This is how the accounting works. Everything pertains to what an Organization owns, have and what it has to give. There is always a balance to what it owns and what it has to give.
This “balance” is converted into an equation, also called the Accounting Equation, which is:
though I’ve understood it this way:
Let’s take a simple example to justify the above equation, say you have Rs.1,000 but you know that you have to pay a loan of Rs.400 that you borrowed from your friend.
So according to the equation Rs.1000 is your Asset, Rs.400 loan is your Liability and Rs.600 is the Equity that you own.
Every organization which is registered with Government is obliged to disclose the above mentioned balance in a document called Balance Sheet.
That’s all for the accounting equation.
Moving on after the accounting equation,
There is a
  • Debit (Always on the Left Side, written as “DR” for shorthand) and
  • Credit (Always on the Right Side, written as “CR” for shorthand)
  • Debit Side should always be equal to Credit Side or
  • Left Side should always be equal to Right Side or
  • DR = CR
With the Debit and Credit comes in the
  • Increase in balance or
  • Decrease in balance
There are 5 natures of account. Every account can have any one nature and that’s why we can also call it natural account. These natures are:
  1. Assets
  2. Liabilities
  3. Revenue
  4. Expenses
  5. Owner’s Equity
ASSET: Literally asset is any thing which is valuable to a person, organization or any entity. For example we say that “his quick learning ability is an asset to him” or “Her writing ability is her asset”. Why do we say that? Because quick learning skill or writing ability adds value to a person. A writer sells his writing skills to earn money, similarly in terms of business anything which is valuable to a business is the asset.
Say your organization is a pharmaceutical and manufactures Medicines, then all the chemicals used to manufacture medicine is your asset or in other words the Raw Material is your asset. The cash your organization own is an asset because it can be used to buy items or pay your employee who in turn are used to run your business. There are different types of assets, the broader categories of asset are Current Asset and Fixed, but let’s not discuss it here. For now it is enough to know that asset is anything which is valuable to your organization.
Asset INCREASES when it is Debited and DECREASES when Credited.
Any organization which is registered with the government and exists as Legal Entity is obligated to disclose its Assets on the balance sheet to the government and its Creditors. You might ask Who are creditors and Why is it that an organization is obligated to disclose asset to them? With Creditor comes in the liability.
LIABILITY: Comes from the word “Liable”. Literal meaning of Liable is “to be obligated” , “to be responsible” or “Legally responsible”. In terms of accounting you become liable, responsible to pay when you buy or purchase any thing from another entity. You are liable to compensate whatever you’ve bought. Generally an organization records its liability and pays it afterward. Again, there are different types of liabilities like Short Term Liability and Long Term Liability.
Liability INCREASES when it is Credited and DECREASES when Debited.
OWNER’S EQUITY: This is the share of owner in the business.
Equity INCREASES when it is Credited and DECREASES when Debited.
REVENUE: By definition it is the total gain before inducting any expense. It is mostly associated with the Asset. When any organization sell goods or renders its services, it records an increase in Asset and with this increase comes the gain it has made from selling the goods or services. This gain is called Revenue or Income.
Revenue INCREASES when it is Credited and DECREASES when Debited.
Revenue are not displayed in Balance Sheet. They are reflected in Owner’s Equity.
EXPENSE: By definition any payment made is an expense. How payments are made? Either by Cash or Credit which eventually means Cash. So redefining Expense “The outflow of cash to any person or organization for its supplied Goods or rendered Services”. We incur expenses daily, for example, taxi fare is an expense, dine-out payments are expenses. Expenses are associated with Liability. Whenever an organization books a liability, it is mostly against some expense. There are different type of expense
Expense INCREASES when it is Debited and DECREASES when Credited.
Following table shows the Tabular form of the effect
Asset Increase (+) Decrease (-)
Liability Decrease (-) Increase (+)
Equity Decrease (-) Increase (+)
Revenue Decrease (-) Increase (+)
Expense Increase (+) Decrease (-)
In Oracle General Ledger, when we attach the “Natural Account” Flexfield Qualifier to a segment. System attaches the 5 nature on the Value form. When we add the Natural Account Value, we have to define the nature of the account as well.
When we define the natures of the account, the accounting rules of Debit and Credit works accordingly. Like in Payables, the line item is Debit side, so if you’ll give an expense or asset account, it will increase and vice versa.
It is necessary to understand the application accounting behavior in order to properly suggest and implement the accounting solution in an organization.
Follow the steps below to have access to AME.

Steps to AME configuration for any user:

1) Select the User Management responsibility.
2) Select the Users page.
3) Search for the user to whom you wish to grant AME roles.
4) In the results table, click Update. In the Update User page, you can view user details along with a list of roles available to the user.
5) Click Assign Roles.
6) Select following roles and click Apply.

1) Approvals Management Administrator
2) Approvals Management Analyst
3) Approvals Management System Viewer
4) Approvals Management System Administrator
5) Approvals Management Process Owner

7) Grant data access to users

1) Login as Administrator.
2) Select the Functional Administrator responsibility.
3) Select the Grants tab.
4) Click Create Grant.
5) Select Specific User as grantee type.
6) Select the user as grantee key.
7) Select AME Transaction Types as Object
8) Select AME Calling Applications as Set
9) Follow the screen and click on Finish

8) Run “Workflow Directory Services User/Role Validation”
9) Select Approval Management Business Analyst responsibility and check functionality.

  1. What is Concurrent Programming?
Concurrent Processing in Oracle Apps simultaneously executes programs running in the Background with online operations to fully utilize your hardware capacity.
Use Concurrent Programming for
Long Running – Data intensive tasks such as Posting a Journal or generating a report.
  1. What is the Role of Concurrent Managers?
A Concurrent Manager is a component of Concurrent processing that monitors and runs tasks without tying up your computer.
  1. What is AOL?
Oracle Applications are constructed and maintained using the Application Object Library (AOL).
The Three main areas of AOL are
    • Applications Security
    • Operating Profile
    • Concurrent Processing
  1. Define Interfaces. What are the different types of Interfaces?
Interfaces are used to integrate external systems and data conversion in Oracle Applications.
These can be used to either transfer data from Oracle Applications to a Flat File or Data from Legacy System to Oracle Applications.
There are two types of Interfaces. Inbound and Outbound Interfaces.
Inbound Interfaces are used to transfer data from external system to Oracle Applications.
Outbound Interfaces are used to transfer data from Oracle Applications to External System.
Open Interface is the interface whose interface logic is provided by Oracle.
Custom Interface is an Interface whose logic is developed by implementation team.
  1. What are alerts? What are the different types of alerts? Explain.
    • Immediately inform you of the database activity as it happens.
    • Can Periodically trigger off events as and when required
    • Can take predefined actions
    • Allow you to define distribution list
    • Can keep history of the exceptions and actions taken against them.
There are two types of alerts.
    • Event Alerts
    • Periodic Alerts
  1.  What is the Flex field? What are the types of Flex field?
    • Flex Field is “Flexible Field”
    • A Flexfield is made up of Segments.
    • Each segment has a name that can be assigned and has set of valid values.
    • There are two types of Flex field Key Flex Field and Descriptive Flex Fields
  2. What are the tables related to flex field?
  3. What is AD_DD package?
AD_DD Package is used to register the Table, Columns, and Primary Key in Oracle Applications.
    • P_APPL_SHORT_NAME     
    • P_TAB_NAME            
    • P_TAB_TYPE            
    • P_NEXT_EXTENT         
    • P_PCT_FREE            
    • P_PCT_USED            
·         P_APPL_SHORT_NAME     
·         P_TAB_NAME            
·         P_COL_NAME            
·         P_COL_SEQ             
·         P_COL_TYPE            
·         P_COL_WIDTH           
·         P_NULLABLE            
·         P_TRANSLATE           
·         P_PRECISION           
·         P_SCALE                
  1. What are the types of Value sets?
·         None
·         Table
·         Special
·         Pair
·         Dependent
·         Independent
·         Translatable Dependent
·         Translatable Independent
  1. What are the Special and Pair Flex Field?
Special – Value Sets uses FlexField itself
Pair – Two Flex Fields together specifies a range of valid values.
  1. What are the Translatable Dependent and Independent Flex Fields?
   Translatable Independent – Input must exist on previously defined set List of        
   Values. Translated value can be used.
   Translatable Dependent means Input is checked against a subset of values  
   Based on a prior value. Translated value can be used.
Submits a Concurrent Request for Processing by a Concurrent Manager.
Arguments – Application,program,description,start_time,sub_request,arg1..
  1. What is Client Info?
By calling this Program in SQL*PLUS or reports with correct parameters user can achieve concurrent program environment for testing.
FND_CLIENT_INFO.setup_client_info(application_id Number,
                                                                     Responsibility_id Number,
                                                                    User_id  Number,
                                                                     Security_Group_id Number);

  1. Give the Directory structure in apps?
$APPL_TOP  – Product Directory- Version-

  1. What are the steps in Registering Concurrent Program?
    • Go to Programs and Define Executables.
    • Go to Programs and Define Concurrent Program
    • Go to Responsibility and attach the Request group you want.
  2. What are the different types of executable available in Concurrent Programming?
    • Host
    • Oracle Reports
    • PL/SQL Stored Procedures
    • SQL*PLUS
    • Spawned
    • JSP
  3. What are Request Sets?
Request set is a collection of Reports/Programs that you group together and can be submitted to run is a single interaction.

  1. What is Standard Request Submission (SRS Feature)?
SRS provides you with a set of windows for running reports and Programs and a set of windows for creating groups of reports and programs to run together.
    • Specify whether reports or programs in a request set run sequentially or simultaneously
    • Specify whether to continue with a request set if a report or program in a sequential set fails
    • View a log file
    • Specify alternative requests based on completion status of previously run requests in a request set.
  1. What are the different API’s for Concurrent Programming?
    • FND_FILE
    • FND_SET
  2. What are the Different PLL’s Used in Forms?
    • CUSTOM.pll
    • FNDSQF.pll
    • APPCORE.pll
    • APPCORE2.pll
    • appdaypk.pll
    • APPSTAND.pll
  3. What are the Steps in Forms Customization?
    • Define the Form Name in FORM Screen
    • Define Form Functions
    • Attach to Menu/Attach to Request group
  4. What are the triggers that can be modified during Forms Customization?
    • Pre-Forms
    • When-New-Form-Instance
    • Query_Find
    • Post-Form
    • Key-Clrfrm
    • Accept
  5. What are the triggers that cannot be modified during Forms Customization?
    • ZOOM
    • KEY-HELP
    • KEY-EXIT
  6. What are the FlexField Qualifiers?
A Flex field qualifier identifies a particular segment of a key flex field.
  1. What are the Segment Qualifiers?
A Segment Qualifier identifies a particular type of value in a single segment of a key flex field.
  1. What is a Dynamic Insertion?
Dynamic Insertion is the insertion of new valid combination into a Key Flexfields Combinations Table from a form other than the combinations form.
All Validation rules still will apply during insertion.
  1. What are the different Level of Profiles?
User Profiles are used
    • To set options that affect your applications behavior o your preference.
    • A Collection of changeable options that affect the way your applications run
    • Modify Product Specific variables
    • Gives Control over certain Oracle Applications features.
            Profile Levels
·         Site Level
·         Application Level
·         Responsibility Level
·         User Level
Site Level is the lowest level.
  1. Explain Multi-Organization Structure?

Set of book

A financial reporting entity that uses a particular chart of accounts, functional currency and accounting calendar.
Business Group
This is highest level in the Organization Structure. The Business group secures HR Information. Multiple set of books can share same business group.
Legal Entity
A legal company for which you prepare fiscal or tax reports.
Balancing Entity
Represents an accounting entity for which you prepare financial statements.
This is the segment in Accounting Flexfield.
Operating Unit
An Organization that Uses Oracle Cash Management, Order Management and shipping Execution, Oracle Payables, Oracle Purchasing, Oracle receivables.
It may be a Sales office division or a department. An Operating Unit is associated with legal entity.
Inventory Organization
An Organization for which you track Inventory transactions and balances and/or an Organization that manufactures or distributes products.
HR Organization
HR Organization represents the basic work structure of any enterprise.            They usually represent Functional Management or reporting groups that exists within a business group.
  1. How can u see Multi-Organization is enabled or not from SQL Prompt?
SELECT MULTI_ORG_FLAG FROM fnd_product_groups;
  1. What are the two mandatory parameters required for PL/SQL stored Procedure Concurrent Program?
Errbuf and retcode two OUT Parameters are required while defining PL/SQL stored Procedure Concurrent Program.
Errbuf Returns any error messageand retcode returns completion status.
Retcode returns 0 for success, 1 for warnings and 2 for error.
Oracle Alert FAQ’s
  1. What are the event alerts?
Triggered off when a particular event occurs in the Database.
Event can be Insert or Update.
      What are Alert Action Level?
There are two levels of actions that can be performed
            Detail Action and Summary Action.
  1. What is a Summary Threshold?
Oracle Alerts automatically determine whether to perform a detail action or Summary action based on the number of exceptions in the database.
  1. What are the different actions that can be performed in Alerts?
    • Message Actions
    • Concurrent Program Actions
    • Operating Script Actions
    • SQL Statement Script Actions
  2. What are the steps involved in Creating Periodic alerts?
·         Write a select statement
·         Verify and Run the SQL
·         Specify Alert Inputs
·         Define Alert Outputs
·         Create Periodic alert actions
·         Define Periodic alert message actions
·         Create a periodic alert action set
·         Check your periodic alert.
  1. What is the Distribution List in Alerts?
A Pre-defined set of electronic mail ids and printer Instructions that you can use on message actions instead of re-entering all the recipient names each time.
  1. What are the Advance features available in alerts?
·         Distribution List
·         Periodic sets
·         Summary Thresholds
·         Action Set Checks
  1. What are the four implicit Inputs in Alerts?
Mailid, rowid, org_id, date_last_checked
Back in 2009, I needed WIP completion transaction also be part of the Asset Creation process for depreciable items in Asset Tracking. The base was either R12.0.4 or R12.0.6, i don’t remember. But traditionally, for depreciable items,  following transactions are supported to create an asset in FA while the asset is still in Inventory.

  1. Miscellaneous Receipt
  2. Account Alias Receipt
  3. Account Receipt
  4. PO Receipt into Inventory
  5. PO Receipt into Projects
  6. Physical Inventory (Receipts)
  7. Cycle Counting (Receipts)

But there are companies that manuafacture products and they want to track them in FA. They typically get into inventory with WIP completion transaction. As you can see this transaction is not in the list above.
Recently, to my surprise, I found this patch 7489949 (which was released in 2008) that includes WIP completion also into supported transactions for asset creation. To add to my surprise, support had no clue when they were asked for solution at that time. Of course we came a long way.
BTW, it is included in base release of R12.1.1.

What is Asset Tracking?
Asset Tracking in R12 (formerly known as Enterprise Installed Base), provides the functionality of operational and financial tracking of assets that are deployed in the feild as well as that are in inventory.
Assets in Procure to Pay
Traditionally we  have been creating assets in Fixed Assets using the Procure to Pay business flow. These POs have destination type as expense and not as inventory. Once the PO is matched to Invoice, Mass Additions Create Program sends assets to Mass Additions interface.
On the other hand Asset Tracking can create assets that are purchased into Inventory. While still being in Inventory, assets are created in fixed assets and depreciated. Operationally these assets are tracked in this application using the Installed Base’s current location. It uses Installed Base functionality as backbone to track the location of the assets.
Features of Asset Tracking
Asset Tracking is all about two kinds of items : Depreciable Items and Non-depreciable items. Depreciable items are those that depreciate while still being in Inventory. Non-Depreciable items are those that are still tracked as assets and depreciated while being “deployed” in the field (issued to field location or a project).
Foremost requirement for tracking an asset in this application is that the item is Intalled Base trackable. This is an attribute maintained in the item master. Using the integration between Inventory and Installed Base, all depreciable items, are created as assets as soon they are received into inventory.
All transactions coming from inventory and deployment transactions of Asset Tracking are tracked in Installed Base against the instance of this asset. Also Instance is linked to the financial asset in the installed base.
This application tracks the asset life cycle. When a depreciable item is received into inventory, asset gets created, but when it is sold or issued out the asset gets retired. On the otherside non-depreciable items are created as assets only when they are deployed not when they are in Inventory.
Alternatively assets can be created in the Fixed Assets first and then created in Asset Tracking, which automatically ties the asset and instance in Installed Base.
Integration of Asset Tracking
Integration of Asset TrackingAsset Tracking inherits all the integration that is out there for the Installed Base with other products. Asset Tracking integrates the operational aspects of the installed base with financial aspects of assets.