1. Oracle Applications Period
Closing Processes
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2. The Close Schedule
Establish clear cut deadlines for when data will and will
not be accepted for inclusion in the period. After that
point, everything goes into the next period.
Notify all users when the system is not available during the
closing to prevent new transactions from being entered on
the period in the process of being closed.
If you find inappropriate usage of accounts, you may need
to modify some of your setups and/or retrain some of your
users so this does not happen again.
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3. The Close Schedule
For all modules I recommend that you have only one open period at a time. You could
have activity going into one period when you meant for it to go into another period. This
is due to the General Ledger date defaulting to the current date and if that date is within
an open period it will use that date. Also, there are known problems with items being
posted with one side of the entry in one period and the other side in the next period. I
find it to be just too risky to have more than one period open. If you minimize the time it
takes to close, this should not be an issue.
Tip for AP : Do not enter prepayment by debiting the prepayment account in the
distribution lines of the invoice. Those lines will not be regarding as liability’ and will not
be taken into account in the balance of your supplier
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4. Oracle Payables
1. Complete All Transactions for the Period
Being Closed
• Complete Invoices and Credits
• Complete Prepayments
• Complete Expense Reports
• Complete Invoice Import
• Complete Payments
• One consideration for Accounts Payable where there are
multiple operating units within the same ledger is that all
operating units must be ready to close at the same time
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5. Oracle Payables
2. Review and Resolve Amounts to Post to the General Ledger
• Review the Invoice on Hold Report. This report enables review of any holds currently
applied to invoices that would prevent the payment and/or posting of these invoices. The
report details all invoices that Oracle Payables cannot select for posting and therefore
cannot create journal entries.
• Review the Unaccounted Transactions Report. This report enables review of all
unaccounted invoice and payment transactions and a view of the reason that Payables
cannot account for a transaction. Accounts Payable sorts the report by transaction type
(invoice or payment), exception, supplier, transaction currency, and transaction number.
• Reconcile Payments to Bank Statement Activity for the Period.
• Transfer All Approved Invoices and Payments to the General Ledger.Release 12 provides 3
modes of accounting: Final, Final Post and Draft. The transactions that have been accounted
in Final Post have already been transferred to, and posted in the general ledger. The
transactions that have been accounted in the Final Mode have been transferred to GL or can
still be within the subledger based on the parameter Transfer to General Ledger (either 'Yes
or 'No') in the Create Accounting program.
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6. Oracle Payables
3. Review the Payables to General Ledger Posting process
After Completion.
• The following reports can be run to review the invoices and payments
that were posted to Oracle General Ledger, from Oracle Payables, for the
period that is to be closed, i.e. the current accounting period.
• a) The Subledger Accounting Program Report generated by the Create
Accounting program.
• b) The Posted Invoices Register
• c) The Posted Payments Register
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7. Oracle Payables
4. Submit the Unaccounted Transactions Sweep Program
• The Unaccounted Transactions Sweep Program transfers unaccounted
transactions from one accounting period to another. Because you cannot
close a Payables period that has unaccounted transactions in it, if your
accounting practices permit it, you might want to use this program to
change the accounting date of the transactions to the next open period.
For example, you have invoices for which you cannot resolve holds
before the close, and your accounting practices allow you to change
invoice distribution GL dates, you can submit this program to change
invoice distribution GL dates to the first day of the next open period so
you can close the current period.
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8. Oracle Payables
5. Close the Current Oracle Payables Period
• Close the accounting period by using the Control Payables Periods window to set the Period Status
to “closed‟. This process automatically submits the Subledger Period Close Exceptions Report.
• The Subledger Period Close Exceptions Report lists all accounting events and journal entries that
fail period close validation. It is automatically submitted by General Ledger when closing a GL
period if there are unprocessed accounting events or un- transferred journal entries.
• You can also generate the Subledger Period Close Exceptions Report through a concurrent request
as follows:
• * For the application associated with the responsibility
• * For all applications in the General Ledger responsibility
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9. Oracle Payables
6. Run Mass Additions Transfer to Oracle Assets
• After you have completed all Payables transaction entries, and confirmed all invoice holds, and carry forwards,
submit the Mass Additions Create program to transfer capital invoice line distributions from Oracle Payables to
Oracle Assets.
• For foreign currency assets, Payables sends the invoice distribution amount in the converted functional currency.
The mass addition line appears in Oracle Assets with the functional currency amount.
• After you create mass additions, you can review them in the Prepare Mass Additions window in Oracle Assets.
• It is recommended to do a final Mass Additions Create after the period close to ensure that all Payables invoices
are:
• * Included in the correct period and
• * Any additional invoicing will become part of the next periods invoice and asset processing period.
• Suggestion: If the volume of transactions in Accounts Payable requiring Assets update is large, you should
consider running the Mass Additions Create process on a more regular basis.
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10. Oracle Payables
7. Open the Next Oracle Payables
Period
• Open the next accounting period by using the Control Payables Periods
window to set the Period Status to Open.
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