Reconcilation

[segu_tulasi55]

what is the reconciliation of invoice,payment,transaction and receipts.
Could any one pls clarify?

[hiszaki]

Hi segu

The reconciliation of invoice,payment,transaction and receipts is a transaction in Cash Management module. It help you to make your bank statement in your application equal the current statement in your banks.

For example, suppose you get a check from customers & put them in your bank to collect them in your balance. until the bank tell you, by bank statement, that these checks were collected in your balance in your application these checks was status Remitted.

When you have a bank statement for all checks you paid or collect you can make this function "reconciliation" to change the status of all transaction to be collected or paid & make your balance in the application equal the bank balance.

Hope I can explain the master function "reconciliation" & the purpose of it with simple example.

Best Regards,
Hisham

[nagaramesh]

Hi Hisham,

I hav a doubt in Cash Mgmt. if I remitted chequew to Bank for collection and few of them are collected and rest are in process. so in this case hw my bank balance will show the balances??

Could you pls explain in detail if possible with navigations....

Thanks
Nagaramesh

[quote]Hi segu

The reconciliation of invoice,payment,transaction and receipts is a transaction in Cash Management module. It help you to make your bank statement in your application equal the current statement in your banks.

For example, suppose you get a check from customers & put them in your bank to collect them in your balance. until the bank tell you, by bank statement, that these checks were collected in your balance in your application these checks was status Remitted.

When you have a bank statement for all checks you paid or collect you can make this function "reconciliation" to change the status of all transaction to be collected or paid & make your balance in the application equal the bank balance.

Hope I can explain the master function "reconciliation" & the purpose of it with simple example.

Best Regards,
Hisham


<i><div align="right">Originally posted by hiszaki

[hiszaki]

Hi Nagaramesh,

What I mean that if you have for example 10 checks you collect them from customers, and have 5 checks you paid to suppliers.

In cash management you have 2 ways to make Reconciliation function:
1) Open Cash management --> bank reconciliation --> Bank statement.
2) Open Cash management --> bank reconciliation --> manual Clearing --> Clear Transaction.

The navigate allow you to build your application bank statement with all real transaction you know it's collect or paid from your bank.

You will define a new bank statement then check for all your transactions in a specific period. You must have the bank statement (Real bank) which the bank send to you at the end of the period which display all transactions which happened during this period.

So in our example, you will define a bank statement for specific period then press on available button to get all checks you collected from customers & all checks you paid to suppliers.

I your bank statement tell you that some checks are collected & the others are not, you make the reconcile only on these checks were collected or paid & leave the others with their status.

After you finish this process your bank account must the same with the bank balance.

You can also make cash forecasting in the cash management which preview the expected bank balance during specific period.

In case you choose the other way (manual Clearing) all your transaction will be change to status cleared but you will lose the concept of bank statement because will only make reconcile function for the transaction without determinate the bank.

I hope I can help you.

Thanks
Hisham

[segu_tulasi55]

Hi,
thanx for ur kindly explanation.what is my doubt isdifference between invoice reconcilation and payment reconcilation. i thouht what u explained is payment reconcialtion. Could pls carify with comprehencivally.

[hiszaki]

Hi segu

For my little information I don't know if there is an invoice reconciliation or not because both of type of invoices (in AP or AR) related to expenses account with supplier accounts or revenue accounts with customer accounts.

So the reconciliation will not made for these accounts so please tell me where you read the invoice reconciliation.

Sorry for my question but I really don't know your question & don't like to give you any wrong information.

Thanks
Hisham

[kishorebhupati]

Hi Segu,
There is lot more knowledge sharing and as of your question concerned with not exactly reconcilation of invoices but you can cross check with payable module to General Module like how many invoice you have booked in a particular month and whether they all have been accounted and you can cross check with how much payment you have made towards the invoices been booked any outstanding or prepayment existing etc.,
You can run Invoice Register in Payable Module, Similarly Account Analysis with Vouch report in G.L. Module etc.,

[Murthyoracle]

Hi Folks,

There is no Standard procedure avaialble for reconcialiation of AP Transactions. For that we have to do manually by following the procedure like:

Previous Open Balance of Supplier

+
Present Balane of Supplier ( Invoice Register)

-
Present Payment to Supplier ( Payment Register)

=
should be 0 Otherwise liablity will have to be paid.

Regards,
Murhtyoracle

[nagaramesh]

Hi Hisham,

Thanks 4 ur reply...

Actually what my client asking is: he want to c the bank balance in two columns one should show Currect Bank Balance(Original) another should show the balance which includes those cheques issued but not cleared and deposited but not cleared.

Is there any report in CM which shows these balance or atleast similar to this...

[quote]Hi Nagaramesh,

What I mean that if you have for example 10 checks you collect them from customers, and have 5 checks you paid to suppliers.

In cash management you have 2 ways to make Reconciliation function:
1) Open Cash management --> bank reconciliation --> Bank statement.
2) Open Cash management --> bank reconciliation --> manual Clearing --> Clear Transaction.

The navigate allow you to build your application bank statement with all real transaction you know it's collect or paid from your bank.

You will define a new bank statement then check for all your transactions in a specific period. You must have the bank statement (Real bank) which the bank send to you at the end of the period which display all transactions which happened during this period.

So in our example, you will define a bank statement for specific period then press on available button to get all checks you collected from customers & all checks you paid to suppliers.

I your bank statement tell you that some checks are collected & the others are not, you make the reconcile only on these checks were collected or paid & leave the others with their status.

After you finish this process your bank account must the same with the bank balance.

You can also make cash forecasting in the cash management which preview the expected bank balance during specific period.

In case you choose the other way (manual Clearing) all your transaction will be change to status cleared but you will lose the concept of bank statement because will only make reconcile function for the transaction without determinate the bank.

I hope I can help you.

Thanks
Hisham

<i><div align="right">Originally posted by hiszaki

[hiszaki]

Hi nagaramesh

According to your customer request, I think it will be available by using oracle report builder & customized a report with these details.

After you finish this report, you can put it under oracle application to running under AP module.

You must ask an developer person on your team to customized this report according to your needs.

Thanks
Hisham

[nagaramesh]

Thank u,


nagaramesh

[quote]Hi nagaramesh

According to your customer request, I think it will be available by using oracle report builder & customized a report with these details.

After you finish this report, you can put it under oracle application to running under AP module.

You must ask an developer person on your team to customized this report according to your needs.

Thanks
Hisham

<i><div align="right">Originally posted by hiszaki