Account Generator
A feature that uses Oracle Workflow to provide various Oracle Applications with the ability to construct Accounting Flexfield combinations automatically using custom construction criteria. You define a group of steps that determine how to fill in your Accounting Flexfield segments. You can define additional processes and/or modify the default process(es), depending on the application.
Accounting rules
Rules that you can use for imported and manually entered transactions to specify revenue recognition schedules. You can define an accounting rule in which revenue is recognized over a fixed or variable period of time.
Accrual basis accounting
A method of accounting in which you recognize revenues in the accounting period in which you earn revenues and recognize expenses in the accounting period in which you incur the expense. Both revenues and expenses need to be measurable to be reportable.
Adjustment
A Receivables feature that allows you to increase or decrease the amount due of your invoice, debit memo, chargeback, deposit, or guarantee. Receivables lets you create manual or automatic adjustments.
Aging buckets
In Oracle Receivables and Oracle Payables, time periods you define to age your debit items. Aging buckets are used in the Aging reports to see both current and outstanding debit items. For example, you can define an aging bucket that includes all debit items that are 1 to 30 days past due. Applications Desktop Integrator uses the aging buckets you define for its Invoice Aging Report.
Approval limits
Limits you assign to users for creating adjustments and approving credit memo requests. Receivables enforces the limits that you define here when users enter receivables adjustments or approve credit memo requests initiated from iReceivables. When users enter adjustments that are within their approval limit, Receivables automatically approves the adjustment. When users enter adjustments outside their approval limit, Receivables assigns a status of pending to the adjustment.
AutoAccounting
In Oracle Receivables, a feature that lets you determine how the Accounting Flexfields for your revenue, receivable, freight, tax, unbilled receivable and unearned revenue account types are created.
AutoAdjustment
A feature used to automatically adjust the remaining balances of your invoices, debit memos, and chargebacks that meet the criteria that you define.
Autoallocations
A feature in Oracle General Ledger that automates journal batch validation and generation for MassAllocations, Recurring Journals, MassBudgets, Project Allocations and Mass Encumbrances. You can create parallel and step-down autoallocation sets.
AutoAssociate
An option that allows you to specify whether you want Oracle Receivables to determine the customer using invoice numbers if the customer cannot be identified from either the magnetic ink character recognition (MICR) number or the customer number. Receivables checks the invoice numbers until it finds a unique invoice number for a customer. Receivables then uses this invoice number to identify the customer. You can only use this feature if your bank transmits invoice numbers and if the AutoLockbox Validation program can identify a unique customer for a payment using an invoice number. Otherwise, Receivables treats the payment as unidentified.
AutoCash Rule
A feature that Post QuickCash uses to automatically apply receipts to a customer’s open items. AutoCash Rules include: Apply to the Oldest Invoice First, Clear the Account, Clear Past Due Invoices, Clear Past Due Invoices Grouped by Payment Term, and Match Payment with Invoice.
AutoCash Rule Set
A feature that determines the order of the AutoCash Rules that the Post QuickCash program will use when automatically applying receipts to a customer’s open items. You can choose to include discounts, finance charges, and items in dispute when calculating your customer’s open balance.
AutoInvoice
A program that imports invoices, credit memos, and on-account credits from other systems to Oracle Receivables.
AutoOffset
A feature that automatically determines the offset (or credit) entry for your allocation entry. AutoOffset automatically calculates the net of all previous journal lines in your allocation entry, reverses the sign, and generates the contra amount.
AutoReconciliation
An Oracle Cash Management feature that allows you to reconcile bank statements automatically. This process automatically reconciles bank statement details with the appropriate batch, journal entry, or transaction, based on user-defined system parameters and setup. Oracle Cash Management generates all necessary accounting entries.
Showing posts with label DEFINITIONS. Show all posts
Showing posts with label DEFINITIONS. Show all posts
B
Balancing segment
An Accounting Flexfield segment that you define so that General Ledger automatically balances all journal entries for each value of this segment. For example, if your company segment is a balancing segment, General Ledger ensures that, within every journal entry, the total debits to company 1 equal the total credits to company 1.
Bill of Exchange
In Oracle Receivables, an agreement made with your customer in which they promise to pay a specified amount on a specific date (called the maturity date) for goods or services. This process involves the transfer of funds from your customer’s bank account to your bank account.
In Oracle Cash Management, a method of payment involving the transfer of funds between bank accounts, where one party promises to pay another a specified amount on a specified date.
In Oracle Payables, a method of payment. Also known as a future dated payment in some countries.
Budgetary control
An Oracle Financials feature you use to control actual and anticipated expenditures against a budget. When budgetary control is enabled, you can check funds online for transactions, and you can reserve funds for transactions by creating encumbrances. Oracle Financials automatically calculates funds available (budget less encumbrances less actual expenditures) when you attempt to reserve funds for a transaction. Oracle Financials notifies you online if funds available are insufficient for your transaction.
Business group
The highest level of organization and the largest grouping of employees across which a company can report. A business group can correspond to an entire company, or to a specific division within the company. Each installation of Oracle Projects uses one business group with one hierarchy
An Accounting Flexfield segment that you define so that General Ledger automatically balances all journal entries for each value of this segment. For example, if your company segment is a balancing segment, General Ledger ensures that, within every journal entry, the total debits to company 1 equal the total credits to company 1.
Bill of Exchange
In Oracle Receivables, an agreement made with your customer in which they promise to pay a specified amount on a specific date (called the maturity date) for goods or services. This process involves the transfer of funds from your customer’s bank account to your bank account.
In Oracle Cash Management, a method of payment involving the transfer of funds between bank accounts, where one party promises to pay another a specified amount on a specified date.
In Oracle Payables, a method of payment. Also known as a future dated payment in some countries.
Budgetary control
An Oracle Financials feature you use to control actual and anticipated expenditures against a budget. When budgetary control is enabled, you can check funds online for transactions, and you can reserve funds for transactions by creating encumbrances. Oracle Financials automatically calculates funds available (budget less encumbrances less actual expenditures) when you attempt to reserve funds for a transaction. Oracle Financials notifies you online if funds available are insufficient for your transaction.
• Absolute: The transaction is rejected if sufficient funds are not available.
• Advisory: The transaction is accepted when sufficient funds are not available, but a the system issues a warning notification that available funds are exceeded.
• None: The transaction is accepted and no funds check is performed.
• Advisory: The transaction is accepted when sufficient funds are not available, but a the system issues a warning notification that available funds are exceeded.
• None: The transaction is accepted and no funds check is performed.
Business group
The highest level of organization and the largest grouping of employees across which a company can report. A business group can correspond to an entire company, or to a specific division within the company. Each installation of Oracle Projects uses one business group with one hierarchy
C
Cash basis accounting
In Oracle Receivables, an accounting method that lets you recognize revenue at the time payment is received for an invoice.In Oracle Payables, an accounting method in which you only recognize an expense when you incur the expense. With the Cash Basis Accounting, Payables only creates accounting entries for invoice payments
Cash Clearing Account
The cash clearing account you associate with a payment document. You use this account if you account for payments at clearing time. Oracle Payables credits this account instead of your Asset (Cash) account and debits your Liability account when you create accounting entries for uncleared payments. Oracle Payables debits this account and credits your Asset (Cash) account once you clear your payments in Oracle Cash Management.
Chargebacks
A new debit item that you assign to your customer when closing an existing, outstanding debit item.
Chart of accounts
The account structure your organization uses to record transactions and maintain account balances.
Claim
A discrepancy between the billed amount and the paid amount. Claims are often referred to as deductions, but a claim can be positive or negative.
Clearing account
An account used to ensure that both sides of an accounting transaction are recorded. For example, Oracle General Ledger uses clearing accounts to balance intercompany transactions. When you purchase an asset, your payables group creates a journal entry to the asset clearing account. When your fixed assets group records the asset, they create an offset journal entry to the asset clearing account to balance the entry from the payables group.
Combined basis accounting
A method of accounting that combines both Accrual Basis Accounting and Cash Basis Accounting. With Combined Basis of Accounting, you use two separate sets of books, one for the accrual basis accounting method and the other for the cash basis accounting method. Payables creates journal entries for invoices and payments to post to your accrual set of books and creates journal entries for payments to post to your cash set of books.
Commitment
In Oracle Receivables and Oracle Payables, a contractual guarantee with a customer for future purchases, usually involving deposits or prepayments. You can create invoices against the commitment to absorb the deposit or prepayment. Receivables automatically records all necessary accounting entries for your commitments.
In Oracle General Ledger, an encumbrance type typically associated with purchase requisitions to track expenditures. You can view funds available and report on commitments. Oracle Order Management allows you to enter order lines against commitments.
Construction-in-process (CIP) asset
A depreciable fixed asset you plan to build during a capital project. The costs associated with building CIP assets are referred to as CIP costs. You construct CIP assets over a period of time rather than buying a finished asset. Oracle Assets lets you create, maintain, and add to your CIP assets as you spend money for material and labor to construct them. When you finish the assets and place them in service (capitalize them), Oracle Assets begins depreciating them.
Control account
An accounting segment status for an account combination. This type of account is used in subledgers such as Payables or Receivables. Control accounts are used to maintain special balances for third parties per period. You should not change control accounts from a General Ledger responsibility; define and use security to protect your control accounts.
Control amount
A feature you use to specify the total amount available for payment of a recurring payment. When you generate invoices for a recurring payment, Oracle Payables uses the control amount and the total number of payments to determine the invoice amount.
Cedit invoice
An invoice you receive from a supplier representing a credit amount that the supplier owes to you. A credit invoice can represent a quantity credit or a price reduction.
Credit items
Any item you can apply to an open debit item to reduce the balance due for a customer. Oracle Receivables includes credit memos, on-account credits, and unapplied and on-account cash as credit items. Credit items remain open until you apply the full amount to debit items.
Cross-validation rules
Rules that restrict the user from entering invalid key flexfield segment value combinations during data entry. For example, you may set up a cross-validation rule that disallows using department segments with balance sheet accounts.
In Oracle Receivables, an accounting method that lets you recognize revenue at the time payment is received for an invoice.In Oracle Payables, an accounting method in which you only recognize an expense when you incur the expense. With the Cash Basis Accounting, Payables only creates accounting entries for invoice payments
Cash Clearing Account
The cash clearing account you associate with a payment document. You use this account if you account for payments at clearing time. Oracle Payables credits this account instead of your Asset (Cash) account and debits your Liability account when you create accounting entries for uncleared payments. Oracle Payables debits this account and credits your Asset (Cash) account once you clear your payments in Oracle Cash Management.
Chargebacks
A new debit item that you assign to your customer when closing an existing, outstanding debit item.
Chart of accounts
The account structure your organization uses to record transactions and maintain account balances.
Claim
A discrepancy between the billed amount and the paid amount. Claims are often referred to as deductions, but a claim can be positive or negative.
Clearing account
An account used to ensure that both sides of an accounting transaction are recorded. For example, Oracle General Ledger uses clearing accounts to balance intercompany transactions. When you purchase an asset, your payables group creates a journal entry to the asset clearing account. When your fixed assets group records the asset, they create an offset journal entry to the asset clearing account to balance the entry from the payables group.
Combined basis accounting
A method of accounting that combines both Accrual Basis Accounting and Cash Basis Accounting. With Combined Basis of Accounting, you use two separate sets of books, one for the accrual basis accounting method and the other for the cash basis accounting method. Payables creates journal entries for invoices and payments to post to your accrual set of books and creates journal entries for payments to post to your cash set of books.
Commitment
In Oracle Receivables and Oracle Payables, a contractual guarantee with a customer for future purchases, usually involving deposits or prepayments. You can create invoices against the commitment to absorb the deposit or prepayment. Receivables automatically records all necessary accounting entries for your commitments.
In Oracle General Ledger, an encumbrance type typically associated with purchase requisitions to track expenditures. You can view funds available and report on commitments. Oracle Order Management allows you to enter order lines against commitments.
Construction-in-process (CIP) asset
A depreciable fixed asset you plan to build during a capital project. The costs associated with building CIP assets are referred to as CIP costs. You construct CIP assets over a period of time rather than buying a finished asset. Oracle Assets lets you create, maintain, and add to your CIP assets as you spend money for material and labor to construct them. When you finish the assets and place them in service (capitalize them), Oracle Assets begins depreciating them.
Control account
An accounting segment status for an account combination. This type of account is used in subledgers such as Payables or Receivables. Control accounts are used to maintain special balances for third parties per period. You should not change control accounts from a General Ledger responsibility; define and use security to protect your control accounts.
Control amount
A feature you use to specify the total amount available for payment of a recurring payment. When you generate invoices for a recurring payment, Oracle Payables uses the control amount and the total number of payments to determine the invoice amount.
Cedit invoice
An invoice you receive from a supplier representing a credit amount that the supplier owes to you. A credit invoice can represent a quantity credit or a price reduction.
Credit items
Any item you can apply to an open debit item to reduce the balance due for a customer. Oracle Receivables includes credit memos, on-account credits, and unapplied and on-account cash as credit items. Credit items remain open until you apply the full amount to debit items.
Cross-validation rules
Rules that restrict the user from entering invalid key flexfield segment value combinations during data entry. For example, you may set up a cross-validation rule that disallows using department segments with balance sheet accounts.
D
Debit invoice
An invoice you generate to send to a supplier representing a credit amount that the supplier owes to you. A debit invoice can represent a quantity credit or a price reduction.
Debit items
Any item that increases your customer’s balance. Oracle Receivables includes invoices, debit memos, and chargebacks as debit items. Debit items remain open until the balance due is zero.
Debit memos
Debits that you assign to a customer to collect additional charges. For example, you may want to charge a customer for unearned discounts taken, additional freight charges, taxes, or finance charges.
Deferred depreciation
The difference between the depreciation expense for an asset in a tax book and its depreciation expense in the associated corporate book.
Descriptive Flexfield
A field that your organization can extend to capture extra information not otherwise tracked by Oracle Applications. A descriptive flexfield appears in your window as a single character, unnamed field. Your organization can customize this field to capture
additional information unique to your business.
Direct debit
An agreement made with your customer to allow the transfer of funds from their bank account to your bank account. The transfer of funds occurs when the bank receives a document or tape containing the invoices to be paid.
Distribution line
In Oracle Payables and Oracle Projects, a line corresponding to an accounting transaction for an expenditure item on an invoice, or a liability on a payment.
Distribution set
In Oracle Receivables, a predefined group of general ledger accounting codes that determine the debit accounts for other receipt payments. Receivables lets you relate distribution sets to receivables activities to speed data entry.
In Oracle Payables, a feature you use to assign a name to a predefined expense distribution or combination of distributions (by percentage). Payables displays on a list of values the list of Distributions Sets you define. With Distribution Sets, you can enter
routine invoices into Payables without having to enter accounting information.
Document sequence
A unique number that is manually or automatically assigned to documents such as bank statements in Oracle Cash Management, invoices in Oracle Receivables, or journal entries in Oracle General Ledger. Also used to provide an audit trail. Many countries require all documents to be sequentially numbered. Document sequencing can also be used in Public Sector implementations to comply with reporting and audit requirements.
Dynamic insertion
An optional Accounting Flexfields feature that allows you to create new account combinations during data entry in Oracle Applications. By enabling this feature, it prevents having to define every possible account combination that can exist. Define cross-validation rules when using this feature.
An invoice you generate to send to a supplier representing a credit amount that the supplier owes to you. A debit invoice can represent a quantity credit or a price reduction.
Debit items
Any item that increases your customer’s balance. Oracle Receivables includes invoices, debit memos, and chargebacks as debit items. Debit items remain open until the balance due is zero.
Debit memos
Debits that you assign to a customer to collect additional charges. For example, you may want to charge a customer for unearned discounts taken, additional freight charges, taxes, or finance charges.
Deferred depreciation
The difference between the depreciation expense for an asset in a tax book and its depreciation expense in the associated corporate book.
Descriptive Flexfield
A field that your organization can extend to capture extra information not otherwise tracked by Oracle Applications. A descriptive flexfield appears in your window as a single character, unnamed field. Your organization can customize this field to capture
additional information unique to your business.
Direct debit
An agreement made with your customer to allow the transfer of funds from their bank account to your bank account. The transfer of funds occurs when the bank receives a document or tape containing the invoices to be paid.
Distribution line
In Oracle Payables and Oracle Projects, a line corresponding to an accounting transaction for an expenditure item on an invoice, or a liability on a payment.
Distribution set
In Oracle Receivables, a predefined group of general ledger accounting codes that determine the debit accounts for other receipt payments. Receivables lets you relate distribution sets to receivables activities to speed data entry.
In Oracle Payables, a feature you use to assign a name to a predefined expense distribution or combination of distributions (by percentage). Payables displays on a list of values the list of Distributions Sets you define. With Distribution Sets, you can enter
routine invoices into Payables without having to enter accounting information.
Document sequence
A unique number that is manually or automatically assigned to documents such as bank statements in Oracle Cash Management, invoices in Oracle Receivables, or journal entries in Oracle General Ledger. Also used to provide an audit trail. Many countries require all documents to be sequentially numbered. Document sequencing can also be used in Public Sector implementations to comply with reporting and audit requirements.
Dynamic insertion
An optional Accounting Flexfields feature that allows you to create new account combinations during data entry in Oracle Applications. By enabling this feature, it prevents having to define every possible account combination that can exist. Define cross-validation rules when using this feature.
E
Earned discounts
Discounts your customers are allowed to take if they remit payment for their invoices on or before the discount date. The discount date is determined by the payment terms assigned to an invoice. Oracle Receivables takes into account any discount grace days you assign to this customer’s credit profile. For example, if the discount due date is the 15th of each month, but discount grace days is 5, your customer must pay on or before the 20th to receive the earned discount. Discounts are determined by the terms you assign to an invoice during invoice entry.
Electronic Funds Transfer (EFT)
A method of payment in which your bank transfers funds electronically from your bank account into another bank account. In Payables your bank transfers funds from your bank account into the bank account of a supplier you pay with the Electronic payment method.
Encumbrance accounting
An Oracle Financials feature you use to create encumbrances automatically for requisitions, purchase orders, and invoices. The budgetary control feature uses encumbrance accounting to reserve funds for budgets. If you enable encumbrance accounting only, you can create encumbrances automatically or manually; however, you
cannot check funds online and Oracle Financials does not verify available funds for your transaction.
Examples of encumbrance types are commitments (requisition encumbrances) and obligations (purchase order encumbrances).
Discounts your customers are allowed to take if they remit payment for their invoices on or before the discount date. The discount date is determined by the payment terms assigned to an invoice. Oracle Receivables takes into account any discount grace days you assign to this customer’s credit profile. For example, if the discount due date is the 15th of each month, but discount grace days is 5, your customer must pay on or before the 20th to receive the earned discount. Discounts are determined by the terms you assign to an invoice during invoice entry.
Electronic Funds Transfer (EFT)
A method of payment in which your bank transfers funds electronically from your bank account into another bank account. In Payables your bank transfers funds from your bank account into the bank account of a supplier you pay with the Electronic payment method.
Encumbrance accounting
An Oracle Financials feature you use to create encumbrances automatically for requisitions, purchase orders, and invoices. The budgetary control feature uses encumbrance accounting to reserve funds for budgets. If you enable encumbrance accounting only, you can create encumbrances automatically or manually; however, you
cannot check funds online and Oracle Financials does not verify available funds for your transaction.
Examples of encumbrance types are commitments (requisition encumbrances) and obligations (purchase order encumbrances).
F
Factoring
The process by which you sell your accounts receivable to a financial institution (such as a bank) in return for cash. Financial institutions usually charge a fee for factoring.
Finance charges
Additional charges that you assign to customers for past due items. You specify whether you want to charge your customers finance charges in their customer profiles. Finance charges can be included on your customer’s statements and dunning letters.
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.
Flexfield
An Oracle Applications field made up of segments. Each segment has an assigned name and a set of valid values. Oracle Applications uses flexfields to capture information about your organization. There are two types of flexfields: key flexfields and descriptive flexfields.
Foreign currency conversion
A process in Oracle Applications that converts a foreign currency transaction into your functional currency using and exchange rate you specify.
Foreign currency revaluation
A process that allows you to revalue assets and liabilities denominated in a foreign currency using a period-end (usually a balance sheet date) exchange rate. Oracle General Ledger automatically revalues your foreign assets and liabilities using the period-end exchange rate you specify. Revaluation gains and losses result from fluctuations in an exchange rate between a transaction date and a balance sheet date. General Ledger automatically creates a journal entry to adjust your unrealized gain/loss account when you run revaluation.
Foreign currency translation
A process that allows you to restate your functional currency account balances into a reporting currency. Oracle General Ledger multiplies the average, periodic, or historical rate you define by your functional currency account balances to perform foreign currency translation.
The process by which you sell your accounts receivable to a financial institution (such as a bank) in return for cash. Financial institutions usually charge a fee for factoring.
Finance charges
Additional charges that you assign to customers for past due items. You specify whether you want to charge your customers finance charges in their customer profiles. Finance charges can be included on your customer’s statements and dunning letters.
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.
Flexfield
An Oracle Applications field made up of segments. Each segment has an assigned name and a set of valid values. Oracle Applications uses flexfields to capture information about your organization. There are two types of flexfields: key flexfields and descriptive flexfields.
Foreign currency conversion
A process in Oracle Applications that converts a foreign currency transaction into your functional currency using and exchange rate you specify.
Foreign currency revaluation
A process that allows you to revalue assets and liabilities denominated in a foreign currency using a period-end (usually a balance sheet date) exchange rate. Oracle General Ledger automatically revalues your foreign assets and liabilities using the period-end exchange rate you specify. Revaluation gains and losses result from fluctuations in an exchange rate between a transaction date and a balance sheet date. General Ledger automatically creates a journal entry to adjust your unrealized gain/loss account when you run revaluation.
Foreign currency translation
A process that allows you to restate your functional currency account balances into a reporting currency. Oracle General Ledger multiplies the average, periodic, or historical rate you define by your functional currency account balances to perform foreign currency translation.
J
Journal details tables
Journal details are stored in the database tables GL_JE_BATCHES, GL_JE_HEADERS, and GL_JE_LINES.
Journal Import
A General Ledger program that creates journal entries from transaction data stored in the General Ledger GL_INTERFACE table. Journal entries are created and stored in
GL_JE_BATCHES, GL_JE_HEADERS, and GL_JE_LINES
Journal details are stored in the database tables GL_JE_BATCHES, GL_JE_HEADERS, and GL_JE_LINES.
Journal Import
A General Ledger program that creates journal entries from transaction data stored in the General Ledger GL_INTERFACE table. Journal entries are created and stored in
GL_JE_BATCHES, GL_JE_HEADERS, and GL_JE_LINES
K
Key flexfield
An intelligent key that uniquely identifies an application entity. Each key flexfield segment has a name you assign, and a set of valid values you specify. Each value has a meaning you also specify. You use this Oracle Applications feature to build custom fields used for entering and displaying information relating to your business. The following application uses the listed Key Flexfields:
Oracle General Ledger - Accounting
Oracle Projects - Accounting, Category Flexfield, Location, Asset Key.
Oracle Payables - Accounting, System Items.
Oracle Receivables - Accounting, Sales Tax Location, Systems Items, Territory.
An intelligent key that uniquely identifies an application entity. Each key flexfield segment has a name you assign, and a set of valid values you specify. Each value has a meaning you also specify. You use this Oracle Applications feature to build custom fields used for entering and displaying information relating to your business. The following application uses the listed Key Flexfields:
Oracle General Ledger - Accounting
Oracle Projects - Accounting, Category Flexfield, Location, Asset Key.
Oracle Payables - Accounting, System Items.
Oracle Receivables - Accounting, Sales Tax Location, Systems Items, Territory.
L
Legal entity
An organization that represents a legal company for which you prepare fiscal or tax reports. You assign tax identifiers and other relevant information to this entity.
Lockbox
A service that commercial banks offer corporate customers to enable them to outsource their accounts receivable payment processing. Lockbox processors set up special postal codes to receive payments, deposit funds and provide electronic account receivable input to corporate customers.
Lookups
In Oracle Receivables, codes that you define for the activities and terminology you use in your business. These codes appear in lists of values in many Receivables windows. For example, you can define Lookups for personal titles, such as ’Sales Manager’, so you can
refer to people using these titles.
In Oracle Payables, a feature you use to create reference information you use in your business. This reference information appears in lists of values for many of the fields in Payables windows. There are three basic kinds of Lookups: supplier, payables, and employee. With Lookups you can create Pay Groups, supplier types, and other references used in Payables.
An organization that represents a legal company for which you prepare fiscal or tax reports. You assign tax identifiers and other relevant information to this entity.
Lockbox
A service that commercial banks offer corporate customers to enable them to outsource their accounts receivable payment processing. Lockbox processors set up special postal codes to receive payments, deposit funds and provide electronic account receivable input to corporate customers.
Lookups
In Oracle Receivables, codes that you define for the activities and terminology you use in your business. These codes appear in lists of values in many Receivables windows. For example, you can define Lookups for personal titles, such as ’Sales Manager’, so you can
refer to people using these titles.
In Oracle Payables, a feature you use to create reference information you use in your business. This reference information appears in lists of values for many of the fields in Payables windows. There are three basic kinds of Lookups: supplier, payables, and employee. With Lookups you can create Pay Groups, supplier types, and other references used in Payables.
M
MassAllocations
A single journal entry formula that allocates revenues and expenses across a group of cost centers, departments, divisions, and so on. For example, you might want to allocate your employee benefit costs to each of your departments based on headcount in each department.
Matching
In Oracle Payables and Oracle Assets, the process of comparing purchase order, invoice, and receiving information to verify that ordering, billing, and receiving information is consistent within accepted tolerance levels. Payables uses matching to control payments to suppliers. You can use the matching feature in Payables if you have Purchasing or another purchasing system. Payables supports two-, three-, and four-way matching.
2-way matching
The process of verifying that purchase order and invoice information matches within accepted tolerance levels. Payables uses the following criteria to verify two-way
matching: Invoice price <= Order price
Quantity billed <= Quantity ordered
3-way matching
The process of verifying that purchase order, invoice, and receiving information matches within accepted tolerance levels. Payables uses the following criteria to verify three-way
matching: Invoice price <= Purchase Order price
Quantity billed <= Quantity ordered
Quantity billed <= Quantity received
4-way matching
The process of verifying that purchase order, invoice, and receiving information matches within accepted tolerance levels. Payables uses the following criteria to verify four-way
matching: Invoice price <= Order price
Quantity billed <= Quantity ordered
Quantity billed <= Quantity received
Quantity billed <= Quantity accepted
Matching tolerances
The acceptable degrees of variance you define for matched invoices and purchase orders. Payables measures variance between quantities and item prices for invoices and purchase orders. You can define tolerances for order quantities, including Maximum
Quantity Ordered and Maximum Quantity Received. You can also define tolerances for price variances, including exchange rate amounts, shipment amounts, and total amounts. If any of the variances between a matched invoice and purchase order exceed the tolerances you specify, Validation places the invoice on hold.
Miscellaneous receipts
A feature that lets you record payments that you do not apply to debit items, such as refunds and interest income.
Mixed invoice
Mixed Invoices are invoices or credit/debit memos for which you can perform both positive and negative matching to purchase orders and to other invoices.
For example, you can enter an invoice for -$100 with Invoice Type Mixed. You can match to an invoice for $-200, and match to a purchase order for $100.
Multiple organizations
The ability to define multiple organizations and the relationships among them within a single installation of Oracle Applications. These organizations can be sets of books, business groups, legal entities, operating units, or inventory organizations.
A single journal entry formula that allocates revenues and expenses across a group of cost centers, departments, divisions, and so on. For example, you might want to allocate your employee benefit costs to each of your departments based on headcount in each department.
Matching
In Oracle Payables and Oracle Assets, the process of comparing purchase order, invoice, and receiving information to verify that ordering, billing, and receiving information is consistent within accepted tolerance levels. Payables uses matching to control payments to suppliers. You can use the matching feature in Payables if you have Purchasing or another purchasing system. Payables supports two-, three-, and four-way matching.
2-way matching
The process of verifying that purchase order and invoice information matches within accepted tolerance levels. Payables uses the following criteria to verify two-way
matching: Invoice price <= Order price
Quantity billed <= Quantity ordered
3-way matching
The process of verifying that purchase order, invoice, and receiving information matches within accepted tolerance levels. Payables uses the following criteria to verify three-way
matching: Invoice price <= Purchase Order price
Quantity billed <= Quantity ordered
Quantity billed <= Quantity received
4-way matching
The process of verifying that purchase order, invoice, and receiving information matches within accepted tolerance levels. Payables uses the following criteria to verify four-way
matching: Invoice price <= Order price
Quantity billed <= Quantity ordered
Quantity billed <= Quantity received
Quantity billed <= Quantity accepted
Matching tolerances
The acceptable degrees of variance you define for matched invoices and purchase orders. Payables measures variance between quantities and item prices for invoices and purchase orders. You can define tolerances for order quantities, including Maximum
Quantity Ordered and Maximum Quantity Received. You can also define tolerances for price variances, including exchange rate amounts, shipment amounts, and total amounts. If any of the variances between a matched invoice and purchase order exceed the tolerances you specify, Validation places the invoice on hold.
Miscellaneous receipts
A feature that lets you record payments that you do not apply to debit items, such as refunds and interest income.
Mixed invoice
Mixed Invoices are invoices or credit/debit memos for which you can perform both positive and negative matching to purchase orders and to other invoices.
For example, you can enter an invoice for -$100 with Invoice Type Mixed. You can match to an invoice for $-200, and match to a purchase order for $100.
Multiple organizations
The ability to define multiple organizations and the relationships among them within a single installation of Oracle Applications. These organizations can be sets of books, business groups, legal entities, operating units, or inventory organizations.
N
Natural account segment
In Oracle General Ledger, the segment that determines whether an account is an asset, liability, owners’ equity, revenue, or expense account. When you define your chart of accounts, you must define one segment as the natural account segment. Each value for this segment is assigned one of the five account types.
Natural Application Only
A Transaction Type parameter that, if enabled, does not let you apply a transaction to a debit item if the application will reverse the sign of the debit item (for example, from a positive to a negative balance). Natural Application does not apply to chargebacks and adjustments.
In Oracle General Ledger, the segment that determines whether an account is an asset, liability, owners’ equity, revenue, or expense account. When you define your chart of accounts, you must define one segment as the natural account segment. Each value for this segment is assigned one of the five account types.
Natural Application Only
A Transaction Type parameter that, if enabled, does not let you apply a transaction to a debit item if the application will reverse the sign of the debit item (for example, from a positive to a negative balance). Natural Application does not apply to chargebacks and adjustments.
O
Offset account
An offset account is used to balance journal entries in your General Ledger. For example, offsetting accounts for a guarantee are the Unbilled Receivables and the Unbilled Revenue accounts.
On-account
Payments where you intentionally apply all or part of the payment amount to a customer without reference to a debit item. On-account examples include prepayments and deposits.
On-account credits
Credits that you assign to your customer’s account that are not related to a specific invoice. You can create on-account credits in the Transactions window or using AutoInvoice.
On-account payment
The status of a payment of which you apply all or part of its amount to a customer without reference to a specific debit item. Examples of these are prepayments and deposits.
operating unit
An organization that partitions data for subledger products (AP, AR, PA, PO, OE). It is roughly equivalent to a single pre-Multi-Org installation.
Organization
A business unit such as a company, division, or department. Organization can refer to a complete company, or to divisions within a company. Typically, you define an organization or a similar term as part of your account when you implement Oracle Financials.
Overapplication
A Transaction Type parameter that, if enabled, lets you apply a transaction to a debit item even if it will reverse the sign of the debit item (for example, from a positive to a negative balance). Overapplication applies to debit items such as debit memos, deposits, guarantees, credit memos, and on-account credits.
An offset account is used to balance journal entries in your General Ledger. For example, offsetting accounts for a guarantee are the Unbilled Receivables and the Unbilled Revenue accounts.
On-account
Payments where you intentionally apply all or part of the payment amount to a customer without reference to a debit item. On-account examples include prepayments and deposits.
On-account credits
Credits that you assign to your customer’s account that are not related to a specific invoice. You can create on-account credits in the Transactions window or using AutoInvoice.
On-account payment
The status of a payment of which you apply all or part of its amount to a customer without reference to a specific debit item. Examples of these are prepayments and deposits.
operating unit
An organization that partitions data for subledger products (AP, AR, PA, PO, OE). It is roughly equivalent to a single pre-Multi-Org installation.
Organization
A business unit such as a company, division, or department. Organization can refer to a complete company, or to divisions within a company. Typically, you define an organization or a similar term as part of your account when you implement Oracle Financials.
Overapplication
A Transaction Type parameter that, if enabled, lets you apply a transaction to a debit item even if it will reverse the sign of the debit item (for example, from a positive to a negative balance). Overapplication applies to debit items such as debit memos, deposits, guarantees, credit memos, and on-account credits.
P
Pay Group
A feature you use to select invoices for payment in a payment batch. You can define a Pay Group and assign it to one or more suppliers. You can override the supplier’s Pay Group on individual invoices. For example, you can create an Employee Pay Group to pay your employee expenses separately from other ivoices.
Payment document
A medium you use to instruct your bank to disburse funds from your bank account to the bank account or site location of a supplier. With Oracle Payables you can make payments using several types of payment documents. You can send your supplier a check that you manually create or computer-generate. You can instruct your bank to transfer funds to the bank account of a supplier. For each payment document, you can generate a separate remittance advice. Payables updates your invoice scheduled payment the same way regardless of which payment document you use to pay an invoice. Payables also allows you to instruct your bank to pay in a currency different from your functional currency, if you enable the multiple currency system option and define a multi-currency payment format.
Payment method
In Oracle Payables, a feature that allows you to make invoice payments using a variety of methods. You can disburse funds using checks, electronic funds transfers, and wire transfers. Oracle Payables updates your payment schedules the same way regardless of which payment method you use. You can assign a payment method to suppliers, supplier sites, invoice payment schedule lines, and payment formats. You can then assign one or more payment formats to a bank account. You can have multiple payment formats for each payment method.
Payment schedules
The due date and discount date for payment of an invoice. For example, the payment term ’2% 10, Net 30’ lets a customer take a two percent discount if payment is received within 10 days with the full invoice amount due within 30 days of the invoice date.
Payment terms
The due date and discount date for payment of a transaction. For example, the payment term ’2% 10, Net 30’ lets a customer take a two percent discount if payment is received within 10 days; after 10 days, the entire balance is due within 30 days of the invoice
date with no applicable discount.
PO Default
Enter PO Default as the invoice type if you know the purchase order you want to match to, but you do not know to which purchase order shipments or distributions you want to match. When you enter a PO Default invoice in the Invoice Workbench, Payables prompts you to enter the purchase order number and then automatically copies the supplier name, supplier number, currency, and payment terms from that purchase order to the invoice. When you choose the Match button, Payables retrieves all purchase order shipments or receipt lines associated with the specified purchase order. You can then match to any shipment, distribution, or receipt line.
Profile option
A set of options that control access to certain features throughout Oracle Applications and determines how data is processed. Generally, profile options can be set at the Site, Application, Responsibility, and User levels.
Proxima payment terms
A payment term you define for invoices due on the same day each period, such as your credit card or telephone bills. When you define a proxima payment term, you specify a cutoff day and the day of month due. This type of payment term is also used with consolidated billing invoices.
Purchase requisition
An internal request for goods or services. A requisition can originate from an employee or from another process, such as inventory or manufacturing. Each requisition can include many lines, generally with a distinct item on each requisition line. Each requisition line includes at least a description of the item, the unit of measure, the quantity needed, the price per item, and the Accounting Flexfield you are charging for the item. Also known as internal requisition.
A feature you use to select invoices for payment in a payment batch. You can define a Pay Group and assign it to one or more suppliers. You can override the supplier’s Pay Group on individual invoices. For example, you can create an Employee Pay Group to pay your employee expenses separately from other ivoices.
Payment document
A medium you use to instruct your bank to disburse funds from your bank account to the bank account or site location of a supplier. With Oracle Payables you can make payments using several types of payment documents. You can send your supplier a check that you manually create or computer-generate. You can instruct your bank to transfer funds to the bank account of a supplier. For each payment document, you can generate a separate remittance advice. Payables updates your invoice scheduled payment the same way regardless of which payment document you use to pay an invoice. Payables also allows you to instruct your bank to pay in a currency different from your functional currency, if you enable the multiple currency system option and define a multi-currency payment format.
Payment method
In Oracle Payables, a feature that allows you to make invoice payments using a variety of methods. You can disburse funds using checks, electronic funds transfers, and wire transfers. Oracle Payables updates your payment schedules the same way regardless of which payment method you use. You can assign a payment method to suppliers, supplier sites, invoice payment schedule lines, and payment formats. You can then assign one or more payment formats to a bank account. You can have multiple payment formats for each payment method.
Payment schedules
The due date and discount date for payment of an invoice. For example, the payment term ’2% 10, Net 30’ lets a customer take a two percent discount if payment is received within 10 days with the full invoice amount due within 30 days of the invoice date.
Payment terms
The due date and discount date for payment of a transaction. For example, the payment term ’2% 10, Net 30’ lets a customer take a two percent discount if payment is received within 10 days; after 10 days, the entire balance is due within 30 days of the invoice
date with no applicable discount.
PO Default
Enter PO Default as the invoice type if you know the purchase order you want to match to, but you do not know to which purchase order shipments or distributions you want to match. When you enter a PO Default invoice in the Invoice Workbench, Payables prompts you to enter the purchase order number and then automatically copies the supplier name, supplier number, currency, and payment terms from that purchase order to the invoice. When you choose the Match button, Payables retrieves all purchase order shipments or receipt lines associated with the specified purchase order. You can then match to any shipment, distribution, or receipt line.
Profile option
A set of options that control access to certain features throughout Oracle Applications and determines how data is processed. Generally, profile options can be set at the Site, Application, Responsibility, and User levels.
Proxima payment terms
A payment term you define for invoices due on the same day each period, such as your credit card or telephone bills. When you define a proxima payment term, you specify a cutoff day and the day of month due. This type of payment term is also used with consolidated billing invoices.
Purchase requisition
An internal request for goods or services. A requisition can originate from an employee or from another process, such as inventory or manufacturing. Each requisition can include many lines, generally with a distinct item on each requisition line. Each requisition line includes at least a description of the item, the unit of measure, the quantity needed, the price per item, and the Accounting Flexfield you are charging for the item. Also known as internal requisition.
Q
Quick payment
A feature you use to create an automatic payment on demand. With Quick payment, you choose the invoices you want to pay, and Payables creates a single payment. You can also void and reissue a Quick payment if your printer spoils it while printing.
QuickCash
A feature that lets you enter receipts quickly by providing only minimal information. After using QuickCash to enter your receipts, you can post your payment batches to your customer accounts by running Post QuickCash.
QuckMatch invoice
Enter QuickMatch as the invoice type if you want to match an invoice to all shipments or receipt lines on a purchase order. When you enter a QuickMatch invoice in the Invoice Workbench, Payables prompts you to enter the purchase order number and automatically enters the supplier name, supplier number, currency, and payment terms for the invoice. When you choose the Match button, Payables automatically navigates to the match window, and selects all shipments that have an unbilled quantity, as long as they are not finally closed. You can choose to complete the match or override the matching information.
A feature you use to create an automatic payment on demand. With Quick payment, you choose the invoices you want to pay, and Payables creates a single payment. You can also void and reissue a Quick payment if your printer spoils it while printing.
QuickCash
A feature that lets you enter receipts quickly by providing only minimal information. After using QuickCash to enter your receipts, you can post your payment batches to your customer accounts by running Post QuickCash.
QuckMatch invoice
Enter QuickMatch as the invoice type if you want to match an invoice to all shipments or receipt lines on a purchase order. When you enter a QuickMatch invoice in the Invoice Workbench, Payables prompts you to enter the purchase order number and automatically enters the supplier name, supplier number, currency, and payment terms for the invoice. When you choose the Match button, Payables automatically navigates to the match window, and selects all shipments that have an unbilled quantity, as long as they are not finally closed. You can choose to complete the match or override the matching information.
R
Receipt batch
In Oracle Receivables a group of payments that you enter together to reduce data entry errors, share various default values, and to group them according to a common attribute. For example, you might add all payments from the same customer to a batch. Payments within the same batch share the same batch source and batch name. Receivables displays any differences between the control and actual counts and amounts.
Receipt batch source
A name that you use to refer to how your company accounts for receipts. Receipt batch sources relate your receipt batches to both the bank and the accounting information required for recording and posting your receipts.
Receipt class
Automatic receipt processing steps that you relate to your payment methods. You can choose whether to confirm, remit, and clear automatic receipts.
Receipt source
Your name for a source from which your company receives cash. Your receipt sources determine the accounting for payments that are associated with them. Receipts that you deposit in different banks belong in different payment sources.
Receivable activities
Predefined Receivables activities used to define the general ledger accounts with which you associate your receivables activities.
Responsibility
A level of authority set up by your system administrator in Oracle Applications. A responsibility lets you access a specific set of windows, menus, set of books, reports, and data in an Oracle application. Several users can share the same responsibility, and a
single user can have multiple responsibilities.
Retained Earnings
General Ledger automatically posts the net balance of all income and expense accounts from the prior year to the retained earnings account when you open the first period of the fiscal year. GL will automatically update the retained earnings as needed, when you post journal entries to the prior year.
If you have multiple companies or balancing entities within a set of books, General Ledger should automatically create a retained earnings account for each company or balancing entity.
If an auditable journal entry is needed at year end you can submit the Create Income Statements Closing Journals program.
In Oracle Receivables a group of payments that you enter together to reduce data entry errors, share various default values, and to group them according to a common attribute. For example, you might add all payments from the same customer to a batch. Payments within the same batch share the same batch source and batch name. Receivables displays any differences between the control and actual counts and amounts.
Receipt batch source
A name that you use to refer to how your company accounts for receipts. Receipt batch sources relate your receipt batches to both the bank and the accounting information required for recording and posting your receipts.
Receipt class
Automatic receipt processing steps that you relate to your payment methods. You can choose whether to confirm, remit, and clear automatic receipts.
Receipt source
Your name for a source from which your company receives cash. Your receipt sources determine the accounting for payments that are associated with them. Receipts that you deposit in different banks belong in different payment sources.
Receivable activities
Predefined Receivables activities used to define the general ledger accounts with which you associate your receivables activities.
Responsibility
A level of authority set up by your system administrator in Oracle Applications. A responsibility lets you access a specific set of windows, menus, set of books, reports, and data in an Oracle application. Several users can share the same responsibility, and a
single user can have multiple responsibilities.
Retained Earnings
General Ledger automatically posts the net balance of all income and expense accounts from the prior year to the retained earnings account when you open the first period of the fiscal year. GL will automatically update the retained earnings as needed, when you post journal entries to the prior year.
If you have multiple companies or balancing entities within a set of books, General Ledger should automatically create a retained earnings account for each company or balancing entity.
If an auditable journal entry is needed at year end you can submit the Create Income Statements Closing Journals program.
S
Security rules
(Order Management) The control over the steps in the order process where you no longer allow users to add, delete or cancel order or return lines or change order or return information.
Segments
The building blocks of your chart of accounts in Oracle General Ledger. You define the structure and meaning of individual segments when customizing a flexfield. Each account is comprised of multiple segments. Commonly used segments include company, cost center, department, account, and product.
Standard memo lines
A type of line that you assign to an invoice when the item is not an inventory item (for example, ’Consulting Services’). You define standard memo lines to speed data entry when creating your transactions.
(Order Management) The control over the steps in the order process where you no longer allow users to add, delete or cancel order or return lines or change order or return information.
Segments
The building blocks of your chart of accounts in Oracle General Ledger. You define the structure and meaning of individual segments when customizing a flexfield. Each account is comprised of multiple segments. Commonly used segments include company, cost center, department, account, and product.
Standard memo lines
A type of line that you assign to an invoice when the item is not an inventory item (for example, ’Consulting Services’). You define standard memo lines to speed data entry when creating your transactions.
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