Oracle Apps Functional Interview Questions for GL

1. HOW MANY KEY FLEXFIELDS ARE THERE IN ORACLE FINANCIALS?

· General Ledger
o Accounting Flexfield
· Assets
o Asset Key Flexfield
o Location Flexfield
o Category Flexfield
· Service
o Service Item Flexfield
· Receivables
o Territory Flexfield
o Sales Tax Location Flexfield
· Inventory
o Item Categories
o System Items
o Sales Orders
o Item Catalogs

2. WHAT ARE THE BENEFITS OF FLEXFIELDS?

- Configure applications to support your own accounting, product and other codes.
- Enable the construction of intelligent keys.
- Configure application to capture additional data.
- Use the application to validate values and value combinations entered by the user.
- Support multiple flexfield structures depending on data context.

3. WHAT ARE THE TYPES OF FLEXFIELDS?

- Key flexfield
- Descriptive flexfield

4. KEY AND DEXCRIPTIVE FLEXFIELD COMPARISON

KEY FLEXFIELD DESCRIPTIVE FLEXFIELD
Owned by one application; used by Associated with tables in a specific
many application
Required to set up; not always required Setup is optional
to use
Intelligent keys No intelligence; only stores additional
information
Identifies entities Captures additional information only

5. WHAT IS A KEY FLEXFIELD QUALIFIER?

- A qualifier is a label attached to a particular key flexfield segment so it can be located
by the application requiring its information. A key flexfield qualifier can be of 2 types:
· Flexfield qualifiers identify a segment in a flexfield.
· Segment qualifiers identify a value set in a segment.

6. TYPES OF FLEXFIELD QUALIFIER

· NATURAL ACCOUNT: Each Accounting Flexfield structure must contain only one
natural account segment. When setting up the values, you will indicate the type of
account as Asset, Liability, Owner’s Equity, Revenue, or Expense.
· BALANCING ACCOUNT: Each Structure must contain only one balancing segment.
Oracle GL ensures that all journals balance for each balancing segment.
· COST CENTER: This segment is required for Oracle Assets. The Cost center segment
is used in many Oracle Assets reports and by Oracle Workflow to generate account
numbers. In addition, Oracle Projects and Oracle Purchasing also utilize the cost
center segment.
· INTERCOMPANY: GL automatically uses the intercompany segment in the account
code combination to track intercompany transactions within a single set of books. This
segment has the same value set and the same values as the balancing segment.

7. SEGMENT QUALIFIERS

 ACCOUNT TYPE: Asset, Liability, Owner’s Equity, Revenue, Expense,

Budgetary Dr, and Budgetary Cr.
 Budget entry allowed (Yes/No).
 Posting allowed (Yes/No).
 Control Account Reconciliation Flag: Available for specific countries.

8. WHAT IS THE IMPLICATION OF DYNAMIC INSERT?

- Dynamic Insertion is a feature which controls whether the user can enter new account
code combinations from any form/window. If this feature is disabled, then the user
cannot input new account code combinations from any window/form.
Oracle applications use a particular form (called a Combination form) for
directly entering the new code combinations. Users can enter new account code
combinations only through this form if Dynamic Insertion is disabled.

9. CROSS VALIDATING VALUES

- For key flexfields with multiple segments, we can define rules to cross check value
combinations entered with in the key flexfield segments. This option is referred as
Cross Validation rules.

10. VALUE SET

- A value set is a definition of the values approved for entry or display by a particular
flexfield segment. A value set may also contain a list of actual approved values
although this is not required.

 Some value sets permit a limited range of values; others permit only certain
values; others have minimal restrictions.
 Different flexfields can share the same value set. For example, a value set
containing the names of regional offices could be used by many different
flexfields.
 Different segments of the same flexfield can use the same value set, for
example a date value set. Segments defined to different structures of the same
flexfield can share value set. Many of the report parameters used with Standard
Request Submission (SRS) forms are tied to shared value sets.
 Value sets do not have to have the same actual values defined for them.
11. VALUE SET LIST TYPES

 List of values (10 to 200)

 Long list of values (> 200)
 Poplist (> 10)

12. VALUE SET SECURITY TYPE

 No Security: All security is disabled for this value set.

 Hierarchical Security: With Hierarchical security, the features of the value
security and value hierarchies are combined. With this feature any security that
applies to a parent value also applies to its child values.
 Non-Hierarchical Security: Security is enabled, but the rules of the hierarchical
security do not apply. That is, a security rule that applies to a parent value does
not “cascade down” to its child values.

13. TYPES OF VALUE SETS

 NONE: A value set of the type None has no list of approved values associated
with it. A None value set performs only minimal checking of, for example, data
type and length.
 INDEPENDENT: Independent type value sets perform basic checking but also
check a value entered against the list of approved values you define.
 DEPENDENT: A dependent value set is associated with an independent value
set. Dependent value sets ensure that all dependent value are associated with
a value in the related independent value set.
 TABLE: Table value sets obtain their lists of approved values from existing
applications tables. When defining your table value set, you specify a SQL
query to retrieve all the approved values from the table.
 SPECIAL: This specialized value set provides another flexfield as a value set
for a single segment.
 PAIR: This specialized value set provides a range flexfield as a value set for a
pair of segments.
 TRANSLATED INDEPENDENT: This works similar to Independent type.
However, a Translated Independent value set can contain display values that
are translated into different languages.
 TRANSLATED DEPENDENT: This works similar to Dependent type. However,
a Translated Dependent value set can contain display values that are translated
into different languages.

14. HOW MANY SEGMENTS ARE THERE IN THE KEY FLEXFIELD(S) IN

ORACLE GENERAL LEDGER?
- Oracle GL Key flexfield can have 15 columns each representing a segment.
However, the segments type can be:

 Cost Center segment

 Balancing segment
 Account segment
 Intercompany segment
15. ON WHICH ENTITY IS A SECURITY RULE APPLICABLE?
- It’s a feature of Key flexfield, applicable on Value Sets.

16. ON WHICH ENTITY IS THE CROSS-VALIDATION RULE APPLICABLE?

- It’s a feature of Key flexfield, applicable on Value Sets.

17. SHORTHAND ALIAS.

- An Alias is a label for a particular combination of key flexfield segment value. This
allows users to enter data faster and more easily because the user has to just enter
the shorthand alias, and the flexfield automatically populates the values for the
segment.

18. WHAT IS A PERIOD IN ORACLE GL?

- A Period corresponds to a time span within which transactions are entered prior to
finalizing, otherwise called as close of the period.

19. WHAT ARE THE PERIOD TYPES?

- Predefined period types in Oracle GL are:

 Month
 Quarter
 Year

- If needed, period types of our own can be defined in addition to the standard
periods.

20. DIFFERENT STATUSES OF AN ACCOUNTING PERIOD.

 NEVER OPENED: Cannot enter or post journals.

 FUTURE ENTERABLE: Enter journal, but cannot post. The number of future
enterable periods is a fixed number defined in the set of books window. The
number of future enterable period can be changed at any time.
 OPEN: Enter and port journals to any open period. An unlimited number of
periods can be open, but doing so may slow the posting process and can
confuse users entering journals.
 CLOSED: Cannot post journals in a closed period. Must reopen closed periods
before posting journals. Should manually close periods after finishing
month/quarter/year-end processing.
 PERMANENTLY CLOSED: Permanently closed periods cannot be reopened.
This status is required to Archive and Purge data.

21. WHAT IS AN ADJUSTING PERIOD AND IT’S IMPLICATIONS?

- Typically, the last day of the fiscal year is used to perform adjusting and closing
journals entries. This period is referred to as Adjusting Period.
Choosing whether to include an adjusting period or not in a calendar is a very
important decision. There can be unlimited number of adjusting periods. Once the
accounting calendar is used, changes to its structure to remove or add an adjusting
period cannot be done.
22. CAN THERE BE ANY GAP OR OVERLAPPING PERIOD IN AN ACCOUNTING
CALENDAR? IF YES, HOW?
- Not sure. I guess it is not possible/allowed.

23. CONCEPTS OF FOREIGN CURRENCY.

 CONVERSION: Conversion refers to foreign currency transactions that are

immediately converted at the time of entry to the functional currency of the set
of books in which the transaction takes place.
 REVALUATION: Revaluation adjusts liability or assets accounts that may be
materially understated or over stated at the end of a period due to a fluctuation
in the exchange rate between the time the transaction was entered and the end
of the period.
 TRANSLATION: Translation refers to the act of restating an entire set of books
or balances for a company from the functional currency to a foreign currency.

24. CONCEPTS USED DURING CURRENCY DEFINITION.

 ISSUING TERRITORY: (Optional) To be selected among predefined country

names (per ISO Standard # 3166).
 SYMBOL: (Optional) Enter the symbol for currency.
 PRECISION: Designate the number of digits to the right of the decimal point
used in regular currency transactions.
 EXTENDED PRECISION: Designate the number of digits to the right of the
decimal point used in calculations. We need to specify a number greater than
or equal to the precision.
 MINIMUM ACCOUNTABLE UNIT: (Optional) Enter the smallest denomination
used.
 CURRENCY DERIVATION FIELDS: (Optional) This field is used for defining
the national currency and the Euro relationship and is only applicable for new
EU member states during their transition period.

25. HOW MANY TYPES OF CONVERSION RATES ARE THERE IN ORACLE GL?
- There are 5 basic types of conversion rate types predefined in Oracle GL:

 SPOT: An exchange rate based on the rate for a specific date. It applies to the
immediate delivery of a currency.
 CORPORATE: An exchange rate that standardize rates for your company. This
rate is generally a standard market rate determined by senior financial
management for use throughout the organization.
 USER: An exchange rate that you enter during foreign currency journal entry.
 EMU FIXED: An exchange rate that is used by countries joining the EU during
the transition period to the Euro currency.
 USER DEFINED: A rate type defined by your company to meet specific needs.

26. WHAT TYPE OF CONVERSION RATE IS REQUIRED TO BE DEFINED FOR

ALL TRANSACTIONAL PURPOSES?
- Spot (Not sure).
27. WHAT ARE THE THREE ESSENTIAL COMPONENTS OF A GL SET OF
BOOK?

 CHART OF ACCOUNTS
o Your chart of accounts is the account structure you define to fit the
specific needs of your organization.
o You can choose the number of account segments as well as the length,
name, and order of each segment.

 ACCOUNTING CALENDAR
o An accounting calendar defines an accounting year and the periods it
contains.
o You can define multiple calendars and assign a different calendar to
each set of books.

 CURRENCIES
o You select the functional currency for your set of books as well as other
currencies that you use to transact business and report in.
o GL converts monetary amounts entered in a foreign currency to
functional currency equivalents using supplied rates.

28. WHAT IS THE IMPLICATION OF THE ‘FUTURE PERIOD” FIELD IN THE SET
OF BOOK DEFINITION FORM?
- The value mentioned in the Future Period field represents the number of future
enterable periods that users can use to input journal entries (provided those future
periods are opened). However, consideration must be given to minimize the number
of future enterable periods to prevent users from accidentally entering journal entries
in an incorrect period.

29. HOW MANY TABBED REGIONS ARE THERE IN THE SET OF BOOK
DEFINITION FORM? WHAT ARE THE NAMES OF THESE TABBED REGIONS?
- There are 5 tabbed regions in the set of books definition form.

 Closing
 Journaling
 Average Balances
 Budgetary Control
 Multiple Reporting Currencies

30. WHAT IS RETAINED EARNINGS ACCOUNT?

- GL posts the net balance of all income and expenses accounts from the prior year to
this account when you open the first period of a fiscal year.

31. WHAT SHOULD BE THE CHARACTERISTIC (SEGMENT QUALIFIER) OF THE

NATURAL SEGMENT OF THE RETAINED EARNINGS SEGMENT?

 Parent – Do no enable.
  Budget – Yes.
 Posting – Yes.
 Account Type – Ownership/Stock.

32. WHAT IS THE PURPOSE OF TRANSLATION ADJUSTMENT ACCOUNT?

- If you translate your functional currency balances into another currency for reporting,
or if you revalue foreign currency-dominated balances, you must specify a translation
adjustment account.

 Parent – Do no enable.
 Budget – Yes.
 Posting – Yes.
 Account Type – Ownership/Stock.

33. WHAT IS THE PURPOSE OF/UNIQUE FEATURE OF THE NET INCOME

ACCOUNT?
- GL uses this account to capture the net activity of all revenue and expense accounts
when calculating the average balance for retained earnings.

34. WHAT IS THE PURPOSE OF THE TRANSACTION CALENDAR?

- Transaction calendar is defined for the purpose of enabling average balance
processing. Transaction calendar is created optionally with valid business days
mentioned.

35. STEPS FOR CREATING A SET OF BOOKS.

 Evaluate your organizational structure and your business needs to plan your
chart of accounts.
 Define your chart of accounts, including your account combinations.
 Define your accounting period types and accounting calendar.
 Optionally define a transaction calendar and valid business days for that
calendar if you plan to use average balance processing.
 Define the functional currency for your set of books, or enable one of the
predefined International Standards Organization (ISO) currencies. You should
also define or enable any additional currencies you plan to use.
 Define a set of books and assign a calendar, functional currency, and account
structure. If you need to report on account balances in multiple currencies,
define additional set of books for your reporting currencies. If you plan to use
average balance processing, you must specifically enable average balance
processing, assign a transaction calendar, and define a Net Income Account.
 Assign your set of books to a responsibility in System Administration.
 Define reporting responsibilities and assign each reporting set of books to a
separate responsibility in System Administration.
 Define conversion rate types and enter daily rates, period rates, and period-
average rates to enter transactions in multiple currencies.

36. SET OF BOOKS OPTIONS:

 Balance Intercompany Journals.

 Budgetary Control.
  Enable Track Rounding Differences.
 Enable Average Balances.
 Enable Journal Approving.
 Enable Journal Entry Tax.

37. IN ORDER TO ALLOW UNBALANCES JUURNAL POSTING WHAT ACTION IS

REQUIRED AT SET OF BOOK DEFINITION LEVEL / WHAT IS A SUSPENSE
ACCOUNT AND ITS PURPOSE?
- If you choose to allow posting of out-of-balance/unbalanced journal entries, GL
automatically posts the difference to Suspense Account. However, the Suspense
Account check box should be checked and an Account # to be provided for this feature
to work during the creation of set of books.
If you have multiple companies or balancing entities within a set of books, GL
automatically creates a suspense account for each balancing entity.

38. WHAT IS A VALUE SET?

- A value set defines the boundaries for the attributes that you assign to a key or
descriptive flexfield segment. Value sets control what types of values can be used as
Accounting Flexfield segment values. Value sets determine the attributes of your
segments such as length, zero-fill, and right justify, alphanumeric, and value security.
Value sets also control how validation is performed.

39. INORDER TO ALLOW INTERCOMPANY JOURNALS WHAT ACTION IS

REQUIRED AT SET OF BOOK DEFINITION LEVEL?
- One of the accounting key flexfield segments should be of the type Intercompany.
This segment would have the same value set and the same values as the balancing
segment.
- Also, enable Balance Intercompany Journals feature. This allows users to post out-
of-balance intercompany journal entries and automatically balance those journal
entries against a specified intercompany account. Select the Balance Intercompany
Journal checkbox and enter the intercompany account(s) in the Intercompany
Accounts window. If you do not enable this feature, you can only post intercompany
journal entries that balance by balancing segment, (usually the company segment).

40. ACCOUNT HIERARCHY MANAGER

- Account hierarchy manager is a feature provided by Oracle Application which allows
to:

 Graphically create, maintain, and review account structure hierarchies.

 Define new parent and child segment values, as well as change parent/child
dependencies.
 Create new roll-up groups from the account hierarchy manager and have your
changes reflected automatically in both key segment values and rollup groups
window.
 Also provides option to control entities such as:
o Read only
o Read/write security
o Segment Value Security: An oracle applications feature that lets you
exclude a segment value or ranges of segment values for a specific user
 responsibility. Segment Value Security is extended to the Account
Hierarchy Manager.
o Chart of Accounts Security

41. WHAT IS THE SYSTEM PROFILE OPTION TO ASSIGN A SET OF BOOK TO A

PARTICULAR USER/RESPONSIBILITY?
- GL Set of Books Name

42. HOW MANY TYPES OF SET OF BOOKS CAN BE CREATED? NAME THEM.
- Not sure.

JOURNALS

43. ACCOUNTING CYCLE.

 Open period
 Create functional and foreign journal entries
 Reverse journal entries
 Post
 Review and correct balances
 Revalue foreign currency balances
 Translate foreign currency balances
 Consolidate sets of books
 Review and correct balances
 Run accounting reports
 Close the accounting period

44. INTEGRATING JOURNAL ENTRIES WITH ORACLE GL.

- Journal entries transfer accounting transactions to GL for reporting and analysis. You
can integrate the following sub ledgers with Oracle GL:

 Purchasing: Accrual of receipts not invoiced, purchase orders, final close

cancellation.
 Assets: Capital assets additions, cost adjustments, transfers, retirements,
depreciation, reclassifications, also construction in process.
 Work In Process: Material issues or backflush to WIP, completions, returns,
resource and overhead transactions, cost updates.
 Inventory: Inventory, COGS, cycle count and physical inventory adjustments,
receiving transactions, delivery transactions, intercompany transfers, sales
order issues, internal requisitions, subinventory transfers.
 Projects: Cost distribution of labor and non-labor, revenue.
 Receivables: Invoices, payments, adjustments, debit memos, credit memos,
cash, chargebacks, realized gain and loss.
 Payroll: Salary, deductions, and taxes.

45. JOURNAL ENTRY TYPES.

  Manual Journal Entries: The basic journal entry type is used for most
accounting transactions. Examples include adjustments and reclassifications.
May be used to create adjusting journal by entering debits and credit entries
and accruals manually.
 Reversing Journal Entries: Reversing journal entries are created by reversing
an existing journal entry. You can reverse any journal entry and post it to the
current or any future open accounting period. Widely used to reverse errors and
for revaluation of journals.
 Recurring Journal Entries: Recurring journal entries are defined once, then are
repeated for each subsequent accounting period you generate. You can use
recurring journal entries to define automatic consolidating and eliminating
entries. Examples include intercompany debt. Bad debt expenses, and periodic
accruals.
 Mass Allocations: Mass Allocations are journal entries that utilize a single
journal entry formula to allocate balances across a group of cost centers,
departments, divisions, or other segments. Examples include rent expense
allocated by headcount or administrative costs allocated by machine labor
hours.

46. JOURNAL CREATION METHODS.

 Manual journal
 Reversing entries
 Recurring entries
 Mass Allocations
 Journal import (from feeder systems)
 Journal wizard

47. HOW IS THE EFFECTIVE DATE RELATED TO THE PERIOD?

- Effective Date and Period are related to each other in Journals scenarios when we
are trying to import journal import by effective dates. A new profile option, GL Journal
Import: Separate Journals by Accounting Date, allows us to choose how journal import
will group journal lines.

 Yes: Journal import will place journal lines with different accounting dates into
separate journals.
 No: Journal import will group all journal lines with different accounting dates
that fall into the same accounting period into the same journal, unless average
balance processing is enabled.

48. WHAT IS THE PURPOSE OF JOURNAL SOURCES AND CATEGORIES?

- Use journal entry sources and categories to differentiate journal entries and to
enhance your audit trail. We can select pre-defined sources and categories or define
our own.

Journal entry sources indicate where your journal entries originate. GL

supplies a list of predefined journal sources for journal entries that originate in Oracle
Sub-ledger applications, such as Assets or Payables. You can define your own journal
sources for non-Oracle feeder systems.

For each journal source, specify whether to import detail reference information
for summary journals imported from your Oracle sub-ledger applications. This is
required if you want to be able to drilldown to the original sub-ledger transaction from
balances in GL. With journal sources, you can:

 Define intercompany and suspense accounts for specific sources.

 Run the AutoPost program for specific sources.
 Import journals by source.
 Freeze journals imported from sub-ledgers to prevent users from making
changes to any journals that have been transferred to GL from this source. This
ensures that transactions from your sub-ledger systems reconcile with those
posted in GL.
 Report on journals by source using the Foreign Currency Journals or General
Journals reports.

If you have journal approval enabled for your SOB, you can use journal sources
to enforce management approval of journals before they are posted. If you are using
average balance processing, select an effective date for your journal source.
Journal categories help you differentiate journal entries by purpose or type,
such as Accrual, Payments, or Receipts. When you create journal entries, you must
choose the default or specify a category.
Using categories, you can:

 Define intercompany and suspense accounts for specific categories.

 Use document sequences to sequentially number journals by category.
 Define journal categories for Accruals and Estimates. Use these categories
when you define criteria for AutoReverse and AutoPost.

Journal categories appear in standard reports, such as General Journal Report.

You can run reports by category, by source, or category and source.

49. ON A MANUAL JOURNAL ENTRY FORM HOW IS THE JOURNAL CATEGORY

DEFAULATED?
- Under the “Journals: Default Category” profile options, specify the default category
for manual journal entries.

50. WHAT DOES BALANCE TYPE “A” INDICATE?

- Not Sure. May be ACTUAL.

51. HOW MANY BUTTONS ARE THERE ON THE MANUAL JOURNAL ENTRY
FORM? WHAT ARE THEY?
- By default, there are 3 buttons on the manual journal entry form:

 More Details
 Change Currency
 More Actions
52. HOW MANY BUTTONS ARE THERE UNDER THE “MORE ACTIONS”
BUTTON? WHAT ARE THEY?
- When we click on the “More Actions” button, another window appears with 4 buttons:

 Reverse Journal
 Post
 Change Period
 Cancel

53. WHAT IS THE STATUS OF A NEWLY ENTERED JOURNAL?

- Unposted.

54. POSTING STATUSES.

 Unposted
 Pending
 Processing
 Selected for posting
 Posted
 Error

55. JOURNAL REVERSAL PRE-REQUISITES

 Journal balance type is Actual

 Journal category has AutoReverse enabled
 Journal is posted but not yet reversed
 Journal reversal period is open or future enterable

56. CAN YOU CREATE A JOURNAL ENTRY WITH A PARENT SEGMENT VALUE?
- Not sure. May be possible with a child value combined. Parent values automatically
allow posting and budgeting.

57. WHEN A JOURNAL IS CREATED, WHICH ALL GL TABLES ARE IMPACTED?

 GL_JE_BATCHES
 GL_JE_HEADERS
 GL_JE_LINES

58. WHEN A JOURNAL IS POSTED, WHICH GL TABLE IS POSTED?

 GL_BALANCES

59. WHEN JOURNALS ARE INTERFACED, WHICH GL TABLE IS POPULATED?

 GL_INTERFACE

60. WHAT IS THE NAME OF THE CONCURRENT TO POPULATE THE GL TABLES

FROM THE INTERFACE TABLE?
- Journal Import.
61. WHAT IS THE MECHANISM TO RECTIFY A POSTED JOURNAL?
- Reverse the Journal.

62. WHAT IS THE PURPOSE OF STAT JOURNAL?

 You can associate statistical amounts with monetary amounts by using

statistical units of measure.
 This enables you to enter both monetary and statistical amounts in a single
journal entry line.

63. FOR CREATION OF PERIODICALLY REPITITIVE JOURNALS WHAT IS THE

GL TOOL?
- Recurring Journal.

64. WHAT IS MASSALLOCATIONS?

- A single journal entry formula that allocates revenues and expenses across a group
of cost centers, departments, or divisions.

65. WHAT IS THE FORMULA FOR CREATION OF ALLOCATION JOURNALS?

- A*B/C.

 A is the Cost Pool that will be allocated. It can be amount or account balance.
 B is the numerator of the factor (a number or statistical account) that multiplies
the cost pool for the allocation.
 C is the denominator of the factor (a number or statistical account) that divides
the cost pool for the allocation.

Note: Parent values can be used in one or more segments.

66. ACCOUNT SEGMENT TYPES FOR MASSALLOCATION.

 Looping
 Summing
 Constant

67. WHAT ARE THE TARGET AND OFFSET ACCOUNTS IN ALLOCATION

FORMULA?
- These are the lines that are the actual journal entry.
Target (T):

 Enter an account in the Target line to specify the destination for your allocation.
 The parent value used in the target must be the same parent value used in the
B and C lines of the formula.

Offset (O):

 Enter an account in the Offset line to specify the account to use for offsetting
debit or credit from your allocation.
 The Offset account is usually the same account as formula line A to reduce the
cost pool by the allocated amount.
68. CAN YOU DELETE AN UNPOSTED JOURNAL?
- Not sure.

69. JOURNALS FROM WHICH SUB-LEDGER DO NOT PASS THROUGH THE GL

INTERFACE TABLE?
- Not sure. May be Assets.

70. WHEN THE JOURNALS ARE INTERFACED AND IMPORTED, WHAT

POSTING STATUS DO THEY HAVE?
- Unposted.

71. WHAT IS THE PRE-REQUISITE FOR CONVERSION?

 Define new currencies

 Enable seeded currencies
 Define rate types
 Enter daily rates

72. FOR REVALUATION, WHAT RATE TYPES ARE AVAILABLE?

 Daily rates
 Historical rates

Revaluation rate is the inverse of period end rate.

73. THE REVALUATION JOURNALS ARE CREATED IN WHICH CURRENCY?

- Functional currency

74. WHICH RATE TYPES ARE USED FOR TRANSLATION?

 Period-End
 Period-Average
 Historic

GL Account Type Period-End Period-Average Historic

Monetary Assets Yes
and Liability
Non-Monetary Yes
Assets and
Liability
Revenue and Yes
Expenses
Equity Yes

75. IN ORDER TO EFFECT TRANSLATION, WHAT SETUP IS REQUIRED TO SET

OF BOOK DEFINITION LEVEL?
- Cumulative Translation Adjustment (CTA) account should be specified in the SOB
widows to ensure that your books remain in balance.
76. WHICH SYSTEM PROFILE OPTIONS ARE REQUIRED TO BE SET FOR
IMPLEMENTING THE REPORTING SET OF BOOK?
- Not sure.

77. HOW MANY REPORTING SET OF BOOKS CAB BE ASSIGNED TO A

PRIMARY SET OF BOOK? WHAT IS ORACLE’S RECOMMENDATION?
- Not sure.

78. WHICH TYPE OF CONVERSION RATE IS REQUIRED FOR REPORTING SET

OF BOOK?
- Not sure.

79. WHILE DEFINING THE CONVERSION RATE FOR REPORTING SOB, WHICH
USER SHOULD DO IT?
- Not sure.

80. WHAT IS THE PURPOSE OF THE “FIRST MRC PERIOD” WHILE ASSIGNING
THE REPORTING BOOK TO THE PRIMARY BOOK?
- Not sure.

81. WHAT MUST BE COMMON BETWEEN THE PRIMARY AND THE REPORTING
BOOKS?
- To use MRC, the primary and the reporting SOBs must all share the same calendar
and chart of account structures.

82. ON WHICH EVENT IN THE PRIMARY BOOK, THE MANUAL JOURNALS ARE
TRANSFERRED TO THE REPORTING BOOK?
- When journals are posted in the primary SOBs.

83. CONSOLIDATION TOOLS.

 Financial Statement Generator (FSG): Use FSG to consolidate financial

information for businesses using a single SOBs or businesses using different
SOBs that share the same calendar and chart of accounts.
 Global Consolidation System (GSC): Use GCS to consolidate financial
information for multiple SOBs, diverse financial systems, and geographic
locations, including both Oracle and non-Oracle applications.

84. IF BOOK 1 IS CONSOLIDATED INTO BOOK 2, WHAT SHOULD BE COMMON

BETWEEN THE TWO?
- If we use Global Consolidation System, there is no such requirement. However, it
may be that the Period to be same.

85. GCS FEATURES AND BENEFITS.

 A workbench to view the consolidation status of your subsidiaries.

 Sophisticated consolidation mapping rules to map accounts and specify
transfer rules from the subsidiary to the parent.
  A color-coded consolidation monitor that guides you through the consolidation
steps.
 A consolidation hierarchy viewer to graphically display your consolidation
structure.
 The Interface Data Transfer makes importing data from external feeder system
easier.
 Automatic generation of eliminating entries.
 Multi-level drilldown capabilities to subsidiary balances and sub-ledgers.
 Powerful report publishing capabilities using FSG and ADI.
 Integrated multi-dimensional analysis using Oracle Financial Analyzer.
 Can be used if the company decides to change the Accounting Calendar.
 Cab be used if the company decides to change the Chart of Accounts.

86. INTERFACE DATA TRANSFORMER (IDT).

- The IDT is a user friendly tool that makes importing of data from external feeder
systems into Oracle GL or Oracle GCS much easier and less time consuming. Benefits
of IDT are:

 Automatic data conversion that converts disparate data formats into an Oracle
format.
 Reapplication of the same rules each time you transfer.
 Automatic data validation on imported data provide greater flexibility.
 Conditions allow you to control when Transformation rules to be applies.

87. CONSOLIDATION WORKBENCH,

- The consolidation workbench provides a central point of control for consolidating an
unlimited number of subsidiaries to your parent. This window provides feedback on
the state of the consolidation process, keeping you informed about each subsidiary’s
consolidation status. The workbench also monitors subsidiary account balances for
any changes that occur after the subsidiary data has been transferred to your parent
SOBs.

 Consolidation Sets: You can even create consolidation sets which launch
multiple consolidations in a single step for overall streamlining of the
consolidation process.
 Consolidation Hierarchies: You can create consolidation hierarchies, or multi-
level hierarchies, and view your consolidations hierarchies using a graphical
Consolidation Hierarchy Viewer.
 State Controller: From the consolidation workbench, you can access the State
Controller, which is a color coded navigation tool to guide through the
consolidation process.

88. CONSOLIDATION MAPPING AND MAPPING RULES.

- A consolidation mapping is a set of instructions for mapping accounts or entire
account segments from a subsidiary SOBs to the parent SOBs. We can define
segment rules, account rules or a combination of both. Account rules override segment
rules.
89. HOW MANY TYPES OF CONSOLIDATIONS ARE THERE?
- Not sure. May be Balances and Transactions.
90. CONSOLIDATION SET AND ITS PURPOSE.
- Mapping sets are created to transfer data for multiple subsidiaries simultaneously.
After the mapping set is created the result can be viewed in the Consolidation
Hierarchy Viewer.

91. WHEN THE BOOK TO BE CONSOLIDATED IS MAINTAINED IN ANOTHER

CURRENCY AND BALANCE CONSOLIDATION IS DESIRED, WHAT GL TOOL IS
REQURIED?
- Not sure. May be Translation.

92. WHEN THE BOOK TO BE CONSOLIDATED IS MAINTAINED IN ANOTHER

CURRENCY AND TRANSACTION CONSOLIDATION IS DESIRED, WHAT GL
TOOL IS REQURIED?
- Not sure. May be Translation.