General Ledger

Below is the multi org structure in oracle applications.

                                         Business Group
                                         Legal Entity
                                         Ledger
                                         Operating Units
                                         Inventory Organizations

Business Group is the main entity of the organization under which all employees are managed, payroll is generated, it is head office of any company.

Legal Entity - Is the office under which an organization report to government. A legal entity should be associated with only one ledger, and multiple legal entities can be associated with one ledger.  But one legal entity should not be associated with multiple ledgers. So you can have multiple companies under one ledger.

Ledger : A ledger is useful to capture financial transactions in an organization which can be converted into financial statements. In order to capture any financial transaction in a ledger, we need basic 4 elements, these are easily remembered with 4Cs, Chart of Accounts, Currency, Calendar, and Convention of SLA

Chart of Accounts: This holds structure of accounting, for example Company, Department, Account, Sub-Account, Future 1, Future 2.

Currency : In which currency( USD, INR, CAD..) the transaction is happened.

Calendar : In order to capture the date of transaction, it is required to have calendar.

SLAC - Sub-Ledger Accounting Convention

There are different currencies that can be used for different purposes for transactions and reporting.
Below are few important currencies that are used for this purpose.
          Transnational Currency - An payment invoice currency that is raised for a supplier.
          Entered Currency - Journal entry currency that can be different than Transnational currency.
          Accounting Currency - A currency that is associated with ledger used for accounting.
          Secondary Ledger Currency - A secondary ledger associated with primary ledger used for reporting financial statements in an organization.
          Consolidated Ledger Currency -  A Primary ledger  used for reporting financial status to stock exchange or outer world.

Flex Fields Qualifier:

Qualifier assignment is mandatory for Company and Account  segments in Accounting Flex Fields, all other are non-mandatory.

Exchange Rate Types:

     Spot

     Corporate

     Period

Sub-Ledger Accounting (SLA) : SLA is user defined rule based accounting engine used by oracle products. It gives better control to the accounting department by having multiple currencies support, and generating various reports ( Inventory Valuation Report, Journal Entries Report, etc.,). Creating Accounting process enables user to see accounting entries of any transaction before it is transferred to GL.

Secondary-Ledger Conversions:  Below are the 4 types of Secondary Ledger Conversions.
      Sub-Ledger Level SL Conversion  -- When running 'Create Accounting' program
      Journal Level SL Conversion  - When Posting journals in Primary Ledger
      Balance Level SL Conversion - When Running 'Consolidation' in secondary ledger.
      Adjustment Level SL Conversion 

Below are important tables in General Ledgers.
GL_LEDGERS
GL_CODE_COMBINATIONS
GL_JE_HEADERS
GL_JE_LINES
GL_JE_BATCHES
GL_JE_CATEGORIES
GL_JE_SOURCES
GL_BALANCES

Queries:

Below query provides Ledgers, Legal Entities, Companies and OUs.

SELECT

       gl.ledger_id "Ledger ID",

       gl.name "Ledger Name",

       xep.legal_entity_id        "Legal Entity ID",

       xep.name                   "Legal Entity",

       gleb.flex_segment_value    "Company Code",

       hr_outtl1.name               "Organization Name",

       hr_outtl1.organization_id    "Organization ID",

       hla.location_id         "Location ID",

       hla.country             "Country Code",

       hla.location_code       "Location Code"

       

  FROM

       xle_entity_profiles            xep,

       xle_registrations              xr,

       hr_operating_units             hou,

       hr_all_organization_units_tl   hr_outtl1,

       hr_locations_all               hla,

       gl_legal_entities_bsvs         gleb,

       gl_ledgers gl

 WHERE

 xep.transacting_entity_flag   =  'Y'

   AND xep.legal_entity_id           =  xr.source_id

   AND xr.source_table              =  'XLE_ENTITY_PROFILES'

   AND xr.identifying_flag          =  'Y'

   AND xep.legal_entity_id           =  hou.default_legal_context_id

   AND xr.location_id               =  hla.location_id

   AND xep.legal_entity_id           =  gleb.legal_entity_id

   AND hr_outtl1.organization_id       =  hou.organization_id

   And hou.Set_Of_Books_Id=Gl.Ledger_Id

   ORDER BY 1,hr_outtl1.name;