Oracle Cloud offers a broad portfolio of software as a service applications, platform as a service, and social capabilities, all on a subscription basis. Oracle Cloud delivers instant value and productivity for end users, administrators, and developers alike through functionally rich, integrated, secure, enterprise cloud services.
 Get a Free Magzine ...Profit:The Executive's Guide to Oracle Applications

Subscribe to the OracleAppsHub to receive notifications when there are new posts:

 get RSS feed
 Oracle Fusion Applications (OFA) is a portfolio of next generation suite of software applications from Oracle Corporation. It is distributed across various product families; including financial management, human capital management, customer relationship management, supply chain management, procurement, governance, and project portfolio management
 Get a Free Magzine ...Profit:The Executive's Guide to Oracle Applications

Receivables Merge Distributions Feature

Posted on November 12th, 2013 by Sanjit Anand ||Email This Post Email This Post

Have you tried OracleappsHub in ipad/iphone/smart Phone? Don't wait. try it today

If you are not using these ACcounting method, then you can use Merged Distributions feature in AR.

  • Cash Basis accounting , that mean accounting is created only at the time of receipt of cash.[ Release 12 seeds Subledger accounting methods: Encumbrance Cash and Standard Cash]
  • Multi-Fund Accounts Receivable accounting , that means where receivable accounting lines for an invoice are created at the level of invoice line.[ Release 12 seeds Subledger accounting methods: Multi-Fund Accrual – Account Method and Multi-Fund Accrual – Balancing Method]
  • Line Level Cash Applications

a Merge Distribution Feature

When the Merge Distributions feature is enabled, thereceivable distributions for a transaction are created at the Invoice Header level instead of the Invoice Line level.

All subsequent adjustments and applications against the transactions are also not maintained at the invoice line level , as understood below:

Receivables Merge Distributions R12

Adjustments and receipt applications are not pro-rated across the invoice lines. This is same way the receivable distributions are created in Release 11i.

The summarized distributions will significantly reduce the volume of data generated for adjustments and applications in Receivables and reduces the volume of data passed to Subledger Accounting for generation of accounting.

aBenefits of Business Solution

  • This solution will result in significant performance gain for creating accounting entries for receipts.
  • This solution will limit the growth of data volume.
  • Summary distributions are easier to interpret.

This solution is specially recommended for customers with very large number of lines per invoices, as large number of invoice lines correspond to significantly higher number of distribution lines which are passed for each accounting event to the accounting engine for generation of accounting entries.

aHow to Enable the Merge Distribution Feature

The merged distributions feature is controlled by the following:

  • In the AR System Options form, there is a new checkbox “Create Detailed Distributions” as below:

merged distribution

The checkbox was released as part of Patch 7559194 LINE LEVEL DISTRIBUTIONS NOT NEEDED FOR HEADER LEVEL CASH APPLICATION/ADJUSTMENT, as part of the “Merge Distributions Enhancement”.

  • By default the checkbox will be checked indicating that AR will create detailed distributions
  • To enable Merge Distribution, you need to Uncheck the checkbox

aWhen should the Checkbox be UNCHECKED

When the checkbox is UNCHECKED, Oracle Receivables will create summarized distributions.

The receivable distributions for adjustments and applications are not maintained at the invoice line level, instead a summarized receivable distribution is created at the invoice header level. Adjustments and receipt applications are not pro-rated across the invoice lines. This is same way the receivable distributions are created in Release 11i.

Following is the impact of having the checkbox UNCHECKED: [ source Metalink Doc ID 1081657.1 ]

  • When you create Batch Sources (Navigation: Setup > Transactions > Sources), in the Batch Source tab, the checkbox Generate Line Level Balances will be disabled.
  • When you create Receipt Applications (Navigation: Receipt > Receipts) in the Applications form, the Apply in Detail button will be disabled.
  • When you create Adjustments against transactions (Navigation: Transactions > Transactions, Toolbar Menu Actions > Adjust) in the Account, IDs tab, the Line column will be disabled.
  • When using the Receipt or Adjustment APIs, you cannot create line level applications.

Additional Refrence :

  • What is the Checkbox ‘Create Detailed Distributions’ for? Doc ID 1081657.1
Related Posts

Posted in Oracle Receivable | No Comments »Email This Post Email This Post |

Have you tried OracleappsHub in ipad/iphone/smart Phone? Don't wait. try it today
Leave a Comment

Please note: Comment moderation is enabled and may delay your comment. There is no need to resubmit your comment.