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For the transaction related activities such as adjustments and discounts receivables derives the balancing segment value from the __________ account that is associated with the transactions

  1. A. Revenue

  2. B. Receivables

  3. C. Unapplied Cash

  4. D. Unbilled Receivables
Reveal answer Fill a bubble to check yourself
B Correct answer
Explanation

For adjustments and discounts in Oracle Receivables, the balancing segment value is derived from the Receivables account associated with the transaction. This ensures that accounting entries for these transaction-related activities maintain proper segment balancing. The Revenue account is for recording income, Unapplied Cash handles unapplied receipts, and Unbilled Receivables is for recognized revenue not yet billed - none of these are used for adjustments and discounts.

AI explanation

For transaction-related activities such as adjustments and discounts, Receivables derives the accounting balancing segment from the Receivables account tied to the transaction (typically from the AutoAccounting setup), keeping the entry balanced against the original invoice's receivable account. This ensures the adjustment or discount posts to the same balancing segment (e.g., company/legal entity) as the original transaction rather than pulling it from a revenue or unapplied cash account.

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