Ledgers in Oracle R12 Part -1

Ledger in Oracle Applications R12:

Ledger is a financial reporting entity, which represents an accounting representation for an organization that is accountable in a self-contained way. Ledger is the highest level which impacts accounting. Ledger uses below mentioned components to secure and Manage the transaction information such as Journal entries and Balances) by ledger

·        Chart of accounts

·        Functional currency

·        Accounting calendar

·        Sub-ledger accounting method.

Ledger represents the core of a Company’s financial records where every transaction flows through.  It provides balanced ledger accounting for the accounting entity and serves as a repository of financial information. Multiple Legal entities can be assigned to a Ledger. A Ledger can be associated with multiple Legal Entities and operating Units. Ledger in R12 replaces the Set of Books in 11i Version of Oracle applications.

Accounting Setup Manager:

Accounting Setup manager is a new feature in R12 which is a centralized location for setup and maintenance of common financial components within an accounting setup. The status of the accounting setup should be completed before it can be used for the transactions. Each accounting setup is a grouping of accounting-related setup components.

Below Components can be setup and Maintained using Accounting Setup Manager.

• ·        Legal Entities Setup and Assignment to balancing segments and Ledger.
• ·        Ledger and Ledger options Setup and Maintenance (Primary and Secondary Ledger).
• ·        Operating Unit
• ·        Reporting Currencies
• ·        Intercompany balancing Rules and Intercompany Accounts
• ·        Sequencing (Accounting and Reporting Sequence)