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8/20/2019 TFIN50 2 Summary
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Financial Accounting TFIN 50_2 Prepared by:
Summary Zeeshan R Haryani
Page 1 of 41
Financial Accounting TFIN 50_2
Summary
Prepared By
Zeeshan Raza Haryani
ACA, ACCA Finalist
Certified FICOBW
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Financial Accounting TFIN 50_2 Prepared by:
Summary Zeeshan R Haryani
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ContentsUnit 1 – Fundamentals ...................................................................................................................................... 4
Lesson 1 – Customer/Vendor Accounts ....................................................................................................... 4
Lesson 2 – Bank Accounts ............................................................................................................................ 4
Lesson 3 – Simple Documents in SAP Financial Accounting ...................................................................... 5Unit 2 – Automatic Payments ........................................................................................................................... 7
Lesson 1 – Payment Run............................................................................................................................... 7
Lesson 2 – Payment Program Configuration ................................................................................................ 7Lesson 3 – Running Payment Program ......................................................................................................... 9
Lesson 4 – Payment Medium Workbench .................................................................................................. 11Lesson 5 – Debit Balance Check ................................................................................................................ 13
Lesson 6 - Automating the Payment Process .............................................................................................. 13
Unit 3 – Automatic DunningPayments ........................................................................................................... 14Lesson 1 – Dunning Run............................................................................................................................. 14
Lesson 2 – Dunning Program Configuration .............................................................................................. 14
Lesson 3 – Parameters for Dunning Run .................................................................................................... 16Lesson 4 – Dunning Run.............................................................................................................................. 16
Lesson 5 – Editing Dunning Proposal ........................................................................................................ 17
Lesson 6 – Printing Dunning Notices ......................................................................................................... 17
Unit 4 – Correspondence ................................................................................................................................ 19Lesson 1 – Correspondence Overview ....................................................................................................... 19
Lesson 2 – Correspondence Types ............................................................................................................. 19
Unit 5 – Country Specifics .............................................................................................................................. 21Lesson 1 Check Management ..................................................................................................................... 21
Unit 6 – Overview of Closing Activities ........................................................................................................ 22
Lesson 1 Month-End and Year-End Closing Processes ............................................................................. 22
Unit 7 – Financial Statements ......................................................................................................................... 23Lesson 1 Financial Statement Version ........................................................................................................ 23
Lesson 2 Drilldown Reporting .................................................................................................................... 24
Unit 8 – Receivables & Payables .................................................................................................................... 25Lesson 1 Balance Confirmation .................................................................................................................. 25
Lesson 2 Foreign Currency Valuation ........................................................................................................ 25
Lesson 3 Value Adjustments ...................................................................................................................... 26Lesson 4 Regrouping .................................................................................................................................. 27
Unit 9 – Accruals and Deferrals...................................................................................................................... 28
Lesson 1 Accrual / Deferral Postings.......................................................................................................... 28Lesson 2 Accrual Engine ............................................................................................................................ 28
Unit 10 – Technical, Organizational and Documentary Steps ........................................................................ 32Lesson 1 Technical Steps ............................................................................................................................ 32
Lesson 2 Documentary Steps ...................................................................................................................... 32Lesson 3 Document Splitting ...................................................................................................................... 32
Lesson 4 CO-FI Reconcialiation ................................................................................................................. 32
Lesson 5 Ledger Group Postings ................................................................................................................ 33Unit 11 – Closing Cockpit .............................................................................................................................. 35
Lesson 1 Closing Cockpit ........................................................................................................................... 35
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Unit 12 – Additional Material ......................................................................................................................... 38
Lesson 1 – Financial Statement Adjustments in Classic General Ledger Accounting ............................... 38
Lesson 2 – Controlling ................................................................................................................................ 38Lesson 3 – Cost of Sales Accounting ......................................................................................................... 38
Lesson 4 – General Tax Processing ............................................................................................................ 39
Lesson 5 – Tax Reporting in USA .............................................................................................................. 40Lesson 6 – Tax Reporting in Germany ....................................................................................................... 40
Lesson 7 – Tax Reporting in European Union............................................................................................ 40
Lesson 8 - Reporting in Accordance with German Foreign Trade Regulations ......................................... 40
Lesson 9 – Consolidation ............................................................................................................................ 40
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Unit 1 – Fundamentals
Lesson 1 – Customer/Vendo r Accou nts
Like G/L accounts, customer/vendor accounts have two segments in the financial accounting view:
o
One segment at client level that contains general data. This data can be accessed throughoutthe whole organization.
o A segment with company code specific data at company code level.
Important fields in master data include:
o Search term: You can enter an abbreviation for the customer/vendor name in this field.
o Group key: You can group together customers or vendors who belong to one corporate groupwith a user-defined group key.
o Accounting clerk: You must save the name of the clerk under an ID. You can enter this codein the customer/master records, for which the clerk is responsible. The clerk’s name is then
automatically printed on all correspondence. The code is also used to sort dunning and
payment proposal lists.
o
Explanatory texts can be entered in every segment.
Line item display and open item management are always preset to ON for every customer/vendor
account.
As with G/L accounts, you can bundle AP/AR accounts into different account groups which controls
o The account number range, to make sure that all the accounts in the group have similar
account numbers.
o The field status of the account fields. All accounts of an account group have the same screen
layout.
o Whether the account is used as a one-time account (for one-time customers or vendors).
The screen layout for customer/vendor master data is defined by three field status definitions:
o Account group-dependent field status - Usually the field status is controlled only by the
account group. This way, all the accounts in an account group have the same screen layout
o Transaction-dependent field status - The field status can also depend on the master data
transaction (Activity). Whereas you can use the account group-dependent field status todefine the field status for all three segments, the transaction-dependent field status only
provides access to the client and company code segments. Reason: The transactions take
effect locally. In other words, they do not affect the sales area segment.
o Company code-dependent field status - If the field status is controlled by the company code,
you can hide (suppress) certain fields in the company code segment for certain company
codes.
Lesson 2 – Bank Accounts
The International Bank Account Number (IBAN) 34 alphanumeric characters are an internationally
recognized and unique number that identifies a specific bank account. It was designed by the
International Organization for Standardization (ISO) and the European Committee for Banking
Standards (ECBS) to facilitate the handling of international payment transactions. We can enter it asfollows:
o The IBAN can only be entered in a vendor or customer master record if the business partner
provides his or her IBAN and requests the entry.
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o When you enter an IBAN for new bank details, the system can generate the country-specific
bank details for certain countries.
If a customer is also a vendor, or vice versa, the payment and the dunning program can clear openitems against each other. To clear open items, the following steps are required:
o The vendor account number must be entered in the customer account; the customer account
number must be entered in the vendor accounto Each company code can decide separately whether it wants to clear open items. If clearing is
to be used, you have to select the Clearing with Vendor field in the customer account, or the
corresponding field in the vendor account.
At the client and company code level, you can enter an alternative payer/payee. The entry in the
company code segment has higher priority than the entry at client level.
In case of head office and branch accounts, all items posted to a branch account are automatically
transferred to the head office account.
Each bank that is used must have a bank master record in the bank directory in the system.
Bank master data can be copied into the bank directory manually or automatically. Each bank master
record in the bank directory is uniquely identified by the bank country and a bank key.
The house bank is the bank used for internal business. A bank becomes a house bank when youassign a house bank ID to it. The payment program uses the house bank ID to determine the bank to
be used.
There are four ways to create bank master data:
o When entering bank information in the customer or vendor master record, or in the
Customizing for house banks:
o Using the Create Bank transaction in the Accounts Receivable/Payable master data menu.
o The bank directory can be imported from disk or tape which can be obtained from one of the
country banking organizations.
o Customers that use the lockbox function can create a batch input session that automatically
updates customer banking information in the master record.
The house bank ID and the account ID together uniquely identify an account. An account ID canonly be used once for each house bank. You can create several accounts, each with a separate
account ID, for each house bank. This combination is entered in a G/L account that represents the
bank account in the general ledger.
A G/L account must be created for each bank account. This G/L account is assigned to the bank
account and vice versa. Both accounts must have the same account currency.
Lesson 3 – Simple Documents in SAP Financial Acco unt ing
As a rule, at least one document is created for each business transaction. Each document receives a
unique document number.
Document numbers can be assigned either internally (by the system) or externally (by the user). Thenumber is assigned when the document is entered.
Every document is uniquely identified by the following fields:
o Document number
o Company code
o Fiscal year
Documents in SAP Financial Accounting consist of:
o A document header (information that applies to the entire document)
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o Between 2 and 999 line items (information that is specific to that line item).
Two important control keys:
o Document type for the document header
o Posting key for the line items
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Unit 2 – Automatic Payments
Lesson 1 – Payment Run
The SAP payment program lets you automatically
o Select open invoices to be paid or collected
o Post payment documents
o Print payment media, use data medium exchange (DME), or generate electronic data
interchange (EDI)
The settings for the payment program are defined in three places:
o In the master record for the business partner, for example: bank details and payment methods
o In the items, for example, payment methods in the document, terms of payment, and so on
o In Customizing for the payment program
The payment process consists of four steps:
o
Setting parameters: In this step, the following questions are asked and answered: What is to be paid? Which payment method is to be used?
When is the payment to be made? Which company codes are to be considered? How are they to be paid?
o Generating a proposal: Once you have entered the parameters the system starts the proposal
run. It generates a list of business partners and open invoices that are due for payment.
Invoices can be blocked or unblocked for payment.
o Scheduling the payment run: Once the payment list has been verified, the payment run is
scheduled. A payment document is created and the general ledger and sub ledger accounts
are updated.
o Printing the payment media: The accounting functions are completed and a separate print
program is scheduled to generate the payment media
Lesson 2 – Payment Program Conf igurat ion
There are six configuration areas for the payment program:
o 1. All company codes (open items are automatically counted or included)
o 2. Paying company codes
o 3. Payment method per country
o 4. Payment method per company code
o
5. Bank selectiono 6. House banks
The first three areas only require minimum changes. The standard system contains the common
payment methods and their corresponding forms, which have been defined separately for eachcountry.
1. All company codes
o A. Control Data
Payment relationships that apply across all company codes are defined here.
Sending Company Code - whose payment methods are accepted (sub ledger
accounting) Company code A pays for company code B. Company code B is the
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sending company code. If no sending company code is defined, the paying company
code is interpreted as the sending company code. Paying Company Code: This is the company code that processes outgoing payments.
This is the company code that records the bank postings. The sub ledger postings are
recorded in the sending company code.
Payment Method Supplements: These are two-character alphanumeric codes that aretaken from the business partner’s master record that is transferred to the document
when the payment is posted.
Advantage: The payment media can be sorted and printed separately according to payment method supplement (such as sent to a vendor in the same building by
internal mail; functions as a mail box stop (internal dispatch method)).
Vendor/Customer Sp. G/L Transactions to be paid specifies which special general
ledger transactions can be processed with the payment program.
o B. Cash Discount and Tolerances
You can define a minimum discount limit for outgoing payments. If the discount is
less than this limit, it is ignored and the payment is not made until the due date for net
payment. The maximum discount setting causes the maximum discount to be used, even if the
cash discount period has been exceeded. Tolerance days for payables specify the number of days by which the cash discount
period and period for net payment may be exceeded (delayed payment).
2. Paying company code
o The minimum amount for incoming/outgoing payment specifies the minimum amountrequired to make an incoming or outgoing payment.
o The forms that will be used for each paying company code.
o If you choose no exchange rate differences, the full exchange rate differences are not posted
until the bank posting has been received.
o
The Separate Payment for Each Reference setting specifies that a payment can only be usedto pay invoices and credit memos that have the same payment reference.
o Define how many bills of exchange are created for each account during the payment run forthe bill of exchange payment method.
o Control which open items for the bill of exchange payment method are to be considered
during the payment run using the due date specifications
3. Payment Method per country
o Payment method either for outgoing or incoming payment
o Characteristics for classifying the payment method: What is the method of payment and what
are its characteristics?
o Postal bank/postal check account
o
Allowed for Personnel Paymentso
Requirements in the master records, for example, address required for check Posting details:
o Document types for postings
o Payment media info: Print programs; standard programs RFFOD* (such as RFFOD__S) or
PAYMENT MEDIUM WORKBENCH
o Key in the code line: For the bank; for example, 51 on bank transfers
o Permitted currencies (if no entry is made - valid for all currencies)
4. Payment Method per company code
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o Minimum and maximum payment amounts - The breakdown amount has the following
function: Payments that exceed this amount are analyzed to see whether a split into several payments is possible, with the specified amount as the maximum.
o Whether payments abroad and foreign currencies are allowed Foreign business partner allowed (address)
Customer/vendor bank abroad allowed (bank country) Foreign currency allowed
o Grouping of items:
o Single payment for marked items: Items that contain this payment method are paidindividually; if an item does not contain a payment method with the result that the payment
method is determined from the master record, it can be paid together with other items.
o Payment per due day: Specifies that only items that are due on the same day are paid with a
single payment.
o Bank Selection Control - Settings for selecting the house bank
No optimization Optimization by bank group: Every bank can be freely assigned to a bank group; the
program looks for a solution where two banks are used that are assigned to the same bank group. Optimization by post code: Allows you to choose the house bank based on the
business partner’s location.
4. Bank Selection
o The order in which the house banks are used is determined as follows: The payment
method/currency determines which house bank is used first, second, third, and so on.
o For each combination of house bank and payment method, you can specify the:
Offsetting account for the sub ledger posting (bank subaccount)
Clearing account: For payments by bill of exchange, the offsetting entry for the bill of
exchange liability at the bank is made here.
Available funds in each bank. Note that the amount field is not updated automaticallyafter each payment run.
o These sub-accounts are managed with open items so that users can manage the status of the payments.
o The number of days up to the value date is the probable number of days until a debit memo
or credit memo is entered in the bank account. The number of days is usually added to the posting date to produce the expected debit or credit memo date on the bank account for cash
management and forecast purposes.
o The value date is usually calculated from the posting date of the payment run plus the
number of days up to the value date.
o The incoming and outgoing payment functions have a bank charges field for entering all
types of bank charges. For incoming payments, the system subtracts the bank charges from
the clearing amount. For outgoing payments, it adds the charges to the clearing amount. Thesystem also posts the charges to an expense account. To do this, it requires a posting key and
an account assignment, both of which are already defined in the standard system
Lesson 3 – Running Payment Program
Every payment program run is identified by two fields:
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o Run Date – it is recommended as the actual date when the program is executed. Its main
purpose is to identify the program run
o Identification - The identification field is used to differentiate between program runs that
have the same run date.
All documents that were entered up to the Docs entered up to date are included in the payment run.
The posting date is the date when the general ledger is updated with the postings. This date isdefaulted from the run date on the previous screen.
If multiple company codes are listed, they have to be separated by commas.
The company codes in a payment run must be in the same country.
For each country, we defined payment methods that can be used within that particular country. From
these payment methods, choose the ones to be used in the current payment run.
If you use more than one payment method in the payment run, remember that the order in which you
enter them is important. The method entered first has first priority; the next has second priority, andso on. The system makes the payment using the highest priority possible after the check.
What happens in the proposal run?
o The items to be paid are selected (based on the search criteria entered with the parameters).
o
The items for the payments are collected and payment methods and bank details assigned.o If the system cannot find a payment method or bank details, the items are added to the
exception list.
o The proposal and exception list are generated after the proposal run.
How is the due date determined for payables?
o A vendor item is paid if the following applies at the next payment run (taking the tolerance
days into account):
o 1. The discount has expired.
o 2. A lower discount should be received.
o 3. The net due date would have been exceeded.
Once the proposal run is completed, the system generates two reports: the payment proposal list and
the exception list. You can edit these reports online or print them. The proposal list shows the business partners and the amounts to be paid or received.
Any exceptions are also listed here. Users can drill down several times to view and change the
details of the individual payment items
There are several ways to configure a payment block:
o If a problem arises during the invoice verification process, the invoice is usually blocked for payment.
o If there is a reason why a vendor should not be paid, you can create a payment block in the
master record.
o When an AP invoice is entered, an invoice may be blocked for payment.
o You can define additional payment blocks in the system. Users can also specify whether the
payment block can be removed when payments are processed. After you have edited the payment proposal, the system uses it as a basis for the actual payments.
What happens during the payment run?
o Payment documents are created or posted.
o Open items are cleared.
o Postings are made to general ledger and sub ledgers
It is advisable to use bank subaccounts for posting incoming and outgoing payments, for example,accounts for outgoing checks, outgoing transfers, incoming checks and transfers received.
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There are many advantages to using subaccounts. You can reconcile the bank account balance at any
time with the corresponding G/L account. Subaccounts are generally managed on an open item basis
and with line item display.
The document type for payment documents is defined in the country-specific specifications for the
payment method. For cross-company-code payments, you can enter a further document type that is
used for the clearing postings. Both document types must be defined using internal numberassignment.
Documents from the payment run contain the date and identification number (for example,
19940301-ID) of the run in the document header text.
For calculating the value date of check payments, you can enter a check cashing time in the masterdata. This has priority over the days to value date for checks
The print run starts the standard print programs, which can both generate the payment media (such
as checks) and provide the files (DME) for transfer to the banks.
Individual steps:
o The payment media, payment advice notes, and payment summary are sent to the print
administration
o
The DME payment data is sent to DME administrationo Intermediate documents are created for selected payments and forwarded to the EDI
subsystem.
A print program is assigned to each payment method for each country.
A print program is assigned to each payment method for each country when it is configured. To runthe print programs, the system needs at least one variant for each print program and payment
method.
If several variants are assigned to a print program, the system runs the program once for each
variant.
The first print program run by the payment program is the print program RFFOEDI1. This program
chooses all the payments that were selected for EDI. Intermediate SAP documents are created for
these payments and forwarded to the EDI subsystem. The EDI subsystem then transforms theintermediate documents into EDI data, which is sent to the bank.
With Data Medium Exchange, a file is created that contains all the relevant payment information in
accordance with the banking rules of the country in question. The DME file is stored in DataMedium Administration and can be downloaded to a data medium. You can also print out the DME
accompanying note. The data medium and the DME accompanying note are then sent to the bank.
The DME file can be either stored in the SAP TemSe (TEMporary SEquential file) within the SAP
System or in the PC file system. In the SAP TemSe, the file cannot be accessed by unauthorized
external users
The print program:
o Assigns check numbers to payment documents
o
Updates the payment documents and original invoice documents with the check informationo Prints checks and accompanying documents
Lesson 4 – Payment Medium Workb ench
PMW is used to create payment media. The user is provided with a generic payment medium program for all payment medium formats whose variants are to be entered in Customizing. The user
can create the structure of the note to the payee and choose different notes to the payee according to
their origin (vendors, customers, personnel, travel expenses, treasury, online payments, and so on).
Developers, consultants, and system administrators have simple tools for changing delivered formats
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without modification or setting up new formats. Well-known development tools (Data Dictionary,
Function Builder, and so on) and the new Data Medium Exchange Engine (DMEE) are integrated,enabling PMW to function like a workbench.
Simple, modification-free options for adjusting delivered formats to meet customer or bank
requirements (including individual selection parameters for the payment medium program). Simple
tools for creating new formats (no programming experience required to use the DMEE).Customizing to structure the note to the payee. Standardized creation of advice notes with the newRFFOAVIS_FPAYM program. Improved performance, especially for large payment runs
A payment method becomes a PMW payment method in only four steps:
o 1. The payment medium format is assigned to the payment method after you have determined
that you want to use PMW. You may have to enter a substitute format.
o 2. The note to the payee is assigned to the payment method by origin. Here you can use the
examples provided by SAP: SAMPLE 02 as the note to payee for FI-AP and FI-AR and
SAMPLE 00 for all others (origin remains blank), for example.
o 3. You enter the form for the accompanying sheet provided by SAP in the payment method
for each company code (under Next Form).
o
4. And finally, you must create and assign selection variants. Additional info on PMW
o Set the PMW payment medium formats
o Release information on PMW
o Documentation on the generic payment medium program
o Integration of check management in PMW
o Creation of cross-payment run payment media
o PMW connection to online payments
Conversion Steps for a Payment Method:
o 1. Switch to PMW (radio button) in the payment method definition/country.
o 2. Enter an existing PMW format in the payment method definition/country. Hint: Note the
documentation buttons for the PMW and the individual PMW format.o 3. Assign notes to payee (general and/or origin specific) to the payment method
definition/country (for example, SAMPLE 02 for origin FI-AP and FI-AR)
o 4. Assign a PMW form for accompanying sheets
o 5. Remove the form for document-based payment medium (if you have not already done so)
o 6. Create and assign selection variants for each payment group.
When the payment media are created for a payment with a PMW payment method, the programSAPFPAYM_SCHEDULE is launched.
This first carries out a pre-service. The pre-service processes the data supplied by the payment run
again specifically for the PMW:
o The payments are sorted according to PMW format and other format-specific fields.
o
Payment groups are created based on the level of granularity (one payment medium file isusually created later for each group).
o The note to payee is formed
The granularity is specified in the definition of the payment medium format and determines how the
payment media are to be output separately in payment groups. A payment group usually correspondsto one payment file.
Every PMW format (with or without a supplement) has up to three types of text fields for referenceinformation (text box on the left in the PMW Format graphic above).
o Type 1: Invoice information (classic note to payee)
o Type 2: Internal reference (in case the payment media is returned)
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o Type 3: External reference (for the business partner)
Lesson 5 – Debi t Balance Check
In some cases, the payment run can result in payments being made even though the account has a
debit balance.
The debit balance check can be carried out after a payment proposal has been created. The check
offsets the entire due debit items without an incoming payment method against the proposed
payments. If the resulting debit balance or credit balance is less than the minimum payment amount,the payments are added to the exception list and the account is placed on a list of blocked accounts.
The relevant accounts remain blocked even if the payment proposal is then deleted.
Lesson 6 - Autom at ing the Payment Process
Program RFF110S is used to schedule the payment program SAPF110S in the background. Theselection screen for this program essentially features the same parameters as transaction F110.
The program RFF110S, in turn, can automatically run four additional programs consecutively.
o To prevent outgoing payments despite a due debit balance, the program RFF110S should first
be scheduled as a proposal run. Following this, the program RFF110SSP should be called
automatically to perform the debit balance check.
o After the debit balance check, the program RFF110S is called again automatically. This time,
however, as an update run with possible generation of the payment media
The programs can be scheduled to run periodically using job management or the Schedule Manager.
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Unit 3 – Automatic Dunning Payments
Lesson 1 – Dunning Run
During the dunning run, the system chooses the accounts and checks them for items that are overdue
Finally, a check is made whether reminders have to be sent and dunning levels are allocated. Alldunning data is saved in one dunning proposal.
The dunning proposal can be edited, deleted, and re-created as often as required until the accountingclerk is satisfied with the result.
Four steps that have to be taken by the dunning program to perform the automatic dunning procedure.
o Maintain parameters
o Proposal run
o Edit the dunning proposal
o
Print the dunning notices
Lesson 2 – Dunning Program Conf igurat ion
The dunning procedure controls how dunning is carried out. Every account that is to be included in
the automatic dunning process needs to have a dunning procedure. One-time-accounts also have a
dunning procedure that is valid for all one-time customers.
The dunning procedure can process standard and/or special G/L transactions
Dunning Program settings are divided into following
o
Dunning procedureo Dunning levels
o Expenses/charges
o Minimum amounts
o Dunning text
o Environment
Dunning Procedure - The following settings are defined for the dunning procedure:
o The key to be used (for example, 0001)
o A description of the dunning procedure
o Dunning Interval in Days = Dunning Frequency: The system checks whether the run date is
at least this number of days after the date of the last dunning run. If this is not the case,dunning is not repeated.
o The sum of items due from the dunning level: = Dunning level from which all the due items
are totaled.
o Minimum days in arrears (account): At least one item in the account must have reached at
least this number of days; otherwise, the item is not dunned. An item whose number of days
in arrears is less than or equal to the number of grace days is not considered due during thisdunning run.
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o Line item grace period: Number of days taken into account when the due date is determined
for the dunning run. A line item whose number of days in arrears is less than or equal to thenumber of grace days is not considered due during the dunning run.
o Interest indicator: The interest indicator must be entered to calculate dunning interest.
o Dunning letter even if account balance is positive If this flag is not set, the account balance is
always checked: Dunning notices are only created if the account balance is in debit (that is,the business partner has an overall payable).
o If you choose the Always Dun option, dunning notices are printed even if the dunning
proposals have not changed since the last dunning run. A dunning proposal is consideredchanged if it fulfills at least one of the following criteria:
At least one item has reached a different dunning level
A new item was added to the dunning notice
The dunning level of the account was changed
Expenses/Charges
o You specify dunning charges for each dunning level.
o Dunning charges can be defined for each currency and depend on the dunning level.
o
You can use the word processing features to print these charges on dunning forms.o Either fixed amount or a percentage of the dunned amount.
o You can define a minimum amount (“from dunning amount”) for every dunning level.
Minimum Amount
o If the minimum amount for overdue items is not reached in a dunning level, the items in this
dunning level are assigned to the next lowest level and the system checks whether a dunning
notice can then be created in this dunning level.
Dunning Text
o The dunning program can generate payment advice notes, dunning notices, and payment
forms.
Environment
Depending on the company code and account typeo Company code data: Specifies whether dunning notices for a company code are to be created
separately by dunning area rather than by account; in this case the dunning data in the business partner’s master record is updated by dunning area. A dunning area is an
organizational entity, that is, a substructure of a company code that is responsible for
dunning.
o Sort fields: Environment→ Sort Fields→ Dunning Notice Header or Dunning Notice Itemfor sorting dunning notices and items by certain criteria
o Sender details (footer and header) – Details about your company such as the company logo,
bank details in footer, and so on
o Dunning areas: Define for each company code Standard texts have to be assigned to a
company code and (optionally) a dunning area. A standard text contains the text for the letterheader which can include a company logo and a telephone number, for example.
o Dunning key: specifies that the line item can only be dunned with restrictions or must be
displayed separately on the dunning notice
o Dunning block reasons: Dunning blocks prevent accounts and items from being dunned
o Interest: Interest rate for maintaining the interest on debit balances (dependent on currency
and time)
o Dunning grouping Grouping key (document fields with the same contents, for example,
financial assets management with identical rental agreements)
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Lesson 3 – Parameters for Dunning Run
Every dunning program run is identified by the following two fields:
o Run date - The run date does not have to be the actual date when the program is executed, butthis is recommended. Its main purpose is to identify the program run.
o
Identification - The Identification is used to differentiate between programs that have thesame run date.
You use the parameters to specify which company codes, documents, and accounts are to be searchedfor overdue items. The additional log records the individual processing steps in the dunning run.
Lesson 4 –Dunning Run
The dunning run creates a dunning proposal that can be edited, deleted, and re-created as often asnecessary. If necessary, you can automatically print out the dunning notices directly after the
dunning run. In this case, you decide not to edit the dunning proposals.
The dunning run can be divided into the three steps above for more clarity.
o Step 1: Account Selection. In this step the program checks which accounts shall be
considered in the dunning run according to the parameters and configuration. The following criteria must be fulfilled:
A dunning procedure must be entered in the master data.
The date of the last dunning run entered in the account must be earlier than thedunning interval date of the dunning procedure.
o Step 2: Dun Line Items. In this step, the system checks which line items are overdue in the
selected accounts and which dunning level should be applied.
o Step 3: Dun Accounts. In this step, the system checks whether payments have to be dunned
for an account and, if so, which dunning level should be used.
Usually the payment terms of a credit memo do not apply. Instead, the following rules are valid:
o If a credit memo is invoice-related, it has the same due date as the invoice.
o All other credit memos are due at the base line date.
The due net debit items on the account are cleared with the due net credit items. The credit items areassigned to the debit items with the highest dunning level and are cleared with these items.
If you have chosen clearing between customer and vendor, the due net credit items in the vendor
account are also cleared with the items with the highest dunning level. The same dunning procedure
must be defined for both the customer and vendor.
You can create dunning procedures with and without grace days. What effect do grace days have?
If no grace days are defined, the system starts the dunning procedure as soon as the due date for net
payment is reached. If two grace days are defined, for example, dunning does not take place until two days after the due
date for net payment.
Due date: Day by which the liabilities should have been paid.
Dunning date: Day when the overdue items are dunned.
Every dunned item must be overdue, but not all overdue items are dunned.
If items are overdue but there is a dunning block in the item, the system adds these items to the
blocked items list.
If payments have to be dunned for an account, but the account contains a dunning block, the system
adds the account to the list of blocked accounts.
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Each dunning procedure contains up to nine dunning levels.
The dunning notice wording is usually influenced by the dunning level. The higher the dunning
level, the stronger the formulation in the dunning text. Each item to be dunned is assigned a dunning
level according to its days in arrears.
By assigning dunning keys to certain items, you can prevent these items from exceeding a certain
dunning level. The account can only be dunned if at least one item has reached the minimum days in arrears per
account.
The account gets the highest dunning level of all the items to be dunned. If all items are dunned with
one dunning notice, the dunning text is worded according to highest dunning level.
Accounts in a legal dunning procedure are subject to a different rule. If the start date of the legal
dunning procedure is entered in the account master data, the account is always dunned if one of the
following conditions is fulfilled:
o Postings have been made since the last dunning run.
o The Always Dun in Legal Dunning Procedure indicator is selected.
Lesson 5 – Edi t ing Dunn ing Propos al
After the dunning proposal has been created, it can be edited by a clerk.
To support the clerks work, the following lists can be printed:
o Dunning statistics
o Dunning list
o Blocked accounts
o Blocked line items
o Dunning history
The clerk can:
Block an account in the current dunning proposal or remove the dunning block.
Block a line item in the current dunning proposal or remove the dunning block.
Lower the dunning level of an item in the current dunning proposal.
Change the dunning and correspondence data of an account in the master record.
o This change does not apply to the current dunning run.
Change a document.
o This change does not apply to the current dunning run.
Lesson 6 – Pr int ing Dun ning Not ices
The print program for the dunning procedure:o Groups items to be dunned with a dunning notice according to various rules
o Generates a dunning notice for each group
o Enters the dunning date and level in the dunned items and accounts
Items that are to be dunned are grouped together in dunning notices as long as they have the same:
o Company code
o Dunning area (if dunning areas are used)
o Account
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You can also group items by the following criteria. Examples:
o Dunning by dunning level:
In the company code specific settings for the dunning program, you can choose whether aseparate dunning notice is to be printed for each dunning level. In this case, the text for the
dunning notice is selected according to the dunning levels of the grouped items.
o
Grouping key:You can enter a grouping key in the customer/vendor account to group items in dunningnotices that have the same values in the fields assigned to the grouping key.
o Decentralized processing:
If a customer has a head office with several branch offices, items are posted to the centralaccount. As a result, the head office usually receives one dunning notice with all the due
items from its branch offices. If decentralized processing is selected in the branch accounts,
dunning are processed locally, that is, the notices are sent to the branch offices.
You can use cross-company code dunning to combine overdue items from different company codesin one dunning run. The overdue items from one customer that exist in different company codes are
dunned with one dunning notice. The items are grouped according to predefined rules, for example,
by dunning levels, dunning areas, or dunning grouping, and assigned to one or more dunningnotices. This means that you do not have to send the customer a separate dunning notice for each
company code.
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Unit 4 – Correspondence
Lesson 1 – Correspond ence Overv iew
Correspondence is required in many areas of external accounting. Many companies strive toautomate their correspondence activities.
Periodic correspondence is triggered by specifications made in the master record, such as invoices
and account statements. The interval (weekly, monthly, and so on) is specified in the
customer/vendor master record
The correspondence creation process comprises the following steps:
o Step 1: Request the required correspondence. Here, the system initially only notes internally
which correspondence types are to be created.
o Step 2: The requested correspondence types are printed. Typically, correspondence is printedautomatically with a particular frequency, for example, dunning letters, account statements,
and so on. In certain cases, it is possible to print certain correspondence types individually
and on demand. The print request is sent to the spool system.
Lesson 2 – Correspondence Types
Basic types of correspondence:
o 1. Collective request with a selection program (for example, periodic bank statement)
o 2. Manual individual request (for example, open items list, bank account statement,
individual correspondence)
o 3. Automatic individual request (for example, payment notice)
You can generate correspondence directly from many screens in the system (manual individualrequest).
o Document creation
o Display/change line items
o Balance display
o Line item processing
o Payment
A correspondence type represents a type of letter in the system. You have to create a correspondence
type for every type of letter you need.
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Data from several different company codes can be combined in one letter. Select the Cross Company
checkbox in the correspondence type and assign the company codes to correspondence company
codes in the IMG.
A correspondence type can have several different form letters. The individual forms aredistinguished by their form ID. This ID is assigned to the selection variant to make sure that the right
letter is printed.
If you are using different types of correspondence depending on the reason code, select the
According to Reason Code checkbox.
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Unit 5 – Country Specifics
Lesson 1 Check Management
The check and payment document are created in two separate steps. When the check is created, thecheck number, bank information, and the check recipient are printed on both the payment document
and the open invoice.
If errors are made, users must decide whether to reprint or void the check, or whether to void and
reverse the check and the payment document.
There are three ways to pay an invoice in the SAP system:
o With the automatic payment program: This program creates several payment documents and
checks automatically. This program is used to pay several vendors at once.
o With Post and print forms: This function creates individual payment documents and checks.The user manually selects the invoices for payment. You use this function to pay a specific
vendor or invoice.
o
Post: Creates individual payment documents after the user has manually selected the invoicesfor payment. As in the previous example, you use this function to pay a vendor or a specific
invoice using pre-printed checks that are filled out manually or with a typewriter.
Checks can be voided (you have to give reason) before the print run in the following cases:
o Accidentally damaged
o Stolen
o Destroyed
Checks can be voided after the print run in the following cases:
o Not required because a cash payment is made instead
o Torn during printing
o
Used for a test print
In each case, you have to decide whether the payment document needs to be reversed. The system
allows you to:
o Reverse the check
o Reverse the check then reverse the payment document separately
o Reverse the check and the payment document simultaneously
When you void a check, the payment document, original invoice, and check register are updated.
When you reverse a document, a new reversal document is created.
The Check Register is a dynamic report that provides the following information:
o All checks
o Outstanding checks
o
Checks paid
o Voided checks
After notification that the check has been cashed is received, the RFEBCK00 program transfers the
check amount from the check clearing account to the cash account. At the same time, the cashing
date (date the check was cashed) is entered in the payment document, original invoice, and checkregister
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Unit 6 – Overview of Closing Activities
Lesson 1 Month-End and Year-End Closing Processes
Pre-closing activities that begin in the old month include:
o Technical - Open new accounting period (FI),
o FI - Enter accruals/deferrals, process recurring entries and bad debt expense in AR, post
depreciation and interest expenses in Asset Accounting
o MM - Maintain GR/IR clearing account, post material revaluations
o HR - Post payroll expenses
o SD - Post goods issues for deliveries to customers
o Technical - Close old month in (MM), close sub-ledgers (FI), preliminary close of G/L (FI)
Managerial closing activities include CO allocations and repostings, locking the old accounting
period in CO, and re-opening the G/L for adjustment postings. Closing activities for external purposes include:
o FI Foreign currency valuations
o Technical Final closing of the old period
o FI/CO Creating external and internal reports
Pre-closing activities that begin in the old month (before year end closing) include:
o Technical - Open the first accounting period of the new fiscal year (FI),
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o MM - Perform physical inventory count (may be performed on up to a monthly basis)
o PP/CO - Update product cost estimates (may be performed more frequently)
o MM - Lowest value determination and LIFO/FIFO valuation
o AA - Asset valuations and investment support
o FI - Balance confirmations for customers/vendors
o
Technical - Fiscal year change (AA) and balance carry forward (FI) Closing activities for external purposes include:
o FI - GR/IR clearing account analysis, receivables and payables reclassification, reconciliation
of prior year to new year, and other adjustment postings
o Technical - Final closing of the old period (AR/AP and G/L)
o FI/CO - Creating external and internal reports
Unit 7 – Financial Statements
Lesson 1 Financial Statement Version
The SAP ERP system provides a standard report (RFBILA00) for creating financial statements.
Financial statement versions are also used in the structured balance list, drilldown reporting,
planning, and transferring data to consolidation.
The financial statement version enables you to configure the report format such as whether to createthe report at the business area level, segment level, profit center level, company code level, and so
on (the document split must be activated to create financial statements for additional entities). You
determine the following:
o Which items are to be included and the sequence and hierarchy of these items
o The text describing the items
o The charts of accounts and the individual accounts relevant to the report
o
The totals to be displayed You define a financial statement version in two steps:
o Enter it in the directory of financial statement versions
o Define hierarchy levels and assign accounts
Each version must have the following “special items”
o Assets
o Liabilities
o Profit
o Loss
o Profit and loss results
o Accounts not assigned
o
Notes to Financial Statemento Non Assigned Accounts
The net profit or net loss is only determined from accounts that are assigned to the assets andliabilities items. Accounts belonging to the items notes to financial statement (see above) or not
assigned are not taken into account
A financial statement version consists of a maximum of 20 hierarchy levels.
o a) Assign items to each level. The system calculates a total/subtotal for each item, which is
then displayed when the program is run.
o b) Assign texts to each item.
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o c) Assign the accounts whose balance and account name are to be listed to the lowest levels.
You can write additional texts for each item in a financial statement. You can write up to four lines
of text at the beginning and/or the end of an item.
You use account group assignment to determine in which cases the balance of a specific account
group is to appear in a specific financial statement item. (e.g. Bank with positive or negative
balance)
Lesson 2 Dri l ldow n Repor t ing
Drilldown reporting is a tool that enables you to analyze G/L account transaction figures andfinancial statements. You can also carry out variance analyses such as plan/actual comparisons,
fiscal year comparisons, and so on.
Drilldown reporting also provides functions for processing lists, such as sorting, conditions(threshold values), ranking lists, and so on. You can also access SAP Graphics, SAPmail, and the
Excel List viewer from your report. Characteristics and key figures form the basis of the drilldown report presentation. Characteristics
define how your data can be classified or provide a time reference. Key figures include stored values
or quantities and calculations based on these values and quantities. In G/L drilldown reports:
o Characteristics can include company, company code, business area, segment, profit center,chart of accounts, financial statement item, currency, fiscal year, period, and so on
o Key figures can include total credit balance, total debit balance, balance sheet value,
accumulated balance, balance carry forward, and so on.
Each report consists of a number of lists that are divided into two categories according to theircontent: drilldown lists and detail lists.
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Unit 8 – Receivables & Payables
Lesson 1 Balance Conf i rmat ion
At the beginning of the fiscal year, the balance carry forward program is run, carrying forward the balances of the customer accounts to the next fiscal year.
The posting periods of the old fiscal year are blocked and the special periods for closing postings are
opened.
The balances are then confirmed, the foreign currency documents valuated, the values adjusted, and
the receivables regrouped. Once complete, the special periods can be closed.
Balance confirmations are generated, foreign currencies valuated, and receivables regrouped in thesame way as in accounts payable accounting.
The program for creating balance confirmations automatically creates balance confirmations
(including reply slips) for a freely definable number of customers and vendors, as well as a
reconciliation list and a results table
Reports SAPF130D and SAPF130K create correspondence to and from your customers and vendorsto enable you to check the balance of receivables and payables.
You can choose from the following procedures:
o Balance Confirmation
o Balance notification
o Balance request
For each company code, the reports output a checklist and an error list. You use these to check thereceipt of balance confirmations. In the error list, the report logs the errors that occurred during the
evaluation
You must specify at least one address to which balance confirmations should be sent. Enter an ID or
leave the field blank.
Lesson 2 Foreign Currenc y Valuat ion
You carry out the foreign currency valuation before you create the financial statements. The
valuation includes the following accounts and items:
o Foreign currency balance sheet accounts, that is, G/L accounts that you manage in a foreigncurrency (the balances of the G/L accounts in foreign currency are valuated)
o Open items (customers, vendors, G/L accounts) posted in foreign currency (the line items are
valuated)
A valuation cannot be made by a posting to the payables account, since reconciliation accountscannot be directly posted to. For this reason, the amount is posted to an adjustment account, whichappears in the same line of the balance sheet as the reconciliation account.
A valuation method determines how the individual line items are valuated. This has to be set up in
conjunction with the country-specific valuation regulations. It defines, for example, whether
o the lowest value principle,
o the strict lowest value principle, or
o a general principle (also with revenue from the valuation) is to be used for valuation.
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Although the foreign currency valuation program FAGL_FC_VALUATION requires a valuation
area, valuation area Blank is sufficient in account maintenance that is, you define the accounts
without a valuation area.
A valuation area is assigned exactly one valuation method but the same valuation method can beassigned to multiple valuation areas.
In SAP you can tell which valuation approach is used in which ledger (=> values from different
valuation areas):
In addition to the leading ledger, you need (of course) at least one non-leading ledger
You define valuation areas (originating in FI). (=> See slide 1.)
You define accounting rules (AR). (=> See slide 2.)
You assign an accounting rule to the valuation areas (=> See slide 2.)
In turn, you combine the accounting rules with the corresponding ledgers. (=> See slide 3.)
You also define which valuation method (e.g. lowest value principle or basic valuation) will be used
for each valuation area in Customizing. (=> See 1. in this slide and the previous figure)
The posting document generated by the foreign currency program is reversed automatically with the
same program, on the first day of the next month. New with SAP ERP: The reversal is independentof the valuation area for which the foreign currency valuation run was started.
Foreign currency accounts are valuated by balance. Exchange rate differences in foreign currency balance sheet accounts are posted to various gains and losses accounts based on the exchange rate
difference key that you enter in the G/L account master record.
Lesson 3 Value Adjustm ents
The following options are available for creating value adjustments for receivables:
o 1. You enter individual value adjustments (IVA) as a special G/L transaction E.
o 2. You use the program SAPF107V Additional valuations to carry out a flat-rate individual
value adjustment.o 3. Once you have determined the amount of the value adjustment, you adjust the flat-rate
value by making a manual G/L account posting. The posting record is as follows: Expense
from flat-rate value adjustment to value adjustment.
Doubtful receivables are written off as an individual value adjustment (IVA) during year-end
closing. The special general ledger method is suitable for this procedure since the transaction isentered in the customer account and is also posted to a special G/L account, Individual Value
Adjustments for Receivables.
You assign the valuation adjustment key to the master record of any customer account that you want
to include in the flat-rate individual value adjustment posting.
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Lesson 4 Regrouping
Payables and receivables have to be listed separately in the balance sheet. Since it is possible forsome vendors to have a debit balance, these balances need to be changed to customer-like vendoraccounts prior to creating the financial statements.
In some countries it is also a requirement that payables are grouped in the balance sheet according to
their remaining life.
Both regroupings are carried out using a special program. At the same time, these regroupings areremoved for the first day of the next period, since regrouping are not necessary for daily processing.
Scenario: Your company code has receivables from and payables to a business
partner that:
o Is a customer as well as a vendor
o Is an affiliated company (for example, another company code in your group)
Non-SAP system:o In the general control data in the customer and vendor master data, define the same company
ID in the “Trading Partner” field.
o We recommend that you define an alternative reconciliation account in the master data
(receivables from, payables to affiliated companies).
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Unit 9 – Accruals and Deferrals
Lesson 1 Ac crual / Deferral Pos t ings
To ensure that expenses are posted to the correct period, you can enter accrual/deferral documents,
and then reverse them in a later step (collective processing). The reversal date (indicator) in that
document is then regarded as the posting date of the reversal document. When you enter the accrual/deferral document, you have to enter a reversal reason. The reason is
noted in the document that is reversed.
The reversal reason also defines whether:
o The reversal document can have a different posting date
o The reversal document can be comprised of negative postings
Expenses and revenue posted in one period can often originate in other periods. For this reason,
expenses and revenue have to be accrued/deferred, in other words, they are distributed to the periodsfrom which they resulted.
A distinction is made between
o Accruals
Triggering situation: Economically, expenses/revenue belong in the current period and areonly posted to a subsequent period once an invoice has been received or issued.
o Deferrals
Triggering situation: Expenses/revenue were posted to the current period on receipt/issue of
an invoice, but economically they belong, at least partially, in a future period.
Lesson 2 Accrual Engine
The Accrual Engine is a generic tool for calculating and creating accrual postings.
As input it receives basic data that describes the subject matter to be accrued, for example, data for a
rental agreement. The Accrual Engine uses this data to calculate the accruals and creates the related periodic postings.
The Accrual Engine is used amongst other things for:
o Manual Accruals in Financial Accounting
o Provisions for Awards
o Lease Accounting
o Intellectual Property Management
The Accrual Engine stores two types of data:
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o Basic Data - The basic data consists of a description of the subject to be accrued (accrual
object) and all other information required for carrying out the accruals. Basic data is time-dependent.
o Accrual Engine Documents and Totals Records All accruals postings create documents in the
Accrual Engine (Accrual Engine documents) and update fiscal year-specific totals records.
The Accrual Engine documents automatically create corresponding documents in FI. Variouslevels of summarization are possible. If errors occur during the FI update, you can trigger this
again manually.
Usually, two main processes are triggered from the application component:
o Create/change basic data Depending on the Customizing settings; an opening posting may bemade immediately.
o Periodic start of the accrual run or reversal of an accrual run An Info system gives you direct
access to totals records and documents in the
To activate an application component of the Accrual Engine you have to carry out the following
Customizing activities:
o
The application component must be assigned to the company codes that are to use it.o
The required accounting principles must be defined if this has not already been done.
o The application component must be assigned to the required combination of accounting
principle and company code.
o The current fiscal year must be open for the application component.
The Accrual Engine requires only a small number of closing activities of a purely technical nature.
o Reconciliation: Accrual Engine/General Ledger - Here, Accrual Engine documents and
General Ledger documents are reconciled with one another to check whether the transfer
to the General Ledger was complete and without errors.
o Balance carry forward - At the end of the fiscal year you have to carry forward the
balances of the accruals objects into the next fiscal year. This has nothing to do with the
balance carry forward in the General Ledger.
In the application component Manual Accruals, you create the basic data manually (subject matter to be accrued based on different contracts) via a simple user interface.
The subject to be accrued is defined as an accrual object. You make this definition manually in the
application component Manual Accruals Accrual objects in this application component are identified
uniquely for each company code using an accrual object number from a defined number range.
The accrual objects are grouped in accrual object categories for manual accruals. These summarize
the subject matter of similar accrual objects. For example, insurance contracts (accrual objects) can be assigned to the accrual object category Insurances
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Each accrual object can have several accrual items. An accruals item describes how a related
accruals type (usually costs or revenues) is accrued using a specific accounting principle
The accrual is calculated for each accrual item, for each combination of accrual type and accounting
principle specified. In addition to the amount to be accrued and possibly also a quantity to be
accrued, the accrual item contains an accrual method.
You can also define derived accruals types. These accruals amounts are calculated from the accrualamounts of other accrual types and not directly. However, derived accrual types are not particularly
relevant for manual accruals and are more important for other application components
The posting control is defined for each
o Company code
o Accounting principle
o Accrual type
You define
o How frequently accruals are carried out (for each posting period, daily, monthly,
quarterly, every six months, annually)
o The level of summarization for postings before the update to FI You can make the
following settings No Summarization: A separate line item is created for each accruals item.
Summarization at accrual object level: A line item is created for each accrual
object. Maximum Summarization: The postings are summarized to the level of different
additional account assignments.
The purpose of account determination is to
o Determine the document type
o Determine the debit account (here: target account)
o Determine the credit account (here: start account)
For each accrual type, you define in Customizing which postings are to be made automatically and,
therefore, for which postings account determination is required.o None (the accruals are calculated in the Accrual Engine, but not posted)
o Only the opening posting
o Only periodic postings (useful, for example, for accruals)
o All (opening posting, periodic accruals, and - if the accrual object is terminated
prematurely - a closing posting)
For parallel accounting, the Accrual Engine supports
o Parallel accounts - For parallel accounts, you must configure the account determination of
the Accrual Engine accordingly, that is, the accounts must be found depending on the
accounting principle.
o Parallel ledgers - For the ledger approach, you have to assign the accounting principles in
Customizing Accounts are determined using derivation rules. These rules consist of
o Conditions under which the derivation rule is executed (optional)
o Determination of fields used in the derivation rule Here you define
Source fields (derivation rule input) all fields filled from the Accrual Engine.
Target fields (derivation rule output) all fields that must be filled for successful
account determination, or user-defined parameters that you can use for sequentialderivation rules.
o The rule entries themselves that derive the input for the target fields from the content of
the source fields.
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In the case of manual accruals (application component ACAC): You define parameters as required in
the Data Dictionary structure ACAC_PARAMETERS.
The derivation rules are summarized in a set of rules. Depending on how the derivation rules are
defined, they are processed either in parallel or sequentially.
o Parallel derivation rules are processed sequentially and determine independent results.
o
Sequential derivation rules must be created in the correct order, because their results arecumulative.
The order in which parallel derivation rules are created and processed is irrelevant, since their results
are independent of one another.
The order in which sequential derivation rules are created and processed is important.
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Unit 10 – Technical, Organizational and Documentary Steps
Lesson 1 Techn ical Steps
The system calculates the balance carried forward to the new fiscal year for each balance sheet
account.
The balance of the P&L accounts is posted to the P&L carry-forward account.
In another column in the table you can assign an authorization group to the periods open in the
“Period 1” interval. The authorization group has no effect on the open periods in the period 2interval. You can, therefore, define that postings in interval 1 can only be made by a specific user
group (accounting), but all users can post in interval 2.
As part of general ledger month-end closing, the following consistency checks are performed:
o Debit and credit transaction figures for customer accounts, vendor accounts, and G/Laccounts (table FAGLFLEXT) with the debit and credit totals of the posted documents (table
BSEG).
o 2. Debit and credit transaction figures for customer accounts, vendor accounts, and G/Laccounts (table FAGLFLEXT) with the debit and credit totals of the application index
(secondary index tables BSIS/BSAD, BSIK/BSAK,BSIS/BSAK).
All the results of the reconciliation are added to historical management. This enables statements to
be made about the execution and accuracy of the reconciliation activities on a time basis.
Lesson 2 Documentary Steps
The Balance Audit Trail displays the balance at the beginning of a period and the changes to theaccount to the period end.
The main reasons for balance audit trails
o To display posting information for a fiscal year and document a status in the financial
accounting
o To provide a statement for an external audit
Lesson 3 Document Spl i tt ing
Assumptions for document splitting: The operative process (of document entry) must not be
disturbed (changed) by the online check The entities defined as splitting characteristics are inherited in non-account-assigned posting lines
Lesson 4 CO-FI Reconc i l iat ion
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The aim of the CO-FI Integration (functionality of the New General Ledger) is to ensure correction
postings are made immediately in FI in case cross-organizational unit postings (e.g. profit centers)
are executed in CO.
Only the opposite direction, from CO to FI, was not previously possible in real-time. This involves,for example, changes to characteristics in the following processes/transactions such as: Periodic
allocations (assessment, distribution, transfer posting) Manual transfer postings to CO [=>
transaction KB11(N)] Activity allocations [transaction KB21(N)] Settlement from orders or projects[transactions KO88 and CJ88]
Transaction KALC is no longer available (by default) after the new G/L is activated to determine
which characteristic changes will generate real-time FI line items; you can use the checkboxes,
define Boolean rules, or implement a BAdI with your own program logic. It does not make anysense to select characteristics that you have not assigned to at least one ledger in the scenarios.
To transfer secondary cost elements from CO to FI, you have to define an account assignment.
Lesson 5 Ledger Group Post ings
Sometimes, for the sake of deviating accounting values, it may be necessary to post directly to a
ledger group.
Different accounting rules can (still) be modeled using the account-based solution in the new G/L. Inaddition to accounts, however, the new G/L also lets you use different ledgers to save the different
valuation approaches – this is called the ledger solution (in the new G/L).
We recommend that existing customers who upgrade to SAP ERP do not change the leading view. A
change of the leading view should always be dealt with in a separate project, as before. The leading
ledger is the (only) ledger that is integrated with CO. The use of non-leading ledgers also enablesyou to use different fiscal year variants within one company code
A ledger can be assigned one scenario, several scenarios, or even all six at once. The decision as to
how many scenarios to assign depends solely on which "facts"/"business aspects" you want to model
in the corresponding (non-leading) ledger.
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The ledger group is option for simplifying and/or accelerating the work in certain cases. Nocustomer should be forced to create their own ledger groups.
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Unit 11 – Closing Cockpit
Lesson 1 Closing Cockpi t
Possible applications of the Closing Cockpit: This support function enables you to create a structured
interface for executing transactions and programs that form part of complex processes, such asclosing processes. The structural layout supports processes within an organizational structure, such
as a company code, as well as scenarios affecting multiple organizational structures.
The Closing Cockpit can be used as an application tool in the following cases in particular:
o When activities recur periodically
o When more than one person responsible may be involved
o When the activities are performed within a process that has a fixed chronological sequence or
is determined by dependencies
o The activities need to be supported by a shared, uniform interface for all involved
o
The status of all periodic activities needs to be documented and made transparent and
available for all involved
o The closing tasks are documented for later checks
To support the closing process, the Closing Cockpit offers the following options:
o Hierarchies to display the organizational objects involved in the closing process
o A task list template based on the organizational structure
o A detail view of the characteristic values of the individual hierarchy levels used in the task
list template
o Task lists that are derived from the task list template
o A list display in which all tasks to be managed or executed from the respective task list are
made available for processing or for monitoring task progress
o
A monitor that provides an overview of the sequence of tasks, their status and dependencies,and critical paths in graphical form.
o Detailed information for evaluating the technical settings of tasks as well as for analyzing
background programs (spool, job log information)
o Dependencies for displaying the conditions that are prerequisite to processing the individual
tasks
The Closing Cockpit can be used once a task list template has been created and assigned to an
organizational structure (such as controlling area/company code, company code, arc), tasks(subfolders, transactions, programs, flow definitions, notes) have been assigned to the task list
template, and a task list has been derived and released for the application.
The entry you select in the super ordinate Org. Level field determines the later use of the
organizational object in the organizational hierarchy. If you do not define a super ordinateorganizational level, the organizational object is only available in the hierarchy as an initial node.
You can summarize the data in the task list template across organizational levels by chart of
accounts, fiscal year variant, currency, or valuation area. The system proposes the same substructure
(subfolder) for the different attributes on one organizational level.
The system generates a proposal for a task list template in accordance with the selected hierarchies
and using all organizational objects available in the system
A template (ten-character technical key) is used to structure the individual steps of a process. In thisinterface, all users involved in the closing process can access the relevant activities in tasks that are
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executed online or in background processing. The scope of a template should not be determined by
applic