[PAYABLES TEST SCENARIOS]Oracle Payables Test Scenarios for All business Needs Issues

2010

Sigma Pharmaceutical Industries

Yasser M. El-Tantawi Oracle Applications ImplementerIT Dept.

TABLE OF CONTENTS

PAYABLES 3

Test Scenarios................................................................................................................................................................ 3Test Scenario 1: Supplier Invoices...................................................................................................................................4

Prerequisites:..............................................................................................................................................................4Entering Supplier Invoice.................................................................................................................................................6Matching Invoice with PO Receipt:................................................................................................................................10Invoice Validation:.........................................................................................................................................................11Create Accounting for the Invoice:................................................................................................................................11Review Accounting:.......................................................................................................................................................12Using Distribution Form to enter Debit Account...........................................................................................................14Debit Memo (or Credit Memo):.....................................................................................................................................16Supplier Invoice Payment:.............................................................................................................................................18

Test Scenario 2: Custody of Cash...................................................................................................................................23Entering Pre-Payment Invoice.......................................................................................................................................23Prepayment Validation:.................................................................................................................................................24Prepayment Invoice Payment.......................................................................................................................................26

Create Expense Report Invoices for Settlement ( بفواتير العهدة تسوية ).................................................................29

Test Scenario 3: Bills Payables (Future Dated Payments الدفع أوراق ).......................................................................37Opening Balance:.....................................................................................................................................................37

Validate Invoice (for Bills Payables)...............................................................................................................................39Manual Payments (Recommended)..............................................................................................................................41Clearing Transactions....................................................................................................................................................44

Test Scenario 4: Recurring Invoices...............................................................................................................................50Creating Special Calendar:.......................................................................................................................................50

Create Recurring Invoice...............................................................................................................................................50View the Created Invoice..............................................................................................................................................52Validate Invoice and Create Accounting........................................................................................................................53

Test Scenario 5: Standard Invoices to Record the Expenses..........................................................................................54Create Distribution Sets................................................................................................................................................54Entering the Invoice......................................................................................................................................................55Invoice Validating..........................................................................................................................................................56

Payables

Test Scenarios

SN Invoice Type Invoice use Explanation

1) Standard Invoices Supplier Invoices الموردين فواتير

2) Debit Memo The Company want to deduct from Supplier Account من) الخصم إشعارالشركة( قبل

3) Credit Memo The Supplier Sent a Credit Memo to deduct from his account من) الخصم إشعارالمورد( قبل

4) Manual Payments Supplier Invoices Payments الموردين فواتير سداد5) Prepayment Invoices Custody of Cash النقدية العهد

6) Expense Report Custody of Cash Settlements النقدية العهد تسويةبفواتير

7) Standard Invoices Bills Payable (Future Dated Payments) رصيد- الدفع أوراقالمدة أول

8) Manual Payments Bills Payable (Future Dated Payments) Payments الدفع أوراق سدادبالكامل

9) Standard Invoices Expenses المصروفات إثبات

10) Manual Payments Expenses payments من المصروفات سدادالخزينة

11) Recurring Invoices Electricity, Water, Rent الكهرباء فواتيرواإليجار والمياه

To enter supplier Invoices there are some prerequisites:

1- Supplier & Supplier Sites Definition.2- Enter and Maintain Purchase Orders.3- Approve Purchase Order. 4- Receiving.

Test Scenario 1: Supplier Invoices

Prerequisites:

1- Purchase Order Number: Test 201010001

2- Supplier Name: الصناعية لالستثمارات لونا شركة

3- Item Code: 010101006001

4- Item Name: Ascorbic acid Uncoted (Vit C)

5- Quantity Ordered: 500 KGM

6- Unit Price: L.E. 5

7- Need-By Date: 26/10/2010 00:00:00

8- Status: Approved

9- Receipt Number: 1318

10- Receipt Date: 26/10/2010 09:49:27

Entering Supplier Invoice

1- Switch to Oracle Payables Responsibility (e.g. AP_SIGMA_SUPERUSER)

2- Navigate to: Invoices EntryInvoices

3- Double Click on Invoices

Type: Standard

Supplier: الصناعية لالستثمارات لونا شركة

Supplier Site: No Changes الرئيسي المركز (Comes automatically if the supplier has one site

If there are more than one site it comes blank)

Invoice Date: 26/10/2010

Invoice Number: Enter the Invoice Number TESTINV10001

Invoice Curr: No Changes Invoice Currency (In our Case EGP Comes Default)

Invoice Amount: L.E 2500

GL Date: Enter General Ledger Date within an open accounting period

No Changes or type 26/10/2010

Payment Curr.: No Changes (Comes by Default as Invoice Currency)

Payment Rate Date: No Changes

Terms Date: No Changes or type 26/10/2010 (Default)

Terms: No Changes or choose any other term of List of Value (Default)

Payment Method: No Changes Check (Default)

Tax Calculation: Choose None

Save Invoice

Note the following:

Invoice Status: From (1 General) TabStatus: Never ValidatedAccounted: No

Summary: 0.00000 in Red Color (Means that the invoice has not been Matched yet or the debit part for the invoice has not been entered yet from Distributions form: to open Distributions form Click on Distributions Button)Amount Paid: 0.00000 (Still no payments for this invoice)

Matching Invoice with PO Receipt:Click Match Button to find receipt (note the matching level is Receipt)

Type Receipt Number 1318 in Receipt Num Field

Click Find or Press Enter

Click on Match Flag (Check Box)

Click on Match Button and note that Invoice Amount at the top of the form equals Distribution Total and the two fields are colored Black.(if there the two amounts are different the distribution Total would be colored Red).

Now note the Distribution Total in the summary section has been changed to 2500 in Black Color.

Invoice Validation:Click Action Button and choose Validate Invoice Radio Button and Press OK

Create Accounting for the Invoice:Click Action Button and choose Create Accounting Radio Button and press OK

Now Note that :

Invoice Status has been changed to Validated

Accounted has become Yes

Review Accounting:Tools Menu View Accounting

DR. AP Accrual ( التسوية تحت موردين حساب ) 2500

CR. Liability ( محليين موردين حساب ) 2500

Also Check Distribution Form:

Close View Accounting form from the (x)

Click on Distributions Button

Note: You can reverse the Distribution Line by Pressing Reverse 1 to re-match the receipt if there is mistake while matching or the receipt number was wrong.

Using Distribution Form to enter Debit AccountWhen the supplier supplies the company with service

1- enter the invoice Number TESTINV10002 as before and Save Invoice.(you Can use Shift+F6 to Copy the whole Invoice Header) then Change the Invoice Number to TESTINV10002

Note : the System will reject the new invoice with the same number for the same supplier and that because the invoice number is unique.

2- Click on Distributions Button

3- Type the Amount

4- Change GL Date if necessary

5- Choose an account (Debit Part)

Click on ACCOUNT List of Value to choose an account

Click OK

You Also can type and description for that transaction in the Description Field.

Then Close the Distribution Form from (x)

Action Validate

Action Create Accounting

Debit Memo (or Credit Memo):Type: Debit Memo ( خصم إشعار )

Supplier: الصناعية لالستثمارات لونا شركة

Supplier Site: No Changes الرئيسي المركز (Comes automatically if the supplier has one site

If there are more than one site it comes blank)

Invoice Date: 26/10/2010

Invoice Number: Enter the Invoice Number TESTDM10001

Invoice Curr: No Changes Invoice Currency (In our Case EGP Comes Default)

Invoice Amount: L.E -500 (you must enter (-) sign before Amount for debit or credit memos)

Click on the Distributions Button

Fill in the required values as you need and also the amount must be minus with the sign (-) as the invoice header

Action Validate Invoice

Action Create Accounting

Review Accounting:

From Tools Menu View Accounting

Note: that the Liability Account is now debit and the credit account is the account you have selected in the distribution window.

Supplier Invoice Payment:

Navigate to: Payments EntryPayments

Press Enter or Double Click

Type: Manual

Bank Account: Choose a Bank Account from the list of Value ( جاري الدولي التجاري البنك )

Document: Check Book number ( الشيكات دفتر رقم )

Document Num: Check (Cheque) No.

Payment Date: 26/10/2010

Curr.: No Changes (Default EGP)

Enter Supplier Name: الصناعية لالستثمارات لونا شركة

Supplier Num: No Changes

Supplier Site: Choose Supplier Site from List of Value

Click Button (Enter / Adjust Invoices) Below

Choose Invoice from List of Value (Invoice Number)

Enter payment Amount

Note: you can pay also the debit memo with the invoice to pay the net amount of the invoice

Save (Ctrl+S)

Exit (x)

Action Create Accounting

Review Accounting

Tools Menu View Accounting

You can void Payment after processing the payment for any reason by click Action Button Void

Then:

Choose void Date

Choose GL Date

Invoice Action: NONE (You can cancel Invoice also from this option)

Test Scenario 2: Custody of Cash

Entering Pre-Payment Invoice

Before entering prepayment Invoice for an employee to record the petty cash or (Custody of Cash)

A. the employee must be defined in the HR ModuleB. Define Supplier with Employee Name C. Choose Employee Type from Classification List of ValueD. Choose the employee name from the list of valueE. Define Employee Site with Site name (متنوعات) an Prepayment account different from Supplier Prepayment Account (العهد)F. Save your WorkG. Now you have an employee as a supplier with different account

1- Switch to Oracle Payables Responsibility (e.g. AP_SIGMA_SUPERUSER)

2- Navigate to: Invoices EntryInvoices

3- Double Click on Invoices

Enter Invoice Type: Prepayment

Supplier: (له العهدة صرف سيتم الذي الموظف اسم) المناخلي محمد

Site: (العهدة طريق عن منه بالشراء الموظف يقوم الذي المورد) متنوعات

Invoice Date: 26/10/2010 ( العهدة إثبات تاريخ )

Invoice Number: TEST_PRE_1001

Invoice Curr.: EGP

Invoice Amount: العهدة قيمة

Enter the Distribution: you will find that the account is exist you can type the amount

Now Note the Status:

Status: Unvalidated

Accounted: No

Prepayment Validation:Action Validate

Action Create Accounting

Note the Status Now: Unpaid

To view Accounting

Tools Menu View Accounting

Prepayment Invoice PaymentNote : we must Pay the prepayment invoice

Actionpay in full

Choose Manual Payment

Choose Bank from List of Value

Enter payment Date

Save

ActionCreate Accounting

Now the Invoice has been paid

Create Expense Report Invoices for Settlement ( بفواتير العهدة تسوية )

Action Validate

Action Create Accounting

Action Apply / Unapply Prepayment

Click On Apply/Unapply Button

Return to the Invoice you have created and note the Invoice Status (Needs Revalidation)

Action Validate

Note the Accounted Status (Partial)

Now Action Create Accounting

To view the Accounting

Tools Menu View Accounting

Note:

Prepaid Expenses (العهد) Become Credit and that means that the Prepaid Expenses has been reduced by L.E. 10000

Test Scenario 3: Bills Payables (Future Dated Payments الدفع أوراق )

Opening Balance:

To Upload the Opening Balance you must follow the steps mentioned below:

Before Creating Invoices I recommend to use invoice batch to classify your work ( للموردين افتتاحية أرصدة ، عهد النقدية العهد رصيد ، الدفع ألوراق افتتاحية أرصدة ، )

Navigate to Invoice Batches

Create a Batch

Save the Batch

Click on Invoices Button (Note: all the invoices will be related to this batch name)

1- Create Invoices for the Suppliers (Total for each supplier) as the balance of Bills Payables

It’s recommended to choose a different type of Invoices such as Mixed Invoices

Validate Invoice (for Bills Payables)Action Validate Invoice

Action Create Accounting

Create Another Invoice (Bills payables)

Validate Invoice (for Bills Payables)

Action Validate Invoice

Action Create Accounting

2- Pay all That Invoices

You can select more than one invoice (for the same supplier) by holding CTRL while clicking on the invoice and note that the Action Button has changed to (Action 2)

Click on Action Pay in full

Because of selecting two invoices for different suppliers an error message is shown to inform you that you have selected invoices with different suppliers

You Can use:

pay in full for each invoice

Manual Payments (Recommended)Navigate to Payments payments

Enter the payment information (Bank Account, Payment amount, Maturity Date)

Note the Status is Issued

Click on Enter / Adjust Invoices

Choose Invoice

Save payment

Do the Same for each Maturity Date ( استحقاق تاريخ )

Note: the Maturity Date is Different for each payment transaction

Now the Invoice has been paid with Varied Maturity Dates and the Supplier balance has not been affected

Action Create Accounting

Tools Menu View Accounting

When the due date comes you will find the status has changed to allow you to edit

Before Clearing the Amount you must change to Status to Negotiable

Then save

Clearing Transactions4- from Cash management Module choose Manual Clearing and choose Payables

Navigate to Cash Management Module Responsibility

Bank Statement Manual Clearing Clear Transactions

5- choose the bank you will pay from

6- Find

Check or Select the Payment you want to clear

Now we want to clear L.E.15000 Only

7- clear selected

Click on Clear Transaction Button

Navigate Again to AP_SIGMA_SUPERUSER

Payment Entry Payments

Query the payment you have just cleared

Note the Status is Cleared but not Accounted

Action Create Accounting

8- return to the Payments form and requery the invoices which took the status (Negotiable) before

9- Note the new status (Cleared)

10- Now you have the Bills Payables Opening Balance

Test Scenario 4: Recurring Invoices

Creating Special Calendar:

This Kind of Invoices is regularly created every month or every quarter or every year such as Rent, Electricity or Water (Often Public Sectors Companies)

1- Navigate to Responsibility AP_SIGMA_SUPERUSER

2- Create Special Calendar (Setup Calendar Special Calendar)

Enter the following as shown below:

Create Recurring Invoice2- Invoices Entry Recurring Invoices

3- Click on Create Recurring Invoices Button

Press OK

View the Created Invoice Now navigate to Invoices Entry Invoices

Query the Supplier Name ( الدلتا وسط كهرباء توزيع شركة )

Note the Invoice is Ready and the distribution is automatically entered from The Recurring Invoice also note that you can Edit the Account ( اإليجار ، المياه مصاريف ، الكهرباء مصاريف ) and change the Amount before validation

You Can also create a distribution set ( كهرباء مصاريف )

Validate Invoice and Create AccountingNow Action Validate

Action Create Accounting

Test Scenario 5: Standard Invoices to Record the Expenses

Create Distribution SetsNavigate to Setup Invoices Distribution Sets

Entering the InvoiceEnter the invoice as following

Choose the Distribution Set from the List of Value

Save the Invoice and open Distributions Form to view the Accounts

Note : we have entered the same account but for a different Cost Centers when we created the Distribution Set

You can Edit the accounts or the amounts

Invoice ValidatingAction Validate Invoice

Action Create Accounting