FV Budgetary Accounts Are Not Offset When CM is Applied and Unapplied (Doc ID 2698701.1)

Last updated on APRIL 18, 2022

Applies to:

Oracle U.S. Federal Financials - Version 12 and later
Oracle Receivables - Version 12 and later
Information in this document applies to any platform.

Symptoms

ACTUAL BEHAVIOR
---------------
When using Federal accounting AAD 'MFAR_FED_AR_ACCRUAL_ACCOUNT' and applying credit memo to invoices there are FV_REC_CR and FV_REC_DR getting created and this is correct.
But when you unapply the CM application the journal lines FV_REC_CR and FV_REC_DR do not get offset, they are created with 0 amount, leaving FV_REC_CR and FV_REC_DR overstated.

If the CM is then applied to the invoice against then the FV_REC_CR and FV_REC_DR journal lines will be double.
This is causing incorrect accounting for the journal lines FV_REC_CR and FV_REC_DR as the accounts will be overstated.

Example:
1. Create CM against invoice:
XLA_AE_LINES
ACCOUNTING_CLASS_CODE ENTERED_DR ENTERED_CR
FV_REC_CR             11
FV_REC_DR                         11

2. Unapply CM:
XLA_AE_LINES
ACCOUNTING_CLASS_CODE ENTERED_DR ENTERED_CR
FV_REC_CR                         0
FV_REC_DR                         0

3. Apply CM again to the invoice:
XLA_AE_LINES
ACCOUNTING_CLASS_CODE ENTERED_DR ENTERED_CR
FV_REC_CR             11
FV_REC_DR                         11

After the initial unapply the FV_REC accounts show a balance and after second application the FV_REC accounts are doubled.

EXPECTED BEHAVIOR
-----------------------
When unapplying the CM the FV budgetary accounts should be offset from the application.

BUSINESS IMPACT
-----------------------
The issue has the following business impact:
Budgetary accounts are overstated when applying a CM and unapplying.