Oracle Payables User Manual

USER MANUAL
ACCOUNTS PAYABLE

Author: P.R.Suresh
Oracle Payables User Manual Contents ii

Contents
Oracle Payables: Overview..............................................................................................................................iv
Typographic Conventions..........................................................................................................................................iv
CHAPTER A PROCESS FLOWS...................................................................................................................................1
CHAPTER 1 SUPPLIERS............................................................................................................................................2
1.2 ENTERING SUPPLIERS............................................................................................................................................3
1.2.1 How to Enter Supplier information..............................................................................................................3
1.2.2 How to Enter Payment Details.....................................................................................................................6
1.2.3 How to Enter Withholding Tax Details........................................................................................................7
1.2.5 How to Enter Supplier Site information.......................................................................................................8
1.2.6 How to Enter Employees as Suppliers.........................................................................................................9
1.2.7 How to Change Supplier Information..........................................................................................................9
1.2.8 How to Add or change Supplier Sites.........................................................................................................10
CHAPTER 2 INVOICES.............................................................................................................................................11
2.1 ENTERING INVOICES............................................................................................................................................12
2.2 STANDARD INVOICE............................................................................................................................................13
2.2.1 How to Enter Invoice Header information.................................................................................................13
2.2.2 How to Enter Invoice Distributions and Additional information...............................................................16
2.2.4 How to Enter Invoice Header information – Foreign Currency Invoices.................................................18
2.2.5 How to Validate an Invoice:.......................................................................................................................21
2.2.6 How to Create Accounting for an Invoice:................................................................................................21
2.3 PREPAYMENT INVOICE........................................................................................................................................22
2.3.1 How to Enter a Prepayment Invoice..........................................................................................................22
2.3.2 How to Apply a Prepayment to an Invoice.................................................................................................23
2.3.3 How to Unapply Prepayments from Invoices.............................................................................................24
2.4 FINDING INVOICES..............................................................................................................................................25
2.4.1 How to find invoices using the Find Invoices Window..............................................................................25
2.5 RELEASING HOLDS..............................................................................................................................................26
2.5.1 How to Release Holds................................................................................................................................26
2.6 MATCHING INVOICES TO PURCHASE ORDERS / GRNS.......................................................................................28
2.7.1 How to Match an Invoice to a Purchase Order / GRN..............................................................................28
2.7 CANCELING INVOICES.........................................................................................................................................34
2.7.1 How to Cancel an Invoice..........................................................................................................................34
CHAPTER 3 INVOICE PAYMENTS............................................................................................................................35
3.1 PAY AN INVOICE IN FULL....................................................................................................................................36
3.1.1 How to Initiate a Payment to pay an invoice in full...................................................................................36
3.1.2 How to Initiate a Payment to pay an invoice in full (in Foreign Currency)..............................................38
3.2 MANUAL PAYMENTS...........................................................................................................................................39
3.2.1 How to Initiate a Manual Payment............................................................................................................39
3.2.2 How to Select Invoices to Pay....................................................................................................................41
CHAPTER 4 PAYABLES INQUIRIES............................................................................................................................43
4.1 SUPPLIER INQUIRY..............................................................................................................................................44
4.2 INVOICE INQUIRY................................................................................................................................................47
4.3 CALCULATE BALANCE OWED.............................................................................................................................50
4.4 PAYMENTS INQUIRY............................................................................................................................................53
CHAPTER 5 MAINTAINING ORACLE PAYABLES - ACCESSED FROM THE SUPER USER MENU................................56
5.1 PAYABLES TRANSFER TO GENERAL LEDGER PROGRAM....................................................................................57
5.1.1 Parameters.................................................................................................................................................57
5.1.2 How to run the Payables Transfer to General Ledger Program...............................................................57
5.2 MANAGE ACCOUNTS PAYABLE ACCOUNTING PERIODS.....................................................................................62
5.2.1 Control Payables Periods..........................................................................................................................62
Oracle Payables User Manual Contents iii

5.3 DEFINE BANKS....................................................................................................................................................65

5.3.1 Define Banks..............................................................................................................................................65
5.4 DEFINE TAX........................................................................................................................................................71
5.4.1 Define Withholding Taxes..........................................................................................................................71
CHAPTER 6 REPORTS................................................................................................................................................74
6.1 Useful Reports................................................................................................................................................74
6.2 How to Submit a Report.................................................................................................................................80
6.3 How to View a Report....................................................................................................................................80
6.4 How to Print a Report....................................................................................................................................81
Oracle Payables User Manual Overview iv

Oracle Payables: Overview

Oracle Payables contains four major processes:

 Set up Suppliers: Before entering invoices for a new supplier (vendor), you need to setup the supplier in
Oracle Payables

 Enter and Approve invoices: You can enter and approve invoices individually.

 Pay invoices: You can also pay approved invoices individually or in batches by check or electronically.

 Post transactions to the general ledger: You can transfer the invoices and payment accounting
distributions and audit information to the general ledger interface. You can then use your general ledger
system to import this information and create entries.

Typographic Conventions

Typographic Conventions within Text

Conventions Object or Term Example

Bold Menu options Select Save to save your work

Bold italic Keyboard keys and window Press Ctrl+L to get a list of values
Buttons

Italic List options (List of Values) Select Manual as the Type of

Payment

Underline italic Window Fields In the Invoice Date field, enter the
invoice date

Lead Caps Mouse operations (unless the term Click OK

is a proper noun)
Oracle Payables 1

Chapter A Process Flows

In this Section we will look at the process flows associated with each of the processes described below.

A. Payments to Suppliers – Local Currency Payments

 Origination Enter Supplier Invoices – Invoice Type ‘Standard’
Enter Additional Information relating to the invoice.
 Verification Approve Supplier Invoices
Initiate Payment

B. Payments to Suppliers – Foreign Currency Payments

 Origination Enter Supplier Invoices – Invoice Type ‘Standard’
 Verification Approve Supplier Invoices
Initiate Payment

C. Payments to Staff – Imprest

 Origination Enter Prepayment Invoices – Invoice Type ‘Prepayment’
 Verification Approve Prepayment Invoices
Initiate Payment

D. Retiring Imprest
 Origination Enter Invoices relating to Imprest given – Invoice Type ‘Standard’
 Verification Approve Invoice
 Authorization Apply Prepayment to Invoice
Initiate payment for the excess ,if any.

 Verification
 Validate all the Invoices – Run the Invoice Validation process.
 Create Accounting For all Invoices
 Build Payment Batches
 Format Payment Batches
 Confirm Payment Batches
Oracle Payables 2

Chapter 1 Suppliers
1.1 Introduction

Set up suppliers in the Suppliers window to record information about individuals and companies from whom
you purchase goods and services.

This exercise includes the following;

- Enter supplier information

- Enter supplier site information
- Enter employees as suppliers
- Change supplier information
- Add or change supplier sites

Suggestion: You may want to use a naming convention that minimizes risk of separate entries of the same
supplier under different names. For example, if you consistently spell the full name of a
supplier, you would not enter both Oracle Corp. and Oracle Corporation. Both would be
accepted by the system as different suppliers and the transactions for each would be separate.
Oracle Payables 3

1.2 Entering Suppliers

1.2.1 How to Enter Supplier information

(N) Supplier > Entry

1. Go to Supplier

2. Press the Enter key ( or Click on Open or Double click on the left mouse)
3. Go to Entry
Oracle Payables 4
Oracle Payables 5

4. Press the Enter key ( or Click on Open or Double click on the left mouse)

5. Enter a unique supplier name

6. If you want to prevent invoice or purchase order entry for this supplier after a certain date, Enter an
Inactive date in the Inactive After field
7. Click in the field with the caption – Type
8. Press Ctrl+L to get a list of values ( or Click on Edit in the Menu Bar, then Click on List of Values)
9. Select the type you want to assign to the Supplier, then Click OK. If you are entering an employee as a
supplier, you must select Employee in this field
10. Click on Classification
Oracle Payables 6

1.2.2 How to Enter Payment Details

1. Go down and Select Payment from the drop-down list

2. Click in the field with the caption – Terms

3. Press Ctrl+L to get a list of values ( or Click on Edit in the Menu Bar, then Click on List of Values)
4. Select a payment term for the supplier from the list, then Click OK
5. Click in the field with the caption – PayGroup
6. Press Ctrl+L to get a list of values ( or Click on Edit in the Menu Bar, then Click on List of Values)
7. Select a PayGroup to assign to the supplier from the list, then Click OK
8. Click in the field with the caption – Invoice Currency
9. Press Ctrl+L to get a list of values ( or Click on Edit in the Menu Bar, then Click on List of Values)
10. Select the default invoice currency for all supplier invoices from the list, then Click OK
11. Click in the field with the caption – Payment Priority
12. In the Payment Priority field, enter a number, between 1 (high) and 99 (low), that represents the priority
of the payment
13. Click in the field with the caption – Terms Date Basis
14. Select the date from which Oracle Payables calculates a scheduled payment for a Supplier
15. Click in the field with the caption – Pay Date Basis
16. Select Due or Discount as the pay date basis for the supplier. This determines the pay date for the
supplier’s invoices
17. Click in the field with the caption – Payment Method
18. Select the method you use most frequently to pay the supplier’s invoices
19. Click on Payment.
Oracle Payables 7

1.2.3 How to Enter Withholding Tax Details

1. Select Withholding Tax from the pull down menu (Do this only for suppliers who pay Withholding Tax)

2. Check Allow Withholding if you want to enable withholding for a supplier or supplier site, at the supplier
site definition ‘Withholding Tax’ Tab select the withholding tax from the drop down list.
Oracle Payables 8

1.2.5 How to Enter Supplier Site information

(N) Supplier > Entry > Site

(From above)

1. Select Sites by click on button

2. Enter a unique Supplier site name

3. Click in the field with the caption – Country
4. Press Ctrl+L to get a list of values ( or Click on Edit in the Menu Bar, then Click on List of Values)
5. Move down the list and Click on the Country of your choice, then Click OK
6. Click in the field with the caption- Address
7. Enter the full address of the site named above
8. Click in the field with the caption- City and enter the name of the city where this site is located
9. Follow the same procedure above for State, Postal Code, Province, County, Language and Telephone and
Fax contacts.
10. Click on Site Uses and Telephone
11. Select Contacts from next block of screen
12. Enter the Last and First names and the other details of the contact persons at this site
13. Click on Action in the Menu Bar, move down the drop down menu and Click Save to save your work
14. Click on Actions in the Menu Bar and Click Close Window to close the Supplier Sites Window
15. Click on Actions in the Menu Bar and Click Close Window to close the Suppliers Window
16. In the Supplier Summary Window , Click New to Enter another Supplier
17. Follow the same Procedure to enter a new supplier
Oracle Payables 9

1.2.6 How to Enter Employees as Suppliers

(N) Supplier > Entry

- To enter employees as suppliers, follow the procedure above for Entering Supplier and Supplier Site
information, but in this case, the Supplier is the Employee and the Site is the Branch/Division/Department
in which that Employee works.

1.2.7 How to Change Supplier Information

(N) Supplier > Entry

1 Go to Supplier
2 Press the Enter key ( or Click on Open or Double click on the left mouse)
3 Go to Entry
4 Press the Enter key ( or Click on Open or Double click on the left mouse)
5 In the Suppliers Summary or the Suppliers detail window, Click on Query in the Menu Bar

6 Click on Enter in the drop down menu (or Press F11).

7. Click in the field of Supplier Name
8. Enter the first few letters of the supplier you want to change.
9. Enter information in one or more other fields.
10. Click on Query in the Menu Bar , then Click Run (or Press Ctrl+F11)
11. The Supplier name and corresponding information will appear as a record.
12. Click Open
13. Change or Add any information in the corresponding fields following the procedure above for entering
Supplier information
14. After doing this, Click on Action in the Menu Bar, move down the drop down menu and Click on Save to
save your work
15. Click on Action in the Menu Bar, move down the drop down menu and Click on Close Window to close
the Suppliers Window
Oracle Payables 10

1.2.8 How to Add or change Supplier Sites

(N) Supplier > Entry > Sites

To Add supplier sites, follow the procedure above changing supplier information, then Click on
Classification and go to Sites
- Use Down Arrow Key to add a new supplier site, then follow the procedure above for entering supplier
site information
- After doing this, Click on Action in the Menu Bar, move down the drop down menu and Click on Save to
save your work
- Click on Action in the Menu Bar, move down the drop down menu and Click on Close Window to close
the Supplier Sites Window

To change supplier site,

- Click on Open, then follow the procedure above for entering supplier site information to make any
changes to the site
- After doing this, Click on Action in the Menu Bar, move down the drop down menu and Click on Save to
save your work
- Click on Action in the Menu Bar, move down the drop down menu and Click on Close Window to close
the Supplier Sites Window
Oracle Payables 11

Chapter 2 Invoices
Oracle Payables 12

2.1 Entering Invoices

This includes the following;

- Standard Invoice
- Match Invoice to Purchase Order
- Credit/Debit Memos
- Prepayment Invoice
- Finding Invoices
- Releasing Holds
- Recurring Invoices
Oracle Payables 13

2.2 Standard Invoice

2.2.1 How to Enter Invoice Header information

(N) Invoices > Entry > Invoices

1. Go to Invoices

2. Press the Enter key ( or Click on Open or Double click on the left mouse)
3. Go to Entry
4. Press the Enter key ( or Click on Open or Double click on the left mouse)
5. Go to Invoices
Oracle Payables 14

6. Press the Enter key ( or Click on Open or Double click on the left mouse)

7. In the invoice Type field, Press Ctrl+L to get a list of invoice types (or Click on Edit in the Menu Bar,
then Click on List of Values)
8. In the Invoices window select Standard from the drop-down list.
9. In the field of Supplier, Press Ctrl+L to get a list of suppliers (or Click on Edit in the Menu Bar, then
Click on List of Values)
10. In the Suppliers list window, select the Supplier from the drop-down list. You can do this by entering the
first few letters of the Supplier name followed by the % mark [Press Shift+5/%], then Click Find
11. In the Invoice Date field, enter the Invoice Date.
Oracle Payables 15

12. In the Invoice Number field, enter the Invoice Number from the supplier’s invoice. Oracle Payables will
not accept duplicate invoice numbers for the same supplier.
13. Enter the total invoice amount in the Invoice Amount field.

14. Incase of Invoices with Predefined Distribution Sets, Go to the Distribution Set field [Use the Bar to
move right by holding it down with the mouse], Press Ctrl+L to get a list of Distribution Sets (or Click
on Edit in the Menu Bar, then Click on List of values), select the Distribution Set and Press OK

15. Enter the details of Bank Accounts . Click on the Scheduled Payments Tab. The screen looks as follows
Oracle Payables 16

16. Enter details of the Bank Account Name, Press Ctrl+L to get a list of Bank Accounts Associated with the
Supplier and the invoice currency, select the required Bank Account from the List.
17. The Bank Account Number is automatically populated when you select the Bank Account Number.

2.2.2 How to Enter Invoice Distributions and Additional information

(N) Invoices > Entry> Invoices (B) Distributions

1. In the Invoice window, Click on Distributions

2. In the Distributions window, Enter Number of Distribution [ incase of invoices with predefined
Distribution Sets, if necessary, you should only change the Distribution Amounts in the Amounts field]
Oracle Payables 17

3. Click in the Distribution Type field, Press Ctrl+L to get a list of Distribution types (or Click on Edit in
the Menu Bar, then Click on List of values)
4. Select Item from the drop-down list
5. Enter the Distribution Amount in the Amount field
6. Enter the Tax Name if Type is Tax – Press Ctrl+L
7. In the ACCOUNT field, Press Ctrl+L to get a list of Accounts (or Click on Edit in the Menu Bar, then
Click on List of values) and do as above (10)
8. Select the Account to be Debited [If you enter an asset type Account, Payables automatically enables the
Track as Asset check box and you cannot change it] and Click OK
9. Afterwards Click OK
10. And so forth
Oracle Payables 18

2.2.4 How to Enter Invoice Header information – Foreign Currency Invoices

(N) Invoices > Entry > Invoices

1. Go to Invoices

2. Press the Enter key ( or Click on Open or Double click on the left mouse)
3. Go to Entry
4. Press the Enter key ( or Click on Open or Double click on the left mouse)
5. Go to Invoices
Oracle Payables 19

6. Press the Enter key ( or Click on Open or Double click on the left mouse)

7. In the invoice Type field, Press Ctrl+L to get a list of invoice types (or Click on Edit in the Menu Bar,
then Click on List of Values)
8. In the Invoices window select Standard from the drop-down list.
9. In the field of Supplier, Press Ctrl+L to get a list of suppliers (or Click on Edit in the Menu Bar, then
Click on List of Values)
10. In the Suppliers list window, select the Supplier from the drop-down list. You can do this by entering the
first few letters of the Supplier name followed by the % mark [Press Shift+5/%], then Click Find
11. In the Invoice Date field, enter the Invoice Date.
Oracle Payables 20

12. In the Invoice Number field, enter the Invoice Number from the supplier’s invoice. Oracle Payables will
not accept duplicate invoice numbers for the same supplier.
13. In the Invoice Currency field, Press Ctrl+L or click on the button to the right of the field to get a list of
Currency Codes defined earlier. Select the Currency associated with the Invoice.
14. Move the slider bar to move to Rate Type field, the screen looks as follows

Select the rate type from the drop down list by clicking on the button to the right of the field. If the
rate is predefined use ‘Corporate’ else use ‘User’. If you selected ‘User’ the exchange rate has to be
entered by you.
15. Enter the Exchange Rate for the specified date. You need to enter the rate only if you had selected ‘User’
in the Exchange rate type filed.
The steps involved in entering invoice distribution is same as discussed earlier, in the Invoice Distributions
sections.
Oracle Payables 21

2.2.5 How to Validate an Invoice:

1. In the Invoices window, Click on Actions...1

2. Check Validate and Click OK to validate the invoice

2.2.6 How to Create Accounting for an Invoice:

3 In the Invoices window, Click on Actions...1
4 Check Create Accounting and Click OK to validate the invoice
Oracle Payables 22

2.3 Prepayment Invoice

2.3.1 How to Enter a Prepayment Invoice

1. In the Invoices window, Press Ctrl+L to get a list of invoice Types, (or Click on Edit in the Menu Bar,
then Click on List of values), Select Prepayment from the list.
2. Follow the other steps in How to Enter Invoice Header information

3. Then follow the steps in How to Enter Invoice Distributions and Additional information to enter Invoice
distributions and any additional information.
4. Approve the invoice and save your work.
Oracle Payables 23

2.3.2 How to Apply a Prepayment to an Invoice

Note:
It is very important to remember that before a prepayment can be applied to an invoice, the amount of
the prepayment invoice should be paid in full.
When the prepayment invoice is approved the Status changes from Never Approved to Unpaid.
When the payment is made on that Prepayment Invoice it changes to Available.
Only Prepayment Invoices with a Status of Available can be applied to Approved Invoices.

Invoices to which you want to apply the prepayment should be approved, without active holds, and with an
amount remaining for payment.

1.
1. In the Invoices window, enter the invoice to which you want to apply the prepayment. See: Entering
Invoices.
2. Click Actions…1, and Select Apply/Unapply Prepayments
3. Click OK, the Prepayment will be applied to the invoice.
4. Save you work. See: How to Enter Invoices
Oracle Payables 24

2.3.3 How to Unapply Prepayments from Invoices

If you mistakenly apply a prepayment to an invoice, you can unapply it. A reversal distribution and a new
scheduled payment for the prepayment in the amount that you unapply will be created.

1. In the Invoices window, Find the invoice from which you want to unapply a prepayment. See: Finding
Invoices.
2. Click Actions…1,
3. Click the Apply/Unapply to unapply the prepayment amount to the invoice.
4. Click on the checkbox beside the line containing the Prepayment Invoice. The total value un retired on the
selected invoice is displayed.
5. Save your work.
Oracle Payables 25

2.4 Finding Invoices

2.4.1 How to find invoices using the Find Invoices Window

(N) Invoices > Inquiry > Invoices (M)Query > Find

1. Open the Invoices window. See: How to Enter Invoice Header information
2. Click on Query in the Menu Bar, then move down the drop-down menu and Click Find. The following
window opens:

3. Click in the Name field, Press Ctrl+L to get a list of Suppliers (or Click on Edit in the Menu Bar, then
Click on List of values), select the supplier and Click Find

4. The Invoices window displays all invoices that fit your criteria
5. To be more precise, you can use multiple search criteria by entering information in one or more fields in
the Find Invoices Window.
Oracle Payables 26

2.5 Releasing Holds

2.5.1 How to Release Holds

Release holds from invoices to allow payment and posting of the invoices. You can view the holds on an
invoice in either the Invoice Overview window or the Invoice Holds window. You can see the number of
invoice holds on an invoice in the Holds display only region of the Invoices window.
Identify invoices on hold with the Invoices on Hold report and the Matching Hold Detail report.
These reports aid you in releasing holds from invoices.

1. In the Invoices window find the invoice from which you want to release holds. See: Finding Invoices.

2. Click Holds button to get to the Invoice Holds window.

3. Click Release..1,
Oracle Payables 27

3. Press Ctrl+L to get a list of Invoice Release names, (or Click on Edit in the Menu Bar, then Click on List
of Values), Select a Release Name.
4. Click OK.
5. Save your work.
Oracle Payables 28

2.6 Matching Invoices to Purchase Orders / GRNs

2.7.1 How to Match an Invoice to a Purchase Order / GRN

It is important to ensure that we pay the supplier for the goods / services supplied. If there was a Purchase
Order placed on a Supplier for supply of 100 reams of paper and if he has supplied only 50 reams, it is
important to ensure that we don’t pay him for more than the price of 50 reams. This can be achieved by PO
matching. This is a process where an invoice is matched to a Purchase Order Line and the system creates
Distribution lines for the invoice based on the Purchase Order lines that has been matched. Information
relating to the quantity ordered and the actual quantity received is passed from Oracle Purchasing to Oracle
Payables. We shall discuss the process of matching in this section.

(N) Invoices > Entry > Invoices

18. Go to Invoices

19. Press the Enter key ( or Click on Open or Double click on the left mouse)
20. Go to Entry
21. Press the Enter key ( or Click on Open or Double click on the left mouse)
22. Go to Invoices
Oracle Payables 29

23. Press the Enter key ( or Click on Open or Double click on the left mouse)

24. In the invoice Type field, Press Ctrl+L to get a list of invoice types (or Click on Edit in the Menu Bar,
then Click on List of Values)
25. In the Invoices window select Standard from the drop-down list.
26. In the field of Supplier, Press Ctrl+L to get a list of suppliers (or Click on Edit in the Menu Bar, then
Click on List of Values)
27. In the Suppliers list window, select the Supplier from the drop-down list. You can do this by entering the
first few letters of the Supplier name followed by the % mark , then Click Find
28. In the Invoice Date field, enter the Invoice Date.
29. In the Invoice Number field, enter the Invoice Number from the supplier’s invoice. Oracle Payables will
not accept duplicate invoice numbers for the same supplier.
Oracle Payables 30

30. Incase of Invoices with Predefined Distribution Sets, Go to the Distribution Set field [Use the Bar to
move right by holding it down with the mouse], Press Ctrl+L to get a list of Distribution Sets (or Click
on Edit in the Menu Bar, then Click on List of values), select the Distribution Set and Press OK

Having entered all the relevant information at the header level the screen looks as follows:

Click on the Match Button. The find Purchase Orders for Matching window opens as shown below:

Enter the following information:

Oracle Payables 31

 Purchase Order Num When the user clicks on the button to the right of this field the Purchase
Orders Screen opens as shown below:

Select the Purchase Order as specified in the supplier invoice and click on the OK button.
 Purchase Order Line When the user clicks on the button to the right of this field the Purchase
Order Lines Screen opens. Select the required Purchase Order line and click
on the OK button.
 Having entered the PO number and the Line number, click on the Find Button, the following screen
opens:

 Oracle Payables shows you that quantity ordered was 10 and the quantity received is 8. As per the
invoice the supplier has billed you for 4 units.
 Click on the Match checkbox. The qty invoiced field gets highlighted as shown below:
Oracle Payables 32

 Qty Invoiced Enter the quantity as specified in the invoice.

 Match Having entered the quantity invoiced, click on the match button. The user is
navigated to the Invoices screen.

 Distributions When the user clicks on the distributions button he is navigated to the Distributions
screen as shown below:

As you can see the Distributions to the Invoice have automatically been created , they have been
copied from the Purchase Order.
 Close the Distributions and Complete the process of Validating the Invoice and Creating Invoice as
described in the User Manual.

This is how an Invoice is matched to a Purchase Order and a GRN.

Oracle Payables 33
Oracle Payables 34

2.7 Canceling Invoices

2.7.1 How to Cancel an Invoice

You can cancel only unpaid invoices. You can cancel any unapproved invoice or an approved invoice that
does not have any effective payments or posting holds. If an invoice has a hold that prevents posting, you
must release the hold before you cancel the invoice.

1. In the Invoices window, select the invoices you want to cancel. See: Finding Invoices
2. Click Actions
3. In the invoices Action window, check Cancel Invoices, and Click OK to have Oracle cancel the invoice

4. Save your work

Oracle Payables 35

Chapter 3 Invoice Payments

After completing this unit, you should be able to do the following:

- Pay an Invoice in Full

- Enter manual payments
- Create Payment Batch
Oracle Payables 36

3.1 Pay an Invoice in Full

Prerequisites
- The invoice you want to pay must be approved, un cancelled, without holds, and must have the same
currency as the payment.
- The bank account must have at least one payment document that uses the recorded or combined
disbursement type.

3.1.1 How to Initiate a Payment to pay an invoice in full

1 Enter the Invoice Information and Invoice Distributions as described in the Invoices section.
2. Validate the Invoice as described in the Validate Invoices section.
3. Create Accounting for the invoice as described in the Create Accounting section.
5. In the Invoices window Click Actions, the following window opens

6. In the invoices Action window, check Pay in Full, and Click OK , the pay in full window opens as shown
below
Oracle Payables 37

7. In the bank account field, Press Ctrl+L to get a list of bank accounts (or click on Edit in the menu bar,
then click on List of Values), select the bank account you use for the payment.
8. In the Document Name field, Press Ctrl+L to get a list of Payments as shown below (or Click on Edit in
the Menu Bar, then Click on List of values), Select a payment document and Click OK
9. Enter the Payment Document Number (if it has been set to automatic, you don’t need to do this)
10. Enter the Payment Date in the Payment Date field.
11. Enter the Payment Amount in the Payment Amount field
12. Move the Bar to the right, in the Supplier Name Field, you find that the Supplier name is already
populated by the details from the invoice.
13. Move the Bar to the right, in the Remit To Account Field, Press Ctrl+L to get a list of Remit to Account
(or Click on Edit in the Menu Bar, then Click on List of values), the Remit to accounts window opens,
select the required remit to account and Click OK
Oracle Payables 38

3.1.2 How to Initiate a Payment to pay an invoice in full (in Foreign Currency)
14. Perform all the steps described above from 1 to 13.
15. Move the slider bar to the Rate Type field. Select ‘Corporate’ if the conversion rate from the Transacting
currency to NGN has already been defined or select ‘User’.
16. In the Exchange Rate field, enter the exchange rate if you had selected ‘User’ in the previous field.

After selecting the Remit to Account , initiate the payment by clicking on the save icon on the toolbar or
pressing ‘Ctrl+S’ on the keyboard.
Oracle Payables 39

3.2 Manual Payments

Prerequisites
- Create the payment outside Payables
- The invoice you want to pay must be approved, un cancelled, without holds, and must have the same
currency as the payment.
- The bank account must have at least one payment document that uses the recorded or combined
disbursement type.

3.2.1 How to Initiate a Manual Payment

1 Go to Payments, Press the Enter key ( or Click on Open or Double click on the left mouse)
2 Move down to Entry, Press the Enter key ( or Click on Open or Double click on the left mouse)
3 Move down to Payments, Press the Enter key ( or Click on Open or Double click on the left mouse)

The following window opens :

Oracle Payables 40

17. In the Type field, Press Ctrl+L to get a list of payment types (or click on Edit in the menu bar, then click
on list of values), select Quick and Click OK
18. In the bank account field, Press Ctrl+L to get a list of bank accounts (or click on Edit in the menu bar,
then click on List of Values), select the bank account you use for the payment.
19. In the Document Name field, Press Ctrl+L to get a list of Payments as shown below (or Click on Edit in
the Menu Bar, then Click on List of values), Select a payment document and Click OK
20. Enter the Payment Document Number (if it has been set to automatic, you don’t need to do this)
21. Enter the Payment Date in the Payment Date field.
22. Enter the Payment Amount in the Payment Amount field
23. Move the Bar to the right, in the Supplier Name Field, Press Ctrl+L to get a list of Suppliers (or Click on
Edit in the Menu Bar, then Click on List of values), select the supplier and Click OK

24. Move the Bar to the right, in the Remit To Account Field, Press Ctrl+L to get a list of Remit to Account
(or Click on Edit in the Menu Bar, then Click on List of values), the following window opens, select the
required remit to account and Click OK

After selecting the Remit to Account when you click on the Ok button, the Payments screen looks as follows:
Oracle Payables 41

3.2.2 How to Select Invoices to Pay

1. From the Payments window, Click Enter/Adjust Invoices button to select approved invoices that are not
on hold.

2. In the Invoice Number field, Press Ctrl+L to get a list of invoices (or Click on Edit in the Menu Bar, then
Click on List of values), Select all the approved invoices to be paid using the cheque.

3. To record a manual payment, save your work at this point and you are done. Click Actions in the Menu
Bar and Select Save.
Oracle Payables 42

4. Click Actions on the Menu Bar, Select Close window

Oracle Payables 43

Chapter 4 Payables Inquiries

Oracle Payables 44

4.1 Supplier Inquiry

(N) Supplier > Entry

1. Go to Supplier Enquiry

2. Press the Enter key ( or Click on Open or Double click on the left mouse)

3. Select the Supplier for whom you would like to perform the enquiry. Navigate to the Supplier Name and
access the supplier list by clicking on the button to the right of the field or by pressing ‘Ctrl+L’ on the
keyboard. When the Supplier Name window opens, type ‘%’ on the find field (if you want to inquire a
Oracle Payables 45

supplier whose name starts with ‘S’ type ‘S%’ in the find field) and click on the Find Button. The
Suppliers Name window looks as follows:

4. If you had selected ‘A&A COMPUTER LIMITED’ from the list and clicked on the OK button, the Find
suppliers window looks as follows:

5. Click on the Find button, the Suppliers window looks as follows

6. Now you can make the necessary inquiries into the supplier definition. Please note that you cannot make
any changes from this screen.
Oracle Payables 46
Oracle Payables 47

4.2 Invoice Inquiry

(N) Invoices > Inquiry > Invoices

1. Go to Invoice Enquiry

2. Press the Enter key ( or Click on Open or Double click on the left mouse)
Oracle Payables 48

3. Select the Supplier for whom you would like to perform the enquiry. Navigate to the Supplier Name and
access the supplier list by clicking on the button to the right of the field or by pressing ‘Ctrl+L’ on the
keyboard. When the Supplier Name window opens, type ‘%’ on the find field (if you want to inquire a
supplier whose name starts with ‘S’ type ‘S%’ in the find field) and click on the Find Button. The
Suppliers Name window looks as follows:

4. If you had selected ‘A&A COMPUTER LIMITED’ from the list and clicked on the OK button, the Find
Invoices window looks as follows:

5. Click on the Find button, the Invoices window looks as follows

Oracle Payables 49

6. Now you can make the necessary inquiries into the Invoices raised on the selected supplier. Please note
that you cannot make any changes from this screen.
7. Click on the Overview button to get a consolidated view of the selected invoice. If the user clicks on the
Overview button, the screen looks as follows:

8. In this way you can make enquiries of the supplier invoices.

Oracle Payables 50

4.3 Calculate Balance Owed

(N) Invoices > Inquiry > Invoices

1. Go to Invoice Enquiry

2. Press the Enter key ( or Click on Open or Double click on the left mouse)
Oracle Payables 51

3. Select the Supplier for whom you would like to perform the enquiry. Navigate to the Supplier Name and
access the supplier list by clicking on the button to the right of the field or by pressing ‘Ctrl+L’ on the
keyboard. When the Supplier Name window opens, type ‘%’ on the find field (if you want to inquire a
supplier whose name starts with ‘S’ type ‘S%’ in the find field) and click on the Find Button. The
Suppliers Name window looks as follows:

4. If you had selected ‘A&A COMPUTER LIMITED’ from the list and clicked on the OK button, the Find
Invoices window looks as follows:

5. Click on the ‘Calculate Balance Owed’ button, the ‘Calculate Balance Owed’ window opens as follows
Oracle Payables 52

6. Click on the Calculate Button and Oracle Payables calculates the balance owed to the supplier. The values
are populated in the Unpaid Amount field and other fields as shown below.

7. Click on the Invoices to inquire on the invoices which make up the unpaid amount.

In this way you can enquire on the amount owed to a supplier.

Oracle Payables 53

4.4 Payments Inquiry

(N) Payments > Inquiry > Payments

1. Go to Payments Enquiry

2. Press the Enter key ( or Click on Open or Double click on the left mouse)

3. Select the Supplier for whom you would like to perform the enquiry. Navigate to the Supplier Name and
access the supplier list by clicking on the button to the right of the field or by pressing ‘Ctrl+L’ on the
keyboard. When the Supplier Name window opens, type ‘%’ on the find field (if you want to inquire a
Oracle Payables 54

supplier whose name starts with ‘S’ type ‘S%’ in the find field) and click on the Find Button. The
Suppliers Name window looks as follows:

4. If you had selected ‘A&A COMPUTER LIMITED’ from the list and clicked on the OK button, the Find
suppliers window looks as follows:

5. Click on the ‘Find’ button, the ‘Payments’ window opens as follows

Oracle Payables 55

In this way you can inquire of Supplier payments.

Oracle Payables 56

Chapter 5 Maintaining Oracle Payables - Accessed from the

Super User Menu
Oracle Payables 57

5.1 Payables Transfer to General Ledger Program

Submit the Payables Transfer to General Ledger program to transfer invoice and payment accounting
information to the Payables general ledger interface table. You can then use your general ledger to create and
post journal entries.

5.1.1 Parameters

The parameters you enter determine how Payables transfers invoice and payment information to your primary
and, if you use Combined Basis Accounting, secondary set of books in your general ledger. You also specify
if you want to maintain audit information and, if you use General Ledger with Payables, you can specify your
journal entry creation method.

 Set of Books Name. The name of the set of books for which you want to transfer journal entry
information.
If you do not define a secondary set of books in the Payables Options window, Payables automatically
enters the name of your primary set of books and you cannot change the default.

 Batch Name. Enter a name for your journal entry batch so that you can easily identify it in your
general ledger. If you use General Ledger, Payables uses Journal Import to create a journal entry
batch for each set of books and accounting period.

 Post Through Date. Enter the date through which to transfer invoice and payment information.

The rest default to the setup options and you don’t need to change them.

5.1.2 How to run the Payables Transfer to General Ledger Program.

1. Go to Other
2. Press the Enter key ( or Click on Open or Double click on the left mouse)
3. At Requests, Press the Enter key ( or Click on Open or Double click on the left mouse)
Oracle Payables 58

4. Press the Enter key ( or Click on Open or Double click on the left mouse), the window below pops up.

5. Choose the type of request you want, and Click OK, the Submit Request window below pops up.
Oracle Payables 59

6. In the Request Name field, Press Ctrl+L to get a list of request names, (or Click Edit in the Menu Bar,
Select List of Values), Select Payables Transfer to General Ledger and Click OK
7. The Parameters window below pops up

8. Enter the Batch Name in the Batch Name field

9. Enter the Post Through Date (DD-MMM-YY) in the Post Through Date field
10. Click OK when finished. The user is navigated back to the following window:

11. Click the Submit Request Button . The user is navigated to the requests window as shown below:
Oracle Payables 60

12.
Oracle Payables 61

13. Click Refresh Data, do this a number of times till the Payables Transfer to General Ledger and the
Journal Import Processes show Completed Normal, as shown below :

14. Close the Window

This is how the Journal Entries relating to payables transactions are generated and Transferred to
Oracle General Ledger
Oracle Payables 62

5.2 Manage Accounts Payable Accounting Periods

You enter and account for transactions in open accounting periods. The period statuses available in Payables
are Never Opened, Future, Open, Closed, and Permanently Closed. When you first define a period, Payables
assigns a status of Never Opened to the period. Payables does not allow transaction processing in a period that
has never been opened. After you change the status to Future or Open you cannot change it back to Never
Opened.
Your accounts payable periods are separate from your general ledger periods .

5.2.1 Control Payables Periods

 PATH - Accounting -> Control Payables Periods

When the user navigates to the menu item and clicks open, the flowing screen opens

Click on the Status Field and press the ‘F11’ key on the keyboard. The Control Payables Periods window
looks as follows

 Period Name Enter the period name and press ‘Ctrl+F11’ on the keyboard. If you had wanted to
query all the periods of 2006 you can type ‘%2006’ in the period name field, in that
case the screen would have looked as follows
Oracle Payables 63

 Period Status When the user clicks on the button to the right of the field or clicks on ‘Ctrl+L’ on the
keyboard, the Period statuses list opens. If you want to open a period that was never
opened, select ‘Open’ from the list and click on the OK button.

To close a open period, select ‘Closed’ from the list.

Oracle Payables 64

After making the necessary changes save the record by clicking on the save icon on the menu or by
pressing ‘Ctrl+S’ on the key board.

In this way you can manage Payables periods.

Oracle Payables 65

5.3 Define Banks

Use the Banks window to enter bank information for bank branches with which you do business. Each
bank branch can have multiple bank accounts, and each bank account you define can be associated with
Payables payment documents.

If you use Payables, use the Banks window to define your internal bank accounts from which you
disburse payments. For each internal bank account, you can define payment documents for checks,
electronic payments (EFT and EDI), wire transfers, and other payment methods. You can also define
transmission details that are used by the Automatic Bank Transmission feature.

You can also enter supplier bank information for your suppliers to which you send electronic payments. If
you use Payables only, you do not need to define clearing houses.

5.3.1 Define Banks

 PATH - Setup -> Payments -> Banks

When the user navigates to the menu item and clicks open, the flowing screen opens

 Bank Name Enter the Bank Name

 Branch name Enter the Branch Name

 Address Enter the Address details of the Bank and Branch, if required.

After entering all the information the Banks window looks as follows:
Oracle Payables 66

 Bank Accounts Click on this button, the Bank Accounts window opens as shown below

 Name Enter the name of the Bank Account being defined.

 Account Use If the Bank Account is for disbursing payments select ‘Internal’ from the list.

To define a supplier’s Bank Account to whom you make payment as Electronic

Transfer using SWIFT or TISS , select ‘Supplier’ from the list.

In order to define Bank Accounts to be used for payment to staff, Select ‘Supplier’
from the list.

If you had selected ‘Internal’ from the Account use list, the Bank Accounts screen would look as follows
Oracle Payables 67

 Number Enter the Bank Account Number, In case of BOT employees, enter the CBS Account
of the Employee.

 Currency Select ‘NGN’ from the list of currencies.

 CASH Account Enter the Oracle GL Cash account for the Bank Account being defined.

 Cash Clearing Enter the Oracle GL Cash account for the Bank Account being defined.

Save the Information entered by clicking on the save icon on the menu or pressing ‘Ctrl+S’ on the
keyboard. The Bank Accounts screen looks as follows

 Click on the ‘Payables Documents’ Button to associate payables documents with the bank account
being defined. The Screen looks as follows
Oracle Payables 68

 Document Name Enter the Payment Document Name

 Disbursement Type Select ‘Combined’ from the drop down list

 Payment Format When the user clicks on the button to the right of the field or clicks on ‘Ctrl+L’ on the
keyboard, the Format Names list opens.

 Type ‘BOT%’ in the find field and click on the Find button, the Format Names window appears as
follows:
Oracle Payables 69

 Select the required payment format and click on the OK button. The Screen looks as follows

Click on the Additional Information Tab, the screen looks as follows

 Last Used Enter the Last used payment document used for this document type
Oracle Payables 70

 Last Available Enter the last available payment document for this document type.

 The screen looks as follows

 Save the details entered by clicking on the Save icon on the menu bar or pressing ‘Ctrl+S’ on the
keyboard.

In this way you can define a Bank in Oracle Payables.

Oracle Payables 71

5.4 Define Tax

5.4.1 Define Withholding Taxes

 PATH - Setup -> Tax -> Codes

When the user navigates to the menu item and clicks open, the flowing screen opens

 Tax Code Enter the name for the Tax Code

 Tax Type Click on the button to the right of the field and select Withholding Tax from the drop
down list.

 GL Account When the user navigates to this field and clicks on the button to the right of the field,
the Accounting Flexfield window opens. Enter the Withholding Tax account.

After entering all the above details the screen looks as follows
Oracle Payables 72

Click on the Withholding Tax Details button, the following screen opens

 Tax Authority Select Tanzania Revenue Authority from the drop down list.

 Rate Structure Select Flat rate

Tax Rates Region

 Type Select Standard

 Rate Enter the withholding tax rate.

After entering all the above information the screen looks as follows

After entering all the information save the record by clicking on the save icon on the toolbar or
pressing ‘Ctrl+S’ on the keyboard.
Oracle Payables 73
Oracle Payables 74

Chapter 6 Reports
This will include;
- Submit Report
- View Report
- Print Report

6.1 Useful Reports

The Following reports would need to be Submitted, Viewed or printed.

 Accounts Payable Trial Balance Report

Use the Accounts Payable Trial Balance Report to verify that total accounts payable liabilities in Payables
equal those in the general ledger. Before closing a period, you can compare the cumulative total liability
provided by this report with the total liability provided by your general ledger to reconcile these balances.

Since this report presents your outstanding accounts payable liability information, it is only valid for an
accrual set of books.

Selected Report Parameters

As of Date. Payables lists all unpaid or partially paid invoices with invoice dates on or before the
As of Date you enter.

 Invoice Register

After the Data Entry operator has entered all the Invoices and before they are approved, he can print this
report listing details of the Invoices entered by him / her. This report can be verified by the Superior with
the supporting documents and all the checked invoices can then be approved. The parameters are :

Entered By Select the Name of the Data Entry Operator from the List. Click on
the Filed and Press Ctrl+L, a drop down list of all the employees is
displayed. Select the appropriate name and click on the OK Button.

Accounting Period Click on the field and Press Ctrl + L, a drop down list of all
accounting periods appears, select the appropriate period of the
Invoices and click on the OK button.

Unapproved Invoices Only Type Yes

Leave the Rest of the Parameters as they are and click on the OK Button.
Oracle Payables 75

 Payables Accounting Process

Use this program to Validate all the Invoices entered by a particular Data Entry Operator after the
invoices have been verified for correctness using the above program i.e. the Invoice Register. The
Parameters are :

Entered By Select the Name of the Data Entry Operator from the List. Click on the Filed and
Press Ctrl+L, a drop down list of all the employees is displayed. Select the
appropriate name and click on the OK Button

Leave the Rest of the Parameters as they are and click on the OK Button.
Oracle Payables 76

 Payment Register
Use the Payment Register to review payments created for each bank account you use during a time period
you specify.

The report lists each payment, as well as the total payment amount and cleared amount of all payments. It
sorts and subtotals by bank, bank branch, and bank account. The report also displays the payment
document and disbursement type for each set of payments, and provides subtotals for each payment
document.

Selected Report Parameters

Print Supplier Address

Yes. Print the supplier address to which you sent a payment.
No. Do not print the supplier address.

Payment Type. Enter the payment type for which you want to submit the Payment Register.
* Leave the field blank if you want to submit the report for all payment types.
* Batch. Payments created in a payment batch.
* Manual. Manual payments you record in the Payments window.
* Quick. Payments created individually in the Payments window.
Oracle Payables 77

 Invoices on Hold Report

Oracle Payables 78

 Prepayment Status Report

Use the Prepayments Status Report to review the unapplied prepayments and unpaid or partially paid
invoices for a supplier. You can compare the invoices and prepayments for a supplier to determine if
there are outstanding prepayments that you can apply against unpaid invoices.

The parameters are;

Include Prepayments Enter a value to determine if Payables includes prepayments in the report.

Yes. Submit this report for prepayments. Payables includes all unapplied or partially applied
prepayments for the supplier(s) you specify.
No. Do not include prepayments in this report.

Include Credit/Debit Memos Enter a value to determine if Payables includes credit and debit memos
in the report.
Yes. Submit this report for credit/debit memos. Payables includes all unpaid or partially paid
credit and debit memos for the supplier(s) you specify.
No. Do not include credit/debit memos in this report.

Include Invoices Enter a value to determine if Payables includes standard invoices in the report.
Yes. Include all unpaid or partially paid invoices for the supplier(s) you specify.
No. Do not include invoices in this report.

Invoice Start/End Date. Payables prints all the invoices and/or prepayments that have an invoice date
on or after the Invoice Start Date you specify.

Description or Approval/Holds. Choose which you want to display:

Description. The report displays the description of the prepayment, credit memo,
or invoice.
Approval/Holds The report displays the approval status and number of holds of the
prepayment, credit memo, or invoice.
Oracle Payables 79

 Withholding Tax Report. There are 3 reports for withholding tax,

 By invoices
 By Payment
 By Supplier
 By Tax Authority,
The parameters are;
Oracle Payables 80

6.2 How to Submit a Report

1. Submit the Request. See: How to run the Payables Transfer to General Ledger Program
2. Enter the parameters for each individual report as above.

6.3 How to View a Report

1. After the report has been submitted ensure that the Report status shows Completed Normal in the
Requests Window as shown below :
Oracle Payables 81

2. Select the Process or the Report for which you would like to view the output and click on the View
Output Button. The window appears as below:

3. After viewing the output close the window and you are navigated back to the Requests Window.

6.4 How to Print a Report

1. In the Requests window select the report you would like to Print and Click Special on the Menu Bar and
Select Reprint .
2. Enter the Number of Copies, the printer to which you will print, and the Print Style
3. Click OK to start printing.