Defining Subledger accounting

When we record a transaction, Oracle Subledger Accounting Method identifies the associated Journal Line Types, Account Derivation Rules, and Journal Entry Descriptions to generate accounting events based on the Event Class Type.

At the end of the period, we run the Create Accounting program to generate Subledger journals in the Subledgers. The accounting transactions are transferred by journal entries from the Subledger to the appropriate ledgers in General Ledger.

In this recipe, we will look at how to define an accounting entry for a Payable transaction. We will demonstrate how any accounting distribution entered for the Miscellaneous expense type in Payables can be changed in Subledger Accounting Method to a special account distribution of 01-CEO-7490-0000-00014 in General Ledger.

The core steps are as follows:

• Create a Journal Type called Special Expense.

• Setup the Journal Lines Definition for the Special Expense.

• Create an Account Derivation Rule for the...