The month end process of FA is bit similar to other modules, but the important is that data is flowing from some other modules . Lets take a close microscopic view of month end close process of Fixed asset.Typically this consist of 13 steps process, as per figure below.
Typically the month end close process start with "Fixed Assets Manager Responsibility" or any other custom defined responsibility.
Step 1 : Complete Mass Additions from AP
This consist of these steps.
a. Review or Run Mass Addition Create Report to view Payables transactions inserted into FA Mass Additions interface table.
b. Run Mass Additions Status Reports by Hold, Post, New and Delete to verify all assets have been processed.
c. Prepare Mass Additions resulting from AP Close:Mass Additions: Prepare Mass Additions
d. Post Mass Additions:Mass Additions: Post Mass Additions
e. Delete Mass Additions:Mass Additions: Delete Mass Additions
f. Rerun Mass Additions Status Reports by Hold, Post, New and Delete to confirm all assets have been processed.
g. Run the Posted Mass Additions Report to verify posted asset details.
Step 2 : Review Additions to Corporate Book
Here you have to Run Asset Additions Report for CORPORATE Book and then you have to Verify that all new Additions for the period have the correct Depreciation Method, Life, Prorate Date and Date in Service. The report lists all the assets you added to Oracle Assets or capitalized during the specified accounting period.
Step3 : Complete Retirements,Re-classes and Transfers
- Retire or transfer assets as required for the current period.
Assets: Asset Workbench [Asset Workbench]
Mass Transactions: Changes [Mass Changes] to mass transfer assets.
- Calculate Gain/Loss if any retirements are done.
Depreciation: Calculate Gains and Losses
Step 4 : Run Depreciation Projection for Corporate Book
Then you need to run Depreciation Projection for the CORPORATE Book:
Step 5 : Run Depreciation for Corporate Book
You have to first run the Depreciation for the CORPORATE Book.Take a note your period defaults to current open period and should NOT be changed at any cost. additionally if the check box "close period" is checked, you will not be able to rollback depreciation. This closes the current period and opens the next, and it cannot be reversed. Run for CORPORATE Book only. If the close period box is not checked, you may rollback depreciation to restore balances prior to the depreciation run.
Once this get completed advice to Reprint the Journal Entry Reserve Ledger Report
Step 6 : Create GL Journals
Creating journal entries in GL to reflect all FA transactions in the Corporate Book, for the period which is just closed:This process creates all the depreciation, transfer, reclassification, capitalization, addition, adjustment and retirement journal batch entries for all of the transactions.
Step 7 : Print Journals in GL
You need to switch to in General Ledger responsibility and need to submit a standard report Run Journals General(180 Char) for current Period where your source should be Assets.Once report get completed you need to review the journal detail.
Step 8 : Post Journals
This is very similar to any GL post process. You are suppose to post Journal where source is Asset.
Step 9 : Print Summary Trail Balance in GL
- Run Trial Balance Summary1 Report (Balance Type=PTD)
- Review Trial Balance report to confirm that final balances are correct. Use this report for further reconciliation
Step 10 : Mass Copy to Tax Books
Copy all asset transactions (additions, transfers, retirements, etc.) for the closed period to the Tax books:
Step 11 : Check Asset Additions to Tax Books
- Run the Asset Additions Report for each Tax Book
- Verify that all Additions for the period have the correct Depreciation Method, Life and Date in Service.
- Run Depreciation for Tax Books and review results. Once audit is complete, rollback deprecation and re-run with "close period" check box checked.
Step 12 : Review Additions to Corporate Book
In Fixed Assets:
Run Period Close Reports for FA Request Set to produce:Â·
- Cost Summary Reports for All BooksÂ·
- Reserve Summary Report for CORPORATE BookÂ·
- Cost Clearing Reconciliation Report for CORPORATE Book Detail versions of the Summary reports can also be run, if required.
Step 13 : Reconcile FA to GL
Using the Period Close reports reconcile the FA Clearing, Cost, CIP and Depreciation amounts to the appropriate GL accounts.b. Run GL Account Analysis Reports for details on GL transaction activities for reconciling any account balance discrepancies.
This makes a end of month end close for Fixed asset.
Hope this helps..signing off.:)
- Assets Standard Reports in Oracle Applications 11i :Metalink doc :131562.1