What is Auto Cash Rule Set in Oracle fusion

What is Auto Cash Rule Set in Oracle fusion

Auto Cash rule set is used to define the rules to apply the receipt amount with AR transactions Automatically.

Receivables provides five Auto Cash rules that we can use to create our own Auto Cash rule sets. When we run Post Quick Cash to apply customer's receipts, Receivables tries to use each Auto Cash rule within an Auto Cash rule set. If the first rule in the set does not find a match, Receivables uses the next rule in the sequence, and so on until it can apply the receipt.

 

Following are the Auto Cash rules we can use:

Match Payment with Invoice
Clear the Account
Clear Past Due Invoices
Clear Past Due Invoices Grouped by Payment Term
Apply to the Oldest Invoice First

In AutoCash Rule Sets We define the sequence of AutoCash Rules that Post QuickCash uses to update your customer's account balances. You specify the sequence and the AutoCash Rules for each AutoCash Rule Set. The AutoCash Rule Sets you define display as list of values choices in the Customer Profile Classes window

Earned Only: Your customer can take earned discounts according to the receipt terms of sale. You negotiate earned discount percentages when you define specific receipt terms. You can enter this option if Unearned Discounts is set to Yes in the System Options window. In this case, Receivables only allows earned discounts for this AutoCash Rule Set.

Earned and Unearned: Your customer can take both earned and unearned discounts. An unearned discount is one taken after the discount period passes. You cannot choose this option if the system option Unearned Discounts is set to No.

 

 Step1:- 
Go to Navigator è Setup and Maintenance

 

Step2:- Find the Manage Auto Cash Rule Sets as Below..

 

Step3:- We can find the Existing Auto Cash Rule sets and Create the New AutoCash Rule set by Clicking on the '+' icon as below.

Step4:- Creating Auto Cash Rule set as below

 

Step5:-

 

 

What is Auto Cash Rule Set in Oracle fusion

Auto Invoice Grouping Rule in Oracle Fusion

Auto Invoice Grouping Rule in Oracle Fusion

These grouping rules helps the Auto Invoice import Interface to identify which set of lines should be grouped as one Invoice /credit Memo /Debit Memo to create AR invoice in Oracle Receivables.

Define grouping rules that AutoInvoice will use to group revenue and credit transactions into invoices, debit memos, and credit memos. Grouping rules specify attributes that must be identical for lines to appear on the same transaction.

As an Example, If I have 10 lines in AR Interface then Auto Invoice Import Program will check the Auto Invoice Grouping rule to decide how many Invoices will be create in Oracle receivable so it could be creating max 10 Invoices and can also create 5 or 2 invoices in the system.

AutoInvoice requires mandatory grouping on the transaction attributes Currency Code and Bill-To Customer (only one of each attribute is allowed per invoice). Receivables automatically applies these required grouping rules to any additional transaction attributes that you assign to your grouping rules. All attributes of the Transaction Flexfield are optional within a grouping rule and you can assign these attributes as optional grouping characteristics in the Grouping Rules window.

 

Step1:- 
Go to Navigator è Setup and Maintenance

 

Step2:- Find the Manage Grouping Rules as Below..

 

 

Step3:- We can search the Existing Grouping rule here as below.

To Create new Auto Invoice Grouping Rule click on the '+' icon to create.

 

Step4:- Enter the AutoInvoice Grouping Rule as below.

 

 Auto Invoice Grouping Rule in Oracle Fusion

How to Define Payment Terms in Oracle Receivables in Fusion

How to Define Payment Terms in Oracle Receivables in Fusion

 

Payment Terms in Oracle receivable helps you to Define the Due date of your Customer Invoices. It helps us to calculate the Customer Outstanding Ageing report. Payment terms can include a discount percent for early payment and you can assign multiple discounts to each payment term line. We can also create split payment terms for invoice installments that have different due dates like we ask payments from customers against Customer Invoices in multiple installments with different -different due dates. Like 25% Customer Invoice Payment should come in 30 days. Next 75% should come in 90 Days.

 

Receivables provides two predefined payment terms:

• 30 NET: The balance of the transaction is due within 30 days.

• IMMEDIATE: The balance of the transaction is due immediately (i.e. on the transaction date). You can use this payment term with your chargebacks and debit memos.

 If you want transactions assigned to this payment term to be printed before the due date, enter a number of Print Lead Days. Receivables will print this transaction x number of days before the due date, where x is the number of days you enter here.
To associate a credit check with this payment term, check the Credit Check box. Oracle Order Entry uses this information to determine when to place an order on hold.
If you do not want to let your customers take discounts for partial payments on items associated with this payment term, uncheck the Allow Discount on Partial Payments check box.

 Enter the First Installment option for items assigned to this payment term. This indicates how Receivables will allocate the freight and tax charged to transactions using this payment term. Choose 'Include tax and freight' to include all tax and freight charges in the first installment. Choose 'Allocate tax and freight' to distribute tax and freight charges across all installments

We can calculate Invoice discounts on these below parameters.

Invoice Amount: Choose this option to calculate the discount amount based on the sum of the tax, freight charges, and line amounts of your invoices.

Lines Only: Choose this option to calculate the discount amount based on only the line amounts of your invoices.

Lines, Freight Items and Tax: Choose this option to calculate the discount amount based on the amount of line items, freight, and tax of your invoices, but not freight and charges at the invoice header level.

Lines and Tax, not Freight Items and Tax: Choose this option to calculate the discount amount based on the line items and their tax amounts, but not the freight items and their tax lines, of your invoices.

Enter a line number for the installment term that you are defining in the 'Seq' field. Enter a higher number for each installment term with a later due date. For example, if you create terms with 50% due in 15 days and 50% in 30 days, enter '10' in this field for the first line and '20' for the second line.

Step1:- 
Go to Navigator è Setup and Maintenance


 
Step2:- Find the Manage Payment Terms as search Below..

 
Step3:- Here we are creating Below , 50 days Payment Terms and also we are giving 2% discounts with in the 10 days of the payment.

 
 
How to Define Payment Terms in Oracle Receivables in Fusion

AutoInvoice Line Ordering Rules in Oracle Fusion. Setups for AutoInvoice Line Ordering Rules

AutoInvoice Line Ordering Rules in Oracle Fusion. Setups for AutoInvoice Line Ordering Rules

Define AutoInvoice Line Ordering Rules for transaction lines that you import into Receivables using AutoInvoice. AutoInvoice uses these rules to order transaction lines when grouping the transactions it creates into invoices, debit memos, and credit memos. You can assign a line ordering rule to each grouping rule.

 

You also assign transaction attributes to your line ordering rules. AutoInvoice uses these attributes to order invoice lines. You can assign a priority to these attributes for each of your invoice line ordering rules. You can also specify an ascending or descending order for each transaction attribute assigned to a rule. Auto Invoice Line Ordering Rule creates on the basis of Invoice Parameters (Like Customer , Bill To Address , Ship To address , Payment Terms).

 

Active invoice line ordering rules appear as list of values choices in the Grouping Rules window.

 Step1:- 
Go to Navigator è Setup and Maintenance

 

Step2:- Find the Manage AutoInvoice Line Ordering Rules.

Step3:- Enter the Name of the AutoInvoice Ordering Rule and Assign the Transactions Attributes on the basis of which AutoInvoice Import will the do sorting of the Transactions Lines.

 

What is Receipt Class and Receipt Methods in Oracle Fusion. Setups for the Receipt Class and Receipt Methods in Oracle

What is Receipt Class in Oracle Fusion. Setups for the Receipt Class

 

 

Receipt Class

Receipt Class determines the flow of the Customer Receipt in the system. It determines receipt creation method remittance method clearance method and which receipt method associated and bank account details will use for receipt.

Receipt classes specifies whether receipts are created manually or automatically. For manual receipts, you can specify whether to automatically remit it to the bank and/or clear your accounts. For automatic receipts, you can specify a remittance and clearance method, and whether receipts using this class require confirmation

Receipt Method

Receipt Method Associates with the Receipt Class. Receipt Method basically used to determine the Banking information for the Customer Receipt. With Receipt Method, We attach Bank Accounts and associates GL accounts with that bank.

 

 

Receivables uses receipt methods to account for your receipt entries and applications. Receipt methods also determine a customer's remittance bank information.

 

You can assign multiple remittance banks to each receipt method, but only one bank account can be the primary account for each currency. For each remittance bank branch account assigned to a receipt method, you must define all of your receipt accounts. You can then assign your receipt methods to your receipt sources to use with your AutoLockbox and manually entered receipts.

You remit receipts in several currencies for a single receipt method, then you must enter at least one remittance bank per currency. At least one of these remittance banks must be primary.

The receipt class you assign to each of your receipt methods determines the processing steps that Receivables requires for receipts that you create using this receipt method. These steps include whether to require confirmation, remittance, and bank clearance for receipts that you create with a specific receipt class.

 

 

 

Step1:- 
Go to Navigator è Setup and Maintenance

 

Step2:-

Find the Manage Receipt Class and Methods As below.

 

 Step3:- We can find the Existing Receipt Class and create the New Receipt Class with the '+' icon as created below.

 

 

Step3:- Enter the Receipt Class Name.
We will also specifies creation Method, Remittance Method and Clearance Method for the receipt.
Click on the '+' icon to create Receipt method for the Receipt Class.

 
Step5:- Enter the Receipt Method as below and Create the Banking Information for the Receipt Method as below.

What is Receipt Class and Receipt Methods in Oracle Fusion. Setups for the Receipt Class and Receipt Methods in Oracle

Auto Accounting Rule Setup in Oracle Fusion

Auto Accounting Rule Setup in Oracle Fusion

In Oracle Receivable Auto Accounting Rule helps you to determine the General Ledger accounts for AR transactions that you enters manually or importing through Auto Invoice Import. System drives the GL account from these Auto Accounting Rules for AR transactions. With the help of Auto Accounting Rule, All the GL segments automatically derived in Oracle receivables transactions.

 

Receivables creates default accounts for revenue, receivable, freight, tax, unearned revenue, unbilled receivable, finance charges, and AutoInvoice clearing (suspense) accounts using this information.

When you enter transactions in Receivables, you can override the default general ledger accounts that Auto Accounting creates.

You can control the value that Auto Accounting assigns to each segment of your Accounting Flex field, such as Company, Division, or Account.

 

We can define Auto Accounting rules for these below types.

• Freight: The freight account for your transaction.

• Receivable: The receivable account for your transaction.

• Revenue: The revenue and finance charges account for your transaction.

• AutoInvoice Clearing: The clearing account for your imported transactions. Receivables uses the clearing account to hold any difference between the specified revenue amount and the selling price times the quantity for imported invoice lines. Receivables only uses the clearing account if you have enabled this feature for the invoice batch source of your imported transactions.

• Tax: The tax account for your transaction.

• Unbilled Receivable: The unbilled receivable account for your transaction. Receivables uses this account when you use the Bill In Arrears invoicing rule. If your accounting rule recognizes revenue before your invoicing rule bills it, Receivables uses this account.

• Unearned Revenue: The unearned revenue account for your transaction. Receivables uses this account when you use the Bill In Advance invoicing rule. If your accounting rule recognizes revenue after your invoicing rule bills it, Receivables uses this account.

For each segment, enter either the table name or constant value that you want Receivables to use to get information. When you enter an account Type, Receivables displays all of the segment names in your Accounting Flexfield Structure. Segments include such information as Company, Product, Account, and Sub-Account. Receivables lets you use different table names for different accounts. Choose one of the following table names:

• Salesreps: Enter this option to use salesperson when determining your revenue, freight, receivable, AutoInvoice clearing, tax, unbilled receivable, and unearned revenue accounts. If you choose this option for your AutoInvoice clearing, tax, or unearned revenue accounts, Receivables uses the revenue account associated with this salesperson. If you choose this option for your unbilled receivable account, Receivables uses the receivable account associated with this salesperson.

• Transaction Types: Enter this option to use transaction types when determining your revenue, freight, receivable, AutoInvoice clearing, tax, unbilled receivable, and unearned revenue accounts.

• Standard Lines: Enter this option to use the standard memo line item or inventory item you selected when determining your revenue, AutoInvoice clearing, freight, tax, unbilled receivable, and unearned revenue accounts. If you choose this option for your AutoInvoice clearing, freight, tax, unbilled receivable or unearned revenue accounts, Receivables uses the revenue account associated to this standard memo line item or inventory item. If the transaction has a line type of "LINE" with an inventory item of freight ("FRT"), Auto Accounting uses the accounting rules for the freight type account rather than the revenue type account.

• Taxes: Enter this option to use tax codes when determining your tax account.

4. If you did not enter a Table Name, enter a Constant value for this segment, or select one from the list of values.

 

 Step1:- 
Go to Navigator è Setup and Maintenance

 

Step2:-

Find the Manage Auto accounting rule from Search option ad below.

 

 

Step3:- As Below , Define the Auto Accounting rule for specific Account Type for Particular Business Unit.

 

 

 

Step4:- When you will create Auto Accounting rule for specific Account Type then as below automatically system will show you all the accounting KFF.

 

When you enter an account Type, Receivables displays all of the segment names in your Accounting Flex field Structure. Segments include such information as Company, Product, Account, and Sub-Account. Receivables lets you use different table names for different accounts. Choose one of the following table names:

 

 

Receivables Statement Cycles in Oracle Fusion : How to send AR Statement to Customers Automatically

Receivables Statement Cycles in Oracle Fusion : How to send AR Statement to Customers Automatically

Statement cycles Helps to determine when to send statements to your customers. You enter statement cycles when you define or modify individual customer and site profile classes in the Customer Profile Classes window.

If you have defined customer site as a statement site, Receivables generates a single, consolidated statement for all of this customer's transactions. This statement is sent to this statement site. If you have not defined a statement site for a customer, Receivables creates statements for each customer site to which you have assigned a Bill-To business purpose and whose credit profile has the Send Statements parameter set to Yes.

You can disable a statement cycle by unchecking the Active check box, and then saving your work.

Each customer's consolidated statement shows subtotals for each of the customer's bill-to sites. If you did not define a statement site, Receivables will print a separate statement for each bill-to site that shows all the transactions relating to that site, subtotaled by currency.

 

Step1:-

Go to Navigator è Setup and Maintenance

 

Step2:-

Find the Manage Statement Cycles from Search option ad below.

 

Step3:- Click on the + icon to create New Statement Cycles. We have option to Define the Statement Cycles Interval Options line ' Monthly , Quarterly , Half Yearly , Yearly).

 

Under Cycles Date define the dates in which you want to send the AR statement to the Customers. You should define one date for each month for Monthly Interval Statement Cycles.

 

 

 

Receivables Statement Cycles in Oracle Fusion : How to send AR Statement to Customers Automatically

Receivables System Options in Oracle Fusion : How to do AR setups in Oracle Fusion through System Options

Receivables System Options in Oracle Fusion : How to do AR setups in Oracle Fusion through System Options

 

With Receivables System Options We can customize Application Receivables environment. During Receivables setup, you specify your accounting method, set of books, tax method and accounts, customer and invoice parameters, and how the AutoInvoice and Automatic Receipts programs will run.

 Step1:-

Go to Navigator è Setup and Maintenance

 

Step2:-

Find the Manage Receivables System Options from Search option ad below.

 

Step4:- We defines all the Receivables Application parameters like Accounts , Grouping Rules and Other Setup related Information's.

 

 

Step5:- Other Setups Configuration Information's.

 

Remit-to Addresses in Oracle Fusion Receivables

Remit-to Addresses in Oracle Fusion Receivables

Remit-to addresses uses in Oracle application to know your customers where to send payment for their invoices. Oracle Receivables uses the addresses that you define in the Remit To Addresses window to provide default remit-to information when you enter transactions. System gets default this address during creating AR transactions in Oracle application.

If you use AutoInvoice but have not defined a remit-to address for a location, AutoInvoice will reject all invoices for which it could not determine a remit-to address. However, if you do not wish to set up a remit-to address for each location, you can set up one remit-to address with a default assignment. Receivables will then use this address for all locations or for any locations for which you do not have specific location assignments. This ensures that AutoInvoice will not reject invoices because it could not determine a remit-to address.

Step1:-

Go to Navigator è Setup and Maintenance

 

Step2:-

Find the Manage Remit to Addresses from Search option ad below.

 

 

Step3:- Click on the + icon to create new Remit to Addresses as below.

 

 

Step4:-  Create Remit address as below and this will be come as default address during creating AR transaction in Oracle.

 

 

Remit-to Addresses in Oracle Fusion Receivables

Receivables Approval Limits in Oracle Fusion for Adjustments

Receivables Approval Limits in Oracle Fusion for Adjustments

You Cannot create an adjustment that is outside of your approval limits, Receivables creates a pending adjustment with a status of Pending Approval. Pending adjustments amount done not update the balance of the transaction until it is not approved.

You can approve a pending adjustment only if the adjustment amount is within your approval limits. However, you can review adjustment histories, record your comments, and create all other actions (such as assign a status of More Research or Rejected), even if the adjustment is outside your approval limits.

You can write off unapplied cash receipt balances. Receipt write off functionality is Provided to account for small overpayments that you do not intend to refund or maintain as unapplied amounts or On account balance.

With this function you can choose to write off an unapplied cash receipt amount within certain limits to a specific general ledger account. The write off amount is credited to this account such as miscellaneous revenue account, and no longer reflected as an unapplied amount on the receipt or on the customer account.

Step1:-

Go to Navigator è Setup and Maintenance

Step2:- Find the Manage Approval Limits in Search Window.

 

Step3:-  We can find the Existing Approval Limits under this below Page.

 

Click on the + icon to create new Approval Limits for Users.

 

 

Step4:- We can create approval Limits for these below AR Transactions (Adjustment , Receipt write Off).

 

Step5:- We can create Approval Limits for the application users like below.

 

Receivables Approval Limits in Oracle Fusion for Adjustments

Receivables Activities in Oracle Fusion. Step by Step to Create Receivables Activities

Receivables Activities in Oracle Fusion. Step by Step to Create Receivables Activities

 

Receivables activities is uses to default accounting information for your miscellaneous receipt, finance charge, chargeback, and adjustment transactions. These activities appear as list of values choices in the Receipt and Adjustment windows. We can define as many activities as you need.

Once Receivable activity has been created then we cannot change its type. You can only update an existing activity's GL account if you have not previously selected this activity for a transaction.

You can make an activity inactive by unchecking the Active check box and then saving your work.

Activity Types

An activity's type determines whether it uses a distribution set or GL account and in which window your activity will appear. You can choose from the following types:

Adjustment: Activities of this type appear in the Adjustments window. You must create at least one activity of this type.

Bank Error: Activities of this type appear in the Receipts window when you enter Miscellaneous transactions. You can use this type of activity to help reconcile bank statements when using Cashbook.

Finance Charge: You must define a finance charge activity if you include finance charges on your statements or dunning letters. You can only define one activity of this type.

Miscellaneous Cash: Activities of this type appear in the Receipts window when you enter Miscellaneous transactions. You must create at least one activity of this type.

 

 

Step1:-

Go to Navigator è Setup and Maintenance

 

Step2:-

Find the Manage Receivables Activities from Search option ad below.

 

Step3:-

We can also find the existing receivable Activities from the Search window as below.

To create New receivable Activities click on + icon as below.

 

 

Step4:-

Here’s below We can create Receivable activity. We can Create these below Activity Type in Oracle Fusion.

Choose the Al Account Source as ‘Activity GL Account’. Enter the GL account for the Receivable activity.