Why Accounting Method as 4th C in R12

In 11i the sub ledger accounting method (cash/accrual) was used to be defined at
the sub ledger setup (AP/AR). However in R12 things have changed. You define the
sub ledger accounting method at the ledger level. All sub ledgers tied to that ledger
will use that particular accounting convention. So there is a difference in 11i and
R12. The accounting "Convention" is now married to the ledger and hence the term
4Cs.
If you are not planning to use sub ledgers then you do not have to choose a value in
the accounting method field. You can leave it blank. Your GL functionality will remain
unaffected. However you will have to specify an accounting method at the ledger
setup, before you could use a subledger.
R12 Financials Overview and new features at a glance (PART 1)

Why R12:
Release 12 is defined as The Global Business Release. Global is not just
a geographic perspective, but also a comprehensive perspective; release
12 functionality spans across both industries and business functions.
Flexible, centralized, global accounting structure
300+ enhancements to best practice business processes
Comprehensive governance, risk and compliance platform
Truly integrated performance management
Real-time profitability analysis
Unified financial and operational analytic applications
Integration with core industry applications
Self-service report formats and publication Superior ownership experience

New architecture and benefits:

The major components of the new architecture include:
Multi-Org Access Control
Ledger and Ledger Sets
Subledger Accounting
Tax Engine
Intercompany
Bank Model
Benefits of the new architecture include:
Maintain 1 Ledger with 1 OU for each Company (LE)
-Get privacy for each companys data
-Manage each companys national and local compliance
Combine many companies ledgers in a set
-Share GL services and workload
-Get combined data
Use MOAC to enable access to many OUs
-Process in and report across many Companies Operating Units

MOAC: Multi-Org Access Control:

MOAC provides role based access to Operating Units, and allows you to perform
multiple tasks across operating units without changing responsibilities.
Subledger Accounting:
Subledger accounting provides centralized rules and a common repository, and
global control of your accounts. Features include:
Accounting Rules
-SarBox & 8th Dir.
-User Editable
Subledger Daybooks (Journals)
Subledger Balancing
Reports, inquiries, open items, et cetera
Multiple Representations
Common Posting to GL Ledgers
Real time or Periodic
Benefits of subledger accounting are:
Faster, Easier Reconciliation
Corporate Rules = Accounting Standardization
Local Rules = Improved Local Compliance
Automate Apples to Apples Adjustments
Improved Audit- ability
Improved Internal Control
Ledger:
One Repository of Financial Truth
Implements the 4 Cs:
Chart of Accounts
Currency
Calendar
Accounting Convention
Example:
The balance on Creditors (COA) is 4.2M Eur (Currency) on March 31, 2006
(Calendar) according to IAS/IFRS definitions (Accounting Convention)

Ledger Sets:
Ledger sets provide global information at a glance. Ledger sets share a chart of
accounts and a calendar. The key benefits to many Ledgers in one set are:
Decision-driving business information always available
Simpler processing and General Ledger management
Data and definitions that can be shared and secured
Ledger Architecture:
Typical Ledger Sets:
All IAS/IFRS or US GAAP ledgers
26 Subs in 1 country
35 countries in 1 region
Legal Organization:

Legal Entities (Les) such as Parent companies, own or control subsidiaries. There are
no group entities
LEs pay the taxes and therefore need tax registrations
Trade between LEs needs intercompany
LEs own the money and bank accounts
LEs file the accounts and take care of accounting
LEs comply with whatever needs compliance: legal in LE
Enhanced Legal Support:
Did not replace GRE/LE - employer
Added TCA parties for the Authorities
Added a Legal Entity Configurator
Introduced the following new terms:
-Jurisdiction: A legislative category and territory, has legal rules
-Legal Authority: Legal body who enforces legislation, collects fees / taxes, etc
-Legal Function: Functions that companies are required to perform (e.g. produce
yearly report, pay taxes, etc.)
-Legal Associations: Mapping companies to Ledgers, BSVs, OUs and other system
entities
Examples of using Legal Entities:
Accounting Setup Manager: Assign books, bookkeeping rules and currency
management to your registered companies
EBusiness Tax: Have your registered companies calculate, file, and pay the
transaction taxes they owe
Intercompany: Do business between and across your registered companies with
full legal documentation
Bank Model: Have your registered companies use their money to pay their bills,
etc.

Difference between Oracle 11i and R12 Can anyone of you give me some
points on what are the major differences between Oracle 11i and R12 on
the below modules

1. iProcurement
2. Purchasing
3. iStores
1) Oracle Purchasing Release 12.0 speeds up daily purchasing tasks with an
enhanced Professional Buyers Work Center. Based on the latest web-based
user interface models, the Work Center is a central Launch Pad from which
buyers can efficiently perform their daily tasks:

View and Act upon Requisition Demand

Create and Manage Orders and Agreements

Run Negotiation Events including Auctions and RFxs (requires Oracle
Sourcing)
Manage Supplier Information

2) In Release 12.0, Oracle Purchasing will leverage the new Multi-Org Access
Control capabilities to support more streamlined operation of Shared
Procurement Service Centers. Without changing Responsibility, and without
closing windows, buyers will now be able to view consolidated requisition
demand spanning multiple operating units. Using a single Responsibility,
they will be able to manage demand (i.e. requisitions), conduct sourcing
events, enter into agreements and issue purchase orders on behalf of any of
the operating units that they serve. The operating units that they can
transact on behalf of will be controlled by the security profile associated with
their responsibilities.
3) In Release 11i10, generation of purchasing documents in Adobe PDF
format required organizations to create layout templates in the form of XSLFO style sheets. With Release 12.0, organizations can also use RTF or PDF
layout templates which require little training to configure and maintain.
4) Oracle Purchasing supports various types of file attachments (MS Word,
Excel, PDF etc.) that can be appended to purchasing documents in addition
to long and short text attachments. In previous releases, only text
attachments were communicated to suppliers. With Release 12.0, buyers can
communicate all necessary attachments to suppliers, including file
attachments via email.
5) Release 12.0 allows finer control of how blanket agreements are enabled
for automatic document sourcing. Buyers can now choose to enable them
only in specific inventory organizations. Thus, buyers can negotiate a blanket
agreement to fulfill requisition demand for a subset of inventory
organizations and enable the agreement for autosourcing only in those
inventory organizations.