Oracle Receivables Cycle In Oracle Apps

Oracle Receivable cycle is concerned with the management of  all the receivables of the business. This module keeps a track of all the business receivables and all the receipts in the business.

The basic operations performed in Oracle receivables can be summarized as below

1. Create AR Transactions
2. Check for Validity of AR transactions
3. Complete the AR Transactions
4. Print the Completed AR Invoices
5. Create Receipts 
6. Apply the receipts to AR Transactions
7. Transfer the details to General Ledger
8. For the Invalid Invoices , void or delete them

• Create AR Transactions: This step is concerned with the creation of AR transactions in the system. The AR Invoices can either be created manually form the AR transactions screen or can be created by the Auto Invoice Program by importing the data from the AR Interface. When the AR Invoice is created we have the invoice header , invoice lines are created and customer details are entered.
•  
• AR transactions Validity: Once the transaction is created the user checks for the validity of the AR transaction , are all the details on the invoice correct.
•  
• Complete the AR Transaction: Once the AR Invoice is created the Invoice needs to be completed. When the Invoice is completed Oracle will perform a set of validations too to check for the validity of the AR transaction.

1. Check the invoice has atleast one line
2. GL Date must be in an open or future GL period
3. Sum of Distributions must be equal to the header amount
4. If Calculate TAX is enabled tax must be calculated for each line
5. If freight is entered it must reflect to the freight account  

         Once the invoice is completed the below activities can be performed

1. Payment schedules are created
2. Invoice can be transferred to General Ledger
3. Transaction can be printed          

•  Print the Completed AR Invoices : The business can print the AR Invoice if required for  internal tracking or sending to customer
• Create Receipts: On receiving a payment from the customer a receipt is create in the system to keep a record of it
• Apply Receipts: Once the Receipts are created in the system we need to apply the receipt under an invoice to mark the invoice as paid. else even if receipts are received but not applied to an invoice the Invoice will always remain in an open status and will always be reflected as unreceived.
• Transfer the details to General Ledger: In order to generated all the financial statements all information must be transferred to General Ledger .
• Void / Delete transactions: If any invoice is found to be incorrect by the user , they are either voided or marked for deletion from the system