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Oracle General Ledger (GL) Setup

Oracle Financials Cloud

How to:

Implementation Project

Chart of Accounts

Accounting Calendar

Important factors determined by your accounting calendar:

  1. Start date of your first period
  2. Period Frequency: Monthly, Quarterly etc. For example monthly period frequency means there will be 12 periods (excluding adjusting periods) of 1 month in a year
  3. Adjusting period frequency: How many adjusting periods are required in a year and when should this period be present (Beginning of the year, end of the year etc)
  4. Format of the calendar
    1. Fiscal / Calendar year and
    2. MMMYY / YYYYMM etc

Currency

The Currency associated with your Primary Ledger will be the currency of the country in which the legal entity assigned to the primary ledger is associated

Subledger Accounting Method

You can customise the accounting method if required. Oracle provides seeded accounting methods which can be used as it is or can be customised as required.

Legal Address

Legal address is the address where your legal entity is located.

Legal Jurisdiction

Legal jurisdiction will determine the business registration codes (EIN / TIN / Business ID etc) that you will be required to enter while defining your legal entity. There can be only one identifying jurisdiction for a Country. This field will be auto-populated by Oracle on the “Manage Legal Entities” task screen

Legal Entity

“Manage Legal Entities” task will define the basic details like Name, Business Registration Codes, Start and End date, Legal Address etc. If you want to have employees under your payroll for this legal entity, make sure you check the “Payroll Statutory Unit” and “Legal Employer” checkboxes.

Primary Ledger

Primary Ledger in Oracle Fusion is where all the primary accounting information will be maintained. A Primary Ledger will have 4 key objects assigned to it. These are the Chart of Accounts, Accounting Calendar, Currency, and the Subledger Accounting Method / Convention (Commonly referred to as the 4 Cs). Once you save this configurations, only one of the assigned 4 Cs can be changed that is the Subledger Accounting Method / Convention

Assign Legal Entity

One Legal Entity cannot be assigned to multiple Primary Ledgers. Multiple Legal Entities can be assigned to a single Primary Ledger. This task will clarify the relationships between Ledgers and Legal Entities to Oracle Fusion Cloud.

Specify Ledger Options

Key factors determined by “Specify Ledger Options” task

  1. First open period
  2. Currency Conversion Rate
  3. Journal Language
  4. Journal Approval
  5. Intercompany Accounting
  6. Journal Sequencing
  7. Enabling Suspense
  8. Various account combinations (Retained Earnings, Cumulative Translation Adjustment Account etc)

Review and Submit Accounting Configurations

This task will create the Balance Cubes

Roles and Data Access

List of Roles to Create a General Ledger Superuser:

  1. General Accountant
  2. General Accounting Manager
  3. Controller
  4. Chief Financial Officer
  5. Financial Analyst

Read more on Users, Roles and Data Access

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