periods to use for your accounting ruleschedule. For example, if you entered a period of !?eely! and you enter!

)eferred Re-enue$ -f you want to delay specifying the revenuerecognition schedule for this rule, chec the "eferred (evenue checbox. -f you select this chec box, then revenue is deferred to anunearned revenue account, and you must later use the $ctions wi+ard torecogni+e the revenue.

Sc+edule$ "efine your revenue recognition schedule for this accountingrule. #nter the percentages of revenue to recogni+e within each period ofyour accounting rule.

-f this accounting rule type is !$ccounting, Fixed "uration,!

(eceivables displays a rule schedule according to the period andnumber of periods you entered. (eceivables determines the scheduleby evenly prorating all the revenue across all periods 1you canchange this information2. &he sum of all periods for this type must

eual AJJ percent.

-f this accounting rule type is !$ccounting, 8ariable "uration,! you do

not need to enter any information. (eceivables does not display thedefault rule schedule for an accounting rule of this type because thenumber of periods is unnown. 7owever, if you want to recogni+e aspecific revenue percentage in the first period, you can enter thatpercentage here. -n this case, (eceivables prorates the remainingrevenue percentage across the remaining periods. (eceivables uses

the number of periods that you either pass through $uto-nvoice orenter manually in the &ransaction window to determine the paymentschedule of your accounting rule.

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-f this accounting rule type is !$ccounting, Fixed "uration,! and you

choose *pecific "ate as your period, enter specific dates for eachperiod of the revenue recognition schedule for this rule.

)eferred re-enue Rules

You create deferred accounting rules by selecting the "eferred (evenuechec box in the -nvoicing and $ccounting (ules window during ruledefinition. ?hen you use deferred accounting rules, the (evenue(ecognition program creates a single distribution per line that posts toan unearned revenue >% account. You later earn the revenue using the$ctions wi+ard.

You can use deferred accounting rules only for invoices that are assignedthe 6ill in $dvance invoicing rule. -f the invoicing rule on a transaction is6ill in $rrears, the (evenue (ecognition program ignores the deferred

flag.

-f you use a deferred accounting rule with a single accounting period,(eceivables recogni+es the revenue in the period that you specify withthe $ctions wi+ard.

-f you use a deferred accounting rule with multiple accounting periods,(evenue $ccounting creates the revenue recognition schedule based onthe rule, and the start date is determined by the >% start date that you

entered using the $ctions wi+ard. -f the >% start date occurs in a closedaccounting period, (evenue $ccounting posts that portion of revenueinto the subseuent open accounting period.

-f you use a non)deferred accounting rule with multiple accountingperiods, (evenue $ccounting uses the schedule created by the (evenue(ecognition program. -f an accounting period is closed, (evenue$ccounting posts that portion of revenue into the subseuent openaccounting period.

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AutoAccountin%

"efine $uto$ccounting to specify how you want (eceivables todetermine the general ledger accounts for transactions that you entermanually or import using $uto-nvoice. (eceivables creates defaultaccounts for revenue, receivable, freight, tax, unearned revenue,unbilled receivable, finance charges, bills receivables accounts, and$uto-nvoice clearing 1suspense2 accounts using this information.

You can control the value that $uto$ccounting assigns to each segment

of your $ccounting Flexfield, such as Company, "ivision, or $ccount.

You must define $uto$ccounting before you can enter transactions in(eceivables. ?hen you enter transactions in (eceivables, you canoverride the default general ledger accounts that $uto$ccountingcreates.

AutoAccounting window reference:

#ote$ &he 'perating Unit field is provided to support functionality

planned for a future release.

A. #nter the &ype of account to define. Choose from the following:

Auto?n-oice Clearin'$ &he clearing account for your imported

transactions. (eceivables use the clearing account to hold anydifference between the specified revenue amount and the sellingprice times the uantity for imported invoice lines. (eceivables onlyuse the clearing account if you have enabled this feature for the

invoice batch source of your imported transactions.

%ills Recei-able$&he bills receivable account for your transaction.

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receivable.

0actored %ills Recei-able$&he factored bills receivable account for

your bills receivable transactions.

0rei'+t$&he freight account for your transaction.

Recei-able$&he receivable account for your transaction.

Remitted %ills Recei-able$&he remitted bills receivable account for


Re-enue$ &he revenue and finance charges account for your

transaction.

Ta$&he tax account for your transaction.

5nbilled Recei-able$ &he unbilled receivable account for yourtransaction. (eceivables use this account when you use the 6ill -n$rrears invoicing rule. -f your accounting rule recogni+es revenuebefore your invoicing rule bills it, (eceivables uses this account.

5nearned Re-enue$ &he unearned revenue account for your

transaction. (eceivables use this account when you use the 6ill -n$dvance invoicing rule. -f your accounting rule recogni+es revenueafter your invoicing rule bills it, (eceivables uses this account.

5npaid %ills Recei-able$ &he unpaid bills receivable account for


;. For each segment, enter either the table name or constant valuethat you want (eceivables to use to get information. ?hen you enteran account &ype, (eceivables displays all of the segment names inyour $ccounting Flexfield *tructure. *egments include suchinformation as Company, Product, "epartment, $ccount, and *ub)$ccount. (eceivables lets you use different table names for differentaccounts. Choose one of the following table names:

%ill To Site$Use the bill)to site of the transaction to determine this

segment of your revenue, freight, receivable, $uto-nvoice clearing,tax, unbilled receivable, and unearned revenue account.

)ra*ee Site$Use the drawee site table to determine this segment of

your bills receivable, factored bills receivable, remitted billsreceivable, and unpaid bills receivable account.

Remittance %an=s$Use the remittance bans table to determine

this segment of your factored bills receivable and remitted bills

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receivable account.

Salesperson$ Use the salesperson!s table to determine this segment

of your revenue, freight, receivable, $uto-nvoice clearing, tax,unbilled receivable, and unearned revenue account. -f you choosethis option for your $uto-nvoice clearing, tax, or unearned revenue

accounts, (eceivables uses the revenue account associated with thissalesperson. -f you choose this option for your unbilled receivableaccount, (eceivables uses the receivable account associated with thissalesperson. -f the transaction has a line type of M%-0#M with aninventory item of freight 1MF(&M2, $uto$ccounting uses the accountingrules for the freight type account rather than the revenue typeaccount.

Standard /ines$Use the standard memo line or inventory item on

the transaction to determine this segment of your revenue,$uto-nvoice clearing, freight, tax, unbilled receivable, and unearnedrevenue account. -f you choose this option for your $uto-nvoiceclearing, freight, tax, unbilled receivable or unearned revenueaccounts, (eceivables uses the revenue account associated to thisstandard memo line item or inventory item. -f the transaction has aline type of M%-0#M with an inventory item of freight 1MF(&M2,$uto$ccounting uses the accounting rules for the freight type accountrather than the revenue type account.

Taes$#nter this option to use tax codes when determining your tax

account.

Transaction Types$Use the transaction types table to determine

this segment of your revenue, freight, receivable, $uto-nvoiceclearing, tax, unbilled receivable, and unearned revenue account, andof your bills receivable, factored bills receivable, remitted billsreceivable, and unpaid bills receivable account. -f the transaction has

a line type of M%-0#M with an inventory item of freight 1MF(&M2,$uto$ccounting uses the accounting rules for the freight type accountrather than the revenue type account.


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Approval /imits

Use the $pproval %imits window to define approval limits for adIustmentscreated in (eceivables, reuests for credit memos initiated fromi(eceivables, and write)offs for receipts.

?hen you enter an adIustment that is outside your approval limit range,

(eceivables assigns the adIustment a status of Pending until someonewith the appropriate approval limits either approves or reIects it.

(eceivables use approval limits that have a document type of$dIustment when you create an adIustment in the $dIustments, *ubmit$uto $dIustments, and $pprove $dIustments windows.

&he Credit 5emo (euest $pproval ?orflow uses approval limits thathave a document type of Credit 5emo when forwarding credit memo

reuests from i(eceivables. &he worflow sends a notification to anapprover if the reuest is within the approval limit range for the currencyand reason code specified.

?hen you write off an unapplied receipt amount or an underpayment ona receipt, (eceivables uses approval limits that have a document type of(eceipt ?rite)off. You cannot write off a receipt amount that is outsideyour approval limit range.

You define $dIustment approval limits by currency and dollar amount.

You define Credit 5emo approval limits by reason type, currency, anddollar amount. You define (eceipt ?rite)off approval limits by currencyand dollar amount. &he approval limits for write)offs are separate from,but cannot exceed, the system level write)off amounts that you define inthe *ystem 'ptions window. You must specify both lower and upperapproval limits for each approver.

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Receivables Activities.

"efine receivables activities to default accounting information for certainactivities, such as miscellaneous cash, discounts, finance charges,adIustments, and receipt write)off applications.

$ctivities that you define appear as list of values choices in various(eceivables windows. You can define as many activities as you need.

&he &ax Code *ource you specify determines whether (eceivablescalculates and accounts for tax on adIustments, discounts, financecharges, and miscellaneous receipts assigned to this activity. -f youspecify a &ax Code *ource of -nvoice, then (eceivables uses the taxaccounting information defined for the invoice tax code1s2 toautomatically account for the tax. -f the (eceivables $ctivity type is5iscellaneous Cash, then you can allocate tax to the $sset or %iabilitytax accounts that you define for this (eceivables $ctivity.

(eceivables uses finance charge activity accounting information whenyou assess finance charges in your statements and dunning letters.

@uery the Chargebac $dIustment activity that (eceivables provides andspecify >% accounts for this activity before creating chargebacs in(eceivables.

You can mae an activity inactive by unchecing the $ctive chec box

and then saving your wor.

Attention$'nce you define an activity, you cannot change its type.

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7owever, you can update an existing activity!s >% account, even ifyou have already assigned this activity to a transaction.

Acti-ity Types

$n activity!s type determines whether it uses a distribution set or >%account and in which window your activity appears in the list of values.

You can choose from the following types:

AdGustment$ You use activities of this type in the $dIustments window.You must create at least one activity of this type.

#ote$ -n the $dIustments window, you cannot select the $dIustment(eversal, Chargebac $dIustment, Chargebac (eversal, andCommitment $dIustment activities to manually adIust transactions.&hese four activities are reserved for internal use only.

?hen you reverse a receipt, if an adIustment or chargebac exists,(eceivables automatically generates off)setting adIustments using the$dIustment (eversal and Chargebac (eversal activities. ?hen yourcustomers invoice against their commitments, (eceivables automaticallyadIusts the commitment balance and generates an off)settingadIustment against the invoice using the Commitment $dIustmentactivity.

%an= Error$You use activities of this type in the (eceipts window when

entering miscellaneous receipts. You can use this type of activity to helpreconcile ban statements using 'racle Cash 5anagement.

Claim ?n-esti'ation$ You use activities of this type in the (eceipts$pplications and @uicCash windows when placing receiptoverpayments, short payments, and invalid %ocbox transactions intoclaim investigation. &he receivable activity that you use determines theaccounting for these claim investigation applications. For use only with'racle &rade 5anagement.

Credit Card Refund$ You use activities of this type in the (eceipts$pplications window when processing refunds to customer credit cardaccounts. &his activity includes information about the >eneral %edgeraccount used to clear credit card refunds. You must create at least oneactivity of this type to process credit card refunds.

Earned )iscount$You use activities of this type in the $dIustments andthe (emittance 6ans windows. Use this type of activity to adIust atransaction if payment is received within the discount period1determined by the transaction!s payment terms2.

Endorsements$&he endorsement account is an offsetting account that

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records the endorsement of a bill receivable. &his is typically definedwith an 'racle Payables clearing account.

0inance C+ar'e$You use activities of this type in the Customers and*ystem 'ptions window. You must define a finance charge activity if youinclude finance charges on your statements or dunning letters.

&iscellaneous Cas+$ You use activities of this type in the (eceiptswindow when entering miscellaneous receipts. You must create at leastone activity of this type.

Payment #ettin'$You use activities of this type in the $pplicationswindow and in the @uicCash 5ultiple $pplication window when applyinga receipt against other open receipts.

&he >% $ccount *ource field defaults to ctivity *& ccount and you

must enter a >% account in the $ctivity >% $ccount field. &he >% accountthat you specify will be the clearing account used when offsetting onereceipt against another receipt. &he &ax Code *ource field defaults toNone.

You can define multiple receivables activities of this type, but only onePayment 0etting activity can be active at any given time.

Prepayments$ (eceivables uses activities of this type in the$pplications window when creating prepayment receipts. ?hen the

Prepayment activity type is selected, the >% $ccount *ource fielddefaults toctivity *& ccountand you must enter a >% account in the$ctivity >% $ccount field. &he >% account that you specify will be thedefault account for prepayment receipts that use this receivablesactivity. &he &ax Code *ource field defaults to None. You can definemultiple receivables activities of this type, but only one prepaymentactivity can be active at any given time.

Receipt rite4off$ You use activities of this type in the (eceipts

$pplications and the Create (eceipt ?rite)off windows. &he receivableactivity that you use determines which >% account is credited when youwrite off an unapplied amount or an underpayment on a receipt.

S+ort Term )ebt$You use activities of this type in the >% $ccounttabbed region of the (emittance 6ans window. &he short)term debtaccount records advances made to creditors by the ban when billsreceivable are factored with recourse. (eceivables assigns short)termdebt receivables activities to bills receivable remittance payment

methods.

5nearned )iscount$You use activities of this type in the $dIustments

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and the (emittance 6ans windows. Use this type of activity to adIust atransaction if payment is received after the discount period 1determinedby the transaction!s payment terms2.

Auto cas" %u&e Sets

"efine $utoCash (ule *ets to determine the seuence of $utoCash (ulesthat Post @uicCash uses to update your customer!s account balances.

You specify the seuence and the $utoCash (ules for each $utoCash(ule *et. &he $utoCash (ule *ets you define display as list of valueschoices in the Customers, Customer $ddresses, Customer ProfileClasses, and the *ystem 'ptions windows. Post @uicCash first checsthe customer site, then the customer profile class, and finally at thesystem options level to determine the $utoCash (ule *et to use.

(eceivables provides a default $utoCash (ule *et when you assign acustomer to a credit profile, but you can modify individual $utoCash (ule

*et assignments at both the customer and customer site levels. -f youdo not assign an $utoCash (ule *et to a customer!s credit profile, andyou enter a receipt for this customer, (eceivables uses the $utoCash(ule *et that you entered in the *ystem 'ptions window along with thenumber of "iscount >race "ays you specified in this customer!s creditprofile to apply the receipt. -f you assign an $utoCash (ule *et to acustomer, but none of the $utoCash (ules apply, (eceivables places theremaining amount Unapplied or 'n)$ccount, depending on how you setthe (emaining (emittance $mount option for the rule set.

-f you have set up your system to use ban charges and a tolerancelimit, Post @uicCash will also consider these amounts if the current$utoCash rule fails 1this is true for all rules except !$pply to the 'ldest

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-nvoice First!2. -f it finds a match, Post @uicCash applies the receiptotherwise, it loos at the next rule in the seuence.

You can disable an existing $utoCash (ule *et by changing its status to-nactive and then saving your wor.

AutoCas+ Rule set *indo* reference$

#ame$ #nter the 0ame of this $utoCash rule set.

)escription$ #nter a description for this $utoCash rule set 1optional2.

)iscounts$ #nter the type of "iscount you want to automatically give toyour customer for this $utoCash (ule *et. Choose one of the following"iscount options:

Earned Only$Your customer can tae earned discounts according to

the receipt terms of sale. You negotiate earned discount percentageswhen you define specific receipt terms. You can enter this option if$llow Unearned "iscounts is set to Yes in the *ystem 'ptions window.-n this case, (eceivables only allows earned discounts for this$utoCash (ule *et.

Earned and 5nearned$ Your customer can tae both earned and

unearned discounts. $n unearned discount is one taen after thediscount period passes. You cannot choose this option if the system

option Unearned "iscounts is set to 0o.

#one$ Your customer cannot tae discounts 1this is the default2.

?tems in )ispute$&o include transactions in dispute when calculatingyour customer!s open balance, chec the -tems in "ispute chec box.

0inance C+ar'es$ &o include finance charges when calculating yourcustomer!s open balance, chec the Finance Charges chec box.

Automatic &atc+in' RuleRemainin' Remittance Amount$ -f this rule set will include the $pplyto the 'ldest -nvoice First rule, choose how you want to apply any(emaining (emittance $mount. (eceivables uses this value to determinehow to enter the remaining amount of the receipt if none of the$utoCash (ules within this rule set apply. Choose !Unapplied! to marremaining receipt amounts as Unapplied. Choose !'n)$ccount! to placeremaining receipt amounts 'n)$ccount.

Apply Partial Receipts$&o automatically apply

r12 receivables guide(2)

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