During the analysis phase of the implementation, it was discovered that there were some expense
entries that are paid in the current month for services rendered in the next month, the client wants
to defer the expense and recognize it in the next month. What would you recommend?
A.
Create two accounting events: one for payment and one for recognition.
B.
Use Account Derivation rules to create two different entries.
C.
Use multiperiod accounting-enabled Journal Line Types.
D.
Use Journal Line Definitions.
Explanation:
multiperiod accounting
(Oracle Subledger Accounting) Recognition of revenue or a prepaid expense or revenue across
multiple GL periods. Deferred revenue and expense recognition are examples of multiperiod
accounting.
Multiperiod accounting is a flexible, powerful tool which allows users to systematically record
accounting entries across multiple periods
Note:
* account derivation rule
(Oracle Subledger Accounting) A component of the Accounting Methods Builder (AMB) that
determines the Accounting Flexfield for the subledger journal entries.
*