R12 Cash Management: Internal Bank Account Transfers - Accounting using SLA
By Jag - August 11, 2013
In release 11 there is no standard/out of box solution to transfer cash between internal bank accounts in Cash Management Module, users need to use Treasury module or resort to work arounds or manual GL Journals. In Release 12 Bank Account transfer functionaly is introduced in Cash Management though advanced funds transfer capabilities are still available from Treasury only.
Current post is mainly focused on "Accounting" for such Bank Transfers in Cash Management, so i skipped the detailed discussion on the new functionality; infact focus on the modifications we need to make in Sub Ledger Application Accounting Definitions (AAD) for accounting for Bank Transfers.
Context:
Bank Transfers with "Settle Transactions Through Oracle Payments= 'NO'"
Intended Functionality :
-----------------------
#1 : There are no Journal Line Defintiions seeded for Event Types:
a. Bank Account Transfer Created
b. Bank Account Transfer Cancelled
#2 : The BAT creation event is unaccountable, unless it's customized by the customer, hence no accounting is done.
So if you want to create accounting for Bank Account Transfers you need to create custom Journal line defintions and assign the same to respective event types listed above; alsoenable "Create Accounting" Option. Without this customization to SLA, records for Bank Account Transfers will be populated into CE_PAYMENT_TRANSACTIONS and XLA_EVENTS but no journals are created when we run Create Accoutning Program.
Once you make changes:
a. Make sure correct Sub-Ledger accounting method is assigned to Ledger
b. Application Accounting definitions are validated without any errors
Ref Metalink Notes:
#422895.1
#843259.1
#738626.1
Current post is mainly focused on "Accounting" for such Bank Transfers in Cash Management, so i skipped the detailed discussion on the new functionality; infact focus on the modifications we need to make in Sub Ledger Application Accounting Definitions (AAD) for accounting for Bank Transfers.
Context:
Bank Transfers with "Settle Transactions Through Oracle Payments= 'NO'"
Intended Functionality :
-----------------------
#1 : There are no Journal Line Defintiions seeded for Event Types:
a. Bank Account Transfer Created
b. Bank Account Transfer Cancelled
#2 : The BAT creation event is unaccountable, unless it's customized by the customer, hence no accounting is done.
So if you want to create accounting for Bank Account Transfers you need to create custom Journal line defintions and assign the same to respective event types listed above; alsoenable "Create Accounting" Option. Without this customization to SLA, records for Bank Account Transfers will be populated into CE_PAYMENT_TRANSACTIONS and XLA_EVENTS but no journals are created when we run Create Accoutning Program.
Once you make changes:
a. Make sure correct Sub-Ledger accounting method is assigned to Ledger
b. Application Accounting definitions are validated without any errors
Ref Metalink Notes:
#422895.1
#843259.1
#738626.1
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