TASK 2: CREATE EXPENSE ITEMS

We need to create expense items with the following requirements:

✔ Effective Start Date: Set to current date.✔ No tax implications.✔ Projects are not used.✔ Receipt and expense fields should match those from the expense report template created earlier.✔ Dinner expense item must be linked to the Meal policy created in the previous task.

Step-by-Step Solution: Configuring Expense Items in Oracle Financials Cloud

Step 1: Navigate to the Expense Items Setup

Log in to Oracle Financials Cloud as an Expense Manager or Financial Administrator.

Navigate to Setup and Maintenance.

In the Search Bar, type "Manage Expense Items".

Click on Manage Expense Items.

Step 2: Create Expense Items

Click Create New Expense Item.

Enter the following details:

Expense Item: Internet

Name: "Internet"

Expense Category: "Meals and Entertainment"

Effective Start Date: Current Date

Tax Classification Code: None (No tax implications)

Projects Used? No (Uncheck "Enable for Projects")

Receipt Required? Follow Template Policy

Expense Fields? Set as Optional

✔ Click Save and Close.

Expense Item: Room Rate

Click Create New Expense Item again.

Enter the following details:

Name: "Room Rate"

Expense Category: "Lodging"

Effective Start Date: Current Date

Tax Classification Code: None

Projects Used? No

Receipt Required? Follow Template Policy

Expense Fields? Set as Optional

✔ Click Save and Close.

Expense Item: Dinner (Linked to Meal Policy)

Click Create New Expense Item again.

Enter the following details:

Name: "Dinner"

Expense Category: "Meals and Entertainment"

Effective Start Date: Current Date

Tax Classification Code: None

Projects Used? No

Receipt Required? Follow Template Policy

Expense Fields? Set as Optional

Link to the Meal Policy Created Earlier:

Navigate to Expense Policies.

Select the previously created Meal Policy.

Ensure that Dinner Expense Item is associated with this policy.

Set Limit Type: Warning Only (if applicable).

✔ Click Save and Close.

Step 3: Validate and Confirm the Expense Items

Review the created expense items.

Ensure that:

No tax classification codes are applied.

Projects are disabled.

Receipt and expense fields match those in the Expense Report Template.

Dinner Expense Item is correctly linked to the Meal Policy.

✔ Click Submit and Activate.

Step 4: Test the Expense Items

Simulate an Expense Report Submission:

Select Internet, Room Rate, and Dinner as expense types.

Enter sample amounts.

Ensure that:

No tax implications appear.

Projects field is disabled.

Receipt rules match the Expense Report Template.

A warning is displayed if the Dinner Expense exceeds the Meal Policy limit.

Expected Outcome:

✔ Expense items are successfully created.✔ No tax implications are applied.✔ Projects are not enabled.✔ Receipts and expense fields match the template.✔ Dinner expense item is linked to the Meal Policy and displays a warning if the limit is exceeded.

Conclusion

By following these steps, we have successfully created expense items that comply with all business requirements.