An Oracle White Paper
August 2017
Transaction Account Builder
Oracle Procurement Cloud
Transaction Account Builder
Disclaimer
The following is intended to outline our general product direction. It is intended for information
purposes only, and may not be incorporated into any contract. It is not a commitment to deliver any
material, code, or functionality, and should not be relied upon in making purchasing decisions. The
development, release, and timing of any features or functionality described for Oracle’s products
remains at the sole discretion of Oracle.
Transaction Account Builder
1.
Introduction ................................................................................ 3
2.
Background ............................................................................... 4
3.
Understanding the Business ...................................................... 7
4.
The Building Blocks ................................................................... 8
5.
4.1.
Transaction Account Definition ........................................... 8
4.2.
Transaction Account Types ................................................ 9
4.3.
Account Rule.................................................................... 10
4.4.
Mapping Set ..................................................................... 13
4.5.
Source ............................................................................. 14
Understanding Predefined TAB Setup ..................................... 15
5.1.
Predefined TAB Sources .................................................. 15
5.2.
Set Up TAB to Default Accrual Account ........................... 26
5.3.
Set Up TAB to Default Charge Account............................ 31
5.4.
Set Up TAB to Default Variance Account ......................... 34
5.5.
Set Up Cost Management Predefined Mapping Sets ....... 35
5.6.
Set Up Purchasing Predefined Mapping Set for TAB ....... 38
5.7.
Set Up Transaction Account Definition ............................. 41
Transaction Account Builder
5.8.
6.
Set Up Manage Accounting Options for Ledger ............... 43
Custom TAB Setup .................................................................. 47
6.1.
Simple TAB Setup from Scratch ....................................... 47
6.2.
Advanced TAB Setup with Segment Rules ...................... 47
7.
Known Limitations .................................................................... 48
8.
Conclusion ............................................................................... 48
9.
Additional References .............................................................. 48
Transaction Account Builder
1. Introduction
Transaction Account Builder (TAB) provides a flexible mechanism to derive accounting
flexfields for subledger transactions.
Purchase requisitions and purchase orders have several accounts stored on them. The three
mandatory accounts are:



Charge Account – An account against which the money spent is finally withdrawn
or charged.
Variance Account – An account against which an entry is created to record a
variance for a certain kind of spending. For example, for a price variance between
a purchase order and invoice.
Accrual Account – An intermediary account which records money spent for goods
or services that have been consumed or taken ownership of, and that is yet to be
invoiced. An entry against this account is reversed once the money is physically
spent or the invoice is issued.
In addition to these three accounts, there are two other accounts for more advanced
procurement scenarios where there is an intercompany transaction involving a procuring
organization and a destination organization. The accounts are:


Destination Charge Account - A charge account belonging to the destination
organization.
Destination Variance Account - A variance account belonging to the
destination organization.
Your organization can automate the derivation of these accounts on transactions based upon
their organizational policies. Derivations are required to build these accounts on transactions
such as requisitions or purchase orders. The Transaction Account Builder (TAB) component of
the Subledger Accounting engine builds or defaults the accounts on a transaction, so the
appropriate accounting entries are created against transaction accounts.
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Transaction Account Builder
2. Background
Transaction Account Builder is a new concept in Oracle Cloud Applications and it replaces all
prior account generator solutions. Before Oracle Cloud Applications there was a similar need
to default transaction accounts. That need has been filled by different solutions. For example,
in Oracle E-Business Suite, Oracle Purchasing uses the Account Generator Workflow to derive
account code combinations on purchase orders and requisitions. Oracle Purchasing provides
default Account Generator processes for you to use. If the defaults do not satisfy your
accounting requirements, you can use the Oracle Workflow Builder to customize the default
processes. In Oracle Cloud Applications the Account Generator Workflow is replaced by TAB.
Oracle Cloud Applications delivers predefined account defaulting rules within Transaction
Account Builder. These rules address the common defaulting scenarios and facilitate further
rule extensions, avoiding the need for customers or implementers to create them from
scratch.
In PeopleSoft applications, ChartFields are used to define and default the account segments
in the transaction accounts. Each ChartField has its own attributes for maximum efficiency
and flexibility in recording, reporting and analyzing its intended category of data. Although
PeopleSoft delivers a set of ChartFields, and associated functionality that fully covers most
accounting and reporting requirements, ChartFields are designed to be configured by
customers to meet their specific requirements.
In JD Edwards applications, account generation is done by AAI (Automatic Accounting
Instruction). AAIs are rules that define the relationships between day-to-day accounting
functions and the chart of accounts. In the General Accounting system, AAIs determine how
to allocate system-generated general ledger entries. Each AAI is associated with a specific
general ledger account that consists of a business unit, an object, and an optional subsidiary.
The general ledger account is mapped to the chart of accounts.
In Oracle Cloud Applications, TAB configuration is significantly easier than Workflow
customization in Oracle E-Business Suite release 12, because it is accomplished within the
subledger accounting application instead of in a separate technology tool.
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Transaction Account Builder
Compared with PeopleSoft and JD Edwards, in Oracle Cloud Applications TAB provides more
flexible account derivation, as it allows users to derive all transaction accounts, and provides
a larger pool of potential sources.
Moreover, customers can reduce customized account defaulting definitions by sharing them
between applications. For example, the account defaulting for Oracle Fusion Projects can be
used by Oracle Fusion Purchasing and Oracle Fusion Payables. The account defaulting can be
shared by all three, but needs only be defined once.
Accounts on purchase orders and requisitions are used as defaults by downstream accounting
transactions such as purchase order (PO) matched invoices and receipts. Those transactions
may have account definition rules defined in subledger accounting that will allow an override
of some or all segments of the account found on the PO. The exact flow of these accounts is
complex and varies by the account and accounting options.
The following diagram provides an overview of the general flow of data from defaulting, on to
the purchase order, and on to its final usage in an accounting transaction.
Account Sources
(Reference Data)
Account Generator
Workflow (EBS)
PO Distribution
Account
Hard-coded logic,
some configurable
defaulting
(Peoplesoft)
User Updates
(Some data)
TAB Process with ADR
(Fusion)
PO Distribution
Account
Defaulting Process
Ledger
Accounting
Transaction
Account
(Peoplesoft)
Use PO Distribution
Account
Additional Rules
Defined by Customer
SLA AMB Rules
(EBS R12)
(Fusion)
Accounting Transaction Data Flow
EBS, Enterprise, Fusion
Adding In
Fusion
Removing in
Fusion
Customer
Defined
Figure 1
Accounting Transaction Data Flow Diagram
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Transaction Account Builder
The TAB data is contained in the subledger accounting data model, moving away from
Workflow components. The top-level process in Transaction Account Definitions is the
equivalent of the overall workflow process, and it includes the assignment of rules to each
Transaction Account Type defined for the product.
In Workflow, Purchasing had to pre-define the workflow attributes and pass them into the
Workflow process. The behavior in TAB is similar. Purchasing defines which sources may be
used for a particular account and passes them into TAB.
In Oracle E-Business Suite release 12, users can write custom PL/SQL statements, add
functions to the workflow to execute them, and then use the results in their workflow
function. Although there is no support to define custom PL/SQL sources that execute during
processing, TAB offers a comprehensive set of predefined sources so that, in most cases,
users will not need to define custom sources.
In Oracle Cloud Applications, users also have the ability to define data in mapping sets and
use them in account rules. This could also be used for the customer-specific reference
account data needed to drive the account defaulting process.
Figure 2
TAB Logical Data Model
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Transaction Account Builder
3. Understanding the Business
Before you can set up TAB to derive accounts, you must understand the business
requirements that drive the accounts on your transaction. Different business can have
completely different requirements, from something simple such as deriving the charge
account from the requesters default expense account, to more complex flows involving
projects and segment substitution rules. The first step is to analyze the requirements and use
cases.
It is important to understand and formulate your business needs and how you would
like to derive the accounts on the procurement transactions such as requisitions and
purchase orders. This will enable you to evaluate whether the predefined default
setup works for your organization or if you need to modify the setup for your specific
business need.
For example, consider a hypothetical business requirement for a hypothetical company called
ABC Corporation. ABC Corporation always creates requisitions, which are processed into
purchase orders. The accounts on the purchase orders mirror the accounts generated on the
requisition. They do not have any inter-company setup and they do not perform global
procurement.
There are three accounts that must be defaulted on their requisitions, based on the following
logic:
Charge Account: ABC Corporation drives their charge account based on whether the
destination type is expense or inventory. For expense destination types, they map the
ship-to organization on the requisition to a particular account combination. For
inventory destination types, they use a mapping in which a particular combination of
item and ship-to organization maps to a specific account combination.
Variance Account: ABC Corporation requires that the Variance Account is the same as
the Charge Account.
Accrual Account: ABC Corporation would like to default the accrual account from the
expense account setup for the Business Unit responsible for creating invoices.
However, they want the balancing segment of the accrual account to be derived from
the balancing segment of the charge account.
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Transaction Account Builder
4. The Building Blocks
In order to understand TAB, we first need to understand the building blocks of TAB. These
building blocks make up the structure of TAB.
Figure 3 TAB structure
4.1.
Transaction Account Definition
At the top level is Transaction Account Definition (TAD), which defines the account rule
assignments that are used to derive the transaction accounts on a purchase order and
requisition. This includes both rules which define the entire account combination as well as
rules which can define how certain segments of the account are generated. In other words,
TAD specifies which rules should be used to drive which accounts on a procurement
transaction. Below TAD are a number of Transaction Account Types.
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Transaction Account Builder
Figure 4 Example of Transaction Account Definition
4.2.
Transaction Account Types
Transaction Account Types are elements which represent each transaction account on
procurement transactions. There are five such transaction account types for five different
accounts exposed on procurement transactions.





Charge Account – An account against which the money spent is finally
withdrawn or charged.
Variance Account – Certain situations call for a variance to be recorded for a
certain kind of spending. An entry is created against this account for all such
variances. For example, the price variance between PO and invoice.
Accrual Account – An intermediary account which records money spent for
goods or services that have been consumed or taken ownership of, and that
is yet to be invoiced. An entry against this account is reversed once the
money is physically spent. For example, a check cashed and invoice paid.
Destination Charge Account - A charge account belonging to the destination
organization.
Destination Variance Account - A variance account belonging to the
destination organization.
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Transaction Account Builder
Each of these transaction account types have assigned, predefined sources by default.
Sources are attributes in the transaction that can be used to determine the derivation of the
account combinations. For example, there can be a business requirement to default Account
A as the charge account when the purchase order destination type is Expense, or Account B
when the destination type is Inventory. In this example, Destination Type is predefined as a
Source and assigned to the charge account so that it is possible to author rules to derive
charge account combinations. The source assignments cannot be altered. You can learn more
about sources in section 4.5 Source.
Figure 5 Example of Transaction Account Type
4.3.
Account Rule
Account segments for each transaction account type are derived from account rules. A rule
can apply to the entire account combination (Account Combination Rule) or just for a
particular segment (Segment Rule) specified by rule type. Each account rule comprises one or
more rules, with specified conditions which dictate when they are applied. For example, there
can be a rule with priority one, saying that the Purchasing Charge Account is derived from the
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Transaction Account Builder
Requisition Charge Account when Cross BU = N and the Requisition Charge Account is not
null.
Figure 6 Example of Account Rule
You can use both segment rules and account combination rules to derive a single account.
Segment rules are used where they are defined, and take the remaining values from an
account combination rule. For example, you can select an account combination rule that
applies to all segments and also separately select a segment rule that applies to one
particular segment. Segment rules take precedence over the account combination rule.
Account Rules Conditions
In the account rules you may specify conditions for each rule detail line. Priorities determine
the order in which account rule conditions are examined. When the condition is met, the rule
associated with that priority is used. Depending on which of the defined conditions is met, a
different account rule detail is employed to create the account.
Account Combination Rules
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Transaction Account Builder
You set up account combination rules based upon the following value types:
1. Source Value Type: Derive the account combination by specifying a source. Sources
that have been set up as accounts can be assigned to an account combination rule.
Oracle Fusion Subledger Accounting then obtains the code combination identifier
from the source.
For example, a variance account can be derived from a charge account that is set up
as a source.
2. Constant Value Type: Establish the account as a constant value.
For example, the constant could be a completed account combination from the chart
of accounts specified. An example is the account combination 01.000.2210.0000.000.
This is the simplest way to derive an account.
3. Mapping Set Value Type: Derive the account combination by referencing a mapping
set. Set up a mapping set to determine the complete account combination from the
chart of accounts specified.
For example, you can set up a mapping set which maps the ship-to organization to
account combinations.
Input ship-to organization
Org A
Org B
Org C
Output account value
01.000.2210.0000.000
01.000.2310.0000.000
01.000.2410.0000.000
4. Account Rule Value Type: Derive the account by referencing another account rule.
You can define this type of rule without specifying a chart of accounts. If the account
rule has a chart of accounts assigned, then all the related account rules must use the
same chart of accounts or no chart of accounts.
For example, if your charge and accrual accounts share the same derivation logic, one
account rule can be used as the source for both of them.
Tip: A chart of accounts must be specified for rules using constants.
Segment Rules
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Transaction Account Builder
Set up segment rules as follows:


When a chart of accounts is specified, create a rule to derive the value for a specific
segment from the chart of accounts.
If the chart of accounts is not specified, create a rule to derive the value for an
account segment with a specific qualifier.
Set up segment rules using the same methods discussed in the preceding Account
Combination Rules section. By specifying different value types, users can select the way in
which the segment value is derived.
Note: A chart of accounts must be specified for rules using constants.
4.4.
Mapping Set
Mapping sets can be used to associate a specific output value for an account or segment. You
can use mapping sets in account rules to build the account. Use mapping sets to quickly
define a specific output value with an account or a segment. Based on the input value from
subledger transactions or reference information, a specific value can be assigned to a
segment or values can be assigned to all segments of the account. Mapping sets provide an
efficient way to define the output values and are easier than using the account rule
conditions.
To define a mapping set, pairs of values are specified. For each input value, specify a
corresponding account combination or segment output value. One or more related pairs of
these input values with the segment or account output values form a mapping set. Use value
sets or lookup types for validating the input values of the mapping set.
For example, assume a business has three major spend classifications: Software, Hardware,
and Miscellaneous. The business has a natural account segment in their chart of accounts.
Category names, which drive spend classifications such as PO and requisition, are input values
in the application transaction. These input values can be included with other information
about the transaction and become part of the source information. Users can create a
mapping set that maps category names to the corresponding natural account as described in
the table below.
Input Value
Software
Natural Account Segment Value
0001
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Transaction Account Builder
Hardware
Miscellaneous
4.5.
0002
0003
Source
A source is any transaction attribute (attribute on a requisition or purchase order) that is
registered with a subledger and available for TAB to build accounts from. For example, item
category name is a source and can be used as an input parameter to a mapping set. The
source can also be an accounting flexfield. As an example, the requisition charge account is a
source and can be used to drive the PO charge account defaulting. Sources can also be used
in account rule conditions to determine when a rule should be applied.
To summarize, sources can be used in the following TAB configurations:
i.
ii.
iii.
Account rule values (both account combination rule and segment rule) for value type
of Source. In such cases only the sources which are accounting flexfields are available
for usage.
Conditions for account rules setup.
Input sources in Mapping Sets setup.
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Transaction Account Builder
5. Understanding Predefined TAB Setup
Oracle Procurement Cloud provides predefined, standard setup for TAB so that customers
can complete their transactions, such as requisitions and purchase orders, with minimal
configuration. Most typical business needs can be addressed using the delivered setup, with
minimal modifications. This section explains the predefined setups.
5.1.
Predefined TAB Sources
This section describes the default predefined sources that you can use to create account
rule setups. Note that you cannot add or modify these sources. There are a set of sources
which are available to all five transaction types. Thereafter, there are few additional
sources available ONLY for specific transaction types. Additional, some sources are
provided that apply only to specific transaction types.
Refer to these source lists during your TAB setup task.
5.1.1 Source Assignments for All Transaction Types
Subledger Application
Source Name
Comments
Purchasing
Blanket Purchase Agreement
Blanket Agreement referenced by the PO line.
Purchasing
Blanket Purchase Agreement Line
Blanket Line referenced by the PO line.
Purchasing
Buyer Identifier
Buyer identifier from PO.
Purchasing
Procurement Category Hierarchy Level 1
Level 1 parent of the item category as set up in the
procurement category hierarchy.
Purchasing
Procurement Category Hierarchy Level 2
Level 2 parent of the item category as set up in the
procurement category hierarchy.
Purchasing
Procurement Category Hierarchy Level 3
Level 3 parent of the item category as set up in the
procurement category hierarchy.
Purchasing
Procurement Category Hierarchy Level 4
Level 4 parent of the item category as set up in the
procurement category hierarchy.
Purchasing
Procurement Category Hierarchy Level 5
Level 5 parent of the item category as set up in the
procurement category hierarchy.
Purchasing
Procurement Category Hierarchy Level 6
Level 6 parent of the item category as set up in the
procurement category hierarchy.
Purchasing
Procurement Category Hierarchy Level 7
Level 7 parent of the item category as set up in the
procurement category hierarchy.
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Transaction Account Builder
Purchasing
Procurement Category Hierarchy Level 8
Level 8 parent of the item category as set up in the
procurement category hierarchy.
Purchasing
Procurement Category Hierarchy Level 9
Level 9 parent of the item category as set up in the
procurement category hierarchy.
Purchasing
Procurement Category Hierarchy Level 10
Level 10 parent of the item category as set up in the
procurement category hierarchy.
Purchasing
Contract Purchase Agreement
Contract Agreement referenced by the PO line.
Purchasing
Cross BU
PO schedule level source. True if orchestration agreement
exists.
Purchasing
Category ID
Category is from PO line or requisition line.
Purchasing
Deliver-to Location Identifier
Deliver-to Location ID from PO or requisition distribution.
Purchasing
Deliver-to Person Identifier
Deliver-to Person on PO distribution or requester on
requisition line.
Purchasing
Destination Inventory Organization ID
Deliver-to Organization on requisition line. Ship-to
organization on PO schedule.
Purchasing
Destination Subinventory
Subinventory from PO distribution or requisition line.
Purchasing
Destination Type Code
Destination type value on PO schedule or requisition line.
Purchasing
Document Style
Specifies the style of the purchase order.
Purchasing
Document Type Lookup Code
Specifies whether it is a requisition or PO.
Purchasing
Expenditure Item Date
Date when the expenditure was incurred.
Purchasing
Inventory Item
Item identifier on PO line or requisition line.
Purchasing
Item Category
The item category on the requisition or the PO line.
Purchasing
Line Price
Price in functional currency for goods line type from PO
line or requisition line.
Purchasing
Inventory Organization Code
Code of the inventory organization on PO schedule or
requisition line
Purchasing
Item Number
Name of item on the requisition or the PO line.
Purchasing
PO Distribution Attribute 1-20
PO or requisition distribution attributes 1 -20.
Purchasing
PO Distribution Descriptive Flexfield
Attribute Category
Purchasing
PO Distribution Attribute Date 1-10
PO or requisition distribution date attributes 1 -10.
Purchasing
PO Distribution Attribute Number 1-10
PO or requisition distribution number attributes 1 -10.
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Transaction Account Builder
Purchasing
PO Distribution Attribute TimeStamp 1-10
PO or requisition distribution timestamp attributes 1 – 10.
Purchasing
PO Header Attribute 1-20
PO or requisition header attributes 1 – 20.
Purchasing
PO Header Descriptive Flexfield Attribute
Category
Purchasing
PO Header Attribute Date 1-10
PO or requisition header date attributes 1 – 10.
Purchasing
PO Header Attribute Number 1-10
PO or requisition header number attributes 1 – 10.
Purchasing
PO Header Attribute TimeStamp 1-10
PO or requisition header timestamp attributes 1 – 10.
Purchasing
PO Line Location Attribute 1-20
PO schedule attributes 1 – 20.
Purchasing
PO Line Location Descriptive Flexfield
Attribute Category
Purchasing
PO Line Location Attribute Date 1-10
PO schedule date attributes 1 – 10.
Purchasing
PO Line Location Attribute Number 1-10
PO schedule number attributes 1 – 10.
Purchasing
PO Line Location Attribute TimeStamp 1-10
PO schedule timestamp attributes 1 – 10.
Purchasing
PO Line Attribute 1-20
PO or requisition line attributes 1 – 20.
Purchasing
PO Line Descriptive Flexfield Attribute
Category
Purchasing
PO Line Attribute Date 1-10
PO or requisition line date attributes 1 – 10.
Purchasing
PO Line Attribute Number 1-10
PO or requisition line number attributes 1 – 10.
Purchasing
PO Line Attribute TimeStamp 1-10
PO or requisition line timestamp attributes 1 – 10.
Purchasing
Project Revenue Category
The revenue category associated with the project
revenue.
Purchasing
Requisitioning Chart of Accounts ID
Chart of accounts identifier from the primary ledger of the
requisitioning BU.
Purchasing
Sold-to Chart of Accounts ID
Chart of accounts identifier from the primary ledger of the
Sold-to LE.
Purchasing
Sold-to BU Name
For local orders use requisitioning BU, for global orders
use profit center BU of the PO trade organization.
Purchasing
Suggested Supplier Name
Suggested supplier name from requisition line. NA to PO.
Purchasing
Supplier Type
Type of the supplier.
Purchasing
Supplier Identifier
Supplier ID from PO header or requisition line.
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Transaction Account Builder
Purchasing
Supplier Site Identifier
Supplier site ID from PO header or requisition line.
Purchasing
Supplier Site Assignment Liability Account
Liability account from supplier site assignment for the
sold-to BU.
Purchasing
Item Outside Processing Indicator
Indicates if the purchase order line or schedule is for an
outside processing item.
Purchasing
Outside Processing Account
Cost Management mapping set for Outside Processing
Account.
Project Costing
Project related sources
All project related sources including project ID,
expenditure type, project task number, and so on.
Project Costing
Award Descriptive Flexfield Attribute
Category
Context that determines the structure of the award
descriptive flexfield.
Project Costing
Award Descriptive Flexfield Date Attribute
1-10
Additional information on the award captured using the
date attributes 1-10 of the award descriptive flexfield.
Project Costing
Award Descriptive Flexfield Number
Attribute 1-10
Additional information on the award captured using the
number attributes 1-10 of the award descriptive flexfield.
Project Costing
Award Descriptive Flexfield Text Attribute
1-20
Additional information on the award captured using the
attributes 1-20 of the award descriptive flexfield.
Project Costing
Award Institution
Name of the institution. A higher-level internal entity that
receives awards to conduct research.
Project Costing
Award Purpose Name
Activity for which the award is funded. For example,
Research or Clinical.
Project Costing
Award Type Name
Classification of an award. Values for the award type are:
Federal grants or Private grants.
Project Costing
Contract Business Unit Name
Business unit name to which the contract belongs.
Project Costing
Contract Customer Name
Name of the customer that is associated with the
contract.
Project Costing
Contract Customer Number
Number of the contract customer.
Project Costing
Contract Legal Entity Name
Legal entity name to which the contract belongs.
Project Costing
Contract Name
Identifies the contract document.
Project Costing
Contract Number
An alphanumeric value that uniquely identifies the
contract.
Project Costing
Contract Owning Organization Company
Segment
Company segment value of the contract owning
organization.
Project Costing
Contract Owning Organization Cost Center
Segment
Cost center segment value of the contract owning
organization.
Project Costing
Contract Owning Organization Name
Owning Organization name to which the contract belongs.
Project Costing
Customer Classification Category Name
Classification of entities under a subject area in Oracle
Fusion Trading Community Architecture. For example,
classification of organizations based on industries.
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Transaction Account Builder
Project Costing
Customer Classification Name
Individual values within the classification category defined
in Oracle Fusion Trading Community Architecture. Higher
Education is a code under Industry Type classification
category.
Project Costing
Burden Amount Display Method
Indicates if the burden amount is displayed on the same
transaction or as a separate transaction.
Project Costing
Burden Cost Indicator
Indicates if costs are burdened for projects associated
with this project type.
Project Costing
Cost Distribution Billable Indicator
Indicates if the cost is billable for a project.
Project Costing
Cost Distribution Capitalizable Indicator
Indicates if the cost can be capitalized for a project.
Project Costing
Expenditure Business Unit ID
Identifies the business unit in which an expenditure is
entered and processed for project costing.
Project Costing
Expenditure Business Unit Name
Name of the business unit that owns the expenditure.
Project Costing
Expenditure Category
A grouping of expenditure types by type of cost For
example, an expenditure category with a name such as
Labor refers to the cost of labor.
Project Costing
Expenditure Category ID
Identifies a grouping of expenditure types by type of cost.
Project Costing
Expenditure Item Date
Date when the expenditure was incurred.
Project Costing
Expenditure Organization Company
Segment
Company segment value of the expenditure organization.
Project Costing
Expenditure Organization Cost Center
Segment
Cost center segment value of the expenditure
organization.
Project Costing
Expenditure Organization ID
Number generated by the application that uniquely
identifies the organization incurring the expenditure.
Project Costing
Expenditure Organization Name
Organization name to which the expenditure belongs.
Project Costing
Expenditure Type
Cost classification assigned to each expenditure item
Expenditure types are grouped into cost groups and
revenue groups.
Project Costing
Expenditure Type Descriptive Flexfield
Attribute 1-15
Expenditure type descriptive flexfield attributes 1-15.
Project Costing
Expenditure Type Descriptive Flexfield
Attribute Category
Context that determines the structure of the expenditure
type descriptive flexfield.
Project Costing
Expenditure Type ID
Identifies the expenditure type classifying the type of
work performed.
Project Costing
Null Account
This source will always contain a null value It is provided
only as a placeholder for the predefined Account
Derivation Rule templates.
Project Costing
Federal Sponsor Indicator
Indicates that the sponsor, who funds the sponsored
project, is from a federal agency.
Project Costing
Funding Source Name
Name of the party that is funding the research, for
example, an external customer or an internal
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Transaction Account Builder
organization.
Project Costing
Funding Source Type
Identifies the type of funding source. Funding sources can
be external or internal.
Project Costing
Project Billable Indicator
Indicates if the project is billable.
Project Costing
Project Business Unit Company Segment
Company segment value of the project business unit.
Project Costing
Project Business Unit Cost Center Segment
Cost center segment value of the project business unit.
Project Costing
Project Business Unit ID
Identifies the business unit that owns the project.
Project Costing
Project Business Unit Name
Names the business unit that owns the project.
Project Costing
Project Capitalizable Indicator
Indicates if the project can be capitalized.
Project Costing
Project Class Category
Class category that is assigned to a project and enabled
for use in accounting.
Project Costing
Project Class Category ID
Identifies the class category that is assigned to a project
and enabled for use in accounting.
Project Costing
Project Class Code
Code of the class category that is assigned to a project and
enabled for use in accounting.
Project Costing
Project Class Code ID
Identifies the class category that is assigned to a project
and enabled for use in accounting.
Project Costing
Project Descriptive Flexfield Attribute 1-10
Projects descriptive flexfield attributes 1-10.
Project Costing
Project Descriptive Flexfield Attribute
Category
Context that determines the structure of the project
descriptive flexfield.
Project Costing
Project ID
Number generated by the application to identify the
project.
Project Costing
Project Name
Name assigned to a project.
Project Costing
Project Number
Number assigned to a project.
Project Costing
Project Organization Company Segment
Company segment value of project organization.
Project Costing
Project Organization Cost Center Segment
Cost center segment value of project organization.
Project Costing
Project Organization ID
Identifies the organization owning the project.
Project Costing
Project Type
Implementation entity that defines basic project options
Select options at the project type level that are inherited
by each project associated with that project type.
Project Costing
Project Type Descriptive Flexfield Attribute
1-10
Project type descriptive flexfield attributes 1-10.
Project Costing
Project Type Descriptive Flexfield Attribute
Category
Context that determines the structure of the project type
descriptive flexfield.
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Transaction Account Builder
Project Costing
Project Type ID
Identifies the implementation-defined name that uniquely
identifies the project type.
Project Costing
Project Unit ID
Identifies the project unit.
Project Costing
Revenue Category
A grouping of expenditure types by type of revenue For
example, a revenue category with a name such as Labor
refers to labor revenue.
Project Costing
Sponsored Project Indicator
Indicates that the project is sponsored by an award.
Project Costing
Task Billable Indicator
Indicates if the task is billable for project.
Project Costing
Task Capitalizable Indicator
Indicates if the task for a project can be capitalized.
Project Costing
Task Descriptive Flexfield Attribute 1-15
Task descriptive flexfield attributes 1-15.
Project Costing
Task Descriptive Flexfield Attribute
Category
Context that determines the structure of the task
descriptive flexfield.
Project Costing
Task ID
Identifies the task.
Project Costing
Task Name
Name assigned to a task.
Project Costing
Task Number
Number assigned to a task.
Project Costing
Task Organization Company Segment
Company segment value of the organization that is
assigned to manage the work on a task.
Project Costing
Task Organization Cost Center Segment
Cost center segment value of the organization that is
assigned to manage the work on a task.
Project Costing
Task Organization ID
Identifies the organization that is assigned to manage the
work on a task.
Project Costing
Task Organization Name
Organization name to which the task belongs.
Project Costing
Task Retirement Indicator
Identifies tasks for retirement cost collection.
Project Costing
Task Service Type
Type of work performed on the task.
Project Costing
Top Task ID
Identifies a task whose parent is the project.
Project Costing
Top Task Name
User-defined name that uniquely identifies a top task
within a project.
Project Costing
Top Task Number
User-defined number that uniquely identifies a top task
within a project.
Project Costing
User-Defined Descriptive Flexfield Attribute
1-10
User-defined descriptive flexfield attributes 1-10 for
project-related standardized cost collection.
Project Costing
User-Defined Descriptive Flexfield Attribute
Category
Context that determines the structure of the user-defined
descriptive flexfield.
Project Costing
Work Type ID
Unique identifier of a classification of the work associated
with a task You can use work types to categorize and
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group tasks for processing purposes.
Project Costing
Work Type Name
Name of a classification of the work associated with a
task. You can use work types to categorize and group
tasks for processing purposes.
5.1.2 Additional Source Assignments for Accrual Account Transaction Type
Subledger Application
Source Name
Comments
Purchasing
Expense Accrual Account
Purchasing mapping set Expense Accrual Account Business Unit with Business Unit as parameter.
For local orders, use the requisitioning BU. For global
orders, use the profit center BU of the PO trade
organization.
Purchasing
Accounts Payable Accrual Account for
Inventory Item
Cost Management mapping set Accrual Account Organization with organization as parameter.
For local orders, use ship-to organization, and for global
orders, use PO trade organization.
Purchasing
Preparer Identifier
Preparer from requisition header.
Purchasing
Item Category Name
Used for Purchasing Natural Account from Category
inputs.
Purchasing
PO Charge Account
Charge Account from PO or requisition distribution.
5.1.3 Additional Source Assignments for Variance Account Transaction Type
Subledger Application
Source Name
Comments
Purchasing
Item Asset Indicator
Indicates whether the item on PO or requisition is an asset item.
Purchasing
Organization identifier
Internal identifier of the procurement business unit.
Purchasing
Requisition Variance Account
Variance Account from requisition distribution.
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Transaction Account Builder
Purchasing
PO Charge Account
Charge Account from PO or requisition distribution.
Purchasing
Ship-to Organization Price Variance
Account
Cost Management mapping set Invoice Price Variance Account Organization with ship-to organization as a parameter.
Purchasing
Project Account Override Profile
Value of profile option used to control charge account for
projects.
Purchasing
Purchasing Trade Organization Price
Variance Account
Cost Management mapping set Invoice Price Variance Account Organization with PO trade organization as a parameter.
5.1.4 Additional Source Assignments for Charge Account Transaction Type
Subledger Application
Source Name
Comments
Purchasing
Item Category Name
Used for Purchasing Natural Account from Category inputs.
Purchasing
Requisitioning BU Name
Used for Purchasing Natural Account from Category inputs.
Purchasing
Requisition Charge Account
Charge account from requisition distribution.
Purchasing
Cost of Goods Sold Account
Cost Management mapping set Cost of Sales Account Organization with PO trade organization as parameter.
Purchasing
Inventory Material Account for ship-to
organization
Cost Management mapping set Material Account - Organization
with Ship-to organization as parameter.
Purchasing
Ledger Identifier
Internal identifier of the primary ledger.
Purchasing
Purchasing Trade Organization Item
Expense Account
Purchasing mapping set Expense Account - Item with PO trade
organization and item as parameters.
Purchasing
Subinventory Expense Account for
Transfer Organization
Cost Management mapping set Expense Account - Subinventory
with PO trade organization and subinventory as parameters.
Purchasing
Purchasing Trade Organization
Expense Account
Cost Management mapping set Expense Account - Organization
with PO trade organization as parameter.
Purchasing
Ship-to Organization Item Expense
Account
Purchasing mapping set Expense Account - Item with ship-to
organization and item as parameters.
Purchasing
Subinventory Expense Account
Cost Management mapping set Expense Account - Subinventory
with ship-to organization and subinventory as parameters.
Purchasing
Ship-to Organization Expense Account
Cost Management mapping set Expense Account - Organization
with ship-to organization as a parameter.
Purchasing
Purchasing Trade Organization
Material Account
Cost Management mapping set Material Account - Organization
with PO trade organization as parameter.
Purchasing
Inventory Material Account SubInv for
TF Def Organization
Cost Management mapping set Material Account - Subinventory
with PO trade organization and subinventory as parameters.
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Purchasing
Subinventory Material Account
Cost Management mapping set Material Account - Subinventory
with ship-to organization and subinventory as parameters.
Purchasing
Ship-to Organization Material Account
Cost Management mapping set Material Account - Organization
with ship-to organization as a parameter.
Purchasing
Item Asset Indicator
Indicates whether the item on PO or requisition is an asset item.
Purchasing
Employee Charge Account
Default expense account from the HR person management for the
requester on the PO or requisition.
Purchasing
Project Account Override Profile
Value of profile option used to control charge account for projects.
Purchasing
User Preferred Account
Favorite or default account from the user’s preferences in SSP
application.
5.1.5 Additional Source Assignments for Destination Charge Account Transaction Type
Subledger Application
Source Name
Comments
Purchasing
Item Category Name
The category name for the item on requisition or PO line.
Purchasing
Requisitioning BU Name
The requisitioning BU name on requisition or PO.
Purchasing
Requisition Charge Account
The charge account from requisition distribution.
Purchasing
Ship-to Organization Item Expense
Account
Purchasing mapping set Expense Account - Item with ship-to
organization and item as parameters.
Purchasing
Subinventory Expense Account
Cost Management mapping set Expense Account - Subinventory
with ship-to organization and subinventory as parameters.
Purchasing
Ship-to Organization Expense Account
Cost Management mapping set Expense Account - Organization
with ship-to organization as a parameter.
Purchasing
Ship-to Organization Material Account
Cost Management mapping set Material Account - Organization
with ship-to organization as a parameter.
Purchasing
Subinventory Material Account
Cost Management mapping set Material Account - Subinventory
with ship-to organization and subinventory as parameters.
Purchasing
Item Asset Indicator
Indicates whether the item on PO or requisition is an asset item.
Purchasing
Employee Charge Account
Default expense account from the HR person management for
the requester on the PO or requisition.
Purchasing
Inventory Material Account for ship-to
organization
Cost Management mapping set Material Account - Organization
with Ship-to organization as parameter.
Purchasing
Project Account Override Profile
Value of profile option used to control charge account for
projects.
Purchasing
User Preferred Account
Favorite or default account from the user’s preferences in Oracle
Fusion Self Service Procurement.
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Transaction Account Builder
5.1.6 Additional Source Assignments for Destination Variance Account Transaction Type
Subledger Application
Source Name
Comments
Purchasing
Item Asset Indicator
Indicates whether the item on PO or requisition is an asset item.
Purchasing
Requisition Variance Account
Variance Account from requisition distribution.
Purchasing
PO Destination Charge Account
Destination Charge Account on PO distribution.
Purchasing
Project Account Override Profile
Value of profile option used to control charge account for
projects.
Purchasing
Ship-to Organization Price Variance
Account
Cost Management mapping set Invoice Price Variance Account Organization with ship-to organization as a parameter.
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5.2.
Set Up TAB to Default Accrual Account
Step 1: In the Navigator, click Setup and Maintenance, and navigate to the Define Transaction
Account Rules task list.
Note: Drill down to this task list from the Implementation Project for Procurement. This picks
up the Purchasing context.
Step 2: Navigate to Manage Account Rules task.
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Step 3: Select and view the predefined Purchasing Accrual Account Rule.
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Step 4: Note how the Accrual Account is defaulted. According to the predefined rule, the
accrual account is defaulted from the Source: Expense Accrual Account when PO destination
type is Expense OR Cross BU = Y. This source maps to the Purchasing mapping set Expense
Accrual Account – Business Unit.
However, if the Destination Type is Inventory and this is not a global procurement scenario,
the Accrual Account is defaulted from the Source: Accounts Payables Accrual Account for
Inventory Item. This source maps to the Cost Management mapping set Accrual Account –
Organization.
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Transaction Account Builder
For this example, assume that this PO is for an expense item. You will verify that a mapping
exists for the requisitioning BU on the Purchasing Mapping set Expense Accrual Account –
Business Unit.
Step 5: Navigate to the Manage Mapping Sets task in the Define Transaction Accounting for
Procurement task list.
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Step 6: Edit the mapping set Expense Accrual Account - Business Unit. Select the appropriate
Chart of Account, and ensure that a mapping exists for your Sold-to BU. (It will be same as the
requisitioning BU in a local procurement scenario.) If a mapping does not exist, create a new
one and specify the appropriate account.
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Transaction Account Builder
Step 7: Optionally, if your business uses inventory items, set up the Mapping Set Accrual
Account Organization for the Cost Management subledger. See setting up Cost Management
Mapping Sets for more details.
5.3.
Set Up TAB to Default Charge Account
Step 1: Repeat Steps 1 and 2 from section 5.2
Step 2: Select and view the predefined Purchasing Charge Account Rule
Step 3: Note that the Charge Account is defaulted without any configuration required.
According to the predefined rule, the charge account is defaulted from a series of sources
having descending priorities. Also note the condition that applies each priority rule.
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For this example, assume that this PO has no backing requisition, that it has an expense
destination type and that the charge account is defaulted from the requester’s HR default
expense account. In other words, priority 6 is applied. Next, verify that the requester’s default
expense account is set up in HCM Person Management.
Step 4: Navigate to Person Management from the navigator.
Step 5: Search for the requester by Name.
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Step 6: Click on the requester name and navigate to the Person Management page. Select
Manage Employment from the task pane.
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Step 7: Verify that the Default Expense Account is populated. If not, populate the account
accordingly.
The charge account on the PO is defaulted from the requester’s default expense account as
set up in HCM.
Tip: Verify that the requester field on the PO distribution is populated. If there is no requester
on the PO distribution, no account will be generated from priority rule 6.
Step 8: Optionally, if your business wants to drive the PO charge account based on ship-to
organization, item, sub-inventory, destination type, and so on, set up one of the predefined
Cost Management Mapping Sets accordingly. Priority rules 3, 4, 5 and 7-13 use Cost
Management Mapping Sets as sources. See Setting up Cost Management Mapping Sets for
more details.
5.4.
Set Up TAB to Default Variance Account
Step 1: Repeat Steps 1&2 from Section 5.2
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Step 2: Select and view the predefined Purchasing Variance Account Rule
Step 3: Note that the Variance Account is defaulted without any configuration required.
According to the predefined rule, the variance account is defaulted from a series of sources
having descending priorities. Also note the condition that fires each priority rule.
For this example, assume that the PO has no backing requisition and that the destination type
is expense. In this case, the priority Rule 2 is applied and the variance account is defaulted
from the charge account on the PO.
5.5.
Set Up Cost Management Predefined Mapping Sets
Step 1: In the Setup and Maintenance work area, search for the Define Cost Accounting setup
task list. Expand the task list. Make sure that scope for the task is set to Cost Management.
Navigate to the Manage Mapping Sets setup task.
Note: Cost Management mapping sets cannot be accessed from a Procurement
implementation project. Search task lists directly in the Setup and Maintenance work area.
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Transaction Account Builder
Step 2: All the predefined mapping sets are listed here. You can edit any of the mapping sets
and populate the input and output mappings.
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Transaction Account Builder
Step 3: In this example, we will set up the Expense Account – Organization mapping set. This
mapping set maps input inventory organizations to output account combinations.
Step 4: Add one or more chart of accounts in the Chart of Accounts section. This defines
which chart of accounts is configured to use this mapping set.
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Step 6: Populate the mappings. For every input organization code, populate an output
account combination. Note that you can designate one of the output account combinations
as a default. The default output account combination is used if no appropriate organization
code is found.
Tip: By modifying the mapping set Output Type, it can be used to map input parameters to an
entire account combination or individual account segments.
This setup task demonstrates how to set up one of the Cost Management Mapping Sets.
Similarly, you can set up the other available Mapping Sets depending on your business needs.
5.6. Set Up Purchasing Predefined Mapping Set for TAB
There are four predefined Purchasing mapping sets:
-
Expense Accrual Account – Business Unit
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Transaction Account Builder
-
Purchasing Expense Account – Item
Purchasing Natural Account by Procurement Category Level 1
Purchasing Natural Account for Transaction Account Builder
The following steps use Expense Accrual Account – Business Unit mapping set as an example,
demonstrating how to set up a predefined mapping set.
Step 1: In an implementation project for Procurement, navigate to the Manage Mapping sets
task in the Define Transaction Accounting for Procurement task list.
Step 2: A Predefined mapping set Expense Accrual Account – Business Unit is available. You
can use this to set up the Accrual Account.
Step 3: Another predefined mapping set Purchasing Natural Account for Transaction
Account Builder is available here. You can edit the mapping set, and populate the input and
output mappings. This is a natural account segment mapping set. Based on input
Requisitioning BU and Item Category Name, you can determine the natural account segment
of an account combination.
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Transaction Account Builder
Step 4: Add one or more chart of accounts in the chart of accounts section. This defines which
chart of accounts is set up to use this mapping set.
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Transaction Account Builder
Step 5: Populate the mappings. For every input Requisitioning BU Name and Category Name,
populate an output account segment. Note that you can designate one of the output account
segments as a default. The default output segment is used if no appropriate organization
Requisitioning BU and Category combination is found.
Tip: By modifying the mapping set Output Type, it can be used to map input parameters to an
entire account combination or individual account segments.
If you need to derive the natural account segment based on the different levels in the
procurement category hierarchy, you can create your own mapping sets for this purpose. For
category level 1, the mapping set – Purchasing Natural Account by Procurement Category
Level 1 is predefined.
This setup task demonstrates how to set up one of the predefined Purchasing Mapping Sets.
Similarly, you can create new Mapping Sets depending on your business needs.
5.7.
Set Up Transaction Account Definition
Oracle Procurement Cloud provides a predefined Transaction Account Definition which
makes use of the account rules and mapping sets explained above. For most cases, you can
reuse this delivered transaction account definition. In this task you will explore the delivered
Transaction Account Definition and how it combines all the account combination rules to
default the accounts on a requisition or purchase order.
Step 1: In the Navigator, click the Setup and Maintenance work area, and navigate to the task
list Define Transaction Account Rules.
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Step 2: Navigate to Manage Transaction Account Definition.
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Step 3: Observe the predefined TAD: Purchasing TAB Default Accounting.
Step 4: Observe the account combination rules that drive each of the transaction account
types on requisitions and purchase orders. Also note that the predefined transaction account
definition does not have any Segment Rules. See section 6.2 for information on how you can
set up segment rules and/or modify the Account Combination Rules.
5.8.
Set Up Manage Accounting Options for Ledger
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Transaction Account Builder
This is the final yet most crucial step of TAB setup. Your business can centralize the account
defaulting piece by virtue of setting up one TAB and reusing it across different ledgers if you
so choose. After setting up the Transaction Account Definition, you must associate it with a
ledger. The appropriate Transaction Account Definition is picked up based on the ledger to
which a PO or requisition corresponds.
Take note that this setup step is optional because by default, every ledger is associated to the
predefined Transaction Account Definition Purchasing TAB Default Accounting. Perform this
setup only if you create your own Transaction Account Definitions.
Step 1: In the Navigator, click the Setup and Maintenance work area, and navigate to the
Define Transaction Account Rules task list.
Step 2: Navigate to Manage Subledger Accounting Options
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Transaction Account Builder
Step 3: Search for the Ledger. When the ledger is displayed in the search results, select
Purchasing as the component type and edit the Accounting Options.
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Transaction Account Builder
Step 4: By default, for the Purchasing subledger application, every ledger in the application is
associated to the predefined Transaction Account Definition. For example, Purchasing TAB
Default Accounting. You can change it to a new Transaction Account Definition that you have
created.
This completes the configuration of TAB using the predefined, delivered setup configurations.
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Transaction Account Builder
6. Custom TAB Setup
6.1.
Simple TAB Setup from Scratch
In this section, we will set up a minimal custom TAB so that all three mandatory accounts in a
purchase order or a requisition are defaulted appropriately. We will assume an overly
simplistic business where based on destination type, they default the accounts on the PO and
requisition to specific constants. All the accounts on the document are same in this example.
To tabulate the use case:
Destination
Type
Expense
Inventory
6.2.
Charge
Accrual
Variance
01-000-2440-0000-000
01-110-4110-0000-000
01-000-2440-0000-000
01-110-4110-0000-000
01-000-2440-0000-000
01-110-4110-0000-000
Advanced TAB Setup with Segment Rules
In this setup you will assume the hypothetical company ABC Corporation drives the natural
account segment of their charge account on requisitions and purchase orders from project
sources in case there are project references on the document distributions. If the PO
references a project, then default the charge account segment to the following based on
project top task number.
Top Task Number
1.0
2.0
Default
Account Segment Value
1200
1210
1130
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Transaction Account Builder
7. Known Limitations
If you plan to use the Item Category Name source in your transaction account definitions,
make sure the category name does not exceed 80 characters. Otherwise, Transaction
Account Builder might not be able to derive an account.
8. Conclusion
Oracle Fusion Procurement leverages Oracle Fusion Subledger Accounting's flexible rulesbased engine that enables you to author your unique account derivation policies and
manage them effectively. You can either use the predefined setups to lessen set up
overhead, add your own layer of customizations on top of the predefined setups, or even
start from scratch.
9. Additional References
For additional information, see the Define Accounting Transformation section in the Oracle
Fusion Accounting Hub Implementation Guide.
http://docs.oracle.com/cd/E28271_01/fusionapps.1111/e20374/toc.htm
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Copyright © 2016, 2017 Oracle and/or its affiliates. All rights reserved. This document is provided for information purposes only and
August 2017
the contents hereof are subject to change without notice. This document is not warranted to be error-free, nor subject to any other
Author: Mayukh Bhaowal
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