An adjustment is based on an Adjustment Type.

Comprehensive and Detailed Explanation From Exact Extract:

In Oracle Utilities Customer to Meter, anAdjustment Typedefines the characteristics and rules for creatingadjustments, which are financial transactions that modify a service agreement’s balance. The Oracle Utilities Customer to Meter Billing Guide provides detailed insights into Adjustment Types:

Statement A: They control how adjustments appear on a customer’s bills.This is correct. Adjustment Types specify how adjustments are presented on bills, including descriptions, formatting, and whether they are shown as separate line items or aggregated.

Statement C: They can default an Adjustment Amount to adjustments.This is correct. Adjustment Types can be configured to default a specific amount (e.g., a fixed $50 credit), simplifying the creation of standard adjustments.

Statement D: They control whether a rate is to be called to calculate an adjustment amount.This is correct. Adjustment Types can define whether a rate schedule is used to calculate the adjustment amount (e.g., for usage-based adjustments) or if a fixed or manual amount is applied.

The Oracle Utilities Customer to Meter Configuration Guide elaborates that Adjustment Types are highly configurable, allowing utilities to tailor adjustments to specific business needs, such as promotional credits, error corrections, or regulatory fees. These settingsensure that adjustments are processed consistently and integrated with billing and financial systems.

The other statements are incorrect:

Statement B: They control the valid Adjustment Profiles that adjustment types can belong to.This is incorrect, as Adjustment Profiles are not a standard concept in the system; approval profiles may exist, but they are not controlled by Adjustment Types.

Statement E: They control the valid Service Agreement (SA) Types that adjustments can be linked to.This is incorrect, as SA Types are associated with adjustments indirectly through account or service agreement configurations, not directly via Adjustment Types.

Practical Example:A utility creates an Adjustment Type for a “New Customer Credit” with a default amount of $25 (Statement C), configured to appear as a distinct line item on the bill (Statement A). The Adjustment Type also specifies that no rate calculation is needed (Statement D), as the amount is fixed. When applied to a service agreement, the adjustment reduces the balance by $25 and is clearly displayed on the customer’s bill.

The Oracle Utilities Customer to Meter User Guide highlights that Adjustment Types streamline financial corrections and promotions, ensuring transparency and accuracy in customer billing.