Subledger Accounting Reporting Third Party Reports

Transcription

1 ERP CLOUD Subledger Accounting Reporting Third Party Reports Fusion Financials for EMEA Table of Contents 1. Purpose of the document 2 2. Assumptions and Prerequisites 2 3. Feature Specific Setup 3 Implementation 3 Assign Balancing Segment Values to Legal Entities (Optional) 4 4. Common Parameters 7 5. Other Parameters 8 6. Accounted Transactions in Subledgers Submitting the Reports 12 Third Party Account Balance Report 12 Third Party Balances Summary Report 14 Third Party Detail and Balances Report Report Headings 18

2 1. Purpose of the document Companies require reports showing control account and third-party period balances as well as audit trail details to the original third-party transactions impacting the account during a particular period. The balances include period beginning balances, period activity and the resulting ending balances. This allows users to reconcile subledger balances with General Ledger balances and monitor the accounting process. During the accounting process, you can run these reports to make sure that subledger and General Ledger balances reconcile, and to identify possible reasons for any discrepancies (if any). Detail reporting by Third Parties is also useful for auditors, and especially external auditors, as it allows users to easily reconcile transactions accounted by the audited company with transactions accounted by the Third Parties. This document explains the implementation and usage guidelines for the following reports: Third Party Detail And Balances Report Third Party Balances Summary Report Third Party Account Balance Report 2. Assumptions and Prerequisites In this document, we will assume that the following entities have already been set up : Data Security Enterprise Structure Accounting Configuration Suppliers Customers Document sequences Accounting and Reporting Sequences Payables System Options Procurement Business Function Common Options for Payables and Receivables Receivables System Options

3 Oracle recommends that the Implementation Project is complete for your organization before commencing the Feature Specific Setup outlined below. 3. Feature Specific Setup Implementation For this document, we consider the implementation of a company with one ledger and two legal entities associated to this ledger. You can alternatively use any existing company structure as long as the prerequisite setup, which is indicated in Assumptions and Prerequisites section exists for these entities. The examples in this document are based on a sample implementation that consists of a single primary ledger and two legal entities: Ledger: ES Vision SEQ3 ES LE1: ES Vision SEQ LE1 - Spain LE2: ES Vision SEQ LE2 Spain

4 Assign Balancing Segment Values to Legal Entities (Optional) To report based on legal entity, you run reports by the Legal Entity parameter. Use of the legal entity parameter requires you to associate balancing segment values to your legal entities. Task name: Assign Balancing Segment Values to Legal Entities Navigation : Navigator > Setup and Maintenance -> Assign Balancing Segment Values to Legal Entities

5 Third-Party Control Accounts Task name: Manage Value Sets Navigation : Navigator > Setup and Maintenance -> Manage Value Sets You must complete this setup for the system to recognize the related subledger journals as third-party accounting activity. You should set accounts that capture liability for the suppliers as Supplier Control Account and accounts that hold receivables from the customers as Customer Control Account. Following screenshots show two examples, for accounts payable and accounts receivable. Supplier Control Account:

6 Customer Control Account: Any new accounting combinations that use the accounts set up as above inherit the attributes. However, if you have already created your account combinations with these account values before the above setup, you must run Inherit Segment Value Attributes process. Navigation: Navigator > Tools -> Scheduled Processes

7 4. Common Parameters Parameter Name Required Description Application Name No Choose a subledger application, like Payables or leave blank to include all applications Ledger Yes Select a ledger to view third-party accounting activity. Ledger is a required parameter and you can run the report for one ledger at a time. Legal Entity No If you have associated your legal entities to the balancing segments in your chart of accounts, you can filter the accounting activity by legal entity. If not entered, accounting activity will be listed for all legal entities. From Period Yes From Accounting Period To Period Yes To Accounting Period Journal Entry Source Yes You can run these reports for a single journal entry source at a time. To report on supplier activity, run the report using Payables and to report on customer activity, run the report using Receivables. Third Party Type Yes Select supplier for payables and customer for receivables. Following screenshot shows the common submission parameters:

8 5. Other Parameters Parameter Name Required Default Description Third Party Account Balance Report Third Party Balances Summary Report Third Party Detail and Balances Report Third Party Name From Third Party Number To Third Party Number Include Draft Activity No N/A Specify a third party to restrict the report to that party only. No No N/A N/A Specify from and to third-party numbers to restrict the report to a third-party number range. No No Enter Yes to print the accounting in draft status as well. X X X Include Legal Entity Information No Legal entity Due to your legal reporting needs, you can print different report headings. Please also refer to the section titled Report Headings in this document. X First Flexfield Segment Used Second Flexfield Segment Used Third Flexfield Segment Used No No No N/A N/A N/A Use segment qualifiers to show the account combination as the concatenation of 1 to 3 accounting flexfield segments instead of the full combination, which is default. Leave these parameters as blank to see full account combination in the report.

9 Parameter Name Required Default Description Third Party Account Balance Report Third Party Balances Summary Report Third Party Detail and Balances Report First Report Sort Second Report Sort Third Report Sort Yes Yes Yes Accounting Date Document Sequence Name Document Sequence Number Report data will first be sorted using the First Report Sort value and then Second Report Sort value will be used to sort further and then the Third Report Sort will be used. Default order is: (1) Accounting Date, (2) Document Sequence Name, (3) Document Sequence Number. X X X X First Page Number Group by Period No 1 Enter an integer number. if you leave parameter value blank, the page numbering will start with page 1. Yes Yes Enter No to avoid grouping by accounting period. X X X Report Heading Yes Legal Entity Due to your legal reporting needs, you can print different report headings. Please also refer to the section titled Report Headings in this document. Please also see Report Headings section.

10 Third Party Account Balance Report Third Party Balances Summary Report Third Party Detail And Balances Report

11 6. Accounted Transactions in Subledgers Enter transactions in Payables and Receivables. Account all transactions on which you need to report. If online accounting is used, you need to make sure Update Subledger Accounting Balances process is submitted explicitly before running Third-Party reports. A sample submission is shown below: Navigation: Navigator > Tools -> Scheduled Processes This process updates subledger account balances which are used by third-party reporting of subledger accounting. If you have accounted your transactions through submitting Create Accounting program, this process is automatically submitted after the accounting process. However, if you have accounted your transactions online from Payables and Receivables transaction pages, you need to run the process manually.

12 7. Submitting the Reports Third Party Account Balance Report This report shows third-party balances and audit trail details to the original transactions for the accounting periods in a selected range. The report helps you review the accounting process details by third party, third-party site and third-party control accounts. Detail reporting by third parties is also useful for external auditors as it allows you to easily reconcile transactions accounted by the audited company with transactions accounted by the third parties. Submission parameters are shown below:

13 Sample Output (Page1, Page 5): Description for Balances: Beginning Balance: Balance as at the beginning of the accounting period Ending Balance: Balance as at the end of the accounting period (Beginning Balance + Period Activity) Brought Forward: Totals from the previous page Carry Forward: Totals that will carried forward to the next page

14 Third Party Balances Summary Report The report can be use as a tool to audit third-party accounts. Audit processes require users to know third-party names and amounts, for validating such points as existence of the third party, consistency with amounts accounted in general ledger and Third Party's books, etc. The following information is commonly displayed for each account, Third Party and Third-Party site: Balances for all of the above : Beginning, Period Activity and Ending. Submission parameters are shown below:

15 Sample Output (Page 1):

16 Third Party Detail and Balances Report This report helps you review the accounting process details by third party, and audit third-party accounts in detail. During the accounting process, you can run the report to make sure that subledger and General Ledger balances reconcile, and to identify possible reasons for any discrepancies (if any). Detail reporting by third parties is also useful for external auditors as it allows you to easily reconcile transactions accounted by the audited company with transactions accounted by the third parties. Submission parameters are shown below:

17 Sample Output (Page 5):

18 8. Report Headings Use Report Header parameter to display legal entity name or ledger name on each page heading of all report pages. You can also use the parameter Include Legal Entity Information for additional flexibility; default is legal entity, if you change the value as legal establishment (Legal Reporting Unit) then the page headings will show the legal reporting unit name instead of the legal entity name. Some countries' auditors require you to include additional information on all report pages, so use if required by your authority. (*) (*) Currently, Statutory Header for Italy is also available in the list of values of Report Header parameter. If you select this value the report heading will print the following information at the page heading:

19 Copyright 2014, Oracle and/or its affiliates. All rights reserved. This document is provided for information purposes only, and the contents hereof are subject to change without notice. This document is not warranted to be error-free, nor subject to any other warranties or conditions, whether expressed orally or implied in law, including implied warranties and conditions of merchantability or fitness for a particular purpose. We specifically disclaim any liability with respect to this document, and no contractual obligations are formed either directly or indirectly by this document. This document may not be reproduced or transmitted in any form or by any means, electronic or mechanical, for any purpose, without our prior written permission. Oracle and Java are registered trademarks of Oracle and/or its affiliates. Other names may be trademarks of their respective owners. Intel and Intel Xeon are trademarks or registered trademarks of Intel Corporation. All SPARC trademarks are used under license and are trademarks or registered trademarks of SPARC International, Inc. AMD, Opteron, the AMD logo, and the AMD Opteron logo are trademarks or registered trademarks of Advanced Micro Devices. UNIX is a registered trademark of The Open Group. 0114