Oracle Accounts Receivable r12 Summary

Oracle Accounts Receivable r12 Summary

Compiled By:
Prasanna Kumar Reka
Oracle Applications Consultant
rekaapps@yahoo.com

• Multi-Org Access Control allows users to access data from multiple operating units from a single Receivable application responsibility
• Fully integrated with Sub-Ledger accounting (SLA)
• Receivables use the Tax setups from E-Business Tax Modules
• Collections Workbench is Obsolete, this functionality is handled from Advanced Collections Module
• Bills Receivable feature replaced Bills of Exchange feature, new additional reference field added to Bills Receivable Workbench
• Oracle Deductions management solution replaced Trade Accounting Feature. Deduction management solution is delivered in partnership with Receivables, Trade Management & Credit Management. Handles customer deductions and over payments.
• Line Level cash Application – allows users application of receipts to specific transaction individual items such as individual lines, group of lines, tax or freight buckets
• Funds Capture Enhancements – Receivables through oracle payments support the automated, electronic funds capture via Credit Cards, ACH, and bank-to-bank transfers.
• Refunds – Receivables works with Oracle payments to process and generates checks and bank account transfers for customer refunds and credit memos.
• New Credit Card Error handling enhancements
• Credit Card Charge backs – Cardholders can dispute credit card charges with their car-issuing bank and when they do, the merchant is “Charge Back” by the card’s issuing bank.
• Balance Forward Billing – BFB is the enhanced version of consolidated billing invoice for industries where customers are billed for all their account activity on a regular, cyclical basis.
• New Customer GUI: Customer standard form is redesigned as HTML-based user interface.
• Late Charges - Users can create late charge policies and assign the same to customer accounts or sites. Flexible policy configurations include multiple interest calculations, transaction and account balance thresholds, and currency level rate setups. Additionally charges may be modeled as different document types such as adjustments, debit memos, or interest invoices depending on the business need.
• Legal Entity – Oracle Receivables captures transactional data with in the context of legal entity owning this data, thus enabling better, more streamlined statutory compliance. Legal Entities are visible explicitly on receivables transactions.
• Reconciliation between AR & GL made easy by using flexible account and exception report.
• AP/AR Netting – Automated, users can know whether trading partner has a greater balance outstanding and update your books, collect payments or make payments accordingly.
• Golden Tax Adaptor for Mainland China for government certified Tax Software called “Golden Tax”.


Revenue Management Enhancements

• As per the contractual obligations revenue can be recognized partially prorated for any accounting period based on the dates and rules. Receivables deliver new configurable accounting rules to determine the treatment of revenue allocations for a partial period. Ex: If a contract goes into effect in the middle of the period, recognize revenue partially on prorate basis for that month.

• Event-Based Revenue Management allows users to deferral reasons and corresponding revenue events specific to their business practices.

• As per the matching principle COGS and Revenue are recognized in the same accounting period. For Example of Revenue is partially recognized, the corresponding COGS is proportionately recognized.

• In partnership with Lease Management and Loans, newly enhanced Event-Based Revenue Management feature achieved payment based revenue recognition by associating transaction lines with revenue impacting contingencies.