Accounts payable instructor_guide (1)

Accounts PayableInstructor Guide

Copyright © Oracle Corporation, 2001. All rights reserved.

Accounts Payable Table of Contentsi

Table of Contents

R11i Overview of Issuing Payments.....................................................................................1-1R11i Overview of Issuing Payments ...................................................................................1-2Objectives ............................................................................................................................1-3Agenda.................................................................................................................................1-4Product Integration ..............................................................................................................1-5Oracle Payables Integration.................................................................................................1-6Overview of Oracle Payables ..............................................................................................1-9Five Major Processes...........................................................................................................1-10Oracle Payables Processes...................................................................................................1-11Flow of Default Values........................................................................................................1-12Review Question .................................................................................................................1-13Answer to Review Question ................................................................................................1-14Issuing Payments: Overview ...............................................................................................1-15Payment Features.................................................................................................................1-16Oracle Payables Payment Methods .....................................................................................1-18Future-Dated Payments .......................................................................................................1-19Using the Workbench Model...............................................................................................1-20Using the Payment Workbench ...........................................................................................1-21The Payment Workbench: Payment Batch Sets..................................................................1-22The Payment Workbench: Payment Batches......................................................................1-23The Payment Workbench: Payment Overview and Payments............................................1-24Demonstration .....................................................................................................................1-25Review Question .................................................................................................................1-26Answer to Review Question ................................................................................................1-27Manual Payments ................................................................................................................1-28Demonstration .....................................................................................................................1-29Single Computer-Generated Payments................................................................................1-30Paying Invoices from the Invoice Workbench.....................................................................1-31Record Refunds ...................................................................................................................1-32Payment Batches .................................................................................................................1-33Payment Batches: Overview of the Steps ............................................................................1-34Oracle e-Commerce Gateway Payments Overview............................................................1-35Payment Batch Sets .............................................................................................................1-36Demonstration .....................................................................................................................1-37Review Question .................................................................................................................1-38Answer to Review Question ................................................................................................1-39Payment Inquiry ..................................................................................................................1-40Demonstration .....................................................................................................................1-41Stopping and Voiding Payments .........................................................................................1-42Accounting for Payments ....................................................................................................1-43Demonstration .....................................................................................................................1-45Payment Reconciliation with Oracle Cash Management....................................................1-46Summary..............................................................................................................................1-47

Generating Payments ............................................................................................................2-1Generating Payments ...........................................................................................................2-2Course Objectives................................................................................................................2-3Agenda.................................................................................................................................2-4Overview of Generating Payments in a Payment Batch ......................................................2-5Agenda.................................................................................................................................2-6Payment Batches .................................................................................................................2-7Initiating Payment Batches ..................................................................................................2-8Finding a Payment Batch.....................................................................................................2-10


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Demonstration .....................................................................................................................2-11Review Questions ................................................................................................................2-12Answers to Review Questions .............................................................................................2-13Payment Batch Templates ...................................................................................................2-14Demonstration .....................................................................................................................2-15Modifying Payment Batches................................................................................................2-16Demonstration .....................................................................................................................2-17Formatting Payments ...........................................................................................................2-18Demonstration .....................................................................................................................2-19Confirming Payment Batches ..............................................................................................2-20Assigning Status Types to Documents ................................................................................2-21Demonstration .....................................................................................................................2-22Practice Overview................................................................................................................2-23Practice Instructions ............................................................................................................2-24Review Questions ................................................................................................................2-26Answers to Review Questions .............................................................................................2-28Agenda.................................................................................................................................2-30Payment Batch Sets .............................................................................................................2-31Creating Payment Batch Sets...............................................................................................2-32Initiating Payment Batch Sets..............................................................................................2-35How Payables Creates a Payment Batch Name...................................................................2-36Payment Batch Set Restrictions...........................................................................................2-37Demonstration .....................................................................................................................2-38Review Questions ................................................................................................................2-39Answers to Review Questions .............................................................................................2-41Agenda.................................................................................................................................2-43Overview of Electronic Payment Options ...........................................................................2-44Creating Electronic Payments without Oracle's e-Commerce Gateway ..............................2-45Prerequisites for Processing Electronic Payments ...............................................................2-46Creating Electronic Payments Using Oracle's e-Commerce Gateway.................................2-47Prerequisites for Using Oracle's e-Commerce Gateway......................................................2-48Using Oracle's e-Commerce Gateway .................................................................................2-49EDI Outbound Payment File ...............................................................................................2-50Creating EDI Payment Batches ...........................................................................................2-51Review Question .................................................................................................................2-52Answer to Review Question ................................................................................................2-53Summary..............................................................................................................................2-54

R11i Implementing Payments...............................................................................................3-1Oracle Payables Release 11i................................................................................................3-2Objective .............................................................................................................................3-3Course Agenda ....................................................................................................................3-4Cash Control Features .........................................................................................................3-5Course Agenda ....................................................................................................................3-6Defining Pay Groups ...........................................................................................................3-7How to Define Pay Groups..................................................................................................3-8Course Agenda ....................................................................................................................3-9Assigning Payment Priorities ..............................................................................................3-10How to Assign Payment Priorities.......................................................................................3-11Demonstration .....................................................................................................................3-12Course Agenda ....................................................................................................................3-13Defining Payment Terms.....................................................................................................3-14How to Define Periods That Payables Uses for Payment Terms.........................................3-16How to Define Payment Terms ...........................................................................................3-17Taking Invoice Discounts ....................................................................................................3-18Discount Reports .................................................................................................................3-19Demonstration .....................................................................................................................3-20


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Course Agenda ....................................................................................................................3-21Assigning Pay-Alone Status ................................................................................................3-22Practice 1 .............................................................................................................................3-23Practice 1 Solutions .............................................................................................................3-24Course Agenda ....................................................................................................................3-25Defining Banks....................................................................................................................3-26How to Enter Bank Information ..........................................................................................3-29How to Define Bank Accounts ............................................................................................3-30Defining Bank Accounts for Your Suppliers.......................................................................3-32Course Agenda ....................................................................................................................3-33Defining Payment Documents for Bank Accounts ..............................................................3-34Oracle Payables Payment Document Disbursement Types ................................................3-35Setting Up Custom Payment Programs ...............................................................................3-36Setting Up Custom Payment Formats..................................................................................3-37Practice 2 .............................................................................................................................3-38Practice 2 Solutions .............................................................................................................3-39Demonstration .....................................................................................................................3-40Review Question .................................................................................................................3-41Review Question Solution ...................................................................................................3-42Course Agenda ....................................................................................................................3-43Setting Up Financials Options for Payments .......................................................................3-44Demonstration .....................................................................................................................3-45Course Agenda ....................................................................................................................3-46Setting Up Payables Options for Payments .........................................................................3-47Setting Up Supplier Payables Options.................................................................................3-49Demonstration .....................................................................................................................3-50Course Agenda ....................................................................................................................3-51Setting Up Future-Dated Payments .....................................................................................3-52How to Set Up Future-Dated Payments...............................................................................3-53Demonstration .....................................................................................................................3-54Review Question .................................................................................................................3-55Review Question Solution ...................................................................................................3-56Course Agenda ....................................................................................................................3-57Setting Up Oracle Payables to Work with Oracle Cash Management.................................3-58Summary..............................................................................................................................3-59

R11i Overview of Supplier Invoicing ...................................................................................4-1R11i Overview of Supplier Invoicing..................................................................................4-2Course Objectives................................................................................................................4-3Course Agenda ....................................................................................................................4-4Product Integration ..............................................................................................................4-5Oracle Payables Integration.................................................................................................4-6Overview of Oracle Payables ..............................................................................................4-9Five Major Processes...........................................................................................................4-10Oracle Payables Processes...................................................................................................4-11Flow of Default Values........................................................................................................4-12Review Question .................................................................................................................4-13Answer to Review Question ................................................................................................4-14Suppliers: Overview ............................................................................................................4-15How Oracle Products Use Supplier Information ................................................................4-16Entering Invoices: Overview ...............................................................................................4-17Entering Invoices.................................................................................................................4-18Using the Workbench Model...............................................................................................4-20Using the Invoice Workbench .............................................................................................4-21The Invoice Workbench: Invoice Batches...........................................................................4-22The Invoice Workbench: Invoices.......................................................................................4-23The Invoice Workbench: Distributions................................................................................4-25


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Demonstration .....................................................................................................................4-26Review Question .................................................................................................................4-27Answer to Review Question ................................................................................................4-28Oracle Payables Invoice Types............................................................................................4-29Demonstration .....................................................................................................................4-31Interest Invoices...................................................................................................................4-32Invoice Distribution Types ..................................................................................................4-33Other Invoice Distributions .................................................................................................4-35Allocating Freight, Tax, and Miscellaneous Lines .............................................................4-36Review Question .................................................................................................................4-37Answer to Review Question ................................................................................................4-38Invoice Inquiry: Overview...................................................................................................4-39Demonstration .....................................................................................................................4-40Approving Invoices: Overview............................................................................................4-41Approving Invoices .............................................................................................................4-42Accounting for Invoices ......................................................................................................4-45Applying Holds ...................................................................................................................4-47Releasing Invoice Holds ......................................................................................................4-49Manually Releasing Invoice Holds......................................................................................4-50Review Question .................................................................................................................4-51Answer to Review Question ................................................................................................4-52Adjusting Invoices...............................................................................................................4-53Canceling Invoices ..............................................................................................................4-54Summary..............................................................................................................................4-55

Processing Supplier Invoices ................................................................................................5-1Processing Supplier Invoices Oracle Payables Release 11i...............................................5-2Objectives ............................................................................................................................5-3Agenda.................................................................................................................................5-4Entering Invoices: Overview ...............................................................................................5-5Agenda.................................................................................................................................5-6Invoice Information .............................................................................................................5-7Entering Standard Invoice Header Information...................................................................5-9Demonstration .....................................................................................................................5-10Agenda.................................................................................................................................5-11Overview of Entering Batches.............................................................................................5-12Entering Invoice Batches.....................................................................................................5-13Creating Batch Control Forms.............................................................................................5-14Sample Batch Control Form ................................................................................................5-16Entering Invoices in Batches ...............................................................................................5-17Approving Invoices in Batches............................................................................................5-18Demonstration .....................................................................................................................5-19Agenda.................................................................................................................................5-20Entering Distributions..........................................................................................................5-21Invoice Distribution Types ..................................................................................................5-22Review Question .................................................................................................................5-24Answer to Review Question ................................................................................................5-25Entering Distributions..........................................................................................................5-26Manually Entering Distributions .........................................................................................5-27Demonstration .....................................................................................................................5-28Entering Freight Distributions for an Invoice......................................................................5-29Enabling Automatically Create Freight Distribution...........................................................5-30Creating Distributions by Allocation...................................................................................5-32Allocating Freight, Tax, and Miscellaneous Lines ..............................................................5-34Allocating Other Charges within the Same Invoice ............................................................5-35Allocation Restrictions ........................................................................................................5-37Review Question .................................................................................................................5-38


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Answer to Review Question ................................................................................................5-39Demonstration .....................................................................................................................5-40Distribution Sets ..................................................................................................................5-41Defining a Distribution Set..................................................................................................5-42Demonstration .....................................................................................................................5-43Practice 1 Overview.............................................................................................................5-44Practice 1 Instructions .........................................................................................................5-45Agenda.................................................................................................................................5-46Invoice Gateway..................................................................................................................5-47Entering Invoice Gateway Identification Information .........................................................5-48How to Enter Invoice Gateway Identification Information .................................................5-49How to Enter Invoice Header Information ..........................................................................5-51How to Enter Invoice Line Information ..............................................................................5-52Invoice Line Information.....................................................................................................5-53Invoice Gateway..................................................................................................................5-54Creating Invoices.................................................................................................................5-55Review Question .................................................................................................................5-56Answer to Review Question ................................................................................................5-57Demonstration .....................................................................................................................5-58Practice 2 Overview.............................................................................................................5-59Practice 2 Instructions .........................................................................................................5-60Agenda.................................................................................................................................5-61Payables Open Interface Tables...........................................................................................5-62Payables Open Interface Import Program............................................................................5-63Integration with Oracle e-Commerce Gateway ...................................................................5-64Loading Electronic Flat Files...............................................................................................5-65Review Question .................................................................................................................5-66Answer to Review Question ................................................................................................5-67Summary..............................................................................................................................5-68

R11i Implementing Supplier Invoicing................................................................................6-1R11i Implementing Supplier Invoicing ...............................................................................6-2Course Objective .................................................................................................................6-3Course Agenda ....................................................................................................................6-4Defining Invoice Tolerances................................................................................................6-6How to Set Tolerance Levels for Matching.........................................................................6-8How to Set Tolerance Levels for Invoice Taxes.................................................................6-10Demonstration .....................................................................................................................6-11Practice 1 .............................................................................................................................6-12Practice 1 Solutions .............................................................................................................6-13Course Agenda ....................................................................................................................6-14Setting Up Invoice Payables Options ..................................................................................6-15Demonstration .....................................................................................................................6-17Course Agenda ....................................................................................................................6-18Creating Automatic Interest Invoices ..................................................................................6-19Setting Up Interest Payables Options ..................................................................................6-20Course Agenda ....................................................................................................................6-21Invoice Tax Options ............................................................................................................6-22Setting Up Invoice Tax Options ..........................................................................................6-23Tax Defaults and Rules Payables Options...........................................................................6-24Demonstration .....................................................................................................................6-25Practice 2 .............................................................................................................................6-26Practice 2 Solutions .............................................................................................................6-27Course Agenda ....................................................................................................................6-29Setting Up Matching Options ..............................................................................................6-30Demonstration .....................................................................................................................6-31Review Question .................................................................................................................6-32


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Answer to Review Question ................................................................................................6-33Course Agenda ....................................................................................................................6-34Invoice Gateway Considerations .........................................................................................6-35Open Interface Workflow Considerations ...........................................................................6-36Invoice-Matching Considerations........................................................................................6-38Prepayment Considerations .................................................................................................6-39Summary..............................................................................................................................6-40

Matching Invoices to Purchase Orders and Receipts .........................................................7-1Matching Invoices to Purchase Orders and Receipts...........................................................7-2Objectives ............................................................................................................................7-3Agenda.................................................................................................................................7-4Entering Purchase Order Matched Invoices : Overview......................................................7-5The Structure of a Purchase Order.......................................................................................7-6The Structure of a Receipt ...................................................................................................7-7Purchase Order Matched Invoices .......................................................................................7-8Why Enter Purchase Order Matched Invoices? ...................................................................7-9You Can Set Up Controls That Require You To Do The Following:..................................7-10Matching Process.................................................................................................................7-11Different Ways to Match an Invoice to a Purchase Order ...................................................7-12Receipt Match......................................................................................................................7-13Purchase Order Shipment Match .........................................................................................7-14Purchase Order Distribution Match .....................................................................................7-15Price Corrections .................................................................................................................7-16Agenda.................................................................................................................................7-17Practice Overview................................................................................................................7-18Review Question .................................................................................................................7-22Answer to Review Question ................................................................................................7-23Agenda.................................................................................................................................7-24PO Default and QuickMatch Invoices .................................................................................7-25Demonstration of Matching QuickMatch and PO Default type Invoices to Receipts and Purchase Orders 7-26Review Question .................................................................................................................7-27Answer to Review Question ................................................................................................7-28Agenda.................................................................................................................................7-29Entering Purchase Order Matched Invoice Records in the Invoice Gateway ......................7-30Demonstration of How to Match Invoices to Purchase Orders and Receipts in the Invoice Gateway 7-31Review Question .................................................................................................................7-32Answer to Review Question ................................................................................................7-33Summary..............................................................................................................................7-34

Processing Debit and Credit Memos....................................................................................8-1Processing Debit and Credit Memos ...................................................................................8-2Online Help .........................................................................................................................8-3Viewing Online Help...........................................................................................................8-4Objectives ............................................................................................................................8-5Agenda.................................................................................................................................8-6Overview .............................................................................................................................8-7Agenda.................................................................................................................................8-8Entering Debit and Credit Memos in the Invoice Workbench.............................................8-9Entering Debit and Credit Memos.......................................................................................8-10Demonstration .....................................................................................................................8-11Practice 1 Overview.............................................................................................................8-12Practice 1 Instructions .........................................................................................................8-13Review Question .................................................................................................................8-15Answer to Review Question ................................................................................................8-16Agenda.................................................................................................................................8-17Matching Debit and Credit Memos in the Invoice Workbench ...........................................8-18Clearing a Credit..................................................................................................................8-19


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Demonstration .....................................................................................................................8-20Practice 2 Overview.............................................................................................................8-21Practice 2 Instructions .........................................................................................................8-22Review Question .................................................................................................................8-24Answer to Review Question ................................................................................................8-25Agenda.................................................................................................................................8-26Recording a Price Correction...............................................................................................8-27How to Record a Price Correction.......................................................................................8-28Demonstration .....................................................................................................................8-29Summary..............................................................................................................................8-30

R11i Managing and Approving Invoices .............................................................................9-1Managing and Approving Invoices .....................................................................................9-2Objectives ............................................................................................................................9-3Agenda.................................................................................................................................9-4Invoice Inquiry: Overview...................................................................................................9-5Finding Invoices ..................................................................................................................9-7Finding Invoice Distributions ..............................................................................................9-8Calculating Supplier Balances.............................................................................................9-9Demonstration .....................................................................................................................9-10Reviewing High-Level Invoice Information........................................................................9-11Review Question .................................................................................................................9-13Review Question Solution ...................................................................................................9-14Agenda.................................................................................................................................9-15Applying and Releasing Invoice Holds: Overview .............................................................9-16Holds ...................................................................................................................................9-17Hold Types ..........................................................................................................................9-18Manually Applying Holds ...................................................................................................9-19Manually Applying Invoice Holds ......................................................................................9-20Applying Holds to Suppliers ...............................................................................................9-21Applying Holds to Scheduled Payments .............................................................................9-22Demonstration .....................................................................................................................9-23Releasing Invoice Holds ......................................................................................................9-24Correcting System Holds.....................................................................................................9-25Manually Releasing Holds...................................................................................................9-26Manually Releasing System Holds ......................................................................................9-29Releasing Invoice Holds ......................................................................................................9-31Releasing Holds...................................................................................................................9-32Review Question .................................................................................................................9-33Review Question Solution ...................................................................................................9-34Demonstration .....................................................................................................................9-35Agenda.................................................................................................................................9-36Approving Invoices: Overview............................................................................................9-37Approving Invoices .............................................................................................................9-39Submitting Batch Approval .................................................................................................9-41Approving Invoices Online .................................................................................................9-43Demonstration .....................................................................................................................9-44Approving Invoice Batches Online .....................................................................................9-45Practice 1 .............................................................................................................................9-46Practice 1 Solutions .............................................................................................................9-47Agenda.................................................................................................................................9-48Other Invoice Functions: Overview.....................................................................................9-49Adjusting Invoices...............................................................................................................9-50Demonstration .....................................................................................................................9-51Canceling Invoices ..............................................................................................................9-52Demonstration .....................................................................................................................9-53Agenda.................................................................................................................................9-54


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Adjusting Purchase Order Matched Invoices: Overview.....................................................9-55Matching Invoices to Purchase Orders ................................................................................9-56Matching Invoices to Purchase Orders and Receipts...........................................................9-57Resolving Matching Issues ..................................................................................................9-58Adjusting Purchase Order Matched Invoices ......................................................................9-59Review Question .................................................................................................................9-61Review Question Solution ...................................................................................................9-62Lesson Summary .................................................................................................................9-63

Processing Recurring Invoices..............................................................................................10-1Processing Recurring Invoices ............................................................................................10-2Online Help .........................................................................................................................10-3Viewing Online Help...........................................................................................................10-4Objectives ............................................................................................................................10-5Agenda.................................................................................................................................10-6Recurring Invoice Process ...................................................................................................10-7Agenda.................................................................................................................................10-8Overview of Recurring Invoices..........................................................................................10-9Agenda.................................................................................................................................10-12Special Calendar Window ...................................................................................................10-13Demonstration .....................................................................................................................10-14Review Question .................................................................................................................10-15Answer to Review Question ................................................................................................10-16Agenda.................................................................................................................................10-17Recurring Invoice Templates...............................................................................................10-18Demonstration .....................................................................................................................10-21Review Question .................................................................................................................10-22Answer to Review Question ................................................................................................10-23Agenda.................................................................................................................................10-24Creating a Recurring Invoice...............................................................................................10-25Recurring Credit and Debit Memos.....................................................................................10-26Withholding Taxes from Recurring Invoices ......................................................................10-27Recurring Invoice Restrictions ............................................................................................10-28Demonstration .....................................................................................................................10-29Practice Overview................................................................................................................10-30Practice Instructions ............................................................................................................10-31Review Question .................................................................................................................10-32Answer to Review Question ................................................................................................10-33Summary..............................................................................................................................10-34

Accounting in Oracle Payables.............................................................................................11-1Accounting in Oracle Payables............................................................................................11-2Course Objectives................................................................................................................11-3Agenda.................................................................................................................................11-4Overview of the Accounting Cycle .....................................................................................11-5Agenda.................................................................................................................................11-6Accounting Features ............................................................................................................11-7Agenda.................................................................................................................................11-8Accounting Events...............................................................................................................11-9Document Classes................................................................................................................11-10Invoice Document Class ......................................................................................................11-11Payment Document Class ....................................................................................................11-12Invoice Event.......................................................................................................................11-13Invoice Event - Invoice with One Distribution....................................................................11-14Invoice Event - Invoice with Multiple Distributions ...........................................................11-15Invoice Event - Multiple Distributions with Automatic Offsets Enabled............................11-16Invoice Event - Invoice in Foreign Currency ......................................................................11-17Invoice Event - Accrual on Receipt.....................................................................................11-18


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Invoice Adjustment Event ...................................................................................................11-19Invoice Adjustment Event - Distribution Reversal ..............................................................11-20Invoice Adjustment Event - Invoice Amount Adjusted.......................................................11-21Invoice Cancellation Event..................................................................................................11-22Invoice Cancellation Event - Invoice Cancellation .............................................................11-23Prepayment Application Event ............................................................................................11-24Prepayment Unapplication Event ........................................................................................11-25Review Questions ................................................................................................................11-26Answers to Review Question...............................................................................................11-27Payment Event.....................................................................................................................11-28Payment Event - Invoice Payment.......................................................................................11-29Payment Event - Foreign and Functional Currency.............................................................11-30Payment Maturity Event ......................................................................................................11-31Payment Maturity Event - Future Dated Payment ...............................................................11-32Payment Adjustment Event .................................................................................................11-33Payment Cancellation Event................................................................................................11-34Payment Clearing Events.....................................................................................................11-35Review Question .................................................................................................................11-36Answer to Review Question ................................................................................................11-37Agenda.................................................................................................................................11-38Creating Accounting Entries................................................................................................11-39Payables Accounting Process ..............................................................................................11-40Prerequisites for Creating Accounting Entries ....................................................................11-41Demonstration .....................................................................................................................11-42Review Questions ................................................................................................................11-44Answers to Review Questions .............................................................................................11-45Agenda.................................................................................................................................11-46Viewing Accounting Entries................................................................................................11-47Correcting Accounting Entries ............................................................................................11-48Demonstration .....................................................................................................................11-49Practice #1 Overview...........................................................................................................11-50Practice #1 Instructions .......................................................................................................11-51Agenda.................................................................................................................................11-52Overview of Transferring Accounting Entries to Your General Ledger .............................11-53Reviewing Accounting Entries ............................................................................................11-54Posting in Oracle General Ledger........................................................................................11-55Reconciling Payables Activity.............................................................................................11-56Review Question .................................................................................................................11-57Answer to Review Question ................................................................................................11-58Agenda.................................................................................................................................11-59Period Close Process ...........................................................................................................11-60Unaccounted Transaction Sweep Program ..........................................................................11-61Summary..............................................................................................................................11-62

Processing Single Payments and Refunds ...........................................................................12-1Processing Single Payments and Refunds ...........................................................................12-2Course Objectives................................................................................................................12-3Agenda.................................................................................................................................12-4Overview of the Payment Generation Process.....................................................................12-5Agenda.................................................................................................................................12-6Check Requests ...................................................................................................................12-7Overview of Processing Check Requests Using Manual Payments ....................................12-8Manual Payments ................................................................................................................12-9Creating Manual Payments..................................................................................................12-10Prerequisites for Processing Manual Payments ...................................................................12-11Demonstration .....................................................................................................................12-12Practice #1 Overview...........................................................................................................12-13


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Practice #1 Instructions .......................................................................................................12-14Review Question .................................................................................................................12-15Answer to Review Question ................................................................................................12-16Agenda.................................................................................................................................12-17Overview of Generating a Single, Computer-Generated Payment ......................................12-18Quick Payments...................................................................................................................12-19Recording Zero-Amount Payments .....................................................................................12-20Demonstration .....................................................................................................................12-21Paying Invoices from the Invoice Workbench.....................................................................12-22Practice #2 Overview...........................................................................................................12-23Practice #2 Instructions .......................................................................................................12-24Review Question .................................................................................................................12-26Answer to Review Question ................................................................................................12-27Agenda.................................................................................................................................12-28Refunds................................................................................................................................12-29Recording Refunds ..............................................................................................................12-30Recording Refunds When a Credit Balance Exists..............................................................12-31Demonstration .....................................................................................................................12-32Practice #3 Overview...........................................................................................................12-33Practice #3 Instructions .......................................................................................................12-34Agenda.................................................................................................................................12-36Overview of Stop and Void Payments.................................................................................12-37Stop Payments .....................................................................................................................12-38Payment Status Updates ......................................................................................................12-39Demonstration .....................................................................................................................12-40Overview of Voiding Payments...........................................................................................12-41Voiding Payments................................................................................................................12-42Review of Voided Payments ...............................................................................................12-43Demonstration .....................................................................................................................12-44Practice #4 Overview...........................................................................................................12-45Practice #4 Instructions .......................................................................................................12-46Summary..............................................................................................................................12-47

Processing Withholding Tax.................................................................................................13-1Processing Withholding Tax................................................................................................13-2Objectives ............................................................................................................................13-3Agenda.................................................................................................................................13-4Automatic Withholding Tax Overview ...............................................................................13-5Overview of Withholding Tax Process................................................................................13-6Agenda.................................................................................................................................13-7Setting Up Withholding Tax Payables Options ...................................................................13-8Setting Up Withholding Tax................................................................................................13-10Review Question .................................................................................................................13-13Answer to Review Question ................................................................................................13-14Agenda.................................................................................................................................13-15Withholding Taxes ..............................................................................................................13-16Entering Invoices.................................................................................................................13-17Applying Withholding Tax to Invoices ...............................................................................13-19Demonstration .....................................................................................................................13-21Review Question .................................................................................................................13-22Answer to Review Question ................................................................................................13-23Agenda.................................................................................................................................13-24Creating Withholding Tax Invoices.....................................................................................13-25Creating Withholding Tax Invoices Manually ....................................................................13-26Creating Withholding Tax Invoices Automatically .............................................................13-27Agenda.................................................................................................................................13-28Paying a Tax Authority........................................................................................................13-29


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Review Question .................................................................................................................13-30Answer to Review Question ................................................................................................13-31Agenda.................................................................................................................................13-32Projected Withholding Tax..................................................................................................13-33View Period-To-Date Withheld Amounts ...........................................................................13-34Review Question .................................................................................................................13-36Answer to Review Question ................................................................................................13-37Summary..............................................................................................................................13-38

Managing the Supplier Base .................................................................................................14-1Managing the Supplier Base................................................................................................14-2Objectives ............................................................................................................................14-3Agenda.................................................................................................................................14-4How Oracle Products Use Supplier Information .................................................................14-5Agenda.................................................................................................................................14-6Supplier and Supplier Site Settings .....................................................................................14-7Review Question .................................................................................................................14-11Answer to Review Question ................................................................................................14-12Avoiding Duplicate Suppliers..............................................................................................14-13Entering Basic Supplier Information ...................................................................................14-15Entering Detailed Supplier Information ..............................................................................14-16Entering Supplier Information in the General Region .........................................................14-17Entering Supplier Information in the Classification Region................................................14-18Entering Supplier Information in the Control Region .........................................................14-19Entering Supplier Information in the Payment Region........................................................14-20Entering Supplier Information in the Bank Accounts Region .............................................14-21Entering Supplier Information in the Electronic Data Interchange Region .........................14-22Entering Supplier Information in the Invoice Tax Region ..................................................14-23Entering Supplier Information in the Withholding Tax Region ..........................................14-24Entering Supplier Information in the Tax Reporting Region ..............................................14-25Entering Supplier Information in the Purchasing Region....................................................14-26Entering Supplier Information in the Receiving Region .....................................................14-27Demonstration .....................................................................................................................14-28Entering Supplier Information.............................................................................................14-29Review Question .................................................................................................................14-31Answer to Review Question ................................................................................................14-32Overview of Entering Information at the Supplier Site Level .............................................14-33Entering Detailed Supplier Site Information .......................................................................14-34Entering Flexible Address Format Information...................................................................14-35Entering Supplier Site Information in the General Region..................................................14-36Entering Supplier Site Information in the Contacts Region ................................................14-37Entering Supplier Site Information in the Accounting Region............................................14-38Entering Employees as Suppliers ........................................................................................14-39Demonstration .....................................................................................................................14-40Practice 1 Overview.............................................................................................................14-41Practice 1 Instructions .........................................................................................................14-42Searching and Reviewing Supplier Information Online ......................................................14-44Maintaining Supplier and Supplier Site Information...........................................................14-45Supplier Reports ..................................................................................................................14-46Practice 2 Overview.............................................................................................................14-48Practice 2 Instructions .........................................................................................................14-49Review Question .................................................................................................................14-51Answer to Review Question ................................................................................................14-52Agenda.................................................................................................................................14-53Merging Suppliers ...............................................................................................................14-54Overview of Merging Suppliers ..........................................................................................14-55Merging Suppliers ...............................................................................................................14-57


Accounts Payable Table of Contentsxii

Demonstration .....................................................................................................................14-60Identifying Duplicate Suppliers ...........................................................................................14-61Maintaining Reports As an Audit Trail ...............................................................................14-62Review Question .................................................................................................................14-63Answer to Review Question ................................................................................................14-64Summary..............................................................................................................................14-65

Processing Prepayments........................................................................................................15-1Processing Prepayments ......................................................................................................15-2Objectives ............................................................................................................................15-3Agenda.................................................................................................................................15-4Overview of Prepayments....................................................................................................15-6Overview of Processing Prepayments .................................................................................15-9Review Question .................................................................................................................15-10Answer to Review Question ................................................................................................15-11Agenda.................................................................................................................................15-12Entering Prepayments..........................................................................................................15-13Approving and Paying Prepayments....................................................................................15-14Using Automatic Withholding Tax on Prepayments ..........................................................15-15Matching a Prepayment to a Purchase Order.......................................................................15-16Controlling When a Prepayment is Available to Apply to Invoices....................................15-17Demonstration .....................................................................................................................15-18Practice 1 Overview.............................................................................................................15-20Practice 1 Instructions .........................................................................................................15-21Review Question .................................................................................................................15-23Answer to Review Question ................................................................................................15-24Agenda.................................................................................................................................15-25Applying Prepayments to Invoices ......................................................................................15-26Applying Prepayments in the Invoice Workbench ..............................................................15-27Applying Prepayments in the Invoice Gateway...................................................................15-28Applying Prepayments to Expense Reports.........................................................................15-29Using the Prepayments Status Report..................................................................................15-30Demonstration .....................................................................................................................15-31Unapplying Prepayments.....................................................................................................15-33Recording a Refund of a Prepayment or Advance...............................................................15-34Canceling Prepayments .......................................................................................................15-35Review Question .................................................................................................................15-36Answer to Review Question ................................................................................................15-37Summary..............................................................................................................................15-38


R11i Overview of Issuing PaymentsChapter 1 - Page 1

R11i Overview ofIssuing PaymentsChapter 1



R11i Overview of Issuing Payments

®

R11i Overview of Issuing PaymentsR11i Overview of Issuing Payments

Oracle Payables Release 11iOracle Payables Release 11i

ILT Schedule: Timing Topic 60 minutes Lecture 00 minutes Practice 60 minutes Total



Objectives

®

ObjectivesObjectives

After completing this course, you should be able todo the following:• Describe the process of issuing payments• Explain the key payments concepts in Oracle

Payables

After completing this course, you should be able todo the following:• Describe the process of issuing payments• Explain the key payments concepts in Oracle

Payables



Agenda

®

AgendaAgenda

• Product integration• Overview of Oracle Payables• Flow of default values• Overview of invoice payment

• Product integration• Overview of Oracle Payables• Flow of default values• Overview of invoice payment

Instructor NoteRemind the students that this is an overview class, and that thereare additional modules that will go into more detail about thedifferent topics.



Product Integration

®

Product IntegrationProduct Integration

OracleOracleAssetsAssets

Oracle ProjectsOracle Projects

OracleOracleGeneral LedgerGeneral Ledger

Oracle HumanOracle HumanResourcesResources

Oracle CashOracle CashManagementManagement

OracleOraclePurchasingPurchasing

Oracle PayablesOracle Payables

OracleOracleWorkflowWorkflow

OracleOraclee-Commercee-Commerce

GatewayGateway

OracleOraclePropertyPropertyManagerManager

OracleOracleiiExpensesExpenses

Instructor NoteOracle Payables integrates with:

Oracle Human ResourcesOracle ProjectsOracle Cash ManagementOracle e-Commerce GatewayOracle Property ManagerOracle iExpensesOracle WorkflowOracle General Ledger and other general ledger systemsOracle Assets and other fixed-asset systemsOracle Purchasing and other purchasing systems



Oracle Payables Integration

®

Oracle Payables IntegrationOracle Payables Integration

• Oracle Human Resources shares locations andemployees with Oracle Payables.

• Oracle Projects imports invoice information fromOracle Payables to track project costs, andexports expense report information to OraclePayables.

• Oracle Cash Management reconciles paymentscreated in Oracle Payables with your bankstatements.

• Oracle e-Commerce Gateway transfers electronicinvoices to Oracle Payables and electronic datainterchange (EDI) payments out of OraclePayables.


• Oracle Projects imports invoice information fromOracle Payables to track project costs, andexports expense report information to OraclePayables.

• Oracle Cash Management reconciles paymentscreated in Oracle Payables with your bankstatements.

• Oracle e-Commerce Gateway transfers electronicinvoices to Oracle Payables and electronic datainterchange (EDI) payments out of OraclePayables.




®


• Oracle Property Manager exports lease paymentinformation to Oracle Payables where you can paylease invoices.

• Oracle iExpenses lets employees enter their ownexpense reports.

• Oracle Workflow can be set up to process invoicerecords before you import them from the PayablesOpen Interface.

• Oracle General Ledger and other general ledgersystems receive invoice and payment accountingentries from Oracle Payables.

• Oracle Property Manager exports lease paymentinformation to Oracle Payables where you can paylease invoices.

• Oracle iExpenses lets employees enter their ownexpense reports.






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• Oracle Assets and other fixed-asset systemsrecord Oracle Payables invoice distributions forasset purchases.

• Oracle Purchasing and other purchasing systemsshare purchase orders and supplier informationwith Oracle Payables.

• Oracle Assets and other fixed-asset systemsrecord Oracle Payables invoice distributions forasset purchases.

• Oracle Purchasing and other purchasing systemsshare purchase orders and supplier informationwith Oracle Payables.



Overview of Oracle Payables

®

Overview of Oracle PayablesOverview of Oracle Payables

Oracle Payables is a high-productivity accountingsolution that helps you maintain strong financialcontrols. You can:• Maximize supplier discounts• Prevent duplicate payments• Pay for only the goods and services you order and

receiveOracle Payables also helps you resolve businessissues quickly by providing accurate responses toyour inquiries.

Oracle Payables is a high-productivity accountingsolution that helps you maintain strong financialcontrols. You can:• Maximize supplier discounts• Prevent duplicate payments• Pay for only the goods and services you order and

receiveOracle Payables also helps you resolve businessissues quickly by providing accurate responses toyour inquiries.



Five Major Processes

®

Five Major ProcessesFive Major Processes

Oracle Payables contains five major processes:• Setting up suppliers• Entering and approving invoices• Paying invoices• Creating accounting entries• Transferring transaction data to the general

ledger

Oracle Payables contains five major processes:• Setting up suppliers• Entering and approving invoices• Paying invoices• Creating accounting entries• Transferring transaction data to the general

ledger



Oracle Payables Processes

®

Oracle Payables Processes Oracle Payables Processes Enter supplierEnter supplier Enter invoiceEnter invoice Approve invoiceApprove invoice

Create accounting Create accounting entries entries

Transfer information Transfer informationto general ledgerto general ledger

Pay invoicePay invoice

100,000100,000

A/PA/P

60,00060,00010,00010,00030,00030,000

Instructor NoteThere are two processes that you must complete in Oracle Payablesbefore data can be sent to OracleGeneral Ledger:

1. The Payables Accounting Process creates the accounting entries inOracle Payables.2. The Payables Transfer to General Ledger sends the accountingtransactions to the GL Interface.The Journal Import process moves the information from the GL Interfacetable to the General Ledger tables. You can submit this program fromPayables or General Ledger.



Flow of Default Values

®

Flow of Default ValuesFlow of Default ValuesFinancials Options

Payables Options

Supplier

Supplier site

Invoice

Invoice distribution line Invoice scheduled payment line

Instructor NoteOracle Payables contains a hierarchy of options and defaults toexpedite and control data entry.Options and defaults set at one level automatically cascade down tothe next lower level in the hierarchy for any new transactions.Although you need to define these options and defaults only once,you can update them at any time to change controls and defaults forfuture transactions.You can override options and defaults at lower levels in thehierarchy.Note that most of the defaults are used for entering invoices. Pointout that for payments, the invoice scheduled payment line is used.



Review Question

®

Review QuestionReview Question

If a default is set at the Payables Options level in thehierarchy, you can override the default at the invoicescheduled payment line level.A. TrueB. False

If a default is set at the Payables Options level in thehierarchy, you can override the default at the invoicescheduled payment line level.A. TrueB. False



Answer to Review Question

®

Answer to Review QuestionAnswer to Review Question

If a default is set at the Payables Options level in thehierarchy, you can override the default at the invoicepayment schedule line level.A. TrueB. False

If a default is set at the Payables Options level in thehierarchy, you can override the default at the invoicepayment schedule line level.A. TrueB. False



Issuing Payments: Overview

®

Issuing Payments: Overview Issuing Payments: Overview Enter supplierEnter supplier Enter invoiceEnter invoice Approve invoiceApprove invoice

Create accounting Create accounting entries entries



100,000100,000

A/PA/P

60,00060,00010,00010,00030,00030,000



Payment Features

®

Payment FeaturesPayment Features

Oracle Payables provides a variety of features forfast, controlled payment processing. With OraclePayables, you can:• Use different payment methods to disburse funds• Ensure that duplicate invoice payments never

occur• Pay only invoices that are due, and automatically

take the maximum discount available• Automatically create groups of payments for

invoices that meet the criteria you select

Oracle Payables provides a variety of features forfast, controlled payment processing. With OraclePayables, you can:• Use different payment methods to disburse funds• Ensure that duplicate invoice payments never

occur• Pay only invoices that are due, and automatically

take the maximum discount available• Automatically create groups of payments for

invoices that meet the criteria you select



Payment Features

®

Payment FeaturesPayment Features

• Use custom payment formats• Choose from different payment method options,

including checks, electronic data interchange(EDI), electronic funds transfer (EFT), and wires

• Record stop payments• Void payments• Review payment status and payment information

• Use custom payment formats• Choose from different payment method options,

including checks, electronic data interchange(EDI), electronic funds transfer (EFT), and wires

• Record stop payments• Void payments• Review payment status and payment information



Oracle Payables Payment Methods

®

Oracle Payables Payment MethodsOracle Payables Payment MethodsPayment Method DefinitionCheck A printed paper remittance document that is sent to a supplierClearing A record of payment for invoices transferred

from another entity within the company withoutcreating a payment document

Electronic An electronic funds transfer to a supplier’s bankWire A funds transfer initiated by contacting your

bank and requesting a wire payment to asupplier’s bank



Future-Dated Payments

®

Future-Dated PaymentsFuture-Dated Payments

• Future-dated payments (also known as bills ofexchange or notes payable) are paymentdocuments that instruct your bank to disbursefunds on a specific date—the maturity date.

• The difference between future-dated payments andstandard payments is that on standard paymentsthe payment date, the creation date, and the datewhen funds are available are usually all the same.

• Future-dated payments (also known as bills ofexchange or notes payable) are paymentdocuments that instruct your bank to disbursefunds on a specific date—the maturity date.

• The difference between future-dated payments andstandard payments is that on standard paymentsthe payment date, the creation date, and the datewhen funds are available are usually all the same.

(Help) Oracle Financial Applications > Oracle Payables > Payments >Future Dated Payments > Future Dated Payments



Using the Workbench Model

®

Using the Workbench ModelUsing the Workbench Model

Oracle Payables includes two fully integratedworkbenches:• The Invoice Workbench• The Payment WorkbenchYou can create, adjust, and review payments in thePayment Workbench.

Oracle Payables includes two fully integratedworkbenches:• The Invoice Workbench• The Payment WorkbenchYou can create, adjust, and review payments in thePayment Workbench.

(Help) Oracle Financial Applications > Oracle Payables > Overview >The Payment Workbench



Using the Payment Workbench

®

Using the Payment WorkbenchUsing the Payment Workbench

Payment BatchSets Payment Batches Payments

Find Find Find

PaymentOverview

SubmitBatch Set



The Payment Workbench: Payment Batch Sets

®

The Payment Workbench:Payment Batch Sets

The Payment Workbench:Payment Batch Sets

Payment Batch Sets• Find Payment Batch Sets• Submit Batch Sets

Payment Batch Sets• Find Payment Batch Sets• Submit Batch Sets



The Payment Workbench: Payment Batches

®

The Payment Workbench:Payment Batches

The Payment Workbench:Payment Batches

Payment Batches• Find Payment Batches• Copy To• Payment Batch Actions

– Modify Payment Batch– Confirm Payment Batch

Payment Batches• Find Payment Batches• Copy To• Payment Batch Actions

– Modify Payment Batch– Confirm Payment Batch



The Payment Workbench: Payment Overview andPayments

®

The Payment Workbench:Payment Overview and Payments

The Payment Workbench:Payment Overview and Payments

Payment OverviewPayments• Find Payments• Select Invoices• View Invoices• Payment Actions

Payment OverviewPayments• Find Payments• Select Invoices• View Invoices• Payment Actions



Demonstration

®

DemonstrationDemonstration

This demonstration covers the Payment Workbench.

(N) Payments—>Entry—>Payments

This demonstration covers the Payment Workbench.


Instructor NoteDemonstrate to the students the basics of the Payment Workbench.Also, remind the students that they can use the scroll bars on theirscreen to adjust the windows to see additional information.



Review Question

®


Which of the following tasks can you perform in thePayment Workbench?A. Enter a paymentB. Modify a paymentC. Confirm a payment batchD. Modify a payment batchE. All of the above





®






Manual Payments

®

Manual PaymentsManual Payments

A manual payment is a payment that is createdoutside of Oracle Payables, but which you record inthe Oracle Payables system. The following are twoexamples of manual payments:• Handwritten checks• Wire transfers

A manual payment is a payment that is createdoutside of Oracle Payables, but which you record inthe Oracle Payables system. The following are twoexamples of manual payments:• Handwritten checks• Wire transfers

(Help) Oracle Financial Applications > Oracle Payables > Payments >Single Payments > Recording Manual Payments and Wire Transfers



Demonstration

®


This demonstration covers how to record a manualpayment.


This demonstration covers how to record a manualpayment.


Instructor NoteDemonstrate to the students the basics of entering a manualpayment.



Single Computer-Generated Payments

®

Single Computer-Generated PaymentsSingle Computer-Generated Payments

You can create a single computer-generated payment(also known as a Quick payment) to pay a supplier forone or more invoices.An electronic funds transfer (EFT) is an example of asingle computer-generated payment.

You can create a single computer-generated payment(also known as a Quick payment) to pay a supplier forone or more invoices.An electronic funds transfer (EFT) is an example of asingle computer-generated payment.

(Help) Oracle Financial Applications > Oracle Payables > Payments >Single Payments > Paying Invoices with Quick Payments



Paying Invoices from the Invoice Workbench

®

Paying Invoices from the InvoiceWorkbench


You can initiate payment of one or more invoices byselecting them in the Invoices window andusing the “Pay in Full” option in the Invoice Actionswindow. When you pay using this method, you cangenerate a manual payment or a Quick payment.

You can initiate payment of one or more invoices byselecting them in the Invoices window andusing the “Pay in Full” option in the Invoice Actionswindow. When you pay using this method, you cangenerate a manual payment or a Quick payment.

(Help) Oracle Financial Applications > Oracle Payables > Payments >Single Payments > Paying Invoices From the Invoice Workbench



Record Refunds

®

Record RefundsRecord Refunds

• Oracle Payables offers you a standard way torecord refunds received from your supplier.

• Refunds are a type of payment that you enter inthe Payment Workbench.

• Oracle Payables offers you a standard way torecord refunds received from your supplier.

• Refunds are a type of payment that you enter inthe Payment Workbench.

(Help) Oracle Financial Applications > Oracle Payables > Payments >Refunds > Entering Refunds

Instructor NoteYou would use refunds to close out an open credit balance if you arenot expecting another invoice from the supplier.In this release, you cannot pay refunds in Oracle Payables that areentered in Oracle Receivables.



Payment Batches

®

Payment BatchesPayment Batches

Use payment batches to create payments for multipleinvoices that meet selection criteria you specify. Inaddition to controlling which invoices OraclePayables selects for payment in the batch, you canalso set limits on payment amounts and decidewhether to take applicable discounts.

Use payment batches to create payments for multipleinvoices that meet selection criteria you specify. Inaddition to controlling which invoices OraclePayables selects for payment in the batch, you canalso set limits on payment amounts and decidewhether to take applicable discounts.

(Help) Oracle Financial Applications > Oracle Payables > Payments >Payment Batches



Payment Batches: Overview of the Steps

®

Payment Batches: Overview of the StepsPayment Batches: Overview of the Steps

Select invoices--------------------------(Build payments)

Format payments

Confirm payments

Print checks orcreate electronic

payments

Instructor NoteYou follow a series of steps to create your payment batches , andyou initiate each step from the Payment Batch Actions window.



Oracle e-Commerce Gateway Payments Overview

®

Oracle e-Commerce GatewayPayments Overview

Oracle e-Commerce GatewayPayments Overview

Select invoices

Build payments

Confirm payments

Format payments

Select invoices

Build payments

Confirm payments

EDI 820formats payments

Payments withoutPayments withoute-Commerce Gatewaye-Commerce Gateway

Payments withPayments withe-Commerce Gatewaye-Commerce Gateway

Instructor NoteTo create an electronic payment file which Oracle e-CommerceGateway formats and transfers to your bank, you follow nearly thesame steps that you follow when creating checks in a paymentbatch.Invoices are selected for payment based on the criteria you specifyin the Payment Workbench. You then build payments usingadditional information, such as the pay site.Instead of you formatting the payment, the EDI 820 program runsand extracts the payment data to the Oracle e-Commerce Gateway.The payment data is automatically sent to your e-CommerceGateway translator and then to the bank.Once you have verified that the data has been received by yourbank, you can confirm your payments, at which point OraclePayables marks the invoices as paid.



Payment Batch Sets

®

Payment Batch SetsPayment Batch Sets

• When you define a payment batch set, you cansubmit multiple payment batches at once.

• This streamlines the process of submittingmultiple payment batches for your bank accounts.

• You can use a payment batch set to submitpayment batches with different currencies.

• When you define a payment batch set, you cansubmit multiple payment batches at once.

• This streamlines the process of submittingmultiple payment batches for your bank accounts.

• You can use a payment batch set to submitpayment batches with different currencies.

(Help) Oracle Financial Applications > Oracle Payables > Payments >Payment Batches > Payment Batch Sets

Instructor NoteA payment batch set groups several payment batches together, sothat you can simultaneously submit the selection, build, or formatprocesses for each payment batch in the set. With a payment batchset, you can simultaneously submit several payment batches withdifferent payment currencies.



Demonstration

®


This demonstration covers payment batches andpayment batch sets.

(N) Payments—>Entry—>Payment Batches(N) Payments—>Entry—>Payment Batch Sets

This demonstration covers payment batches andpayment batch sets.

(N) Payments—>Entry—>Payment Batches(N) Payments—>Entry—>Payment Batch Sets

Instructor NoteDemonstrate to the students the basics of payment batches andpayment batch sets.



Review Question

®


You can set limits on payment amounts and also takeapplicable discounts with payment batches.A. TrueB. False





®






Payment Inquiry

®

Payment InquiryPayment Inquiry

• Use the Payment Overview window to review thestatus of a payment and its related high-levelinformation.

• Review information quickly when a supplier callsto inquire about the status of a payment.

• Because the Payment Overview window is adisplay-only window, click Payments to navigateto the Payments window if you want to viewadditional details or make any necessaryadjustments.

• Use the Payment Overview window to review thestatus of a payment and its related high-levelinformation.

• Review information quickly when a supplier callsto inquire about the status of a payment.

• Because the Payment Overview window is adisplay-only window, click Payments to navigateto the Payments window if you want to viewadditional details or make any necessaryadjustments.

(Help) Oracle Financial Applications > Oracle Payables > Payments >Reviewing and Modifying Payments > Payment Overview



Demonstration

®


This demonstration covers how to view high-levelpayment information.

(N) Payments—>Inquiry—>Payment Overview

This demonstration covers how to view high-levelpayment information.

(N) Payments—>Inquiry—>Payment Overview

Instructor NoteDemonstrate to the students how to view payment information in thePayment Overview window.



Stopping and Voiding Payments

®

Stopping and Voiding PaymentsStopping and Voiding Payments

• When you record a stop payment, the paymentstatus is updated to Stop Initiated.

• When you release a stop payment, the paymentstatus is updated to Negotiable.

• When you void a payment, the status of theinvoice is reset to Unpaid and the accountingentries for the payment are reversed.



• When you void a payment, the status of theinvoice is reset to Unpaid and the accountingentries for the payment are reversed.

(Help) Oracle Financial Applications > Oracle Payables > Payments >Reviewing and Modifying Payments(Help) Oracle Financial Applications > Oracle Payables > Payments >Stopping Payments(Help) Oracle Financial Applications > Oracle Payables > Payments >Voiding Payments



Accounting for Payments

®

Accounting for PaymentsAccounting for Payments

You submit the Payables Accounting Process tocreate accounting entries in Oracle Payables. Submitthis batch process from the Submit Request window.You can also create accounting entries for a paymentor payment batch from the related Actions window.1. Select the payment or payment batch.2. Click the Actions button.3. Select the Create Accounting check box, and

click OK.

You submit the Payables Accounting Process tocreate accounting entries in Oracle Payables. Submitthis batch process from the Submit Request window.You can also create accounting entries for a paymentor payment batch from the related Actions window.1. Select the payment or payment batch.2. Click the Actions button.3. Select the Create Accounting check box, and

click OK.



Accounting for Payments

®

Accounting for PaymentsAccounting for Payments

• For a single payment and payment batches, theaccounting process can either be completedonline or submitted as a request.

• You must approve and generate accountingentries for all related invoices before generatingaccounting entries for payments.

• For a single payment and payment batches, theaccounting process can either be completedonline or submitted as a request.

• You must approve and generate accountingentries for all related invoices before generatingaccounting entries for payments.

Instructor NoteThe main method of accounting for payments is to submit thePayables Accounting Process.



Demonstration

®


This demonstration covers how to create accountingfor a payment.

(N) Payments—>Entry—>Payments (B) Actions—>Create Accounting

This demonstration covers how to create accountingfor a payment.

(N) Payments—>Entry—>Payments (B) Actions—>Create Accounting

Instructor NoteDemonstrate to the students how to create accounting for apayment.



Payment Reconciliation with Oracle Cash Management

®

Payment Reconciliationwith Oracle Cash Management

Payment Reconciliationwith Oracle Cash Management

• Use Oracle Cash Management to reconcilepayments with your bank statements.

• When Oracle Cash Management reconciles apayment, it changes that payment’s status fromNegotiable to Cleared.

• If your system is set up to account for payments atclearing time, then Oracle Payables createsreconciliation accounting entries after a paymenthas cleared.

• Use Oracle Cash Management to reconcilepayments with your bank statements.

• When Oracle Cash Management reconciles apayment, it changes that payment’s status fromNegotiable to Cleared.

• If your system is set up to account for payments atclearing time, then Oracle Payables createsreconciliation accounting entries after a paymenthas cleared.



Summary

®

SummarySummary

In this course, you should have learned about:• The process of issuing payments• The key payments concepts in Oracle Payables

In this course, you should have learned about:• The process of issuing payments• The key payments concepts in Oracle Payables


Generating PaymentsChapter 2 - Page 1

GeneratingPaymentsChapter 2



Generating Payments

®

Generating PaymentsGenerating Payments


ILT Schedule: Timing Topic100 minutes Lecture and Demo 20 minutes Practice120 minutes Total



Course Objectives

®

Course ObjectivesCourse Objectives

After completing this course, you should be able todo the following:After completing this course, you should be able todo the following:

• Describe the payment batch process• Demonstrate how payment batch sets are used• Explain the electronic payment options

• Describe the payment batch process• Demonstrate how payment batch sets are used• Explain the electronic payment options



Agenda

®

AgendaAgenda

• Processing payment batches• Using payment batch sets• Processing electronic payments


Instructor NoteIntroduce the three main topics that will be covered in this net class.



Overview of Generating Payments in a Payment Batch

®

Overview of Generating Payments in aPayment Batch

Overview of Generating Payments in aPayment Batch

SelectSelectinvoicesinvoices

Build paymentsBuild paymentsusing paymentusing payment

batchbatch

FormatFormatpaymentspayments

Print checks orPrint checks orcreate electroniccreate electronic

paymentspayments

ConfirmConfirmpaymentspayments

Instructor NoteYou follow a series of steps to build your payment batch payments, andyou initiate each step from the Payment Batch Actions window.



Agenda

®

AgendaAgenda





Payment Batches

®

Payment BatchesPayment Batches

You can use payment batches to create payments formultiple invoices that meet selection criteria youspecify. In addition to controlling which invoicesPayables selects for payment in the batch, you canalso set limits on payment amounts and decidewhether to take applicable discounts.

You can use payment batches to create payments formultiple invoices that meet selection criteria youspecify. In addition to controlling which invoicesPayables selects for payment in the batch, you canalso set limits on payment amounts and decidewhether to take applicable discounts.

(Help) Oracle Financial Applications > Oracle Payables >Payments > Payment Batches



Initiating Payment Batches

®

Initiating Payment BatchesInitiating Payment Batches

To initiate a payment batch, perform the followingsteps:To initiate a payment batch, perform the followingsteps:

1. In the Payment Batches window, enter criteria toselect the invoices you want to pay.

2. Payables selects invoices and builds thepayments.

3. The invoices that will be paid are listed for you onthe Preliminary Payment Register.

4. You can optionally modify the payment batchbefore formatting.

1. In the Payment Batches window, enter criteria toselect the invoices you want to pay.

2. Payables selects invoices and builds thepayments.

3. The invoices that will be paid are listed for you onthe Preliminary Payment Register.

4. You can optionally modify the payment batchbefore formatting.

(Help) Oracle Financial Applications > Oracle Payables >Payments > Payment Batches > Initiating Payment Batches

Instructor NoteYou can prevent payment to a supplier, prevent payment of a particularinvoice, change the invoice amount, or add an invoice that Payables didnot originally select.





Finding a Payment Batch

®

Finding a Payment BatchFinding a Payment Batch

Use the Find Payment Batches window or enter querycriteria into the Payment Batches window.Use the Find Payment Batches window or enter querycriteria into the Payment Batches window.

(Help) Oracle Financial Applications > Oracle Payables >Payments > Payment Batches > Finding Payment Batches



Demonstration

®


This demonstration covers how to initiate a paymentbatch and then find an existing payment batch.

(N) Payments—>Entry—>Payment Batches(N) Payments—>Entry—>Payment Batches (M) View—>Find

This demonstration covers how to initiate a paymentbatch and then find an existing payment batch.

(N) Payments—>Entry—>Payment Batches(N) Payments—>Entry—>Payment Batches (M) View—>Find



Review Questions

®

Review QuestionsReview Questions

1. ______ You can use payment batches to set limitson payment amounts.

2. ______ You use the Payment Batches window toinitiate payment batches.

3. ______ Payables selects approved andunapproved invoices that match your invoiceselection criteria.


2. ______ You use the Payment Batches window toinitiate payment batches.

3. ______ Payables selects approved andunapproved invoices that match your invoiceselection criteria.

In this review, you will assign true or false to thesestatements to test your knowledge of paymentbatches.




Answers to Review Questions

®

Answers to Review QuestionsAnswers to Review Questions

1. True You can use payment batches to set limitson payment amounts.

2. True You use the Payment Batches window toinitiate payment batches.

3. False Payables selects approved and unapprovedinvoices that match your invoice selection criteria.


2. True You use the Payment Batches window toinitiate payment batches.

3. False Payables selects approved and unapprovedinvoices that match your invoice selection criteria.





Payment Batch Templates

®

Payment Batch TemplatesPayment Batch Templates

You can save a payment batch as a template forcreating new payment batches that use similarcriteria.

You can save a payment batch as a template forcreating new payment batches that use similarcriteria.



Demonstration

®


This demonstration covers how to initiate a paymentbatch using a template.

(N) Payments—>Entry—>Payment Batches (M) View—> Find

This demonstration covers how to initiate a paymentbatch using a template.

(N) Payments—>Entry—>Payment Batches (M) View—> Find



Modifying Payment Batches

®

Modifying Payment BatchesModifying Payment Batches

After you select and build your payments, you canreview and modify a payment batch.After you select and build your payments, you canreview and modify a payment batch.You can:• Add or remove an invoice from a payment batch• Prevent payment to a particular supplier site• Change the payment or discount amounts for a

selected invoice• Change the supplier bank account for electronic

payments• Identify supplier site unused credits that you are

not using

You can:• Add or remove an invoice from a payment batch• Prevent payment to a particular supplier site• Change the payment or discount amounts for a

selected invoice• Change the supplier bank account for electronic

payments• Identify supplier site unused credits that you are

not using

(Help) Oracle Financial Applications > Oracle Payables >Payments > Payment Batches > Modifying Payment Batches



Demonstration

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This demonstration covers how to modify a paymentbatch.

(N) Payments—>Entry—>Payment Batches (M)Query—>Find (B)

This demonstration covers how to modify a paymentbatch.

(N) Payments—>Entry—>Payment Batches (M)Query—>Find (B)

Instructor NoteYou can modify the payment batch that you initiated in an earlierdemonstration. You might want to change the pay group or change thepay through date to a different date.



Formatting Payments

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Formatting PaymentsFormatting Payments

Payables creates an output file that you can use to:• Print checks• Deliver to your bank for processing electronic

payments• Generate electronic payments through the

e-Commerce Gateway

Payables creates an output file that you can use to:• Print checks• Deliver to your bank for processing electronic

payments• Generate electronic payments through the

e-Commerce Gateway

(Help) Oracle Financial Applications > Oracle Payables >Payments > Payment Batches > Formatting Payments

Instructor NoteExplain that in the Payments Actions window you can choose to formatand print checks, or you can choose to format the payment batch withoutprinting checks. Once you have your output file, you can actually printthe checks, generate electronic payments through the e-CommerceGateway, or deliver the output to your bank for disbursements ofelectronic payments.



Demonstration

®


This demonstration covers how to find and format apayment batch.

(N) Payments—>Inquiry—>Payment Batches (B)Actions

This demonstration covers how to find and format apayment batch.

(N) Payments—>Inquiry—>Payment Batches (B)Actions



Confirming Payment Batches

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Confirming Payment BatchesConfirming Payment Batches

During payment confirmation, Payables updates thepayment history of invoices paid in a payment batchand associates payment document numbers (e.g.,check numbers) with the invoices and invoicepayments.

During payment confirmation, Payables updates thepayment history of invoices paid in a payment batchand associates payment document numbers (e.g.,check numbers) with the invoices and invoicepayments.

(Help) Oracle Financial Applications > Oracle Payables >Payments > Payment Batches > Confirming Payment Batches



Assigning Status Types to Documents

®

Assigning Status Types to DocumentsAssigning Status Types to Documents

You need to assign one of the following status typesto payment documents during the confirm process:You need to assign one of the following status typesto payment documents during the confirm process:

• Setup: Used to align printer. Automaticallyvoided during confirmation process.

• Printed: Either checks are printed or electronicpayments formatted properly. Ranges of printeddocuments must end on a negotiable document.

• Skipped: Nothing printed on these documents.They can be reused for single payments.

• Spoiled: Documents are ruined and unusable dueto printer malfunction.

• Setup: Used to align printer. Automaticallyvoided during confirmation process.

• Printed: Either checks are printed or electronicpayments formatted properly. Ranges of printeddocuments must end on a negotiable document.

• Skipped: Nothing printed on these documents.They can be reused for single payments.

• Spoiled: Documents are ruined and unusable dueto printer malfunction.



Demonstration

®


This demonstration covers how to confirm a paymentbatch.

(N) Payments—>Entry—>Payment Batches (M) Query—>Find (B) Actions (B) OK

This demonstration covers how to confirm a paymentbatch.

(N) Payments—>Entry—>Payment Batches (M) Query—>Find (B) Actions (B) OK



Practice Overview

®

Practice OverviewPractice Overview

You will initiate and complete a payment batchprocess.You will initiate and complete a payment batchprocess.


Instructor NoteThis exercise requires having multiple seeded invoices for students toselect in this practice exercise. You can use Advanced Network Devicesas an available supplier. Ensure that payment terms are set to Immediate.Each student needs either their own bank account or payment documentto be able to pay the invoices.Students need to be assigned payment priorities that coincide with theirassigned invoice numbers. Tell students that if they do not enter theirpayment priority, they will pay all approved invoices that are scheduledfor payment.If these invoices are not seeded, then you must create your own invoicesbefore the class begins and demonstrate this exercise to the class.



Practice Instructions

®

Practice InstructionsPractice Instructions

You are responsible for producing the weekly checkrun. Initiate the payment batch and enter yourpayment priority in the appropriate fields.

You are responsible for producing the weekly checkrun. Initiate the payment batch and enter yourpayment priority in the appropriate fields.

• Batch Name: Assigned by instructor• Bank Account: Assigned by instructor• Payment Document: Assigned by instructor• High Payment Priority: Assigned by instructor• Low Payment Priority: Assigned by instructor• Invoice Numbers: Assigned by instructor

• Batch Name: Assigned by instructor• Bank Account: Assigned by instructor• Payment Document: Assigned by instructor• High Payment Priority: Assigned by instructor• Low Payment Priority: Assigned by instructor• Invoice Numbers: Assigned by instructor

Student Note1. Navigate to the Payment Batches window.

(N) Payments > Entry > Payment Batches2. Enter a unique batch name.3. In the Payment Date field, accept the default date.4. In the Bank Account field, select your bank account.5. In the Document field, select your payment document.6. In the Pay Through Date field, enter the date for 45 days from today.

(So the system picks up any invoices that might have inadvertentlybeen assigned a payment term other than Immediate.)

7. In the High Payment Priority field, enter the payment priority givento you by the instructor.Note: If you forget this step, you will pay all approved invoices thatare scheduled for payment.

8. In the Low Payment Priority field, enter the payment priority givento you by the instructor.

9. Accept the remaining defaults. Choose Actions.



10. In the Payment Batch Actions window select the following checkboxes:- Select Invoices- Build Payments- Format Payments

11. Choose OK.12. Oracle Payables displays three concurrent ID numbers. Choose

View My Requests from the Help menu to monitor your concurrentrequests until they have successfully completed. (M) View > Requests.

13. Requery your payment batch in the Payment Batches window.Scroll to the right to view the Invoice Count field. You can reviewthe number of invoices selected for this payment batch.

14. In the Payment Batch Actions window, select the following checkboxes:- Confirm Payment Batch- Print Final Register

15. Choose OK.16. In the Confirm Payment Batch Window, select “Printed” in the

Status field.17. Your invoice number appears in the “To” field. If only onc invoice

is being paid, enter the same invoice number in the “From” field. Ifa range of invoices is being paid, enter the final invoice number inthe range in the “From” field.

18. Monitor your concurrent requests. When the Final Payment Registercompletes successfully, select the “View Output” button from theRequests window to display the payments for this payment batch.

19. Requery the payment batch in the Payment Batches window. If youselect the “Payments” button, you can view payment details. Youcan also choose to view invoice details.



Review Questions

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1. ______ You can prevent payment to a supplier sitethrough the Modify Payment Batch window.

2. ______ You can adjust the payment amount oninvoices that include withholding taxes.


4. ______ When Payables formats payments, itcreates an output file that produces onlyelectronic payments.

1. ______ You can prevent payment to a supplier sitethrough the Modify Payment Batch window.

2. ______ You can adjust the payment amount oninvoices that include withholding taxes.


4. ______ When Payables formats payments, itcreates an output file that produces onlyelectronic payments.



Review Questions

®


5. ______ Payables updates the payment history ofinvoices paid in a payment batch.

6. ______ A payment document that has a statustype of Skipped is ruined and unusable.

7. ______ You can modify a payment batch only oncebefore a payment is formatted.

8. ______ A spoiled check is automatically voidedwhen the printer is being aligned during theconfirm process.

5. ______ Payables updates the payment history ofinvoices paid in a payment batch.

6. ______ A payment document that has a statustype of Skipped is ruined and unusable.

7. ______ You can modify a payment batch only oncebefore a payment is formatted.

8. ______ A spoiled check is automatically voidedwhen the printer is being aligned during theconfirm process.




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1. True You can prevent payment to a supplier sitethrough the Modify Payment Batch window.

2. False You can adjust the payment amount oninvoices that include withholding taxes.


4. False When Payables formats payments, itcreates an output file that produces onlyelectronic payments.

1. True You can prevent payment to a supplier sitethrough the Modify Payment Batch window.

2. False You can adjust the payment amount oninvoices that include withholding taxes.


4. False When Payables formats payments, itcreates an output file that produces onlyelectronic payments.




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5. True Payables updates the payment history ofinvoices paid in a payment batch.

6. False A payment document that has a status typeof Skipped is ruined and unusable.

7. False You can modify a payment batch only oncebefore a payment is formatted.

8. False A spoiled check is automatically voidedwhen the printer is being aligned during theconfirm process.

5. True Payables updates the payment history ofinvoices paid in a payment batch.

6. False A payment document that has a status typeof Skipped is ruined and unusable.

7. False You can modify a payment batch only oncebefore a payment is formatted.

8. False A spoiled check is automatically voidedwhen the printer is being aligned during theconfirm process.



Agenda

®

AgendaAgenda





Payment Batch Sets

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Payment Batch SetsPayment Batch Sets

• You can group multiple payment batches togetherinto a single payment batch set.

• You can submit the selection, build, or formatprocess for all payment batches at one time.

• A single batch set can include payment batchesthat use different currencies.

• You can define one or more payment batch sets.

• You can group multiple payment batches togetherinto a single payment batch set.

• You can submit the selection, build, or formatprocess for all payment batches at one time.

• A single batch set can include payment batchesthat use different currencies.

• You can define one or more payment batch sets.

(Help) Oracle Financial Applications > Oracle Payables >Payments > Payment Batches > Payment Batch Sets



Creating Payment Batch Sets

®

Creating Payment Batch SetsCreating Payment Batch Sets

1. In the Payment Batch Sets window enter a uniquename for the batch set in the Batch Set Name field.

1. In the Payment Batch Sets window enter a uniquename for the batch set in the Batch Set Name field.




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2. Enter each payment batch in the set. For eachpayment batch in the set, enter the followingdetails:

2. Enter each payment batch in the set. For eachpayment batch in the set, enter the followingdetails:• Enter a unique name in the Batch Name field.• Check the Include in Set check box to include

the payment batch in the payment batch set.• Provide or change invoice selection criteria.• Check the Print Now option and designate a

printer if you want to print checks beforereviewing the formatted payments.

• Enter a unique name in the Batch Name field.• Check the Include in Set check box to include

the payment batch in the payment batch set.• Provide or change invoice selection criteria.• Check the Print Now option and designate a

printer if you want to print checks beforereviewing the formatted payments.




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3. Once you define a payment batch set, you can useit as a template to regularly manage and submitsimilar groups of payment batches.

3. Once you define a payment batch set, you can useit as a template to regularly manage and submitsimilar groups of payment batches.



Initiating Payment Batch Sets

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Initiating Payment Batch SetsInitiating Payment Batch Sets

1. Query the payment batch set in the Payment BatchSets window.

2. Make any modifications.3. Submit the batch.4. Choose a pay through date.5. Choose a payment date.

1. Query the payment batch set in the Payment BatchSets window.

2. Make any modifications.3. Submit the batch.4. Choose a pay through date.5. Choose a payment date.


Instructor NoteOnce the payment batch set has been submitted, you can navigate to thePayment Batches window to view individual payment batches.



How Payables Creates a Payment Batch Name

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How Payables Creates aPayment Batch Name

How Payables Creates aPayment Batch Name

You must enter a unique batch run name when yousubmit a payment batch for processing. Payablesuses the batch run name you enter in the SubmitBatch Set window, along with the batch name fromthe Payment Batch Sets window, to create a uniquename for each payment batch in the set.

You must enter a unique batch run name when yousubmit a payment batch for processing. Payablesuses the batch run name you enter in the SubmitBatch Set window, along with the batch name fromthe Payment Batch Sets window, to create a uniquename for each payment batch in the set.

(Help) Oracle Financial Applications > Oracle Payables >Payments > Payment Batches > Payment Batch Sets

Instructor NoteIn the Find Payment Batches window, you can query on a batch run nameto view the batches in the set after Payables processes the payment batchset.Payables creates batch names by combining the batch run name in theSubmit Batch Set window and the batch name in the Payment Batch Setswindow. For example:- Batch run name in the Submit Batch Set window = JB123- Batch name in the Payment Batch Sets window = Rent- Batch name in the Payment Batches window = JB123Rent



Payment Batch Set Restrictions

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Payment Batch Set RestrictionsPayment Batch Set Restrictions

• Each payment document used in the batch setmust be unique.

• If you select the Format Payment process for apayment batch set, you cannot modify paymentbatches.

• You cannot select the Confirm Payment Batchprocess if a payment batch uses a Check paymentmethod.

• You cannot use a User rate type as an exchangerate in the Payment Batch Sets window.

• Each payment document used in the batch setmust be unique.

• If you select the Format Payment process for apayment batch set, you cannot modify paymentbatches.

• You cannot select the Confirm Payment Batchprocess if a payment batch uses a Check paymentmethod.

• You cannot use a User rate type as an exchangerate in the Payment Batch Sets window.

(Help) Oracle Financial Applications > Oracle Payables >Payments > Payment Batches > Payment Batch Restrictions



Demonstration

®


This demonstration shows how to create and initiatea payment batch set.

(N) Payments—>Entry—>Payment Batch Sets(N) Payments—>Entry—>Payment Batch Sets (B)Submit Batch Set

This demonstration shows how to create and initiatea payment batch set.

(N) Payments—>Entry—>Payment Batch Sets(N) Payments—>Entry—>Payment Batch Sets (B)Submit Batch Set



Review Questions

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1. ______ You can enter a User exchange rate type inthe Payment Batch Sets window.

2. ______ Within one payment batch set, paymentdocuments can be the same for more than onebatch within the set.

3. ______ The system uses the Batch Run Name youenter in the Submit Batch Set window, along withthe Batch Name from the Payment Batch Setswindow, to create a unique name for eachpayment batch in the set.

1. ______ You can enter a User exchange rate type inthe Payment Batch Sets window.

2. ______ Within one payment batch set, paymentdocuments can be the same for more than onebatch within the set.

3. ______ The system uses the Batch Run Name youenter in the Submit Batch Set window, along withthe Batch Name from the Payment Batch Setswindow, to create a unique name for eachpayment batch in the set.

In this review, you will assign true or false to thesestatements to test your knowledge of payment batchsets.

In this review, you will assign true or false to thesestatements to test your knowledge of payment batchsets.



Review Questions

®


4. ______ You define a payment batch set by enteringinvoice selection criteria for one or more paymentbatches in the Payment Batches window.

5. ______ Payment Batch Set names must be unique.6. ______ Payment batches within the set can use

different payment currencies.7. ______ You can select the Confirm Payment Batch

process for any payment batch set.

4. ______ You define a payment batch set by enteringinvoice selection criteria for one or more paymentbatches in the Payment Batches window.

5. ______ Payment Batch Set names must be unique.6. ______ Payment batches within the set can use

different payment currencies.7. ______ You can select the Confirm Payment Batch





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In this review, you will assign true or false to thesestatements to test your knowledge of payment batchsets.1. False You can enter a User exchange rate type in

the Payment Batch Sets window.2. False Within one payment batch set, payment

documents can be the same for more than onebatch within the set.

3. True The system uses the Batch Run Name youenter in the Submit Batch Set window, along withthe Batch Name from the Payment Batch Setswindow, to create a unique name for each paymentbatch in the set.

In this review, you will assign true or false to thesestatements to test your knowledge of payment batchsets.1. False You can enter a User exchange rate type in

the Payment Batch Sets window.2. False Within one payment batch set, payment

documents can be the same for more than onebatch within the set.

3. True The system uses the Batch Run Name youenter in the Submit Batch Set window, along withthe Batch Name from the Payment Batch Setswindow, to create a unique name for each paymentbatch in the set.




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4. False You define a payment batch set by enteringinvoice selection criteria for one or more paymentbatches in the Payment Batches window.

5. True Payment Batch Set names must be unique.6. True Payment batches within the set can use

different payment currencies.7. False You can select the Confirm Payment Batch


4. False You define a payment batch set by enteringinvoice selection criteria for one or more paymentbatches in the Payment Batches window.

5. True Payment Batch Set names must be unique.6. True Payment batches within the set can use

different payment currencies.7. False You can select the Confirm Payment Batch




Agenda

®

AgendaAgenda





Overview of Electronic Payment Options

®

Overview of Electronic Payment OptionsOverview of Electronic Payment Options

Option 1. OracleOption 1. OraclePayables createsPayables creates

output fileoutput file

You transmit orYou transmit ordeliver output file todeliver output file to

your bankyour bank

Your bank sendsYour bank sendspayments to yourpayments to yoursupplier’s banksupplier’s bank

Option 2. Oracle’s e-CommerceOption 2. Oracle’s e-CommerceGateway formats and transmitsGateway formats and transmits

payment file to your bankpayment file to your bank

Supplier’s bankSupplier’s bankaccount isaccount is

creditedcredited



Creating Electronic Payments without Oracle’s e-Commerce Gateway

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Creating Electronic Payments withoutOracle’s e-Commerce Gateway

Creating Electronic Payments withoutOracle’s e-Commerce Gateway

You follow nearly the same steps as when you createchecks in a payment batch. However, instead ofprinting your checks, you send a file of the formattedpayments to your bank for disbursement to supplierbank accounts.

You follow nearly the same steps as when you createchecks in a payment batch. However, instead ofprinting your checks, you send a file of the formattedpayments to your bank for disbursement to supplierbank accounts.

(Help) Oracle Financial Applications > Oracle Payables >Payments > Electronic Payments > EFT Payments without e-Commerce Gateway



Prerequisites for Processing Electronic Payments

®

Prerequisites for ProcessingElectronic Payments

Prerequisites for ProcessingElectronic Payments

• When you define your payment format, select theappropriate Electronic payment method.

• You must define the remittance bank accounts andpayment documents that you will use to createelectronic funds transfer (EFT) payments.

• You must set up your supplier and supplier siteswith bank accounts that receive electronicpayments.

• When you enter the invoices that you want to pay,enter Electronic as the payment method.

• When you define your payment format, select theappropriate Electronic payment method.

• You must define the remittance bank accounts andpayment documents that you will use to createelectronic funds transfer (EFT) payments.

• You must set up your supplier and supplier siteswith bank accounts that receive electronicpayments.

• When you enter the invoices that you want to pay,enter Electronic as the payment method.

(Help) Oracle Financial Applications > Oracle Payables >Payments > Electronic Payments



Creating Electronic Payments Using Oracle’s e-Commerce Gateway

®

Creating Electronic Payments UsingOracle’s e-Commerce Gateway

Creating Electronic Payments UsingOracle’s e-Commerce Gateway

When you use Oracle’s e-Commerce Gateway, yourpayment data is formatted in the EDI outboundpayment format and transmitted to your bank fordisbursement.

When you use Oracle’s e-Commerce Gateway, yourpayment data is formatted in the EDI outboundpayment format and transmitted to your bank fordisbursement.

Payment dataPayment data Your bankYour bank Payment toPayment tosupplier bankssupplier banks

(Help) Oracle Financial Applications > Oracle Payables >Payments > Electronic Payments > Electronic Payments with e-Commerce Gateway



Prerequisites for Using Oracle’s e-Commerce Gateway

®

Prerequisites for Using Oracle’se-Commerce Gateway

Prerequisites for Using Oracle’se-Commerce Gateway

• Define a payment document that uses the EDIOutbound Program format.

• Define trading partners in the e-CommerceGateway.

• Enable the Outbound Payment Transaction orderfor the bank branch.

• Define any code conversions for transactions.

• Define a payment document that uses the EDIOutbound Program format.

• Define trading partners in the e-CommerceGateway.

• Enable the Outbound Payment Transaction orderfor the bank branch.

• Define any code conversions for transactions.



Using Oracle’s e-Commerce Gateway

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Using Oracle’s e-Commerce GatewayUsing Oracle’s e-Commerce Gateway

To create electronic payments using Oracle’s e-Commerce Gateway, perform the following steps:To create electronic payments using Oracle’s e-Commerce Gateway, perform the following steps:

1. Set up suppliers for EDI transactions and assignElectronic as the method of payment and EDI asthe payment format.

2. Set up supplier bank accounts.3. Define a unique pay group.4. Create a disbursement bank account for your EDI

payments.5. Create a payment document with the Payment

format of EDI outbound.

1. Set up suppliers for EDI transactions and assignElectronic as the method of payment and EDI asthe payment format.

2. Set up supplier bank accounts.3. Define a unique pay group.4. Create a disbursement bank account for your EDI

payments.5. Create a payment document with the Payment

format of EDI outbound.



EDI Outbound Payment File

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EDI Outbound Payment FileEDI Outbound Payment File

1. Use the EDI translator to transmit the formattedpayment data to your bank for disbursement.

2. You can then define a payment document thatuses the EDI Outbound Program payment formatand assign this document to the bank accountfrom which you will disburse payment.

1. Use the EDI translator to transmit the formattedpayment data to your bank for disbursement.

2. You can then define a payment document thatuses the EDI Outbound Program payment formatand assign this document to the bank accountfrom which you will disburse payment.

To create an electronic payment file that Oracle’s e-Commerce Gateway formats in EDI outboundpayment format, perform the following steps:

To create an electronic payment file that Oracle’s e-Commerce Gateway formats in EDI outboundpayment format, perform the following steps:



Creating EDI Payment Batches

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Creating EDI Payment BatchesCreating EDI Payment Batches

• You can initiate a payment batch using a paymentdocument associated with the EDI OutboundProgram payment format.

• When you format the payment batch, Oracle e-Commerce Gateway automatically formats thebatch and creates a flat file in your e-CommerceGateway output directory.

• Oracle e-Commerce Gateway sends the file to yourEDI translator and then to your bank.

• You can initiate a payment batch using a paymentdocument associated with the EDI OutboundProgram payment format.

• When you format the payment batch, Oracle e-Commerce Gateway automatically formats thebatch and creates a flat file in your e-CommerceGateway output directory.

• Oracle e-Commerce Gateway sends the file to yourEDI translator and then to your bank.



Review Question

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Which of the following are prerequisites forprocessing EDI payments through the e-CommerceGateway?1. Setting up suppliers for EDI transactions2. Creating a bank account for EDI payments3. Defining a unique pay group4. All of the above5. None of the above





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Instructor NoteCorrect Answer: 4, all of the above. Setting up suppliers for EDItransactions, creating a bank account for EDI payments, and defining aunique pay group are all prerequisites for processing EDI paymentsthrough the e-Commerce Gateway.



Summary

®

SummarySummary

In this lesson, you should have learned:• About the payment batch process• How payment batch sets are used• How to process electronic payments

In this lesson, you should have learned:• About the payment batch process• How payment batch sets are used• How to process electronic payments


R11i Implementing PaymentsChapter 3 - Page 1

R11i ImplementingPaymentsChapter 3



Oracle Payables Release 11i

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R11i Implementing PaymentsR11i Implementing Payments



Objective

®

ObjectiveObjective

After completing this module, you should be able toimplement the payment process in Oracle Payables.After completing this module, you should be able toimplement the payment process in Oracle Payables.



Course Agenda

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Course AgendaCourse Agenda

• Defining pay groups• Defining payment priorities• Defining payment terms• Assigning pay-alone status• Defining banks• Defining payment documents• Setting up Financials options for payments• Setting up Payables options for payments• Setting up future-dated payments• Setting up Payables options to work with Cash

Management

• Defining pay groups• Defining payment priorities• Defining payment terms• Assigning pay-alone status• Defining banks• Defining payment documents• Setting up Financials options for payments• Setting up Payables options for payments• Setting up future-dated payments• Setting up Payables options to work with Cash

Management



Cash Control Features

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Cash Control Features Cash Control Features

Prioritize and categorize Pay Grouppayments

Payment Priority

Control payment of invoices Holds

Reduce cash outlays Discount

Credit and debit invoices

Forecast cash needs Cash Requirements Report

Require special handling for an Pay- aloneinvoice payment

Business Needs Features



Course Agenda

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• Defining pay groups• Assigning payment priorities• Defining payment terms• Assigning pay-alone status• Defining banks• Defining payment documents• Setting up Financials options for payments• Setting up Payables options for payments• Setting up future-dated payments• Setting up Payables options to work with Cash

Management


Management

• Assigning payment priorities• Defining payment terms• Assigning pay-alone status• Defining banks• Defining payment documents• Setting up Financials options for payments• Setting up Payables options for payments• Setting up future-dated payments• Setting up Payables options to work with Cash

Management

• Assigning payment priorities• Defining payment terms• Assigning pay-alone status• Defining banks• Defining payment documents• Setting up Financials options for payments• Setting up Payables options for payments• Setting up future-dated payments• Setting up Payables options to work with Cash

Management



Defining Pay Groups

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Defining Pay GroupsDefining Pay Groups

• A pay group is a feature you use to select invoicesfor payment in a payment batch. You can define apay group and assign it to one or more suppliers.

• Define a pay group with a descriptive name, forexample, Utilities or Employees.

• Define a default pay group for all suppliers, for anindividual supplier, or for a supplier site.

• A pay group is a feature you use to select invoicesfor payment in a payment batch. You can define apay group and assign it to one or more suppliers.

• Define a pay group with a descriptive name, forexample, Utilities or Employees.

• Define a default pay group for all suppliers, for anindividual supplier, or for a supplier site.



How to Define Pay Groups

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How to Define Pay GroupsHow to Define Pay Groups

1. In the Oracle Purchasing Lookups window, select Pay Group in the Type field.2. In the Name field, enter the name of the pay group that you are defining.3. Enter a description for the pay group. The name and description will appear on a list of values

when you need to enter the name.4. To make this name inactive on and after a certain date, enter an inactive date.5. Save your work.

1. In the Oracle Purchasing Lookups window, select Pay Group in the Type field.2. In the Name field, enter the name of the pay group that you are defining.3. Enter a description for the pay group. The name and description will appear on a list of values

when you need to enter the name.4. To make this name inactive on and after a certain date, enter an inactive date.5. Save your work.



Course Agenda

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Management


Management

• Defining pay groups

• Defining payment terms• Assigning pay-alone status• Defining banks• Defining payment documents• Setting up Financials options for payments• Setting up Payables options for payments• Setting up future-dated payments• Setting up Payables options to work with Cash

Management

• Defining pay groups

• Defining payment terms• Assigning pay-alone status• Defining banks• Defining payment documents• Setting up Financials options for payments• Setting up Payables options for payments• Setting up future-dated payments• Setting up Payables options to work with Cash

Management



Assigning Payment Priorities

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Assigning Payment PrioritiesAssigning Payment Priorities

Assign a payment priority to invoices to prioritizethem for payment. You can assign a priority from 1(high) to 99 (low).

Assign a payment priority to invoices to prioritizethem for payment. You can assign a priority from 1(high) to 99 (low).



How to Assign Payment Priorities

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How to Assign Payment PrioritiesHow to Assign Payment Priorities

1. In the Payables Options, Expense Report tabbedregion, you can specify a value in the PaymentPriority field which defaults to Expense Reportinvoices.

2. You can also enter a payment priority for specificsuppliers and supplier sites in the Suppliers andSupplier Sites windows.

3. Oracle Payables assigns a supplier site’s defaultpayment priority to all of the invoices for thesupplier site, and the invoice assigns its defaultpayment priority to all of its scheduled payments.

1. In the Payables Options, Expense Report tabbedregion, you can specify a value in the PaymentPriority field which defaults to Expense Reportinvoices.

2. You can also enter a payment priority for specificsuppliers and supplier sites in the Suppliers andSupplier Sites windows.

3. Oracle Payables assigns a supplier site’s defaultpayment priority to all of the invoices for thesupplier site, and the invoice assigns its defaultpayment priority to all of its scheduled payments.



Demonstration

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This demonstration covers pay groups and paymentpriorities.

(N) Setup—>Lookups—>Purchasing(N) Suppliers—>Entry (T) Payment

This demonstration covers pay groups and paymentpriorities.

(N) Setup—>Lookups—>Purchasing(N) Suppliers—>Entry (T) Payment

Instructor NoteDemonstrate to the students pay groups and payment priorities.



Course Agenda

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Management


Management

• Defining pay groups• Assigning payment priorities

• Assigning pay-alone status• Defining banks• Defining payment documents• Setting up Financials options for payments• Setting up Payables options for payments• Setting up future-dated payments• Setting up Payables options to work with Cash

Management

• Defining pay groups• Assigning payment priorities

• Assigning pay-alone status• Defining banks• Defining payment documents• Setting up Financials options for payments• Setting up Payables options for payments• Setting up future-dated payments• Setting up Payables options to work with Cash

Management



Defining Payment Terms

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Defining Payment TermsDefining Payment Terms

Assign payment terms to an invoice to automaticallycreate scheduled payments for the invoice with duedates and any discounts.• You can set up payment terms to default from the

Financials Options, supplier, and supplier sitelevels.

• You can assign a payment term name that helpsidentify the payment term.

• You can assign up to three discounts for eachpayment line.

Assign payment terms to an invoice to automaticallycreate scheduled payments for the invoice with duedates and any discounts.• You can set up payment terms to default from the

Financials Options, supplier, and supplier sitelevels.

• You can assign a payment term name that helpsidentify the payment term.

• You can assign up to three discounts for eachpayment line.

(Help) Oracle Financial Applications > Oracle Payables > Setup > PaymentTerms > Payment TermsInstructor Note

The system does not have any predefined payment terms.



Defining Payment Terms

®

Defining Payment TermsDefining Payment Terms

You can define payment terms based on a specialcalendar.• A Payment Terms special calendar type is used to

specify due dates for each period in a calendar.• You can set up complex payment schedules. For

example, paying on the 5th and 25th of everymonth.

• Exceptions can be made for weekends or bankholidays.

• The Payment Terms window has a Calendar field.This links the payment terms to the user-definedcalendar.

You can define payment terms based on a specialcalendar.• A Payment Terms special calendar type is used to

specify due dates for each period in a calendar.• You can set up complex payment schedules. For

example, paying on the 5th and 25th of everymonth.

• Exceptions can be made for weekends or bankholidays.

• The Payment Terms window has a Calendar field.This links the payment terms to the user-definedcalendar.

Instructor NoteThe following is an example of an exception because of a bank holiday. IfDecember 25 is a bank holiday, you do not want the system to generate apayment with a due date of December 25. You can set up a special calendartype of Payment Terms window. For the period for which the due date would beDecember 25, enter the date you want to use in the Due Date field (for example,December 26 or December 27). You can then set up a payment term by usingthis calendar.



How to Define Periods That Payables Uses forPayment Terms

®

How to Define Periods That PayablesUses for Payment Terms

How to Define Periods That PayablesUses for Payment Terms

1. In the Special Calendar window, select PaymentTerms in the Type of Calendar region.

2. Enter a calendar name and description.3. Enter the number of periods per year.4. Enter a period name.5. In the Year field, enter the calendar year in which

the period occurs.6. Enter numbers in the Sequence fields to indicate

the order in which the periods occur.7. Enter the from date and to date for the period.8. Enter a due date for each period. Save your work.

1. In the Special Calendar window, select PaymentTerms in the Type of Calendar region.

2. Enter a calendar name and description.3. Enter the number of periods per year.4. Enter a period name.5. In the Year field, enter the calendar year in which

the period occurs.6. Enter numbers in the Sequence fields to indicate

the order in which the periods occur.7. Enter the from date and to date for the period.8. Enter a due date for each period. Save your work.

(Help) Oracle Financial Applications > Oracle Payables > Setup > SpecialCalendar



How to Define Payment Terms

®

How to Define Payment TermsHow to Define Payment Terms

1. In the Payment Terms window, enter a uniquepayment term name and a description.

2. Enter information in the Due tabbed region. Onceyou set up a special calendar, you can associate itwith any payment terms line. You can use adifferent calendar for each payment term line.

3. If you are using discount terms, enter informationin the First Discount, Second Discount, and ThirdDiscount tabbed regions.

4. Save your work.

1. In the Payment Terms window, enter a uniquepayment term name and a description.

2. Enter information in the Due tabbed region. Onceyou set up a special calendar, you can associate itwith any payment terms line. You can use adifferent calendar for each payment term line.

3. If you are using discount terms, enter informationin the First Discount, Second Discount, and ThirdDiscount tabbed regions.

4. Save your work.

(Help) Oracle Financial Applications > Oracle Payables Setup > PaymentTerms > Payment TermsInstructor Note

Only due dates can be based on a special calendar. Discount dates cannot bebased on a special calendar.



Taking Invoice Discounts

®

Taking Invoice DiscountsTaking Invoice Discounts

• Payables uses payment terms you assign to aninvoice to pay invoices at a discounted rate.

• You can define discount payment terms that havePayables vary the discount amount depending onhow old the invoice is. You also define thepayment terms to pay the full invoice amount ifyou have missed the discount date.

• Payables uses payment terms you assign to aninvoice to pay invoices at a discounted rate.

• You can define discount payment terms that havePayables vary the discount amount depending onhow old the invoice is. You also define thepayment terms to pay the full invoice amount ifyou have missed the discount date.

(Help) Oracle Financial Applications > Oracle Payables > Invoices >Discounts



Discount Reports

®

Name Description

Discounts Available Review invoice discount details for a Report supplier or group of suppliers.

Use this report to identify paymentswhere you can take advantageousdiscounts.

Discounts Taken Review discounts taken and lost for a and Lost Report supplier or a group of suppliers for a

specified period of time

Review this report to determine whetherto modify system and supplier defaultsto ensure that discounts are taken

Discount ReportsDiscount ReportsOracle Payables Discount Reports



Demonstration

®


This demonstration covers payment terms.

(N) Setup—>Invoice—>Payment Terms

This demonstration covers payment terms.

(N) Setup—>Invoice—>Payment Terms

Instructor NoteDemonstrate to the students payment terms.



Course Agenda

®



Management


Management

• Defining pay groups• Assigning payment priorities• Defining payment terms

• Defining banks• Defining payment documents• Setting up Financials options for payments• Setting up Payables options for payments• Setting up future-dated payments• Setting up Payables options to work with Cash

Management

• Defining pay groups• Assigning payment priorities• Defining payment terms

• Defining banks• Defining payment documents• Setting up Financials options for payments• Setting up Payables options for payments• Setting up future-dated payments• Setting up Payables options to work with Cash

Management



Assigning Pay-Alone Status

®

Assigning Pay-Alone StatusAssigning Pay-Alone Status

• You can enable the pay-alone attribute for aninvoice to ensure that it is paid on a separatepayment document.

• You can set up the system to default this attributefrom the Financials Options, supplier, and suppliersite levels.

• You can override this attribute for any invoice.

• You can enable the pay-alone attribute for aninvoice to ensure that it is paid on a separatepayment document.

• You can set up the system to default this attributefrom the Financials Options, supplier, and suppliersite levels.

• You can override this attribute for any invoice.



Practice 1

®

Practice 1Practice 1

In this practice, you will answer questions aboutcash control features.In this practice, you will answer questions aboutcash control features.

1. You can define a pay group and assign it to one or more ______.2. The payment priority numbers can be between 1 and ______.3. You can override the pay-alone feature at the ______ level.4. When defining discount payment terms, you can define up to ______ discountsfor each payment line.



Practice 1 Solutions

®

Practice 1 SolutionsPractice 1 Solutions

This practice covers questions about cash controlfeatures.This practice covers questions about cash controlfeatures.

1. You can define a pay group and assign it to one or more suppliers.2. The payment priority numbers can be between 1 and 99.3. You can override the pay-alone feature at the invoice level.4. When defining discount payment terms, you can define up to three discountsfor each payment line.



Course Agenda

®



Management


Management

• Defining pay groups• Assigning payment priorities• Defining payment terms• Assigning pay-alone status

• Defining payment documents• Setting up Financials options for payments• Setting up Payables options for payments• Setting up future-dated payments• Setting up Payables options to work with Cash

Management

• Defining pay groups• Assigning payment priorities• Defining payment terms• Assigning pay-alone status

• Defining payment documents• Setting up Financials options for payments• Setting up Payables options for payments• Setting up future-dated payments• Setting up Payables options to work with Cash

Management



Defining Banks

®

Defining BanksDefining Banks

Use the Banks window to enter bank information forbanks with which you do business. OracleReceivables and Oracle Payables share bankdefinitions, although not all bank information isshared. Bank branches can have multiple accounts,and each account you define can be associated withPayables payment documents and Receivablespayment methods.

Use the Banks window to enter bank information forbanks with which you do business. OracleReceivables and Oracle Payables share bankdefinitions, although not all bank information isshared. Bank branches can have multiple accounts,and each account you define can be associated withPayables payment documents and Receivablespayment methods.

(Help) Oracle Financial Applications > Oracle Payables > Setup > Banks >Banks



Defining Banks

®


For Oracle Payables, use the Banks and BankAccounts windows to define:• Your internal bank accounts from which you will

disburse payments• Supplier bank accounts for suppliers you pay

electronically

For Oracle Payables, use the Banks and BankAccounts windows to define:• Your internal bank accounts from which you will

disburse payments• Supplier bank accounts for suppliers you pay

electronically



Defining Banks

®


You define payment documents for each internalbank account. These payment documents havepayment formats associated with them which specifya payment method of:• Check• Electronic• Wire• Clearing

You define payment documents for each internalbank account. These payment documents havepayment formats associated with them which specifya payment method of:• Check• Electronic• Wire• Clearing



How to Enter Bank Information

®

How to Enter Bank InformationHow to Enter Bank Information

1. In the Banks window, enter all basic bankinformation.

2. Select Bank as the institution.3. Optionally, enter the information related to

electronic data interchange (EDI) or electronicfunds transfer (EFT).

4. Optionally, enter contact information in theContact region.

5. Save your work.6. Proceed with How to Define Bank Accounts.

1. In the Banks window, enter all basic bankinformation.

2. Select Bank as the institution.3. Optionally, enter the information related to

electronic data interchange (EDI) or electronicfunds transfer (EFT).

4. Optionally, enter contact information in theContact region.

5. Save your work.6. Proceed with How to Define Bank Accounts.

(Help) Oracle Financial Applications > Oracle Payables > Setup > Banks >Defining Banks



How to Define Bank Accounts

®

How to Define Bank AccountsHow to Define Bank Accounts

1. Enter the bank account name and bank accountnumber.

2. (Optional) Enter an account type and description.3. To use country-specific account number

validation, enter the check digits.4. Select the account use.5. In the GL Accounts region, enter a cash, cash

clearing, bank charges, and bank errors account.6. In the Payables Options region, enter operational

information for the use of your bank account.

1. Enter the bank account name and bank accountnumber.

2. (Optional) Enter an account type and description.3. To use country-specific account number

validation, enter the check digits.4. Select the account use.5. In the GL Accounts region, enter a cash, cash

clearing, bank charges, and bank errors account.6. In the Payables Options region, enter operational

information for the use of your bank account.

(Help) Oracle Financial Applications > Oracle Payables > Setup > Banks >Defining Internal Bank Accounts



How to Define Bank Accounts

®

How to Define Bank AccountsHow to Define Bank Accounts

7. (Optional) Enter contact information in theAccount Contact region.

8. Proceed with Defining Payment Documents forBank Accounts.

7. (Optional) Enter contact information in theAccount Contact region.

8. Proceed with Defining Payment Documents forBank Accounts.



Defining Bank Accounts for Your Suppliers

®

Defining Bank Accounts for YourSuppliers

Defining Bank Accounts for YourSuppliers

You can enter information for bank accounts forwhich your supplier is the account holder. You thenassign these accounts to the supplier andits sites. Payables uses this bank information whenyou create electronic payments for your suppliers.

You can enter information for bank accounts forwhich your supplier is the account holder. You thenassign these accounts to the supplier andits sites. Payables uses this bank information whenyou create electronic payments for your suppliers.

(Help) Oracle Financial Applications > Oracle Payables > Setup > Banks >Defining Supplier Bank Accounts



Course Agenda

®



Management


Management

• Defining pay groups• Assigning payment priorities• Defining payment terms• Assigning pay-alone status• Defining banks

• Setting up Financials options for payments• Setting up Payables options for payments• Setting up future-dated payments• Setting up Payables options to work with Cash

Management

• Defining pay groups• Assigning payment priorities• Defining payment terms• Assigning pay-alone status• Defining banks

• Setting up Financials options for payments• Setting up Payables options for payments• Setting up future-dated payments• Setting up Payables options to work with Cash

Management



Defining Payment Documents for Bank Accounts

®

Defining Payment Documents for BankAccounts

Defining Payment Documents for BankAccounts

• You must create at least one payment documentbefore you can use a bank account to createinvoice payments.

• When you define payment documents, you canonly select payment formats that use the samecurrency as the bank account currency. If the bankaccount is a multiple-currency bank account, youcan choose foreign currency payment formats ormultiple-currency payment formats.

• You must create at least one payment documentbefore you can use a bank account to createinvoice payments.

• When you define payment documents, you canonly select payment formats that use the samecurrency as the bank account currency. If the bankaccount is a multiple-currency bank account, youcan choose foreign currency payment formats ormultiple-currency payment formats.

(Help) Oracle Financial Applications > Oracle Payables > Setup > Banks >Defining and Maintaining Payables Payment Documents



Oracle Payables Payment Document DisbursementTypes

®

Oracle Payables Payment Document Disbursement Types

Oracle Payables Payment Document Disbursement Types

Disbursement Type Description Recorded Records payments made outside Oracle

Payables, for example, a handwritten checkor a wire.

Computer 1. Creates immediate, single-check payments.Generated 2. Pays invoices in a payment batch, for

example, a check run or an electronic payment batch.

Combined Can be used for both manual orcomputer-generated payments.



Setting Up Custom Payment Programs

®

Setting Up Custom Payment ProgramsSetting Up Custom Payment Programs

• Payment programs are used to format paymentdocuments and separate remittance advice inPayables. Payment programs can determine howPayables builds payments, formats payments, andcreates payment remittance advice.

• Payables provides several predefined paymentprograms designed to provide basic layouts foryour payment documents. You can also defineadditional payment programs to meet yourorganization’s unique needs.

• Payment programs are used to format paymentdocuments and separate remittance advice inPayables. Payment programs can determine howPayables builds payments, formats payments, andcreates payment remittance advice.

• Payables provides several predefined paymentprograms designed to provide basic layouts foryour payment documents. You can also defineadditional payment programs to meet yourorganization’s unique needs.

(Help) Oracle Financial Applications > Oracle Payables > Setup > PayablesImplementation Information > Custom Payment Programs



Setting Up Custom Payment Formats

®

Setting Up Custom Payment FormatsSetting Up Custom Payment Formats

• Payment formats are needed to define paymentdocuments in the Banks window. You definepayment formats for the four payment methods(check, clearing, electronic, and wire) thatPayables uses. You can define as many paymentformats as you require for each payment method;however, each payment format must be unique forthat payment method.

• Payables provides several predefined paymentformats that you can use. You might want tomodify one of Payables payment formats toprovide different information on your paymentdocument or remittance advice.

• Payment formats are needed to define paymentdocuments in the Banks window. You definepayment formats for the four payment methods(check, clearing, electronic, and wire) thatPayables uses. You can define as many paymentformats as you require for each payment method;however, each payment format must be unique forthat payment method.

• Payables provides several predefined paymentformats that you can use. You might want tomodify one of Payables payment formats toprovide different information on your paymentdocument or remittance advice.

(Help) Oracle Financial Applications > Oracle Payables > Setup > PayablesImplementation Information > Custom Payment Formats



Practice 2

®


In this practice, you will answer true or falsequestions about banks and payment documents.In this practice, you will answer true or falsequestions about banks and payment documents.

1. Each bank branch can have multiple accounts. __2. You must create at least one payment document before you can use a bankaccount to create invoice payments. __3. When you define payment documents, you can select any payment format. __4. If the bank account is a multiple-currency bank account, you can only choosemultiple-currency payment formats. __




®


This practice covers true or false questions aboutbanks and payment documents.This practice covers true or false questions aboutbanks and payment documents.

1. Each bank branch can have multiple accounts. True2. You must create at least one payment document before you can use a bankaccount to create invoice payments. True3. When you define payment documents, you can select any payment format.False—When you define payment documents, you can only select payment formats that usethe same currency as the bank account currency.4. If the bank account is a multiple-currency bank account, you can only choosemultiple-currency payment formats. False—If the bank account is a multiple-currency bankaccount, you can choose foreign currency payment formats or multiple-currency paymentformats.



Demonstration

®


This demonstration covers defining banks andpayment documents.

(N) Setup—>Payment—>Banks(N) Setup—>Payment—>Banks (B) Bank Accounts (B) Payment Documents

This demonstration covers defining banks andpayment documents.

(N) Setup—>Payment—>Banks(N) Setup—>Payment—>Banks (B) Bank Accounts (B) Payment Documents

Instructor NoteDemonstrate to the students how to define a bank and a payment document.



Review Question

®


Which of the following are disbursement types?A. RecordedB. ElectronicC. CombinedD. Computer-generatedE. All of the above

Which of the following are disbursement types?A. RecordedB. ElectronicC. CombinedD. Computer-generatedE. All of the above



Review Question Solution

®

Review Question SolutionReview Question Solution

Which of the following are disbursement types?A. RecordedB. ElectronicC. CombinedD. Computer GeneratedE. All of the above

Which of the following are disbursement types?A. RecordedB. ElectronicC. CombinedD. Computer GeneratedE. All of the above



Course Agenda

®



Management


Management

• Defining pay groups• Assigning payment priorities• Defining payment terms• Assigning pay-alone status• Defining banks• Defining payment documents

• Setting up Payables options for payments• Setting up future-dated payments• Setting up Payables options to work with Cash

Management

• Defining pay groups• Assigning payment priorities• Defining payment terms• Assigning pay-alone status• Defining banks• Defining payment documents

• Setting up Payables options for payments• Setting up future-dated payments• Setting up Payables options to work with Cash

Management



Setting Up Financials Options for Payments

®

Setting Up Financials Options forPayments

Setting Up Financials Options forPayments

• The options that you define in the Supplier-Payables tabbed region, except for the ReceiptAcceptance Days option, are used as defaultvalues for the Payment region of the Supplierswindow. The supplier values default to newsupplier sites for the supplier, which default tonew invoices for the supplier site.

• You can override these values during entry of thesupplier, supplier site, and invoice.

• The options that you define in the Supplier-Payables tabbed region, except for the ReceiptAcceptance Days option, are used as defaultvalues for the Payment region of the Supplierswindow. The supplier values default to newsupplier sites for the supplier, which default tonew invoices for the supplier site.

• You can override these values during entry of thesupplier, supplier site, and invoice.

(Help) Oracle Financial Applications > Oracle Payables > Setup >Financial Options > Defining Financials Options > Supplier-Payables



Demonstration

®


This demonstration covers setting up FinancialsOptions for payments.

(N) Setup—>Options—>Financials (T) Supplier- Payables

This demonstration covers setting up FinancialsOptions for payments.

(N) Setup—>Options—>Financials (T) Supplier- Payables

Instructor NoteDemonstrate to the students the Supplier-Payables Financial Options forpayments.



Course Agenda

®



Management


Management

• Defining pay groups• Assigning payment priorities• Defining payment terms• Assigning pay-alone status• Defining banks• Defining payment documents• Setting up Financials options for payments

• Setting up future-dated payments• Setting up Payables options to work with Cash

Management

• Defining pay groups• Assigning payment priorities• Defining payment terms• Assigning pay-alone status• Defining banks• Defining payment documents• Setting up Financials options for payments

• Setting up future-dated payments• Setting up Payables options to work with Cash

Management



Setting Up Payables Options for Payments

®

Setting Up Payables Options forPayments


In the Payment tabbed region, you can set thefollowing defaults and options that will simplifyautomatic payment processing:• Bank Account• Payment Batch Limit• EFT User Number• Additional Pay Through Days• Allow Document Category Override• Exclude Tax From Discount Calculation• Discount Method

In the Payment tabbed region, you can set thefollowing defaults and options that will simplifyautomatic payment processing:• Bank Account• Payment Batch Limit• EFT User Number• Additional Pay Through Days• Allow Document Category Override• Exclude Tax From Discount Calculation• Discount Method

(Help) Oracle Financial Applications > Oracle Payables > Setup > PayablesOptions > Payables Options Window Reference > Payment PayablesOptions



Setting Up Payables Options for Payments

®



• Allow Print• Allow Pre-Date• Allow Void and Reissue• Allow Address Change• Allow Remit-To Account Override• Use Bank Charges

• Allow Print• Allow Pre-Date• Allow Void and Reissue• Allow Address Change• Allow Remit-To Account Override• Use Bank Charges



Setting Up Supplier Payables Options

®

Setting Up Supplier Payables OptionsSetting Up Supplier Payables Options

You can set the following payment informationdefaults in the Supplier tabbed region to enterpayment defaults for the Suppliers window:• Pay Group• Invoice Currency• Terms Date Basis• Pay Date Basis• Bank Charge Bearer• Tax Reporting Options

You can set the following payment informationdefaults in the Supplier tabbed region to enterpayment defaults for the Suppliers window:• Pay Group• Invoice Currency• Terms Date Basis• Pay Date Basis• Bank Charge Bearer• Tax Reporting Options

(Help) Oracle Financial Applications > Oracle Payables > Setup > PayablesOptions > Payables Options Window Reference > Supplier PayablesOptions



Demonstration

®


This demonstration covers setting up PayablesOptions for payments.

(N) Setup—>Options—>Payables (T) Payment(N) Setup—>Options—>Payables (T) Supplier

This demonstration covers setting up PayablesOptions for payments.

(N) Setup—>Options—>Payables (T) Payment(N) Setup—>Options—>Payables (T) Supplier

Instructor NoteDemonstrate to the students the Payment and Supplier tabbed regions of thePayables Options window.



Course Agenda

®



Management


Management

• Defining pay groups• Assigning payment priorities• Defining payment terms• Assigning pay-alone status• Defining banks• Defining payment documents• Setting up Financials options for payments• Setting up Payables options for payments

• Setting up Payables options to work with CashManagement

• Defining pay groups• Assigning payment priorities• Defining payment terms• Assigning pay-alone status• Defining banks• Defining payment documents• Setting up Financials options for payments• Setting up Payables options for payments

• Setting up Payables options to work with CashManagement



Setting Up Future-Dated Payments

®

Setting Up Future-Dated PaymentsSetting Up Future-Dated Payments

• For future-dated payments, the funds are notavailable until the maturity date. This is the datewhen the payment document will be honored(paid) by the issuing bank. The document alsocontains an issue date, which is the date thedocument was created or presented to thesupplier.

• This raises the issue of when to relieve the liabilityfor future-dated payments. You can relieve liabilityfor a future-dated payment either at payment issueor payment maturity.

• For future-dated payments, the funds are notavailable until the maturity date. This is the datewhen the payment document will be honored(paid) by the issuing bank. The document alsocontains an issue date, which is the date thedocument was created or presented to thesupplier.

• This raises the issue of when to relieve the liabilityfor future-dated payments. You can relieve liabilityfor a future-dated payment either at payment issueor payment maturity.



How to Set Up Future-Dated Payments

®

How to Set Up Future-Dated PaymentsHow to Set Up Future-Dated Payments

When you use future-dated payments, you need toselect some additional options in Payables.When you use future-dated payments, you need toselect some additional options in Payables.

(Help) Oracle Financial Applications > Oracle Payables > Payments >Future-Dated Payments > Setting Up Your System For Future-DatedPayments



Demonstration

®


This demonstration covers setting up future-datedpayments.

(N) Setup—>Options—>Payables (T) Payment Accounting(N) Setup—>Payment—>Banks (B) Bank Accounts (B) Payables Documents (T) future-dated Payments

This demonstration covers setting up future-datedpayments.

(N) Setup—>Options—>Payables (T) Payment Accounting(N) Setup—>Payment—>Banks (B) Bank Accounts (B) Payables Documents (T) future-dated Payments

Instructor NoteDemonstrate to the students how to set up future-dated payments.



Review Question

®


Future-dated payments contain both an issue dateand a maturity date.A. TrueB. False





®






Course Agenda

®


• Defining pay groups• Assigning payment priorities• Defining payment terms• Assigning pay-alone status• Defining banks• Defining payment documents• Setting up Financials options for payments• Setting up Payables options for payments• Setting up future-dated payments• Setting up Payables options to work with Oracle

Cash Management

• Defining pay groups• Assigning payment priorities• Defining payment terms• Assigning pay-alone status• Defining banks• Defining payment documents• Setting up Financials options for payments• Setting up Payables options for payments• Setting up future-dated payments• Setting up Payables options to work with Oracle

Cash Management

• Defining pay groups• Assigning payment priorities• Defining payment terms• Assigning pay-alone status• Defining banks• Defining payment documents• Setting up Financials options for payments• Setting up Payables options for payments• Setting up future-dated payments

• Defining pay groups• Assigning payment priorities• Defining payment terms• Assigning pay-alone status• Defining banks• Defining payment documents• Setting up Financials options for payments• Setting up Payables options for payments• Setting up future-dated payments



Setting Up Oracle Payables to Work with Oracle CashManagement

®

Setting Up Oracle Payables to Work withOracle Cash Management

Setting Up Oracle Payables to Work withOracle Cash Management

• Select one or both options for Account Gain/Loss:– When Payment is Issued– When Payment Clears

• Select the Calculate Gain/Loss option:– For Each Invoice– For Total Payment

• Use future-dated Payment Account:– From Payment Document– From Supplier Site

• Select one or both options for Account Gain/Loss:– When Payment is Issued– When Payment Clears

• Select the Calculate Gain/Loss option:– For Each Invoice– For Total Payment

• Use future-dated Payment Account:– From Payment Document– From Supplier Site

Instructor NoteMention these options briefly. These options are covered in detail in theCreating and Viewing Accounting Entries in Oracle Payables module.



Summary

®

SummarySummary

In this module, you should have learned how toimplement the payment process in Oracle Payables.In this module, you should have learned how toimplement the payment process in Oracle Payables.


R11i Overview of Supplier InvoicingChapter 4 - Page 1

R11i Overview ofSupplier InvoicingChapter 4



R11i Overview of Supplier Invoicing

®

R11i Overview of Supplier InvoicingR11i Overview of Supplier Invoicing


ILT Schedule: Timing Topic60 minutes Lecture60 minutes Total



Course Objectives

®


After completing this module, you should be able todo the following:• Describe the supplier invoicing process• Explain the key concepts of invoice processing

After completing this module, you should be able todo the following:• Describe the supplier invoicing process• Explain the key concepts of invoice processing



Course Agenda

®


• Product integration• Overview of Oracle Payables• Flow of default values• Suppliers• Overview of invoice entry process

• Product integration• Overview of Oracle Payables• Flow of default values• Suppliers• Overview of invoice entry process

Instructor NoteRemind the students that this is an overview class and there are additionalmodules that will go into more detail about the different topics.



Product Integration

®

Product IntegrationProduct Integration

OracleOracleAssetsAssets

Oracle ProjectsOracle Projects

OracleOracleGeneral LedgerGeneral Ledger

Oracle HumanOracle HumanResourcesResources

Oracle CashOracle CashManagementManagement

OracleOraclePurchasingPurchasing

Oracle PayablesOracle Payables

OracleOracleWorkflowWorkflow

OracleOraclee-Commercee-Commerce

GatewayGateway

OracleOraclePropertyPropertyManagerManager

OracleOracleiiExpensesExpenses




®



• Oracle Projects imports invoice information fromPayables to track project costs and exportsexpense report information to Oracle Payables.

• Oracle Cash Management reconciles paymentscreated in Oracle Payables to your bankstatements.

• Oracle e-Commerce Gateway transfers electronicinvoices and EDI payments to Oracle Payables.


• Oracle Projects imports invoice information fromPayables to track project costs and exportsexpense report information to Oracle Payables.

• Oracle Cash Management reconciles paymentscreated in Oracle Payables to your bankstatements.

• Oracle e-Commerce Gateway transfers electronicinvoices and EDI payments to Oracle Payables.




®


• Oracle Property Manager exports lease paymentinformation to Oracle Payables where you can paythe lease invoices.

• Oracle iExpenses can be used by employees toenter their own expense reports.



• Oracle Property Manager exports lease paymentinformation to Oracle Payables where you can paythe lease invoices.

• Oracle iExpenses can be used by employees toenter their own expense reports.






®


• Oracle Assets and other fixed assets systemsrecord Payables invoice distributions for assetpurchases.

• Oracle Purchasing and other purchasing systemsshare purchase orders and suppliers withPayables.

• Oracle Assets and other fixed assets systemsrecord Payables invoice distributions for assetpurchases.

• Oracle Purchasing and other purchasing systemsshare purchase orders and suppliers withPayables.



Overview of Oracle Payables

®

Overview of Oracle PayablesOverview of Oracle Payables

• Oracle Payables is a high-productivity accountingsolution that helps you maintain strong financialcontrols. You can:– Maximize supplier discounts– Prevent duplicate payments– Pay for only the goods and services that you

order and receive• Oracle Payables also helps you resolve business

issues quickly by providing accurate responses toyour inquiries.

• Oracle Payables is a high-productivity accountingsolution that helps you maintain strong financialcontrols. You can:– Maximize supplier discounts– Prevent duplicate payments– Pay for only the goods and services that you

order and receive• Oracle Payables also helps you resolve business

issues quickly by providing accurate responses toyour inquiries.



Five Major Processes

®

Five Major ProcessesFive Major Processes

Oracle Payables contains five major processes: 1. Setting up suppliers 2. Entering and approving invoices 3. Paying invoices 4. Creating accounting entries 5. Sending transactions to the general ledger

Oracle Payables contains five major processes: 1. Setting up suppliers 2. Entering and approving invoices 3. Paying invoices 4. Creating accounting entries 5. Sending transactions to the general ledger



Oracle Payables Processes

®

Oracle Payables Processes Oracle Payables Processes Enter supplierEnter supplier Enter invoiceEnter invoice Approve invoiceApprove invoice

Create accounting Create accountingentriesentries



100,000100,000

A/P A/P

60,00060,00010,00010,00030,00030,000

Instructor NoteThere are two processes in Payables that you must complete for the datato be sent to Oracle General Ledger:1. The Payables Accounting process creates the accounting entries inOracle Payables.2. The Payables Transfer to General Ledger sends the accountingtransactions to the GL Interface.The Journal Import process moves the information from the GL Interfacetable to the General Ledger tables. You can submit this program fromPayables or General Ledger.



Flow of Default Values

®

Flow of Default ValuesFlow of Default ValuesFinancials options

Payables options

Supplier

Supplier site

Invoice

Invoice distribution line Invoice scheduled payment line

Instructor NoteOracle Payables contains a hierarchy of options and defaults to expediteand control data entry.Options and defaults set at one level automatically cascade down to thenext lower level in the hierarchy for any new transactions.Although you need to define these options and defaults only once, youcan update them at any time to change controls and defaults for futuretransactions.You can override options and defaults at lower levels in the hierarchy.This hierarchy is not always used. For example, with the tax defaultshierarchy, you can decide the order in which tax values default.See: Invoices—>Taxes on Invoices—>Defaulting Tax in Payables



Review Question

®

If a default is set at the Payables-options level in thehierarchy, you can override the default at the Supplierlevel.A. TrueB. False






®






Suppliers: Overview

®

Suppliers: Overview Suppliers: Overview Enter supplierEnter supplier Enter invoiceEnter invoice Approve invoiceApprove invoice




100,000100,000

A/PA/P

60,00060,00010,00010,00030,00030,000



How Oracle Products Use Supplier Information

®

How Oracle Products UseSupplier Information

How Oracle Products UseSupplier Information

• Four Oracle financial applications use the Supplierwindows:– Oracle Payables– Oracle Purchasing– Oracle Assets– Oracle Property Manager

• If you use more than one of these products,supplier information is shared with the otherproducts.

• Four Oracle financial applications use the Supplierwindows:– Oracle Payables– Oracle Purchasing– Oracle Assets– Oracle Property Manager

• If you use more than one of these products,supplier information is shared with the otherproducts.

(Help) Oracle Financial Applications > Oracle Payables > Suppliers >About Suppliers > How Your Oracle Product Uses Supplier Information



Entering Invoices: Overview

®

Entering Invoices: Overview Entering Invoices: Overview Enter supplierEnter supplier Enter invoicesEnter invoices

Approve invoicesApprove invoices



Pay invoicesPay invoicesOptionallyOptionally

match to PO ormatch to PO orreceiptreceipt

100,000100,000

A/PA/P

60,00060,00010,00010,00030,00030,000



Entering Invoices

®

Entering InvoicesEntering Invoices

You can enter invoices into Oracle Payables usingthe

following methods:• Enter individual invoices in the Invoices window• Enter invoices in batches in the Invoice Batches

and the Invoices window• Enter standard and credit memo invoices that are

not complex in the Invoice Gateway window• Assign invoices to an invoice batch in the Invoice

Gateway window• Create recurring invoices in the Recurring Invoices

window


following methods:• Enter individual invoices in the Invoices window• Enter invoices in batches in the Invoice Batches

and the Invoices window• Enter standard and credit memo invoices that are

not complex in the Invoice Gateway window• Assign invoices to an invoice batch in the Invoice

Gateway window• Create recurring invoices in the Recurring Invoices

window

(Help) Oracle Financial Applications > Oracle Payables > Invoices >Entering Invoices Overview



Entering Invoices

®



following methods:• Create invoices from expense reports or import

invoices from other systems (e-CommerceGateway, Property Manager, Self-ServiceExpenses, and flat files)

• Create invoices to pay interest for overdueinvoices


following methods:• Create invoices from expense reports or import

invoices from other systems (e-CommerceGateway, Property Manager, Self-ServiceExpenses, and flat files)

• Create invoices to pay interest for overdueinvoices



Using the Workbench Model

®

Using the Workbench ModelUsing the Workbench Model

• Oracle Payables includes two fully integratedworkbenches:– Invoice Workbench– Payment Workbench

• You can enter, adjust, or review invoices in theInvoice Workbench.

• Oracle Payables includes two fully integratedworkbenches:– Invoice Workbench– Payment Workbench

• You can enter, adjust, or review invoices in theInvoice Workbench.

(Help) Oracle Financial Applications > Oracle Payables > Overview >The Invoice Workbench



Using the Invoice Workbench

®

Using the Invoice WorkbenchUsing the Invoice Workbench

Invoice batches Invoices Distributions

Find Find Find

Invoiceoverview



The Invoice Workbench: Invoice Batches

®

The Invoice Workbench: Invoice BatchesThe Invoice Workbench: Invoice Batches

Invoice BatchesFind Invoice Batches

Invoice BatchesFind Invoice Batches



The Invoice Workbench: Invoices

®

The Invoice Workbench: InvoicesThe Invoice Workbench: Invoices

Invoices• Find Invoices

Calculate Balance Owed• Find Purchase Orders for Matching

Match to Purchase Order• Find Receipts for Matching

– Match to Receipts– Match Other Charges to Receipts

Invoices• Find Invoices

Calculate Balance Owed• Find Purchase Orders for Matching

Match to Purchase Order• Find Receipts for Matching

– Match to Receipts– Match Other Charges to Receipts



The Invoice Workbench: Invoices

®

The Invoice Workbench: InvoicesThe Invoice Workbench: Invoices

• Find Invoices for MatchingMatch to Invoices

• Invoice ActionsApply/Unapply Prepayments

• View Invoice Accounting• Invoice Holds

Release• View Projected Withholding• Match Other Charges to Receipts

• Find Invoices for MatchingMatch to Invoices

• Invoice ActionsApply/Unapply Prepayments

• View Invoice Accounting• Invoice Holds

Release• View Projected Withholding• Match Other Charges to Receipts



The Invoice Workbench: Distributions

®

The Invoice Workbench: DistributionsThe Invoice Workbench: Distributions

Distributions• Find Invoice• Charge Allocations• Tax Summary• View Encumbrances• View Receipts• View PO

Distributions• Find Invoice• Charge Allocations• Tax Summary• View Encumbrances• View Receipts• View PO



Demonstration

®


This demonstration covers the Invoice Workbench.

(N) Invoices—>Entry—>Invoices

This demonstration covers the Invoice Workbench.


Instructor NoteDemonstrate to the students the basics of the Invoice Workbench. Also,remind the students that they can use the scroll bars on their screen toadjust the windows to see additional information.



Review Question

®


Which of the following tasks can you perform in theInvoice Workbench?A. Enter an invoiceB. Modify an invoiceC. Approve an invoiceD. Modify invoice distributionsE. All of the above

Which of the following tasks can you perform in theInvoice Workbench?A. Enter an invoiceB. Modify an invoiceC. Approve an invoiceD. Modify invoice distributionsE. All of the above




®

E. All of the aboveE. All of the above

Which of the following tasks can you perform in theInvoice Workbench?A. Enter an invoiceB. Modify an invoiceC. Approve an invoiceD. Modify invoice distributions

Which of the following tasks can you perform in theInvoice Workbench?A. Enter an invoiceB. Modify an invoiceC. Approve an invoiceD. Modify invoice distributions




Oracle Payables Invoice Types

®

Type DescriptionStandard An invoice from a supplier representing an

amount due for goods or services purchased(standard invoices can be matched to either aPO or receipt, or not matched)

Credit Memo A memo from a supplier representing a creditamount toward goods or services for which youhave already been invoiced

Debit Memo An invoice you enter to record a credit for asupplier who does not send you a credit memo

Expense An invoice representing an amount due to anReport employee for business-related expensesPO Default An invoice you enter for matching to a purchase

order (you enter a PO number, and OraclePayables automatically provides supplierinformation)

Oracle Payables Invoice TypesOracle Payables Invoice Types



Oracle Payables Invoice Types

®

Type DescriptionPrepayment A type of invoice you enter to pay an advance

payment for expenses to a supplieror employee

QuickMatch An invoice you enter for matching to a purchaseorder (you enter a PO number, and OraclePayables automatically provides supplier information and matches to each shipment onthe purchase order)

Withholding An invoice you enter to remit taxes withheld toTax the appropriate tax authorityMixed An invoice for which you can perform both

positive and negative matching topurchase orders and to other invoices

Oracle Payables Invoice TypesOracle Payables Invoice Types



Demonstration

®


This demonstration covers how to enter an invoice inthe Invoice Gateway window.

(N) Invoices—>Entry—>Invoice Gateway

This demonstration covers how to enter an invoice inthe Invoice Gateway window.


Instructor NoteDemonstrate how to enter a basic invoice in the Invoice Gatewaywindow.



Interest Invoices

®

Interest InvoicesInterest Invoices

Payables can automatically create invoices to payinterest for overdue invoices if:• You enable automatic interest calculation for a

supplier• You pay an overdue invoice for the supplier in a

payment batch or with a Quick payment

Payables can automatically create invoices to payinterest for overdue invoices if:• You enable automatic interest calculation for a

supplier• You pay an overdue invoice for the supplier in a

payment batch or with a Quick payment

(Help) Oracle Financial Applications > Oracle Payables > OtherTopics > Automatic Interest/Prompt Payment Support



Invoice Distribution Types

®

Type Description

Item Records the amount a supplier charges forgoods or services purchased

Tax Records the sales or other tax amount dueon goods or services purchased

Freight Records the amount a supplier charges forshipping and handling

Miscellaneous Records the amount for miscellaneous expenses on an invoice

Invoice Distribution TypesInvoice Distribution Types




®

Type Description

Withholding Records the amount of taxes withheld froman invoice

Prepayment Records the amount of a prepaymentapplied to an invoice




Other Invoice Distributions

®

Other Invoice Distributions Other Invoice Distributions

You can also create distributions by:• Matching to purchase orders and receipts• Using distribution sets• Allocating freight, tax, and miscellaneous lines

You can also create distributions by:• Matching to purchase orders and receipts• Using distribution sets• Allocating freight, tax, and miscellaneous lines

(Help) Oracle Financial Applications > Oracle Payables > Invoices >Invoice Workbench > Entering Distributions in the InvoiceWorkbench



Allocating Freight, Tax, and Miscellaneous Lines

®

Allocating Freight, Tax,and Miscellaneous LinesAllocating Freight, Tax,

and Miscellaneous Lines

TaxTax

FreightFreight MiscellaneousMiscellaneous

ItemItem

Prepayment linePrepayment line

(Help) Oracle Financial Applications > Oracle Payables > Invoices >Allocation > Allocation Overview > Creating Distributions byAllocation

Instructor NoteGive the students a high-level overview of creating distributions byallocation.



Review Question

®


You can allocate a freight line to which of thefollowing lines?A. TaxB. ItemC. PrepaymentD. MiscellaneousE. All of the above

You can allocate a freight line to which of thefollowing lines?A. TaxB. ItemC. PrepaymentD. MiscellaneousE. All of the above




®

You can allocate a freight line to which of thefollowing lines?A. Tax

C. PrepaymentD. MiscellaneousE. All of the above

You can allocate a freight line to which of thefollowing lines?A. Tax

C. PrepaymentD. MiscellaneousE. All of the above


B. ItemB. Item



Invoice Inquiry: Overview

®

Invoice Inquiry: OverviewInvoice Inquiry: Overview

Batch invoicesBatch invoices Enter invoiceEnter invoice

Approve invoice

OptionallyOptionallymatch to POmatch to PO

or receiptor receipt

File invoiceFile invoice

CreateCreateaccountingaccounting

View invoiceView invoice


Receive invoicesReceive invoicesin the mailin the mail

100,000100,000

A/PA/P

60,00060,00010,00010,00030,00030,000

Approve invoiceApprove invoice



Demonstration

®


This demonstration covers how to view high-levelinvoice information.

(N) Invoices—>Inquiry—>Invoice Overview

This demonstration covers how to view high-levelinvoice information.

(N) Invoices—>Inquiry—>Invoice Overview

Instructor NoteDemonstrate to the students how to view invoice information in theInvoice Overview window.



Approving Invoices: Overview

®

Approving Invoices: OverviewApproving Invoices: Overview

Batch invoicesBatch invoices Enter invoiceEnter invoice

Approve invoice








100,000100,000

A/PA/P

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Approving Invoices

®

Approving InvoicesApproving Invoices

Before you can pay or account for an invoice(including prepayments), you must submit approvalfor the invoice in one of three ways:• Online by using the Actions window of the Invoice

Workbench• Online by using the Approve button in the Invoice

Batches window• Batch by submitting the Payables Approval

program from the Submit Request window

Before you can pay or account for an invoice(including prepayments), you must submit approvalfor the invoice in one of three ways:• Online by using the Actions window of the Invoice

Workbench• Online by using the Approve button in the Invoice

Batches window• Batch by submitting the Payables Approval

program from the Submit Request window

(Help) Oracle Financial Applications > Oracle Payables > Invoices >Approval > Approval



Approving Invoices

®


You can also approve related invoices for credit anddebit memos by choosing Approve Related Invoicesin the Actions window after you enter a credit or debitmemo.

You can also approve related invoices for credit anddebit memos by choosing Approve Related Invoicesin the Actions window after you enter a credit or debitmemo.



Approving Invoices

®


• Approval validates the matching, tax, periodstatus, exchange rate, and distribution informationfor invoices that you enter and automaticallyapplies holds to exception invoices.

• If a tax distribution is not allocated or not fullyallocated, Approval fully allocates the taxdistribution by prorating across all taxabledistributions.

• Approval validates the matching, tax, periodstatus, exchange rate, and distribution informationfor invoices that you enter and automaticallyapplies holds to exception invoices.

• If a tax distribution is not allocated or not fullyallocated, Approval fully allocates the taxdistribution by prorating across all taxabledistributions.



Accounting for Invoices

®

Accounting for InvoicesAccounting for Invoices

• You submit the Payables Accounting process tocreate accounting entries in Payables. Submit thisbatch process from the Submit Request window.

• You can also create accounting entries for aninvoice from the related Actions window.– Select the invoice.– Click the Actions button.– Select the Create Accounting check box, and

click OK.• To account for an invoice batch, query the batch in

the Invoice Batches window, and then click theCreate Accounting button.

• You submit the Payables Accounting process tocreate accounting entries in Payables. Submit thisbatch process from the Submit Request window.

• You can also create accounting entries for aninvoice from the related Actions window.– Select the invoice.– Click the Actions button.– Select the Create Accounting check box, and

click OK.• To account for an invoice batch, query the batch in

the Invoice Batches window, and then click theCreate Accounting button.



Accounting for Invoices

®

Accounting for InvoicesAccounting for Invoices

• For a single invoice, you complete the accountingprocess online. For batches, you submit theaccounting process as a request.

• The invoices must be approved before theaccounting entries can be generated.

• For a single invoice, you complete the accountingprocess online. For batches, you submit theaccounting process as a request.

• The invoices must be approved before theaccounting entries can be generated.

Instructor NoteThe main method of accounting for invoices is to submit the PayablesAccounting process.



Applying Holds

®

Applying HoldsApplying Holds

• You can prevent payment and, optionally, preventaccounting for an invoice by manually applyingone or more holds to it.

• Oracle Payables provides some generic invoiceholds for you, and you can define your own holdsbased on your invoice approval needs.

• You can also prevent payment of supplier invoicesby placing a hold on the supplier or the suppliersite instead of on each individual invoice.

• You can prevent payment and, optionally, preventaccounting for an invoice by manually applyingone or more holds to it.

• Oracle Payables provides some generic invoiceholds for you, and you can define your own holdsbased on your invoice approval needs.

• You can also prevent payment of supplier invoicesby placing a hold on the supplier or the suppliersite instead of on each individual invoice.

(Help) Oracle Financial Applications > Oracle Payables > Appendix> Summary of Approval Hold Codes



Applying Holds

®

Applying HoldsApplying Holds

• There are three types of holds that you can use toprevent payment of an invoice:– Invoice hold– Scheduled payment hold– Supplier hold

• If an invoice fails Approval, Payables will apply theappropriate system holds on the invoice.

• There are three types of holds that you can use toprevent payment of an invoice:– Invoice hold– Scheduled payment hold– Supplier hold

• If an invoice fails Approval, Payables will apply theappropriate system holds on the invoice.

Instructor NoteInform the students that scheduled payment holds and supplier holds willnot show up in the Holds window or the Invoices window.



Releasing Invoice Holds

®

Releasing Invoice HoldsReleasing Invoice Holds

• Release holds from invoices to pay and accountfor invoices. You can view the holds on an invoicein either the Invoice Overview or the Holds windowof the Invoice Workbench. You can see thenumber of holds on an invoice in the Invoiceswindow.

• Identify invoices on hold with the Invoice on HoldReport and the Matching Hold Detail Report.

• Release holds from invoices to pay and accountfor invoices. You can view the holds on an invoicein either the Invoice Overview or the Holds windowof the Invoice Workbench. You can see thenumber of holds on an invoice in the Invoiceswindow.

• Identify invoices on hold with the Invoice on HoldReport and the Matching Hold Detail Report.



Manually Releasing Invoice Holds

®

Manually Releasing Invoice HoldsManually Releasing Invoice Holds

• Oracle Payables applies some holds that youcannot release.

• You can use the Invoice Holds window to viewinvoices with these holds, but you cannotmanually release these holds.

• You must correct the exception that causedApproval to place the hold on the invoice and thenresubmit Approval to release these holds.

• You can correct exceptions by updating theinvoice or the purchase order or by changing yourinvoice tolerances.

• Oracle Payables applies some holds that youcannot release.

• You can use the Invoice Holds window to viewinvoices with these holds, but you cannotmanually release these holds.

• You must correct the exception that causedApproval to place the hold on the invoice and thenresubmit Approval to release these holds.

• You can correct exceptions by updating theinvoice or the purchase order or by changing yourinvoice tolerances.



Review Question

®


If you have an invoice that the system put on holdbecause of an account hold reason, you need tocorrect the problem and then resubmit Approval.A. TrueB. False

If you have an invoice that the system put on holdbecause of an account hold reason, you need tocorrect the problem and then resubmit Approval.A. TrueB. False




®

If you have an invoice that the system put on holdbecause of an account hold reason, you need tocorrect the problem and then resubmit Approval.

B. False

If you have an invoice that the system put on holdbecause of an account hold reason, you need tocorrect the problem and then resubmit Approval.

B. FalseA. TrueA. True




Adjusting Invoices

®

Adjusting InvoicesAdjusting Invoices

You can adjust invoices that meet certain criteria.You can adjust invoices that meet certain criteria.

(Help) Oracle Financial Applications > Oracle Payables > Invoices >Finding and Reviewing Invoices > Reviewing and Adjusting Invoices(Help) Oracle Financial Applications > Oracle Payables > Invoices >Adjustment Charts

Instructor NoteShow the Adjustment Chart in the online Help.



Canceling Invoices

®

Canceling InvoicesCanceling Invoices

• You can cancel only unpaid invoices.• You can cancel any unapproved invoice or an

approved invoice that does not have any effectivepayments or accounting holds.

• You can cancel only unpaid invoices.• You can cancel any unapproved invoice or an

approved invoice that does not have any effectivepayments or accounting holds.



Summary

®

SummarySummary

In this module, you should have learned:• The supplier invoicing process• The key concepts of invoice processing

In this module, you should have learned:• The supplier invoicing process• The key concepts of invoice processing


Processing Supplier InvoicesChapter 5 - Page 1

Processing SupplierInvoicesChapter 5



Processing Supplier Invoices Oracle PayablesRelease 11i

®

Processing Supplier Invoices


Processing Supplier Invoices


ILT Schedule: Timing Topic100 minutes Lecture 20 minutes Practice120 minutes Total



Objectives

®


After completing this module, you should be able to:• Enter Standard invoices in the Invoice Workbench• Enter invoice batches in the Invoice Workbench• Enter invoice distributions in the Invoice

Workbench• Enter invoice information in the Invoice Gateway• Describe the process of importing invoices from

the interface tables

After completing this module, you should be able to:• Enter Standard invoices in the Invoice Workbench• Enter invoice batches in the Invoice Workbench• Enter invoice distributions in the Invoice





Agenda

®

AgendaAgenda

• Entering Standard invoices in the InvoiceWorkbench

• Entering invoice batches in the the InvoiceWorkbench

• Entering invoice distributions in the InvoiceWorkbench

• Entering invoice information in the InvoiceGateway

• Importing invoices from the interface tables


• Entering invoice batches in the the InvoiceWorkbench



• Importing invoices from the interface tables



Entering Invoices: Overview

®

Entering Invoices: OverviewEntering Invoices: Overview

Receive invoicesReceive invoices Enter invoice


(Optional)(Optional)Match to POMatch to PO





100,000100,000

A/PA/P

60,00060,00010,00010,00030,00030,000


Instructor NoteReview the invoice process with the students.



Agenda

®

AgendaAgenda


• Entering invoice batches in the Invoice Workbench• Entering invoice distributions in the Invoice

Workbench• Entering invoice information in the Invoice

Gateway• Importing invoices from the interface tables





Invoice Information

®

Invoice InformationInvoice Information

DETAIL

Default information

HEADER

Invoices contain the following information:Invoices contain the following information:

Supplier information

Invoice distribution information

Scheduled payment information



Invoice Information

®

Invoice InformationInvoice Information

At a very basic level, invoices are entered, approved,accounted, and paid. Therefore, basic invoiceprocessing requires the following actions:• Entry of header information including invoice type,

supplier name, supplier site, invoice number,invoice date, and invoice amount

• Entry of invoice payment details such as paymentterms and currency

• Entry of invoice accounting details, including theGL date of the invoice and the GL accounts towhich the invoice is charged

At a very basic level, invoices are entered, approved,accounted, and paid. Therefore, basic invoiceprocessing requires the following actions:• Entry of header information including invoice type,

supplier name, supplier site, invoice number,invoice date, and invoice amount

• Entry of invoice payment details such as paymentterms and currency

• Entry of invoice accounting details, including theGL date of the invoice and the GL accounts towhich the invoice is charged



Entering Standard Invoice Header Information

®

Entering Standard Invoice HeaderInformation

Entering Standard Invoice HeaderInformation

How to enter Standard invoice header information:1. In the Invoices window, select Standard as the invoice type.2. Enter the supplier or supplier number.3. Select the supplier site to which you will send payment of the invoice.4. Enter the invoice date.5. Enter the invoice number.

How to enter Standard invoice header information:1. In the Invoices window, select Standard as the invoice type.2. Enter the supplier or supplier number.3. Select the supplier site to which you will send payment of the invoice.4. Enter the invoice date.5. Enter the invoice number.

(Help) Oracle Financial Applications—>Oracle Payables—>Invoices—>Invoice Workbench—>Entering Basic Invoices in the Invoice Workbench

Instructor NoteInformation entered in the Description field at the invoice header level appearson the payment document remittance.



Demonstration

®


This demonstration covers how to enter Standardinvoice information in the Invoice Workbench.


This demonstration covers how to enter Standardinvoice information in the Invoice Workbench.


Instructor NoteInform the students that they can use the scroll bars on their screen to adjust thewindows to see additional information. Also, during demonstrations, if awindow pops up toward the bottom of your screen, you might need to move itup so the students can see it. For example, when you navigate to the InvoiceGateway window, the Invoice Gateway Identification window pops up first.This is a smaller window located toward the bottom of the window. You need tomove it up so the students can see it.Demonstrate to the students how to enter invoice header information for aStandard invoice in the Invoice Workbench.



Agenda

®

AgendaAgenda









• Entering invoice batches in the Invoice Workbench• Entering invoice batches in the Invoice Workbench



Overview of Entering Batches

®

Overview of Entering BatchesOverview of Entering Batches Batch invoices Batch invoices Enter a batchEnter a batch

of invoicesof invoices


Prepare a batchPrepare a batchcontrol formcontrol form

Review batchReview batchcontrol reportscontrol reports

Update the batchUpdate the batchcontrol formcontrol form


Instructor NoteReview the batch process with the students.



Entering Invoice Batches

®

Entering Invoice BatchesEntering Invoice Batches

Use invoice batches to proactively manage invoiceentry. You can use batches to do the following:• Enter invoice defaults at the batch level that

override system or supplier site defaults for allinvoices in the batch.

• Maximize accuracy by tracking variances betweenthe control invoice count and total, and the actualinvoice count and total resulting from your invoiceentry.

• Easily locate a batch online and review the nameof the person who created the batch and the date itwas created.

Use invoice batches to proactively manage invoiceentry. You can use batches to do the following:• Enter invoice defaults at the batch level that

override system or supplier site defaults for allinvoices in the batch.

• Maximize accuracy by tracking variances betweenthe control invoice count and total, and the actualinvoice count and total resulting from your invoiceentry.

• Easily locate a batch online and review the nameof the person who created the batch and the date itwas created.

Instructor NoteTo enter invoices in batches, you must first enable the Use Batch ControlsPayables option.



Creating Batch Control Forms

®

Creating Batch Control FormsCreating Batch Control Forms

Before entering a batch of invoices, prepare a batchcontrol form.• Enter the number of invoices that are expected to

be entered in the control invoice count line of thebatch control form.

• Enter the total sum of the above invoices in thecontrol invoice total line of the batch control form.

Note: Preparing the Batch Control form is optionaland is not an Oracle Payables function.

Before entering a batch of invoices, prepare a batchcontrol form.• Enter the number of invoices that are expected to

be entered in the control invoice count line of thebatch control form.

• Enter the total sum of the above invoices in thecontrol invoice total line of the batch control form.

Note: Preparing the Batch Control form is optionaland is not an Oracle Payables function.



Creating Batch Control Forms

®

Creating Batch Control FormsCreating Batch Control Forms

After entering a batch of invoices in Oracle Payables,complete the Batch Control form.• Enter the actual number of invoices• Enter the actual invoice total• Explain the reason for any difference in the control

and actual totals

After entering a batch of invoices in Oracle Payables,complete the Batch Control form.• Enter the actual number of invoices• Enter the actual invoice total• Explain the reason for any difference in the control

and actual totals

Instructor NoteRemind the students that this is just a suggestion. A Batch Control form doesnot come with the system.



Sample Batch Control Form

®

Sample Batch Control FormSample Batch Control Form

Batch Control FormBatch Name : JS03041998 Date: 03/04/98

Control Invoice Count: 20 Control Invoice Total: $2,600.78

Actual Invoice Count: 19 Actual Invoice Total: $2,200.78Count Difference: 1 Total Difference : $ 400.00

Entered by: John Smith Entry Time (elapsed): 15 minutes

Notes: Invoice #300941 for supplier ABC Corporation was aduplicate.

Instructor NoteGo over the example of a batch control form with the students. Explain that thisis just a suggestion, and it is not a functionality of the product.



Entering Invoices in Batches

®

Entering Invoices in BatchesEntering Invoices in Batches

Use the Invoice Batches window to start entering aninvoice batch.To enter an invoice batch:1. Enter a unique value in the Batch Name field.2. Enter the number of invoices that are in the batch

in the Control Count field.3. Enter the sum of the invoice amounts that are in

the batch in the Control Amount field.4. Enter any invoice defaults you want to use for the

invoices.5. Click the Invoices button and enter the invoices.

Use the Invoice Batches window to start entering aninvoice batch.To enter an invoice batch:1. Enter a unique value in the Batch Name field.2. Enter the number of invoices that are in the batch

in the Control Count field.3. Enter the sum of the invoice amounts that are in

the batch in the Control Amount field.4. Enter any invoice defaults you want to use for the

invoices.5. Click the Invoices button and enter the invoices.

(Help) Oracle Financial Applications—>Oracle Payables—>Invoices—>InvoiceBatches—>Entering Invoice Batches in the Invoice Workbench



Approving Invoices in Batches

®

Approving Invoices in BatchesApproving Invoices in Batches

You can submit online approval for invoice batches:1. In the Invoice Batches window, find the invoice

batch or batches that contain the invoices forwhich you want to submit the Approval process.

2. Select Approve, and Payables submits theApproval process to review each invoice that isincluded in each batch you select.

You can submit online approval for invoice batches:1. In the Invoice Batches window, find the invoice

batch or batches that contain the invoices forwhich you want to submit the Approval process.

2. Select Approve, and Payables submits theApproval process to review each invoice that isincluded in each batch you select.



Demonstration

®


This demonstration covers how to enter invoicebatches in the Invoice Workbench.

(N) Invoices—>Entry—>Invoice Batches

This demonstration covers how to enter invoicebatches in the Invoice Workbench.

(N) Invoices—>Entry—>Invoice Batches

Instructor NoteDemonstrate to the students how to enter invoice batches in the Invoice Batcheswindow.



Agenda

®

AgendaAgenda













Entering Distributions

®

Entering DistributionsEntering Distributions

• Enter distributions for an invoice to associate thetotal invoice amount with various expense or assetaccounts.

• During approval, Oracle Payables places a hold onan invoice if the distribution total does not equalthe invoice total. The distribution variance hold isplaced on the invoice and prevents payment andaccounting for the invoice.

• Enter distributions for an invoice to associate thetotal invoice amount with various expense or assetaccounts.

• During approval, Oracle Payables places a hold onan invoice if the distribution total does not equalthe invoice total. The distribution variance hold isplaced on the invoice and prevents payment andaccounting for the invoice.




®

Type Description

Item Records the amount a supplier charges forgoods or services purchased

Tax Records the sales or other tax amount dueon goods or services purchased

Freight Records the amount a supplier charges forshipping and handling

Miscellaneous Records the amount for miscellaneous expenses on an invoice


Instructor NoteReview the invoice distribution types with the students.




®

Type Description

Withholding Records the amount of taxes withheld froman invoice

Prepayment Records the amount of a prepaymentapplied to an invoice




Review Question

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Which of the following is an invoice distributiontype?1. Manual2. Matching3. Allocation4. Withholding5. Distribution set


Instructor NoteCorrect answer: 4




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Which of the following is an invoice distributiontype?1. Manual2. Matching3. Allocation4. Withholding5. Distribution set4. Withholding4. Withholding



Entering Distributions

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Entering DistributionsEntering Distributions

You can enter distributions in any of five ways:• Entering lines manually• Automatically creating a freight or tax line• Using allocation• Using a distribution set• Matching to a purchase order or receipt

You can enter distributions in any of five ways:• Entering lines manually• Automatically creating a freight or tax line• Using allocation• Using a distribution set• Matching to a purchase order or receipt

(Help) Oracle Financial Applications—>Oracle Payables—>Invoices—>Invoice Workbench—>Entering Distributions in the Invoice Workbench



Manually Entering Distributions

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Manually Entering DistributionsManually Entering Distributions

1. Select a distribution type.2. Enter the distribution amount.3. Enter the GL account to determine where the

invoice gets charged; for example, the company,cost center, and GL account.

4. Enter the GL date. The distribution GL datedetermines the accounting period to which thedistribution will post in the general ledger.

1. Select a distribution type.2. Enter the distribution amount.3. Enter the GL account to determine where the

invoice gets charged; for example, the company,cost center, and GL account.

4. Enter the GL date. The distribution GL datedetermines the accounting period to which thedistribution will post in the general ledger.

(Help) Oracle Financial Applications—>Oracle Payables—>Invoices—>InvoiceWorkbench—>Entering Distributions in the Invoice Workbench (scroll down toEntering Distributions Manually in the Distributions window)



Demonstration

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This demonstration covers how to manually enterdistributions in the Invoice Workbench.

(N) Invoices—>Entry—>Invoices (B) Distributions

This demonstration covers how to manually enterdistributions in the Invoice Workbench.

(N) Invoices—>Entry—>Invoices (B) Distributions

Instructor NoteDemonstrate to the students how to enter a manual distribution in the InvoiceWorkbench.



Entering Freight Distributions for an Invoice

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Entering Freight Distributionsfor an Invoice

Entering Freight Distributionsfor an Invoice

You can record freight charges by:• Manually entering freight distributions• Allocating freight to invoice distributions• Having Payables automatically create a freight

distribution based on a freight amount you enter

You can record freight charges by:• Manually entering freight distributions• Allocating freight to invoice distributions• Having Payables automatically create a freight

distribution based on a freight amount you enter

(Help) Oracle Financial Applications—>Oracle Payables—>Invoices —>Freight on Invoices(Help) Oracle Financial Applications—>Oracle Payables—>Invoices —>Invoice Workbench—>Allocating Freight and Miscellaneous Distributions byAllocation



Enabling Automatically Create Freight Distribution

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Enabling Automatically Create FreightDistribution


To set up Payables to default a freight account andautomatically enable the Create Freight Distributioncheck box in the Invoices window during invoiceentry, set the following Payables options:• Enable the Automatically Create Freight

Distribution option• Enter a default freight account. Payables uses this

account as the default freight account for aninvoice. You can override this account duringinvoice entry.

To set up Payables to default a freight account andautomatically enable the Create Freight Distributioncheck box in the Invoices window during invoiceentry, set the following Payables options:• Enable the Automatically Create Freight

Distribution option• Enter a default freight account. Payables uses this

account as the default freight account for aninvoice. You can override this account duringinvoice entry.



Enabling Automatically Create Freight Distribution

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• If you select the Create Freight Distribution checkbox in the Invoices window, Payablesautomatically creates a single freight distributionusing the freight amount and freight account thatyou enter for an invoice.

• If you usually allocate freight to invoicedistributions or enter freight distributionsmanually, do not enable this option.

• If you select the Create Freight Distribution checkbox in the Invoices window, Payablesautomatically creates a single freight distributionusing the freight amount and freight account thatyou enter for an invoice.

• If you usually allocate freight to invoicedistributions or enter freight distributionsmanually, do not enable this option.



Creating Distributions by Allocation

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Creating Distributions by AllocationCreating Distributions by Allocation

You can use the Charge Allocations window toautomatically create tax, freight, or miscellaneousdistributions.In the Charge Allocations window, you specify thefollowing:• The charge amount and type (freight, tax, or

miscellaneous)• The distributions to which the charge will be

allocated

You can use the Charge Allocations window toautomatically create tax, freight, or miscellaneousdistributions.In the Charge Allocations window, you specify thefollowing:• The charge amount and type (freight, tax, or

miscellaneous)• The distributions to which the charge will be

allocated

(Help) Oracle Financial Applications—>Oracle Payables—>Invoices —>Invoice Workbench—>Creating Distributions by Allocation(Help) Oracle Financial Applications—>Oracle Payables—>Invoices—>Allocation



Creating Distributions by Allocation

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Creating Distributions by AllocationCreating Distributions by Allocation

• The charge amount associated with eachdistribution. Either you can specify an exactamount to allocate to each distribution, or you canprorate the charge amount across all selecteddistributions by selecting the Prorate check box.

For each selected distribution, Payables creates acharge distribution and records the allocation. Thenew distribution has the same GL account as thedistribution to which you allocate it. After Payablescreates the distribution, you can update the accountany time before the invoice is accounted.

• The charge amount associated with eachdistribution. Either you can specify an exactamount to allocate to each distribution, or you canprorate the charge amount across all selecteddistributions by selecting the Prorate check box.

For each selected distribution, Payables creates acharge distribution and records the allocation. Thenew distribution has the same GL account as thedistribution to which you allocate it. After Payablescreates the distribution, you can update the accountany time before the invoice is accounted.



Allocating Freight, Tax, and Miscellaneous Lines

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Allocating Freight, Tax,and Miscellaneous LinesAllocating Freight, Tax,

and Miscellaneous Lines

TaxTax

FreightFreight MiscellaneousMiscellaneous

ItemItem

Prepayment LinePrepayment Line

Instructor NoteGive the students an overview of creating distributions by allocation.



Allocating Other Charges within the Same Invoice

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Allocating Other Charges within the SameInvoice


The main rules of the Allocation window are thefollowing:1. You can allocate Tax to Freight, Miscellaneous,

Item, and Prepayment lines.2. You can allocate Freight and Miscellaneous lines

only to Item lines. You cannot allocate thesecharges to Tax lines.

3. You cannot allocate any line to itself.4. You cannot allocate an Item line.5. The charge amount must be fully allocated before

you can save the allocation.

The main rules of the Allocation window are thefollowing:1. You can allocate Tax to Freight, Miscellaneous,

Item, and Prepayment lines.2. You can allocate Freight and Miscellaneous lines

only to Item lines. You cannot allocate thesecharges to Tax lines.

3. You cannot allocate any line to itself.4. You cannot allocate an Item line.5. The charge amount must be fully allocated before

you can save the allocation.



Allocating Other Charges within the Same Invoice

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6. During the Approval process, any charge that isnot fully allocated (either not allocated, or acorresponding distribution was reversed ordeleted) and is not associated with a receipt, willbe prorated to all eligible distributions on theinvoice.

6. During the Approval process, any charge that isnot fully allocated (either not allocated, or acorresponding distribution was reversed ordeleted) and is not associated with a receipt, willbe prorated to all eligible distributions on theinvoice.



Allocation Restrictions

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Allocation RestrictionsAllocation Restrictions

• Canceled invoices• Paid invoices (if the invoice is partially or fully

paid and the Allow Adjustments to Paid Invoicesoption is not enabled)

• Applied prepayments• Multiple item distributions, each matched to a

different PO distribution, cannot receiveallocations from a single nonrecoverable taxdistribution.

• Encumbered tax distributions• Accounted allocations

• Canceled invoices• Paid invoices (if the invoice is partially or fully

paid and the Allow Adjustments to Paid Invoicesoption is not enabled)

• Applied prepayments• Multiple item distributions, each matched to a

different PO distribution, cannot receiveallocations from a single nonrecoverable taxdistribution.

• Encumbered tax distributions• Accounted allocations



Review Question

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You can allocate a Miscellaneous line to which of thefollowing lines?1. Tax2. Item3. Freight4. Prepayment5. Miscellaneous






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2. Item2. Item



Demonstration

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This demonstration covers how to createdistributions by allocation in the Invoice Workbench.

(N) Invoices—>Entry—>Invoices (B) Distributions (B)Allocate

This demonstration covers how to createdistributions by allocation in the Invoice Workbench.

(N) Invoices—>Entry—>Invoices (B) Distributions (B)Allocate

Instructor NoteDemonstrate to the students how to create distributions by allocation.



Distribution Sets

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Distribution SetsDistribution Sets

• Use a distribution set to automatically enterdistributions for an invoice when you are notmatching to a purchase order.

• Enter a default distribution set to a supplier site sothat Oracle Payables will use it for every invoiceyou enter for that supplier site, or assign adistribution set to an invoice when you enter it.

• Use a distribution set to automatically enterdistributions for an invoice when you are notmatching to a purchase order.

• Enter a default distribution set to a supplier site sothat Oracle Payables will use it for every invoiceyou enter for that supplier site, or assign adistribution set to an invoice when you enter it.

(Help) Oracle Financial Applications—>Oracle Payables—> Setup—>Distribution Sets

Instructor NoteExplain to the students that when you use a distribution set, you must enter thedistribution set name in the Distribution Set field before you click theDistributions button.



Defining a Distribution Set

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Defining a Distribution SetDefining a Distribution Set

• Enter a name that describes the use of thedistribution set, and identify the distribution set aseither full (with all percent amounts totaling 100%)or skeleton (with all percent amounts totaling 0%).

• If you create a skeleton distribution set, include“skeleton” in the name to remind you duringinvoice entry to enter the amounts on the invoicedistributions.

• Define an unlimited number of distribution linesfor a distribution set.

• Optionally, assign an income tax type or aninvoice tax name to a distribution set.

• Enter a name that describes the use of thedistribution set, and identify the distribution set aseither full (with all percent amounts totaling 100%)or skeleton (with all percent amounts totaling 0%).

• If you create a skeleton distribution set, include“skeleton” in the name to remind you duringinvoice entry to enter the amounts on the invoicedistributions.

• Define an unlimited number of distribution linesfor a distribution set.

• Optionally, assign an income tax type or aninvoice tax name to a distribution set.



Demonstration

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This demonstration covers how to define and use adistribution set.

(N) Setup—>Invoice—>Distribution Sets(N) Invoices—>Entry—>Invoices

This demonstration covers how to define and use adistribution set.

(N) Setup—>Invoice—>Distribution Sets(N) Invoices—>Entry—>Invoices

Instructor NoteDemonstrate to the students how to define a distribution set and then how toenter an invoice by using the distribution set.



Practice 1 Overview

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Practice 1 OverviewPractice 1 Overview

This practice covers entering an invoice with adistribution set.This practice covers entering an invoice with adistribution set.

Instructor NoteTen minutes has been allotted for this practice.



Practice 1 Instructions

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Practice 1 InstructionsPractice 1 Instructions

You have received the following invoice. Enter theinvoice into the system and assign the Rent Expensedistribution set.• Invoice #: Assigned by the instructor• Date: Today• Terms: Immediate• Supplier: Star Gate Ltd• Description: Monthly Rent Charges• Total: $2567.89

You have received the following invoice. Enter theinvoice into the system and assign the Rent Expensedistribution set.• Invoice #: Assigned by the instructor• Date: Today• Terms: Immediate• Supplier: Star Gate Ltd• Description: Monthly Rent Charges• Total: $2567.89

Practice 1 Solutions1. Navigate to the Invoices window.(N) Invoices—>Entry—>Invoices2. Accept the Standard as the default for invoice type.3. Enter Star Gate Ltd in the Supplier field.4. Select Star Gate - Pay as the site.5. Because the invoice is dated today, press the [Tab] key to accept the defaultdate.6. Enter the invoice number assigned by the instructor.7. Enter 2,567.89 in the Invoice Amount field.8. In the Distribution Set field, enter the Rent Expense distribution set.9. In the Description field, enter the description for this invoice.10. In the Terms field, select Immediate.11. Save your work.12. Click Distributions.13. In the Distributions window, verify that the distribution amount is equal tothe invoice amount.



Agenda

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AgendaAgenda













Invoice Gateway

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Invoice GatewayInvoice Gateway

• The Invoice Gateway is designed for rapid, high-volume entry of standard and credit memoinvoices that do not require extensive onlinevalidation and defaulting of values during entry.

• After entering the invoice records, you importthem. During Payables Open Interface Import,Payables validates the invoice information andcreates regular invoices in Payables that you canthen approve, account for, and pay.

• The Invoice Gateway is designed for rapid, high-volume entry of standard and credit memoinvoices that do not require extensive onlinevalidation and defaulting of values during entry.

• After entering the invoice records, you importthem. During Payables Open Interface Import,Payables validates the invoice information andcreates regular invoices in Payables that you canthen approve, account for, and pay.



Entering Invoice Gateway Identification Information

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Entering Invoice Gateway IdentificationInformation

Entering Invoice Gateway IdentificationInformation

• When you enter invoice records in the InvoiceGateway window, you group the invoice recordsby assigning the same Gateway Batch name toeach invoice.

• When you enter a value for Gateway Batch in theInvoice Gateway Identification window, the systemassigns that Gateway Batch name to each invoicerecord you enter.

• When you enter invoice records in the InvoiceGateway window, you group the invoice recordsby assigning the same Gateway Batch name toeach invoice.

• When you enter a value for Gateway Batch in theInvoice Gateway Identification window, the systemassigns that Gateway Batch name to each invoicerecord you enter.

(Help) Oracle Financial Applications—>Oracle Payables—>Invoices—>InvoiceGateway



How to Enter Invoice Gateway Identification Information

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How to Enter Invoice GatewayIdentification Information


1. The Source field identifies where the invoicesoriginated. Enter either Invoice Gateway or a valuethat you defined in the Oracle Payables Lookupswindow.Note: If you define a source name that you use forInvoice Gateway invoice records, do not use thevalue for any other method of entering data in theOpen Interface tables.

1. The Source field identifies where the invoicesoriginated. Enter either Invoice Gateway or a valuethat you defined in the Oracle Payables Lookupswindow.Note: If you define a source name that you use forInvoice Gateway invoice records, do not use thevalue for any other method of entering data in theOpen Interface tables.



How to Enter Invoice Gateway Identification Information

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2. Enter a unique value in the Gateway Batch field.When you enter invoice records in the InvoiceGateway window, you group the invoice records ina Gateway Batch by assigning the same GatewayBatch name to each invoice.

3. You can use the Gateway Batch name to query thegroup of invoice records in the Invoice Gatewaywindow, and to identify a group of invoice recordsthat you want to import together.

2. Enter a unique value in the Gateway Batch field.When you enter invoice records in the InvoiceGateway window, you group the invoice records ina Gateway Batch by assigning the same GatewayBatch name to each invoice.

3. You can use the Gateway Batch name to query thegroup of invoice records in the Invoice Gatewaywindow, and to identify a group of invoice recordsthat you want to import together.



How to Enter Invoice Header Information

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How to Enter Invoice Header InformationHow to Enter Invoice Header Information

Enter the invoice header information in this region.The following fields are required:• Supplier or Supplier Num• Site• Invoice Amount

Enter the invoice header information in this region.The following fields are required:• Supplier or Supplier Num• Site• Invoice Amount

(Help) Oracle Financial Applications—>Oracle Payables—>Invoices—>InvoiceGateway—>Entering Invoice Records in the Invoice Gateway Window



How to Enter Invoice Line Information

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How to Enter Invoice Line InformationHow to Enter Invoice Line Information

Use this region to enter line information for aninvoice. Enter at least one invoice line per invoice.The following fields are required in this region:• Type• AmountYou can create distributions by manually entering avalue for the account, or you can create themautomatically by using distribution sets, proration ofcharges, purchase order matching, or receiptmatching.

Use this region to enter line information for aninvoice. Enter at least one invoice line per invoice.The following fields are required in this region:• Type• AmountYou can create distributions by manually entering avalue for the account, or you can create themautomatically by using distribution sets, proration ofcharges, purchase order matching, or receiptmatching.

(Help) Oracle Financial Applications—>Oracle Payables—>Invoices—>InvoiceGateway—>Entering Invoice Records in the Invoice Gateway Window



Invoice Line Information

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Invoice Line InformationInvoice Line Information

• When Oracle Payables imports the invoice record,it creates one or more distributions for the invoicebased on the information you enter in the invoicelines region.

• Payables uses distributions to create generalledger journal entries for invoices. An invoice canhave an unlimited number of distributions.

• When Oracle Payables imports the invoice record,it creates one or more distributions for the invoicebased on the information you enter in the invoicelines region.

• Payables uses distributions to create generalledger journal entries for invoices. An invoice canhave an unlimited number of distributions.

Instructor NoteAlthough Account is not a required field, the invoice will be rejected if you donot provide information about how to create the account (for example,distribution set or PO matching).



Invoice Gateway

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Invoice GatewayInvoice Gateway

Invoice GatewayInvoice Gatewaywindowwindow

Payables OpenPayables OpenInterface ImportInterface Import

Invoices areInvoices arecreated in Payables.created in Payables.

Invoiceheader and

lineinformation



Creating Invoices

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Creating InvoicesCreating Invoices

• When entering invoice data in the InvoiceGateway, you are populating the Payables OpenInterface table with that invoice data. You can usethe Payables Open Interface Import program tocreate Payables invoices from invoice data in thePayables Open Interface tables.

• During the Import process, Payables validatesinvoice records and rejects invoice records thathave insufficient or invalid data. Successfullyimported invoices have distributions andscheduled payments, and can be queried,modified, and approved in the Invoice Workbench.

• When entering invoice data in the InvoiceGateway, you are populating the Payables OpenInterface table with that invoice data. You can usethe Payables Open Interface Import program tocreate Payables invoices from invoice data in thePayables Open Interface tables.

• During the Import process, Payables validatesinvoice records and rejects invoice records thathave insufficient or invalid data. Successfullyimported invoices have distributions andscheduled payments, and can be queried,modified, and approved in the Invoice Workbench.



Review Question

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The Invoice Gateway can be used to enter which ofthe following invoices?1. PO default2. Prepayment3. Debit memo4. Credit memo5. Expense report






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The Invoice Gateway can be used to enter which ofthe following invoices?1. PO default2. Prepayment3. Debit memo4. Credit memo5. Expense report4. Credit memo4. Credit memo



Demonstration

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This demonstration covers how to enter invoiceinformation and create invoices in the InvoiceGateway.


This demonstration covers how to enter invoiceinformation and create invoices in the InvoiceGateway.


Instructor NoteDemonstrate to the students how to enter invoice information in the InvoiceGateway and how to create invoices from the Invoice Gateway.



Practice 2 Overview

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This practice covers entering an invoice in theInvoice Gateway.This practice covers entering an invoice in theInvoice Gateway.

Instructor NoteTen minutes has been allotted for this practice.




®


You have received an invoice from the AdvancedNetwork Devices that you will enter in the InvoiceGateway.• Invoice #: Assigned by the instructor• Date: Today• Supplier: Advanced Network Devices• Description: Five Dell Laptops• Total: $15,500.00

You have received an invoice from the AdvancedNetwork Devices that you will enter in the InvoiceGateway.• Invoice #: Assigned by the instructor• Date: Today• Supplier: Advanced Network Devices• Description: Five Dell Laptops• Total: $15,500.00

Practice 2 Solutions1. Navigate to the Invoice Gateway Identification window.(N) Invoices—>Entry—>Invoice Gateway2. Accept Invoice Gateway as the default value in the Source field.3. Enter XX Batch (XX is your unique identifier) in the Gateway Batch field.4. Select Enter.5. Enter the invoice number assigned by the instructor.6. Enter Advanced Network Devices as the supplier and enter SantaClara as the supplier site.7. Enter the dollar amount of the invoice in the Invoice Amount field.8. Enter Item in the Type field.9. Enter the invoice line amount.10. Enter 01.130.1560.0000.000 in the Account field.11. Enter the line description in the Description field.12. Save your work.



Agenda

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AgendaAgenda








Gateway• Importing invoices from the interface tables• Importing invoices from the interface tables• Importing invoices from the interface tables



Payables Open Interface Tables

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Payables Open Interface TablesPayables Open Interface Tables

The Payables Open Interface tables store invoice datafrom the following sources:• Invoice records that you enter in the Invoice

Gateway window• Electronic invoices from Oracle e-Commerce

Gateway• Invoices that you load with SQL*Loader• Rent invoices from Oracle Property Manager• Credit card transaction data

The Payables Open Interface tables store invoice datafrom the following sources:• Invoice records that you enter in the Invoice

Gateway window• Electronic invoices from Oracle e-Commerce

Gateway• Invoices that you load with SQL*Loader• Rent invoices from Oracle Property Manager• Credit card transaction data



Payables Open Interface Import Program

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Payables Open Interface Import ProgramPayables Open Interface Import Program

Submit the Payables Open Interface Import programto create invoices from invoice data in the PayablesOpen Interface tables. This program:• Validates the invoice data• Provides some defaults during import (for

example, supplier site payment terms)• Rejects invoices that have insufficient or invalid

data• Creates invoices in the Payables system that can

then be queried, approved, accounted, andmodified in the Invoice Workbench

Submit the Payables Open Interface Import programto create invoices from invoice data in the PayablesOpen Interface tables. This program:• Validates the invoice data• Provides some defaults during import (for

example, supplier site payment terms)• Rejects invoices that have insufficient or invalid

data• Creates invoices in the Payables system that can

then be queried, approved, accounted, andmodified in the Invoice Workbench



Integration with Oracle e-Commerce Gateway

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Integration with Oracle e-CommerceGateway

Integration with Oracle e-CommerceGateway

You can use Oracle Payables and Oracle e-CommerceGateway to import invoice data from your suppliers.• Oracle e-Commerce Gateway uploads the

supplier’s invoice information into the PayablesOpen Interface tables.

• Payables creates a notification for invoices thatwere successfully imported and those that failedimport. You can send this notification to yoursupplier through the e-Commerce Gateway.

You can use Oracle Payables and Oracle e-CommerceGateway to import invoice data from your suppliers.• Oracle e-Commerce Gateway uploads the

supplier’s invoice information into the PayablesOpen Interface tables.

• Payables creates a notification for invoices thatwere successfully imported and those that failedimport. You can send this notification to yoursupplier through the e-Commerce Gateway.



Loading Electronic Flat Files

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Loading Electronic Flat FilesLoading Electronic Flat Files

You can use SQL*Loader to import into the interfacetable a flat file that contains invoice information. Forexample, you might want to use this to import legacyinvoice data.

You can use SQL*Loader to import into the interfacetable a flat file that contains invoice information. Forexample, you might want to use this to import legacyinvoice data.

(Help) Oracle Financial Applications—>Oracle Payables—>Appendix—>Payables Open Interface Tables—>Using SQL*Loader



Review Question

®


Which of the following programs is used to importinvoices from the e-Commerce Gateway?1. EDI Gateway program2. EDI Invoice Inbound program3. Application Advice Outbound program4. Payables Open Interface Import program5. Payables Open Interface Outbound Advice program






®



Which of the following programs is used to importinvoices from the e-Commerce Gateway?1. EDI Gateway program2. EDI Invoice Inbound program3. Application Advice Outbound program4. Payables Open Interface Import program5. Payables Open Interface Outbound Advice program4. Payables Open Interface Import program4. Payables Open Interface Import program



Summary

®

SummarySummary

In this lesson, you should have learned how to:• Enter Standard invoices in the Invoice Workbench• Enter invoice batches in the Invoice Workbench• Enter invoice distributions in the Invoice



In this lesson, you should have learned how to:• Enter Standard invoices in the Invoice Workbench• Enter invoice batches in the Invoice Workbench• Enter invoice distributions in the Invoice




R11i Implementing Supplier InvoicingChapter 6 - Page 1

R11i ImplementingSupplier InvoicingChapter 6



R11i Implementing Supplier Invoicing

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R11i Implementing Supplier InvoicingR11i Implementing Supplier Invoicing


Copyright Oracle Corporat ion, 2000. All rights reserved.

ILT Schedule: Timing Topic 85 minutes Lecture 5 minutes Practice 90 minutes Total



Course Objective

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Course ObjectiveCourse Objective

After completing this course, you should be able toimplement the supplier invoice process in OraclePayables.

After completing this course, you should be able toimplement the supplier invoice process in OraclePayables.



Course Agenda

®


• Defining invoice tolerances• Setting up invoice Payables options• Setting up interest Payables options• Setting up invoice tax options• Setting up matching options• Setting up implementation considerations




Course Agenda

®






Defining Invoice Tolerances

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Defining Invoice TolerancesDefining Invoice Tolerances

• Use the Invoice Tolerance window to define thepurchase order/receipt-matching tolerances andtax tolerances you want to enforce. Tolerances arevariances between invoice, purchase order,receipt, and tax information. Tolerances determinethe margin of error Oracle Payables accepts beforeplacing matching or tax holds on an invoice. Whenyou submit approval for an invoice you havematched to a purchase order or receipt, OraclePayables checks that the invoice matches thepurchase order or receipt within the matchingtolerances you define.

• Use the Invoice Tolerance window to define thepurchase order/receipt-matching tolerances andtax tolerances you want to enforce. Tolerances arevariances between invoice, purchase order,receipt, and tax information. Tolerances determinethe margin of error Oracle Payables accepts beforeplacing matching or tax holds on an invoice. Whenyou submit approval for an invoice you havematched to a purchase order or receipt, OraclePayables checks that the invoice matches thepurchase order or receipt within the matchingtolerances you define.



Defining Invoice Tolerances

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Defining Invoice TolerancesDefining Invoice Tolerances

• If the invoice exceeds the tolerances you define,Oracle Payables applies a hold on the invoiceduring the Approval process. The InvoiceTolerances window shows which holds areapplied.

• If the invoice exceeds the tolerances you define,Oracle Payables applies a hold on the invoiceduring the Approval process. The InvoiceTolerances window shows which holds areapplied.



How to Set Tolerance Levels for Matching

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How to Set Tolerance Levels for MatchingHow to Set Tolerance Levels for Matching

1. In the Invoice Tolerance window, enable the checkbox for each tolerance you want to enforce.

2. Enter tolerance levels for your purchase-order-matching transactions.

3. In the Maximum Quantity Ordered field, entereither the percent tolerance or the allowedquantity difference.

4. In the Maximum Quantity Received field, entereither the percent tolerance or the allowedquantity difference.

1. In the Invoice Tolerance window, enable the checkbox for each tolerance you want to enforce.

2. Enter tolerance levels for your purchase-order-matching transactions.

3. In the Maximum Quantity Ordered field, entereither the percent tolerance or the allowedquantity difference.

4. In the Maximum Quantity Received field, entereither the percent tolerance or the allowedquantity difference.

(Help) Oracle Financial Applications > Oracle Payables > Setup >Invoice Tolerances



How to Set Tolerance Levels for Matching

®

How to Set Tolerance Levels for MatchingHow to Set Tolerance Levels for Matching

5. In the Price field, enter the allowed percenttolerance.

6. In the Exchange Rate Amount field, enter theamount of variance you allow. Enter a value in thisfield only if you enter foreign currency invoices inOracle Payables.

7. In the Shipment Amount field, enter the maximumallowable variance between an invoiced amountand the amount of the purchase-order shipment.

8. In the Total Amount field, enter the total amount ofvariance you allow for both the exchange rateamount variance and the shipment amountcombined.

5. In the Price field, enter the allowed percenttolerance.

6. In the Exchange Rate Amount field, enter theamount of variance you allow. Enter a value in thisfield only if you enter foreign currency invoices inOracle Payables.

7. In the Shipment Amount field, enter the maximumallowable variance between an invoiced amountand the amount of the purchase-order shipment.

8. In the Total Amount field, enter the total amount ofvariance you allow for both the exchange rateamount variance and the shipment amountcombined.



How to Set Tolerance Levels for Invoice Taxes

®

How to Set Tolerance Levels forInvoice Taxes

How to Set Tolerance Levels forInvoice Taxes

1. Enter the tax-tolerance percentage you allow in theTax % field. Oracle Payables validates the amountof tax distributions against the sum of thedistributions the tax is allocated to. The calculatedamount must match the tax rate plus or minus thetax rate percentage variance you enter here.

2. In the Tax Amount Range field, enter the amount ofvariance you allow between the actual invoice taxamount and the invoice-calculated tax amount.

1. Enter the tax-tolerance percentage you allow in theTax % field. Oracle Payables validates the amountof tax distributions against the sum of thedistributions the tax is allocated to. The calculatedamount must match the tax rate plus or minus thetax rate percentage variance you enter here.

2. In the Tax Amount Range field, enter the amount ofvariance you allow between the actual invoice taxamount and the invoice-calculated tax amount.

(Help) Oracle Financial Applications > Oracle Payables > Setup >Invoice Tolerances



Demonstration

®


This demonstration covers the Invoice Toleranceswindow.

(N) Setup—>Invoice—>Tolerances

This demonstration covers the Invoice Toleranceswindow.

(N) Setup—>Invoice—>Tolerances



Practice 1

®


This practice covers questions about invoicetolerances.1. You can define both percentage-based and

______-based tolerances.2. If a variance exceeds the tolerance you define,

Oracle Payables places the hold on the invoiceduring ______.

3. Purchase-order-matching tolerances apply to anypurchase-order-matched invoice, includinginvoices matched to ______.


______-based tolerances.2. If a variance exceeds the tolerance you define,

Oracle Payables places the hold on the invoiceduring ______.

3. Purchase-order-matching tolerances apply to anypurchase-order-matched invoice, includinginvoices matched to ______.




®



amount-based tolerances.2. If a variance exceeds the tolerance you define,

Oracle Payables places the hold on the invoiceduring Approval.

3. Purchase-order-matching tolerances apply to anypurchase-order-matched invoice, includinginvoices matched to receipts.


amount-based tolerances.2. If a variance exceeds the tolerance you define,

Oracle Payables places the hold on the invoiceduring Approval.

3. Purchase-order-matching tolerances apply to anypurchase-order-matched invoice, includinginvoices matched to receipts.



Course Agenda

®






Setting Up Invoice Payables Options

®

Setting Up Invoice Payables OptionsSetting Up Invoice Payables Options

Invoice Payables options include the following:

• Use Batch Controls• Confirm Date as Invoice Number• Allow Online Approval• Allow Adjustments to Paid Invoices• Recalculate Scheduled Payment• Allow Document Category Override• Automatically Create Freight Distribution

Invoice Payables options include the following:

• Use Batch Controls• Confirm Date as Invoice Number• Allow Online Approval• Allow Adjustments to Paid Invoices• Recalculate Scheduled Payment• Allow Document Category Override• Automatically Create Freight Distribution

(Help) Oracle Financial Applications > Oracle Payables > Setup >Payables Options > Payables Options Window Reference > InvoicePayables Options

Instructor NoteGo over the Invoice Payables Options in detail because practice 2 coversquestions from this section.



Setting Up Invoice Payables Options

®

Setting Up Invoice Payables OptionsSetting Up Invoice Payables Options

• Freight Account• GL Date Basis• Prepayment Settlement Days• Prepayment Payment Terms

• Freight Account• GL Date Basis• Prepayment Settlement Days• Prepayment Payment Terms



Demonstration

®


This demonstration covers how to set up the invoicePayables options.

(N) Setup—>Options—>Payables (T) Invoice

This demonstration covers how to set up the invoicePayables options.

(N) Setup—>Options—>Payables (T) Invoice

Instructor NoteNavigate to the Setup—>Options—>Payables (T) window and show theinvoice defaults.



Course Agenda

®






Creating Automatic Interest Invoices

®

Creating Automatic Interest InvoicesCreating Automatic Interest Invoices

Payables allows you to calculate interest for overdueinvoices and create interest invoices for selectedSuppliers. To do this, you must enable automaticinterest calculation for a supplier and pay an overdueinvoice for the supplier in a payment batch or with aQuick payment.

Payables allows you to calculate interest for overdueinvoices and create interest invoices for selectedSuppliers. To do this, you must enable automaticinterest calculation for a supplier and pay an overdueinvoice for the supplier in a payment batch or with aQuick payment.

(Help) Oracle Financial Applications > Oracle Payables > Setup >Automatic Interest



Setting Up Interest Payables Options

®

Setting Up Interest Payables OptionsSetting Up Interest Payables Options

Use the Interest tabbed region to enable AutomaticInterest Calculation and then enter defaults, such asexpense and liability accounts. The following are theInterest options:• Allow Interest Invoices• Minimum Interest Amount• Expense Interest Invoice Account• Liability Interest Invoice Account

Use the Interest tabbed region to enable AutomaticInterest Calculation and then enter defaults, such asexpense and liability accounts. The following are theInterest options:• Allow Interest Invoices• Minimum Interest Amount• Expense Interest Invoice Account• Liability Interest Invoice Account

(Help) Oracle Financial Applications > Oracle Payables > Setup >Payables Options > Interest Payables Options



Course Agenda

®






Invoice Tax Options

®

Invoice Tax OptionsInvoice Tax Options

You can set invoice tax options and default valuesused throughout Payables. The following invoice taxoptions and defaults are a subset of the tax options.

You can set invoice tax options and default valuesused throughout Payables. The following invoice taxoptions and defaults are a subset of the tax options.

(Help) Oracle Financial Applications > Oracle Payables > Appendix> Invoice and Invoice Batch Default Hierarchy Chart

Instructor NoteThere are separate modules that cover IRS form 1099, withholding taxes,and sales and use taxes. This section covers tax defaults specifically forinvoices.



Setting Up Invoice Tax Options

®

Setting Up Invoice Tax OptionsSetting Up Invoice Tax Options

You can control the following invoice tax options atthe system level in the Payables Options window:• Require Tax Entry at Header• Use Automatic Tax Calculation• Calculation Level• Allow Calculation Level Override• Distribution Amounts Include Tax• Allow Override

You can control the following invoice tax options atthe system level in the Payables Options window:• Require Tax Entry at Header• Use Automatic Tax Calculation• Calculation Level• Allow Calculation Level Override• Distribution Amounts Include Tax• Allow Override

(Help) Oracle Financial Applications > Oracle Payables > Setup >Payables Options > Payables Options Window Reference >Invoice Tax Payables Options

Instructor NoteThese options can all be overridden at the supplier level. A lot of invoicedefaults are setup and then overridden at the supplier level.Go over the Invoice Tax Options in detail because practice 2 coversquestions from this section.



Tax Defaults and Rules Payables Options

®

Tax Defaults and Rules Payables OptionsTax Defaults and Rules Payables Options

Use the Tax Defaults and Rules tabbed region to set ahierarchy for Payables to use when it provides defaulttax codes. Payables will search the sources youenable, in the order you designate, until it finds a taxcode. When Payables finds a tax code, it will stopsearching and default the tax code in the documentyou are creating.

Use the Tax Defaults and Rules tabbed region to set ahierarchy for Payables to use when it provides defaulttax codes. Payables will search the sources youenable, in the order you designate, until it finds a taxcode. When Payables finds a tax code, it will stopsearching and default the tax code in the documentyou are creating.

(Help) Oracle Financial Applications > Oracle Payables > Setup >Financials Options > Tax Financials Options



Demonstration

®


This demonstration covers how to set up the invoicetax options and the tax-code hierarchy.

(N) Setup—>Options—>Payables (T) Invoice Tax(N) Setup—>Options—>Payables (T) Tax Defaults and

Rules

This demonstration covers how to set up the invoicetax options and the tax-code hierarchy.

(N) Setup—>Options—>Payables (T) Invoice Tax(N) Setup—>Options—>Payables (T) Tax Defaults and

Rules

Instructor NoteNavigate to the Setup—>Options—>Payables (T) Invoice Tax tabbedregion and the Tax Defaults and Rules tabbed region and show theinvoice tax defaults and the rules.



Practice 2

®


In this practice, you will answer true or falsequestions about invoice options and invoice-taxoptions.

In this practice, you will answer true or falsequestions about invoice options and invoice-taxoptions.

True or False1. If the batch controls are not on, you can enter individual invoices in theInvoices window. __2. If you select the Confirm Date as Invoice Number option, duringinvoice entry if you accept the invoice date as the default for the invoice number, Oracle Payablesdisplays a window. __3. The Allow Adjustments to Paid Invoices option allows users to updatethe amounts of a paid invoice. __4. If you select the Automatically Create Freight Distribution Payablesoption, you optionally enter a freight account in the the Freight Account option field. __5. Do not enable the Require Tax Entry at Header option if you plan toenter use taxes or allocate taxes. __




®


This practice covers true or false questions aboutInvoice options and invoice-tax options.This practice covers true or false questions aboutInvoice options and invoice-tax options.

True or False1. If the batch controls are not on, you can enter individual invoices inthe Invoices window. True.2. If you select the Confirm Date as Invoice Number option, duringinvoice entry if you accept the invoice date as the default for the invoice number, Oracle Payablesdisplays a window. True.3. The Allow Adjustments to Paid Invoices option allows users toupdate the amounts of a paid invoice. False—The Allow Adjustments to Paid Invoices optionallows users to update the distributions of a paid invoice.4. If you select the Automatically Create Freight Distribution Payablesoption, you optionally enter a freight account in the Freight Account option field. False—If youselect the Automatically

Create Freight Distribution Payables option, you must enter afreight account in the Freight Account option field.



5. Do not enable the Require Tax Entry at Header option if you plan toenter use taxes or allocate taxes. True.



Course Agenda

®






Setting Up Matching Options

®

Setting Up Matching OptionsSetting Up Matching Options

You can control matching at the system level in thePayables Options window.• Allow Final Matching• Allow Distribution-Level Matching• Allow Matching Account Override• Transfer PO Descriptive-Flexfield Information

You can control matching at the system level in thePayables Options window.• Allow Final Matching• Allow Distribution-Level Matching• Allow Matching Account Override• Transfer PO Descriptive-Flexfield Information

(Help) Oracle Financial Applications > Oracle Payables > Setup >Payables Options > Payables Options Window Reference >Matching Payables Options



Demonstration

®


This demonstration covers how to set up thematching options.

(N) Setup—>Options—>Payables (T) Matching

This demonstration covers how to set up thematching options.

(N) Setup—>Options—>Payables (T) Matching

Instructor NoteDemonstrate to the students how to set the matching defaults.



Review Question

®


Which of the following are matching defaults?A. Allow OverrideB. Allow Final MatchingC. Allow Matching Account OverrideD. Allow Distribution-Level MatchingE. Transfer PO Descriptive-Flexfield Information


Instructor NoteCorrect Answer: 2, 3, 4, 5.




®






Course Agenda

®






Invoice Gateway Considerations

®

Invoice Gateway ConsiderationsInvoice Gateway Considerations

• To make the Invoice Gateway window moreefficient, you need to determine which fields willbe displayed in the Invoice Gateway folder and inwhat order.

• You can submit the Payables Open InterfaceImport program or you can submit the programonline from the Create Invoices window.

• To make the Invoice Gateway window moreefficient, you need to determine which fields willbe displayed in the Invoice Gateway folder and inwhat order.

• You can submit the Payables Open InterfaceImport program or you can submit the programonline from the Create Invoices window.

(Help) Oracle Financial Applications > Oracle Payables > Setup >Payables Options > Payables Options Window Reference >Matching Payables Options



Open Interface Workflow Considerations

®

Open Interface Workflow ConsiderationsOpen Interface Workflow Considerations

• The Payables Open Interface Workflow is aworkflow template that you must customize beforeyou can use it to process data.

• You customize the workflow to help automateverification and validation of data in the PayablesOpen Interface tables before you submit PayablesOpen Interface Import.

• The Payables Open Interface Workflow is aworkflow template that you must customize beforeyou can use it to process data.

• You customize the workflow to help automateverification and validation of data in the PayablesOpen Interface tables before you submit PayablesOpen Interface Import.

(Help) Oracle Financial Applications > Oracle Payables > Setup >Payables Options > Payables Options Window Reference > MatchingPayables Options



Open Interface Workflow Considerations

®

Open Interface Workflow ConsiderationsOpen Interface Workflow Considerations

The following are examples of how you can use thePayables Open Interface Workflow:• You can modify this workflow to validate all

accounting code combinations in the PayablesOpen Interface tables.

• Workflow can send notifications of any invalidcode combinations to a specified user forcorrection.

• You can customize the workflow to override anyinvalid code combinations with a designateddefault value.

The following are examples of how you can use thePayables Open Interface Workflow:• You can modify this workflow to validate all

accounting code combinations in the PayablesOpen Interface tables.

• Workflow can send notifications of any invalidcode combinations to a specified user forcorrection.

• You can customize the workflow to override anyinvalid code combinations with a designateddefault value.




Invoice-Matching Considerations

®

Invoice-Matching ConsiderationsInvoice-Matching Considerations

The Invoice Match Option exists at the followinglevels: supplier, supplier site, and purchase ordershipment lines. Ensure that the matching option,Purchase Order or Receipt, is set at the appropriatelevel.

The Invoice Match Option exists at the followinglevels: supplier, supplier site, and purchase ordershipment lines. Ensure that the matching option,Purchase Order or Receipt, is set at the appropriatelevel.




Prepayment Considerations

®

Prepayment ConsiderationsPrepayment Considerations

• You need to determine if any additional paymentterms are needed for prepayments.

• You can optionally set up default payment termsto be specified for prepayments during thePayables Options setup.

• You need to determine if any additional paymentterms are needed for prepayments.

• You can optionally set up default payment termsto be specified for prepayments during thePayables Options setup.




Summary

®

SummarySummary

In this lesson, you should have learned the supplierinvoicing implementation process.In this lesson, you should have learned the supplierinvoicing implementation process.


Matching Invoices to Purchase Orders and ReceiptsChapter 7 - Page 1

Matching Invoicesto Purchase Ordersand ReceiptsChapter 7



Matching Invoices to Purchase Orders and Receipts

®

Matching Invoices to Purchase Ordersand Receipts


Oracle Payables R11iOracle Payables R11i

Instructor NoteILT Schedule: Timing Topic

<60> minutes Lecture<30> minutes Practice<90> minutes Total



Objectives

®


After completing this lesson, you should be able todo the following:• Describe the basics of matching invoices to

purchase orders and receipts.• Explain how to match Standard invoices to

purchase orders and receipts using the InvoiceWorkbench.

• Explain how to match QuickMatch and PO Defaulttype invoices to purchase orders and receipts inthe Invoice Workbench.

• Explain how to match invoices to purchase ordersand receipts using the Invoice Gateway.

After completing this lesson, you should be able todo the following:• Describe the basics of matching invoices to

purchase orders and receipts.• Explain how to match Standard invoices to

purchase orders and receipts using the InvoiceWorkbench.

• Explain how to match QuickMatch and PO Defaulttype invoices to purchase orders and receipts inthe Invoice Workbench.

• Explain how to match invoices to purchase ordersand receipts using the Invoice Gateway.



Agenda

®

AgendaAgenda

• Overview of matching invoices to purchase ordersand receipts

• Matching Standard invoices to purchase ordersand receipts using the Invoice Workbench

• Matching QuickMatch and PO Default typeinvoices to purchase orders and receipts in theInvoice Workbench

• Matching invoices to purchase orders and receiptsusing the Invoice Gateway







Entering Purchase Order Matched Invoices : Overview

®

Entering Purchase Order MatchedInvoices : Overview

Entering Purchase Order MatchedInvoices : Overview

Receive invoiceReceive invoice Enter invoiceEnter invoice


Match invoicesto PO or receipt

File invoiceFile invoiceAccount forAccount for

invoiceinvoice





The Structure of a Purchase Order

®

Detail

The Structure of a Purchase OrderThe Structure of a Purchase OrderPurchase OrderPurchase Order

Header

Item line

Item line

Item line

Distribution lineShipment line

PO information Supplier information

Shipment lineDistribution lineDistribution lineDistribution line



The Structure of a Receipt

®

Detail

The Structure of a ReceiptThe Structure of a ReceiptReceiptReceipt

Header

Receipt information

Receipt Line Information

Shipment information

Supplier information

Instructor NoteThe receipt line maps to the purchase order shipment line. The deliverytransaction (not shown) captures the distribution information from thepurchase order.



Purchase Order Matched Invoices

®

Purchase Order Matched InvoicesPurchase Order Matched Invoices

• Purchase order shipments• Purchase order receipts• Purchase order receipt lines• Purchase order distributions

• Purchase order shipments• Purchase order receipts• Purchase order receipt lines• Purchase order distributions

Purchase order matched invoices are invoices that youPurchase order matched invoices are invoices that youmatch to any of the following:match to any of the following:



Why Enter Purchase Order Matched Invoices?

®

Why Enter Purchase Order MatchedInvoices?

Why Enter Purchase Order MatchedInvoices?

• Match Payables invoices to purchase orders toensure that you pay only for the goods that youhave ordered.

• Match to purchase order receipts to ensure thatyou pay only for goods that you have received.

• Payables automatically creates invoicedistributions based on the purchase orderdistributions.

• Match Payables invoices to purchase orders toensure that you pay only for the goods that youhave ordered.

• Match to purchase order receipts to ensure thatyou pay only for goods that you have received.

• Payables automatically creates invoicedistributions based on the purchase orderdistributions.

(Help) Oracle Financial Applications > Payables > Invoices >Matching to Purchase Orders and Receipts > Entering PurchaseOrder Matched Invoices



You Can Set Up Controls That Require You To Do TheFollowing:

®

You Can Set Up Controls That RequireYou To Do The Following:

You Can Set Up Controls That RequireYou To Do The Following:

• Purchase order match each invoice• Match the invoice to either a purchase order or

receipt• Match within amount or quantity tolerances

• Purchase order match each invoice• Match the invoice to either a purchase order or

receipt• Match within amount or quantity tolerances



Matching Process

®

Matching ProcessMatching Process

Save Invoice

Select purchase order or receipt and choose Match

Enter supplier information

Enter invoice date, number, and amount

Complete CompleteComplete

If matching to PO distribution, choose Distributionand enter distribution quantity or match amount

Enter invoice quantity and match amount

Enter additional invoice header information

Enter purchase order number

Select purchase order or receipt

Option A: Standard, Expense Report, Mixed, Prepayment, Credit Memo,

Debit Memo

Option B:PO Default

Option C:QuickMatch



Different Ways to Match an Invoice to a PurchaseOrder

®

Different Ways to Match an Invoice to aPurchase Order

Different Ways to Match an Invoice to aPurchase Order

• Receipt match• Purchase order shipment match• Purchase order distribution match• Price correction

• Receipt match• Purchase order shipment match• Purchase order distribution match• Price correction

You can match an invoice to a purchase order in differentYou can match an invoice to a purchase order in differentways:ways:



Receipt Match

®

Receipt MatchReceipt Match

• Matching to receipts allows you to pay only forgoods you receive, and to pay for partialshipments without getting invoice holds.

• Any exchange rate variance is likely to be smallerbecause the time between the receipt and invoiceis less than the time between the purchase orderand invoice.

• Matching an invoice for freight, tax, ormiscellaneous charges to a material receipt isrequired for accurate costing data if you useperiodic costing.

• Matching to receipts allows you to pay only forgoods you receive, and to pay for partialshipments without getting invoice holds.

• Any exchange rate variance is likely to be smallerbecause the time between the receipt and invoiceis less than the time between the purchase orderand invoice.

• Matching an invoice for freight, tax, ormiscellaneous charges to a material receipt isrequired for accurate costing data if you useperiodic costing.



Purchase Order Shipment Match

®

Purchase Order Shipment MatchPurchase Order Shipment Match

Based on the Quantity Invoiced, Payables proratesthe Match Amount across all non-fully billedpurchase order distributions associated with thepurchase order shipments you match to.

Based on the Quantity Invoiced, Payables proratesthe Match Amount across all non-fully billedpurchase order distributions associated with thepurchase order shipments you match to.



Purchase Order Distribution Match

®

Purchase Order Distribution MatchPurchase Order Distribution Match

You can allocate the match amount to specificpurchase order distributions.

You can allocate the match amount to specificpurchase order distributions.



Price Corrections

®

Price CorrectionsPrice Corrections

• You can use a price correction when a suppliersends an invoice for a change in unit price for aninvoice you have already matched to a purchaseorder.

• You can enter and match an invoice to record aprice increase, or you can enter and match a creditmemo or debit memo to record a price decrease.

• Use a price correction to adjust the invoiced unitprice of previously matched purchase ordershipments, distributions, or receipts withoutadjusting the quantity billed.

• You can use a price correction when a suppliersends an invoice for a change in unit price for aninvoice you have already matched to a purchaseorder.

• You can enter and match an invoice to record aprice increase, or you can enter and match a creditmemo or debit memo to record a price decrease.

• Use a price correction to adjust the invoiced unitprice of previously matched purchase ordershipments, distributions, or receipts withoutadjusting the quantity billed.

(Help) Oracle Financial Applications > Payables > Invoices >Matching to Purchase Orders and Receipts > Recording PriceCorrections in the Invoice Workbench



Agenda

®

AgendaAgenda











Practice Overview

®


Practice Contents:• Enter and approve a purchase order• Enter the receiving for the PO Shipments• Match an invoice to a purchase order in the Invoice

Workbench• Match an invoice to a receipt

Practice Contents:• Enter and approve a purchase order• Enter the receiving for the PO Shipments• Match an invoice to a purchase order in the Invoice

Workbench• Match an invoice to a receipt

Practice SolutionEnter and Approve a Purchase Order

1. Change your responsibility to Oracle Purchasing:• (M) File—>Switch Responsibility—>Purchasing, Vision Operations

(USA)• Navigate to the Enter Purchase Orders window.• (N) Purchase Orders—Purchase Orders• Enter Standard Purchase Order in the Type field.• Enter Advanced Network Devices in the Supplier field and the site

should default in.• Place your cursor on the first line and tab to the Item field,

accepting the defaults for the first two fields. Enter item numberAS18947.

• Enter 10 in the Quantity field.• Choose the Shipments button. This will take you to the Shipments

window.• Change the quantity from 10 to 6 on the first line.• Enter a date five days from today’s date in the Promised field.• Select the More tab.



• Select 2-Way in the Match Approval Level field.• Select PO in the Invoice Match Option field.• Select the Shipments tab.• Click the second line.• The four remaining units should default in the second shipment line.• Enter a date five days from today’s date in the Promised field.• Select the More tab.• Select 3-Way in the Match Approval Level field.• Select Receipt in the Invoice Match Option field.• Save your work.• Close the Shipments window.• Click the Approve button.• You should see the Approve Document window.• Click OK.• You should see a message.• Click OK to acknowledge the message.• Verify the Status field on your PO shows Approved.• Write down your PO number _____________.• Write down the Ship-To organization ____________.2. Enter the Receiving for the PO Shipments• Navigate to the Find Expected Receipts window. (N) Receiving—

>Receipts• Select the Ship-To organization from the previous step.• Enter your PO number in the Purchase Order field.• Click the Find button. This will take you to the Receipt Header

window.• Close the Receipt Header window and you will be in the Lines

window.• Select the box to the left of the each line, to indicate the quantities

have been received.• Save your work.• Select the Header button and this will take you back to the Receipt

Header window.• Write down your receipt number ____________.3. Match an Invoice to a Purchase Order• Change your responsibility to Oracle Payables:(M) File—> Switch

Responsibility—> Payables, Vision Operations (USA)• Navigate to the Invoice Workbench (N) Invoices—>Entry—

>Invoices



• Enter Standard in the Invoice Type field.• Enter Advanced Network Devices in the Supplier Name field. The

site should default in.• Enter today’s date as the invoice date.• Enter the invoice number.• Enter 7,247.16 in the Invoice Amount field.• Set the Match Option to Purchase Order and select the Match

button. This opens the Find Purchase Orders for Matching window.Notice that this new window has been enhanced to include 10search criteria fields.

• Enter your purchase order from step 1 and select the Find button.• The new Match to Purchase Orders window opens.• Select the line that corresponds to PO shipment 1.• The Quantity Invoiced field should default to 6.• The Unit Price field should default to 1207.86.• Select the Match button to complete the matching process.4.Match an Invoice to a Receipt• Navigate to the Invoice Workbench: (N) Invoices—>Entry—

>Invoices• Enter Standard in the Invoice Type field.• Enter Advanced Network Devices in the Supplier Name field. The

site should default in.• Enter today’s date as the invoice date.• Enter the invoice number.• Enter 4,831.44 in the Invoice Amount field.• Verify the Match option is set to Receipt and select the Match

button. This will take you to the Find Receipts for Matching window.− Note: In the Find Receipts for Matching window, certain fields

are dependent on other fields. For example, entering a validPO number will result in only receipts for that PO appearing inthe receipt number LOV. If no PO number is entered, thereceipt number LOV will show all receipts for the supplier onthe invoice. In the Find Receipts for Matching window youhave several ways of retrieving the receipt to which you wantto match. You can enter any combination or single entry of thePO number, receipt number, or packing slip number.

• Enter your receipt number then click Find. This will take you to theMatch to Receipts window.

− Note: When the Match to Receipts window opens, notice thatyou can see both PO shipments, even though the matchoption on shipment 1 is Match to Purchase Order. You will see



all shipments meeting the search criteria entered in the Findwindow,regardless of the match option. This gives a completeview of the lines entered on that receipt.

• Select the Match check box to indicate you have been billed for allfour units on PO shipment 2.

• Select the Match button. The invoice has now been matched to thereceipt.



Review Question

®

1818


1. Standard invoice2. Mixed invoice3. PO Default invoice4. Expense Report invoice5. QuickMatch invoice6. None of the above


Which invoice type can you not match to purchase ordersand receipts?




®

1919




Which invoice type can you not match to purchase ordersand receipts?



Agenda

®

AgendaAgenda



• Matching QuickMatch and PO default invoices topurchase orders and receipts in the InvoiceWorkbench




• Matching QuickMatch and PO default invoices topurchase orders and receipts in the InvoiceWorkbench




PO Default and QuickMatch Invoices

®

PO Default and QuickMatch InvoicesPO Default and QuickMatch Invoices

• If you have the amount of the purchase order towhich you want to match, Payables provides youwith two invoice types, PO Default andQuickMatch, to help speed up invoice matching.

• Enter PO Default as the invoice type if you knowthe purchase order you want to match to, butyou do not know to which purchase ordershipments or distributions you want to match.

• Enter QuickMatch as the invoice type if you wantto match an invoice to all shipments or receiptlines on a purchase order.

• If you have the amount of the purchase order towhich you want to match, Payables provides youwith two invoice types, PO Default andQuickMatch, to help speed up invoice matching.

• Enter PO Default as the invoice type if you knowthe purchase order you want to match to, butyou do not know to which purchase ordershipments or distributions you want to match.

• Enter QuickMatch as the invoice type if you wantto match an invoice to all shipments or receiptlines on a purchase order.

Instructor NotePO Default and QuickMatch type invoices revert to “Standard” type invoicesonce the invoice is matched.



Demonstration of Matching QuickMatch and PO Defaulttype Invoices to Receipts and Purchase Orders

®

2222

Demonstration of Matching QuickMatchand PO Default type Invoices to Receipts

and Purchase Orders

Demonstration of Matching QuickMatchand PO Default type Invoices to Receipts

and Purchase Orders

The instructor will demonstrate how to matchQuickMatch and PO Default type invoices to receiptsand purchase orders in the Invoice Workbench.

Instructor NoteDemonstrate how to match QuickMatch and PO Default type invoices to receiptsand purchase orders in the Invoice Workbench.



Review Question

®

2323


1. True2. False1. True2. False

If you enter a QuickMatch type invoice, Payablesautomatically completes the match to all purchase ordershipments.




®

2424



If you enter a QuickMatch type invoice, Payablesautomatically completes the match to all purchase ordershipments.



Agenda

®

AgendaAgenda


• Matching invoices to purchase orders and receiptsusing the Invoice Workbench

• Matching QuickMatch and PO Default typeinvoices to purchase orders and receipts



• Matching invoices to purchase orders and receiptsusing the Invoice Workbench

• Matching QuickMatch and PO Default typeinvoices to purchase orders and receipts




Entering Purchase Order Matched Invoice Records inthe Invoice Gateway

®

Entering Purchase Order Matched InvoiceRecords in the Invoice Gateway

Entering Purchase Order Matched InvoiceRecords in the Invoice Gateway

• When you enter a purchase order matchedinvoice record, the import process automaticallycreates invoice distributions for you based onyour match.

• You can match to a purchase order receipt, andyou can match to a purchase order at differentlevels: purchase order header, purchase orderline, purchase order shipment, purchase orderdistribution.

• You can match only Standard and Credit Memotype invoices in the Invoice Gateway.

• When you enter a purchase order matchedinvoice record, the import process automaticallycreates invoice distributions for you based onyour match.

• You can match to a purchase order receipt, andyou can match to a purchase order at differentlevels: purchase order header, purchase orderline, purchase order shipment, purchase orderdistribution.

• You can match only Standard and Credit Memotype invoices in the Invoice Gateway.



Demonstration of How to Match Invoices to PurchaseOrders and Receipts in the Invoice Gateway

®

Demonstration of How to Match Invoicesto Purchase Orders and Receipts in the

Invoice Gateway

Demonstration of How to Match Invoicesto Purchase Orders and Receipts in the

Invoice Gateway

The instructor will demonstrate how to matchinvoices to purchase orders and receipts in theInvoice Gateway.



Review Question

®

2828



When you enter a purchase order matched invoicerecord, the import process automatically createsinvoice distributions for you based on your match.




®

2929



When you enter a purchase order matched invoicerecord, the import process automatically createsinvoice distributions for you based on your match.



Summary

®

SummarySummary

In this lesson, you should have learned how to:• describe the basics of matching invoices to

purchase orders and receipts• match invoices to purchase orders and receipts

using the Invoice Workbench• match QuickMatch and PO Default type invoices to


using the Invoice Gateway

In this lesson, you should have learned how to:• describe the basics of matching invoices to


using the Invoice Workbench• match QuickMatch and PO Default type invoices to


using the Invoice Gateway


Processing Debit and Credit MemosChapter 8 - Page 1

Processing Debitand Credit MemosChapter 8



Processing Debit and Credit Memos

®

Processing Debit and Credit MemosProcessing Debit and Credit Memos



45 minutes Lecture 15 minutes Practice 60 minutes Total

Notations(N) = Navigator(T) = Tab(I) = Icon(H) = Hyperlink(B) = Button(Help) = Oracle Applications Help System



Online Help

®

Online HelpOnline Help

Use the Oracle Payables online HTML Help fordetailed explanations of how to use the product,including:• Product functionality• Window references• Explanations of the user interface

Use the Oracle Payables online HTML Help fordetailed explanations of how to use the product,including:• Product functionality• Window references• Explanations of the user interface



Viewing Online Help

®

Viewing Online HelpViewing Online Help

You can view HTML Help in the following ways:• From an application, use the help icon or the help

menu to open a new Web browser and displayhelp about that window

• Use the documentation CD• Use a URL provided by your system administratorTo search for information in the online Help, you caneither use the expandable menu to search for topicsin the menu structure we provide, or use the Searchfeature to search for words or phrases.




Instructor NoteInform the students that if they access the online Help from within theapplication, they do not need the first two levels of the Help path.



Objectives

®


After completing this course, you should be able todo the following:• Demonstrate how to enter debit and credit memos• Demonstrate how to match debit and credit

memos• Describe how to record price corrections

After completing this course, you should be able todo the following:• Demonstrate how to enter debit and credit memos• Demonstrate how to match debit and credit

memos• Describe how to record price corrections

Instructor NoteGo over the agenda with the students and discuss the activities that are includedin this module.



Agenda

®

AgendaAgenda

• Entering debit and credit memos• Matching debit and credit memos• Recording price corrections




Overview

®

OverviewOverview

Receive credit memoReceive credit memoCreate debit memoCreate debit memo

Enter debit orcredit memo

Match toMatch toinvoiceinvoice

Match to PO orMatch to PO orreceipt (andreceipt (and

optionally recordoptionally recordprice correction)price correction)

Instructor NoteReview the debit and credit memo process with the students.



Agenda

®

AgendaAgenda





Entering Debit and Credit Memos in the InvoiceWorkbench

®

Entering Debit and Credit Memos in theInvoice Workbench

Entering Debit and Credit Memos in theInvoice Workbench

Enter a credit or debit memo to record a credit forgoods or services purchased. Credit/debit memos arenetted with basic invoices at payment time.• Credit Memo: Negative amount invoice created by

a supplier and sent to you to notify you of a credit.• Debit Memo: Negative amount invoice created by

you and sent to a supplier to notify the supplier ofa credit you are recording. Usually sent with a noteexplaining the debit memo.

Note: In Oracle Payables, a debit memo and a creditmemo both create the same accountingentries. The system does not distinguish them asdifferent transactions.

Enter a credit or debit memo to record a credit forgoods or services purchased. Credit/debit memos arenetted with basic invoices at payment time.• Credit Memo: Negative amount invoice created by

a supplier and sent to you to notify you of a credit.• Debit Memo: Negative amount invoice created by

you and sent to a supplier to notify the supplier ofa credit you are recording. Usually sent with a noteexplaining the debit memo.

Note: In Oracle Payables, a debit memo and a creditmemo both create the same accountingentries. The system does not distinguish them asdifferent transactions.

Instructor NoteClarify the difference between a debit and credit memo in Oracle Payables andOracle Receivables. In Oracle Payables, a credit memo is a negative amountinvoice that is sent to a company by the supplier. A debit memo is a negativeamount invoice that a company creates and sends to the supplier to notify thesupplier about a credit that they are taking. In Oracle Receivables, a companyissues a credit memo to a customer to decrease the amount of the invoice thatwas sent to them, and the company issues a debit memo to a customer toincrease the amount of the invoice that was sent to them.The system creates the same accounting entries for both a debit memo and acredit memo in Oracle Payables. The liability account is debited and the chargeaccount is credited.



Entering Debit and Credit Memos

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Entering Debit and Credit MemosEntering Debit and Credit Memos

You can enter credit memos using the InvoiceWorkbench, Invoice Gateway, and the Open Interface.

You can enter debit memos using the InvoiceWorkbench.

Note: This module focuses on how to process debitand credit memos in the Invoice Workbench.

You can enter credit memos using the InvoiceWorkbench, Invoice Gateway, and the Open Interface.

You can enter debit memos using the InvoiceWorkbench.

Note: This module focuses on how to process debitand credit memos in the Invoice Workbench.

(Help) Oracle Financial Applications > Oracle Payables > Invoices > Creditand Debit Memos > Entering Credit/Debit Memos

Instructor NoteGo over the Help information and discuss entering credit and debit memos indetail.



Demonstration

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This demonstration covers how to enter a creditmemo using a distribution set.

(N) Invoices > Entry > Invoices

This demonstration covers how to enter a creditmemo using a distribution set.


Instructor NoteInform the students that they can use the scroll bars on their screen to adjust thewindows to see additional information. Also, during demonstrations, if awindow pops up towards the bottom of your screen, you might need to move itup so the students can see it. For example, when you navigate to the InvoiceGateway window, the Invoice Gateway Identification window pops up first. Itis a smaller window and it is located towards the bottom of the window. Youneed to move it up so the students can see it.Demonstrate to the students how to enter a credit memo by using AdvancedNetwork Devices as the supplier and the Equipment Expense (Full) distributionset.



Practice 1 Overview

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This practice covers entering a credit memo with adistribution set using the Invoice Workbench.This practice covers entering a credit memo with adistribution set using the Invoice Workbench.

Instructor Note5 minutes has been allotted for this practice.Each student needs a unique invoice number for this practice. Ask the studentsto use something unique to them in determining the invoice number.




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Advanced Network Devices realized that they havenot given you the discount you were entitled to,so they are issuing you a $1000.00 credit memo. Enterthe credit memo using the Equipment Expense(Full) distribution set.Invoice #: Given to you by the instructorDate: TodayTerms: ImmediateSupplier: Advanced Network DevicesDescription: DiscountTotal Due: {$1000}

Advanced Network Devices realized that they havenot given you the discount you were entitled to,so they are issuing you a $1000.00 credit memo. Enterthe credit memo using the Equipment Expense(Full) distribution set.Invoice #: Given to you by the instructorDate: TodayTerms: ImmediateSupplier: Advanced Network DevicesDescription: DiscountTotal Due: {$1000}

Practice 1 Solutions1. Navigate to the Invoices window.(N) Invoices > Entry > Invoices2. In the Type field, enter Credit Memo. There will be a note displayed that says“Payables defaults the payment terms from the supplier site to the invoice. Verifythe payment terms for credit or debit memos. You may want to change thepayment terms to Immediate for credit and debit memos”.3. Click OK to acknowledge the message.4. Enter Advanced Network Devices as the supplier.5. Enter Santa Clara as the site.6. As the credit memo is dated today, accept the default date.7. Enter the credit memo number.8. Enter -1,000 in the Invoice Amount field. Make sure to enter the amount as anegative value.9. In the Distribution Set field, enter the Equipment Expense (Full) distributionset.10. In the Description field, enter the description for this credit memo.11. In the Terms field, make sure the terms are Immediate; if they are not, selectImmediate.



12. Choose Distributions.13. Verify the distributions were created.



Review Question

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In Oracle Payables, a debit memo and a credit memocreate different accounting entries.1. True2. False





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Instructor NoteCorrect answer: 2A debit memo and a credit memo both create the same accounting entries. Theliability account is debited and the charge account is credited.



Agenda

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AgendaAgenda





Matching Debit and Credit Memos in the InvoiceWorkbench

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Matching Debit and Credit Memos in theInvoice Workbench

Matching Debit and Credit Memos in theInvoice Workbench

• You can match a debit or credit memo to existinginvoices, purchase orders, or receipts.

• When you match a debit or credit memo to anexisting invoice, purchase order, or receipt,Payables automatically copies the accountinginformation from the matched document andcreates invoice distributions for the credit memoor debit memo.

• You can match a debit or credit memo to existinginvoices, purchase orders, or receipts.

• When you match a debit or credit memo to anexisting invoice, purchase order, or receipt,Payables automatically copies the accountinginformation from the matched document andcreates invoice distributions for the credit memoor debit memo.

(Help) Oracle Financial Applications > Oracle Payables > Invoices > Creditand Debit Memos > Matching Credit/Debit Memos

Instructor NoteGo over the Help information and discuss matching credit and debit memos toinvoices, receipts, and purchase orders in detail.You can match credit memos and debit memos to invoices only in the InvoiceWorkbench, not the Invoice Gateway.



Clearing a Credit

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Clearing a CreditClearing a Credit

If you receive a refund from your supplier, you canenter the refund to clear a credit or debit memoyou have entered, but have been unable to include ina payment.

If you receive a refund from your supplier, you canenter the refund to clear a credit or debit memoyou have entered, but have been unable to include ina payment.



Demonstration

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This demonstration covers how to enter a creditmemo and match it to an invoice.

(N) Invoices > Entry > Invoices (B) Match Invoice (B)Find

This demonstration covers how to enter a creditmemo and match it to an invoice.

(N) Invoices > Entry > Invoices (B) Match Invoice (B)Find

Instructor NoteYou need an existing invoice in the Vision database to perform thisdemonstration. You can use Advanced Network Devices as the supplier.



Practice 2 Overview

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This practice covers entering a credit memo andmatching it to an invoice.This practice covers entering a credit memo andmatching it to an invoice.

Instructor Note10 minutes has been allotted for this practice.The students need an existing invoice in the Vision database to perform thispractice. If there are not seeded invoices, the invoices need to be entered.Each student needs a unique credit memo number for this practice. Ask thestudents to use something unique to them in determining the invoice number.




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Advanced Network Devices has acknowledgedover billing you for the advertising promotionalgiveaway items that were recently purchased, andforwarded the following credit. Prorate the credit overthe invoice distribution lines.Invoice #: Given to you by the instructorDate: TodayTerms: ImmediateSupplier: Advanced Network DevicesTotal: {$2,000}

Advanced Network Devices has acknowledgedover billing you for the advertising promotionalgiveaway items that were recently purchased, andforwarded the following credit. Prorate the credit overthe invoice distribution lines.Invoice #: Given to you by the instructorDate: TodayTerms: ImmediateSupplier: Advanced Network DevicesTotal: {$2,000}

Practice 2 Solutions1. Navigate to the Invoices window.(N) Invoices > Entry > Invoices2. In the Type field, enter Credit Memo. Payables opens a window with thefollowing note “Payables defaults the payment terms from the supplier site to theInvoice. Verify the payment terms for credit or debit memos. You may want tochange the payment terms to Immediate for credit and debit memos”.3. Click OK to acknowledge the message.4. Enter Advanced Network Devices as the supplier.5. Enter Santa Clara as the site.6. As the credit memo is dated today, accept the default date.7. Enter the credit memo number. Write down the number ______________.8. Enter -2,000 in the Invoice Amount field. Make sure to enter the amount as anegative value.9. In the Description field, enter Advertising Items.10. In the Terms field, make sure the terms are Immediate; if they are not, selectImmediate.11. In the Invoices window, choose Invoice from the poplist for the Match button.Select the Match button.



12. To match this credit memo to the original invoice, enter the invoice numbergiven to you by the instructor. Select the Find button.13. In the Match to Invoices window, select the Match check box.14. In the Credit Amount field, enter -2,000.15. Select Match.16. When the matching process is completed, select the Distributions button andverify that the distributions were created.



Review Question

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Which one of the following can you match a debitmemo and credit memo to?1. Refund2. Receipt3. Payment4. Prepayment5. Expense report





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Instructor NoteCorrect answer: 2Remind the students you can match debit and credit memos to invoices,receipts, and purchase orders.



Agenda

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AgendaAgenda





Recording a Price Correction

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Recording a Price CorrectionRecording a Price Correction

• Use a price correction to record and update theinvoiced unit price of previously matchedpurchase orders or receipts without adjusting thequantity billed in order to track price variances.

• Payables also updates the amount billed on theoriginally matched purchase order distributions.

• Use a price correction to record and update theinvoiced unit price of previously matchedpurchase orders or receipts without adjusting thequantity billed in order to track price variances.

• Payables also updates the amount billed on theoriginally matched purchase order distributions.

(Help) Oracle Financial Applications > Oracle Payables > Invoices >Matching to Purchase Orders and Receipts > Recording Price Corrections inthe Invoice Workbench

Instructor NoteGo over the Help information and discuss how to record price corrections indetail.



How to Record a Price Correction

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How to Record a Price CorrectionHow to Record a Price Correction

• Record a price decrease by entering a debit orcredit memo invoice. Then when matching to apurchase order or receipt, select the PriceCorrection check box in the Find Purchase Ordersfor Matching window or Find Receipts forMatching window.

• Record a price increase by entering a Standard orPO Default invoice type. Then when matching to apurchase order or receipt, select the PriceCorrection check box.

• Record a price decrease by entering a debit orcredit memo invoice. Then when matching to apurchase order or receipt, select the PriceCorrection check box in the Find Purchase Ordersfor Matching window or Find Receipts forMatching window.

• Record a price increase by entering a Standard orPO Default invoice type. Then when matching to apurchase order or receipt, select the PriceCorrection check box.



Demonstration

®


This demonstration covers how to record a pricecorrection.

(N) Invoices > Entry > Invoices (B) Match PurchaseOrder (B) Find

This demonstration covers how to record a pricecorrection.

(N) Invoices > Entry > Invoices (B) Match PurchaseOrder (B) Find

Instructor NoteYou need an existing purchase order in the Vision database to perform thisdemonstration. You can use Advanced Network Devices as the supplier.



Summary

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SummarySummary

In this module, you should have learned how to:• Process debit and credit memos• Record price corrections

In this module, you should have learned how to:• Process debit and credit memos• Record price corrections


R11i Managing and Approving InvoicesChapter 9 - Page 1

R11i Managing andApproving InvoicesChapter 9



Managing and Approving Invoices

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Managing and Approving InvoicesManaging and Approving Invoices


ILT Schedule: Timing Topic<84> minutes Lecture<36> minutes Practice<120> minutes Total

Notations:(N) = Navigator(T) = Tab(I) = Icon(H) = Hyperlink(B) = Button(Help) = Oracle Applications Help System



Objectives

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After completing this lesson, you should be able to:• Inquire on invoices• Apply and release holds• Approve invoices• Adjust or cancel invoices• Adjust purchase order matched invoices

After completing this lesson, you should be able to:• Inquire on invoices• Apply and release holds• Approve invoices• Adjust or cancel invoices• Adjust purchase order matched invoices



Agenda

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33Oracle ConfidentialOracle Confidential

AgendaAgenda

• Inquiring on invoices• Applying and releasing holds• Approving invoices• Adjusting or canceling invoices• Adjusting purchase order matched invoices





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Invoice Inquiry: OverviewInvoice Inquiry: Overview

After completing this section, you should be able to:• Find invoices• Find invoice distributions• Calculate supplier balances• Review high-level invoice information

After completing this section, you should be able to:• Find invoices• Find invoice distributions• Calculate supplier balances• Review high-level invoice information




®

Invoice Inquiry: OverviewInvoice Inquiry: OverviewEnter or importEnter or importinvoicesinvoices

Approve invoice






Receive invoicesReceive invoiceselectronically orelectronically or

in the mailin the mail

100,000100,000

APAP

60,00060,00010,00010,00030,00030,000




Finding Invoices

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Finding InvoicesFinding Invoices

Enter multiple search criteria in the Find Invoiceswindow.OREnter a query using your search criteria in theInvoices window.

(Help) Applications Help Library > Oracle Financial Applications >Oracle Payables > Invoices > Finding and Reviewing Invoices >Finding Invoices(N) Invoices > Inquiry > Invoices(N) Invoices > Entry > Invoices (M) View > FindInstructor Notes

Demonstrate how to access the Find Invoices window from the Invoices orInvoice Overview windows using the flashlight icon or (M) View > Find.



Finding Invoice Distributions

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Finding Invoice DistributionsFinding Invoice Distributions

Query an invoice in the Invoices window and clickDistributions.OREnter a query in the Distributions window to findspecific distribution lines for the invoice.

(Help) Applications Help Library > Oracle Financial Applications >Oracle Payables > Invoices > Finding and Reviewing Invoices >Reviewing Invoice Distributions(N) Invoices > Entry > Invoices (B) Distributions (M) View > Find



Calculating Supplier Balances

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Calculating Supplier BalancesCalculating Supplier Balances

Use the Calculate Balance Owed window to:• View the balance that you owe to a supplier• View the number of unpaid invoices and

prepayments for the supplier• Convert foreign currency invoices into your

functional currency for display purposes

Use the Calculate Balance Owed window to:• View the balance that you owe to a supplier• View the number of unpaid invoices and

prepayments for the supplier• Convert foreign currency invoices into your

functional currency for display purposes

(Help) Applications Help Library > Oracle Financial Applications >Oracle Payables > Invoices > Finding and Reviewing Invoices >Calculating a Supplier or Supplier Site Balance(N) Invoices > Inquiry > Invoices (B) Calculate Balance OwedInstructor Notes

Explain that you must enter selection criteria in the Find Invoices windowbefore you choose the Calculate Balance Owed button.Also mention that you can drill down to the Invoices window by choosing theInvoices button.



Demonstration

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This demonstration covers how to calculate asupplier balance.

(N) Invoices > Inquiry > Invoices (B) CalculateBalance Owed

(Help) Applications Help Library > Oracle Financial Applications >Oracle Payables > Invoices > Finding and Reviewing Invoices >Calculating a Supplier or Supplier Site BalanceInstructor Notes

Demonstrate how to calculate a supplier balance. Before class, select or create asupplier that has unpaid invoices to use for this demonstration.



Reviewing High-Level Invoice Information

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Reviewing High-Level Invoice InformationReviewing High-Level Invoice Information

Use the Invoice Overview window to quickly review:• Supplier information• Invoice information• Active holds• Scheduled payments• Actual payments• Purchase order informationNote: The information in this window is display only.

Use the Invoice Overview window to quickly review:• Supplier information• Invoice information• Active holds• Scheduled payments• Actual payments• Purchase order informationNote: The information in this window is display only.

(Help) Applications Help Library > Oracle Financial Applications >Oracle Payables > Invoices > Finding and Reviewing Invoices >Invoice Overview(N) Invoices > Inquiry > Invoice Overview



Reviewing High-Level Invoice Information

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Reviewing High-Level Invoice InformationReviewing High-Level Invoice Information

In the Invoice Overview window, you can enter aquery or use the Find Invoices window to retrieve aninvoice.To adjust, approve, or see more information about theinvoice, navigate to the Invoices window.

(Help) Applications Help Library > Oracle Financial Applications >Oracle Payables > Invoices > Finding and Reviewing Invoices >Invoice Overview(N) Invoices > Inquiry > Invoice OverviewInstructor Notes

Highlight that you must use the Invoices window, and not the Invoice Overviewwindow, to adjust or approve invoices.



Review Question

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The director of corporate purchasing wants to knowhow many unpaid invoices are in Oracle Payables fora certain supplier. You can find this information in theInvoices window.

True or False?




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The director of corporate purchasing wants to knowhow many unpaid invoices are in Oracle Payables fora certain supplier. You can find this information in theInvoices window.

True or False?Answer:False

Instructor NotesThe answer is False. Although you can see if an invoice is unpaid in theInvoices window, you can most easily find the total number of unpaid invoicesfor a supplier in the Calculate Balance Owed window.



Agenda

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AgendaAgenda





Applying and Releasing Invoice Holds: Overview

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Applying and Releasing Invoice Holds:Overview

Applying and Releasing Invoice Holds:Overview

After completing this section, you should be able to:• Describe the various hold types in Oracle

Payables• Apply holds to selected invoices• Apply holds to invoices for a supplier site• Apply holds to scheduled payments• Release holds

After completing this section, you should be able to:• Describe the various hold types in Oracle

Payables• Apply holds to selected invoices• Apply holds to invoices for a supplier site• Apply holds to scheduled payments• Release holds



Holds

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HoldsHolds

• Holds prevent payment and, sometimes,accounting of an invoice

• Oracle Payables applies holds to invoices that failApproval

• You can manually apply certain holds

• Holds prevent payment and, sometimes,accounting of an invoice

• Oracle Payables applies holds to invoices that failApproval

• You can manually apply certain holds

(Help) Applications Help Library > Oracle Financial Applications >Oracle Payables > Invoices > Holds > Applying Holds(Help) Applications Help Library > Oracle Financial Applications >Oracle Payables > Setup > Invoice Approvals > Invoice Approvals(N) Invoices > Entry > Invoices (B) Holds



Hold Types

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Acct Hold Reason No

Funds Hold Reason Mixed

Insufficient Information No

Invoice Hold Reason Yes

Matching Hold Reason Mixed

Period Hold Type No

PO Req Hold Reason No

Variance Hold Reason Mixed

Hold TypesHold Types

Review the hold types that Oracle Payables automaticallyReview the hold types that Oracle Payables automaticallyplaces during Approval.places during Approval.

User Manually Hold Types Predefined Definable Releasable

(Help) Applications Help Library > Oracle Financial Applications >Oracle Payables > Appendix > Summary of Approval Hold Codes



Manually Applying Holds

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Manually Applying HoldsManually Applying Holds

• Invoice hold• Supplier hold• Scheduled payment hold

• Invoice hold• Supplier hold• Scheduled payment hold

There are three types of holds that you can use toprevent payment of an invoice:

(Help) Applications Help Library > Oracle Financial Applications >Oracle Payables > Invoices > Holds > Applying Holds(N) Invoices > Entry > Invoices (B) HoldsInstructor Notes

Inform the students that scheduled payment holds and holds resulting from theHold All Payments supplier site option will not show up in the Holds window orthe Invoices window.Explain that you cannot manually apply system holds.Explain that you cannot apply holds to an invoice you have selected forpayment in a payment batch.



Manually Applying Invoice Holds

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Manually Applying Invoice HoldsManually Applying Invoice Holds

Oracle Payables provides some generic invoice holdsfor you, and you can define your own holds based onyour invoice approval needs.You can manually apply one or more Invoice HoldReason holds to an invoice using the Invoice Holdswindow of the Invoice Workbench.

(Help) Applications Help Library > Oracle Financial Applications >Oracle Payables > Invoices > Holds >Applying Holds scroll down to Applying a Hold to an Invoice(N) Setup > Invoice > Approvals(N) Invoices > Entry > Invoices (B) HoldsInstructor Notes

Inform the students that user-defined hold codes are defined in the InvoiceApprovals window.You can select from all invoice approvals defined with the type Invoice HoldReason.Oracle Payables prevents manual entry of the hold names that are automaticallyplaced during Approval.Oracle Payables displays a full audit trail of all current and released holds in thiswindow.



Applying Holds to Suppliers

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Applying Holds to SuppliersApplying Holds to Suppliers

You can prevent payment of supplier invoices byapplying a hold to the supplier site.

In the Supplier Sites window, you can enable theseoptions:• Hold All Payments• Hold Unapproved Invoices• Hold Unmatched Invoices

• Hold All Payments• Hold Unapproved Invoices• Hold Unmatched InvoicesYou can also specify an invoice amount limit for asupplier site.

(Help) Applications Help Library > Oracle Financial Applications >Oracle Payables > Invoices > Holds >Applying Holds scroll down to Applying Supplier Site Holds(N) Suppliers > Entry (M) View > Find (B) Sites (T) ControlInstructor Notes

Oracle Payables provides a warning message during invoice entry when asupplier hold is created. Oracle Payables also provides these options at thesupplier level, but Oracle Payables uses these options only to provide defaultsfor new supplier sites that you enter.Note: If the Hold All Payments option is enabled at the supplier site, the Holdfield in the Invoices window does not reflect this because the hold is a supplierhold, not an invoice hold.



Applying Holds to Scheduled Payments

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Applying Holds to Scheduled PaymentsApplying Holds to Scheduled Payments

You can hold payment on an invoice, or on part of aninvoice, by placing one or more of the scheduledpayments on hold in the Scheduled Paymentswindow of the Invoice Workbench.

(Help) Applications Help Library > Oracle Financial Applications >Oracle Payables > Invoices > Holds >Applying Holds scroll down to Applying a Hold to a Scheduled Payment(N) Invoices > Entry > Invoices (B) Scheduled Payments



Demonstration

®


This demonstration covers how to manually apply ahold to an invoice.

(N) Invoices > Entry > Invoices (B) Holds(N) Suppliers > Entry (M) View > Find (B) Sites(T) Control(N) Invoices > Entry > Invoices (B) ScheduledPayments

Instructor NotesReview how to place a hold on a specific invoice. Before the start of thismodule, the instructor should enter an invoice to use for this demonstration.Demonstrate how to apply a hold to an invoice. Explain that you can apply asmany holds to an invoice as you require.Demonstrate how to apply a hold to a scheduled payment.




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• Release holds from invoices to pay and accountfor them.

• You can view the holds on an invoice in either theInvoice Overview or the Invoice Holds window.You can see the number of holds on an invoice inthe Invoices window.

• Identify invoices on hold with the Invoices on HoldReport and the Matching Hold Detail Report.

• Release holds from invoices to pay and accountfor them.

• You can view the holds on an invoice in either theInvoice Overview or the Invoice Holds window.You can see the number of holds on an invoice inthe Invoices window.

• Identify invoices on hold with the Invoices on HoldReport and the Matching Hold Detail Report.

(Help) Applications Help Library > Oracle Financial Applications >Oracle Payables > Invoices > Holds > Releasing Holds > Releasing Holds(Help) Applications Help Library > Oracle Financial Applications >Oracle Payables > Appendix > Using Oracle Alert for Exception Reporting(N) Invoices > Entry > Invoices (M) View > Find (B) HoldsInstructor Notes

Explain that you must manually release all holds that were manually applied.Payables does not automatically release holds that you apply to invoices.Explain that you can use Oracle Alert functionality to provide online exceptionreporting capability.



Correcting System Holds

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Correcting System HoldsCorrecting System Holds

• Oracle Payables applies some holds that youcannot manually release.

• You can use the Invoice Holds window to viewinvoices with system holds, but you cannotmanually release these holds.

• You can correct exceptions by updating either theinvoice or the purchase order, or by changing yourinvoice tolerances.

• You must correct the exception that causedApproval to place the hold on the invoice and thenresubmit Approval to release system holds.

• Oracle Payables applies some holds that youcannot manually release.

• You can use the Invoice Holds window to viewinvoices with system holds, but you cannotmanually release these holds.

• You can correct exceptions by updating either theinvoice or the purchase order, or by changing yourinvoice tolerances.

• You must correct the exception that causedApproval to place the hold on the invoice and thenresubmit Approval to release system holds.

(Help) Applications Help Library > Oracle Financial Applications >Oracle Payables > Invoices > Holds > Releasing Holds >Hold Release Restrictions(Help) Applications Help Library > Oracle Financial Applications >Oracle Payables > Setup > Invoice Approvals > Invoice Approvals(N) Invoices > Entry > Invoices (M) View > Find (B) Holds



Manually Releasing Holds

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Manually Releasing HoldsManually Releasing Holds

You can manually release three types of holds:• Invoice Hold

– In the Invoice Holds window, select a ReleaseName

– In the Invoice Actions window, select ReleaseHolds

You can manually release three types of holds:• Invoice Hold

– In the Invoice Holds window, select a ReleaseName

– In the Invoice Actions window, select ReleaseHolds

(Help) Applications Help Library > Oracle Financial Applications >Oracle Payables > Invoices > Holds > Releasing Holds > Releasing Holds(N) Invoices > Entry > Invoices (M) View > Find (B) HoldsInstructor Notes

Explain the following:To release a single hold, enter a Release Name in the Invoice Holdswindow. To initiate a QuickRelease for multiple holds on a single invoice,select the multiple holds that you would like to release in the InvoiceHolds window. Next, click Release and select a Release Name that isassociated with an Invoice Quick Release Reason. You can select from allInvoice Approvals defined with the type Invoice Quick Release Reason.Click OK. All holds that you previously selected will be released for theinvoice.To release holds from multiple invoices, select Release Holds in theInvoice Actions window and select the Hold Name of the one hold typeyou want to release. Select a Release Name. You can select from allInvoice Approvals defined with the type Hold Quick Release Reason.You manually release all manually applied invoice holds, and you can alsomanually release certain system-applied invoice holds.After you release all holds from an invoice, it may not be necessary toresubmit Approval before you can pay or create accounting entries for it.



For system holds, however, you must correct the problem and resubmitApproval.



Manually Releasing Holds

®

Manually Releasing HoldsManually Releasing Holds

• Supplier Site Hold– In the Invoice Holds window, release the holds

that resulted from the Hold UnapprovedInvoices option, the Hold Unmatched Invoicesoption, and the Invoice Amount Limit (AmountHold)

– In the Supplier Sites window, uncheck theHold All Payments option to release this hold

• Scheduled Payment Hold– In the Scheduled Payments window, uncheck

the Hold check box

• Supplier Site Hold– In the Invoice Holds window, release the holds

that resulted from the Hold UnapprovedInvoices option, the Hold Unmatched Invoicesoption, and the Invoice Amount Limit (AmountHold)

– In the Supplier Sites window, uncheck theHold All Payments option to release this hold

• Scheduled Payment Hold– In the Scheduled Payments window, uncheck

the Hold check box

(Help) Applications Help Library > Oracle Financial Applications >Oracle Payables > Invoices > Holds > Releasing Holds > Releasing Holds(N) Invoices > Entry > Invoices (M) View > Find (B) Holds(N) Suppliers > Entry (M) View > Find (B) Sites (T) Control(N) Invoices > Entry > Invoices (B) Scheduled Payments



Manually Releasing System Holds

®

Acct Hold Reason No

Funds Hold Reason Mixed

Insufficient Information No

Invoice Hold Reason Mixed

Matching Hold Reason Mixed

Period Hold Type No

PO Req Hold Reason No

Variance Hold Reason Mixed

Manually Releasing System HoldsManually Releasing System Holds

Review the hold types that are manually releasable.Review the hold types that are manually releasable.User Manually

Hold Types Predefined Definable Releasable

(Help) Applications Help Library > Oracle Financial Applications >Oracle Payables > Setup > Invoice Approvals > Invoice Approvals



Manually Releasing System Holds

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Manually Releasing System HoldsManually Releasing System Holds

If you release a manually releasable hold that OraclePayables applied during Approval, the next time yousubmit Approval, Oracle Payables will not reapply thesame hold.

(Help) Applications Help Library > Oracle Financial Applications >Oracle Payables > Invoices > Holds > Releasing Holds > Releasing Holds(N) Invoices > Entry > Invoices (M) View > Find (B) Holds




®


Define your release codes in the Invoice Approvalswindow. Define as many release codes as you need.

(Help) Applications Help Library > Oracle Financial Applications >Oracle Payables > Setup > Invoice Approvals > Invoice Approvals(Help) Applications Help Library > Oracle Financial Applications >Oracle Payables > Invoices > Holds > Releasing Holds >Releasing Holds(N) Setup > Invoice > Approvals



Releasing Holds

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Acct Release Reason

Funds Release Reason

Sufficient Information

Invoice Release Reason

Matching Release Reason

Period Release Type

Variance Release Reason

Hold Quick Release Reason

Invoice Quick Release Reason

Releasing HoldsReleasing HoldsReview the predefined release types that Oracle PayablesReview the predefined release types that Oracle Payablesprovides.provides.

Approval User Release Types Predefined Definable

(Help) Applications Help Library > Oracle Financial Applications >Oracle Payables > Setup > Invoice Approvals > Invoice Approvals(N) Setup > Invoice > Approvals



Review Question

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If you have an invoice that Oracle Payables put onhold because of an account hold reason, you mustcorrect the problem and then resubmit Approval.True or False?




®


If you have an invoice that Oracle Payables put onhold because of an account hold reason, you mustcorrect the problem and then resubmit Approval.True or False?Answer:True

Instructor NotesThe answer is True. You must correct the exception that caused Approval toplace the hold on the invoice, then resubmit Approval to release the hold.Explain that you can correct exceptions by updating the invoice or the purchaseorder, or by changing your invoice tolerances.



Demonstration

®


This demonstration covers how to release a hold onan invoice.

(N) Invoices > Entry > Invoices (M) View > Find(B) Holds(N) Suppliers > Entry (M) View > Find (B) Sites(T) Control(N) Invoices > Entry > Invoices (B) ScheduledPayments

Instructor NotesReview how to release a hold on a specific invoice. Use the invoice that youapplied a hold on in the previous demonstration.Use the Find Invoices window to query the invoices for a particular supplierfrom which you want to release holds.Highlight the difference between a Release Name and a Quick Release Reason.When you set up the Release Name, you have to associate it with a QuickRelease Reason. For instance, two options for the Release Reason are HoldQuick Release Reason and Invoice Quick Release Reason.Explain that the Release Name that you enter will be displayed whenever holdinformation is reviewed for any of the invoices. Apply any Release Name to anyhold that can be released manually.Explain that you can optionally select the Payment Schedule button to releaseany payment schedule line holds.



Agenda

®


AgendaAgenda






®

Approving Invoices: OverviewApproving Invoices: Overview

After completing this section, you should be able to:• Describe the various approval methods• Submit invoices for batch approval• Approve invoices online• Approve invoice batches online

After completing this section, you should be able to:• Describe the various approval methods• Submit invoices for batch approval• Approve invoices online• Approve invoice batches online




®

Approving Invoices: OverviewApproving Invoices: OverviewEnter or importEnter or importinvoicesinvoices

Approve invoice








100,000100,000

APAP

60,00060,00010,00010,00030,00030,000




Approving Invoices

®


Before you can pay or account for an invoice(including prepayments), you must submit Approvalfor the invoice in one of three ways:• Batch by submitting the Payables Approval

program from the Submit Request window• Online by using the Invoice Actions window• Online by using the Approve button in the Invoice

Batches window

Before you can pay or account for an invoice(including prepayments), you must submit Approvalfor the invoice in one of three ways:• Batch by submitting the Payables Approval

program from the Submit Request window• Online by using the Invoice Actions window• Online by using the Approve button in the Invoice

Batches window

(Help) Applications Help Library > Oracle Financial Applications >Oracle Payables > Invoices > Approval > Approval(Help) Applications Help Library > Oracle Financial Applications >Oracle Payables > Invoices > Approval > Payables Approval Program(N) Other > Requests > Run(N) Invoices > Entry > Invoices (M) View > Find (B) Actions(N) Invoices > Entry > Invoices Batches (B) Approve



Approving Invoices

®


• Approval validates the matching, tax, periodstatus, exchange rate, and distribution informationfor invoices that you enter.

• Approval automatically applies holds to exceptioninvoices.

• If a tax, freight, or miscellaneous distribution isnot allocated or not fully allocated, Approval fullyallocates the distribution by prorating across allapplicable distributions.

• Approval validates the matching, tax, periodstatus, exchange rate, and distribution informationfor invoices that you enter.

• Approval automatically applies holds to exceptioninvoices.

• If a tax, freight, or miscellaneous distribution isnot allocated or not fully allocated, Approval fullyallocates the distribution by prorating across allapplicable distributions.

Instructor NotesExplain that invoices could have exceptions if they fall outside the invoicetolerances that you define, for example.



Submitting Batch Approval

®

Submitting Batch ApprovalSubmitting Batch Approval

You can automate your approval cycle throughautomatic approval resubmission.

Define your submission options for the PayablesApproval program in the Submit Request window.

You can specify the intervals when you want tosubmit Approval, and Payables will submit Approvalusing the parameters you specify.

(Help) Applications Help Library > Oracle Financial Applications >Oracle Payables > Invoices > Approval > Approval(Help) Applications Help Library > Oracle Financial Applications >Oracle Payables > Invoices > Approval > Payables Approval Program(N) Other > Requests > Run



Submitting Batch Approval

®

Submitting Batch ApprovalSubmitting Batch Approval

• Enter All in the Option field to submit Approvalfor all invoices. Otherwise, Approval reviewsonly those invoice distributions that were notalready reviewed by Approval.

• Optionally, enter other criteria to submitApproval for specific groups of invoices.

• Enter All in the Option field to submit Approvalfor all invoices. Otherwise, Approval reviewsonly those invoice distributions that were notalready reviewed by Approval.

• Optionally, enter other criteria to submitApproval for specific groups of invoices.

In the Submit Request window, select PayablesApproval and enter the parameters of your choice:

(Help) Applications Help Library > Oracle Financial Applications >Oracle Payables > Invoices > Approval > Approval(Help) Applications Help Library > Oracle Financial Applications >Oracle Payables > Invoices > Approval > Payables Approval Program(N) Other > Requests > Run



Approving Invoices Online

®

Approving Invoices OnlineApproving Invoices Online

If the Payables option to allow online approval isenabled, you can submit online approval forindividual invoices when an invoice must beapproved and paid immediately.

(Help) Applications Help Library > Oracle Financial Applications >Oracle Payables > Invoices > Approval >Submitting Online Approval for Invoices(N) Invoices > Entry > Invoices (M) View > Find (B) ActionsInstructor Notes

Point out that to enable online approval, you must set the Allow OnlineApproval option in the Invoice region of the Payables Options window.Explain that if you are approving a credit or debit memo, you should select theApprove Related Invoices check box in the Invoice Actions window to submitonline approval for invoices associated with the credit or debit memo.



Demonstration

®


This demonstration covers how to approve aninvoice.

(N) Other > Requests > Run(N) Invoices > Entry > Invoices (M) View > Find(B) Actions

Instructor NotesReview how to approve an invoice. Use the same invoice on which you appliedand released a hold in the previous demonstrations.



Approving Invoice Batches Online

®

Approving Invoice Batches OnlineApproving Invoice Batches Online

Submit Approval for entire batches from the InvoiceBatches window.

Use the multi-row selection feature to select severalbatches to approve at the same time.

(Help) Applications Help Library > Oracle Financial Applications >Oracle Payables > Invoices > Approval >Submitting Online Approval for Invoice Batches(N) Invoices > Entry > Invoice Batches (M) View > Find (B) Approve



Practice 1

®


In this practice, you will answer questions aboutapproving invoices.1. To allow online approval, enable the ______

Payables option.2. To approve invoices online from the Invoices

window, click the ______ button.3. Submit Approval for entire batches from the

______ window.4. You can set up automatic submission of the

Payables Approval program in the ______ window.

In this practice, you will answer questions aboutapproving invoices.1. To allow online approval, enable the ______

Payables option.2. To approve invoices online from the Invoices

window, click the ______ button.3. Submit Approval for entire batches from the

______ window.4. You can set up automatic submission of the

Payables Approval program in the ______ window.




®


In this practice, you will answer questions aboutapproving invoices.1. To allow online approval, enable the Allow Online

Approval Payables option.2. To approve invoices online from the Invoices

window, click the Actions button.3. Submit Approval for entire batches from the

Invoice Batches window.4. You can set up automatic submission of the

Payables Approval program in the Submit Requestwindow.

In this practice, you will answer questions aboutapproving invoices.1. To allow online approval, enable the Allow Online

Approval Payables option.2. To approve invoices online from the Invoices

window, click the Actions button.3. Submit Approval for entire batches from the

Invoice Batches window.4. You can set up automatic submission of the

Payables Approval program in the Submit Requestwindow.



Agenda

®


AgendaAgenda





Other Invoice Functions: Overview

®

Other Invoice Functions: OverviewOther Invoice Functions: Overview

After completing this section, you should be able to:• Adjust invoices• Cancel invoices

After completing this section, you should be able to:• Adjust invoices• Cancel invoices



Adjusting Invoices

®

Adjusting InvoicesAdjusting Invoices

• Authorized users can make adjustments to invoicedetails, distributions, and scheduled payments,even if the invoice has been accounted or paid

• You can adjust certain information on a paidinvoice if you enable the Allow Adjustments toPaid Invoices Payables option

• Authorized users can make adjustments to invoicedetails, distributions, and scheduled payments,even if the invoice has been accounted or paid

• You can adjust certain information on a paidinvoice if you enable the Allow Adjustments toPaid Invoices Payables option

(Help) Applications Help Library > Oracle Financial Applications >Oracle Payables > Invoices > Adjusting Invoices >Adjusting Invoice Amounts scroll down to Adjusting Invoice Amounts(Help) Applications Help Library > Oracle Financial Applications >Oracle Payables > Invoices > Adjustment Charts > Invoice Adjustment Chart(N) Invoices > Entry > Invoices (M) View > FindInstructor Notes

Open the online help and show the students the Invoice Adjustment Chart.Explain that adjustment criteria are different for each invoice field and they canrefer to the chart to see when they can adjust a field.Explain that after you make an adjustment to an invoice, you might need tosubmit Approval before you can pay it. If you adjust payment terms or anyscheduled payment information on an approved invoice, you do not need toresubmit Approval.Explain that after you cancel an invoice, you can make no changes to theinvoice.Explain that you can delete an invoice that is not yet approved, or is approvedbut has not been paid or accounted.



Demonstration

®


This demonstration covers how to adjust an invoice.

Instructor NotesReview how to adjust an invoice by changing the invoice amount and paymentschedule. Use the same invoice on which you applied and released a hold in theprevious demonstrations.



Canceling Invoices

®

Canceling InvoicesCanceling Invoices

• You can cancel only unpaid invoices• You can cancel any unapproved invoice or an

approved invoice that does not have any effectivepayments or accounting holds

• If an invoice has a hold that prevents accounting,you must release the hold before you cancel theinvoice

• You cannot cancel an invoice that was selected forpayment in a payment batch

• You can cancel only unpaid invoices• You can cancel any unapproved invoice or an

approved invoice that does not have any effectivepayments or accounting holds

• If an invoice has a hold that prevents accounting,you must release the hold before you cancel theinvoice

• You cannot cancel an invoice that was selected forpayment in a payment batch

(Help) Applications Help Library > Oracle Financial Applications >Oracle Payables > Invoices > Adjusting Invoices > Canceling Invoices(N) Invoices > Entry > Invoices (M) View > Find (B) Actions



Demonstration

®


This demonstration covers how to cancel an invoice.(N) Invoices > Entry > Invoices (M) View > Find(B) Actions

Instructor NotesReview how to cancel an invoice. Use the same invoice that you adjusted in theprevious demonstration.



Agenda

®


AgendaAgenda





Adjusting Purchase Order Matched Invoices: Overview

®

Adjusting Purchase Order MatchedInvoices: Overview

Adjusting Purchase Order MatchedInvoices: Overview

After completing this section, you should be able to:• Identify and resolve matching issues• Adjust purchase order matched invoices

After completing this section, you should be able to:• Identify and resolve matching issues• Adjust purchase order matched invoices



Matching Invoices to Purchase Orders

®

Matching Invoices to Purchase OrdersMatching Invoices to Purchase OrdersEnter or importEnter or importinvoicesinvoices

Approve invoice








100,000100,000

APAP

60,00060,00010,00010,00030,00030,000




Matching Invoices to Purchase Orders and Receipts

®



Oracle Payables ensures that you match within theamount and quantity tolerances that you have set. Ifthe match is not within the tolerances, Payablesapplies a hold to the invoice.

(Help) Applications Help Library > Oracle Financial Applications >Oracle Payables > Setup > Invoice TolerancesInstructor Notes

Explain to the students that invoice tolerances determine whether Payablesplaces matching or tax holds on an invoice.



Resolving Matching Issues

®

Resolving Matching IssuesResolving Matching Issues

• Submit the Matching Hold Detail Report to reviewdetailed accounts payable and purchasinginformation for invoices with matching holds andmatching hold releases

• Submit the Invoices on Hold Report to identifywhich invoices are on hold and to obtain detailedinformation regarding those invoices

• Submit the Matching Hold Detail Report to reviewdetailed accounts payable and purchasinginformation for invoices with matching holds andmatching hold releases

• Submit the Invoices on Hold Report to identifywhich invoices are on hold and to obtain detailedinformation regarding those invoices

(Help) Applications Help Library > Oracle Financial Applications >Oracle Payables > Reports and Programs > Invoice Reports >Matching Hold Details Report(Help) Applications Help Library > Oracle Financial Applications >Oracle Payables > Invoices > Finding and Reviewing Invoices >Reviewing Invoices(Help) Applications Help Library > Oracle Financial Applications >Oracle Payables > Reports and Programs > Invoice Reports >Invoice on Hold Report



Adjusting Purchase Order Matched Invoices

®

Adjusting Purchase Order MatchedInvoices


• Reverse matched distributions• Create new invoice distributions by matching to

new purchase order shipments, or to distributionsof the same or another purchase order

• Adjust the GL Date, Income Tax Type, andAccount fields of a purchase order matchedinvoice distribution

• Record a price correction

• Reverse matched distributions• Create new invoice distributions by matching to

new purchase order shipments, or to distributionsof the same or another purchase order

• Adjust the GL Date, Income Tax Type, andAccount fields of a purchase order matchedinvoice distribution

• Record a price correction

Adjust purchase order matched invoices:

(Help) Applications Help Library > Oracle Financial Applications >Oracle Payables > Invoices >Adjusting Invoices scroll down to Adjusting Purchase Order Matched Invoices(Help) Applications Help Library > Oracle Financial Applications >Oracle Payables > Invoices > Adjusting Invoices >Adjusting Invoice Distributions scroll down to Reversing Invoice Distributions(Help) Applications Help Library > Oracle Financial Applications >Oracle Payables > Invoices > Adjustment Charts > Invoice Adjustment ChartInstructor Notes

Explain that when you reverse a distribution that was purchase order matched,Payables updates corresponding purchase order information such as QuantityBilled.



Adjusting Purchase Order Matched Invoices

®



If you add or reverse distributions, you must alsochange the scheduled payment amounts to match thenew invoice total.If you do not change the scheduled payment amountsto match the new invoice total, Payables will place ahold on the invoice during Approval.

(Help) Applications Help Library > Oracle Financial Applications >Oracle Payables > Invoices >Adjusting Invoices scroll down to Adjusting Purchase Order Matched Invoices(Help) Applications Help Library > Oracle Financial Applications >Oracle Payables > Invoices > Adjusting Invoices >Adjusting Invoice Distributions scroll down to Reversing Invoice Distributions(Help) Applications Help Library > Oracle Financial Applications >Oracle Payables > Invoices > Adjustment Charts > Invoice Adjustment Chart



Review Question

®


1. Reverse a distribution2. Add a distribution3. Record a price correction4. Adjust the GL Date of a purchase order matched

distribution5. All of the above



To adjust a purchase order matched invoice, you can:

Instructor NotesThe answer is 5.




®






To adjust a purchase order matched invoice, you can:

Instructor NotesThe answer is 5.



Lesson Summary

®

Lesson SummaryLesson Summary

In this lesson, you should have learned how to:• Inquire on invoices• Apply and release holds• Approve invoices• Adjust or cancel invoices• Adjust purchase order matched invoices

In this lesson, you should have learned how to:• Inquire on invoices• Apply and release holds• Approve invoices• Adjust or cancel invoices• Adjust purchase order matched invoices


Processing Recurring InvoicesChapter 10 - Page 1

ProcessingRecurring InvoicesChapter 10



Processing Recurring Invoices

®

Processing Recurring InvoicesProcessing Recurring Invoices



43 minutes Lecture12 minutes Practice55 minutes Total



Online Help

®

Online HelpOnline Help

Use the Payables online HTML Help for detailedexplanations of how to use the product, including:Use the Payables online HTML Help for detailedexplanations of how to use the product, including:• Product functionality• Window references• Explanations of the user interface

• Product functionality• Window references• Explanations of the user interface



Viewing Online Help

®

Viewing Online HelpViewing Online Help









Objectives

®


After completing this course, you should be able to:• Describe the use of recurring invoices• Define a special calendar• Define recurring invoice templates• Create recurring invoices

After completing this course, you should be able to:• Describe the use of recurring invoices• Define a special calendar• Define recurring invoice templates• Create recurring invoices



Agenda

®


AgendaAgenda

• Recurring invoices overview• Special calendars• Recurring invoice templates• Creating recurring invoices


Instructor NoteIntroduce the four main topics that will be covered in this net class.



Recurring Invoice Process

®

Recurring Invoice ProcessRecurring Invoice Process

CreateCreatespecialspecial

calendarcalendar

Define recurringDefine recurringinvoice templateinvoice template

CreateCreaterecurringrecurringinvoiceinvoice

GenerateGeneratemultiplemultipleinvoicesinvoices

Instructor NoteExplain the process for generating recurring invoices.Mention that you must define periods in a special calendar before you candefine a recurring template. These periods determine the frequency of therecurring invoice.Mention that if you use a distribution set for the recurring invoices, you mustdefine a full distribution set beforehand.



Agenda

®


AgendaAgenda





Overview of Recurring Invoices

®

Overview of Recurring InvoicesOverview of Recurring Invoices

You can create recurring invoices for periodicbusiness expenses for which you may not receiveinvoices (for example, monthly rent or leasepayments).

You can create recurring invoices for periodicbusiness expenses for which you may not receiveinvoices (for example, monthly rent or leasepayments).

Instructor NoteProvide examples of when you might use recurring invoices.




®


To enter recurring invoices, perform the followingsteps:1. Define periods in the Special Calendar window2. Define a recurring invoice template3. Create invoices based on the template

To enter recurring invoices, perform the followingsteps:1. Define periods in the Special Calendar window2. Define a recurring invoice template3. Create invoices based on the template

Instructor NoteReview the basic steps involved when creating a recurring invoice.




®


When you define a recurring invoice template you can:• Specify how frequently the invoices based on this

recurring invoice template will be created.• Create up to two one-time invoices for non-

standard amounts (for example, a deposit or aballoon payment).

• Allow invoice amounts to increase or decrease by afixed percentage from period to period.

When you define a recurring invoice template you can:• Specify how frequently the invoices based on this

recurring invoice template will be created.• Create up to two one-time invoices for non-

standard amounts (for example, a deposit or aballoon payment).

• Allow invoice amounts to increase or decrease by afixed percentage from period to period.

Instructor NoteExplain some of the features of recurring invoices, including how to specifytime periods, how to create non-standard amounts, and how to vary invoiceamounts by fixed percentages.



Agenda

®


AgendaAgenda





Special Calendar Window

®

Special Calendar WindowSpecial Calendar Window

Use the Special Calendar window to define theperiods Payables uses for:Use the Special Calendar window to define theperiods Payables uses for:

• Recurring invoices• Automatic withholding tax• Payment terms• The Key Indicators Report

• Recurring invoices• Automatic withholding tax• Payment terms• The Key Indicators Report

(Help) Oracle Financial Applications > Oracle Payables > Setup >Controlling the Status of AP Accounting Periods > Special Calendar

Instructor NoteYou may want to mention that payment terms is a new option in the SpecialCalendar window in Release 11i.



Demonstration

®


This demonstration shows an example of a SpecialCalendar and covers how to define a calendar for arecurring invoice.

(N) Setup—>Calendar—>Special Calendar

This demonstration shows an example of a SpecialCalendar and covers how to define a calendar for arecurring invoice.

(N) Setup—>Calendar—>Special Calendar



Review Question

®

1414


Which is not a type of calendar defined in the SpecialCalendar window?1. Key Indicator2. Accounting Calendar3. Recurring Invoice4. Payment Terms5. Withholding Tax





®

1515




Instructor NoteCorrect answer is 2, Accounting Calendar. The Accounting Calendar is definedwhen setting up accounting periods for general ledger functions.



Agenda

®


AgendaAgenda





Recurring Invoice Templates

®

Recurring Invoice TemplatesRecurring Invoice Templates

Prerequisites:• Define periods in the Special Calendar window.• Define a full distribution set if you want to use a

distribution set for the recurring invoices.

Prerequisites:• Define periods in the Special Calendar window.• Define a full distribution set if you want to use a

distribution set for the recurring invoices.

Use the recurring invoice template to establish thebasic information for standard invoices that aregenerated on a regular basis.

Use the recurring invoice template to establish thebasic information for standard invoices that aregenerated on a regular basis.

Instructor NoteReview when you would use a recurring invoice and some of the prerequisitesyou need to fulfill before you set up your recurring invoice template.A useful feature is the ability to match a purchase order to a series of recurringinvoices by selecting the appropriate check box in the Recurring Invoiceswindow. If you use distribution sets for recurring invoices, you can only usefull distribution sets.




®


• The invoice date is the first date of the period inwhich the invoice is created.

• The terms date depends on the terms date basissetting at the supplier site, but the date iscalculated differently than for regular invoices.– If the terms date basis is equal to the system

date, then the terms date is the same date thatthe recurring invoice was created.

– If the terms date basis is not equal to thesystem date, then the terms date is the invoicedate.

• The invoice date is the first date of the period inwhich the invoice is created.

• The terms date depends on the terms date basissetting at the supplier site, but the date iscalculated differently than for regular invoices.– If the terms date basis is equal to the system

date, then the terms date is the same date thatthe recurring invoice was created.

– If the terms date basis is not equal to thesystem date, then the terms date is the invoicedate.

Instructor NoteReview some of the date fields (for example, invoice date or terms date) in therecurring invoice.




®


Enter a template number that is unique for thesupplier. Payables generates an invoice number foreach invoice by appending the name of the recurringinvoice period to the template number.

Enter a template number that is unique for thesupplier. Payables generates an invoice number foreach invoice by appending the name of the recurringinvoice period to the template number.

(Help) Oracle Financial Applications > Oracle Payables > Invoices >Recurring Invoices > Defining a Recurring Invoice Template

Instructor NoteExplain how an invoice number is generated, based on the template number.



Demonstration

®


This demonstration shows an example of a recurringinvoice template and covers how to define a recurringinvoice template to automatically create recurringinvoices.

(N) Invoices—>Entry—>Recurring Invoices

This demonstration shows an example of a recurringinvoice template and covers how to define a recurringinvoice template to automatically create recurringinvoices.

(N) Invoices—>Entry—>Recurring Invoices



Review Question

®

2121


You are allowed ____ special invoice amounts whenyou define a recurring invoice template.1. One2. Two3. Three3. Either one or two4. This feature is not currently available

You are allowed ____ special invoice amounts whenyou define a recurring invoice template.1. One2. Two3. Three3. Either one or two4. This feature is not currently available




®

2222


You are allowed ____ special invoice amounts whenyou define a recurring invoice template.1. One2. Two3. Three4. Either one or two5. None of the above

You are allowed ____ special invoice amounts whenyou define a recurring invoice template.1. One2. Two3. Three4. Either one or two5. None of the above

Instructor NoteCorrect answer is 3, either one or two.



Agenda

®


AgendaAgenda





Creating a Recurring Invoice

®

Creating a Recurring InvoiceCreating a Recurring Invoice

To create a recurring invoice:• Choose a predefined recurring invoice template• (Optional) Name the batch• Specify exchange rates

To create a recurring invoice:• Choose a predefined recurring invoice template• (Optional) Name the batch• Specify exchange rates

(Help) Oracle Financial Applications > Oracle Payables > Invoices >Recurring Invoices > Creating Recurring Invoices

Instructor NoteYou need to define a recurring invoice template before you can create arecurring invoice (covered in the previous section).Explain how you can view invoices that are set up to be generated in the nextavailable periods. Mention that you can specify options fields such as batchname or exchange rate before you actually create the invoice.



Recurring Credit and Debit Memos

®

Recurring Credit and Debit MemosRecurring Credit and Debit Memos

You can create recurring credit or debit memos bydefining a recurring invoice template and usingnegative invoice amounts.

You can create recurring credit or debit memos bydefining a recurring invoice template and usingnegative invoice amounts.

Instructor NoteExplain that you can define recurring credit memos or debit memos in theinvoice template by entering negative invoice amounts. It might be beneficial toperform a short demo by bringing up the Amounts tabbed region on theRecurring Invoices window and showing where you enter negative amounts.



Withholding Taxes from Recurring Invoices

®

Withholding Taxes from Recurring InvoicesWithholding Taxes from Recurring Invoices

When you define a recurring invoice template, enter aWithholding Tax Group. This group will be applied toall invoices you create for that template.

When you define a recurring invoice template, enter aWithholding Tax Group. This group will be applied toall invoices you create for that template.

(Help) Oracle Financial Applications > Oracle Payables > Invoices >Recurring Invoices > Withholding Taxes from Recurring Invoices

Instructor NoteIf you entered a withholding tax group in the recurring invoice template, thegroup is applied to all invoices that you create. If you did not enter awithholding tax group, the field is disabled and you cannot enter a value.



Recurring Invoice Restrictions

®

Recurring Invoice RestrictionsRecurring Invoice Restrictions

After you create an invoice using a recurring invoicetemplate, you cannot update the following fields:After you create an invoice using a recurring invoicetemplate, you cannot update the following fields:

• Supplier Name• Supplier Number• Supplier Site• Type• First Period Number• Currency• GL Date

• Supplier Name• Supplier Number• Supplier Site• Type• First Period Number• Currency• GL Date

Instructor NoteWhen you use a recurring invoice template, you cannot update these fields afteran invoice has been created.



Demonstration

®


This demonstration shows an example of an invoicethat is created using a recurring invoice template.

(N) Invoices —>Entry—>Recurring Invoices (B) CreateInvoices

This demonstration shows an example of an invoicethat is created using a recurring invoice template.

(N) Invoices —>Entry—>Recurring Invoices (B) CreateInvoices



Practice Overview

®


You will define a recurring payment template tohandle the creation of invoices.You will define a recurring payment template tohandle the creation of invoices.

(Help) Oracle Financial Applications > Oracle Payables > Invoices >Recurring Invoices > Creating Recurring Invoices

Instructor NoteVerify that the Monthly special calendar exists in the database beforeperforming this practice.



Practice Instructions

®

Practice InstructionsPractice Instructions

• You have signed a six month lease for a total of$12,000 for the entire period. You do not receivean invoice for the rent you pay to your supplier.

• Define a recurring payment to handle the creationof all the invoices for $2,000 for this supplierstarting with the first of the next month.

• Enter the following:– Supplier Name: Advanced Network Devices– Site: Santa Clara– Calendar Name: Monthly

• You have signed a six month lease for a total of$12,000 for the entire period. You do not receivean invoice for the rent you pay to your supplier.

• Define a recurring payment to handle the creationof all the invoices for $2,000 for this supplierstarting with the first of the next month.

• Enter the following:– Supplier Name: Advanced Network Devices– Site: Santa Clara– Calendar Name: Monthly

Solution to the practice exercise:1. Navigate to the Recurring Invoices window.

(N) Invoices > Entry > Recurring Invoices (B) Create Invoices.2. Enter the following Supplier Region information:

Name: Advanced Network DevicesSite: Santa Clara

3. Enter the following Calendar Region information:Name: MonthlyNumber of Periods: 6First: Next Month

4. Enter the following Template Definition information:Number: Assign a numberDescription: Monthly RentPayment Method: CheckAccept the default values for the remainder of the fields.



Review Question

®

3131


Payables creates invoice numbers for recurring invoicesby appending the name of the _______ to the _______.1. Payment number / period name2. Payment number / current date3. Supplier number / period name4. Site / pay group5. Recurring invoice period / template number





®

3232




Instructor NoteCorrect answer is 5, recurring invoice period / template number.



Summary

®

SummarySummary

In this lesson, you should have learned how to:• Create special calendars for recurring invoices• Define recurring invoice templates• Create recurring invoices

In this lesson, you should have learned how to:• Create special calendars for recurring invoices• Define recurring invoice templates• Create recurring invoices

Instructor NoteReview these topics and reference the examples done in class to reinforce whatthe participants have learned.


Accounting in Oracle PayablesChapter 11 - Page 1

Accounting inOracle PayablesChapter 11



Accounting in Oracle Payables

®

Accounting in Oracle PayablesAccounting in Oracle Payables


Instructor NoteNet Schedule Timing TopicOverall 70 minutes Lecture and Demo

20 minutes Review Questions90 minutes Total



Course Objectives

®


After completing this course, you should be able todo the following:• Describe the accounting cycle and accounting

features in Payables• Define accounting events• Create accounting entries• View and correct accounting entries• Transfer accounting entries to the general ledger• Close a Payables period

After completing this course, you should be able todo the following:• Describe the accounting cycle and accounting

features in Payables• Define accounting events• Create accounting entries• View and correct accounting entries• Transfer accounting entries to the general ledger• Close a Payables period

Instructor NoteTell students that they can refer to the following white paper on Metalinkfor further details: How Do You Account for That? - Oracle Payables11i.



Agenda

®

AgendaAgenda

• Accounting cycle• Accounting events• Creating accounting entries• Viewing and correcting accounting entries• Transferring accounting entries to the general

ledger• Closing a Payables period



Instructor NoteIntroduce the six main topics that will be covered in this net class.



Overview of the Accounting Cycle

®

Overview of the Accounting CycleOverview of the Accounting Cycle


entriesentries

TransferTransferinformation to theinformation to the

General LedgerGeneral Ledger

CreateCreatetransactionstransactionsin Payablesin Payables

100100

A/PA/P

100100

Instructor NoteExplain that you follow a series of steps in the Payables accounting cycle.1. You can create invoice and payment transactions. You then submit theaccounting process to create accounting entries. The accounting processcan be submitted either as a batch program or from a transaction window.2. You can view the accounting entries online and you can update anyinvalid accounts.3. After you create accounting entries, you submit the PayablesTransfer to General Ledger program to transfer them to a GL interface.From the interface, you can then create journal entries through the journalimport process and transfer them to your general ledger for posting.



Agenda

®

AgendaAgenda

• Accounting cycle• Accounting events• Creating accounting entries• Viewing and correcting accounting entries• Transferring accounting entries to the general ledger• Closing a Payables period




Accounting Features

®

Accounting FeaturesAccounting Features

• You establish accounting controls in the setupoptions

• You create accounting entries through thePayables Accounting Process

• You can view accounting at the subledger level• You can transfer accounting entries to the general

ledger

• You establish accounting controls in the setupoptions

• You create accounting entries through thePayables Accounting Process

• You can view accounting at the subledger level• You can transfer accounting entries to the general

ledger

(Help) Oracle Financial Applications > Oracle Payables > Accounting> Feature Setup and Accounting(Help) Oracle Financial Applications > Oracle Payables > Accounting> System Setup and Accounting

Instructor NoteSetup options affect the details that are recorded for accounting events inPayables.For example, you can account for clearing accounting events only if youreconcile payments in Oracle Cash Management and the Account for Paymentat Clearing option is enabled in the Payables Options window.In Oracle Assets, you enter invoices for asset items in Payables, importdistributions into Assets, and then create assets from the distributions in Assets.Oracle Projects imports supplier invoice and expense report information fromOracle Payables to track projects costs, and exports expense report informationto Oracle Payables. The Account Generator in Payables creates an expenseaccount for each invoice distribution that has project information. If you areusing Encumbrance Accounting, you can define assignments for the budgetaccount based on project information.



Agenda

®

AgendaAgenda





Accounting Events

®

Accounting EventsAccounting Events

An accounting event is a Payables transaction thataffects accounting, such as a payment. Thetype of event controls the accounting that is createdfor a transaction and how that accounting appears inthe subledger.

An accounting event is a Payables transaction thataffects accounting, such as a payment. Thetype of event controls the accounting that is createdfor a transaction and how that accounting appears inthe subledger.

(Help) Oracle Financial Applications > Oracle Payables > Accounting> Accounting Events

Instructor NoteExplain that you can create accounting entries for invoice and paymenttransactions in Payables. Each transaction that has an accounting impact iscalled an accounting event. In this course, accounting events assume that youuse accrual basis accounting, unless there is a specific reference to cash basisaccounting.



Document Classes

®

Document ClassesDocument Classes

There are two document classes that describeaccounting events in Payables:• Invoices• Payments

There are two document classes that describeaccounting events in Payables:• Invoices• Payments

Instructor NoteAfter an accounting event completes, you can create accounting entries for it bycreating accounting entries for the category or document class that includes theevent. Explain that there are eleven accounting events in Payables that aredivided into two document classes, invoices and payments. You can specify adocument class when you create or view accounting entries.



Invoice Document Class

®

Invoice Document ClassInvoice Document Class

The accounting events for the invoice documentclass are:• Invoice Event• Invoice Adjustment Event• Invoice Cancellation Event• Prepayment Application Event• Prepayment Unapplication Event

The accounting events for the invoice documentclass are:• Invoice Event• Invoice Adjustment Event• Invoice Cancellation Event• Prepayment Application Event• Prepayment Unapplication Event



Payment Document Class

®

Payment Document ClassPayment Document Class

The accounting events for the payment documentclass are:• Payment Event• Payment Maturity Event• Payment Adjustment Event• Payment Cancellation Event• Payment Clearing Event• Payment Unclearing Event

The accounting events for the payment documentclass are:• Payment Event• Payment Maturity Event• Payment Adjustment Event• Payment Cancellation Event• Payment Clearing Event• Payment Unclearing Event



Invoice Event

®

Invoice EventInvoice Event

• An invoice event occurs when you account for anew, approved invoice.

• This event creates one charge accounting entryfor each invoice distribution and a singleaccounting entry to the liability account of theinvoice.

• An invoice event occurs when you account for anew, approved invoice.

• This event creates one charge accounting entryfor each invoice distribution and a singleaccounting entry to the liability account of theinvoice.



Invoice Event - Invoice with One Distribution

®

Invoice Event - Invoice with OneDistribution

Invoice Event - Invoice with OneDistribution

Account

Charge

AP Liability

Debit

100

Credit

100

Instructor NoteThis is an example of the accounting entry for an invoice that has been enteredwith a single $100 distribution.



Invoice Event - Invoice with Multiple Distributions

®

Invoice Event - Invoice with MultipleDistributions

Invoice Event - Invoice with MultipleDistributions

Account

Charge

Charge

Charge

AP Liability

Debit

100

50

50

Credit

200

Instructor NoteYou can enter and account for an invoice with multiple distributions. Note thesummarized accounting entry to the liability account.



Invoice Event - Multiple Distributions with AutomaticOffsets Enabled

®

Invoice Event - Multiple Distributions withAutomatic Offsets Enabled

Invoice Event - Multiple Distributions withAutomatic Offsets Enabled

Class

Charge (*Co 1)

Charge (Co 2)

Charge (Co 3)

AP Liability (Co 1)

AP Liability (Co 2)

AP Liability (Co 3)

Debit

100

50

50

Credit

100

50

50

*Co = Company

Instructor NoteThis is an example of an invoice with automatic offsets enabled. You can enterand account for invoices with automatic offsets enabled. If the automaticoffsets feature is used, then the same invoice example used previously yieldsthree separate entries for both the charges and the liabilities (see above).



Invoice Event - Invoice in Foreign Currency

®

Invoice Event - Invoice in ForeignCurrency

Invoice Event - Invoice in ForeignCurrency

Account

Charge

Charge

Charge

AP Liability

Debit FX

100

50

50

Credit FX

200

Debit

150

75

75

Credit

300

Instructor NoteYou can enter and account for a foreign currency invoice with multipledistributions. This example shows an invoice for 200 foreign currency units(FX) that converts to 300 in functional currency units (exchange rate of 1.5).



Invoice Event - Accrual on Receipt

®

Invoice Event - Accrual on ReceiptInvoice Event - Accrual on Receipt

Account

AP Accrual

Invoice Price Variance

AP Liability

Debit

103

2

Credit

105

Instructor NoteAbove is an example of accounting for an invoice event when accrual on receiptis used. This example shows an invoice for an item with an invoice price of$105. The purchase order price is $103 and there is a $2 invoice price variance.



Invoice Adjustment Event

®

Invoice Adjustment EventInvoice Adjustment Event

An invoice adjustment event accounts foradjustments made to accounted invoices.An invoice adjustment event accounts foradjustments made to accounted invoices.

Instructor NoteIf you add a new distribution to an accounted invoice or account for invoicedistributions with different GL dates, the new distribution lines will beaccounted as an invoice adjustment event.If the invoice is paid and the payment has already been accounted, if you adjustthe invoice, the system will not automatically adjust the payment accountingentries.The accounting appears similar to the accounting for an invoice event. Theaccounting date (GL date) is part of what controls how events are accounted. Ifyou enter an invoice with multiple distribution lines, and some of thedistribution lines have different accounting dates, then the lines with the earliestaccounting date are accounted as an invoice event, while the lines with the lateraccounting date are accounted as an invoice adjustment event.



Invoice Adjustment Event - Distribution Reversal

®

Invoice Adjustment Event - DistributionReversal

Invoice Adjustment Event - DistributionReversal

Account

Charge (in error)

Charge (correction)

Debit

100

Credit

100

Instructor NoteAn invoice adjustment event typically occurs when an accounted invoice isadjusted in some way.An example of a common adjustment is reversing a distribution line that wasentered to the wrong charge account in error and then entering a correcting line.



Invoice Adjustment Event - Invoice Amount Adjusted

®

Invoice Adjustment Event - InvoiceAmount Adjusted

Invoice Adjustment Event - InvoiceAmount Adjusted

Account

Charge

AP Liability

Debit

100

Credit

100

Instructor NoteYou can adjust an invoice by increasing its amount and charging the increase toone or more associated charge accounts. In this example, if you make anadditional $100 charge to the invoice, you increase the distribution amount by$100.



Invoice Cancellation Event

®

Invoice Cancellation EventInvoice Cancellation Event

An invoice cancellation event occurs when youcancel an accounted invoice.An invoice cancellation event occurs when youcancel an accounted invoice.



Invoice Cancellation Event - Invoice Cancellation

®

Invoice Cancellation Event - InvoiceCancellation

Invoice Cancellation Event - InvoiceCancellation

Account

Charge

AP Liability

Debit

100

Credit

100

Instructor NoteYou can create a cancellation event by canceling an accounted invoice. In thisexample, if you cancel a simple invoice, a $100 credit is automatically creditedback to the invoice charge account and a $100 debit is applied to the liabilityaccount.



Prepayment Application Event

®

Prepayment Application EventPrepayment Application Event

• A prepayment application event occurs when youapply a prepayment to an invoice.

• This event credits the prepaid account for theamount of the application, and debits the liabilityaccount because the prepayment was a paymenton the invoice.

• A prepayment application event occurs when youapply a prepayment to an invoice.

• This event credits the prepaid account for theamount of the application, and debits the liabilityaccount because the prepayment was a paymenton the invoice.



Prepayment Unapplication Event

®

Prepayment Unapplication EventPrepayment Unapplication Event

• A prepayment unapplication event occurs whenyou unapply a prepayment.

• This event reverses any accounting entries thatwere recorded for the prepayment application.

• A prepayment unapplication event occurs whenyou unapply a prepayment.

• This event reverses any accounting entries thatwere recorded for the prepayment application.



Review Questions

®


In this practice, you will mark these statements trueor false to test your knowledge of invoiceaccounting events.

In this practice, you will mark these statements trueor false to test your knowledge of invoiceaccounting events.

1. ______ An invoice cancellation event occurswhen you cancel an accounted invoice.

2. ______ You cannot create an invoice event for aninvoice entered in foreign currency.

3. ______ You can create accounting entries if youuse automatic offsets.

1. ______ An invoice cancellation event occurswhen you cancel an accounted invoice.

2. ______ You cannot create an invoice event for aninvoice entered in foreign currency.

3. ______ You can create accounting entries if youuse automatic offsets.



Answers to Review Question

®

Answers to Review QuestionAnswers to Review Question

In this practice, you will mark these statements trueor false to test your knowledge of invoiceaccounting entries.

In this practice, you will mark these statements trueor false to test your knowledge of invoiceaccounting entries.

1. True An invoice cancellation event occurs whenyou cancel an accounted invoice.

2. False You cannot create an invoice event for aninvoice entered in foreign currency.

3. True You can create accounting entries if youuse automatic offsets.

1. True An invoice cancellation event occurs whenyou cancel an accounted invoice.

2. False You cannot create an invoice event for aninvoice entered in foreign currency.

3. True You can create accounting entries if youuse automatic offsets.



Payment Event

®

Payment EventPayment Event

• A payment event occurs when you issue andaccount for a new payment.

• This event creates accounting entries that relievethe liability of the invoice and that charge eitherthe cash clearing or cash account.

• A payment event occurs when you issue andaccount for a new payment.

• This event creates accounting entries that relievethe liability of the invoice and that charge eitherthe cash clearing or cash account.



Payment Event - Invoice Payment

®

Payment Event - Invoice PaymentPayment Event - Invoice Payment

Account

AP Liability

Cash Clearing

Debit

100

Credit

100

Instructor NoteThis is an example of the accounting entry for a simple invoice payment with asingle $100 credit to the cash clearing account.



Payment Event - Foreign and Functional Currency

®

Payment Event - Foreign and FunctionalCurrency

Payment Event - Foreign and FunctionalCurrency

Account

AP Liability

Realized Loss

Cash Clearing

Debit FX

200

Credit FX

200

Debit

300

40

Credit

340

Instructor NoteYou can enter and account for an invoice payment that is paid in foreigncurrency. There might be a currency gain or loss realized at the time ofaccounting for the payment event.In the foreign currency example in the invoice event section, the invoice was for200 foreign currency units (FX) and was converted to 300 in functionalcurrency units (exchange rate of 1.5).Using the same example, the payment is now made for 200 foreign currencyunits (FX) that are converted to 340 in functional currency units (exchange rateof 1.7) which results in a realized loss of 40.Payables also accounts for discounts handled by a payment event, automaticoffsets handled by a payment event, and multiple payments made for the sameforeign currency invoice.



Payment Maturity Event

®

Payment Maturity EventPayment Maturity Event

A payment maturity event occurs only for futuredated payments and if the system setup accounts forpayments at issue time. The payment maturity eventhappens when future dated payments reach theirmaturity and become negotiable documents.

A payment maturity event occurs only for futuredated payments and if the system setup accounts forpayments at issue time. The payment maturity eventhappens when future dated payments reach theirmaturity and become negotiable documents.



Payment Maturity Event - Future Dated Payment

®

Payment Maturity Event - Future DatedPayment

Payment Maturity Event - Future DatedPayment

Account (Payment Event)

AP Liability

Future Dated Payment

Debit

100

Credit

100

Account (Payment Maturity Event)

Future Dated Payment

Cash Clearing

Debit

100

Credit

100

Instructor NoteYou can view the accounting for a $100 payment in the functional currency. Afuture date payment account holds the payment until it becomes negotiable:

$100 debit to the AP liability account$100 credit to the future dated payment account

When the payment status changes from “Issued” to “Negotiable,” the paymentmaturity event occurs and is accounted as follows:

$100 debit to the future dated payment account$100 credit to the cash clearing account

Now that the future dated payment is Negotiable, the future dated payment canbe credited to the cash clearing account.



Payment Adjustment Event

®

Payment Adjustment EventPayment Adjustment Event

A payment adjustment event occurs when any of theinvoices recorded as paid by a manual payment arechanged.

A payment adjustment event occurs when any of theinvoices recorded as paid by a manual payment arechanged.



Payment Cancellation Event

®

Payment Cancellation EventPayment Cancellation Event

A payment cancellation event reverses accountingentries for a payment when you cancel (void) apayment.

A payment cancellation event reverses accountingentries for a payment when you cancel (void) apayment.



Payment Clearing Events

®

Payment Clearing EventsPayment Clearing Events

A payment clearing event occurs when you eitherclear or reconcile a payment in Oracle CashManagement and the system is set up to account forpayments when they clear.

A payment clearing event occurs when you eitherclear or reconcile a payment in Oracle CashManagement and the system is set up to account forpayments when they clear.



Review Question

®


Which accounting event is not in the PaymentDocument class?1. Prepayment application event2. Payment cancellation event3. Payment unclearing event4. Payment maturity event5. None of the above





®






Agenda

®

AgendaAgenda





Creating Accounting Entries

®

Creating Accounting EntriesCreating Accounting Entries

• You can create entries by submitting the PayablesAccounting Process

• You can create entries through transactionwindows.

• You can create entries by submitting the PayablesAccounting Process

• You can create entries through transactionwindows.



Payables Accounting Process

®

Payables Accounting ProcessPayables Accounting Process

The Payables Accounting Process does the following:• Creates accounting entries in all sets of books• Assigns a journal category to each entry• Creates the Audit Report and Exceptions Report

The Payables Accounting Process does the following:• Creates accounting entries in all sets of books• Assigns a journal category to each entry• Creates the Audit Report and Exceptions Report



Prerequisites for Creating Accounting Entries

®

Prerequisites for Creating AccountingEntries

Prerequisites for Creating AccountingEntries

• Define Payables Options for accountinginformation.

• Open the period in Payables.• Enter exchange rates if you are processing foreign

currency transactions.• Update the status of any matured future dated

payments to Negotiable.• Account for invoices before you approve them.• Account for invoices before your account for

payments.

• Define Payables Options for accountinginformation.

• Open the period in Payables.• Enter exchange rates if you are processing foreign

currency transactions.• Update the status of any matured future dated

payments to Negotiable.• Account for invoices before you approve them.• Account for invoices before your account for

payments.

Instructor NoteOracle Payables and Oracle Purchasing use the Account Generator to determinethe GL account number for project-related distribution lines in Oracle Projects.The Account Generator is defined during implementation. You can controlwhether users can override the account number determined by the AccountGenerator for project-related distributions using the profile option PA: AllowOverride of PA Distributions in AP/PO.If you want to set up Oracle Payables for Cash Management integration, youmust choose a primary set of books for each responsibility when you set up yourPayables application.



Demonstration

®


This demonstration shows how to create accountingentries for a single payment through a transactionwindow.


This demonstration shows how to create accountingentries for a single payment through a transactionwindow.




Demonstration

®


This demonstration covers how to submit thePayables Accounting Process to create accountingentries in Payables.

(N) Other—>Requests—>Run

This demonstration covers how to submit thePayables Accounting Process to create accountingentries in Payables.

(N) Other—>Requests—>Run

Instructor NoteYou will need to enter and account for an invoice prior to performing thisdemonstration. You can use Advanced Network Devices as an availablesupplier.



Review Questions

®


In this practice, you will mark these statements trueor false to test your knowledge of accounting entries.In this practice, you will mark these statements trueor false to test your knowledge of accounting entries.

1. ______ The Payables Accounting Process assignsjournal entries.

2. ______ You must account for invoices before youapprove them.

3. ______ You can create accounting entries througha transaction window.

4. ______ For a payment batch, the accountingcompletes online.

1. ______ The Payables Accounting Process assignsjournal entries.

2. ______ You must account for invoices before youapprove them.

3. ______ You can create accounting entries througha transaction window.

4. ______ For a payment batch, the accountingcompletes online.




®


In this practice, you will mark these statements trueor false to test your knowledge of accounting entries.In this practice, you will mark these statements trueor false to test your knowledge of accounting entries.

1. False The Payables Accounting Process assignsjournal entries.

2. False You must account for invoices before youapprove them.

3. True You can create accounting entries through atransaction window.

4. False For a payment batch, the accountingcompletes online.

1. False The Payables Accounting Process assignsjournal entries.

2. False You must account for invoices before youapprove them.

3. True You can create accounting entries through atransaction window.

4. False For a payment batch, the accountingcompletes online.



Agenda

®

AgendaAgenda







Viewing Accounting Entries

®

Viewing Accounting EntriesViewing Accounting Entries

You can use the View Accounting Entries windows toview accounting entries. Depending on how youopen the window, the window title and the data yousee in the windows will vary. Payables includes thefollowing windows that you use to view accountingentries:

You can use the View Accounting Entries windows toview accounting entries. Depending on how youopen the window, the window title and the data yousee in the windows will vary. Payables includes thefollowing windows that you use to view accountingentries:

• View Accounting Lines• View Invoice Accounting• View Payment Accounting

• View Accounting Lines• View Invoice Accounting• View Payment Accounting



Correcting Accounting Entries

®

Correcting Accounting EntriesCorrecting Accounting Entries

• You can use the Update Accounting Entrieswindow to view accounting entries and correctany invalid accounts.

• The only updateable fields in this window areAccount and Description.

• You can use the Update Accounting Entrieswindow to view accounting entries and correctany invalid accounts.

• The only updateable fields in this window areAccount and Description.



Demonstration

®


This demonstration covers how to view accountinglines through the View Accounting Lines window andthen adjust accounting entries for an invoice throughthe Update Accounting Entries window.

(N) Accounting—>View Accounting Lines

This demonstration covers how to view accountinglines through the View Accounting Lines window andthen adjust accounting entries for an invoice throughthe Update Accounting Entries window.

(N) Accounting—>View Accounting Lines

.



Practice #1 Overview

®

Practice #1 OverviewPractice #1 Overview

You will enter an invoice, create an accounting entry,and review the entry.You will enter an invoice, create an accounting entry,and review the entry.



Practice #1 Instructions

®

Practice #1 InstructionsPractice #1 Instructions

Your supplier, Advanced Network Devices, submitsan invoice requesting payment of $75,000 forequipment purchases out of its Santa Clara site. Youenter the invoice and create accounting entries.Review the accounting entries that are generated.

Your supplier, Advanced Network Devices, submitsan invoice requesting payment of $75,000 forequipment purchases out of its Santa Clara site. Youenter the invoice and create accounting entries.Review the accounting entries that are generated.

Enter the following:• Distribution Set: Equipment (Full)• Invoice Number: assigned by instructor

Enter the following:• Distribution Set: Equipment (Full)• Invoice Number: assigned by instructor

Solution to practice exercise:1. Navigate to the Invoices window.

(N) Invoices > Entry > Invoices2. In the Type field, accept the default Standard from the list of values.3. Enter Advanced Network Devices as the supplier.4. You will be assigned a system-generated Supplier Number.5. Enter Santa Clara as the supplier site.6. Enter the invoice number assigned by the instructor.7. Accept the default current date as the Invoice Date.8. Enter the total due of the invoice in the Amount field.9. Accept the defaults for the remaining fields.10. Save and approve your invoice.11. Select the Actions button and select the Create Accounting checkbox. (You

must account for the invoice before you can account for the payment.)12. To view the accounting lines for this invoice, query your invoice or choose

View Accounting from the Tools menu. The View Invoice Accountingwindow appears.



Agenda

®

AgendaAgenda

• Describing accounting cycle features• Defining accounting events• Creating accounting entries• Viewing and correcting accounting entries• Transferring accounting entries to the general






Overview of Transferring Accounting Entries to YourGeneral Ledger

®

Overview of Transferring AccountingEntries to Your General Ledger

Overview of Transferring AccountingEntries to Your General Ledger

Create accountingCreate accountingentriesentries

Payables sendsPayables sendspayment and invoicepayment and invoiceaccounting entries toaccounting entries to

the general ledgerthe general ledgerinterface.interface.

100100

A/PA/P

Submit the PayablesSubmit the PayablesTransfer to GeneralTransfer to General

Ledger programLedger program

100100

Instructor NoteExplain that you create your accounting entries and then submit the

Payables Transfer to General Ledger program, which sends payment andinvoice accounting entries to the general ledger interface.

You can then submit the Journal import to import journal entries in OracleGeneral Ledger.



Reviewing Accounting Entries

®

Reviewing Accounting EntriesReviewing Accounting Entries

• You can review the accounting entries that are inPayables.

• In Oracle General Ledger, you can drill down to therelated accounting entries or transactions inPayables.

• You can review the Payables Transfer to GeneralLedger Report.

• You can review the accounting entries that are inPayables.

• In Oracle General Ledger, you can drill down to therelated accounting entries or transactions inPayables.

• You can review the Payables Transfer to GeneralLedger Report.



Posting in Oracle General Ledger

®

Posting in Oracle General LedgerPosting in Oracle General Ledger

After you submit Journal Import, you can post journalentries in Oracle General Ledger.After you submit Journal Import, you can post journalentries in Oracle General Ledger.



Reconciling Payables Activity

®

Reconciling Payables ActivityReconciling Payables Activity

You can use the following Payables reports toreconcile your posted invoices and payments to yourAccounts Payable Trial Balance. This ensures thatyour Trial Balance accurately reflects your accountspayable liability:

You can use the following Payables reports toreconcile your posted invoices and payments to yourAccounts Payable Trial Balance. This ensures thatyour Trial Balance accurately reflects your accountspayable liability:

• Posted Invoice Register• Posted Payment Register• Accounts Payable Trial Balance (last period and

current period)

• Posted Invoice Register• Posted Payment Register• Accounts Payable Trial Balance (last period and

current period)



Review Question

®


What is the next step you can do after you createaccounting entries in Payables?What is the next step you can do after you createaccounting entries in Payables?

1. You submit the Journal Import Report2. You submit the Payables Transfer to General

Ledger program3. You manually post journal entries to Oracle

General Ledger4. You drill down to related accounting entries in

Payables.5. None of the above


Ledger program3. You manually post journal entries to Oracle

General Ledger4. You drill down to related accounting entries in





®


What is the next step you can do after you createaccounting entries in Payables?What is the next step you can do after you createaccounting entries in Payables?


Ledger program3. You manually post journal entries to Oracle General

Ledger4. You drill down to related accounting entries in



Ledger program3. You manually post journal entries to Oracle General

Ledger4. You drill down to related accounting entries in




Agenda

®

AgendaAgenda







Period Close Process

®

Period Close ProcessPeriod Close Process

Payables will not let you close a Payables period ifany of the following conditions apply:Payables will not let you close a Payables period ifany of the following conditions apply:

• There is unaccounted transaction data• There are accounting entries not transferred to the

general ledger• There are unmatured future dated payments• There are unconfirmed payment batches

• There is unaccounted transaction data• There are accounting entries not transferred to the

general ledger• There are unmatured future dated payments• There are unconfirmed payment batches



Unaccounted Transaction Sweep Program

®

Unaccounted Transaction SweepProgram

Unaccounted Transaction SweepProgram

• The Unaccounted Transaction Sweep Programserves as a utility to allow users to sweeptransaction data from one period to the next. Thereis unaccounted transaction data

• This program allows users to move unaccountedtransaction data forward so they can close theperiod and then make adjustments at a later time.

• The Unaccounted Transaction Sweep Programserves as a utility to allow users to sweeptransaction data from one period to the next. Thereis unaccounted transaction data

• This program allows users to move unaccountedtransaction data forward so they can close theperiod and then make adjustments at a later time.



Summary

®

SummarySummary

In this lesson, you should have learned to:In this lesson, you should have learned to:

• Describe the accounting cycle and accountingfeatures in Payables

• Define the accounting events that have anaccounting impact

• Create accounting entries• View, query and modify accounting entries• Transfer and post accounting entries to the

general ledger• Close a Payables period

• Describe the accounting cycle and accountingfeatures in Payables

• Define the accounting events that have anaccounting impact

• Create accounting entries• View, query and modify accounting entries• Transfer and post accounting entries to the

general ledger• Close a Payables period

Instructor NoteReview these topics with the students and reference the examples done in classto reinforce what they have learned.


Processing Single Payments and RefundsChapter 12 - Page 1

Processing SinglePayments andRefundsChapter 12



Processing Single Payments and Refunds

®

Processing Single Payments andRefunds

Processing Single Payments andRefunds


ILT Schedule: Timing Topic 65 minutes Lecture and Demo 25 minutes Practice 90 minutes Total



Course Objectives

®


After completing this course, you should be able todo the following:After completing this course, you should be able todo the following:

• Record a single, manual payment• Generate a single, computer-generated payment• Enter a refund• Stop and void a payment

• Record a single, manual payment• Generate a single, computer-generated payment• Enter a refund• Stop and void a payment



Agenda

®

AgendaAgenda

• Recording a single, manual payment• Generating a single, computer-generated payment• Entering a refund• Stopping and voiding a payment




Overview of the Payment Generation Process

®

Overview of the Payment Generation ProcessOverview of the Payment Generation Process

1. Receive1. Receivecheckcheck

requestrequest

2. Create check or2. Create check orissue wire transferissue wire transfer

5. Stop or void5. Stop or voidpaymentpayment(optional)(optional)

2. Create single,2. Create single,computer generatedcomputer generated

paymentpayment

2. Enter refunds2. Enter refunds

3. Record manual3. Record manualpayment in Payablespayment in Payables

3. System generates3. System generatescheck or electroniccheck or electronic

paymentpayment

4. Send payment4. Send paymentto supplierto supplier

XX



Agenda

®

AgendaAgenda





Check Requests

®

Check RequestsCheck Requests

You might receive a request to issue a payment to asupplier or employee. You can choose to eitherrecord a single, manual payment or create a single,computer-generated payment to fulfill this checkrequest.

You might receive a request to issue a payment to asupplier or employee. You can choose to eitherrecord a single, manual payment or create a single,computer-generated payment to fulfill this checkrequest.

Instructor NoteExplain that a check request will differ in look and content, according tocompany requirements. A check request could be in the form of an e-mailrequest, a memo, or invoice.



Overview of Processing Check Requests Using ManualPayments

®

Overview of Processing Check RequestsUsing Manual Payments

Overview of Processing Check RequestsUsing Manual Payments

Receive checkReceive checkrequestrequest

Type or printType or printchecks or issuechecks or issue

wire transferwire transfer

Record manualRecord manualpayment in Oraclepayment in Oracle

PayablesPayables



Manual Payments

®

Manual PaymentsManual Payments

You can create payments outside of Oracle Payablesand then record them as manual payments to updatethe payment status of invoices that were paid.Examples of manual payments are:

You can create payments outside of Oracle Payablesand then record them as manual payments to updatethe payment status of invoices that were paid.Examples of manual payments are:

• Handwritten or typed checks• Wire transfers• Handwritten or typed checks• Wire transfers

(Help) Oracle Financial Applications > Oracle Payables >Payments > Single Payments > Recording Manual Paymentsand Wire Transfers



Creating Manual Payments

®

Creating Manual PaymentsCreating Manual Payments

You can override some payment controls of OraclePayables when you record a manual payment.You can override some payment controls of OraclePayables when you record a manual payment.

• You can record a single payment for multiple payalone invoices.

• You can also record payments for invoices thatare associated with any payment method typeexcept Electronic.

• You can record a single payment for multiple payalone invoices.

• You can also record payments for invoices thatare associated with any payment method typeexcept Electronic.



Prerequisites for Processing Manual Payments

®

Prerequisites for Processing ManualPayments

Prerequisites for Processing ManualPayments

• Create the payment outside of Payables.• The invoice you paid must be approved,

uncancelled, without holds, and have the samecurrency as the payment.

• The bank account must have at least one paymentdocument that uses the Recorded or Combineddisbursement type.

• Create the payment outside of Payables.• The invoice you paid must be approved,

uncancelled, without holds, and have the samecurrency as the payment.

• The bank account must have at least one paymentdocument that uses the Recorded or Combineddisbursement type.



Demonstration

®


This demonstration shows how to record a manualpayment that updates the status of the invoices youpaid.

(N) Payments—>Entry—>Payments(N) Payments—>Entry—>Payments (B) Enter/AdjustInvoices

This demonstration shows how to record a manualpayment that updates the status of the invoices youpaid.

(N) Payments—>Entry—>Payments(N) Payments—>Entry—>Payments (B) Enter/AdjustInvoices




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You will record a manual payment that was createdoutside of Oracle Payables.You will record a manual payment that was createdoutside of Oracle Payables.




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You receive a check request, asking for immediatepayment of an invoice to your supplier, AdvancedNetwork Devices. You are sending the payment by aspecial courier. Therefore, you have typed a checkfor the amount due for payment of this invoice andneed to record this manual payment in OraclePayables.

You receive a check request, asking for immediatepayment of an invoice to your supplier, AdvancedNetwork Devices. You are sending the payment by aspecial courier. Therefore, you have typed a checkfor the amount due for payment of this invoice andneed to record this manual payment in OraclePayables.• Bank Account: Assigned by instructor• Supplier: Advanced Network Devices• Invoice Number: Assigned by instructor

• Bank Account: Assigned by instructor• Supplier: Advanced Network Devices• Invoice Number: Assigned by instructor

Student NoteSolution to practice exercise #1:1. Navigate to the Payments window. (N) Payments > Entry > Payments2. In the Type field, select Manual from the list of values.3. Select the bank account assigned by the instructor.4. In the Document field, select Check from the list of values. The

system provides you with a message that it is reserving the paymentdocument. Choose OK.

6. In the Supplier field, enter Advanced Network Devices.7. Accept the defaults for the remaining fields.8. Select the Enter/Adjust Invoices button to open the Select Invoices

window.9. In the Invoice Number field, select from the list of values the invoice

number assigned by the instructor.10. Save your payment.



Review Question

®


Which of the following is not an example of a manualpayment?

A. Traveler’s checkB. Wire transferC. Handwritten check






®






Instructor NoteCorrect answer is A, Traveler’s check. Wire transfers and handwrittenchecks are types of payments for which you would record a manualpayment.



Agenda

®

AgendaAgenda





Overview of Generating a Single, Computer-GeneratedPayment

®

Overview of Generating a Single,Computer-Generated Payment

Overview of Generating a Single,Computer-Generated Payment

ReceiveReceivecheckcheck

requestrequest

Select QuickSelect Quickpayment optionpayment option

Format and eitherFormat and eitherprint check or sendprint check or sendelectronic paymentelectronic payment



Quick Payments

®

Quick PaymentsQuick Payments

• You can create and print a single, computer-generated payment (also known as a Quickpayment) to pay a supplier for one or moreinvoices.

• Quick payments can be either electronic paymentsor physical payment documents, such as checks.

• When you create an electronic Quick payment, youcan select an invoice regardless of the paymentterms and due date.

• You can create and print a single, computer-generated payment (also known as a Quickpayment) to pay a supplier for one or moreinvoices.

• Quick payments can be either electronic paymentsor physical payment documents, such as checks.

• When you create an electronic Quick payment, youcan select an invoice regardless of the paymentterms and due date.

(Help) Oracle Financial Applications > Oracle Payables >Payments > Single Payments > Paying Invoices with QuickPayments



Recording Zero-Amount Payments

®

Recording Zero-Amount PaymentsRecording Zero-Amount Payments

You can record zero-amount payments if the selectedbank account allows them.You can record zero-amount payments if the selectedbank account allows them.



Demonstration

®


This demonstration covers how to create a single,computer-generated payment.


This demonstration covers how to create a single,computer-generated payment.




Paying Invoices from the Invoice Workbench

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You can initiate payment of one or more invoices byselecting the invoices in the Invoices window andusing the Pay in Full option in the Invoice Actionswindow. When you pay invoices using this method,you can generate a manual payment, Quickpayment, or a refund.

You can initiate payment of one or more invoices byselecting the invoices in the Invoices window andusing the Pay in Full option in the Invoice Actionswindow. When you pay invoices using this method,you can generate a manual payment, Quickpayment, or a refund.

(Help) Oracle Financial Applications > Oracle Payables >Payments > Single Payments > Paying Invoices From theInvoice Workbench




®


You will pay an invoice from the Invoice Workbenchand generate a Quick payment for it.You will pay an invoice from the Invoice Workbenchand generate a Quick payment for it.

(Help) Oracle Financial Applications > Oracle Payables >Payments > Single Payments > Paying Invoices From theInvoice Workbench

Instructor NoteA unique invoice number needs to be chosen by the students to

complete this exercise.




®


You need to pay $50,000 to your supplier, AdvancedNetwork Devices for equipment purchases from itsSanta Clara site. Enter and approve the invoice intoOracle Payables and then pay the invoice from theInvoice Workbench.• Full Distribution Set: Equipment Expense (Full)• Bank Account: Assigned by instructor• Document: Check

You need to pay $50,000 to your supplier, AdvancedNetwork Devices for equipment purchases from itsSanta Clara site. Enter and approve the invoice intoOracle Payables and then pay the invoice from theInvoice Workbench.• Full Distribution Set: Equipment Expense (Full)• Bank Account: Assigned by instructor• Document: Check

Student NotesSolution to practice exercise #2:1. Navigate to the Invoices window. (N) Invoices > Entry > Invoices2. This is a Standard invoice. Accept the default invoice type.3. In the Supplier field, enter Advanced Network Devices.4. Enter Santa Clara as the Supplier Site.5. As the invoice is dated today, accept the default date.6. Enter the invoice number assigned by the instructor.7. Enter the total amount of the invoice in the Amount field: $50,000.8. Choose the Equipment Expense (Full) distribution set.9. Save your work.10. Choose the Distributions button to review the distributions in the

Distributions window.11. Verify that the distribution total is equal to the invoice amount.12. Save your work and close the Distributions window.



13. Approve the invoice online by choosing the Actions button andselecting the Approve check box.

14. Choose OK.15. Choose the Actions button again and choose the Pay in Full check

box.16. Choose OK. Oracle Payables displays the Payments window.17. Since you need to issue a Quick check, accept the default for payment

type Quick.18. Select the bank account given to you by the instructor.19. Select Check as the Document.20. Choose the Actions button and select the Format check box.21. Choose OK. The system displays a message telling you that Payables

submitted the program to submit your single computer-generatedpayment.

22. You are asked if you want to check the status of your request in theRequest window. Choose OK.

23. You can also view the status of your check online later. (M) Help > View > Requests



Review Question

®


When you create a computer-generated Quickpayment, you can select an invoice regardless of thepayment terms and due date.

A. TrueB. False


A. TrueB. False




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A. TrueB. False


A. TrueB. False

Instructor NoteCorrect Answer is: A. True. You can select an invoice regardless of thepayment terms and due date.



Agenda

®

AgendaAgenda





Refunds

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RefundsRefunds

A refund closes out an outstanding credit balance.You are effectively making a negative payment for acredit balance. The refund payment can consist ofany combination of the following documents, as longas the total is a negative amount:

A refund closes out an outstanding credit balance.You are effectively making a negative payment for acredit balance. The refund payment can consist ofany combination of the following documents, as longas the total is a negative amount:• Invoices• Credit memos• Debit memos• Expense reports

• Invoices• Credit memos• Debit memos• Expense reports

(Help) Oracle Financial Applications > Oracle Payables >Payments > Refunds

Instructor NotePaying these documents with a refund records each document as paid, andgives you a complete supplier transaction history.You can record refunds from suppliers for prepayments you have made tothem, such as a refund for deposit or repayment of a travel advance.Note: Refunds do not integrate with Oracle Receivables.



Recording Refunds

®

Recording RefundsRecording Refunds

Use the Payments window to record refund paymentsfor one or more outstanding Payables documents.This closes the open credit balance and alsomaintains a full transaction history for a supplier.

Use the Payments window to record refund paymentsfor one or more outstanding Payables documents.This closes the open credit balance and alsomaintains a full transaction history for a supplier.



Recording Refunds When a Credit Balance Exists

®

Recording Refunds When a CreditBalance Exists

Recording Refunds When a CreditBalance Exists

1. Set up the bank account in which you will depositthe refund.

2. In the Payments window, choose Refund as thepayment type and enter a negative value as theamount.

3. Query unpaid or partially paid invoices and selectpositive and negative amount invoices.

4. Assign amounts to be paid with the refund.5. Payables records the refund and updates the

status of each selected invoice to Paid.

1. Set up the bank account in which you will depositthe refund.

2. In the Payments window, choose Refund as thepayment type and enter a negative value as theamount.

3. Query unpaid or partially paid invoices and selectpositive and negative amount invoices.

4. Assign amounts to be paid with the refund.5. Payables records the refund and updates the

status of each selected invoice to Paid.



Demonstration

®


This demonstration covers how to process refunds.


This demonstration covers how to process refunds.


Instructor NoteThe instructor needs to enter a credit memo prior to demonstrating thisexercise.




®


You will process a refund in Oracle Payables.You will process a refund in Oracle Payables.

(Help) Oracle Financial Applications > Oracle Payables >Payments> Refunds > Entering Refunds

Instructor NoteThis exercise requires an invoice for the paid prepayment. If these are notseeded, then you must create your own invoice before the class beginsand demonstrate this exercise to the class.




®


Your supplier, Advanced Network Devices, has a$5,000 credit balance. You need to record a paymentrefund in Oracle Payables to close the credit balance.

Your supplier, Advanced Network Devices, has a$5,000 credit balance. You need to record a paymentrefund in Oracle Payables to close the credit balance.

• Site: Santa Clara• Bank Account: Assigned by instructor• Payment Document: Assigned by instructor• Invoice Number(s): Assigned by instructor

• Site: Santa Clara• Bank Account: Assigned by instructor• Payment Document: Assigned by instructor• Invoice Number(s): Assigned by instructor

Student NoteSolution to practice exercise #3:How to Record the Refund When a Credit Balance Exists1. Navigate to the Payments window. (N) Payments > Entry > Payments2. Select Refund as the payment type.3. Enter the bank account assigned by the instructor.4. Enter the payment document assigned by the instructor.5. Accept the default date for Payment Date.6. Enter -5,000 as the Payment Amount.7. In the Supplier field, enter Advanced Network Devices.8. Enter Santa Clara as the supplier site.9. Select the Enter/Adjust Invoices button. The Select Invoices window

opens.10. Query any unpaid or partially paid invoices that are in the same

payment currency as the refund. Select the combination of positive andnegative amount invoices that the instructor assigns you. For eachinvoice, enter the amount that you want to pay with the refund.



11. Save your work. Payables records the refund and updates the status ofeach selected invoice to Paid.



Agenda

®

AgendaAgenda





Overview of Stop and Void Payments

®

Overview of Stop and Void PaymentsOverview of Stop and Void Payments

Is payment document in possession?

Stop payment in Payment Actions

window

Is paymentdocumentrecorded?

Void unuseddocument in

Banks window

Void payment inPayment Actions

window

NoNo

NoNo

YesYes

YesYes



Stop Payments

®

Stop PaymentsStop Payments

1. After you call your bank to initiate a stop paymenton a payment document, you can record the stoppayment status in Payables.

2. You can then either void the payment to reversethe accounting and payment records, or you canrelease the stop payment to reset the invoicestatus to Negotiable.

1. After you call your bank to initiate a stop paymenton a payment document, you can record the stoppayment status in Payables.

2. You can then either void the payment to reversethe accounting and payment records, or you canrelease the stop payment to reset the invoicestatus to Negotiable.

(Help) Oracle Financial Applications > Oracle Payables >Payments > Reviewing and Modifying Payments > StoppingPayments



Payment Status Updates

®

Payment Status UpdatesPayment Status Updates







Demonstration

®


This demonstration covers how to record and releasestop payments.


This demonstration covers how to record and releasestop payments.


Instructor NoteYou can stop a payment that was created in a previous demonstration inthis module.



Overview of Voiding Payments

®

Overview of Voiding PaymentsOverview of Voiding Payments

When you void a payment, Payables automaticallyreverses:When you void a payment, Payables automaticallyreverses:

• The status of paid invoices, which is reset toUnpaid.

• The accounting and payment records so yourgeneral ledger will then have the correctinformation.

• Any realized gains or losses on foreign currencyinvoices recorded as paid by the payment.

• All related interest invoices when you void a past-due payment for the supplier site.

• The status of paid invoices, which is reset toUnpaid.

• The accounting and payment records so yourgeneral ledger will then have the correctinformation.

• Any realized gains or losses on foreign currencyinvoices recorded as paid by the payment.

• All related interest invoices when you void a past-due payment for the supplier site.

(Help) Oracle Financial Applications > Oracle Payables >Payments > Reviewing and Modifying Payments > VoidingPayments



Voiding Payments

®

Voiding PaymentsVoiding Payments

When you void a payment, you select the action youwant Payables to take on the invoices paid by thevoid payment. You can choose to:

When you void a payment, you select the action youwant Payables to take on the invoices paid by thevoid payment. You can choose to:• Place the invoices on hold.• Cancel the invoices.• Take no action. Invoices are available for

payment.

• Place the invoices on hold.• Cancel the invoices.• Take no action. Invoices are available for

payment.



Review of Voided Payments

®

Review of Voided PaymentsReview of Voided Payments

• Because you cannot reverse a voided payment,ensure before recording it that you have theuncashed payment document you want to void inyour possession. Or, have proof that the paymentdid not clear the bank and that the bank was ableto stop payment.

• Use the Invoice Workbench to review the paidinvoices before you void the payment to ensurethat you are voiding the correct payment.

• Because you cannot reverse a voided payment,ensure before recording it that you have theuncashed payment document you want to void inyour possession. Or, have proof that the paymentdid not clear the bank and that the bank was ableto stop payment.

• Use the Invoice Workbench to review the paidinvoices before you void the payment to ensurethat you are voiding the correct payment.



Demonstration

®


This demonstration covers how to void payments.


This demonstration covers how to void payments.


Instructor NoteYou can void a payment that was created in a previous demonstration inthis module.




®


You will void a payment in Oracle Payables.You will void a payment in Oracle Payables.




®


Your Purchasing Manager realizes that he does notwant to pay Advanced Network Devices until the nextbilling cycle and wants to void the check issued inPractice #2.

Your Purchasing Manager realizes that he does notwant to pay Advanced Network Devices until the nextbilling cycle and wants to void the check issued inPractice #2.

Student NoteUse the payment created in practice #2.Solution to the practice exercise:1. Navigate to the Payments window. (N) Payments > Entry > Payments2. Open the Find Payment window.

(M) Query > Find3. Enter the search criteria for the payment in the appropriate fields.4. Choose Find.5. Oracle Payables displays the search result in the Payments window.

Verify that the information is related to your supplier and the payment.6. Select the payment and choose the Actions button.7. In the Payment Actions window, select the Void check box.8. Choose OK.



Summary

®

SummarySummary

In this lesson, you should have learned to:• Record a single, manual payment• Generate a single, computer-generated payment• Enter a refund• Stop and void a payment

In this lesson, you should have learned to:• Record a single, manual payment• Generate a single, computer-generated payment• Enter a refund• Stop and void a payment

Instructor NoteReview these these topics with the students and reference the examplesdone in class to reinforce what they have learned.


Processing Withholding TaxChapter 13 - Page 1

ProcessingWithholding TaxChapter 13



Processing Withholding Tax

®

Processing Withholding TaxProcessing Withholding Tax

Release 11iRelease 11i

ILT Schedule: Timing Topic60 minutes Lecture30 minutes Practice90 minutes Total




Objectives

®


• Explain how to set up withholding tax in Payables• Explain how to apply withholding tax to invoices

you enter• Explain how to create withholding tax invoices• Explain how to pay a tax authority• Explain how to review withholding tax information

• Explain how to set up withholding tax in Payables• Explain how to apply withholding tax to invoices

you enter• Explain how to create withholding tax invoices• Explain how to pay a tax authority• Explain how to review withholding tax information

After this Withholding Tax Course, you should be ableto:



Agenda

®

AgendaAgenda

• Setting up automatic withholding tax• Applying withholding tax to invoices you enter• Creating withholding tax invoices• Paying a tax authority• Reviewing withholding tax information




Automatic Withholding Tax Overview

®

Automatic Withholding Tax OverviewAutomatic Withholding Tax Overview

• You might be required to withhold taxes from:– supplier invoices– your employee expense reports

• You set up Payables to automatically withhold taxeither:– at invoice approval time– at payment time

• You might be required to withhold taxes from:– supplier invoices– your employee expense reports

• You set up Payables to automatically withhold taxeither:– at invoice approval time– at payment time



Overview of Withholding Tax Process

®

Overview of Withholding Tax ProcessOverview of Withholding Tax Process

Set up Payables optionsSet up Payables options Enter supplierEnter supplierinvoiceinvoice

Apply withholding taxApply withholding tax to invoice to invoice

Create tax withholdingCreate tax withholdinginvoice for tax authorityinvoice for tax authority

%%

Help) Oracle Financial Applications > Oracle Payables > Other Topics >Withholding Tax



Agenda

®

AgendaAgenda





Setting Up Withholding Tax Payables Options

®

Setting Up Withholding Tax PayablesOptions


• Allow Manual Withholding: Enable this option toallow manual creation and adjustments ofWithholding Tax type distributions for your invoices.

• Tax Group: Enter the name of the withholding taxgroup that you would like to use as the defaultwithholding tax group for the new suppliers youenter.

• Allow Manual Withholding: Enable this option toallow manual creation and adjustments ofWithholding Tax type distributions for your invoices.

• Tax Group: Enter the name of the withholding taxgroup that you would like to use as the defaultwithholding tax group for the new suppliers youenter.

To allow Automatic Withholding Tax for your expensereports and supplier invoices, enable the Use WithholdingTax Payables option. Then, choose from the followingWithholding Tax Payables options:

Help) Oracle Financial Applications > Oracle Payables > Other Topics >Setting Up Withholding Tax



Setting Up Withholding Tax Payables Options

®



• Apply Withholding Tax: Select the time at whichPayables will apply withholding taxes to yousupplier's invoices: at invoice approval time orpayment time.

• Withholding Amount Basis: Select the IncludeDiscount Amount checkbox if you want Payables toinclude the discount amount when it calculateswithholding tax amounts for the invoice. Select theInclude Tax Amount option if you want Payables toinclude the invoice tax amount when it calculateswithholding tax amounts for the invoice.

• Create Withholding Invoice: Select the time atwhich Payables will automatically create invoices toremit withheld taxes to tax authorities: at Invoiceapproval time or payment time.

• Apply Withholding Tax: Select the time at whichPayables will apply withholding taxes to yousupplier's invoices: at invoice approval time orpayment time.

• Withholding Amount Basis: Select the IncludeDiscount Amount checkbox if you want Payables toinclude the discount amount when it calculateswithholding tax amounts for the invoice. Select theInclude Tax Amount option if you want Payables toinclude the invoice tax amount when it calculateswithholding tax amounts for the invoice.

• Create Withholding Invoice: Select the time atwhich Payables will automatically create invoices toremit withheld taxes to tax authorities: at Invoiceapproval time or payment time.



Setting Up Withholding Tax

®

Setting Up Withholding TaxSetting Up Withholding Tax

• Create a unique Pay Group so you can easily groupthe invoices for payment to the tax authority.

• Enter each tax authority as a supplier, with supplierType Tax Authority. Assign the appropriate uniquePay Group to the supplier.

• Create a Payment Format that uses the TaxAuthority Remittance Advice as its SeparateRemittance.

• For the appropriate bank(s), in the PaymentDocuments window, create a payment documentthat uses a Computer Generated or CombinedDisbursement type, and uses the Payment Formatwith the Tax Authority Remittance Advice.

• Create a unique Pay Group so you can easily groupthe invoices for payment to the tax authority.

• Enter each tax authority as a supplier, with supplierType Tax Authority. Assign the appropriate uniquePay Group to the supplier.

• Create a Payment Format that uses the TaxAuthority Remittance Advice as its SeparateRemittance.

• For the appropriate bank(s), in the PaymentDocuments window, create a payment documentthat uses a Computer Generated or CombinedDisbursement type, and uses the Payment Formatwith the Tax Authority Remittance Advice.




®

Setting Up Withholding TaxSetting Up Withholding TaxDefine your Withholding Tax type tax codes and tax rates.When you define a withholding tax code, you indicate firstwhether you will have any amount or rate controls byselecting one of the following rate structures:

Period Limit: After you pay a certain amount forwithholding tax in a period, Payables stops withholdingtaxes.Flat Rate: The withholding tax has no amount or periodlimits.Amount Ranges: The tax rate depends on how much youhave already paid during a time period. You can base thepaid amount on the gross amount of total paid invoiceamounts, or on the total amount of tax withheld. The timeperiod can be either per withholding tax calendar period orper invoice.




®

Setting Up Withholding TaxSetting Up Withholding Tax

• Assign tax authority suppliers to the tax codes.• To allow automatic withholding of multiple taxes

per expense report or invoice, define yourwithholding tax groups.

• Enter withholding tax details for suppliers.• Define withholding tax exemptions and rate

exceptions for all of a suppler site’s invoices or forspecific invoices of a supplier site.

• Assign tax authority suppliers to the tax codes.• To allow automatic withholding of multiple taxes

per expense report or invoice, define yourwithholding tax groups.

• Enter withholding tax details for suppliers.• Define withholding tax exemptions and rate

exceptions for all of a suppler site’s invoices or forspecific invoices of a supplier site.



Review Question

®

1212



If you enable the Use Withholding Tax option, Payablesallows you to manually create and adjust Withholding Taxtype distributions for your invoices.




®

1313



If you enable the Use Withholding Tax option, Payablesallows you to manually create and adjust Withholding Taxtype distributions for your invoices.



Agenda

®

AgendaAgenda





Withholding Taxes

®

Withholding TaxesWithholding Taxes

• Enter invoices• Apply withholding tax to invoices• Enter invoices• Apply withholding tax to invoices

In order to automatically withhold taxes, you must:



Entering Invoices

®


• For invoices, Payables defaults the withholdingtax group from the supplier site to the invoice andthen to the invoice distribution. Accept thisdefault or enter a different withholding tax groupfor an invoice or invoice distribution.

• For recurring invoices, enter a withholding taxgroup for a recurring invoice template. When youcreate invoices, Payables automatically assignsthe withholding tax group from the recurringinvoice template to all invoice distributionscreated for each invoice.

• For invoices, Payables defaults the withholdingtax group from the supplier site to the invoice andthen to the invoice distribution. Accept thisdefault or enter a different withholding tax groupfor an invoice or invoice distribution.

• For recurring invoices, enter a withholding taxgroup for a recurring invoice template. When youcreate invoices, Payables automatically assignsthe withholding tax group from the recurringinvoice template to all invoice distributionscreated for each invoice.



Entering Invoices

®


• For expense reports, assign a withholding taxgroup to an expense report header. Payablesdefaults the withholding tax group to all newexpense items created for the expense report.Accept or modify the default withholding tax groupfor each expense item. When you import theexpense report using Invoice Import, Payablesautomatically assigns the withholding tax groupassigned to each expense item to the invoicedistribution created from the expense item.

• For expense reports, assign a withholding taxgroup to an expense report header. Payablesdefaults the withholding tax group to all newexpense items created for the expense report.Accept or modify the default withholding tax groupfor each expense item. When you import theexpense report using Invoice Import, Payablesautomatically assigns the withholding tax groupassigned to each expense item to the invoicedistribution created from the expense item.



Applying Withholding Tax to Invoices

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Applying Withholding Tax to InvoicesApplying Withholding Tax to Invoices

• Payables can automatically apply withholding tax,or you can perform these tasks manually.

• If you choose to apply withholding taxautomatically, you must choose in the Payablesoptions window, whether to do this duringApproval or during payment processing.

• If you choose to apply withholding tax manually,you must first enable the allow Manual WithholdingPayables option.

• Payables can automatically apply withholding tax,or you can perform these tasks manually.

• If you choose to apply withholding taxautomatically, you must choose in the Payablesoptions window, whether to do this duringApproval or during payment processing.

• If you choose to apply withholding tax manually,you must first enable the allow Manual WithholdingPayables option.



Applying Withholding Tax to Invoices

®

Applying Withholding Tax to InvoicesApplying Withholding Tax to Invoices

• For each group of invoice distributions assignedwith the same withholding tax group, Payablescreates a negative (positive for Credit/DebitMemos) Withholding Tax type invoice distributionfor each Withholding Tax type tax code assignedto the invoice distribution.

• Adjusts the amount of the invoice to reflect theamount of the withheld tax.

• Adjusts the amount of the scheduled payments forthe invoice to reflect the amount of the withheldtax.

• For each group of invoice distributions assignedwith the same withholding tax group, Payablescreates a negative (positive for Credit/DebitMemos) Withholding Tax type invoice distributionfor each Withholding Tax type tax code assignedto the invoice distribution.

• Adjusts the amount of the invoice to reflect theamount of the withheld tax.

• Adjusts the amount of the scheduled payments forthe invoice to reflect the amount of the withheldtax.

Payables performs the following for you if you applyautomatic withholding tax:



Demonstration

®


In Oracle Payables we will demonstrate how to:• Enter a supplier invoice• Apply withholding tax to the invoice

In Oracle Payables we will demonstrate how to:• Enter a supplier invoice• Apply withholding tax to the invoice

Instructor Note:Demonstrate how to enter a supplier invoice and apply withholdingtax to the invoice.



Review Question

®

2121



You can choose to apply withholding tax at payment time.




®

2222



You can choose to apply withholding tax at payment time.



Agenda

®

AgendaAgenda





Creating Withholding Tax Invoices

®

Creating Withholding Tax InvoicesCreating Withholding Tax Invoices

• After you apply withholding tax to an invoice, youcan optionally create invoices to remit withheld taxto the tax authority.

• Payables can automatically create withholding taxinvoices, or you can perform this task manually.

• After you apply withholding tax to an invoice, youcan optionally create invoices to remit withheld taxto the tax authority.

• Payables can automatically create withholding taxinvoices, or you can perform this task manually.

Help) Oracle Financial Applications > Oracle Payables > Other Topics >Creating Withholding Tax Invoices



Creating Withholding Tax Invoices Manually

®

Creating Withholding Tax InvoicesManually

Creating Withholding Tax InvoicesManually

• for each Withholding Tax type invoice distributionon an invoice.

• for the tax authority supplier and site assigned tothe Withholding Tax type tax code and for theamount of the Withholding Tax type invoicedistribution.

• for each Withholding Tax type invoice distributionon an invoice.

• for the tax authority supplier and site assigned tothe Withholding Tax type tax code and for theamount of the Withholding Tax type invoicedistribution.

If you choose to create withholding tax invoicesmanually, then create an invoice:

Instructor Note:Payables does not automatically withhold taxes if you pay with amanual payment.



Creating Withholding Tax Invoices Automatically

®

Creating Withholding Tax InvoicesAutomatically

Creating Withholding Tax InvoicesAutomatically

• If you specify that you want to create withholding taxinvoices during Approval, Payables createsunapproved withholding tax invoices for taxauthority suppliers assigned to the withholding taxcode.

• If you specify that you want to create withholding taxinvoices during payment processing, Payablescreates unapproved withholding tax invoices duringthe Confirm program of payment batch processing,or during processing of a Quick payment.

• If you specify that you want to create withholding taxinvoices during Approval, Payables createsunapproved withholding tax invoices for taxauthority suppliers assigned to the withholding taxcode.

• If you specify that you want to create withholding taxinvoices during payment processing, Payablescreates unapproved withholding tax invoices duringthe Confirm program of payment batch processing,or during processing of a Quick payment.

If you choose to create withholding tax invoicesautomatically, you must choose whether to do this atinvoice approval time or at payment time.



Agenda

®

AgendaAgenda





Paying a Tax Authority

®

Paying a Tax AuthorityPaying a Tax Authority

• Create a payment batch and enter the unique PayGroup for the tax authority.

• Choose a payment document that uses a PaymentFormat with a Tax Authority Remittance Advice.

• The Tax Authority Remittance Advice lists originalinvoices on which tax was withheld, and thewithheld tax amounts.

• Create a payment batch and enter the unique PayGroup for the tax authority.

• Choose a payment document that uses a PaymentFormat with a Tax Authority Remittance Advice.

• The Tax Authority Remittance Advice lists originalinvoices on which tax was withheld, and thewithheld tax amounts.

Help) Oracle Financial Applications > Oracle Payables > Other Topics >Paying a Tax Authority



Review Question

®

2929



If you choose to create withholding tax invoices manually,you must create an invoice for each Withholding Tax typeinvoice distribution on an invoice.




®

3030



If you choose to create withholding tax invoices manually,you must create an invoice for each Withholding Tax typeinvoice distribution on an invoice.



Agenda

®

AgendaAgenda





Projected Withholding Tax

®

Projected Withholding TaxProjected Withholding Tax

• Payables creates one Withholding Tax type invoicedistribution for each Withholding Tax type tax codeper withholding tax group assigned to an invoicedistribution.

• Information in this window is display only.

• Payables creates one Withholding Tax type invoicedistribution for each Withholding Tax type tax codeper withholding tax group assigned to an invoicedistribution.

• Information in this window is display only.

When the Apply Withholding Tax Payables option isset to At Payment Time, you can use the ProjectedWithholding Tax window to review projectedwithholding tax invoice distributions for an invoice.



View Period-To-Date Withheld Amounts

®

View Period-To-Date Withheld AmountsView Period-To-Date Withheld Amounts

• You can review the amount subject to withholdingand the period-to-date withheld amount.

• This window shows automatically withheldamounts, and does not show amounts that youwithheld manually.

• The information in this window is display only.

• You can review the amount subject to withholdingand the period-to-date withheld amount.

• This window shows automatically withheldamounts, and does not show amounts that youwithheld manually.

• The information in this window is display only.

Use this window to review period-to-date withheldamounts for a Withholding Tax type tax code for asupplier.

Instructor Note:For foreign currency invoices, the amount withheld is calculated andrecorded based on the functional currency amount of the invoice.The amount withheld is then converted back into the foreigncurrency. Therefore, due to rounding, the amount withheld may bedifferent from the foreign currency invoice amount at the withholdingtax rate.



View Period-To-Date Withheld Amounts

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View Period-To-Date Withheld AmountsView Period-To-Date Withheld Amounts

• Withholding Tax By Invoice Report• Withholding Tax By Payment Report• Withholding Tax By Supplier Report• Withholding Tax By Tax Authority Report• Withholding Tax Certificate Listing Report

• Withholding Tax By Invoice Report• Withholding Tax By Payment Report• Withholding Tax By Supplier Report• Withholding Tax By Tax Authority Report• Withholding Tax Certificate Listing Report

Submit the following standard reports to satisfy taxauthority, supplier, and management reportingrequirements.

Instructor Note:For foreign currency invoices, the amount withheld is calculated andrecorded based on the functional currency amount of the invoice.The amount withheld is then converted back into the foreigncurrency. Therefore, due to rounding, the amount withheld may bedifferent from the foreign currency invoice amount at the withholdingtax rate.



Review Question

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3535



The View Period-To-Date Withheld Amounts listingincludes amounts that you withhold manually.




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3636



The View Period-To-Date Withheld Amounts listingincludes amounts that you withhold manually.



Summary

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SummarySummary

In this lesson, you should have learned how to:• Set up automatic withholding tax• Apply withholding tax to invoices you enter• Create withholding tax invoices• Pay a tax authority• Review withholding tax information

In this lesson, you should have learned how to:• Set up automatic withholding tax• Apply withholding tax to invoices you enter• Create withholding tax invoices• Pay a tax authority• Review withholding tax information


Managing the Supplier BaseChapter 14 - Page 1

Managing theSupplier BaseChapter 14



Managing the Supplier Base

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Managing the Supplier BaseManaging the Supplier Base


ILT Schedule: Timing Topic 100 minutes Lecture 20 minutes Practice

120 minutes Total




Objectives

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After completing this course, you should be able to:• Describe how to set up suppliers• Explain the supplier merge process

After completing this course, you should be able to:• Describe how to set up suppliers• Explain the supplier merge process



Agenda

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AgendaAgenda

• Setting up suppliers• Merging suppliers• Setting up suppliers• Merging suppliers

Instructor NoteGo over the agenda with the students and discuss the activities that areincluded in this module.



How Oracle Products Use Supplier Information

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How Oracle Products Use SupplierInformation

How Oracle Products Use SupplierInformation

Four Oracle financial applications use the Supplierand Supplier Site windows:• Oracle Payables• Oracle Purchasing• Oracle Assets• Oracle Property ManagerIf you use more than one of these products, supplierinformation is shared with the other products.

Four Oracle financial applications use the Supplierand Supplier Site windows:• Oracle Payables• Oracle Purchasing• Oracle Assets• Oracle Property ManagerIf you use more than one of these products, supplierinformation is shared with the other products.

(Help) Oracle Financial Application > Oracle Payables Suppliers >About Suppliers > How Your Product Uses Supplier Information



Agenda

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AgendaAgenda




Supplier and Supplier Site Settings

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Supplier and Supplier Site SettingsSupplier and Supplier Site SettingsSupplierSupplier

Pay sitePay sitePurchasing sitePurchasing siteRFQ Only siteRFQ Only site

TokyoTokyo New YorkNew York

Purchasing sitePurchasing sitePay sitePay site

ParisParis

Instructor NoteExplain to the students that a site could be made RFQ Only in thebeginning of negotiations with a supplier. Once the decision has beenmade to use the supplier, then the supplier could become both an RFQOnly and Purchasing site.




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Supplier and Supplier Site SettingsSupplier and Supplier Site Settings

• For every supplier, you can create an unlimitednumber of supplier sites with different addressesand contacts. For example, for a single supplier,you can buy from several different sites and sendthe payments to only one site.

• You can perform the following functions for asupplier site when you assign the following typesto the site.– Pay: You can enter invoices for the site.– Purchasing: You can create purchase orders

for the site.

• For every supplier, you can create an unlimitednumber of supplier sites with different addressesand contacts. For example, for a single supplier,you can buy from several different sites and sendthe payments to only one site.

• You can perform the following functions for asupplier site when you assign the following typesto the site.– Pay: You can enter invoices for the site.– Purchasing: You can create purchase orders

for the site.

(Help) Oracle Financial Applications > Oracle Payables > Suppliers >About Suppliers > About Suppliers




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– RFQ Only: You can create request forquotations in Oracle Purchasing for the site.You cannot create purchase orders in an RFQOnly site.

– Procurement Card: Supplier site that acceptsthe credit card brands of your procurementcards.

• For every supplier site, you can enter contactinformation (name, address, and telephonenumber) specific to that site. Contact informationis for your reference only. It is not used by thesystem for reporting purposes.

– RFQ Only: You can create request forquotations in Oracle Purchasing for the site.You cannot create purchase orders in an RFQOnly site.

– Procurement Card: Supplier site that acceptsthe credit card brands of your procurementcards.

• For every supplier site, you can enter contactinformation (name, address, and telephonenumber) specific to that site. Contact informationis for your reference only. It is not used by thesystem for reporting purposes.




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Supplier and Supplier Site settings can set controls inyour system and help automate transaction entry fora supplier site. For example, options such aspayment terms, invoice currency, and pay group for asupplier site default to an invoice when you enter orimport it.Defaults for many options are set in the followingorder and can be overridden at any time:1. Financials Options2. Payables Options3. Supplier4. Supplier Site

Supplier and Supplier Site settings can set controls inyour system and help automate transaction entry fora supplier site. For example, options such aspayment terms, invoice currency, and pay group for asupplier site default to an invoice when you enter orimport it.Defaults for many options are set in the followingorder and can be overridden at any time:1. Financials Options2. Payables Options3. Supplier4. Supplier Site



Review Question

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You can have only one pay site for a supplier.1. True2. False


Instructor NoteThe correct answer is 2. You can have multiple pay sites for a supplier.




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Avoiding Duplicate Suppliers

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Avoiding Duplicate SuppliersAvoiding Duplicate Suppliers

Before setting up a new supplier, verify that thesupplier does not already exist in the system bycomparing it to existing suppliers. The verificationeliminates the possibility of having duplicatesuppliers and invoices in the system and improvesthe system performance. To review existingsuppliers:• Perform a Find or Query on the supplier name.• Submit the Suppliers Report.• Submit the Supplier Audit Report to obtain a

listing of suppliers whose names are the same upto a specific number of characters.

Before setting up a new supplier, verify that thesupplier does not already exist in the system bycomparing it to existing suppliers. The verificationeliminates the possibility of having duplicatesuppliers and invoices in the system and improvesthe system performance. To review existingsuppliers:• Perform a Find or Query on the supplier name.• Submit the Suppliers Report.• Submit the Supplier Audit Report to obtain a

listing of suppliers whose names are the same upto a specific number of characters.

(Help) Oracle Financial Applications > Oracle Payables > Suppliers >Identifying Duplicate Suppliers



Avoiding Duplicate Suppliers

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Avoiding Duplicate SuppliersAvoiding Duplicate Suppliers

To avoid entering duplicate suppliers, set up anaming convention that minimizes the risk ofseparate entities for the same supplier under differentnames. For example, if you consistently spell the fullname of the supplier, you would not enter both OracleCorporation and Oracle Corp.

To avoid entering duplicate suppliers, set up anaming convention that minimizes the risk ofseparate entities for the same supplier under differentnames. For example, if you consistently spell the fullname of the supplier, you would not enter both OracleCorporation and Oracle Corp.



Entering Basic Supplier Information

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Entering Basic Supplier InformationEntering Basic Supplier Information

Enter basic supplier information such as:• Name• Taxpayer ID• Terms• Supplier Type

Enter basic supplier information such as:• Name• Taxpayer ID• Terms• Supplier Type

(Help) Oracle Financial Applications > Oracle Payables > Suppliers >Suppliers and Supplier Sites Header Field Reference > Suppliers andSupplier Sites Header Field Reference



Entering Detailed Supplier Information

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Entering Detailed Supplier InformationEntering Detailed Supplier Information

Enter detailed supplier information such as:• General• Classification• Payment• Bank Accounts• Electronic Data Interchange (EDI)• Invoice Tax• Withholding Tax• Tax Reporting

Enter detailed supplier information such as:• General• Classification• Payment• Bank Accounts• Electronic Data Interchange (EDI)• Invoice Tax• Withholding Tax• Tax Reporting



Entering Supplier Information in the General Region

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Entering Supplier Information in theGeneral Region

Entering Supplier Information in theGeneral Region

The General tabbed region contains additionalreference fields, including:• Parent Supplier Name• Number (of the parent supplier)• Customer Number

The General tabbed region contains additionalreference fields, including:• Parent Supplier Name• Number (of the parent supplier)• Customer Number

(Help) Oracle Financial Applications > Oracle Payables > Suppliers >Suppliers and Supplier Sites Window Reference > General Region ofthe Suppliers Window



Entering Supplier Information in the ClassificationRegion

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Entering Supplier Information in theClassification Region

Entering Supplier Information in theClassification Region

Except for Type and Employee name, classificationinformation is not used by the system and is for yourreference only.

Except for Type and Employee name, classificationinformation is not used by the system and is for yourreference only.

(Help) Oracle Financial Applications > Oracle Payables > Suppliers >Suppliers and Supplier Sites Window Reference > ClassificationRegion of the Suppliers WindowInstructor Note

In the United States, customers often use this region to classify theirsuppliers for government reporting purposes. For example, somecustomers receive certain government contracts only if a percentage oftheir suppliers are classified in certain categories.



Entering Supplier Information in the Control Region

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Entering Supplier Information in theControl Region

Entering Supplier Information in theControl Region

In the Control tabbed region, you can preventpayment of multiple supplier invoices by applying ahold to the supplier rather than on each individualinvoice. There are several types of supplier relatedholds that you can select for a supplier.

In the Control tabbed region, you can preventpayment of multiple supplier invoices by applying ahold to the supplier rather than on each individualinvoice. There are several types of supplier relatedholds that you can select for a supplier.

(Help) Oracle Financial Applications > Oracle Payables > Suppliers >Suppliers and Supplier Sites Window Reference > Control Region ofthe Suppliers and Supplier Sites Windows



Entering Supplier Information in the Payment Region

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Entering Supplier Information in thePayment Region

Entering Supplier Information in thePayment Region

The defaults in the Payment tabbed region come fromthe information that you enter in the FinancialsOptions window, except for the defaults for PayGroup and Allow Interest Invoices, which come fromthe Payables Options window.

The defaults in the Payment tabbed region come fromthe information that you enter in the FinancialsOptions window, except for the defaults for PayGroup and Allow Interest Invoices, which come fromthe Payables Options window.

(Help) Oracle Financial Applications > Oracle Payables > Suppliers >Suppliers and Supplier Sites Window Reference > Payment Region ofthe Suppliers and Supplier Sites Windows



Entering Supplier Information in the Bank AccountsRegion

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Entering Supplier Information in the BankAccounts Region

Entering Supplier Information in the BankAccounts Region

Use the Bank Accounts tabbed region to recordsupplier bank account information that you use formaking electronic payment transactions.Prerequisite: In the Bank Accounts window, definethe bank accounts for which your supplier is theaccount holder.

Use the Bank Accounts tabbed region to recordsupplier bank account information that you use formaking electronic payment transactions.Prerequisite: In the Bank Accounts window, definethe bank accounts for which your supplier is theaccount holder.

(Help) Oracle Financial Applications > Oracle Payables > Suppliers >Suppliers and Supplier Sites Window Reference > Bank AccountsRegion of the Suppliers and Supplier Sites Windows



Entering Supplier Information in the Electronic DataInterchange Region

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Entering Supplier Information in theElectronic Data Interchange RegionEntering Supplier Information in theElectronic Data Interchange Region

If you pay your supplier with electronic payments,enter Electronic Data Interchange (EDI) informationsuch as:• EDI Location• EDI ID Number• Payment Method• Payment Format• Remittance Method• Remittance Instructions

If you pay your supplier with electronic payments,enter Electronic Data Interchange (EDI) informationsuch as:• EDI Location• EDI ID Number• Payment Method• Payment Format• Remittance Method• Remittance Instructions

(Help) Oracle Financial Applications > Oracle Payables > Suppliers >Suppliers and Supplier Sites Window Reference > Electronic DataInterchange Region of the Suppliers and Supplier Sites Windows



Entering Supplier Information in the Invoice Tax Region

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Entering Supplier Information in theInvoice Tax Region

Entering Supplier Information in theInvoice Tax Region

The Invoice Tax tabbed region contains the followingtax options:• Invoice Tax Code• Use Offset Tax• Calculation Level• Allow Calculation Level Override• Rounding Rule• Distribution Amounts Include Tax

The Invoice Tax tabbed region contains the followingtax options:• Invoice Tax Code• Use Offset Tax• Calculation Level• Allow Calculation Level Override• Rounding Rule• Distribution Amounts Include Tax

(Help) Oracle Financial Applications > Oracle Payables > Suppliers >Suppliers and Supplier Sites Window Reference > Invoice Tax Regionof the Suppliers and Supplier Sites WindowsInstructor Note

The R11i Implementing U.S. Sales and Use Taxes module covers theseoptions in detail.



Entering Supplier Information in the Withholding TaxRegion

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Entering Supplier Information in theWithholding Tax Region

Entering Supplier Information in theWithholding Tax Region

• Use the Withholding Tax tabbed region to enterwithholding tax information for a supplier andsupplier site.

• You have access to this region only if you selectedthe Use Withholding Tax check box in thePayables Options window.

• The options that you select for a supplier defaultto the new supplier sites that you enter, and thendefault to invoices that you enter for the site.

• Use the Withholding Tax tabbed region to enterwithholding tax information for a supplier andsupplier site.

• You have access to this region only if you selectedthe Use Withholding Tax check box in thePayables Options window.

• The options that you select for a supplier defaultto the new supplier sites that you enter, and thendefault to invoices that you enter for the site.

(Help) Oracle Financial Applications > Oracle Payables > Suppliers >Suppliers and Supplier Sites Window Reference > Withholding TaxRegion of the Suppliers and Supplier Sites WindowsInstructor Note

The R11i Processing Withholding Tax module covers these options indetail.



Entering Supplier Information in the Tax ReportingRegion

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Entering Supplier Information in the TaxReporting Region

Entering Supplier Information in the TaxReporting Region

The Tax Reporting tabbed region contains 1099information such as whether the supplier is Federalor State reportable, the Reporting Site, ReportingName, and Verification Date.

The Tax Reporting tabbed region contains 1099information such as whether the supplier is Federalor State reportable, the Reporting Site, ReportingName, and Verification Date.

(Help) Oracle Financial Applications > Oracle Payables > Suppliers >Suppliers and Supplier Sites Window Reference > Tax ReportingRegion of the Suppliers WindowInstructor Note

The 1099 information is mainly for the United States only.



Entering Supplier Information in the Purchasing Region

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Entering Supplier Information in thePurchasing Region

Entering Supplier Information in thePurchasing Region

• All supplier purchasing values default to newsupplier sites that you enter.

• Supplier site values default to purchase ordersand purchase requisitions. You can override anypurchasing defaults during supplier site entry andpurchasing document entry.

• All supplier purchasing values default to newsupplier sites that you enter.

• Supplier site values default to purchase ordersand purchase requisitions. You can override anypurchasing defaults during supplier site entry andpurchasing document entry.

(Help) Oracle Financial Applications > Oracle Payables > Suppliers >Suppliers and Supplier Sites Window Reference > Purchasing Regionof the Suppliers and Supplier Sites Windows



Entering Supplier Information in the Receiving Region

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Entering Supplier Information in theReceiving Region

Entering Supplier Information in theReceiving Region

All supplier receiving values default to new purchaseorders you enter for a supplier. You can override anyreceiving defaults during purchase order entry.

All supplier receiving values default to new purchaseorders you enter for a supplier. You can override anyreceiving defaults during purchase order entry.

(Help) Oracle Financial Applications > Oracle Payables > Suppliers >Suppliers and Supplier Sites Window Reference > Receiving Region ofthe Suppliers and Supplier Sites Windows



Demonstration

®


This demonstration covers how to enter supplierinformation.

(N) Suppliers > Entry

This demonstration covers how to enter supplierinformation.

(N) Suppliers > Entry

Instructor NoteInform the students that they can use the scroll bars on their screen toadjust the windows to see additional information. Also, duringdemonstrations, if a window pops up towards the bottom of your screen,you might need to move it up so the students can see it. For example,when you navigate to the Invoice Gateway window, the Invoice GatewayIdentification window pops up first. It is a smaller window and it islocated towards the bottom of the window. You need to move it up so thestudents can see it.Enter a new supplier in the system to demonstrate to the students how toenter supplier information. You can continue using this supplier in theupcoming supplier sites demonstration by adding a site. You can also usethis supplier in the upcoming supplier merge demonstration as thesupplier you are merging to.



Entering Supplier Information

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Oracle Payables Supplier Information

General Yes YesClassification Yes NoContacts No YesAccounting Yes YesControl Yes YesPayment Yes YesBank Accounts Yes Yes

Entering Supplier InformationEntering Supplier Information

InformationType

Enter at Supplier

Enter at Supplier Site



Entering Supplier Information

®

Oracle Payables Supplier Information

EDI Yes YesInvoice Tax Yes YesWithholding Tax Yes YesTax Reporting Yes YesPurchasing Yes YesReceiving Yes No

Entering Supplier InformationEntering Supplier Information

InformationType

Enter at Supplier

Enter at Supplier Site



Review Question

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Which one of the following information types can youenter at the supplier site only?1. Bank2. Contacts3. Accounting4. Classification5. Withholding Tax


Instructor NoteThe correct answer is 2.




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Overview of Entering Information at the Supplier SiteLevel

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Overview of Entering Information at theSupplier Site Level

Overview of Entering Information at theSupplier Site Level

Except for the Receiving and Classificationcategories, all categories of information that areentered at the supplier level can also be entered atthe supplier site level. If an option exists at thesupplier level, the value you enter there defaults tonew supplier sites.Note: Contacts information is entered only at thesupplier site level.

Except for the Receiving and Classificationcategories, all categories of information that areentered at the supplier level can also be entered atthe supplier site level. If an option exists at thesupplier level, the value you enter there defaults tonew supplier sites.Note: Contacts information is entered only at thesupplier site level.



Entering Detailed Supplier Site Information

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Entering Detailed Supplier SiteInformation

Entering Detailed Supplier SiteInformation

Enter detailed supplier site information such as:• Site uses and telephone numbers• Site addresses

Enter detailed supplier site information such as:• Site uses and telephone numbers• Site addresses



Entering Flexible Address Format Information

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Entering Flexible Address FormatInformation

Entering Flexible Address FormatInformation

• Oracle applications enable you to enter customer,supplier, bank, check, and remit-to addresses incountry-specific formats. For example, if you havecustomers in the United Kingdom, you can enterBritish addresses in the format recommended bythe Royal Mail.

• Use descriptive flexfields to enter and displayaddress information in the appropriate formats.The flexfield window is then displayed if thecountry you enter has a flexible address styleassigned to it.

• If no address style is associated with the country,the standard format is used.

• Oracle applications enable you to enter customer,supplier, bank, check, and remit-to addresses incountry-specific formats. For example, if you havecustomers in the United Kingdom, you can enterBritish addresses in the format recommended bythe Royal Mail.

• Use descriptive flexfields to enter and displayaddress information in the appropriate formats.The flexfield window is then displayed if thecountry you enter has a flexible address styleassigned to it.

• If no address style is associated with the country,the standard format is used.



Entering Supplier Site Information in the GeneralRegion

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Entering Supplier Site Information in theGeneral Region

Entering Supplier Site Information in theGeneral Region

In the General tabbed region, select the appropriateSite Uses check boxes to indicate which specificbusiness functions are performed at each site, alongwith telephone information for that site.

In the General tabbed region, select the appropriateSite Uses check boxes to indicate which specificbusiness functions are performed at each site, alongwith telephone information for that site.

(Help) Oracle Financial Applications > Oracle Payables > Suppliers >Suppliers and Supplier Sites Window Reference > General Region ofthe Supplier Sites Window



Entering Supplier Site Information in the ContactsRegion

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Entering Supplier Site Information in theContacts Region

Entering Supplier Site Information in theContacts Region

In the Contacts tabbed region, enter contactinformation specific to that site. Contact informationis for your reference only. It is not used by the systemfor reporting purposes.

In the Contacts tabbed region, enter contactinformation specific to that site. Contact informationis for your reference only. It is not used by the systemfor reporting purposes.

(Help) Oracle Financial Applications > Oracle Payables > Suppliers >Suppliers and Supplier Sites Window Reference > Contacts Region ofthe Suppliers and Supplier Sites Windows



Entering Supplier Site Information in the AccountingRegion

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Entering Supplier Site Information in theAccounting Region

Entering Supplier Site Information in theAccounting Region

In the Accounting tabbed region, enter default GLaccounts for the liability account number, theprepayment account number, and the future datedpayment account number. You can also enter adefault distribution set for all invoices entered for thesupplier site.

In the Accounting tabbed region, enter default GLaccounts for the liability account number, theprepayment account number, and the future datedpayment account number. You can also enter adefault distribution set for all invoices entered for thesupplier site.

(Help) Oracle Financial Applications > Oracle Payables > Suppliers >Suppliers and Supplier Sites Window Reference > Accounting Regionof the Suppliers and Supplier Sites Windows



Entering Employees as Suppliers

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Entering Employees as SuppliersEntering Employees as Suppliers

You must enter an employee as a supplier before youcan pay the employee’s expense reports. You canenable the Automatically Create Employee asSupplier Payables option to automatically enter anemployee as a supplier during Invoice Import, or youcan enter the employee manually as a supplier in theSuppliers window.

You must enter an employee as a supplier before youcan pay the employee’s expense reports. You canenable the Automatically Create Employee asSupplier Payables option to automatically enter anemployee as a supplier during Invoice Import, or youcan enter the employee manually as a supplier in theSuppliers window.

(Help) Oracle Financial Applications > Oracle Payables > Suppliers >About Suppliers > Entering Employees as Suppliers



Demonstration

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This demonstration covers how to enter suppliersite information.

(N) Suppliers > Entry (B) Sites

This demonstration covers how to enter suppliersite information.

(N) Suppliers > Entry (B) Sites

Instructor NoteYou can add a site to the supplier that you set up in the previous supplierdemonstration.



Practice 1 Overview

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This practice covers the following topics:• Entering supplier information• Entering supplier site information

This practice covers the following topics:• Entering supplier information• Entering supplier site information

Instructor Note10 minutes has been allotted for this practice.




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Your supervisor has notified you that the companywill be purchasing materials and services from twonew suppliers. Supplier #1 provides materials andSupplier #2 provides services.Supplier #1• Name: You decide• Type: Manufacturing• Payment Terms: Immediate• Site: Your hometown and a fictional address• Site Uses: Pay and Purchasing site• Contact: Yourself

Your supervisor has notified you that the companywill be purchasing materials and services from twonew suppliers. Supplier #1 provides materials andSupplier #2 provides services.Supplier #1• Name: You decide• Type: Manufacturing• Payment Terms: Immediate• Site: Your hometown and a fictional address• Site Uses: Pay and Purchasing site• Contact: Yourself

Practice 1 Solutions1. Navigate to the Suppliers window.(N) Suppliers >Entry2. Enter your supplier name.3. In the Classification tabbed region, enter the supplier type.4. In the Payments tabbed region, enter the payment terms for your supplier.5. Navigate to the Supplier Sites window.(B) Sites6. Enter your supplier site name and address.7. In the Contacts tabbed region, enter the contact information.8. Save your work.9. Repeat the above steps to create the second supplier.10. To set the invoice limit amount for supplier #2, in the Control tabbed regionof the Suppliers window, enter the limit amount.




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• Terms Date Basis: InvoiceSupplier #2• Name: You decide• Type: Supplier Invoice Amount Limit: $15,000• Payment Terms: Immediate• Site: Your favorite vacation spot• Site Uses: Pay and Purchasing site• Contact: Your favorite person• Site 2: You decide and enter contact information• Terms Date Basis: Invoice

• Terms Date Basis: InvoiceSupplier #2• Name: You decide• Type: Supplier Invoice Amount Limit: $15,000• Payment Terms: Immediate• Site: Your favorite vacation spot• Site Uses: Pay and Purchasing site• Contact: Your favorite person• Site 2: You decide and enter contact information• Terms Date Basis: Invoice



Searching and Reviewing Supplier Information Online

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Searching and Reviewing SupplierInformation Online

Searching and Reviewing SupplierInformation Online

You can find suppliers by using the Find Supplierswindow or by entering a query directly into theSuppliers window.In the Find Suppliers window, you can enter a varietyof search criteria, including tax status, parentsupplier, and payment priority range. You can use theFind feature to initiate a query for one supplier or fora group of suppliers.

You can find suppliers by using the Find Supplierswindow or by entering a query directly into theSuppliers window.In the Find Suppliers window, you can enter a varietyof search criteria, including tax status, parentsupplier, and payment priority range. You can use theFind feature to initiate a query for one supplier or fora group of suppliers.

(Help) Oracle Financial Applications > Oracle Payables > Suppliers >Reviewing and Adjusting Suppliers



Maintaining Supplier and Supplier Site Information

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Maintaining Supplier and Supplier SiteInformation

Maintaining Supplier and Supplier SiteInformation

When you make changes to values that default toOracle Payables documents, the changed valuedefaults only to new documents that yousubsequently enter or create. For example, if youchange the Pay Group for a supplier site, the new PayGroup defaults to new invoices that you enter, but thechange does not affect existing invoices.Also, if you change a supplier value that defaults tosupplier sites, the change affects only new suppliersites that you create, not existing supplier sites.If you want a change to affect documents that youenter or create for an existing supplier site, be sure tomake the changes at the supplier site level.

When you make changes to values that default toOracle Payables documents, the changed valuedefaults only to new documents that yousubsequently enter or create. For example, if youchange the Pay Group for a supplier site, the new PayGroup defaults to new invoices that you enter, but thechange does not affect existing invoices.Also, if you change a supplier value that defaults tosupplier sites, the change affects only new suppliersites that you create, not existing supplier sites.If you want a change to affect documents that youenter or create for an existing supplier site, be sure tomake the changes at the supplier site level.

(Help) Oracle Financial Applications > Oracle Payables > Suppliers >Adjusting Suppliers



Supplier Reports

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Supplier ReportsSupplier ReportsOracle Payables Supplier Reports

Report Name DescriptionSuppliers Report Review supplier, supplier site, and

supplier site contacts informationSupplier Audit Report Review supplier names that

are similar, to help identify potentialduplicate suppliers

New Supplier/New Review new supplier sitesSupplier Site Listing

Supplier Payment Review the payment history,History including void payments, for a

supplier or a group of suppliersSupplier Paid Review the payment history,Invoice History including discount and partial

payment information, for a supplieror group of suppliers

(Help) Oracle Financial Applications > Oracle Payables > Suppliers >Supplier Reports



Supplier Reports

®

Supplier ReportsSupplier ReportsOracle Payables Supplier Reports

Report Name DescriptionSupplier Mailing Use this report to create mailingLabels labels for supplier sitesPurchase Order Header Review purchase orders updatedUpdates Report by the Supplier Merge ProgramSupplier Merge Report Review the suppliers, sites, and

invoices updated by the Supplier Merge Process

Supplier Balance Identify suppliers with creditRevaluation Report (negative) balances

Supplier Customer Review the net balance in Oracle Netting Report Payables and Oracle Receivables

for any suppliers or customers whohave the same NIF or VAT code



Practice 2 Overview

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This practice covers the following topics:• Searching for suppliers• Reviewing and updating supplier and supplier site

information• Submitting the New Supplier/New Supplier Listing

Report

This practice covers the following topics:• Searching for suppliers• Reviewing and updating supplier and supplier site

information• Submitting the New Supplier/New Supplier Listing

Report





®


You want to review and change some supplier andsupplier site information for the two new suppliersthat you just created.• Find your first supplier and add a second site.• Find your second supplier and make the second

supplier site inactive.• Submit the New Supplier/New Supplier Listing

Report.

You want to review and change some supplier andsupplier site information for the two new suppliersthat you just created.• Find your first supplier and add a second site.• Find your second supplier and make the second

supplier site inactive.• Submit the New Supplier/New Supplier Listing

Report.

Practice 2 SolutionsStep 1: Search for the first supplier and add a new site1. Navigate to the Suppliers window.(N) Suppliers >Entry2. Click on the Find icon from the Toolbar or select Find from the View menu.3. Enter the search criteria for the supplier name that you previously entered.4. Select the Find button in the Find Suppliers window.5. To add a new site, navigate to the Supplier Sites window.(B) Sites6. Insert a new record by selecting the New icon.7. Enter your new supplier site name and address.8. In the Contacts region, enter the contact information.9. Save your work.10. Review the information in the other tabbed regions of the Supplier Siteswindow.Step 2: Search for the second supplier and inactivate the second site1. Remain in the Suppliers window.2. Click on the Find icon from the Toolbar or select Find from the View menu.3. Enter the search criteria for the second supplier that you previously entered.



4. Select the Find button in the Find Suppliers window.5. Select the Sites button. Oracle Payables opens the Supplier Sites window.6. Choose the second site.7. In the Inactivate On field, enter today’s date.8. Save your work.Step 3: Submit the New Supplier/New Supplier Site Listing report1. Navigate to the Submit Request window.(N) Other > Requests > Run > (B) Single Request (B) OK2. In the Name field, enter New Supplier/New Supplier Site Listing.3. In the Parameters window, enter:• Start Date: Today’s date• List Suppliers or Sites?: New Suppliers• Order By: Supplier Name• 4. Click OK.• 5. Choose Submit. Note your Request ID ______________.• 6. Review the report by navigating to the Requests window.• (N) Other > Requests > View• 7. Select the Specific Requests button.• 8. Enter your request ID in the Request ID field.• 9. Choose the Find button.• 10. Once the report is completed, select the View Output button to see the report.



Review Question

®


Which one of the following reports would you use toreview suppliers, supplier sites, and supplier sitecontacts information?1. Suppliers Report2. Supplier Audit Report3. Supplier Merge Report4. Supplier Customer Netting Report5. New Supplier/New Supplier Site Listing






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Agenda

®

AgendaAgenda




Merging Suppliers

®

Merging SuppliersMerging Suppliers

Run supplierRun supplieraudit reportaudit report

ABCABCCorpCorp

ABCABCCorporationCorporation

Review mergeReview mergeresultsresults

ABCABCCorporationCorporation

Merge suppliersMerge suppliers

Identify duplicateIdentify duplicatesupplierssuppliers

Maintain auditMaintain audittrailtrail



Overview of Merging Suppliers

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Overview of Merging SuppliersOverview of Merging Suppliers

Although the system prevents you from enteringduplicate supplier names, you may inadvertentlydefine the same supplier by using two differentnames. For example, you might enter ABCCorporation and ABC Corp, or you might enter acontractor under his name and his company name.You might also create duplicate suppliers if youimport suppliers from another accounts payablesystem.

Although the system prevents you from enteringduplicate supplier names, you may inadvertentlydefine the same supplier by using two differentnames. For example, you might enter ABCCorporation and ABC Corp, or you might enter acontractor under his name and his company name.You might also create duplicate suppliers if youimport suppliers from another accounts payablesystem.



Overview of Merging Suppliers

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Overview of Merging SuppliersOverview of Merging Suppliers

Use Supplier Merge to combine two or more suppliersthat you identify as duplicates. You can updatepurchase orders and invoices for the old supplier torefer to the new supplier. The Supplier Merge windowalso enables you to merge supplier sites so that anysites assigned to an old supplier can be reassignedto the new supplier.

Use Supplier Merge to combine two or more suppliersthat you identify as duplicates. You can updatepurchase orders and invoices for the old supplier torefer to the new supplier. The Supplier Merge windowalso enables you to merge supplier sites so that anysites assigned to an old supplier can be reassignedto the new supplier.

Instructor NoteYou can create a new site during the merge process as part of the transferprocess. Also, you can transfer transactions from one site to another.



Merging Suppliers

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When you merge suppliers, you transfer invoices,purchase orders, or both from one supplier and siteto another supplier and site. You can transfer to anew supplier and site unpaid invoices only or allinvoices (including paid and partially paid invoices).Oracle Payables will not transfer invoices if the mergeprocess would create a duplicate invoice for asupplier.Note: The merge process cannot be undone.

When you merge suppliers, you transfer invoices,purchase orders, or both from one supplier and siteto another supplier and site. You can transfer to anew supplier and site unpaid invoices only or allinvoices (including paid and partially paid invoices).Oracle Payables will not transfer invoices if the mergeprocess would create a duplicate invoice for asupplier.Note: The merge process cannot be undone.

(Help) Oracle Financial Applications > Oracle Payables > Suppliers >Supplier Merge ProgramInstructor Note

Remind the students that the transfer process moves the information fromthe old supplier to the new supplier. If you choose to transfer all invoices,there will not be any invoices under the old supplier.



Merging Suppliers

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For best auditing results, transfer both paid andunpaid invoices to a new supplier and site so you canidentify duplicate payments easily. Also, transfer bothpurchase orders and invoices to a new supplier andsite so all invoice and purchase order informationrefers to the same supplier.

For best auditing results, transfer both paid andunpaid invoices to a new supplier and site so you canidentify duplicate payments easily. Also, transfer bothpurchase orders and invoices to a new supplier andsite so all invoice and purchase order informationrefers to the same supplier.



Merging Suppliers

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After you have merged suppliers, Oracle Payablesautomatically prints the Purchase Order HeaderUpdates Report and the Supplier Merge Report as anaudit trail of your supplier merge activity. TheSupplier Merge Report also lists any duplicateinvoices that it did not merge. Research theduplicated invoice. You can then update the invoicenumber if the invoice has not been paid or accounted.

After you have merged suppliers, Oracle Payablesautomatically prints the Purchase Order HeaderUpdates Report and the Supplier Merge Report as anaudit trail of your supplier merge activity. TheSupplier Merge Report also lists any duplicateinvoices that it did not merge. Research theduplicated invoice. You can then update the invoicenumber if the invoice has not been paid or accounted.



Demonstration

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This demonstration covers how to merge supplierinformation.

(N) Suppliers > Supplier Merge

This demonstration covers how to merge supplierinformation.

(N) Suppliers > Supplier Merge

Instructor NoteIn order to perform this demonstration, you need several invoices in thedatabase for a supplier to transfer invoices from, and a different supplierto transfer the invoices to.You can use the supplier and site that you set up in the previousdemonstrations as the supplier that you are transferring invoices to.



Identifying Duplicate Suppliers

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Identifying Duplicate SuppliersIdentifying Duplicate Suppliers

• Review supplier records periodically to achievethe following:– Prevent duplicate invoices– Improve system performance– Provide accurate supplier reporting

• Use the Suppliers Report and the Supplier AuditReport to help identify duplicate suppliers.

• Review supplier records periodically to achievethe following:– Prevent duplicate invoices– Improve system performance– Provide accurate supplier reporting

• Use the Suppliers Report and the Supplier AuditReport to help identify duplicate suppliers.



Maintaining Reports As an Audit Trail

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Maintaining Reports As an Audit TrailMaintaining Reports As an Audit Trail

• Oracle Payables does not maintain an online audittrail for merged supplier records.

• To review merged records, Oracle Payablesautomatically prints the Purchase Order HeaderUpdates Report and Supplier Merge Report.

• Keep these reports as an audit trail.

• Oracle Payables does not maintain an online audittrail for merged supplier records.

• To review merged records, Oracle Payablesautomatically prints the Purchase Order HeaderUpdates Report and Supplier Merge Report.

• Keep these reports as an audit trail.

(Help) Oracle Financial Applications > Oracle Payables > Suppliers >Supplier Merge Report(Help) Oracle Financial Applications > Oracle Payables > Suppliers >Purchase Order Header Updates Report



Review Question

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In the Supplier Merge window, you can merge bothsuppliers and supplier sites.1. True2. False






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Summary

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SummarySummary

In this lesson, you should have learned how to:• Set up suppliers• Explain the merge suppliers process

In this lesson, you should have learned how to:• Set up suppliers• Explain the merge suppliers process


Processing PrepaymentsChapter 15 - Page 1

ProcessingPrepaymentsChapter 15



Processing Prepayments

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Processing PrepaymentsProcessing Prepayments


ILT Schedule: Timing Topic 50 minutes Lecture

10 minutes Practice 60 minutes Total



Objectives

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After this course, you should be able to:• Identify when to use prepayments• Enter, approve, and pay prepayments• Apply and unapply prepayments to invoices

After this course, you should be able to:• Identify when to use prepayments• Enter, approve, and pay prepayments• Apply and unapply prepayments to invoices



Agenda

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AgendaAgenda

• Overview of prepayments• Entering, approving, and paying prepayments• Applying and unapplying prepayments to invoices


Instructor NoteGo over the agenda with the students and explain the activities that are includedin this module.



Agenda

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AgendaAgenda





Overview of Prepayments

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Overview of PrepaymentsOverview of Prepayments

• A prepayment is a type of invoice you enter to payan advance payment for expenses to a supplier oremployee. For example, you may need to pay adeposit on a lease, or you may need to pay anemployee an advance for travel expenses.

• You can later apply the prepayment to one or moreinvoices or expense reports you receive from thesupplier or employee to offset the amount paid tothem.

• A prepayment is a type of invoice you enter to payan advance payment for expenses to a supplier oremployee. For example, you may need to pay adeposit on a lease, or you may need to pay anemployee an advance for travel expenses.

• You can later apply the prepayment to one or moreinvoices or expense reports you receive from thesupplier or employee to offset the amount paid tothem.

(Help) Oracle Financial Applications > Oracle Payables > Invoices >Prepayments > Prepayments




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You can enter either a Temporary or a Permanenttype prepayment.• Temporary prepayments can be applied to

invoices or expense reports. For example, you usea temporary prepayment to pay a deposit to acatering company.

• Permanent prepayments cannot be applied toinvoices. For example, you use a permanentprepayment to pay a lease deposit for which youdo not expect to be invoiced.

You can enter either a Temporary or a Permanenttype prepayment.• Temporary prepayments can be applied to

invoices or expense reports. For example, you usea temporary prepayment to pay a deposit to acatering company.

• Permanent prepayments cannot be applied toinvoices. For example, you use a permanentprepayment to pay a lease deposit for which youdo not expect to be invoiced.




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• When you enter an invoice in the InvoiceWorkbench for a supplier for whom you haveoutstanding temporary prepayments, OraclePayables notifies you if you have prepaymentsavailable that you can optionally apply. You canalso review the Prepayment Status Report tocheck the status of all prepayments in yourPayables system.

• If necessary, you can change the type frompermanent to temporary, or temporary topermanent.

• When you enter an invoice in the InvoiceWorkbench for a supplier for whom you haveoutstanding temporary prepayments, OraclePayables notifies you if you have prepaymentsavailable that you can optionally apply. You canalso review the Prepayment Status Report tocheck the status of all prepayments in yourPayables system.

• If necessary, you can change the type frompermanent to temporary, or temporary topermanent.

Instructor NoteMention to the students that the system informs you of available prepayments forthe supplier, regardless of which site you use.



Overview of Processing Prepayments

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Overview of Processing PrepaymentsOverview of Processing PrepaymentsEnter and approveEnter and approve

prepaymentprepayment

Pay prepaymentPay prepayment

Select invoice andSelect invoice andapply one or moreapply one or more

prepaymentsprepayments

Select prepaymentSelect prepaymentand apply to oneand apply to oneor more invoicesor more invoices



Review Question

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Permanent prepayments can be applied to invoices orexpense reports.1. True2. False


Instructor NoteThe correct answer is 2. Temporary prepayments can be applied to invoices orexpense reports.




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Agenda

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AgendaAgenda





Entering Prepayments

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Entering PrepaymentsEntering Prepayments

You enter a prepayment as you enter any otherinvoice. However, you additionally specify:• Prepayment as the invoice type• Temporary or Permanent as the prepayment type• The settlement date, which is the date after which

the prepayment can be applied to an invoice.You can also apply a hold to a prepayment if youwant to control payment of it.Note: You can enter a Prepayment type invoice onlyin the Invoice Workbench. You cannot enter aPrepayment type invoice in the Invoice Gateway.

You enter a prepayment as you enter any otherinvoice. However, you additionally specify:• Prepayment as the invoice type• Temporary or Permanent as the prepayment type• The settlement date, which is the date after which

the prepayment can be applied to an invoice.You can also apply a hold to a prepayment if youwant to control payment of it.Note: You can enter a Prepayment type invoice onlyin the Invoice Workbench. You cannot enter aPrepayment type invoice in the Invoice Gateway.

(Help) Oracle Financial Applications > Oracle Payables > Invoices >Prepayments > Entering Prepayments(Help) Oracle Financial Applications > Oracle Payables > Invoices >Prepayments > Applying and Releasing Holds on Prepayments



Approving and Paying Prepayments

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Approving and Paying PrepaymentsApproving and Paying Prepayments

• Approve and pay a prepayment just as you wouldany other invoice. However, you must fully pay aprepayment.

• You can apply a temporary prepayment to aninvoice after it has been paid and after thesettlement date of the prepayment.

• Approve and pay a prepayment just as you wouldany other invoice. However, you must fully pay aprepayment.

• You can apply a temporary prepayment to aninvoice after it has been paid and after thesettlement date of the prepayment.



Using Automatic Withholding Tax on Prepayments

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Using Automatic Withholding Tax onPrepayments

Using Automatic Withholding Tax onPrepayments

The timing of the prepayment application to aninvoice is important when using the automaticwithholding tax feature:• If the Withholding Tax Payables option is set to

Apply Withholding Tax at Invoice Approval Time,and you apply the prepayment before approvingthe invoice, the withholding tax is calculated net ofprepayments.

• If you first approve an invoice and then apply theprepayment, you need to manually adjust thewithholding tax amount and the withholdinginvoice if the Payables option is set to CreateWithholding Invoice at Invoice Approval Time or AtPayment Time.

The timing of the prepayment application to aninvoice is important when using the automaticwithholding tax feature:• If the Withholding Tax Payables option is set to

Apply Withholding Tax at Invoice Approval Time,and you apply the prepayment before approvingthe invoice, the withholding tax is calculated net ofprepayments.

• If you first approve an invoice and then apply theprepayment, you need to manually adjust thewithholding tax amount and the withholdinginvoice if the Payables option is set to CreateWithholding Invoice at Invoice Approval Time or AtPayment Time.

(Help) Oracle Financial Applications > Oracle Payables > Invoices >Prepayments > Withholding Tax When Applying Prepayments



Matching a Prepayment to a Purchase Order

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Matching a Prepayment to a PurchaseOrder

Matching a Prepayment to a PurchaseOrder

When you match a prepayment to a purchase order,the prepayment distributions use the defaultprepayments account, which you can override.Payables does not calculate invoice price varianceand exchange rate variance at this point. Later, whenthe matched prepayment is applied to an invoice,Payables reverses the matched quantity on theprepayment to reflect the balance of the total quantitymatched.

When you match a prepayment to a purchase order,the prepayment distributions use the defaultprepayments account, which you can override.Payables does not calculate invoice price varianceand exchange rate variance at this point. Later, whenthe matched prepayment is applied to an invoice,Payables reverses the matched quantity on theprepayment to reflect the balance of the total quantitymatched.

(Help) Oracle Financial Applications > Oracle Payables > Invoices >Prepayments > Matching Prepayments to Purchase Orders



Controlling When a Prepayment is Available to Apply toInvoices

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Controlling When a Prepayment isAvailable to Apply to Invoices

Controlling When a Prepayment isAvailable to Apply to Invoices

• Enter a settlement date in the future.• Apply a hold on a prepayment to prevent payment.• Choose to hold the scheduled payment for the

prepayment in the Scheduled Payments window.

• Enter a settlement date in the future.• Apply a hold on a prepayment to prevent payment.• Choose to hold the scheduled payment for the

prepayment in the Scheduled Payments window.



Demonstration

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This demonstration covers how to enter aprepayment in the Invoice Workbench.


This demonstration covers how to enter aprepayment in the Invoice Workbench.


Instructor NoteInform the students that they can use the scroll bars on their screen to adjust thewindows to see additional information. Also, during demonstrations, if awindow pops up towards the bottom of your screen, you might need to move itup so the students can see it. For example, when you navigate to the InvoiceGateway window, the Invoice Gateway Identification window pops up first. It isa smaller window and it is located towards the bottom of the window. You needto move it up so the students can see it.Demonstrate to the students how to enter a prepayment invoice that hasdifferent types of distributions. Before you start this demonstration, verify thefollowing information for the supplier Capp Consulting, Capp Consulting site.A) The Calculation Level is Tax Code B) The Allow Withholding Taxcheckbox is selected. You also need a unique bank account to pay thisprepayment so you can apply an invoice to it in the next demonstration.1. Navigate to the Invoices window.(N) Invoices > Entry > Invoices2. Enter Prepayment in the Invoice Type field.3. Enter Capp Consulting in the Supplier field. The site should default in.4. Enter today’s date in the Invoice Date field.5. Enter XXPP in the Invoice Number field.



6. Enter 11,000.00 in the Invoice Amount field.7. The terms date should default to the invoice date (based on the terms datebasis setup).8. Enter Immediate in the Terms field.9. Select Temporary in the Prepayment Type field.10. The settlement date should default to today’s date.11. Verify that the Tax Calculation is Tax Code.12. Select Prepay WH in the Withholding Tax Group field.13. Select the Distributions button.14. Accept Item as the line type.15. Enter 10,000.00 in the Amount field.16. Select Prepay Sales Tax as the tax code.17. Verify account 01-000-1340-0000-000 defaults in the Account field.18. Leave the Includes Tax check box unchecked.19. Save your work.20. Close the Distributions window.21. Select the Actions button and select the Approve check box.22. Click OK to submit the Approval process.23. You should see a message that says “No holds placed or released”.24. Click OK to acknowledge the message.25. Select the Distributions button and confirm that the following distributionswere created:Line# Type Amount Account1 Item 10,000.00 01-000-1340-0000-0002 Tax 1,000.00 01-000-1340-0000-0003 Withholding Tax <1,100.00> 01-000-1332-0000-00026. Select the Actions button. Select the Pay in Full check box and choose OK.This takes you to the Payments window.27. Accept the default of Quick in the Payment Type field.28. Select the bank account. The remaining fields should default in for you.29. Save your work.



Practice 1 Overview

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This practice covers entering a prepayment.This practice covers entering a prepayment.





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You have received the following invoice for upcomingcomputer training. Enter the prepayment invoice intothe system and approve it.• Supplier: Advanced Network Devices• Date: Today• Invoice #: Assigned by the instructor• Total: $11,000• Description: Computer training• Terms: Immediate

You have received the following invoice for upcomingcomputer training. Enter the prepayment invoice intothe system and approve it.• Supplier: Advanced Network Devices• Date: Today• Invoice #: Assigned by the instructor• Total: $11,000• Description: Computer training• Terms: Immediate

Practice 1 Solutions1. Navigate to the Invoices window.(N) Invoices > Entry > Invoices2. Select Prepayment in the Type field.3. Enter Advanced Network Devices in the Supplier field. The Santa Clarasite should default in the Site field.4. Enter today’s date in the Invoice Date field.5. Enter the invoice number given to you by the instructor in the Invoice Numfield.6. Enter 11,000.00 in the Invoice Amount field.7. Enter the invoice description information in the Description field.8. The terms date should default to the invoice date (based on the terms date basissetup).9. Enter Immediate in the Terms field.10. Select Temporary in the Prepayment Type field.11. The settlement date should default to today’s date.12. Select the Distributions button.13. Accept Item as the line type.14. Enter 11,000.00 for the line amount.



15. Verify account 01.000.1340.0000.000 defaults in the Account field. This isthe default prepayment account.16. Save your work.17. Close the Distributions window.18. Select the Actions button.19. Select the Approve check box.20. Select the OK button.21. You should see a message that says “No holds placed or released”.22. Click OK to acknowledge the message. You have now entered and approved aPrepayment type invoice.



Review Question

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You must fully pay a prepayment before you canapply the prepayment to an invoice.1. True2. False


Instructor NoteThe correct answer is 1. You must fully pay a prepayment, whether it is atemporary or permanent type prepayment.




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Agenda

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AgendaAgenda





Applying Prepayments to Invoices

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Applying Prepayments to InvoicesApplying Prepayments to Invoices

• You can apply the available amount of Item typedistributions from a Temporary type prepaymentto one or more invoices to offset the amount youpay on the invoice(s).

• You can apply prepayments either in the InvoiceWorkbench or Invoice Gateway.

• You can apply prepayments to invoices, andinvoices to prepayments.

• You can apply the available amount of Item typedistributions from a Temporary type prepaymentto one or more invoices to offset the amount youpay on the invoice(s).

• You can apply prepayments either in the InvoiceWorkbench or Invoice Gateway.

• You can apply prepayments to invoices, andinvoices to prepayments.

(Help) Oracle Financial Applications > Oracle Payables > Invoices >Prepayments > Applying Prepayments to InvoicesInstructor Note

Discuss the applying prepayments to invoices prerequisites in the online Helpwith the students.



Applying Prepayments in the Invoice Workbench

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Applying Prepayments in the InvoiceWorkbench

Applying Prepayments in the InvoiceWorkbench

• For invoices you enter in the Invoice Workbench,you can apply a prepayment either after youapprove an invoice, or while you are entering it.

• When you apply a prepayment to an invoice, youcan see all available prepayment Item distributionsfor the same supplier in the Apply/UnapplyPrepayments window. You can partially apply aPrepayment distribution by applying only a portionof its available amount.

• For invoices you enter in the Invoice Workbench,you can apply a prepayment either after youapprove an invoice, or while you are entering it.

• When you apply a prepayment to an invoice, youcan see all available prepayment Item distributionsfor the same supplier in the Apply/UnapplyPrepayments window. You can partially apply aPrepayment distribution by applying only a portionof its available amount.

(Help) Oracle Financial Applications > Oracle Payables > Invoices >Prepayments > Applying Prepayments to Invoices(Help) Oracle Financial Applications > Oracle Payables > Invoices >Prepayments > Adjusting Tax When Applying PrepaymentsInstructor Note

Discuss the “Applying Prepayments in the Invoice Workbench” section of theonline Help with the students. Explain to the students the importance of thetiming of the prepayment application for tax calculation.



Applying Prepayments in the Invoice Gateway

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Applying Prepayments in the InvoiceGateway

Applying Prepayments in the InvoiceGateway

For Invoice Gateway invoices, you specify theprepayment information when you enter the invoicerecord. During import Payables applies theprepayment. You can also apply prepayments toinvoices in the Invoice Workbench after you importthem.

For Invoice Gateway invoices, you specify theprepayment information when you enter the invoicerecord. During import Payables applies theprepayment. You can also apply prepayments toinvoices in the Invoice Workbench after you importthem.

(Help) Oracle Financial Applications > Oracle Payables > Invoices >Prepayments > Applying Prepayments to InvoicesInstructor Note

Discuss the “Applying Prepayments in the Invoice Gateway” section of theonline Help with the students. Also, mention that you do not get a message inthe Invoice Gateway that informs you of available prepayments for the supplier.



Applying Prepayments to Expense Reports

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Applying Prepayments to ExpenseReports

Applying Prepayments to ExpenseReports

In the Expense Reports window, you can applyprepayments, also known as advances, to expensereports during expense report entry.The prepayments can also be applied to expensereports in the Invoice Workbench.

In the Expense Reports window, you can applyprepayments, also known as advances, to expensereports during expense report entry.The prepayments can also be applied to expensereports in the Invoice Workbench.

(Help) Oracle Financial Applications > Oracle Payables > Invoices >Prepayments > Applying Prepayments to Expense Reports



Using the Prepayments Status Report

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Using the Prepayments Status ReportUsing the Prepayments Status Report

Use the Prepayments Status Report to review detailsfor unapplied prepayments and unpaid or partiallypaid invoices for a supplier.• (Optional) Choose to include invoices in the report

parameters to compare unapplied prepayments tooutstanding invoices for a supplier.

• Choose the View Only Prepayments option in thereport parameters to submit the report to obtain alisting and a balance for all outstandingprepayments.

• Submit the report for a supplier type, a singlesupplier, or a date range, to view specific supplieror date range information regarding prepayments.

Use the Prepayments Status Report to review detailsfor unapplied prepayments and unpaid or partiallypaid invoices for a supplier.• (Optional) Choose to include invoices in the report

parameters to compare unapplied prepayments tooutstanding invoices for a supplier.

• Choose the View Only Prepayments option in thereport parameters to submit the report to obtain alisting and a balance for all outstandingprepayments.

• Submit the report for a supplier type, a singlesupplier, or a date range, to view specific supplieror date range information regarding prepayments.



Demonstration

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This demonstration covers how to apply an invoice toa prepayment in the Invoice Workbench.

(N) Invoices > Entry > Invoices (B) Actions

This demonstration covers how to apply an invoice toa prepayment in the Invoice Workbench.

(N) Invoices > Entry > Invoices (B) Actions

Instructor NoteEnter an invoice for Capp Consulting that you apply against the prepayment thatwas entered in the earlier demonstration.1. Navigate to the Invoices window.(N) Invoices > Entry > Invoices2. The invoice type is Standard.3. Enter Capp Consulting in the Supplier field. The site should default in.You should see a message that informs you there are prepayments for thesupplier.4. Enter today’s date in the Invoice Date field.5. Enter XXCT in the Invoice Number field.6. Enter 11,100.00 in the Invoice Amount field.7. Click the Distributions button.8. Enter 11,000.00 for the first line amount.9. Select Prepay Sales Tax in the Tax Code field.10. Enter 01-110-6100-0000-000 in the Account field.11. Leave the Includes Tax check box cleared.12. Save your work and close the Distributions window.13. Click the Actions button.



14. Select the Apply/Unapply Prepayment check box and choose OK. Thisopens the Apply/Unapply Prepayments window.15. You should see the invoice number for the original prepayment invoice.16. Select the Apply check box for the distribution.17. Click the Apply/Unapply button.18. Close the Apply/Unapply Prepayments window.19. Select the Actions button and select the Approve check box.20. Click OK to submit the Approval process.21. You should see a message that says “No holds placed or released”.22. Click OK to acknowledge the message.23. Select the Overview button and show the students the Invoice Status regionwhere you can see that the invoice is now partially paid. Also, query on theoriginal prepayment and show the students the Invoice Status region where youcan see that the prepayment is now fully applied.



Unapplying Prepayments

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Unapplying PrepaymentsUnapplying Prepayments

If you mistakenly apply a prepayment to an invoice,you can unapply it in the Invoice Workbench. It isthen available to apply to another invoice. When youunapply a prepayment, you must unapply the fullprepaid amount.• Payables increases the amount available for the

prepayment by the unapplied amount.• Payables creates a positive amount Prepayment

distribution on the invoice, with the sameattributes as the existing Prepayment distributionit is reversing.

• Payables then updates the status of the invoice tounpaid or partially paid.

If you mistakenly apply a prepayment to an invoice,you can unapply it in the Invoice Workbench. It isthen available to apply to another invoice. When youunapply a prepayment, you must unapply the fullprepaid amount.• Payables increases the amount available for the

prepayment by the unapplied amount.• Payables creates a positive amount Prepayment

distribution on the invoice, with the sameattributes as the existing Prepayment distributionit is reversing.

• Payables then updates the status of the invoice tounpaid or partially paid.

(Help) Oracle Financial Applications > Oracle Payables > Invoices >Prepayments > Unapplying PrepaymentsInstructor Note

Discuss the “Unapplying Prepayments” section of the online Help with thestudents. Also, remind the students that:

• You unapply prepayments in the Invoice Workbench.• Unapplying a prepayment creates a new positive amount Prepayment

distribution type on the invoice.• If the prepayment was applied before your Payables system was upgraded to

Release 11i, you unapply the prepayment by submitting the UnapplyPreupgrade Prepayment program from the Submit Request window.



Recording a Refund of a Prepayment or Advance

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Recording a Refund of a Prepayment orAdvance

Recording a Refund of a Prepayment orAdvance

You can record a refund from a supplier that paysback an unused prepayment or part of a prepayment.You can also record a refund from an employee for anadvance.Note: It is recommended that to record a refund, youenter a standard invoice and apply the prepayment toit. Then enter a debit memo and pay it with a Refundpayment in the Payments window.

You can record a refund from a supplier that paysback an unused prepayment or part of a prepayment.You can also record a refund from an employee for anadvance.Note: It is recommended that to record a refund, youenter a standard invoice and apply the prepayment toit. Then enter a debit memo and pay it with a Refundpayment in the Payments window.

(Help) Oracle Financial Applications > Oracle Payables > Invoices >Prepayments > Recording a Refund of a Prepayment or AdvanceInstructor Note

Discuss the “Recording a Refund of a Prepayment or Advance” section of theonline Help with the students.



Canceling Prepayments

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Canceling PrepaymentsCanceling Prepayments

• You can cancel a prepayment as you would anyother invoice, in the Actions window.

• If a prepayment has been paid, the paymentdocument that paid the prepayment must bevoided before the prepayment can be canceled.

• You cannot void a payment document that paid aprepayment unless the prepayment is fullyunapplied.

• Review cancellation information in the InvoicesOverview window.

• You can cancel a prepayment as you would anyother invoice, in the Actions window.

• If a prepayment has been paid, the paymentdocument that paid the prepayment must bevoided before the prepayment can be canceled.

• You cannot void a payment document that paid aprepayment unless the prepayment is fullyunapplied.

• Review cancellation information in the InvoicesOverview window.

(Help) Oracle Financial Applications > Oracle Payables > Invoices >Prepayments > Canceling PrepaymentsInstructor Note

Discuss the “Canceling Prepayments” section of the online Help with thestudents, and review the steps on how to cancel an unapplied and appliedprepayment.



Review Question

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When you unapply a prepayment, you must unapplythe full prepaid amount.1. True2. False






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Summary

®

SummarySummary

In this lesson, you should have learned how to:• Identify when to use prepayments• Enter, approve, and pay prepayments• Apply and unapply prepayments to invoices

In this lesson, you should have learned how to:• Identify when to use prepayments• Enter, approve, and pay prepayments• Apply and unapply prepayments to invoices

Economy & Finance

Accounts payable instructor_guide (1)