An exposure is any transaction that affects your cash position but does not originate in Treasury. For example, your company payroll is an exposure. You can use Exposure Transactions in Oracle Treasury to include them in your cash positioning analysis.
Example
As your profits increase during the year, so will your end-of-year taxes. You can budget for an anticipated increase in taxes by recording the increase as an exposure in the Exposure Transactions Quick Input window. At the end of the year, when you determine the actual tax amount, you can also enter the actual amount in the Exposure Transactions window.
Use the Exposure Transactions window to enter actual or estimated amounts and dates for each transaction that creates an exposure. If you enter exposures transactions using this window, the values are included in your cash flow position reports.
Use the Exposure Transactions Quick Input window to enter estimated amounts and dates for each exposure transaction. The values of estimated exposure transactions are not included in your cash flow position reports.
Use the Exposure Transactions window to enter the details for your actual or estimated exposure transactions. For estimated exposures, you can classify your exposures as either firm or indicative.
Set up exposure types. See: Exposure Types.
In the Company field of the Exposure Transactions window, select the company for the exposure. The default portfolio and currency for the company are populated in the appropriate fields.
In the Exposure Type field, select an exposure type.
You can add an exposure type to the list of values by setting up a new exposure in the Exposure Types window. See: Exposure Types.
If you are entering an estimated exposure, in the Firm/Indicative field, indicate if the estimated exposure is firm or indicative. Select Firm if you are certain of the exposure date and amount. Select Indicative if you are uncertain about either the exposure amount or date.
In the Portfolio field, if you do not want the exposure accounted for in the default company portfolio, select a different portfolio for the exposure.
In the Action field, select Pay if the exposure is a payment; select Receive if the exposure is a deposit.
In the currency field If the currency of this exposure differs from your reporting currency, in the Currency field select the currency of the exposure. The current exchange rate between the selected currency and your reporting currency appears in the Exchange Rate field.
In the Company Account field, select the company bank account that the exposure is paid or deposited to.
If you are entering an indicative exposure, in the Estimate Amount and the Estimate Date field, enter the estimated amount and date of the exposure.
If you are entering a firm exposure, in the Actual Amount and the Actual Date field enter the amount and date for the exposure.
Note: If you are uncertain about either the date or the amount of the exposure, change the exposure type to Indicative and enter the values in the Estimated Date and Estimated Amount fields instead of the Actual Amount and the Actual Date fields.
If you are entering a Firm exposure, and you want to be able to settle the deal in Treasury, check the Treasury to Settle check box. When you select this check box, the settlement information for this exposure (dates and amounts) cannot be updated. If you want to update the settlement information, de-select the check box.
To settle exposure amounts, see: Settlements.
In the [ ] field, complete the descriptive flexfield as required.
If you are entering a Firm exposure, and you selected the Treasury to Settle check box, then in the Counterparty field, choose the counterparty that you want to settle the exposure with. In the Counterparty Account field, you can choose the counterparty settlement account that you want to use for settling the exposure.
In the Comments Internal and Comments External fields, enter any comments that you want to record for the deal. Note that external comments appear on any reports you generate for the exposure deal.
If you want to link the exposure to other deals, in the Link Code, choose a Deal Linking Code for the deal.
If you want to view a summary of all of the exposure transactions, choose the Summary button. The Exposure Transaction Summary window appears. See: Viewing a Summary of Exposure Transactions.
If you want to enter several exposure transactions at the same time, choose the Quick Input button. The Exposure Transactions Quick Input window appears. See: Entering Quick Input Exposure Transactions.
Save your work.
Use the Exposure Transactions Quick Input window to enter multiple estimated exposure transactions at the same time.
Quick input exposure transactions are not included in your cash flow reports. You must complete the details for a quick input exposure transaction in the Exposure Transaction window before it is included in your cash flow reports.
In the Exposure Transactions window, choose the Quick Input button.
Select a company for the exposure.
Select an exposure type.
In the Action field, select Pay if the exposure is a payment. Select Receive if it is a deposit.
If the currency of the exposure differs from your reporting currency, select a currency.
In the Company Account field, select an account from which the exposure is paid or deposited.
Select a portfolio for the exposure.
In a blank row, enter an estimated date and estimated amount for the exposure.
If you want to automatically create a payment for this exposure, select the Settle option. Then select the party to which you want to send the payment, and a settlement account.
In the Firm/Indicative field, select Firm if you know that the transaction will occur on the estimated date and for the estimated amount; select Indicative, if you are uncertain about either the exposure amount or date.
Repeat steps 8 to 10 for each exposure you want to enter.
Save your work.
If you need to enter exposure transactions frequently and the details are available in an electronic source such as a bank file or a third party application, you can use the XTR_DEALS_INTERFACE table and the Deal Interface Summary window to import the deal details into Treasury. For more information, see: Importing Deals into Treasury.
Use the Exposure Transaction Summary window to view the details of an exposure transaction.
In the Exposure Transactions window, choose the Summary button.
In the Find Exposure Transactions window, complete the fields as needed to locate the exposure transactions you want to view.
Choose the Find button. The Exposure Transaction Summary window appears, listing all of the exposure transactions that meet your criteria.
Use the View Exposure Transactions window to view the details of an exposure transaction.
In the View Exposure Transactions window, query the transaction you want to view.
To view a summary of your exposure transactions, choose the Summary button.
In the Find Exposure Transactions window, complete the fields as needed to locate the exposure transactions you want to view.
Choose the Find button. The View Exposure Transaction Summary window appears, listing all of the exposure transactions that meet your criteria.