Accounting Entries

Example of Invoice without rules

1. Create an Invoice that does not use an Invoicing Rule

2. Create a line w/o any accounting Rules.
Note that the Rules tab is disabled because we did not specify an Invoicing Rule in the Main section of the form.

3. Save and Complete the Invoice

Clicking on the Distributions button will show you the current state of the distributions for the invoice. The distributions are made against Receivables, Rounding and Revenue.

Since this invoice has no rules, upon completion of the invoice, the complete set of GL distributions are already created. In 11i , This invoice is ready to post to the General Ledger. Revenue Recognition will not pick up this invoice for processing because it has no rules.

In R12 you need to run create accounting to generate the account entire but the system won’t run the revenue recognition implicitly as the invoice is not eligible for that.

Example of Invoice with rules

1. Create an Invoice with an Invoicing Rule.

2. Create a line with an accounting rule

3. Save and Complete the Invoice

Clicking on the Distributions button will show you the current state of the distributions for the invoice. The presence of Unearned Revenue distributions indicates this invoice uses the Invoicing rule = Advanced Invoice. (If the Invoicing Rule = Arrears Invoice, we would see Unbilled Revenue instead).

Since this invoice has no rules, upon completion of the invoice, the complete set of GL distributions are already created. In 11i , This invoice is ready to post to the General Ledger. Revenue Recognition will not pick up this invoice for processing because it has no rules.

Accounting Entries


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1. When an invoice is created with out using invoice rule(if invoicing rule is not entered at the invoice header then accounting rule cant be seleceted at line level). The accounting entries are generated after completing the transaction.
2. When invoicing rule is used the accouting entries are created by the revenue recognization program.

Oracle Applications Fusion Cloud - Inventory

Oracle Cloud/Fusion Procurement training will help you develop the fundamental skills required to set up and use the Procurement module. This training covers all the tasks, setups, forms and reports used in Procurement and related modules