Period Close Processing Checklist -> R12 General Ledger

GL period closure is needed per ledger.Here is checklist with some handy notes for refrence.

1. Ensure Next Period is Future Enterable or Open : You need Set the status of the next
accounting period to ‘Future Entry’ if it is not already, except at year-end.While doing the
year-end, it is recommended that you complete all period end processing, prior to opening
the first period of the new financial year.
2. Import & Post SLA & Feeder Systems
o Import Journals
 Journal Import Execution Report
 Delete Journals in Error
 Correct via Correct Journal Import Data
 Re-import
o Post Journals
3. Post All Journals (after correcting posting errors)
4. Run and Review Journals Reports
5. Run Revaluation :This need to revalue account balances to update functional currency
equivalents
6. Run Translation : This is Optional , need only when you define any new currencies to which
accounting balances are to be translated. In that case you
o .. Maintain period-end exchange rates for all foreign currencies to which you want to
translate.
o .. Maintain average exchange rates for all foreign currencies to which you want to
translate.
o .. Maintain historical rates or amounts for any owner’s equity accounts to be
translated.
o .. Translate account balances to any defined currency
7. Reconcile Intercompany
8. Close GL Period
9. Consolidate Ledgers
10. Run Final Reports

If you are using intercompany segments, then steps 7 will be additional for you. Therefore

 While doing Intercompany Reconcilation, you need to compare the balance of intercompany
accounts for a pair of trading partners to see if they match
 Drill down to General Ledger Balances
 Drill down to journals in GL, SLA and subledger transactions (invoices, etc.)

Period Close Processing Checklist -> R12 Receivables

Complete Transactions
Review Unapplied Receipts
Reconcile Receipts to Bank Statement
Change Period Status to Close Pending
Create Accounting
Review Unposted Items Report
Reconcile Transaction Activity
  Transaction Register
 Sales Journals
 Receipt Register
 Receipt Journals Report
 Journal Entries Report

Reconcile Outstanding Customer Balances

 Aging Report (run for last period)

 Transaction Register
 Adjustments Register
 Invoice Exceptions
 Applied Receipts Register
 Unapplied Receipts Register
 Aging Report (run for this period)

Post (GL) Receivables Transactions

Print Invoices
Print Statements
Print Dunning
Reconcile Receivables Activity to GL

 AR Reconciliation Report
 AR-GL Reconciliation Report
 Third Party Balances Report
 Account Analysis Report

Close Receivables Period

 Subledger Close Exceptions Report

 Change Period Status to Closed
 Open Next Period

Do your Tax Reporting

Period Close Processing Checklist -> R12 Payables

1. Complete Transactions : that means Completing all transactions for Oracle Payables:
o
 .. Complete Invoicing and Credits
 .. Complete Prepayments
 .. Complete Expense Reports
 .. Complete Invoice Import
o you can use Invoices On Hold Report
2. Approve Invoices :The Payables Approval process is run to try to approve all unapproved
invoices in the system, so that they can be paid by Oracle Payments and posted to the
General Ledger
3. Complete Payments
4. Reconcile Payments/Bank Statements
5. Resolve Potential Accounting Issues
o Create Accounting
 o Journal Entries Report
o Unaccounted Transactions Report
6. Post (GL) Payables Transactions
7. Review Accounting
1. Payables Accounting Process Report
2. Posted Invoices Register
3. Posted Payments Register
Unaccounted Transactions Sweep
Close Payables Period
o Subledger Period Close Exceptions Report
Accrue Un-invoiced Receipts
Reconcile Payables Activity to GL
0. AP Trial Balance Report (Account definition, Data Mgr Program)
1. Third Party Balances Report
2. Account Analysis Report
Mass Addition Transfer to Assets

While doing the reconcilation , you might have these issue

 Transactions do not appear in Open Account Balances Listing report

 Accounting does not appear in Account Analysis report
 Cancelled invoices/payments result in errors in accounting and reports
 Create accounting program errors
 Transfer to GL program errors

These are known issues and you check with corresponding metalink note.

Make sure you should follow the best Practice

 It always encouraged to include all LIABILITY accounts in Open Account Balances Report
Definition.
 Explore the Control Account feature with Third Party Balances report.
 You should avoid reversing batches (or modifying Journals) in GL, if transferred by SLA.
 Always use Period Close Exception report prior to closing Periods in GL and reconciling to
Account Analysis & Trial Balance reports.
 You can use only SLA or GL (not both) to create manual journal entries for subledger
transaction corrections.

Period Close Processing Checklist -> R12 Cash Management

1. Load & Reconcile Bank Statements

o Auto-Reconciliation Execution Report
2. Resolve Exceptions
3. Create Miscellaneous Transactions
4. Resolve Unreconciled Lines
o Bank Statement Detail Report
o Transactions Available for Reconciliation Report
5. Reconcile to GL
o GL Reconciliation Report
o Account Analysis Report for Cash Account
R12 :FA Close process

In FA, at period end, we require to run depreciation for depreciation books set up for the
organization, and to Create accounting for Oracle General Ledger. Oracle Assets has only a single
open depreciation period in each depreciation book.

1.Complete All Transactions for the Period Being Closed

You need to ensure that all transactions have been entered for the period being closed. Once a
depreciation period in Oracle Assets has been closed, it cannot be re-opened. Check that no-one is
entering transactions as Oracle Assets prevents transaction data entry while the Depreciation Run
Process is running. You need to complet all transactions for Oracle Assets:

 Prepare and Post Mass Additions

 Complete Manual Additions
 Complete Adjustments
 Complete Retirements
 Complete Transfers
 Complete Reinstatements

2.Then if you required, you need to assign distribution lines to all assets.

If an asset has not been assigned to a distribution line, the period end Depreciation Process will not
complete, and will not close the period. Take the advantage of running "Assets Not Assigned to Any
Cost Centers Listing " report to determine which assets have not been assigned to a distribution line.

3.Run Calculate Gains and Losses

This is optional , the Calculate Gains and Losses program for retirements can be submitted prior to
running depreciation. The Calculate Gains and Losses process is performed independently for each
depreciation book.

4.Run the depreciation

In Release 11i when you ran depreciation you would automatically close the period whereas in
Release 12 you can now run depreciation without closing the period.

5.Create accounting

Create Journal Entries (FAPOST) is replaced by Create Accounting – Assets process (FAACCPB)
6.RollBack Depreciation for adjustment

When you are trying to do adjustment on a particular asset, FA automatically rolls-back depreciation
for that particular asset.This is one of the area where you will experience change if you are coming
from other versions.

7.Once you are sure that all the balances are correct you need to run depreciation and close the
period.

8.Create accounting

You need to run "create accounting" very similar as mention in step 5.

9.Post Asset Transaction in GL

You need to make sure the step 8 must be completed only if you done transfer and posting for the
accounting entries to GL.
These steps are basically takes care of data movement , then next step for you to tie FA and GL.
For reconciliation of assets you need to take advantage of some of seeded and newly added report
that will help business user to reconcile and closing the period.

10. Reconcile your Fixed Asset and GL

 Reconcile Assets to the GL Using Reports

o Journal Entry Reserve Ledger - reconcile with the Account Analysis with Payables
Details Report.
o Tax Reserve Ledger Report
o Account Reconciliation Reserve Ledger Report
 Balance Report
o Cost Detail and Cost Summary Reports
o CIP Detail and CIP Summary Reports
o Reserve Detail and Reserve Summary Reports
o Revaluation Reserve Detail and Revaluation Reserve Summary Reports
 GL Report
o Journal - posted/Unposted
o Account analysis

Once these report can tally, there is no way that your P & L report is not going to tally.