Controlling SAP

SAP CO NOTESINDEX

PARTICULARS Page No.CO Areas and Basic Settings for Controlling 3Cost Center Accounting 11Online Reconciliation Leger 23 1. Creation of GL Masters 2. CO Customization 3. FI Customization

252728

Cross Company Code Postings 31Maintain Overhead structure 34Statically Key Figures (SKF) 38Assessment 42Internal Orders 46Budgeting and Availability Control 60Profit Center Accounting 64Integration 76

1. Transaction Key /Process Key2. Valuation Class3. Assignment of accounts 4. MM Customization 5. FI Consultant job in MM 6. Assignment of Accounts for Automatic Postings(MM to FI)7. FI Consultant job in SD8. SD Steps9.

7778899097100

115

Co-Profitability Analysis (CO-PA) 1. Data flow in CO-PA 2. Customization 3. SD End user area

120120122126

Report Painter 129Product Costing 132

1. Co Consultant Job (Activity based costing)2. PP Consultant job3. CO End User area4. MM End User area5. PP End user area

134144146147149

Actual Costing 1531. CO Consultant job2. PP consultant area3. Asset Accounting area

153167174

New General Ledgers (ECC 6 New Features ) 1. Customization 2. Document Splitting

179180188

Central Excise and Sales Tax 1. Central Excise Customization (Purchase) 2. Central Excise customization (Sales) 3. SD End user area

192195211217

Financial Statement Version 228Asset Accounting Area 237Project Report 238

1

CONTROLLING (CO)

This is used for internal reporting in Co organizational Hierarchy Highest node is controlling area. In FI Highest node is company , Company code

CO AREAS :

1. Cost Elements Accounting: To update Co records / sub modules cost elements are required.

There are two types of cost elements1. primary cost elements2. Secondary cost Elements

2. Cost Center Accounting: This is used to view department wise costs.

3. Internal orders: This is used to view costs for specific task.

Eg: Vehicle wise running expenses / Petrol expenses, Repairs to that Vehicle, Telephone wise expenses production order costs / Exhibition costs.

Create each vehicle as n order and capture the costs

Production order:Create production order as on internal order and capture the costs.

Exhibition costs: Sales men salaries , Advertisement discounts to customers conveyance. Create a exhibition order

4. Profit center accounting : This is used to view profitability product wise / Division wise / Location wise if business area is not used in FI

5 Product Costing :This is used for valuation if inventoriesEg: Finished goods and work in process.

6. Profitability analysis: This is used to view profitability for number of parameters at a time.Eg. Sales order wise / Customer wise / Product wise / Plant wise / Sales organization wise profitability this is reporting tool

BASIC SETTINGS FOR CONTROLLING:Maintain controlling area

FI Organization Structure CO. Organization Structure

Company Controlling| |

Company code || |

Business area Cost Center

Scenario 1

Company|

Company code = Controlling Area| |

Business area --- Cost Center

2

(a)Controlling area at company code level, b)Business area will be assigned in cost centers.)

Scenario -2

Company = Controlling Area| |

Company code || |

Business area --- Cost Center

(a )Controlling area at company (group) level no. of company codes will have one controlling area, b) Business area will be assigned in cost centers.

1) When management wants to view number of company codes cost centers data at a time It is not possible in 1st Scenario It is possible 2nd scenario.

In report it will ask only one controlling area and not multiple controlling area.

2) When management wants to view number of cost centers data of company code Directly it is possible in 1st scenario.

Also it is possible in 2nd Scenario By creating cost center groups.

It means 2nd Scenario is more flexible.

MAINTAIN CONTROLLING AREA:

Path : SPRO Controlling General controlling Organization Maintain controlling area (Tr.Code is OKKP)

If we go for 1st scenario company code should be the controlling area.

If we go for 2nd scenario we can use any code for controlling area code.

Double click maintain controlling area.

Select new entries button

Controlling area :BILName :controlling area forBILCompany code to controlling area : Select controlling area same as company code Currency type : select 10 company code currency.

Once we select 10 company code currency , currency field, Chart of Accounts filed and Fiscal year variant filed will be updated automatically.

Cost Center standard hierarchy : BILHIERSaveSelect yes button for the message system to create as a standard hierarchy Select create request buttonShort description : Co customization for BIL

Press enter Press enter once again to save in the request.

3

COST CENTER STANDARD HIERARCHY:Cost center standard hierarchy : BILHIER

|Cost centers Dept. ADept.B Dept.C

At the time of cost center creation It will ask under which hierarchy we are creating the cost centers.

In the report when we give cost center Dept.A It gives only Dept.A date. When we give cost center Dept.B It gives only Dept.B date.

When we give cost center hierarchy BILHIER It gives all the cost centers data.

Double click on assignment of company codes folder


Give the company code : BIL

Select save button or Ctrl+S

Press enter to save in your request

Double click on a activate components / control indicators folder


Fiscal year :2007

Cost center : Select component active

Select active type check box

Order management select component active.

Select profit center accounting check box

Save

Ignore the warning message press enter

MAINTAIN NUMBER RANGES FOR CONTROLLING DOCUMENTS:

1. CO through posting from FI (Business transaction COIN

CO No rang interval for the business transaction COIN

FI Document type CoAnd no.ranges

SA COIN| |01 ||

1-100000 1-00000Manual posting F-02 Automatic posting

1. Repost Co line items (Business transaction RKU3)

4

Option 1

Posting in FI

Wages A/c Dr 100000 Dept.AWages A/c Dr 200000 Dept.BWages A/ Dr 300000 Dept C

To bank 600000

1 FI Document 1 Co Document COIN

Note :Automatic posting is a business transaction

Option 2

Posting in FI Posting in CO

Wages A/c Dr 600000 Dept common Dept A 100000Dept.common Dept B 200000Dept. Common Dept C 300000

To Bank 600000 Post Co line item

2 Documents1 FI Document No FI document 1 CO Document COIN 1 CO Document RKU3

Transfer document wise/line item wiseTotal documents generated

1. FI Document 2. CO Documents

Wages A/c Dr 600000 Dept Common Dept A 300000Dept Common Dept B 200000Dept Common Dept C 300000

Rent A/c Dr 50000 Dept ATo bank 650000 Repot CO line item

Transfer line item wise

Transfer document wise / Line item wise

Report costs ( Business transactions RKU1)

This is used when we split the cost center into number of cost centers or transfer for wrong cost center postings.

No FI document will be generated

CO document only will be generated

Transfer cost element wise (GL Account wise) 01/07/2007 split into Dept A and Dept X

5

Dept A Dept X

30/04/2008 400100 Salaries 20000030/05/2008 400100 Salaries 25000030/06/2008 400100 Salaries 275000

----------400100 total 725000 400100 Salaries 200000

30/04/2008 400101 wages 10000003/05/2008 400101 wages 15000030/06/2008 400101 wages 125000

----------Total 400101 375000 400101 wages 125000

30/04/2008 400300 Rent 50000031/05/2008 400300 Rent 5000030/06/2008 400300 Rent 50000

--------400300 Total 150000 400300 Rent 40000

Planning primary costs ( Business transaction RKP1)

Planning cost center wise or no. range interval for all the types , budgeting cost center wise for each cost element.

Path: SPRO- Controlling General controlling Organization- Maintain number ranges for controlling document (T.Code is KANK)

Controlling area : BILSelect maintain groups buttonFrom the menu select group InsertText: Co doc no. range interval for BILFrom number : 1To number :100000EnterDouble click on business transactions COIN

RKU3RKU1RKP1

Select Co.No.range interval for BIL check boxFrom the menu select Edit Assignment element groupSaveIgnore the message press enter

Note :Usage of Version locked authorized person only Eg; Cost Accountant

MAINTAIN VERSIONS:

Version are nothing but budgets

Original budgets Version 0Revised budget version 1Re revised budget Version 2

We can compare actual with original budget, Revised budget and Re revised budget

Path: SPRO Controlling General controlling Organization Maintain versions

6

Select version 0 (Plant /actual version )

Double click on settings for each fiscal year folder

Give the controlling area : BIL

Enter


Fiscal year :2008

Exchange rate type :select B (Bank selling rate)

Once budgeting is completed at end user are a select version locked So that no body can change budget figures.



Select bank arrow

Planning is made attend user area after plannings completed we select version locked check box , no body can

change planned figures.

COST ELEMENT ACCOUNTING:

To update CO records / sub modules cost elements are required

There are 2 types of cost elements

1. Primary cost element 2 Secondary cost elementsA)Primary cost elements are our general ledger accounts

A)Secondary cost elements are other than general ledger accounts

B) Posting to primary cost elements are possiable

B) Postings to secondary cost elements are not possible. They are used to allocations / Settlements

Dept C Dept A Dept B(Service Dept) (Production Depts)Salaries 100000Wages 200000Power 5000In the month end, by using secondary cost element, we allocate costs from service to production Depts.

COST ELEMENT CATEGORIES

PRIMARY COST ELEMENT CATEGORIES:1. Primary cost / costs redacting revenues. This used for expenditure accounts3. Accrual / Deferral per surcharge :This is used for month end provisions only in CO

11. Revenues: This is used for income accounts

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12. Sales Deduction: This is used for expenditure accounts like sales commission Trade discount where CO-Profitability analysis module is activated

22. External settlement( Settlement from CO FI): This is used for allocation of internal order settlement to GL Accounts / Assets.

SECONDARY COST ELEMENT CATEGORIES:

21. Internal settlement (Settlement from CO to CO) This is used for allocation of internal order settlement cost to cost centers.

31. Order/ Project Results analysis: This is used for work in process calculations is product costing.41. Overheads rates :This is used for calculation of raw material overhead rate /

Production overhead rate in product costing .42. Assessment: This is used for allocation of primary cost element posing and secondary cost postings from one

cost center to other cost centers.43. Internal Activity Allocation: This is used for calculation of activity types in production cost.

Eg: Machine hours rate / labour hour rate in product costing.

COST CENTER ACCOUNTING

This is used to view department wise costs we use cost center accounting.1. Creation of primary cost elements, we can create

A) FI Area |B)CO Area |- Co Area C)Automatic creation |

2. Display cost elements created3. Creation of filed status group by making cost center required entry field4. Assign new filed status group in GL expenditure accounts5. Creation of cost centers.6. Creation of cost center groups.7. Creation of cost element groups8. To enter exchange rate for type M for INR to Euro9. Posting of transaction in FI10. To view cost center wise report.11. To view CO documents

1. A) Creation of primary cost element at FI areaUse to FS00 GL masters creation Give the GL account number : 400100 Salaries AccountCompany code : BILForm the menu select GL Account displayNow select edit cost element buttonValid from date :01.04.2008To date :31.12.9999 comes automaticallyEnterCost element category : Select 1 (Primary cost / cost reducing revenues)Select save button or Ctrl+S

1. B) Creation of Primary cost element at CO area:Use transaction code FS00

Path: Accounting- Controlling- Cost element accounting-Master data-Cost element Individual processing-Create primary (Tr.code KA01 )

Cost element : 400300 Rent Account

8

Valid from :01.04.2008 to 31.12.9999EnterCost element category :1 (primary cost /cost reducing revenue)Save

1. C) Automatic creation of primary cost elements:

1) Marked default settings (OKB2)

path : SPRO-Controlling-Cost element accounting-Master data Cost elements Automatic creation primary and secondary cost elements-Make default settings.(Tr.code is OKB2)

Give the chart of Accounts : BILEnterAccount from :400301Account to :499999Cost element category select 1SavePress enter to save in your request

Create batch input session (OKB3)Same path as above

Give the controlling area : BIL

Valid from :01.04.2008

Valid to :31.12.1999

Session name :BIL (This is text field)

Execute

Execute batch input session (Tr code is SM35)

Same path as above

Select session name : BIL

Select process button

Select session :BIL

Select display errors only radio button

Select process button

We get a message processing of batch input session completed.

Ignore the message & select exit batch input button

Display primary cost elements created (KA03)

Path: Accounting-Controlling-Cost element accounting-Mater data-Cost element Individual processing Display- (Tr code is KA03) Select drop down button beside cost element Give the Controlling area : BILEnter

9

Creation of field status group by making cost center required entry field: (Tr.Code is OBC4)

Select field status variant: BILDouble click on filed status groups folder

100000 equity share capital G001 We cant make cost center required for balance sheet accounts

400100 Salaries Account G001For G004 we make cost center required and assign in salaries account (i.e in expenditure accounts)

Double click on field status group G004 cost accounts

Double click on General data

Text make it required entry field

Select next group button

Cost center select required entry filed

Select next page or page down button two times.

Business area make it option entry filed

Save


Assign group new field group in GL expenditure accounts (FS00)

Give the GL account 400100 salaries account

Company code :BIL

From the menu select GL account change select create / Bank / Interest tab

Filed status group change to G004

Save

Give the GL Account No.400300 Rent A/c

Company code :BIL

From the menu select GL account change

Change field status group to G004

Save

Creation of cost centers:

Path: Accounting-Controlling-Cost center accounting-Master data-Cost center-Individual processing-create (Tr.code is KS01)

Cost center : Dept A

Valid from :01.04.2008 to 31.12.9999

Enter

Give the name : Dept A

10

Give the description : Dept A

Person responsible :Mr.A

Cost center category : Select 1 production

Hierarchy area : select BILHIER

Business area :BILH

Currency :INR



One more cost center : Dept B

Valid from :01.04.2008 to 31.12.9999

Reference cost center : Dept A

Controlling area : BIL

Enter

Change the name to Dept B

Change the description to cost center Dept B

Change the person responsible : Mr B

Other fields are common

Select save button


Cost center : Dept C

Valid from :01.04.2008 to 31.12.9999



Enter

Change the name to : Dept C

Change the description to cost center : Dept C

Change person responsible to Mr.C

Cost center category : Select to 2 (service cost center)

Select save button or Ctrl+s


Creation cost center groups:Hierarchy : BILHIERCost centers Dept A Dept B Dept C Dept X Dept Y Dept ZCategory Production Prod Service Production Production ServiceBusiness Area HYD HYD HYD BGL BGL BGL

If we want to see all cost centers data BILHIER

If we want to see production cost centers data Create a cost center group and assign Dept A . Dept B, Dept X and Dept Y.

11

If we want to see HYD cost centers data cost cost center group and assign Dept A, Dept b and Dept C

If we want so settled production cost centers data create A cost center group and assign Dept A and Dept B

Path : Accounting Controlling Cost center accounting Master data- Cost center group Create (Tr.code is KSH1)

Give the cost center name : BILHYD PROD

Enter

Description Hyderabad production cost centers BIL

Select Edit Cost Center Insert cost center button

Select the cost centers Dept A

Dept B Save

Creation of cost Element group:

FI : Account groups Personnel cost CO:Dept wise personal cost or Administration

400100 salaries Create cost element group personnel and assign 400100 -400199

400101 Wages

400102 Bonus

400103 Staff welfare and Administration Create cost element group administration and assign 400300-400399

400300 Rent400301 Telephone exp400302 Petrol exp In the report center Dept A Dept C

OrCost center GRPCost elementOrCost element GRP personnel administration

Path: Accounting Controlling-Cost center accounting-Master data-Cost element group Create (Transaction code: KAH1)

Cost element group name : BILADMIN

Enter

Description : Administration expenses for BIL

Select insert cost element button (Shift+F4) (Edit Cost element Insert cost element)

From 400300 to 400399

Save

To enter exchange rate for type M for INR to EURO (Tr.Code is OB08)


Exchange rate type : M (Average rate)

12


From currency : INR

To : EUR

Direct quotation :0.02



Posting of transaction in FI Transaction code:F-02

Give the document date : Todays dateType :SACompany code :BILPosting key :40Account :400100 salaries accountEnterGive the amount :500000Cost center : Dept AText :Salaries posting

One more expenditure

Post key :40Account :400300 Rent accountEnterAmount :100000Cost center : Dept AText : Rent postingPosting key : 50Account :200105 SBI current accountEnterAmount :*Business area :BILHText : Expenditure postingFrom the menu select Document Simulate Select save button or Ctrl+S

To view cost center wise report:

Path: Accounting Controlling-cost center accounting Information system-Report for cost center accounting-Line items Cost centers: Actual line items (Transaction :KSB1)

Cost center select Dept A (if you want change the posting dates)

Select execute button

Keep the cursor and the first line item

Select document button

Select back arrow

Select change layout button (Ctrl+F8)

Select Document no.under column set

Select value in reporting currency under displayed columns

13

Select left arrow or show selected filed button

Select reference document no.under column set

Select value in report current under displayed columns

Select left arrow

Select business transition under column set

Select document no. under displayed columns

Select left arrow

Enter

To view co documents:Path :Up to reports for costs center accounting path is same -Line items Co documents :Actual costs (transaction code is KSB5)

Document no. :1 to 100000ExecuteSelect folder button for document no.1

Report co line items:

Business transaction RKU3FI doc.13001 400100 Salaries 500000 Dept A 150000 Dept B

50000 Dept C

Report co line item002 400300 Rent 100000 Dept A003 200105 SBI 600000

Report co line itemTransfer document wise /line item wise , transfer line item wiseNo FI document will be generatedOnly document will be generated

Path: Accounting Controlling-Cost center accounting Actual postings-Report line items-Enter (Transaction code is KB61)

Select document no. :13Company code :BILFiscal year :2008ExecuteDouble click on line item no.1Amount under new account assignment 150000Cost center :Dept BSelect new item buttonSelect next buttonAmount under new account assignment 50000Cost center : Dept CSave

Go and see the cost center report KSB1

14

Give the cost center Dept A


To view cost element wise to total

Select cost element column

Select sub totals button

(Note:That is dues cost element wise total)

Repot costs (Business transaction RKU1)

This is used when we split a cost center in to number of cost centers or wrong cost center postings.No FI document will be generatedOnly CO document will be generatedTransfer cost element wise (GL account wise)

Path : Accounting-Controlling-cost center accounting Actual postings-manual reporting of costs Enter (Transaction code is KB11N)

Cost center (old) : Dept A

Cost element 400100 Salaries

Amount :100000

Cost center new: Dept C

One more cost center (old) : Dept A

Cost element :400300 Rent

Amount :25000

Cost center (new) : Dept C

Enter

Select save button or Ctr+S

Period lock:

FI COA) Transaction which effect FI and CO eg:COIN

To open To open

B) Transaction which effect only CO Eg.RKU3, RKU1

No check To open

C) Transaction which effect only FI Eg.Debit balance sheet and credit balance sheet

To open No check

Sept .08 March Oct 2008 to March 2009

An expenditure posting in FI for September. We cant post since periods are not open.

Path: Accounting Controlling-cost center accounting-Environment Period lock-chang (Tr.code is OKP1)


Fiscal year :2008

Select actual button15

Select period :01

Select lock period button

Save

Set controlling area :(OKKS):

Path :up to Environment the path is same Set controlling area

Give the controlling area :BILEnterReal time integration of controlling with FI on line reconciliation ledgerThis is used when we get for 2nd scenario (no.of company codes having one controlling area ) all the company codes should use same Char of Accounts.

Planning cost center wise

Path :Accounting Controlling cost center accounting Planning Cost and Activity inputs Change (KP06)

Version :select 0 (Original budget)

From period :1

To period :12

Fiscal year :2008

Select next page or page down button

Cost center group :BILHIER

Cost element From :400000

Cost element To :499999

Free Form BsedIf we select radio button If we select from based radio button We have to select cost element from the drop down list and plan against the Climents

The cost element list in a available on screen plant against cost elements

Select form based radio button

Select overview screen button

For cost element 400100 Plan Fixed cost 1500000

Distribution key 1 Equal distribution

Select cost element 400100

From the menu select Goto Period screen

Select back arrow

Fro cost element 400300 Plan fixed cost 960000

Distribution key 1

To plan for Dept B Select next combination button

To go back to previous dept select previous combination button

Save

16

To view variance report cost center wise

Path :Accounting Controlling-Cost center accounting Information system Reports for cost center accounting Plan /Actual comparisons Cost centers: Actual /Plan/Variance (Tr code is S_ALR_87013611)

Controlling area :BIL

Fiscal year :2008

From period :10

To period :10

Plan version :0

Cost center Value :Dept A

Execute

Keep the cursor on Salaries A/c actual costs amount

Select call up report button

Double click on cost centers : Actual line items keep the cursor on the first line item.

Select document button

ONLINE RECONCILIATION LEDGER

Reconciliation used when when number of company codes having one controlling area 2nd Scenario It can be at controlling area All the company codes should use the same Chart of Accounts due to online reconciliation ledger, it generated in a document in FI

17

BIL Controlling area|

------------------------------------------------------------------------| |

Company code BIL company code BSL| |

------------------------------------ ------------------------------------ | | | | | |

Dept A Dept B Dept C Dept X Dept Y Dept Z

If salaries paid and posted FI at (F-02)

Salaries A/c----------------------------------100000 |

|Out of 100000 salaries 20000 belongs to company code BIL

If we use the reconciliation account at cost center level and the 20000/- is transfer to company code BSL (Dept X) it passes the entry in financial automatically Here Reports at No FI recordsIn BIL BooksBSL Dr 20000

To Salaries a/c 20000In BSL books

Salaries account Dr 20000To BIL a/c 20000

Customization at Finance:

To copy company code BIL customization including accounting to BSL

Path :SPRO-Enterprise structure Definition Financial accounting Edit, copy, Delete, Check company code(T.Code EC01)

Double click on copy, delete, check company codeFrom the menu select organization object copy organization object

From Company code :BIL

To company code : BSL

Enter

Select Yes for the message (for copy the GL accounts)

Select No button allocate a different local currency

Ignore the message press enter

Select create request button

Short description :Customization for Birla Steel Limited

Press enter

Enter once again to saving the request

18

Go on press enter till you got the message company code BIL copied to BSL with out 75 number range object


Select back arrow

Double click on edit company code data

Select position button

Give the company code :BSL

Enter

Select company code : BSL

Select address button

change the company name to : Birla Steel limited

Enter

save and Save in your request button

Assign company code to company

Path :SPRO-Enterprise structure-Assignment Financial accounting-Assign company code to company

Select position buttonGive the company code : BILEnterFor the company code :BSL assign BIL(group name)Select save button or Ctrl+SPress enter to save in your request

Document type SA should allow inter company postings: (OBA7)

Select type : SA

Select details button

Select inter company postings check box

Save


Creation of GL Masters FS00

BIL Books BSL Books1) FI/CO reconciliation account under only expediter group which should not be a cost element 400150 Personnel group

1)FI/CO reconciliation account under any expenditure group which should not be a cost element 400150 personnel group

2) Birla Steels limited, current assets, Loans & Advances 200160 Birla Steel Limited

2)Birla Industries Limtied current Assets, Loans & Advances 200161 Birla Industries Limited

Same chart of accountsBIL chart of accounts BILBSL chat of accounts BILWhen we use same chart of accounts, account description should be same in all the company codes.

19

In BSL books If we create account No.200160 It takes Birla Steels Limited- we can not crate our account in our books.

Creation of GL masters FS00

Give the GL account no. :400150

Company code :BIL

Select with template button

Give the GL account o. :400100 Salaries

Company code : BIL

Enter

Change short text & GL account long text to FI/CO reconciliation account

Select create / bank /interest tab

Field status group change to ICCF CO < -> FI reconciliation posting

Save

Give the GL Account No.200160

Company code : BIL


Give the GL Account No.200100 Cash A/c

Company code :BIL

Enter

Select type/Description /tab

Change short text GL account long text to BIRLA STEEL LIMITED

Select create / Bank/Interest tab

Filed status group change to G067

Deselect relevant to cash flow check box

Save

Give the GL account No.400150

Company code :BSL


Give the GL account 400150

Company code :BIL

Enter & Save


Company code :BSL



Company BIL

Enter

20

Select type / Description tab

Change short text +GL long text to Bila Industries limited

Save

Prepare cross company code Transaction (Transaction code is OBYA)

Path :SPRO-Financial accounting-GL accounting Business transactions-Prepare cross company code transactions

Company code 1 BILCompany code2 BSLEnterPosted in BILcleared against BSLDebit posting key :40Account debit :200160 ( Birla Steel Limited)Credit posting key :50Account credit :200160Posted in BSLCleared against BILDebit posting key :40Account debit :200161 Bilra Industries LimitedCredit posting key :50Account credit :200161SavePress enter to save in your request

CO customization ( tr code is OKKP)

Maintain controlling area

Assign company BSL to controlling area BIL

Select controlling area :BIL

Select details button

Company code to controlling area: Select cross company code cost accounting

Reconciliation ledger document type :SA (GL accounts document)

Double click on activate components / control indicators folder

Select company code validation check box

Double click on assignment of company codes folder

Select company code :BIL

Select copy as button

Change the company code to BSL

Enter & save


Activate reconciliation ledger (Tr code KALA) Note: Follow through path

Path:SPRO Controlling Cost element accounting-Reconciliation ledger-Activate deactivate reconciliation ledger

21

Double click on activate reconciliation ledger


Select Execute button


Define adjustment accounts for reconciliation posting (Tr code is OK17)Same path

Double click on define accounts for automatic postings

Select change account determination button

Save

Reconciliation account: Give the account no.400150 FI/CO

Save


FI CUSTOMIZATION

Define variant for real time integration:

Path :SPRO-Financial accounting (new) Financial accounting global setting (new) Ledger-Real time integration of controlling with financial accounting Define variants for real time integration


Variant for real time integration B1

Select real time integration active check box

Select account determination active check box

Key date active from :01.04.2008

Document type :SA

Ledger group (FI) :0L

Text variant for :BIL

Select cross company code check box

Select cross business area check box

Select cross profit center check box

Save


Assign variants for real time integration to company code:

Same path.


Company code :BIL

Variant :B1

Company code :BSL

22

Variant :B1

Save


Creation of cost center for company code BIL (KS01)

Give the cost center department X


To date :31.12.9999

Reference cost center :Dept A


Enter

Change the name to :Dept X

Change the description to cost center dept X

Change company code to BSL

Select save button or Ctrl+s


Repost costs (F-02)

Cost center old :Dept ACost element :400100 Salaries Amount :20000Cost center new Dept XSave

To make text filed optional for field status group G004 cost accounts(Tr.code is OBC4)Select field status variant for BIL

Double click on field status groups folder

Double click field status G004

Double click on General data

Text make it optional entry field

Press enter to save in our request

Go and see the FI documents (Tr.code is FB03)

Select document list button

Give the company code :BIL

Enter the date :From date To Date

Execute

Double click on document no.

Select back arrow

Chang the company code to BSL

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Execute

Double click on document no.

CROSS COMPANY CODE POSTINGS

Company code :BIL BSL

Outstanding expenses of BSL paid by BIL

BSL Dr 25000 Outstanding 25000To Bank 25000 To BIL 25000

Paying company code : BILCredit Bank :BIL 25000Debit outstanding exp :BSL 25000

Use the Transaction code :F-02

Give the document date :Todays date Type :SACompany code :BILPosting key :50Account no. :200105 SBI CAEnterAmount :25000Business area :BILHText :outstanding expense payment on behalf of BSLPosting key :40Account no :100500 out standing exp.New company code :BSLEnterAmount :*Business area :BILHText :+From the menu select document SimulateDouble click third line itemBusiness area :BILHText :+Select next item buttonBusiness area :BILHText :+

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Select save button or Ctr+SPosting byCompany code :BILCross company code no. :15 08

FI posted byCompany code :BSLCross company code no. :2 08

By viewing the cross company code document number We know which company code has initiated the posting.

Select continue button

Accrual orders (Imputed cost calculation)

This is used for month end provision only in COThis is used for irregular expenses like BonusCost element category should be 3Accrual/ Deferral per surchargeDefine CO.No.range in interval for business

Transaction :KAZ1 Actual cost center accrual

FI Month end provision1. Accrual / Deferral document

A. Bonus provision for Nov30.11.2008 Bonus A/c Dr.10000

To Out standing exp. 10000 Dept AB. Reverse next month 1st 01.12.2008

01.12.2008 Outstanding Exp. Dr.10000To Bonus A/c 10000 Dept A

C. Bonus provision for Dec.31.12.2008 Bonus A/c Dr 20000

To Out standing exp 20000 Dept A

2. Open item management A). Bonus provision for Nov.

30.11.2008 Bonus A/c Dr10000To Outstanding exp. 10000 Dept A

B). Bonus provision for Dec.31.12.2008 Bonus Dr.10000

To Outstanding exp 10000 Dept A

Month end provision

Number of companies will not prepare profit & loss and Balance sheet every month, the will not make provision in the books every month in year end, companies follow accrual basis of accounting. They make provisions for the whole year.

Expenditure for all the months Less (other than March)Expenditure for March More

In SAP when we take production an accounting entry will be generated automatically Finished goods valuation will be based on costs for the month.

25

Stock valuation will be accrual orders Lower in all month other than March

Accrual orders Higher in March

Create overhead structureSalaries 100000Bonus -10% on salaries 1000 Debit cost center credit cost center

Dep Dummy (No accounting entry)

In the month end Dept A

Bonus 1000 allocation to Dept A costs will be allocated to production orders There by Dept A will be zero- production valuation will be correct.

Dept DummyBonus 1000

In the year end in FI when we make bonus provision for the whole year.

31.03.2009 Bonus A/c Dr 1200000To Outstanding 1200000 Dept Dummy

Dept dummy values in the year end

31.03.2009 Dept dummy 1200000 April to March 10000*12 = 120000====== =====

In the year end Dept dummy values will be zero.

Creation of GL master bonus account personnel cost (FS00) group:-

Give the GL Account No. :400105Company code :BILSelect with template buttonGive the GL account no. :400100 (salaries)Company code :BILEnterChange short and GL account long text to Bonus accountSaveSelect edit cost element button (F8)Valid from date :01.04.2008 to 31.12.9999EnterCost element category :Select 3 accrual deferral per surchargesave

Creation of cost center Dept dummy (KS01)

Give the cost center : Dept dummy



Enter

26

Change name to Dept dummy

Change description to cost center: Department dummy

Select save button


Maintain overhead structure:

Path:SPRO-Controlling Cost element accounting-Accrual calculation percentage method-maintain overhead structure (Transaction code is KSAZ)

Select create over head structure button (F7)Over head structure :BIL1Description :BIL overhead structureSelect save buttonRow Base

10 B1EnterGive the name salariesSelect create buttonRow O/H rate (Over head rate) Description FR To CR20 B2 Bonus 10 10 B3EnterGive the name BonusDependency :KRS1(controlling area)Select create buttonSaveIgnore the message press enterKeep the cursor on overhead structure BIL1Select assignment button (F5)Controlling area :BILSelect actual accrual radio buttonSelect continue button

Valid from valid to overhead structure1 2008 12 2008 BIL1

SaveDouble click on overhead structure BIL1

Keep the cursor on B1

From the menu select Goto calculation base

From cost element 400100

Save

Kept the cursor on B2

From the menu select Goto overhead rate

Valid from Valid to Actual overhead1 2008 12 2008 10%SaveFrom 10 To 10 Crdit B3

Keep the cursor on B3

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From the menu select go to credit

Company code :BIL

Business area :BILH

Valid to :12 2008

Cost element :400105

Cost center :Dept Dummy

Save

Define CO.no range interval for the business transaction KAZ1-Actual cost Center accrual:(Transaction Code KANK)

Give the controlling area :BIL

Select maintain group button

Double click on KAZ1- Actual cost center accrual

Select CO.No range interval for BIL check box

From the menu select Edit-Assigned element group

Save


1. Posting of salaries for the month of August F-02

Give the document date end posting date :03.08.2008

Date :03.08.2008

Type :SA

Company code :BIL

Posting key :40

Account no. :400100 Salaries A/c

Enter


Amount :100000

Cost center Dept A

Text :Salaries posting

Posting key :50

Account no :200105 SBI current Account

Enter

Amount :*

Business area :BILH

Text :+

From the menu select document Simulate and save

28

Accrual calculation (KSA3)

Accounting Controlling Cost element accounting-Actual postings Accrual calculation select cost center radio buttongive the cost center : Dept Aperiod :5fiscal year :2008deselect test run check boxselect details list check boxExecuteSelect next list level button

Go and see the cost center report KSB1

Give the cost center :Dept A

Posting date :01.08.2008 to 31.08.2008

Execute

Select back arrow

Give the cost center : Dept dummy

Execute

Bonus provision in the year end in FI Transaction F-02

Give the document date & Posting :31.03.2009Type :SACompany code :BILPosting key :40Account no. :400105 bonus accountEnterIgnore the warning message press enter Amount :10000Cost center :Dept dummyText :Bonus provision for the year 2008-09Posting key :50Account :100500 outstanding exp.EnterAmount :*Business area :BILHText :+Document Simulate and save

Go and see the cost center report KSB1Give the cost center :Dept dummyPosting date :01.04.2008 to 31.03.2009Execute

STATICALLY KEY FIGURES (SKF)

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This is used as a basis for allocation of costs from one cost center to other cost centers.Eg. Employee / Area/ Telephone callsDept C Dept A Dept B(service Dept) (Production departments)Salaries 500000 No.of employee of A and BRent 100000 Sq.meter are of A & BTelephone Exp25000 No.of telephone calls of A & BEnter CO. No range interval for the business transaction.

RKS (Enter statistical key figures)SKF category Fixed Total

Fixed TotalIf we choose fixed, values If we choose totalTo SKF are common for all months in the year, if we dont make changes in between Eg: Employee / Area

We have to enter values for SKF, for each and every monthEg: Telephone calls

No.of Employees No.of Telephone callsApril 2008 100 100 Aprl 2008 1000May 2008 | | May 1500June | | June 2000July | | JulyAug | | AugSep | | Sep

Oct | 150 Oct

Dec | | Dec Jan.09 | | Jan 2009 Feb | | Feb March | | March

Define co.no range interval for the business transaction RKS-Enter Statistical key figures Transaction Code is (KANK )

Give the controlling area : BILSelect maintain groups button

Double click on RKS

Select Co.No.range interval for BIL check box

From the menu select Edit Assignment element group.

Save

Ignore the warning message press enter.

Create Statistical key figures

Path :Accounting Controlling cost center accounting master Data-Statistical key figures Individual processing Create (Tr.Code is KK01)

Give the statistical key figure :EMP

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Enter

Give the Name :Employee

Statistical key figure unit of measurement : Select EA each

Key figure category :Select fixed values under radio button

Save

Path : Accounting Controlling Cost Center accounting actual postings-statistical key figures-Enter (Tr.code is KB31N)

Received cost center : Dept A

Statistical KF : EMP

Total quantity :500

Received cost center : Dept B

Statistical KF :EMP

Total quantity :250

Save

Period end closingIn the month end, we allocate costs from one cost center to other cost centers

Dept C Dept A Dept B(Service department) (Production departments)

Salaries 500000 no.of employee of A and BWages 300000 No.of employee of A and BRent 50000 Percentage basis

Basis of allocation can be percentage method statistical key figures method /activity type (machine hour / labour rate)

Allocation methods:1. Assessment :

A) Transfer primary cost postings and secondary cost postings.Dpt X Dept C Dept A Dept BWages 100000 Salaries 500000 Salaries 400000 Salaries 300000

Wages 300000 Rent 50000 Add all 85500 Add all from C 95000 10%

All from Dept X 100000 ---------- ----------- -----------

Less 950000 1255000 395000===== ======= =======

Allocation Primary cost postingsSecondary cost postings

B) Receiving cost centers cant track original cost element Dept A and B will not show the transfer value how much salaries wages and rent.

C) Define Co.No.range interval for business transaction RKIU actual overhead assessment.

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2. Distribution A) Transfer only primary cost postings B) Receiving cost center can track original cost elements.C) Sender should be only cost center D) Define Co.No.range interval for the business transaction RKIV actual overhead distribution.

3. Periodic reposting: A) Transfer only primary cost postingsB) Receiving cost center can track original cost elements.C) Sender can be a cost center or interval order.D) Define Co.No.range interval for the business truncation.

RKIB periodic reposting.

4. Indirect activity allocation. A)Transfer only primary cost postings.B) Receiving cost center can track original cost elements.C) Sender should be only cost center.D) Transfer quantities as well as values.E) Define Co.No.range interval for the business truncation.

RKIL Indirect activity allocation .

Which over method we follow, we have to create cycles.

When the allocation basic is different for the cost elements in the cost center, we have to create number of cycles for number of segments for a cycle.

Dept C Dept A Dept B(Service Department) (Production departments)

Salaries 500000 No.of employees of A and BWages 300000 No.of employees of A and BRent 50000 Percentage basis

Option 1:

Cycle 1 Cycle 2(Salaries and wages allocation) (Rent allocations)

| |Segment 1 Segment 1

Option 2

Cycle 1 |

----------------------------------------------| |

Segment1 Segment2(Salaries and wages allocation) (Rent allocation)

32

ASSESSEMENT

1. Creation secondary cost element : i.e (that is) assessment cost element :

Path: Accounting Controlling Cost element accounting-Mater data-Cost element Individual processing Create secondary (KA06)


Enter


Valid from :01.04.2008 to 31.12.9999

Enter

Name and description :Assessment cost element.

Cost element category :42 (Assessment )

Save

2. Define Co.No.range interval for the business truncation- RKIU-Actual overhead assessment Use the Truncation code :KANK


Select maintain groups button

Double click on RKIU

Select Co.No.range interval for BIL check box

From the menu select Edit Assignment element group.


Creation of assessment cycle:

Accounting Controlling Cost center accounting-Period and closing Current settingsDefine assessment (Tr.code S_ALR_87005742) Give the cycle :BIL1Start date :01.04.2008EnterText : Assessment cycleSelect iterative check box.Select save button or Ctrl+SPress enter to save in your requestSelect iterative check box

33

Dept C Dept A 60% 300000 54000Salaries 500000 Dept B 30% 150000 27000Less :Allocation 500000 Dept Z 10% 50000 9000

--------0

Add: Allocation 90000Less :Allocation 90000

-------0

Add: Allocation 1800

Dept ZWages 400000 Dept X 50% 225000 4500Add: Allocation 50000 Dept Y 30% 135000 2700

--------450000 Dept C 20% 90000 1800

Less : Allocation 450000-------0====

We have to run number of items to make both cost center values zero. If we select interactive check box, system will run number of items automatically till both cost center values become zero.

Select attach segment button.

Segment name : Segment 1

Description : Salaries allocation

Assessment cost element :select 1000000

Sender rule :select posted amounts

Share in % :100

Select actual value origin radio button

Receiver rule :Select variable portions

Variable portion type :Select actual statistical key figures

Select sender / receivers tab

Sender cost center :Dept C

Under Cost element :400100 (Salaries a/c)

Under Receiver cost center group :BILHYDPROD

Select receiver tracing factor tab

Statistical key figure :EMP

Select receiver weight factors tab

Select save button or Crl+S


Select attach segment button

Segment name segment2

Description :Rent allocation

Assessment cost element :1000000

34

Sender rules :Posted amount

Sharing in % :100%

Select actual value origin radio button

Select receive rule :Fixed percentages

Select senders/ receivers tab

sender cost center :Dept C

Cost element :400300 (Rent )

Receiver cost center group : BILHYDPROD

Select receiver tracing factor tab

Dept A 70

Dept B 30

Save


Go and see the cost center Report (Tr code is KSB1)

Give the cost center :Dept CPosting date :01.10.2008 to 31.10.2008ExecuteSelect cost element columnSelect sub totals button

Dept C A BSalaries 1500000 No.of employees

500 250100000 50000

Rent 25000 Percentage basis70 3017500 7500

Execution of assessment cycle:

Path :Accounting Controlling Cost center accounting Period end closing-Single functions-Allocations Assessment (KSU5)

Give the period :7 (October)

Fiscal year :2008

Deselect text run check box

Select details list check box

Cycle select :BIL1

Execute

Select receiver button

35

INTERNAL ORDERS

This is used to view costs for a specific task.Eg. A) Vehicle wise running expenses Management has to task decision whether to sell the (or) keep the vehicle in company

A) petrol expenses for the vehicle B) Repairs to the vehicle

It we take GL accounts in FI we will not create each vehicle wise petrol expenses and repairs account.

In cost center accounting vehicles will be under administration cost center and the petrol expenses repairs and administration expenses will be posted to administration cost center.

By creating vehicle as an internal order we can get the costs.

B) Telephone expenses: If we want to know telephone wise expenses in FI we will have one account for all telephones.If we take cost center It will be entered in administration cost center - We can not get telephone wise expenses directly.By creating telephone as an order we can get telephone wise expenses.

C) Production order costs In a month no. of production orders will be executed. Some production orders consume more raw material and same production orders consume less raw material.If FI we have only GL account raw material consumption We dont know order wise consumption.By crating production order, we can get order wise costs.

D) Exhibition costs Company is conducting an exhibition

Salesmen salaries One account

36

Conveyance Different accountAdvertisement Different accountDiscounts Different account

We don't know the exhibition costs by creating an order we can get exhibition costs

Orders will be of 2 types1)Real orders 2)Statistical orders

Settlement is possible settlement not possibleWe can settle order statistical orders are used for decision making

To Cost Center (Internal settlement)

From Co to Co GL Accounts Assets (External settlement )

(From CO to FI)When we transfer from cost center To cost centers allocation by assessment / Distribution periodic reposting / Indirect activity allocation.

When we transfer from Internal order settlement.Eg. Telephone expenses Dr 50000 Cost center Dept

Order Tel no.66110883To Bank 50000

The cost will be allocation to production orders from COIn the production order valuation we cant take.(50000+50000)We have to take only one time 50000

When we are posting to no. of cost objects are will be real and others will be statistical.

At the time of order creation there is a statistical order check box.A) When we select statistical order is statistical order check box.

Order is statistical (Automatically cost center will be real) B) If we dont select statistical order check box

Order is real (Automatically cost center will be statistical )

Statistical order :Telephonewise expenses order we create as statistical order.

Telephone expense Dr 50000 Cost center Dept AOrder Telephone no.66611983 Statistical

To Bank 50000

Cost Center Dept ATelephone expenses 50000 Allocation to paid order 50000Cost center Dept A ZeroIn the month end we allocation costs from Dept A to production orders there by cost center Dept A will be zero.

Order telephone no.66611983Telephone expenses 50000

Management can see telephone wise expense at any point of time afterwards.

37

Suppose we create order as real order Telephone expenses Dr 50000 Cost center Dept A

To Bank 50000 order telephone no.66611983 Real

Cost center c dataTelephone Expenses 50000 Order Telephone no.6661987Telephone expenses 50000 Allocation to production 50000

Order will be zeroIn the month end we allocate cost from order telephone no.66611983 to production order there by order will be zero.

Afterwards management cant see telephone wise expense.

Creation of order types:

Path : SPR O Controlling Internal orders order master data-Define order types (KOT2_OPA)


Order category :Select 01 Internal order (Controlling)

Enter

Order type :BILT

Description :Telephone orders for BIL

Planning profile :select 000001 (General budget /plant profile)

Object class :Select Over head cost

Select release immediately check box

Save

We get message no.range not processed


Select assign /change interval button beside no.reage interval

Double click order type :BILT

Select motor pool A-ZZZZZZZZZZZZ(External)

From the menu select Edit Assign element group

Save


Creation of filed status group by making cost center and internal order required entry fields (OBC4)

Select field status variant :BIL

Double click on field status group folder

Select field status group G004 cost accounts


Change the filed status group to G002

Change the text to cost accounts (CC & IO required) IO =Internal order

Enter

38

Save CC=Cost Center


Double click on G002

Double click on additional account assignment

CO /PP order make it required entry field.

Save

Creation of GL master telephone expense (FS00)

Give the GL account no.400305

Company code :BIL


GL account 400300 Rent account

Company code :BIL

Enter

Change short text and GL a/c long text to Telephone expenses

Select crate / Bank/Interest tab

Change the filed status group to G002

Save

Select edit cost element button

Valid from date :01.04.2008

Enter

Cost element category :Select 1

Save

Creation of Internal orders:

Path :Accounting Controlling-Internal orders-Master data-Special functions Order Create (Tr code is KO01)

Order type :Select BILT

Enter

Order no. :BIL 66611983 (Telephone no.)

Description :Telephone order no.66611983

Company code :BIL

Business area :BILH

Select control data tab

Select statistical order check box

Save

One more order

Order type :BILT

39

Enter

Order :BIL66611984

Description :Telephone order no.66611984

Company code :BIL

Business area :BILH


Select statistical order check box

Save

Creation order group

Up to master data the path is same Order group Create (Tr code is KOH1)Give the order group name :BILHYDTELEnterDescription :Hyderabad order group (GRP)for BILSelect insert order button(Select menu bar Edit Order Insert Order) Select to orders :BIL66611983

:66611984Save

Posting of transaction in FI (F-02)

Document date :Todays date

Type :SA

Company code :BIL

Posting key :40

Account no. :400305 Telephone exp

Enter

Give the amount :100000

Cost center :Dept A

Order :BIL66611983

Text :Telephone expenses

Posting key :50

Account no. :200105 (SBI current account )

Enter

Amount :*

Business area :BILH

Text :+

From the menu select Document Simulate and save

To view internal order wise report

Path :Accounting Controlling-Internal order-Information system-Reports for Interval orders -Line items Order -Actual line items-(Tr. Code is KOBI

40

Give the order no.BIL66611983Remove the order group ExecuteKeep the cursor and telephone expense line item select document button

Planning order wise

Path :Accounting Controlling Internal orders Planning Cost and activity inputs Change (KPF6)Version :0From period :8 (November)

To period :8

Fiscal year :2008


Give the order no. :BIL66611983

Cost element :400305 Telephone expense

Select from based radio button

Select view screen button


Total plan cost :75000


To view variant report order wise

Path :Accounting Controlling-Internal order Information system-Reports for internal order-Plant /Actual comparisons-Order :Actual / plan / Variance (S_ALR_87012993)


Fiscal year :2008

From period :8 (Current month)

To period :8

Pant version :0

Order values :BIL66611983

Execute

Real orders:They are used for vehiclewise expenses

Petrol expenses Dr 50000 Order no.AP9Z1234To Bank 50000

In the month end:Cost center Dept A

Order no.AP9Z1234 Settle to Cost center Dept BCost center Dept C

Settlement can be percentage basis / ratio basis /Amount basis

41

Order No AP9A1234Petrol expenses 50000 Allocation Dept A 25000

Dept B 15000 Dept C 10000

------- ------50000 50000==== ====

Order will be zero

Petrol expense Dr 50000 Cost center:CommonOrder No.AP9Z1234 Statistical

To Bank 50000

In the month end from cost center common allocate to Dept A, Dept B and Dept C by assessment / Distribution / Periodic posting /Direct activity allocation.

Cost center commonPetrol Expenses 50000 Allocation to Dept A 25000

Dept B 15000 Dept C 10000

--------- -------50000 50000==== =====

Cost center will be zero

Order no.AP9Z1234Petrol expense 50000

=====

Management can see vehicle wise expenses at any point of item afterwards.

Creation of filed status group by making only internal order required entry filed (OBC4)

Select filed status variant :BIL

Double click on filed status group folder

Select field status group G002


Change field status group to G010

Change the text to cost accounts (IO required )

Enter and save


Double click on G010

Double cock additional account assignments

Cost center make it optional entry field

Save

42

Creation of GL master petrol expense under administration group (FS00)

Give the GL Account no. :400310

Company code :BIL


Give the GL account no.400300 Rent account

Company code :BIL

Enter

Change short text and long text to petrol expenses

Select create/bank /interest tab

Field status group :G010

Save


Valid from date :01.04.2008

Enter

Cost element category :01

Save

Creation of secondary cost element i.e. Statement cost element (KA06):

Give the cost element :1000001EnterName and description settlement cost element Cost element category :Select 21 internal settlement Save

Maintain allocation structure:

Path :SPRO-Controlling Internal orders-Actual posting- Settlement-Maintain allocation structures


Allocation structure :B1

Text :BIL allocation structure

Save


Select :B1

Double click assignments folders


Assignment :01

Text :Vehicle expenses settlement

43

Save

Select :01

Double click on source folder

From cost element :400310 Petrol expenses

Save


Double click on settlement cost elements folder


Receiver category :Select CTR cost center

Settlement cost element :1000001

Save

Petrol expenses will be settled to cost center by using secondary cost element settlement cost element.Through orders.

Maintain settlement profiles:

Same path

Double click on maintain settlement profiles


Settlement profiles :BIL1

Description :BIL settlement profile

Allocation structure :B1

Select to be settled in full radio button

Double click on CTR cost center

Select % settlement check box

Select equivalence number check box

Select amount settlement check box

Under valid receivers

For cost center :Select settlement required

Max.no. distribution rules :999

Residence time :12 months

Save


Rule 1:Order no.AP9Z1234 settle cost center Dept A 30000Petrol expenses 50000 settle cost center Dept B 15000

Dept C 5000

Rule 2Order No.AP9Z1234 Settle to cost center Dept A 85%Petrol expenses 50000 Settle to cost center Dept B 10%

44

5%Order no.AP9Z1234 settle to cost center Dept 4:Petrol exp 50000 Dept 3:

Dept 1:

Maintain number range for settlement documents:Go through Same path (Tr.code is SNUM)


Double click on controlling area BIL

Select Standard accounting document check box

From the menu select EditAssign element group

Save


Creation of order type (KOT2_OPA)


Order category :Select 01 Internal order (controlling)

Enter

Give the order type :BILV Vehicle order type BIL

Settlement profile :BIL1

Budget profile :0000001 (General budget profile)

Object class select :Overhead costs

Select release immediately check box

Save

Ignore the message press enter save in your request

Select assign /Change intervals button beside no.range interval

Double click on BILV

Select motor pool A-ZZZZZZZZZZZZZZ external check box

From the menu select Edit Assign element group.

Save


Define co.no.range interval for the business truncation K0A0-Actual settlement. Use the transactions code (KANK)



Double click on KOAO actual settlement

Select co.no.range interval for BIL check box

Form the menu select Edit Assign element group.

45

Save


END USER AREA:

Creation of internal order (KO01)Give the order type :BILVEnter

Give the order :AP9Z1234

Description :Vehicle no.AP9Z1234

Company code :BIL

Business area :BILH


Deselect statistical order check box

Select settlement rule button

Category :CTR cost center

Settlement receiver :Dept A

Give the percentage :70

One more

Category :CTR

Settlement receiver :Dept B

Percentage :30

Save


Posting of petrol exp F-02

Give the document date :Todays date

Type :SA

Company cod :BIL

Posting key :40

Account no. :400310 petrol exp.

Enter


Give the order no. :AP9Z1234

Text :Petrol exp.

Posting key :50

Account no. :200105 SBI current account

Enter

Amount :*

46

Business area :BILH

Text :+

From the menu select menu document Simulate and save

Actual settlement :

Path :Accounting Controlling-Internal order-Period end closing-Single functions-Settlement Individual processing (K088)

Give the order :AP9Z1234

Settlement period :8 (current month)

Fiscal year :2008

Deselect test run check box

Select check transaction date check box


Select details list button

Note : Order means overall expenses Eg: Vehicle Expenses

Cost Element means each item wise :Eg.Vehicle expenses for Petrol, Repairs, Driver salary etc

BUDGETING AND AVAILABILITY CONTROL

For budgeting SAP has given availability controlOrder no.AP9Z1234Budget amount 500000

Option 1 Option2 Option 3Give Give warning GiveWarning To the user Error1 To the user And inform to

Budget managerIf actual amount exceeds 85% of budget 425000

Planning Budgeting1. We can plant cost element wise in the order 1.Budgeting will be done order wise2. We can do planning period wise in a year (Month wise)

2. Budgeting should be done year wise

3.Micro level (Lower level) 3. Marco level (High level)

47

OrIf the variance is above 20000 i.e actual 5200000

OrBoth Whichever activity comes first

OrIf a actual amount exceeds 70% of budget go for option1If actual amount exceeds 85% of budget go for option 2If actual amount exceed 100% of budget go for option 3

When we do budgeting it generate a document We have to give budgeting No. range interval only for 04 (Hard coded by SAP)

This is given at client level and not at controlling area level it is not year specify.

Note : Order Eg.Vehicle Expenses

Cost element :Eg.Vehicle for petrol, repairs,Driver salary etc.,

Maintain no.range for budgeting:

Path :SPRO-Controlling-Internal orders-Budgeting / availability control-Maintain no.ranges for budgeting (Tr code is OK11)

Select change intervals button

Define tolerance limits for availability controlSame pathSelect new entries button


Profile :select 000001 General budget profile

Tr.group :++ all activity groups

Action :select 2 waring with mail to person response

Usage :85

Save


Specify exempt cost elements from availability control

Same path

Petrol expensesRepairsDrivers salary is Fixed cost

We can specify when we post to drivers salary all with order AP9Z1234 Even if, it exceeds 85% of budget no. message need to be given.

It is known expenditure

Select new entries buttonControlling area :BILCost element :400100 Salaries account

48

SavePress enter to save in your request

Maintain budget managerSame path



Order :BILV

Object class :OCost (Overhead cost)

User name :SAP user (budget manager)

Save


Budgeting order wise (END USER AREA)

Path :Accounting-Controlling Internal order-Budgeting-Original budget Change (Tr code is K022)

Order :AP9Z1234

Enter

For the period :500000 (Budget amount)

Over / budget also 500000

From the menu select Extras Availability: Control Activate

Save

Posting of petrol expenses (F-02)


Type :SA

Company code :BIL

Posting key :40

Account no. :400310 Petrol expenses

Enter


Order :AP9Z1234

Text :Petrol expense

Posting key :50


Enter

Give the amount :*

Business area :BILH

Text :+

49

From the menu select Document Simulate and save


To view in box of the budget managerPath :SAP MenuOffice Work place (Tr code is SBWP)

Select inbox folderWe get a message accounting document no.

PROFIT CENTER ACCOUNTING

This is used to view profitability division wise /product wise /location wise if business area is not use in FI

50

Idea scenario

Company FI |Company code FI

|Business area FI(Location)

|----------------------------------------------------------------------------------------| | | |Steel Cement Pharma Co-profit centerDivision Division Division Accounting| |Product wise Co profitability

Analysis

Option 1 Option 2Hyderabad location HYD BGL MOM

| | | |Steel Cement Pharma Steel cement Pharma

Profitability Profitability Balance sheet

The advantage of profit center accounting is it derives profit center automatically though derivation rules.A) In case of expenditure Tough cost centersB) IN case revenues Automatic account assignmentC) In case of balance Though business area

Sheet it items (Applicable for option 2)Eg:a) At the time of creation of cost center assign profit center

Dept A-Assign profit center steel b) At the time of posting

wages a/c Dr 500000 Dept A To Bank 500000

It updates cost center Dept A as well as profit center steel.

We have to create dunning profit center. At the time of posting, when there is no derivation rules, system updates dummy profit center. Transfer form dummy profit center to respective center. Create derivation rule so that future transactions will not go to dummy profit center. They will go to respective profit centers.

Set controlling area (OKKS)

Path :SPRO-Controlling Profit center accounting-Basic settings-Set controlling area Give the controlling area :BILEnter

Maintain controlling area settings: (OKE5)(Follow through path )

Path :Up to base settings the path is same- Controlling area settings-Maintain controlling area settings

Standard hierarchy :BIL

Select elimination of business volume check box

51

Profit center local currency type :Select 20 Controlling area currency

Select confirm button

Select store truncation currency check box

Save

Elimination of internal business volume

Purchase Material no. 1 Profit center steelOrder Vendor no. 1234| Plant HYD| Profit center Steel| Qty 1 Kg| Rate 100GoodsReceipt

It should no take in steel profit center 100+100It should take only one time

Create dummy profit center

Path :SPRO-Controlling-Profit center accounting-Master data-Profit center-Create dummy profit center(Tr code is KE59)

Double click on dummy profit center

Give the dummy profit center :BIL dummy

Select basic data button

Name :BIL dummy

Description :Dummy profit center for BIL

Profit center group :BIL

Save

Set control parameters for actual date

Path : Up to basis settings the path is same Controlling area settings -Activate direct postings-Set control parameters for actual data (Tr code is 1KEF)

Select new entries buttonFrom year :2008Select Line items check boxSelect online transfer check boxSave

Maintain plan versions

Up to activate the path is same

Plan version Maintain plan version

Select version :0 Plan /Actual Version

Double click on settings for profit center accounting folder52


Year :2008

Select online transfer check box

Select line items check box

Exchange rate type :B (bank selling rate)

Save


Define no. ranges for local documents

A) At the time of creation of cost center Assign profit centerDept A-Assign profit center

B) At the time of postingWages A/c 500000 Dept A

To Bank 500000When there is no derivation rule It updates dummy profit centerTransfer from dummy profit center

To Profit center steel

No FI document will be generated No co document will be generated once profit center document will be generated (local)

Path :SPRO-Controlling-Profit center Accounting-Actual postings-Basic settings: Actual Define number ranges for local documents (Tr code is GB02)


Select actual document from direct posting with GB01 check box

From the menu select interval Maintain


Enter

Select interval button

Year :2008

From no :1

To :100000

Enter and save


Select back arrow

Select planned doc.with direct posting with GB01 check box

Form the menu select interval maintain


Enter

Select interval button

Year :2008

From no. :10000153

To no. :200000

Enter and save

Creation of profit center:

Path :Accounting-Controlling-Profit center accounting-Master data-Profit center-Individual processing-Create (Tr code is KE51)

Give the profit center :Steel

Select master data button

Analysis period to :01.04.2008 to 31.12.9999

Name :Steel

Long text :Profit center steel

Person responsible :Mr A

Profit center group :BIL

select activate button (Shift+F1)

One more profit center

profit center cement select master data buttonname :Cementlong text :Profit center cement person responsible :Mr Bprofit center group :BILselect activate button

Create account groups

up to master data the path is sameAccount group create (Tr code is KDH1)

Give the account group name :PLITEMS ( Profit & Loss)

Enter

Description :P & L accounts for BIL

Select insert account button

From :300000

To :499999

Save

Select Back Arrow

Account groups :BSITEMS

Enter

Description :Balance sheet accounts for BIL

Select insert account button

Form A/c :100000

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To A/c :299999

Save

Assign profit center in cost center

Path :Accounting-Controlling-Cost center accounting-Master data-Cost center-Individual processing-Change (KS02)

Give the cost center :Dept A

Select master data button

Give the profit center :Steel



Cost center :Dept B

Enter

Profit center :Cement

Save


Creation of sales account as revenue element (FS00)

Give the GL account no. :300000 Sales A/c

Company code :BIL


Enter

Cost element category :Select 11 Revenues

Save

Maintain automatic account assignment of revenue elements

Path :SPRO-Controlling Profit center accounting Actual postings-Maintain automatic account assignment of revenue elements (Tr code is OKB9)


Company code :BIL

Cost element :300000 Sales A/c

Account assignment details :Select 2 Business area is mandatory

Save


Select :BIL with cost element 300000

Double click on detail per business area /valuation area folder

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Option 1 Option 2HYD location

|Steel cement Pharma HYD BGL MUM 300000 | | |HYD Steel Steel Cement Pharma 300001 Sales cement 300000 Sales accountHYD Cement 300002 Sales pharma HYD SteelHYD Pharma BGL Cement

Mum Pharma

Business area : BILHProfit center : SteelBusiness area : BILBProfit center : CementSave

Choose addition balance sheet and p & L accounts

Applicable for second scenario: Application for second option

Same path Select choose accounts (Tr code is 3KEH)

select new entries button

Account from :100000

Account to :299999

Default profit center :Steel

Save


Select profit center determination button

Select crate step button

Step description :Profit center derivation though business area for balance sheet

items.

Select drop down button under name column

Select GSBER businesses area

Save

Select maintain rule values button

Select source field intervals on /off button

Account no.100000

To account no.299999

Business area :BILH

Profit center :Steel

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Account no :100000

To account no. :299999

Business area :BILB

profit center :Cement

Save

END USER AREA1) Planning profit center wise for p & L items

Path :Accounting Controlling Profit center accounting Planning cost /Revenues-Change (Tr code is 7KE1)

Version select :0

From period :8

To period :8

Fiscal year :2008

Company code :BIL



Account group :PLITES

Select from based radio button


Per account no.300000 Sales account

Profit center reporting currency :600000 (Minus report currency)

For account no.400100 salaries A/c without any sign

Save

Planning profit center wise for balance sheet items (Only for second scenario)

Up to planning the path is same Balance sheet accounts change (Tr code is 7KE3)

Version :0

From period :8

To period :8

Fiscal year :2008

Company code :BIL

select next page or page down button

Profit center steel

Account group :BSITEMS

Select form based radio button


For account :100300 SBI rupee term loan

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Profit center reposting currency 20000- with minus sign

For 200105 SBI current account profit centers reporting currency 200000 without any sign

Save

Posting of cash sales (F-02)


Type :SA

Company code :BIL

Posting key :40

Account no. :200105 (SBI current account)

Enter

Amount :550000

Business area :BILH

Text :sales posting

Posting key :50

Account no. :300000 (Sales a/c)

Enter

Amount :*

Business area :BILH

Text :+

Form the menu select Document Simulate and save

Posting of salaries (F-02)

Document date :Todays date

Type :SA

Company code :BIL

Posting key :40

Account no. :400100 Salaries a/c

Enter


Cost center :Dept A

Text :Salaries posting

Posting key :50


Enter

Amount :*

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Business area :BILH

Text :+

Document simulate and save

To View variance report profit center wise for P & L items

Path :Accounting Controlling Profit center accounting-Information system-Repost for profit center accounting-Interactive reporting Profit center group:Plan /actual /variance (Tr code is S_ALR_87013326)

From period :8 (Current /Running month)

To period :8

Fiscal year :2008

Plan version :0

Profit center values :steel

Profit center accounts groups :PLITEMS


To view variance report profit center wise for balance sheet items:

Up to interactive reporting the path is same Profit center group: Balance sheet accounts plant / Actual /Variance (Tr code S_ALR_87013336)

From period :8 (Running month)

To period :8

Fiscal year :2008

Plan version :0

Profit center values :Steel

Balance sheet account group :BSITEMS

Execute

Transfer of values from one profit center to another profit centerOne cost center works for no.of profit centers we an assign only one profit center is cost center.In dept A Profit center steelFrom profit center steel transfer to cement Manual transfer through cycles

No.FI document will be generatedNo.CO document will be generatedOnly profit center document will be generated.

Path :Accounting Controlling-Profit center accounting-Actual postings-Profit center document Enter (Tr code is 9KE0)

Layout select 8A-001 document :Profit center /account


Company code :BIL

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Select Enter screen button


Account no. :400100 Salaries

In profit center local currency 500000 (with minus sign)

Profit center :Cement

Account no. :400100 Salaries

Amount :500000 (without minus sign)

Save

INTEGRATION

Organization structure :

FI: Business area

Company |

Company code MM:- Structure SD: Structure

Business area | Factory / Sales organization Company code level /| Plants Branch/Port | Regional location| | |

Storage locations Raw material / Finished goods Distribution-> Direct sales through/Packing material Channel Agents

| |Division Product groups/ products

Why we create port as a plant:

Keep the material on shipHYD Chennai CustomerFactory Port

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Export sale Terms of delivery-FOB (Free on Board) ownership will be transferred once we kept the martial on ship.

Business area will be assigned to plants, plants will be assigned to sales organization business area will be assigned to sales organizations.

In SD module, combination of sales organization, distribution channel and division One sales area.

Sales Area 1 Sales Area 2Hyd sales Org. Hyd Sales org

| | Direct sales Through agents

| | Steel Steel

Movement types: Similar to posting keys in FI101 Material receipt against purchase order /production order102/122 Reversal of 101

201 Issue to cost centers202 Reversal of 201261 Issue to orders262 Reversal of 261521 Production receipt without production orders.522 Reversal of 521561 Opening stocks taking562 Reversal of 561601 Delivery (sales)602 Reversal of 601

Difference between 201 and 261

Cost centers Dept A Dept B Dept CIssue material Production order 1(Movement type 261)

Stores items to issue Production order 2(Mov.type 201)(cost center 201) Production order 3

Material issue is identifiable to production orders use movement type 261Material issue is not identifiable to production orders use movement type 201

Transaction key /process key

a) BSX Inventory postingsb) WRX Goods receipt /Invoice receipt (GR/IR)c) PRD Price difference /Production order differences d) GBB Offsetting entry for inventory postings

(i) VBR consumption(ii) VNG Scrapping(iii) BSA Opening stocks(iv) ZOF Production receipt without production order(v) AUF Production receipt with production order(vi) VAY Delivery where sales account is created as revenue element (CO implemented)(vii) VAX Delivery where sales account is not created as revenue element (Co not implemented)(viii) AUA production order differences

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Eg: 400000 Raw material consumption 200121 Inventory raw material

For consumptionRaw material consumption Dr

To Inventory raw material

For GBB VBR Assign account no.400000For BSX Assign account no.200121

Valuation class:Valuation class determines the GL accounts to be posted automatically.A) Raw materials Local

ImportedInter unit purchasesInter company purchases 4Valuation class

B) Stores :Local 2 valuation classC) Finished goods own manufacturing 1 valuation class

Valuation grouping code / valuation modifier /Valuation modification key:

Company codes BIL BCL BSLChart of accounts BILPlants HYD-BGL BGL-MUM HYD-MUMLocal raw materials RM1 RM2 RM3-RM1 RM2-RM3

Incase of purchases, 200121 Inventory raw material local

When we follow same chart of accounts for numbers of company codes, Instead of assigning accounts number of times, assign only one time by using valuation grouping code.

Valuation Chat of accounts Company code Valuation Areas Plants Grouping

HYD BIL BIL XBGL BIL BIL XBGL BIL BCL XMUM BIL BCL XHYD BIL BSL XMUM BIL BSL X

For X in case of RM local purchases assign account number 200121, inventory Raw material local.

This is similar to posting periods in FI

A) Define posting period variant XB) Assign posting period variant to company codes X to BIL

X to BCLX to BSL

c) Define posting periods for variant Xfor X1, 2008 12,2008

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Material types Price controls

Raw materials ROH V-Moving average price purchase priceStores & spares ERSA V-Moving average price purchase pricePacking & material VERP V-Moving average price purchase priceFinishing goods FERT S-Standard price Raw materials +Semi finished goods HALB OverheadsPurchased V-Moving average price Purchase priceProduced S-Standard price Raw material+OverheadsTrading goods HAWA V-Moving average price Purchase priceServices DIEN

Semi finished goods purchasedDept A Dept B Dept C Dept D

15 days FGSales order To be delivered with in 2 days

Purchase an item where with In 2 days purchase an item Where processing of A,B and C is completedD processing of D

Semi finished goods produced Dept A Dept B Dept C Dept D

Issue RM 15 days timeSales Dept got an order for sale where the processing of A and B is completed

Take production After completionOf B and sell

Trading goods: Purchase FG and sell FG without doing any processing.Services: Plant is having operating capacity

No sales ordersJob work for othersWe get job work changes MaterialDoes not belong to us

- Material types are similar to account groups in FI- There we create GL masters here we create material masters.- GL master are created under account group where as material masters are created under material type.- Material master is created at plant level-when number of plants are using the same material it will be

extended(copied) to other plants.- For materials we can open 2 periods at a time.

Oct Nov.When we open Dec.-Automatically Oct will be closed.Where we crate material master We will have number of tabs (Views)Basic dataPurchase viewSales viewMRP viewQualityWare house managementAccountingCosting

MM Flow A) Material requisition By production Dept to StoresB) Purchases requisition By stores to purchasesC) Call for enquiries, Get quotations and do price comparisons By purchase Dept.D) Create purchase order Vendor number, Material

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