1. There are four methods in Oracle Receivables for exchanging transactions for bills receivable:
- Manually, using the Bills Receivable window and the Assignments window.
- Directly, by exchanging a transaction in the Transactions window for a bill receivable.
- Automatically, by creating a bills receivable batch using the Bills Receivable Transaction Batches window.
- Automatically, by submitting the Bills Receivable Batch Creation concurrent program in the Submit Request window.
2. When you create a bill receivable manually, you can assign and group transactions that have the same currency and exchange rate as the bill according to your own requirements.
When you create bills receivable automatically, you must assign transactions a bills receivable creation payment method. Receivables collects and groups transactions into bills receivable based on selection criteria, currency, exchange rate, paying customer bank account, and the rules defined on the bills receivable creation payment method. (Transaction types are assigned to bills receivable receipt class.)
3. The bills receivable transaction type assigned to the bill receivable determines if the bill is issued by the drawee (promissory note), requires drawee acceptance (signed bill), or does not require drawee acceptance (unsigned bill). The transaction type also determines the printing options for the bill.
Note: While a transaction is assigned to a bill receivable that is pending drawee acceptance, you cannot perform any activity on the transaction, such as applying receipts, credit memos, or adjustments.
4. Bills Receivable Accounting
After you exchange a transaction for a bill receivable, the transaction is reduced by the exchanged amount. Accounting for the bill receivable occurs:
- when the bill receivable is accepted by the drawee, or
- when a bill receivable that does not require acceptance is completed.
The initial accounting for a bill receivable is a debit to Bills Receivable and a credit to Accounts Receivable for each transaction exchanged. Receivables derives the Bills Receivable account segments from AutoAccounting and inherits the Accounts Receivable account segments from each transaction exchanged.