SAP FICO Self Study Material PDF

SAP FI NOTES
INDEX
PARTICULARS Page No.

Introduction 3
Enterprise Structure 11
1. Chart of Accounts 15
2. Accounts groups customization 19
3. Open and Close Posting Periods 27
Sales Tax Procedures 36
1. Tolerance Groups 36
General Ledger Accounts (GL Accounts) 41
1.Negative Postings 41
2. Creation of GL Masters 43
3. Parked document 54
Foreign Currency Transaction (FCT) 72
1. Reversal of Reversed document 77
2. Mass Reversal 78
3. Balance Interest calculation 87
4. Accounts Principles 92
Accounts Payable (AP) 99
House Bank 106

1. Link between sundry creditors and Advance to vendors 115
2. Purchase Invoice Posting 116
3. Term of Payments-Maximum Cash discount 119
4. Automatic payment Program(APP) 128
5. Check printing 130
6. Credit Memo 132
Accounts Receivable (AR) 134
1. Sales Invoice Posting 135
2. Incoming payment 142
3. Link between sundry debtors and advance from customers 144
4. Advance Receipt posting
144
Bill of Discounting (Bill of Exchange) 148
1. Define dunning areas 156
Sales Tax 162
Asset Accounting (AA) 170
1.Chart of Depreciation 172
2. Asset Classes 176
3. Asset Sale /Transfer/Scrapping 199/201/202
Reports 204
1.Chart of Accounts List 204
2.Trail balance / Ledger /Vendors List 205/206
3. Data Takeover 209
4.Up loading of master in SAP (LSMW) 212
5.Balances uploading 217
Bank Reconciliation Statement (BRS) 228

1.House Bank 231
2.Check Lots 232
3.Sales and Purchase Invoices posting 241
Cash Journal (CJ) 245
Withholding Tax(TDS/TCS) 248
1.Maintain Calendar 249
2.Withholding tax codes 254
3.Create Remittance Challan 264
4.Print TDS Certificate 265
5.Quaterly Return 266
1
INTRODUCTION
SAP stands for System Application and Products in data Processing

FI stands for Financials
CO stands for Controlling
Version : ECC6
ECC stands for ERP Central Component
SAP was released in 1972 – It head quarters in Germany
What is ERP?
ERP stands for Enterprise Resource planning, it is integrated all functions in one system.
Organization
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| | | |
Purchase Dept. Store Dept. Production Dept. Accounts Dept.
Will have no of departments in organization. ERP integrate all the functions into one system.
It will facilitate free flow of data among the departments.

Advantages:
Once stores person updates in the system – It can be shared by account person.
No mismatch in reporting – Data Source is only one once updation.
Store Department at Factory: Where the material is received are updates his records send the bill to account person.
Accounts department at City office : Pass an entry in the books
Disadvantages:
Duplicate job
Time gap.
ERP Packages:
SAP, Oracle, Financials, Peoples soft, BAAN , J.D.Edwards
1972- SAP R/1 – Real time data processing
1980-SAP – R/2 Included no. of countries and no. of currencies
1990 – SAP R/3- R/3 stands for

Data Structure
1.Application Server
2.Data based server
3.Presentation
1999 – My SAP.com – Web baed
2004 – Net weaver – Integrates information, people and process.
Areas to be covered under FI /CO

FI:
1. General Ledger accounting
2. Accounts payable
3. Accounts receivable
4. Asset accounting
CO:
1. Cost element accounting
2. Cost center accounting
3. Internal orders
4. Profit center accounting
5. Product costing
2
6. Profitability analysis
Integration of:
1. Material Management Module to Financials (MM to FI)
2. Sale & Distribution module to Financial module integrate (SD to FI)
3. Data take over(From Non-SAP to SAP)
4. Closing procedure
Reports:
In all the module systems gives around 2000 reports
You can attaché the reports to favorites
Some important reports you can attach the reports on desk top.
Cross company code transactions:

India version: TDS , Excise and sales tax
Companies Act:1956: as per Schedule VI Balance sheet and Profit & Loss A/c
What are difference between SAP EE 4.7 and ECC 6.0?
SAP EE 4.7 SAP ECC 6.0

Stands for Enterprise Edition Stands for Enterprise Central Compound
No Netware concept (Offline) Netware concept (Online)
Segment wise report is not possible Is it possible
Only one currency Multiple ledgers in currencies
Document splitting
Foreign currency revaluation based on accounting principles
Role of FI /CO Consultant
1. Project Manger
2. Senior Consultant
3. Junior consultant (Each project 3 to 6 members)
4. Support Consultant (Eg.IBM, Accenture)
5. Core Team Members
6. End User
How to Open SAP
Open: Double lick on SAP Logon Icon
Double Click ECC 6 Server
First Screen:
First Field : Client :2 Clients
1. Development client
2. Production client
In the implementation SAP
1. Consultants
2. Company staff (Core Team Members)
The consultant they do the customization in development client

The company staff will do the testing.
The customization will be transferred to client through transport requests.
In the production client you enter day to day transaction.
Some companies they will give 3 clients:
3
1. Development client
2. Testing client
3. Production client
Client: 800/000/810 – You can copy and give any number
User: Cost of package will depend on the no.of users licenses.

100 users license –used by 1000 employees
It fixes the responsibility on employee.
User ID: SAP user: You can use small or capital letters (It’s not case sensitive)
Password: The length of password – Min3 – Max 8

(it can be numeric, Alpha Numeric , Alphabets, and Special characters.)
Password is not case sensitive
Not possible to change password more than once in a day
Latest 5 passwords can not be used
Password can not be restored
• Money is the password.
What is client?
Aravind Group Wipro

(Aravind Industries Ltd) (Consulting Firm)
(Aravind Steel Ltd)
To Purchase Sap Package From Sap India Bangalore Wipro Will Customize(Map) Aravind Requirement In SAP
ARAVIND WIPRO
Project Manager Project manager
Core team accounts manager FI Consultant
Cost accountant CO Consultant
Purchase Manager MM Consultant
Sales Manager SD Consultant
It staff ABAP programmer
BASIS Administrator
Aravind :Core Team As is Process _What Is Requested From SAP
Wipro :To Be Process What Should Be Done In SAP
Development Production
Client Client
Wipro Customization - Transport Request
Aravind Core Team - Testing
After testing by Aravind core team customization will be transported to production client through transport request.
Production client is live client where we enter day to day transactions.

If the consultant do customization once again in production client, if they commit any mistake all the postings will go
wrong where as development client customization is tested customization by the Aravind core team and corrected by
Wipro team.
We will not get any mistakes in the development client customization.
In live environment we should have minimum 2 clients some companies they keep 3 clients
Development Client Testing quality Client Production Client
4
Wipro Customization  Transport Request ->
Aravind Core Team -> Testing
"When SAP is purchased from SAP India we get clients like 000,001,067 and 800" Basis consultant copies 000 client
and give the number required by Aravind care team
Client :800 (Development Client)
User : Cost of package will be based on number of user licenses
User Id Creation Is The Job of BASIS Administrator

A) Cost Factor
B) User Id Fixes Responsibility on Employee
SAP User: It Is Not Case sensitive (Capital Letters Or Small Letters)
Password: Password Is Case Sensitive (From Ecc 5 Onwards)
Length of Password: Minimum 6 Maximum 40
"We can use alphabets, Numerical, alphanumeric, special characters-like"
Not possible to change password more than once in a day.
System will not permit to use latest previous 5 passwords
EG: 1.09.2008 ABC123

5.09.2008 XYZABC
12.09.2008 ABC123 system will not permit
Password can not be restored

BASIS Administrator deletes old password and gives a new password : oracle
Language : 41 Languages
If we do not specify any language it takes English by default or we can use EN for English
If we user id : The menu will be in German
Client: 800
User: SAPUSER
Password: oracle
Press enter
Now open SAP
Select and choose the radio button depend on necessity.
Employee1 Employee2
1st Radio button Can not work Can work
2nd Radio button Work Can work
3rd Radio button Can work Can not work
In training institutes we have to select 2nd radio button

Enter
1st raw is called menu bar
5
Menu Edit ,Favorites ,Extras
2nd raw is called standard tool bar

3rd row is called in title bar
4th is called application tool bar
5th & last is called status bar
The second row the tick is called enter, beside tick box is called is command field."
One employee can work in number of sessions (windows) at a time -the maximum is 6 sessions
How to create a new session?
Path: From the menu bar - Select system- Create session
To move from one session to another session (alt+tab)
How to end session?
Path :From the menu bar - select system- End session
To view which version we are using?
Path : From menu bar - Select system- Status-Sap system data

How to use transaction codes (T/C)?
We want posting of transaction.
option-1 option-2
Go through the path and post Use transaction code in command field
the transaction and press enter
Path: Accounting --> Financial accounting we can create our own transaction
-> General ledger-->Posting ->General posting codes they should start with Y or Z
To go back to SAP easy access screen:
Use: /n in command field and press enter.
For Posting Transaction:

Document (Voucher) entry Account display (FS10N)
(F-02)
After posting we want to view the ledger.

a) Use:/n (changing) in command field and enter - to back to sap easy access screen
b) Use FS10N in command field and press enter- to go to account display
Instead
use:/NFS10N in command field and press enter change session with new transaction code.
use /OFS10N in command field and press enter- create session with new transaction code.
./N for change
./O for create
How to activate transaction codes in sap menu?
Path :From the menu bar - select extras - Settings - Display technical names- Enter
HOW TO SET A START TRANSCTION?
To make one screen as beginning screen
6
Path: From menu bar select extras - set start transactions (transaction code is F-02)
Enter
Give a message transaction F-02 set as start transaction
HOW TO CLOSE SAP?
Path: From the menu bar select system - log off - select ‘yes’ button for the message to logoff
Select yes button to log off
HOW TO UNLOCK THE TRANSACTION CODE?
At the time of customization -screen will come with display mode not enter mode
Path:Tools-Administrator- Monitor-Lock entries (tr.code is SM12)
Select list button- Message - No lock entries found
Path: From the menu bar select lock entry- Delete all-select’ yes’ button for the message
Delete all lock entries - Enter.

Organization structure:
SAP
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| |
Group Company
| |
Company Company code
| |
Units Businesses Area
Creation of Project: Group --> Companies Units
In SAP – Group is called as company
Company is called as company code
Unit is called as Business area
ARAVIND GROUP(AVG)
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| | |
Aravind Mills Ltd(AML) Aravind Steels Ltd(ASL) Aravind Industries ltd(AIL)
| | | | | |
HYD BGL HYD BGL HYD BGL
FI consultant will do customization at company code level -company or group is only for information.
We do customization for Aravind Mills Ltd after words we copy customization including accounts to other company codes
in one step and make modifications where ever required.
ENTERPRISE STRUCTURE
7
DEFINE COMPANY:
Path: Tools - Customizing –IMG (implementation guide) - Execute project (trns.code SPRO)
SPRO stands for SAP Project Reference Object
Select SAP reference IMG button : This is called customization area or configuration area or implementation area
Path:SPRO- Enterprise structure - Definition - Financial accounting - Define company ( Tr code is OX15)
It we select IMG activity documentation button: It gives description part about company
To select IMG activity button: To do customization
Select IMG activity button
Select new entries button

Company : AVG
Company name :Aravind group
name of company2 :blank
street :Ameerpet
postal code :500034
country :For country select dropdown(pull down) button, select in for india"
Language key :select drop down button select EN for English
Currency :For currency select drop down button here 218.
Select INR for Indian rupees
Select save button or Ctrl+s
Development client production client

|
consultant - Customization Transport request→
By default it gives the latest request we have to create our own request and afterwards to transport to production client
For each step we need not create separate request.
For Basic settings :1st request
For General ledger :2nd request
rd
For Account payable :3 request
For Accounts receivable:4th request
For Asset accounting :5th request
For Controlling :6th request
Select create request button (F8)
Give the short description :FI basic settings for Aravind Mills Ltd
Press enter
Press enter once again to save in the request. We get a message data was saved: Data was saved in two
places:1.Development client 800 2. In Transport request
2.DEFINE COMPANY CODE: ( Tr code is OX02)
Path: Tools - Customizing - IMG- executive project (SPRO)
Select sap reference button IMG
SPRO - path upto select sap reference IMG button is same.
8
SPRO No SPRO
Consultant job End user job
Note the path SPRO
Path: Enterprise structure - Definition- financial accounting - edit, copy, delete, check company code
Edit company code data
Give company code :AML

City :Hyderabad
Country :IN
Currency :INR
Language :EN
Select save button or Ctrl+S
Title :Select company

Name :Aravind mills ltd
Street :Ameerpet
Post code :500034
City :Hyderabad
Country :IN
Press enter
To select our request number select dropdown button beside request number.
We can see here number of requests.
Select request number by seeing the description.
Press enter to save in the request.
Description can be same should be different
3.ASSIGN COMPANY CODE TO COMPNAY
Path: SPRO - Enterprise structure - Assignment - Financial accounting - Assign company code to company
( Tr code is OX16)
Select position button give the company code AML enter

For company AML assign company AVG
Select save button or Crtl+S
Select dropdown beside request number
Select your request number
Press enter to save in the request
4.Define Business Areas
path: SPRO- Enterprise structure- Definition -financial accounting- define business area ( Tr code is OX03)

Business area: AMLH
Description :Hyderabad AML
Bangalore business area link this number

Select save button or C trl+s
9
Press enter to save in your request
*Assignment of business areas to company code is not required

Aravind Group
|
Aravind Mills Ltd Aravind Steels Ltd Aravind Industries ltd
| | |
HYD BGL HYD BGL HYD BGL
AML accounts person ASL accounts person
At the time of posting
Company code : AML ASL

Business area : HYD HYD
* Without giving company code we can not pass to business area
At the time of request generation:
Company code AML ASL

Business area HYD HYD
We get HYD data of company HYD data of company
Code AML only code ASL only
Some business area can be used by number of company codes in the client assignment of business area to company
code is not required.
HYD incharge for AML, ASL and AIL in the report

Company code AML +ASL+AIL
Business area HYD
Hyderabad data for all company codes we have Hyderabad business area separately for each company code.
HYD Hyderabad business area

HYD1 Hyderabad business area
HYD2 Hyderabad business area
AML accounts person

Company code :AML ASL
Business area :HYD/HYD1 HYD1/HYD2
There will be a mix up.
CHART OF ACCOUNTS:
Company Codes: AML ASL AIL

Option-1
when we want to compare or consolidate
we can have same set of accounts
(chart of accounts) -i.e.,
Accounts coding will be same.
Conveyance account no. 400000 400000 400000
Option-2
Each company code has their on
set of accounts conveyance account no. 400000 400000 400000
10
Compare or consolidate by using group 400000 300000 200000
Chart of Accounts
when we create conveyance account no

we use 2 numbers
Company code no. 400000 300000 100000

Group no. 100000 100000 100000
We are comparing or consolidating by using group account number.
Companies following option1

Chart of Accounts name
Description of chart of accounts
Maintenance language English
Length of account number most 10 digits (we are using 6 digits)
CREATION OF CHART OF ACCOUNTS)
path: SPRO - Financial accounting- General ledger accounting - GL accounts - Master Data-Preparation - Edit
chart of accounts list (TR.CODE.OB13
The other way to give transaction code is from the menu bar -> Select system - Status
Select new entries button.
Chat of accounts :AML

Description :Chart of Accounts for Aravind group
Maintenance language :English
Length of GL account no. :6 (min 6 max 10)
Controlling integration :select manual creation of cost elements
Group chart of accounts :Blank
Under status deselect blocked check box (do not select blocked check box)
Select your request and press enter to save in your request
Controlling integration: select manual creation of cost elements.

FI (Financials) CO (Controlling)
expenditure
When we past to expenditure accounts in FI it updates, CO automatically provided. We create expenditure accounts as
cost elements.
All expenditure accounts need not be cost elements expenditure accounts like interest, Depreciation, Non-operating
expenses -will not be consolidated for costing -they are debatable.
Cost elements creation

Manual Automatic
When we select manual, when expenditure account is created and posted in FI, we want that expenditure to update co-
create that expenditure account as CO element. If we do not want to update co-records that expenditure create
expenditure account only and not to create as cost element -here we have flexibility. If we choose automatic, when we
create an expenditure account automatically cost element will be created. When we post to that expenditure account in
FI, automatically CO records will be updated-no flexibility.
UNDER STATUS DESLECT BLOCKED CHECK BOX:
11
Accounts creation is at end user area, users at the time of posting, they will not check whether account is there as not
they create new account and post accounts.
We will have number of duplicate accounts in SAP once we create an account and past transaction-IT can not be deleted
In live environment after up leading accounts - select blocked check box. No body can create any accountwhether
original account or duplicate account. When there is a necessity to create a new account an authorized person say
accounts manager deselects the blocked check box, create the account and afterwards select blocked check box.
We have to create the accounts now. We are deselecting the blocked check box.
ASSIGN COMPANY CODE TO CHART OF ACCOUNTS
path: SPRO- Financial accounting - General ledger accounting- GL Accounting- Master data-Preparation-
Assign company code to chart of accounts. (Tr.code OB62)
Select position button

Give the company code : AML
Enter
For company code AML assign chart of accounts AML

Press enter to save in your request.
Accounts groups
100000 Equity share capital

100001 Cash account
100002 Preference share capital
100003 SBI current Account
We have created 1000 accounts

We want to view current assets balance or transaction.
We can not get directly-we have to verify each and every account and add the respective accounts- in this example
account no.100001 and 100003
We are preparing balance sheet on liabilities we have items like share capital, Reserves & surplus-We have to verify
each and every account and assign to the respective items-it takes so much time to assign accounts.
To get account balances directly or to assign accounts easily SAP has given account groups.
Chart of accounts AML

|
Accounts groups Share capital (100000 - 100099)
| |
Accounts Current assets (200000-200099)
When we create the accounts, we create within the range. Cash account will be created within the range of 200000-
200099."
Equity share capital will be created within the range of 100000-100099.

When we want to see current assets balances-we give current assets or at the time of crating balance sheet for Share
capital-we give the range 100000-100099. While crating account groups we take client's balance sheet and crate the
groups-after implementation also we wants to see the way he used to get.
WHILE CREATING THE ACCOUNTS GROUPS:
1 Series for liabilities
12
2.Series for assets
3.Series for income
4.Series for expenditure
We have 1000 accounts the user at the time of posting to expenditure account he need not see all accounts he gives 4
only expenditure accounts will appear.
CUSTOMIZATION (TR.CODE.OBD4)
path: SPRO-Financial accounting-General ledger accounting- GL accounts-master data-preparations-Define
account group
select new entries button
Chart of Account group Name From To account

accounts account
AML SCPL Share Capital 100000 100099
AML RSPL Reserves & Surplus 100100 100199
AML ACDN Accumulated depreciation 100200 100299
AML SCLN Secured Loans 100300 100399
AML UNSL Unsecured loan 100400 100499
AML CLPL Current Liabilities and Provisions 100500 100599
AML FAST Fixed Assets 200000 200099
AML CAST Current Assets loans & Advances 200100 200199
AML SALE Sales 300000 300099
AML OTHER Other Income 300100 300199
AML INCR Increase / Decrease in stocks 300200 300299
AML RMCL Raw material consumption 400000 400099
AML PRSN Personnel cost 400100 400199
AML MFRG Manufacturing Expenses 400200 400299
AML ADMN Administration Expenses 400300 400399
AML INTR Interest 400400 400499
AML DEPR Depreciation 400500 400599
Select save button on Crtl+S

Select your request and press enter and save in your request
6 digits
1000000 100099 share capital 1000-1099 100000000-1000000099

Reserves & Surplus
Accumulated Depreciation
Unsecured loans
Current Liabilities & Provision
Fixed Assets
Afterwards we require liabilities account groups with 1 series –10 account groups.
How many groups we can crate with 1sries . available accounts (1999-1599)=400 accounts. New account groups with
1series we can create 400/100=4 groups .
Now we have to go for –5 series .
The user at the time of posting first the will give 1*
If the account is not there then he will check with 5*
When we use 6 digits:

Afterwards we require liabilities account groups with 1 series to 10 account groups. How many groups we can create with
1 series available accounts (199999-100599=99400) accounts.
13
For each account group we are assigning 100 accounts new account groups with 1 series. We can create
99400/100=944 accounts groups. 5/6/7/8/ digits.
Retained earnings accounts:

In the year end: P & L account balances transfer to surplus in P & L A/c Reserves & Surplus (100100-100199) Balance
Sheet A/c balances –carry forward to next year as opening balance.
This is required in the year end and not during the implementation. SAP has made mandatory this step during the
implementation. If the consultant does not do this step, we will have problems in the year end.
Though accounts are not yet created assign on account for retained earnings account purpose. We can specify retained
earnings account any account number which is with in range 100100-100199.
Generally we specify the first account i.e.100100 as Retained earnings account and when we start creating the accounts
the first account to be created is 100100 surplus in P & L Account.
Path: SPRO – Financial accounting – General ledger accounting – GL Accounts – Master Data – Preparations
– Define retained earnings account.
Give you chart of accounts AML enter. The transaction code is OB53 .
Account assignment
P & L Statement type ‘X’

Account 100100
We get a warning message account 100100 not created in chart of accounts AML.
Ignore the warning the message press enter. Press enter once again to save in the request.
Accounts creation is at end user area and the transaction code is FS00
P & L type Account No.

400300 Rent Account
P & L A/c X 100100
Balance Sheet A/c.
In the year end the balance will go to account no.100100
100000 Equity share capital

P & L A/c
Balance Sheet A/c. Select
In the year end the balance will go to the same account as opening balance 1 and 2 series for Balance Sheet Accounts
3 and 4 series for P & L Accounts.
a) Net operating profit (operating income – operating expenses.

b) Net non-operating profit (non-operating income non operating expenses)
400300 Rent account P&L Account No.

Type
Select X 100100 Net operating profit
P & L Statement A/c type X Y 100101 Net non operating profit
Balance Sheet A/c. Profit
In the year end the balance will go to account no.100100

300100 profit or sale of shares.
P & L A/c.
P& L Statement A/c. type Y
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In the year end the balance will go to account no.100101.
Fiscal year Fiscal year variant
Indian companies periods April to March +4 special periods V3

US Companies Jan to Dec.+4 Special Periods K4
July to June+4 Special periods V6
Oct. to Sep+4 special periods V9
April 2007 – March 2008 Accounting year 2007-08.

In SAP we will call it as fiscal year 2007.
July 2007-June 2008 Fiscal year 2007

Oct.2007 –Sep.2008 Fiscal year 2008
2007 2008 Fiscal year
April 2007-March 2008 9 3 2007

July 2007-June 2008 6 6 2007
October 2007-September 2008 3 9 2008
It is above 6 months in next year take next year otherwise same year.
April 2007 March 2008 Fiscal year 2007

1 12 13 14 15 16
(Normal periods) (Special periods)
For year end adjustment purpose SAP has given special periods .
Special periods are part of March
March will have total 5 periods 1noraml period 4 special periods.
To get the profitability and different stages SAP has given special periods.
Why special periods are required:
20th March 2008 we have declared profitability upto February 2008 to the management profitability figures should not be
changed.
Users should be allowed to post transactions only for March 2008.
April 2007-March 2008 Fiscal year 2007.
Open periods March 2008-March 2008

For posting 12,2007 - 12,2007
No user can post transaction before March 2008 and after March 2008.
30.03.2008 April 2007- March 2008 Fiscal year 2007

April 2008- March 2009 Fiscal year 2008.
Open periods March 2008-March 2009

12,2007 -12,2008
15/04/2008 accounts dept. finalized profitability for the year ended 31/03/2008
Management adjustment entries
15
Entry Date 05/05/2008
Periods date 31/03/2008 to update last year ledger.
We get profitability finalized by management audits by Auditors.
20/05/2008 No.of ratification entries

Entry Date 22/05/2008
Posting date 31/03/2008 to update last year ledger.
We get profitability finalized by auditors. To day we want to see profitability finalized by accounts department . we can not
got March 2008 includes normal entries .
Management adjustments and auditors rectification entries.
Auditor is asking to show rectification entries list we can not get the list separately.
To get profitability separately or to get the rectification entries list separately SAP has given special periods.
Usage of special periods is optional.
Special periods can come in the same month or different months.
Here stage means department profitability, Management profitability and Auditors profitability – the state can come in the
same month or different months.
Accounts Dept. profitability April 2008
Management adjustments and

Auditors rectification entries May 2008
How special periods will be used:

April 2007-March 2008 Fiscal year 2007
20th March 2008 open periods for posting March 2008-March 2008
12,2007….12,2007
No user can post transactions
before March 2008 and after March 2008.
April 2007-March 2008 F.Y 2007
April 2008-March 2009 F.Y.2008
15/04/2008 accounts dep. finalized profitability for the year end 31/03/2008 Management adjustment entries.
05/05/2008 March 2008……..March 2009

Open periods 13,2007………12,2008
Entry date :05/05/2008

Posting date :31/03/2008 to update last year ledger period 13
We get profitability finalized by Management audit by a auditors.

22/05/2008 no.of rectification entries.
Open periods March 2008 …. March 2009

14,2007 …… 12,2008
Entry date :22/05/2008

Posting date :31/03/2008 to update last year ledger
Periods 14
We get profitability finalized by auditors.

Accounts dep. Profitability : 1-12
Management Profitability 1-13
16
Auditors finalized profitability 1-14
List of auditors rectification entries 14-14
SAP known only calendar year periods –we have to convert calendar year periods to our accounting year periods.
Month Days Periods Year shift

January 1 31 10 -1
February 2 29 11 -1
March 3 31 12 -1
April 4 30 1 0
May 5 31 2 0
June 6 30 3 0
July 7 31 4 0
August 8 31 5 0
September 9 30 6 0
October 10 31 7 0
November 11 30 8 0
December 12 31 9 0
April 2008
April 2008 – March 2009 F.Y.2008
In which year it is coming 2008
As which year we are calling in SAP 2008
Year shift 0
January 2009
In which year it is coming 2009
As which year we are calling in SAP 2008
Year shift -1
Posting 05/01/2009 update 2008
Ledger not 2009 ledger
Oct.2008-Sep 2009 F.Y.2009

Month Days Periods Year shift October 2008
1 31 4 0 In which year it is coming as which 2008
2 29 5 0 year we are calling in SAP 2009
3 31 6 0 year shift +1
4 30 7 0
5 31 8 0 January 2009
6 30 9 0 in which year it is coming 2009
7 31 10 0 as which year we are calling
8 31 11 0 in SAP 2008
9 30 12 0 year shift +1
10 31 1 0
11 30 2 0 posting 05/10/2008 update 2009 ledger
12 31 3 0 not 2008 ledger
Path : SPRO – Financial accounting – Financial accounting Global settings – Fiscal year – Maintain fiscal year
variant (Maintain shortened fiscal year) (Trs.code is OB29
Select position button fiscal variant V3
Enter
Select fiscal variant V3
Double click on periods folder
Select back arrow

FV : B1
17
Description April to March 4 Special periods
Do not select year depend check box
If we select year depend check box – when we save it will ask for year – when we give year 2008 – The conversion is
applicable only for the year each year we have to create the conversion.
If we deselect year dependent check box – The conversion is common for all years.
Deselect calendar year check box
If we select calendar year check box – It takes
Month 1 (Jan)will be as period 1

Month 4(April ) wil be as period 4
Where as we require month 4(April) should be as period 1 so deselect calendar year check box.
No. of posting periods :12

No.of special periods :4
Select your request press enter and press enter save in your request.
Select Fiscal year variant :B1

Double click on periods folder.
First column Month

Second column Day
Third column Period
Last column Year shift
Month Day Period Year Shift

1 31 10 -1
2 29 11 -1
3 31 12 -1
4 30 1 0
5 31 2 0
6 30 3 0
7 31 4 0
8 31 5 0
9 30 6 0
10 31 7 0
11 30 8 0
12 31 9 0
save
Assign company code to a Fiscal year variant
Path: SPRO – Financial accounting – Global settings – Fiscal year – Assign company code to a Fiscal year
variant (Tr.code is OB37)

Give your company code:AML
Enter
For company code:AML
Assign fiscal variant :V3
Select save button
Ignore the warning message press enter and press enter to save in the request.
18
OPEN AND CLOSE POSTING PERIODS
Fiscal year : April 2008 – March 2009 – F.Y 2008

August 2008 – March 2009
5,2008 – 12,2008
Open means: from August 2008
Close means: to March 2009
Company codes : AML ASL AIL
All company codes

Fallow the same
Open and close periods
Option 1
A) Define posting periods
Variant …………… X
B) Assign posting period
Variant to company codes
X……….AML
X……….ASL
X……….AIL
C) Define open and close periods for variant X
For X,5 2008 – 12,2008
Option-2
Each company code

having separate open
And close posting period variant X Y Z
Assign posting period variant to company codes

X to AML Y to ASL Z to AIL
Period for variant
July 2008-March 2009 April 2008 to March 2009 Sep. 2008 to Sep. 2008
For X For Y For Z

04,2008 12,2008 06,2008
In this step we are defining which periods are open for posting.
Define variants for open posting periods:
Path : SPRO – Financial accounting global setting – Document – posting periods-Define variants for open
posting periods
Variant Name
AML posting period variant for AML
Ctrl+S, press enter in save
Assign posting period variant to company code:

Path : SPRO-Financial Accounting- Financial accounting global settings- Document – posting periods – assign
posting period variant company code.
Give the company code AML
19
For company code AML assign variant AML select save button or Ctrl+S
Define open and closed posting periods for variant::
Path: SPRO – Financial accounting Global settings – Document – Posting periods- open and close posting
periods.
Select new entries button.
Vare : Select AML

Account type (A): Select + (valid for all accounts type)
From Account Blank
To account Blank
From period one (1) 1
Year 2008
To period 12
Year (Fiscal year) 2008
From period2 13
Year 2008
To period 16
Year 2008
Second column is option (from period 2)

Authorization group (Au.Gr): Blank
Select your request and press enter to save in your request.
Authorization Group:
This screen is required every month in production client nobody will have access for customization areas.
The same screen is given at user level when it is available at user level, the users will misuse.
SAP has given authorization group.
BASIS Administrator gives authorization group say X and X will be assigned to user IDs manager accounts and deputy
manager accounts.
When we open the system with the above user IDs then only we can change the periods at the user level.
Posting periods entry at end user area:
Path: Accounting –Financial accounting –General Ledger - Environment –Current settings-open and close
posting periods ( Transaction code :S_ALR_87003642)

Posting period variant: AML
Enter
Document type and no. ranges

In normal accounting, account person only will pass all the entries. He will get voucher no’s continuously. In SAP voucher
we call it as document.
FI Accounts Person MM Stores Person SD Sales Person

Material Receipt 1
Payment 2
Sales 3
20
Receipt 4
To get document number serially SAP has given document type
Doc.type SA RE RV
No.Range 01 02 03
No.Range interval 1-100000 100001-200000 200001-300000
We are getting the document no’s continuously by seeing the document number we can tell where it is generated.
In a year 100000 vouchers are consumed system gives a message we give available numbers 300001-400000
Path:SPRO-Financial accounting-Financial accounting Global settings –Document –Document Header-Define

Document Types (Tr.code:OBA7)

Document type select : SA
GL Account document
Enter
Select type :SA
Select details button (Ctrl+Shift+F2)
Number range :01
Select number range information button
Select change intervals button (↓)
Select interval button
No.range :01
Year :2008
From number :1
To Number :100000
Current number :0
Deselect external(Ext) check box
If we select external check box, we have to give at the time of posting what should be the document number.
Select press enter.
Ignore warning message press enter
Number range interval can’t be transported to production client – what ever number for development client for testing.
1. Consultant is an outsider – he does not know how many document numbers are required for each area.
2. All the departments want to have 1—100000 which is not possible. In live environment, before going live
all the department heads sit together and decide for production client.
What should be FI document number

What should be MM document number
What should be SD document number.
SAP have given two options.
Opetion1: Year specific Option 2: Common to all years
01-2007-1-100000 500000 500001 01-9999-1-100000
21
01-2008-1-100000 3000 3001 53000-53001-53002
1st Entry
Date:24.09.2008 9999 means any year
Posting date:24.09.2008 in 2nd option we don’t know how many
2nd Entry
Entry date:29.09.2008 Documents we have posted for each year
Posting date:31.03.2008
Note: companies follow 1st option.
Field status variant and field status groups
At the time of posting on screen we get around 70 fields. Fields are quality, text (Narration), business area, value date
Debit 70 Filed
Credit 70 Filed
------
140 Filed
====
If we start filling up all the fields it takes so much time to post one document.
SAP has given a facility to make any filed as
1. Suppress 2. Required 3. Optional
1. Suppress: The filed will not be visible on screen a the time of posting.
2. Required: We have to enter values to the field compulsory. The field value will appear with question mark or tick
mark-without entering the values we can not go to next screen.
3. Optional: The field will be visible on screen our choice to enter values or not the fields selection is not common to
all accounts. It depends on the account what we are using. In case of sales account quantity filed is required. In
case of repairs account quantity filed is not required, we have 1000 accounts – we have to create 1000
scenarios. In stead of creation of 1000 scenarios SAP have given field status groups.
Filed status Group Suppress required optional
Repairs A/c General
Equity share capital

Sales A/c materials quantity select
Purchase A/c
Cash A/c Bank Accounts
Bank A/c cost Accouts
1. When we create accounts we have to assign field status group.

2. For filed status group we is field is suspected and which filed is optional.
3. At the time of posting by the user-he gives the account number the screen will appear based on the fields
selection to the field status group which is assigned in account number.
4. Filed status groups are created under field status variant and field status variant is assigned to company code /
codes.
Afterwards:
Cash account Dr
To Equity share capital
22
Bank accounts
|
Value date text Business area
|
Required Entry
General
^
Text Business area
|
Required entry
Screen layout at the time of posting
Path:SPRO- Financial accounting – Financial global settings – Document –Line item-Controls- Define filed
status variants
Select field status variant 1000 that is IDES group

Select copy as button (F6)
Change filed status variant (FSTV) to AML
Change field status name to field status VAR for AML
Press enter
Select copy all button
We get a message number of dependent entries copies 47
Enter
Select your request and press enter to save in your request.
Select field status variant : AML
Double click on field status groups folder
Double click field status on G001 that general (with,text, allocation)
Double click on General data
Text make it required entry filed
Select next group button
Select next page or page down button two times.
Business areas make it as required entry field
Save
Double click on field status group G005
That is Bank A/c obligatory value date
Text make it as required entry field
Select next group button
Select next page or page down button two times.
Business area make it as required entry field.
Select next group button two times,
Value date make it as required entry filed.
Save.
23
Value date( Effective date):
Term loan from IDBI :20.09.2008

Deposit by us in our bank :22.09.2008
Document date :22.09.2008
Posting date :22.09.2008
In SAP we have interest calculations, Interest calculations in our book from 22.09.2008 where as IDBI calculates from
20.09.2008. There will be mismatch.
Interest calculations:
Value date :Required entry filed
Value date: 20.09.2008 field is modifiable after posting .
In our books also interest will be calculated from 20.09.2008
Value date :31.08.2008

DOC & POS
Assign company code to field status variant :
Path: SPRO-Financial accounting-Financial accounting Global settings-Document – Line time-Controls-Assign

company code to field status variants.

Give the company code :AML
Enter
For company code :AML
Assign field status variant :AML
SALES TAX PROCEDURE
General ledger, Accounts payable, Accounts receivable and Assets accounting
Basic
Excise
VAT /CST
To do normal posting also, sales tax procedure is required.
A) Create procedure
B) Create tax codes
C) Create accounts
24
D) Design accounts
Assign for country in-tax US ( Sales tax USA)

Tax IN (sales tax India) Temporary assignment
For our company any code: Country IN
Note the path this one
SPRO-Financial accounting –Financial accounting global settings-Tax on sales / Purchases - Basic settings -
Assign country calculation procedure

Give the country IN for India
Enter
For country IN assign procedure TaxUS
Sales Tax – USA
TOLERANCE GROUPS:
This is two types

1.GL Accounts 2.Employee
a) Receipts / Payment transactions

b) Mandatory area
Retained area called open item management.
This is used for vendors, customers and balance sheet accounts where clearing is required.
Outstanding expenses A/c

Salaries 500000
Bank 15000 Rent 15000

Wages 100000
If we see the account in the month end or year end-we will have no of credits and no. of debits. We don’t know which
item is pending and how much is pending.
As per SAP open item management –At the time of making payment –System will as against which provision we are
making the payment. When we specify the payment is being made against rent provision. It clears the transaction.
The advantage is we can see the account in 3 ways.
1) If we select open items payable Eg.Salaries and Wages.

2) If we select cleared items :paid Eg.Rent and bank
3) If we select all items: Payable + paid
The same way we use for vendors and customers and also.
Vendors X A/c
Bank – For 1 100 1 1000
Bank –For 2 200 2 2000
Bank-For3 300 3 3000
Bank for 4 400 4 4000
Bank for 5 500 5 5000
Bill wise out standings we can see for vendor.
We can have tolerances (payment differences). It can be amount tolerance or percentage tolerance or both it can be
debit amount or credit amount.
Outstanding expenses A/c
25
Salaries 500000
Rent 15000
Bank 15000 Wages 100000

Bank 100000 Commission 100005
There is difference of Rs.5 in the account for commission which need not be paid.
We can difference tolerances.
Tolerance
Group Amount percentage
A 100
B 5%
A) We have to assign tolerance group in account –in outstanding expenses A/c we have assigned tolerance group
A
B) At the time of making payment system checks

Provision 100005
Payment 100000
Difference 5
If the difference of Rs.5 is within tolerance group amount. i.e.100 system will clear the provision and transfer to
sundry balances written off account at time of making payment.
Disadvantages:
1. Tolerance group is given at account level and not at the transaction level.
Outstanding expenses A/c.

Diff to give
Salaries 500000 200
Bank 15000 Rent 15000 15
Wages 100000 500
Bank 100000 Commission 100005 100
2. There is not flexibility amount percentage tolerance group.

A 100
B 5%
C 0
Outstanding Expenses A/c.
Salaries 500000
Bank 15000 Rent 15000
Wages 100000
If we give tolerance group A in outstanding expenses account if the difference is less than tolerance group amount and
transferring sundry balances written of account automatically.
When we give tolerance group C instead of A in outstanding expenses account.
Outstanding expenses A/c.
Bank 100000 Salaries 500000

Bank 15000 Rent 15000
26
Provision 100005
Payment 100000
-----------
Difference 5
=======
Not payable payable
Transfer 5 Now Rs.100000 as part payment
To sundry balances off a/c and clear the transaction.

This is mandatory area.
Tolerance Group Amount Percentage

A 100
B 5%
Bank C 0
Instead of crating group C - keep the filed blank and give amount zero.
While creating 1000 GL accounts, Vendor accounts and customer accounts.

Keep tolerance group field blank, system expects we have created blank
Tolerance group and already assigned.
For our company code: we are creating bank tolerance group wit amount zero so that no need to assign.
Tolerance group while creating the accounts.
Path :SPRO – Financial accounting – General Leger Accounting –Business transactions-open item clearing –
clearing difference- Define tolerance groups for G/L Accounts
Company code : AML

Tolerance group :Blank
Description :Tolerance group for AML
Debit posting :0
Credit posting :0
Debit percentage :0
Credit percentage :0
Save
Select your request and press enter and save in your request.
Tolerance group for employees.
User wise upper limits for posting
Tolerance Group A B C
100000 100000 10000000 Amount per document
100000 100000 10000000 Amount per open item
account item
0 5 10 Cash Discount
0 0 0 Payment Differenced
We have 1000 users distance – we have to create 1000 scenarios (short cut method)
Accounts Dept:
1. City office cashier
2. Factory cashier
3. Branch cashier
4. Account 1 A
5. Account 2
6. Deputy Manager Accounts B
7. Manager Accounts
8. DGM Accounts C
In live environment / training institutes
27
SAP User AML A Blank
SAP User XYZ Use only A
SP userABC Use only A
Path: SPRO-Financial Accounting –General Ledger Accounting –Business transactions – Open Item clearing -
Clearing differences – Define tolerance groups for employees.

Group : Blank
Company code : AML
Upper limits for posting
Amount per document (Maximum Amount 9999999999)
Amount per open item account item 9999999999 cash discount per line item 10
Permitted payment difference : Blank
Save
ENTER GLOBAL PARAMETERS:
Path :SPRO-Financial accounting -Financial accounting global settings-Company code-Enter global parameters

Enter
Select company code :AML
Select details button (F2)
Select business area financial statements check box

Select propose fiscal check box
Select define default value date check box
Select negative posting permitted check box
Select addition data button
Company code : AML

Business Area : HYD BGL
Business place :City factory City office Factory
Permanent Account No. (PAN) – At company
Code level(Form 49A) 10 Digits Alpha numeric code
Tax Deduction at Source No (In SAP TDS No. / TAN) Form 49B -10 Digits alpha numeric code
At company code level / business area level / at business place level

(GIR No.: General Identification Number)
TDS No.ABCDE 35467N

PAN NO.BBBBB5678N
Select back arrow, then
Save
Negative postings:
In case of reversals if we select negative postings check box it reduces from the same side.
In SAP, when we post a wrong entry, we can’t change the document. We have to go for reversal or pass rectification
entry.
1. Equity share capital receipt:

Cash account Dr 400000
To Equity share capital 400000 Doc.No.1
28
2. Preference share capital receipt:
To Equity share capital 100000 Doc No.2
Reversal
3. Equity Share capital Dr 100000
To Cash account 100000 Doc.No.3
4.Cash Account Dr 100000

To Preference share Capital 100000 Doc No.4
Rectification
3. Equity share capital Dr 100000
To Preference Share capital 100000 Doc.No.3
Account No.100000 Ledger summary

Company code AML
Fiscal year 2008
Period Debit Amount Credit Amount Balance Cumulative Balance

1
2
3
4
5
6 100000 500000 400000 Cr 400000 Cr
7 -100000
1 2 3
Cash flow statement Reversal without Reversal by selecting Rectifications
selecting negative negative postings
postings
Opening cash and bank 0 0 0
balances
Add: Inflows Equity
share capital 500000 500000
Preference share capital 100000 100000 500000

Less:Out flows Equity
share capital
100000
Closing Cash and bank
balances 50000 500000 500000
wrong correct Wrong
To check transport request::
Path: Tools – ABAP work bench-Overview-Transport Organization (Tr.Code :SE09)

Enter
Select find request (Ctrl+F)
Execute
Find company code (Ctrl+F)
Double click on define company code
29
GENERAL LEDGER MASTERS CREATIONS
1 2 3
Chart of Accounts level Company code level Centrally
1 GL Account Number Account currency
2 Company code Only balances in local Chart of accounts fields
currency
3 Account group Tolerance group +

4. Whether it s P & L Account Line item display Company code fields
5 Whether it is a Balance Sheet A/c Open item Management
6. Description Sort key
a) Short text – Max 20
b) Long text –Max20
Field status group
Accounts to be created:
1. Surplus in P & L Account – Reserves & Surplus
2. Equity share capital – Share capital
3. Cash account –current assets, loans & advances
To check accounts groups for giving account numbers.
Path: SPRO – Financial Accounting – General ledger accounting – GL Accounts –Master Data- Preparations-
Define Account group (Tr.Code:OBD4)

Give your chart of accounts AML
Enter
Reserves & Surplus 100100-100199
Share capital 100000-100099
Cash account-current assets 200100-200199
1. To check account-Group for giving account numbers.

2. Creation of General
CREATION OF GENRAL
Path : Accounting-Financial accounting –General Ledger-Master records –GL Accounts-Individual Processing –

Centrally (Tr. Code is FS00)
Give the GL account 100100

Company code AML
From the menu select -> GL Account create
Account group: select reserves & surplus
Select balance sheet account radio button

Short text: surplus in P & L Account
GL Account Large text: Surplus in profit & Loss Account
Select control data tab
Select only balances in local currency in check box
We have
Tolerance group: Blank
30
Select line item display check box
Short key select 001 posting data
Select create / bank / interest
Field status group G001 General (with text, allocation)
Save
GL Account :100000
Company code : AML
Select with template button
GL Account :100100 (Surplus in P & L Account)
Company code : AML
Enter
By mistake save button
Your can not save
Change account group to Share capital
Select balance sheet a/c radio button
Change short text to equity Share capital
Change GL account long text to Equity share capital
Other filed common select save button
GL Account 200100
Company code :AML
Give the GL Account 100100 surplus in P & L account
Company code : AML
Enter
Change account group to current assets, loans & advances
Change short text to Cash account
Select balance sheet a/c radio button
Change GL account long text to Cash account
Select create / bank / interest tab
Change filed status group to G005 bank accounts (Obligatory value date)
Select relevant cash flow check box,
To view the accounts created
Select drop down button beside GL account
Match Code:
Enter
Short text : At the time of entry
GL account long text : At the time of General ledger display
Posting of transactions
31
Path: Accounting – Financial Accounting –General ledger –posting –General posting (Tr.Code is F-02)
Posting transaction :10/07/2008

Document date : In case of purchases document date will be party bill date- we can enter manually 30.09.2008
or select F4- It gives calendar and select F-2 – It selects today’s date .
Posting date : Ledger updation will be based on posting date period will appeal automatically based
on
Posting date : 30.09.2008
Reference :Party bill No.
Doc No :1
Normal cases
Document date (F4) :30.09.2008
Posting date: will come automatically this is server date.
Type :SA
Company code :AML
Currency : INR
System does not know debits and credits to differentiate between debit and credit SAP
Has given posting keys
Posting key 40 GL account Debit
Positing key 50 GL Account Credit
Posting key: Select 40
Account select the drop down button
GL long text :*Cash*
Company code : AML
GL Account : Z*
Enter
Select account No.200100

Enter
200100 Cash account – Filed status GRP-G005
Text Business Area Value date Required

In enter global parameters select define default value date check box
Amount :400000
Business area :AMLH
Text : Equity share capital receipt
Posting key : Select 50
Account select drop down button
Give the company code AML and press enter
Select account :100000 Equity share capital
Press enter
Amount enter :*(star)
Note: * (star) Means debits and credits equal
Cash A/c Dr 500000

To Equity 300000
To Preference *
32
Business area :AMLH
Text Enter :+
‘ + ‘(plus) mean copies the last line item narration in the same document.
Salaries A/c Dr 100000

(Salaries provision for Sep.)
Wages A/c Dr
(Wages provision for Sep.)
To outstanding Exp
We can not use *
Press enter
From the menu select document simulate (Shift +F9)

In one document we can have 999 line items.
Debit will be posted without any assign and credit amount will be posted with minus sign.
Select save button or Ctr+S
We get a message document 1 was posted in company code:AML
How to view the last posted document 1.
From the menu select document display.
Select display document header button or (F5)
Display document
Path: Accounting – Financial accounting – General ledger-Document –Display (Tr.Code:FB03)
Select document list button

Document type :SA
Select executive button (F8)
To view last one week posted document 24/09/2008 to 1/10/2008
Select execute button

To view self (documents posted by us)
Select own documents only check box
To view documents posted by a specific user
From the menu select –> Edit –> Dynamic –> Selections (Shift +F4)
User name :SAPUSER
Select execute (F8) button
Double click on document no.1
Change document :
Path: Accounting – Financial Accounting –General ledger-Document –Change (Tr.code is FB02)
Document No. :1
Company code :AML
33
Fiscal year :2008
Enter
Double click on first line item cash account
We can change only value date filed assignment filed and text filed.
Account display:
Path: Accounting – Financial Accounting –General ledger – Account – Display balances ( Tr.code is FS10N)
To view more than one account transactions select multiple selection button beside GL Account no.
We want to view random account numbers transactions.
Press select single value tab.
Give the account no.100100

200100
Select copy button
To view continuous account numbers transactions
Press select intervals tab

Low limit :100000
Upper limit :100099
Select copy button
Account no.100050
To exclude an account from the range
Select exclude single value tab
Singe value : 100050
Select copy button
To exclude a range of accounts :select exclude intervals tab

Low limit :100050
Upper limit :100059
Select copy button
To view only one account
Select drop down button beside GL Account
Enter
Select account no.100000 Equity share capital
Company code :AML
Fiscal year :2008
Business area :AMLH
Select execute (F8) button
Double lick on cumulate balance amount
Double click on document No.1
Select call up document overview button (F9)
Select back arrow (F3)
Document Number Posting date Text Amount

34
1 100000
2 200000
3 300000
-----------
Total Amount 600000
======
We can create our own line layout
How to create our own line layout:
Select change layout button (Ctrl+F8)

Select the filed which are not required
Select right arrow or hide selected fields button
From hidden fields column
Select posting date
Select left arrow show select fields button change column positions
Column Pos Length

Document No. 1 10
Amount in local currency 4 20
Text 3 35
Posting date 2 10
Change text length 35 characters for amount in local currency select total check box
Select copy button
How save the layout:

Select save layout button (Ctrl+S)
Option 1 Option 2
Common to User specific
All
A) Deselect user specific Check box A) Select user specific check box
B) We have to save with any number or name B) we can save will any number or
Name
Layout : / AML
Deselect user – specific check box
Description : Standard layout for AML
Select save button
Select back arrow two times
Execute
Double click cumulate balance amount
How to choose our layout:

Press select layout button (Ctrl+S)
Select : AML
How to make default line layout:

From the menu select settings – layout - Administration
Keep the cursor on /AML
Select define default setting button
Save
Select back arrow three times
Give the account no.200100 cash account
Execute (F8)
Double click on cumulative balance amount
Hold Document:
It is a temporary document
35
This is user for adjustment purpose or at the time of posting we do not know either debit or credit.
This document can be deleted there is no tracking for this document.
A) Loans to Directors
Create as hold document an once he gives money back delete the document.
B) Payment to a party –purpose of payment we don’t know
Cash balance = Account balance +/ Hold documents

Hold documents will not update records
Steps:
1. Run a program called “RFTMBLU” for conversion of hold documents
2. Creation of hold documents
3. Delete / complete hold documents
1. Run a program called “RFTMBLU” for conversion of hold documents
Path : Tools – ABAP Workbench- Development –ABAP Editor (SE38)
Program : give the program name :RFTMBLU”

Select no. termination for read error check box
Execute
2. Creation of hold documents

Use the transaction code (F-02)
Document date : Today date
Type :SA
Company code: AML
Posting key :50
Account no. :200100 (cash account)
Enter
Give the amount : 5000
Business area :AMLH
Text :Amount paid to Mr.X
From the menu select document hold
Tem parry document No. :AML
Select hold document button
We get a message document AML was held
Second
F-02
Give the document date: Today date

Type :SA
Company code :AML
Posting key : 40
Account 200100 (Cash account)
Enter
Give the amount 20000
36
Business area :AMLH
Text : Hold document testing
Posting key: : 50
Account no.: 100000 (Equity share capital)

Enter
Amount enter :* (Star)
Business area : AMLH
Text :+
From the menu select Document –> Hold
Give the temporary document no. 123456 (give any number)
Select hold document button
3. Delete / Complete hold document (F-02)

Use the transaction code f-02
From the menu select
Path :Document – Get held document –Select document list button
Keep the cursor on document number 123456

Select delete button
select yes button
select back arrow (F3)
select document list button
Keep the cursor on document no. :AML
select choose button
Give posting key :40
Account no. :100000 Equity share
Enter
Amount Enter :*(Star)
Business Area : AMLH
Text :+
From the menu select document –Simulate and save
Park Documents :
This is used for approvals Cashier
Enter the document he will park Informs to SR person SR person he can make changes to the
in the system approval document form amount / Date / head of
account before release
Accounts will not be updated And release document
Account will not be updated Once he release the document will be
posted and updates records
Steps:
1. Posting of packed document by cashier
2. Informed to Sr. person for release –Be cashier
37
3. Display packed document and change date and amount
4. After change, inform to Cashier about approval
5. Display changes to packed document
1. Posting of Packed Document

Path : Accounting – Financial accounting – General Ledger- Posting-General document parking (F-65)
Give the document date : Today date

Document type : SA
Company code : AML
Posting key :40
Account :200100 (Cash account)
Enter
Amount :9999
Text : park document testing
Posting key: :50
Account :100000 (Equity share capital)
Enter
Amount enter : *(Star)
Business area :AMLH
Text :+
From the menu select – Document – Park document
2. Informed to Senior Person for release
From the menu select system –>short message

Give the title : Please release Doc.No.3
Receipt user id of Senior person (sap user)
Recipient type : Select SAP logon name
Select express mail check box (Screen down right side)
Select send button (Shift+F8)
From the menu select system –> Create session
4. Display packed document and change date and amount
Path :Accounting –Financial accounting – General ledger-Document – parked documents- post / delete
(FBV0)

Enter by user ID :Cashier
Execute (F8)
To change the date
Select document header button
Change document date and posting date to 5.10.2008
38
Select back arrow
Select fast data enter button
Change amount 6000 Debit
6000 Credit
Select back arrow
From the menu select document post
Inform to cashier about approval
From the menu select –System –>Short message.
Title document no.3 released
Recipient User Id of Cashier
Recipient type
Select SAP logon name
Select express mail check box
Select send button (left side upper)
From the menu select system –> Create session
4 .Display changes to packed document
Path: Accounting –Financial accounting – General ledger-Document - Parked Documents-Display changes

(FBV5)
Company code : AML

Document No :3
Fiscal year :2008
Enter
Select all changes button
Sample document:
This is used for month end provisions

Salaries A/c Dr. 100000
Rent Dr 50000
Wages Dr 500000
To outstanding 650000
Create a sample document and store in the system every month by coping sample document number and by changing
date and amount we an post the provisions we will not forget any provisions.
Steps:
1. Create 3GL masters
A) Salaries A/c Personnel cost
B) Rent A/c Administration
C) Outstanding expenses – Current liabilities & Provision
2. Difference no.range interval for no.range X2
3. Creation of sample document
4. posting of transaction by copying sample document
To check account groups for giving account numbers. The transaction code is OBD4

Give the chart of accounts : AML
Enter
The personnel cost is 400100-400199
Administration range 400300-400399
Current liabilities & Provision range is 100500-100599
39
Creation of GL masters (FS00)
Give the GL Account 400100

Company code :AML
Give the GL Account 100000 (Equity share capital )
Company code :AML
Enter
Change account group to personnel cost (Staff cost)
Select P & L statement radio button
Change short text to Salaries A/c
Change long text to Salaries A/c
Other fields are common
Select save button or Ctr+S
GL A/c No: .400300
Company code :AML
Give the GL account :400100 salaries
Company code :AML
Enter
Change account group to Administration
Change short text to Rent account
Change long text to Rent account
GL Account :100500
Company code :AML
Give the GL account :100000 (Equity share capital)
Company code : AML
Enter
Change account group to Current liability & Provisions.
Change short text to Outstanding express
Change GL Account Outstanding express
Select open item management check box
Save
Define no. range interval for no. range X2:
Path: SPRO – Financial accounting –Financial accounting global settings – Document – Document number
ranges- (Tr.Code is FBN1)
40
Select change intervals button
No. range :X2
Year :2008
From number :500001
To number :500100
Enter & Save
Ignore the message press enter
Creation of sample document
Path: Accounting – Financial accounting – General ledger - Posting – Reference documents – Sample document
(F-01)

Type :SA
Company code :AML
Posting key :40
Accounting :400100 (salaries a/c)
Enter
Ignore the warning message ,press enter
Amount :500000
Text : Salaries provision for the month
Posting key: :40
Account :400300 (Rent account)
Enter
Account :75000
Text : Rent provision for the month
Posting key: :50
Account no. :100500 (out standing exp)
Enter
Amount enter :*
Business area :AMLH
Text : Provision for the month
We get a message document 500001 was stored in company code : AML
5. Posting of transaction by coping sample document : F-02)
From the menu select document post with reference.

Give the document no. :500001
41
Company code :AML
Fiscal year :2008
Select display line items check box
Enter
Change the document date :31.10.2008
Enter
Ignore the warning message press enter
Change the amount to 600000
Text :Add October (Salaries for the month of October)
Amount :0
Enter
Line item having zero will not update records
Ignore the warning message
Amount enter :*(star )
For text : Add October
From the menu select document simulate
Month end provisions:
Option 1: Option 2
Accrual / Deferral document Open item management
Option 1: Accrual Deferral document
31.10.2008 Salary provision

Salaries Dr 100000
To out standing 100000
01.11.2008 reversal next month 1st

Outstanding Dr 100000
To Salaries 100000
05.11.2008 Payment of salaries

Salaries Dr 105000
To Bank 105000
Salaries A/c
31.10.2008 100000
05.11.2008 105000 01.11.2008 100000
Outstanding Expenses A/c

31.10.2008 100000
01.11.2008 100000
42
Profitability effect::
For October 100000
For November because October 5000
Option 2: open item management

31.10.2008 Salaries provision
Salaries Dr 100000
To out standing 100000
05.11.2008 Salaries payment

Out standing Dr 100000
Salaries Dr 5000
To Bank 105000
Salaries A/c
31.10.2008 100000
5.11.2008 5000
Outstanding Expenses A/c

31.10.2008 100000
01/11/2008 100000
Profitability effect
For October 100000
For Nov. because of October salaries 5000
Companies follow 1st option (other than year end)

In case of option 2 – the person who makes the provision is accountant and the person who is making the payment and
clearing is Cashier - Cashier has to track the provision and clear against the provision.
Option 1: Accrual / Deferral document :

Steps
1.Creation of reversal reason and reversal reason should allow us to reverse on any day.
2. Enter accrual / Deferral documents
A) Rent Provision 08.10.2008
B) Salary provision 31.10.2008
3.Reversal of accrual / deferral documents in one step
1.Creation of reversal reason and reversal reason should any day.
Path : SPRO- Financial accounting –General ledger accounting-Business transactions –Adjustment posting /
Reversal - Define reason for reversal

Reason :11
Text : Real / Deferral Reversal reason for AML
Select neg. posting check box
Select alternative position date check box
Save in your request
If we do not select alternative posting date check box
31.10.2008
Salaries Dr
To out standing
System will allow you to reverses only 31.10.2008

We want to reverse next month 1st select alternative posting date check box
43
Rent provision:
Path : Accounting – Financial Accounting – General ledger –Periodic processing – Closing – Valuate- Enter
Accrual / Deferral Document (Tr.Code is FBS1)

Type :SA
Company code : AML
Reversal reason : Select 11
Reversal date :1.11.2008 (next months)
Posting key :40
Amount :400300 (Rent A/c)
Enter
Amount :50000
Business area :AMLH
Text : Rent provision for October
Posting key :50
Account no. :100500 (out standing exp)
Enter
Amount : *(star)
Text :+
From the menu select document –>Simulate and save
Salaries provision:
Tr.Code is FBS1
Document date :3110.2008

Type :SA
Company code :AML
Reversal reason :11
Reversal date :01.11.2008
Posting key :40
Account :400100 (Salaries A/c)
Enter
Give the amount 100000
Business area AMLH
Text :Salaries provision for the month of October
Posting key 50
Account :100500 (outstanding exp.)
Enter
Amount :*
44
Business area :AMLH
Text :+
From the menu select document –> Simulate and save
Reversal accrual / Deferral document :
Path : Accounting – Financial Accounting – General Ledger – Periodic processing – Closing –Valuate –
Reverse accrual / Deferral Document (Tr.Code is F.81)

Reverse posting date :01.11.2008
Select text run check box
Execute (F8)
Select reversal documents button
Select back arrow
OPTION 2 : Open Item Management

This is used vendors customers / Balance Sheet items where clearing is required. We have to select open item
management check box
While crating the GL accounts
Out standing Expenses

Salaries A/c 500000
Wagers A/c 300000
Bank 25000 Rent a/c 25000
We can see the account in 3 ways

1. Open items: Payable – Salaries and wages
2. cleared items : Paid rent and bank
3. All items : Payable + paid
3. Scenarios
1st Scenario 2nd Scenario 3rd Scenario
Full Clearing Partial clearing Residual items method
Provisional and payment –

Same amounts
A) Rent Provision –(Transaction code F-02)

Document Date & posting date :13.10.2008
Type : SA
Company code : AML
Posting key :40
Account no. :400300 (Rent A/c.)
Enter
Give the amount :15000
Business area :AMLH
Text : Rent provision
45
Posting key :50
Account no. :100500 (outstanding exp)
Enter
Amount :* (enter star)
Business area :AMLH
Text :+
From the menu select Document –> Simulate and save
B) How to view open item managed account transactions:
Path : Accounting – Financial Accounting – General Ledger- Account – Display / Change line items (Tr. Code is
FBL3N)
Give the GL Account :100500 (outstanding exp)

Company code : AML
Select open items radio button
Select normal items check box
Execute (F8)
OUT GONG PAYMENT WITH CLEARING:
Path : Accounting – Financial Accounting – General Ledger - Posting – Out going payments (F-07)
Give the document date : Today’s date

Type : SA
Company code : AML
Clearing text : outgoing payment
Account Under bank data :200100 (Cash A/c.)
Business Area :AMLH
Amount : 15000
Text : Outgoing payment
Account under open item selection :100500 (out standing expenses)
Amount type : S(S is default) (S: Stands for GL Accounts)
Select process open items button
Reversed documents will not appear for clearing:
Double click on payable amount 15000

Document – > Simulate and save
Go and see open item account transactions Tr.Code is FBL3N
Give the GL Account no :.100500 (outstand expenses)
Company code :AML
Select cleared items radio button
Clearing data : Today’s date
Execute (F8)
46
Select back arrow
Select open item radio button
Execute
(-*- This symbol is open item(document no. below))
2nd Scenario 3rd Scenario

Partial Clearing Residual items method
When we make part payment we can use either partial clearing or residual items method.
Out standing exp. Outstanding Exp.

OI OI
Rent 40000 Cr Rent 30000 28000 Cr
Cash 5000 Dr
------- -------
35000 Cr 28000 Cr
===== =======
CI :
Rent 30000 Cr
Rent 30000 Cr
--------------
0
=====
A) Rent Provision A) Rent Provision

Rent Dr 40000 Rent A/c Dr 30000
To Outstanding 40000 Outstanding 30000
B) Part payment B) Payment Rs.2000
Out standing Dr 5000 Outstanding Dr 30000 cleared

To Cash 5000 To Cash 2000
To Outstanding 28000
Residual: Balance payable
Note : OI means Open Items

CI Means Cleared Items
Companies follow 1st method
We test how to view bill wise outstanding:
Rent Provision F-02

Type : SA
Company code : AML
Reference :3456
Posting key :40
Account No. :400300 (Rent a/c)
Enter
Amount : 40000
47
Business Area : AMLH
Posting key : 50
Account No. :100500 (Outstanding exp.)
Enter
Amount : * (enter star)
Text :+
From the menu select Document –Simulate and save
Out going payment using partial clearing method: ( Tr. Code F-07)
Document Date : Today’s Date

Type : SA
Company code : AML
Reference : 3456
Clearing text :Outgoing payment
Account under bank data: 200100 (Cash a/c)
Account : 5000
Account under open item selections 100500 (outstanding exp)
Keep the cursor on the amount filed of line item against which we want to adjust.
Select partial payment tab
Creates payment amount column
Double click amount 40000
Double click on payment amount 40000
From the menu select Document – >Simulate
Gives a message correct the marked Line items
Double click on blue font line items
Text enter :+
Select save button or Ctrl +S
Go and see open item account transactions
The Transaction is code is FBL3N
Give the GL account :100500 (outstanding Exp.)

Company code : AML
Select open items radio button.
To view bill wise outstanding
48
Select change layout button (Ctrl+F8)
From the hidden fields column
Select reference field
Select amount in local currency under column contain.
Select left arrow or show selected fields button
Select copy button
Keep the cursor on reference
Select sub total button
To make balance payment of 35000 and cleared provision and part payment (F-07)
Give the document date : Todays date

Type : SA
Company code : AML
Reference :3456
Clearing Text : Out going payment
Amount under bank date :200100 (Cash A/c)
Business Area :AMLH
Amount :35000
Account : Under open item selection 100500(out standing exp)
Account type :S
Select process open item button
Double click on provision 40000
Double click on part payment 5000
From the menu select document –> Simulate and save
Go and see open item managed account transactions (FBL3N)
Give the GL Account o. :100500(out standing exp)

Company code : AML
Execute
Residual items method:
Rent provision F-02

Type : SA
Company code : AML
Posting key : 40
Account no. :400300 (Rent account)
Enter
49
Amount :30000
Business area :AMLH
Posting key :50
Account no. :100500 ( outstanding exp)
Enter
Amount :*
Text :+
From the menu select Document ->Simulate and save
Out Going Payment Using Residual Items Method: (F-07)
Give the document date : To days date

Type : SA
Company code : AML
Clearing Text : out going payment
Account under bank date : 200100 (Cash a/c)
Amount :2000
Text : out going payment
Account type :S (default comes)
Account : Under open item selection 100500 (out standing exp)
Keep the cursor on the amount filed of the line item against which we want adjust.
Select residual items tab
It creates residual items column
Double click on next amount 30000
Double click on residual items amount
From the menu select Document –> Simulate
It gives the message correct the marked line items.
Double click on blue font line item.
Text enter :+
Save
Go and see the open item managed account transactions (FBL3N):
Give the GL Account no. :100500 (out standing exp.)

Company code : AML
Execute
50
FOREIGN CURRENCY TRANSACTIONS
1. Check exchange rate type
Bank buying Exports G type

Bank selling Imports / Expenditure B type
Average rate MM /SD users type
Path : SPRO-SAP Net weaver- General Settings – Currencies – Check exchange rate types

Exchange rate type: B (enter B)
Enter
Define translation rates for currency translation:
Giving conversion factors for two currencies:
USD 1 : INR 1
JPY 100 : INR 1 JPY=Japanese - Yen
ERO 1 : INR1
GBP1 : INR1 GBP=Great Britain -Pound
ITL1 : INR1 ITL=Italian -Lira
JPY 100 : INR1 37Rs
Or
1 : 0.01 0.37
Once we follow one conversion factor follow continuously for all the years. Don’t change in between if we change in
between it gives wrong results.
This is given at client level and not at company code level (Client 800)
Path: SPRO – SAP Net weaver- General settings – Currencies – Define translation
ratios for currency translation
Ignore the message select yes button.

Exchange rate type From To valid (from) Ratio (from) Ratio (to)
G (Bank buying) USD INR 01.10.2008 1 1
B (Bank selling) USD INR 01.10.2008 1 1
M (Average rate) USD INR 01.10.2008 1 1

Enter exchange rates:
Path: SPRO- SAP Net weaver- General settings- currencies – Enter exchange rates
Forex Table
We can enter Daily quotations / Week end quotations / Month end quotations.
For each day end for each type we can enter only one rate.
Exchange type Valid from R From currency Director quotation To

G 10.10.2008 1 USD 47.00 INR
51
B 10.10.2008 1 USD 47.50 INR
M 10.10.2008 1 USD 47.10 INR
Press enter and save in your request.
Exchange rates entry at the End User Area:
Path: Accounting – Financial accounting – General ledger-Environment – Current settings – Enter translation
rates (S_BSE_68000174)
Foreign currency postings for end user area:
SCENARIO :1 SCENARIO 2
When exchange rate is not entered at When exchange rate is entered at the
the time of posting. Time of posting
a. IF we don’t enter the rate at the time of posting, it takes rate from Forex table
b. If take the latest date rate

1.10.2008 45
10.10.2008 47
Enter date :15.10.2008

c. To enter default exchange rate type based on document type.

General ledger posting : SA Bank selling rate
Purchase INV posting (FI purchases) :KR Bank selling rate
MM Purchases :RE Bank selling rate
Sales invoice posting (FI Sales) DR Bank buying rate

SD sales RV Bank buying rate
If we do not specify system takes average rate.
1. To enter default exchange rate type B (Bank selling rate) for document type
‘SA’
Use the Tr. Code is OBA7
Select type : SA
Select details button
Under default values exchange rate type for foreign currency documents. Select B (Bank selling rate)
Save
2. Posting of expenditure in USD F-02
Give the document date : To days date

Type : SA
Company code :AML
Currency : USD
Rate : Blank
Posting key :40
Account : 400100 (salary)
Enter
52
Text : Salary payment
Enter
Posting key : 50
Account :200100 (cash account)
Enter
Amount :*
Text :+
From the menu select Document ->Simulate
To view in INR
Select display currency button
Save
When exchange rate is extend at the time of posting
Expenditure posting Tr.Code is F-02
Document date : To days date

Type : SA
Company code : AML
Currency : USD
Rate :50
Posting key :40
Account no. :400100 (salary account)
Enter
It gives the warning message exchange rate 50 deviates from table rte 47.50 by 5.26%
Amount :10000 USD
Text : Salary payment
Enter
Posting key :50
Account no. :200100 (Cash account)
Enter
Amount :*
Business area :AMLH
Text :+
From the menu select Document ->Simulate and save
REVERSELS:
1. Individual Document Reversal
2. Reversal of Reversed document
3. Mass Reversal
53
4. Clearance Items Reversal
5. Account Deferral document reversal
1. Individual Document Reversal

A) To reverse one document at the time
B) To give reversal reason
C) At the time of reversal, it we do not give reversal date it takes original document posting.
Date incase, that period should be open

1. Document posted on 10th April 2008 Doc.No.1 Generated
2. Now, we have open the periods from September 2008 to October 2008
6,2008 – 7,2008
3. Ledger scrutiny - Doc.No.1 is wrong
Document No.
Reversal reason
Reversal date Blank
Save
It takes original document posting date 10/04/2008

It can not reverse, since the April period is not open
Path : Accounting – Financial Accounting – General ledger – Document – Reverse – Individual Reversal (FB08)

Company code :AML
Fiscal year :2008
Select 01 reversal reason
Posting date : Blank
Select display before reversal button
Select back arrow
From the menu select Document –>Display
Select Go to Display document Head button (F5)
Select display document header button

1. Posted Documents 1
2
3
4
5
6 Reversal for 1
7 Reversal for 2
2. Document type and no./ranges : OBA7

Select type : SA
Number range :01
Reversal Doc.type : AB
3. Document display : FB03

Company code : AML
Doc. Type : SA original documents
AB Reversed documents
2. Reversal of Reversed Document
54
Indirect method (work around)
To reverse Doc No.2 By mistake we have reversed Doc.No.1 and it has generated Doc.No.18
Use transaction code F-02
From the menu select post with reference
Company code :AML
Fiscal year :2008
Select generate reverse posting check box
Select display line items check box
Enter
Enter once again
Change the text to reversal for Doc No.18
Enter
Text :+
Enter
Save
Enter
From the menu select Document ->Display
3. Mass Reversal
A)To reverse more than one document at time we use mass reversal.
B) The documents to be reversed can be continuous numbers or random numbers.
Path: Accounting – Financial accounting – General ledger – Document – Reverse – Mass reversal (F.80)

To reverse random numbers
Select multiple selection button beside document no.(-->)
Under single values
Give document no .2
4
Select copy button
Reason for reversal 01
Select test run check box
Execute
Select reverse documents button
Cleared Items Reversal
1. Go and see open item managed account transactions (FBL3N)

Give the GL Account Number 100500 (out standing exp)
Company code : AML
Select clear items radio button
Execute
Out standing exp A/c

01
10 Bank 15000 9 Rent 15000
55
CI
9 Rent 15000 Cr
10 Bank 15000 Dr
Stop payment instructions to the banker
A) Reset cleared items – Delink between the provision and payment.
Out standing expenses A/c

01
10 Bank 15000 9 Rent 15000
B) Reverse cheque transaction

Out standing expenses A/c
01
9 Rent 15000
Path: Accounting – Financial accounting – General ledger-Document –Reset clear items (Tr.Code is FBRA)
Clearing document : 10
Company code : AML
Fiscal year : 2008
Select resetting and reverse button
Reversal reason :01
Enter
We get a message clearing 10 reset
Enter
Go and see open item managed account transactions Tr code is FBL3N
Give the GL Account no.100500 outstanding expenses

Company code : AML
Execute
Interest Calculations
Balance Interest calculation Item interest calculation
S Type P Type
GL Account Vendor / Customers
Define interest calculation type:
Path : SPRO- Financial accounting – General ledger accounting- Business transactions – Bank account interest
calculation – Interest calculation Global settings – Define interest calculation types
Interest indication : G1
Name : 10% Monthly
Interest calculation type : Select S
Balance interest calculation
56
Prepare account balance interest calculation:
Path : SPRO- Financial accounting – General ledger accounting- Business transactions – Bank account interest
calculation – Interest calculation Global settings- prepare account balance interest calculation (Tr.Code OBAA)

Interest calculation indicator : G1
Interest calculation frequency : Select 01
Calendar type : Select G (28 31/365)
Select balance plus interest check box
Save
Calendar Type
In case of rupee loans we use G Calendar In case of foreign currency loans we
use F calendar.
FC Loan from SBI LIBOR +2%
(LIBOR Mean London Inter Bank Offer Rate)

For interest calculations the denomination will be always 360
days
FIBOR – Frankfurt Inter Bank Offer Rate
MIB - Mumbai Inter Bank Offer Rate
Define Reference Interest Rates:
SBI rupees term loan 10/04/2008 100000

10/09/2008 10000
Interest calculation for the year
1st method
On 100000 from 10/04/2008 to 31/03/2009 at 10% 15000
On 100000 from 10/09/2008 to 31/03/2009 at 10% -3000
--------
12000
2nd Method
On 10000 from 10/04/2008 to 09/09/2008 at 10% 5000
On 90000 from 10/09/2008 to 31/03/2009 at 10% 7000
------
12000
=====
If the account is having credit balance 10%
If the account is having debit balance 8%
Loan account – Interest indicator Account Credit balance reference interest rate : G2-10%
Account debit balance reference interest rate G3-8%
A) Interest rates are given to reference interest rate (G2 and G3)
B) Reference interest rates are specified separately if there is a credit balance and if there is a debit balance and it
will be assigned to interest indicator
C) Interest indicator will be specified in loan account.
57
Define reference interest rates:
Path : SPRO – Financial accounting – General ledger accounting – Business transaction –Bank account interest
calculation – Interest calculation –Define reference interest rates (Tr code is OBAC)

Ref int.rate : G2
Long text : Credit balance 10% interest
Description also credit balance 10% interest
Date from :01.04.2008
Currency : INR
Save
Select next enter button
Ref.int.rate : G3
Long text : Debit balance 8% interest
Description : Dr. Bal 8% int
Date from : 01.04.2008
Currency : INR
Save
Define Time – Dependent Terms
Path : SPRO – Financial accounting – General ledger accounting – Business transaction – Bank account interest
calculation – Interest calculation- Define time – Dependent Terms

Interest calculation indicator : G1
Currency key : INR
Effective from : 10.04.2008
Sequential number :1
Terms : Select credit interest balance interest calculation
Ref.interst rate : G2
Save
Select next entry button (F8)
Interest calculation indication : G1
Currency key : INR
Effective from :01.04.2008
Sequential number :2
Term : Select debit interest balance interest
calculation
Reference rate : G3
Save
58
Enter Interest Values
Same path as above (Tr code is OB83)

Reference interest rate : G2
Valid from : 01.04.2008
Interest rate : 10 (one month)
Valid from : 01.04.2008
Interest rate :8
Save
Creation Of 2 Gl Masters
A .SBI rupees term loan Secured loans

B. Interest account Intrest
To check account groups for giving account numbers OBD4

Give the chart of accounts : AML
Enter
Secured loan range :100300 -100399
Interest range : 400400-400499
Creation Of Gl Masters (Fs00)
Give the GL account no. :100300

Company code : AML
Give the GL Account no. :100000 Equity share capital
Company code : AML
Enter
Change the account group to secured loans
Change short text to SBI rupee term loan
Change GL account long text to SBI rupee term loan
Change GL Account text to SBI rupees term loan
Select Create / Bank / Interest tab
Field status group change to G005
Interest indicator select G1
Save
Tr.Code:FS00
GL Account no. :400400

Company code : AML
Give the GL account no.:400100 salaries account
59
Company code : AML
Enter
Select type / Description tab
Change account group to interest
Change short text to interest a/c
GL account long text: Interest account
Save
Assignment accounts for automatic postings:
Path : SPRO- Financial accounting – General Accounting – Business Transactions – bank account interest
calculation- Interest Posting – prepare GL Account balance interest calculation (Tr.Code OBV2)
Select symbols button

0002 Interest paid
2000 GL Account (paid)
Interest account Dr 0002 400400
To SBI rupees term loan 2000 100300
If more than term loan 2000 ++++++++++ ( 10 Times plus)
(10 times +(plus) mean any account number)
Length of account no. maximum 10 digits

We are using 6 digits – why can not we use ++++++ (6 times plus)
When we post a transaction – Cash account Dr
Credit to equity share capital and when we give the account number 200100 for cash account and 100000 for Equity
Share Capital – It takes in the beginning 0000200100 Debit and 0000100000 Credit and when we save it saves with
200100 and 100000.
If we gives 6 times plus – when we simulate for loan it takes 000010 and it can not save.
SBI rupees term loan 100300

IDBI rupees term loan 100301
ICICI rupees term loan 100302
At the time of interest calculation, we give for which loan account interest is to be calculated. Now we are asking the
system to calculate interest for 100301 – IDBI rupees term loan account 100301 will be replaced in ++++++++++
Select accounts button

Give the Chat of Accounts : AML
Enter
Accounts symbol Currency GL A/c

0002 INR 400400
2000 INR ++++++++++

Open Posting period (Tr.Code is OB52)
To open posting periods for April 2008

Give the posting period variant : AML
Enter
60
For Variant : AML
From the period 1 is :1
SBI rupee term loan receipt : F-02

10.04.2008 SBI cheque date 100000
12.04.2008 cheque deposit in bank
Interest calculation in SAP from 12.04.2008

Where as bank calculates from 10.04.2008
We are giving value date 10.04.2008
Now SAP also calculates interest from 10.04.2008
Document date & posting date :10.04.2008

Type : SA
Company code : AML
Posting key :40
Account :200100 (Cash a/c)
Enter
Amount :100000
Text : SBI Term loan receipt
Posting key :50
Account key :100300 SBI Rupee term loan
Enter
Amount :*
Text :+
From the new select document simulate and save.
Term loan repayment (F-02)

Due date :10.09.2008
Cheque date :10.09.2008
To bank credit in SBI books only on 12.09.2008 interest credit will be in our books 10.09.2008
SBI gives credit from 12.09.2008
Cheque date :07.09.2008
F-02
Give the document date & posting date 07.09.2008
Type : SA
Company code : AML
61
Currency : INR
Posting key :40
Account no. :100300 SBI rupee term loan
Enter
Amount :10000
Text : SBI Term Loan Repayment
Posting key :50
Account :200100 (Cash account)
Enter
Amount enter :*
Text :+
From the menu select document –>Simulate and save
Balance Interest calculations:
Path: Accounting – Financial accounting – General ledger- periodic processing- Interest calculation-Balance
interest calculation (F.52)
Company code :AML

Give the GL account :100300 ( SBI Rupee Term Loan)
Calculation period :01.04.2008 to 31.03.2009
Execute
Select back arrow
To view line item wise interest
Select additional balance line check box
Execute
Select bank arrow
How to give effect for floating rate of Interest

Interest rate change from 10% to 12% from 01.06.2008
On 100000 from 10/04/2008 to 31/05/2008 @10%
On 100000 from 01.06.2008 to 09.09.2008 @12%
On 90000 from 10/09.2008 to 31/03/2009 @12%
Open one more session with SPRO
Path :SPRO- Financial accounting – General ledger accounting – Business transactions- Bank account interest
calculation – Interest calculation- Enter Interest Values (OB83)

Valid from :01.06.2008
Interest rate :12
62
Save
Press enter to save in your request come to the first session
Execute
Select back arrow
Interest postings to accounts:
Change the calculation period : 01.04.2008 to 30.04.2008

Select post interest settlements check box
Select update master records check box
Session name : AML
Posting to business area : AMLH
Posting date of session :30.04.2008
Posting segment text : Interest for April 2008
To view the batch input session
From the menu select system – >Services –> Batch input Session
Select session name : AML

Select process button
Select display errors only radio button
We get a message processing of batch input session completed
Select exit batch input button
To view the document posted use the (Tr. Code FB03)
Go and see the GL maser (FS00)
Give the GL Account no. :100300 (SBI rupee T.L)

Company code : AML
From the menu select GL account –->Display –-> Select create / Bank / Interest tab
Key date of last interest calculation :30.04.2008
Date of last interest run :20.10.2008
On which date we have to run
1. Simple interest 2. Compound interest

SBI rupee term loan 10.04.2008 100000 SBI rupee term loan 10.04.2008 100000
30.4.2008 575
0002-400400 Interest A/c For may it calculates on 100575
2000-100510 Interest payable a/c
For may it calculates on 100000
Interest also to post to separate accounts

400400 Interest on SBI Rupee Term Loan
400401 Interest on IDBI Rupee Term Loan
400402 Interest on ICICI Rupee Term Loan
0002-400400 interest on SBI rupee term loan, we are calculating interest for IDBI rupee term loan
In batch input session – select process forward radio button

Deselect display errors only radio button
40 400400 Interest on SBI Term Loan 1000

Change account no to 400401
63
How to make open items initially inactive:
Clearing
1 1000 Cr
2 2000 Cr
3 3000 Cr
Payment 1000 Dr
The difference is too large for clearing all items are initially inactive
1 1000 Cr
2 2000 Cr
3 3000 Cr
Payment 1000 Dr
Path : Accounting – Financial Accounting – General ledger – Environment – User parameter- Editing options
(Tr.code is FB00)
Select open items tab

Select selected items initially inactive check box
Save
Foreign Currency Balance Revaluation

FC term loan (Foreign currency TL)
|
Long term working capital Fixed assets purchase
|
Local assets Imported assets
21.10.2008 100000 USD 47 4700000

13.10.2008 100000 USD 50 5000000
-----------
300000
========
As per accounting standard 11 (ASII)
Balance to be revaluated and change to profit & loss account.
Creation of 3 GL Masters
A) SBI FC Term loan Secured loans
B) Exchange again other income
C)Exchange loss Administration
To check account groups for giving account no.OBD4

Give the chat of accounts : AML
Enter
Note the other income range 300100 to 300199
Create of GL masters FS00
Give the GL account no.100301

Company code : AML
Give the GL account no :100300 (SBI Rupee Term Loan)
Company code : AML
Enter
Change short text and long test to SBI FC term loan
Account currency change to USD
64
Deselect only balance and loan currency check box
Select create / bank / Interest tab
Interest indicator : Blank
Delete the dates
Save
GL Account :300100
Company code : AML
Give the GL account no. :400300 Rent account
Company code : AML
Enter
Select type/ Description tab
Change account group to other income change short text and GL account long text to exchange gain
Save
GL Account : 400301
Company code : AML
Give the GL account no.400300 rent account
Company code : AML
Enter
Change short text and GL account long text to exchange loss
Save
DEFINE ACCOUNT PRINCIPLES
Path : SPRO- Financial accounting(new)-Financial accounting global setting (new)-Ledgers-Parallel accounting-

Define accounting principles

Accounting principle :B
Name / Description of accounting principle.: INDIAN ACCOUNTING STANDARDS
Assignment accounting principle to ledger groups

Same path as above

Accounting principle : B1
Target ledger group :0L
Save
Define valuation methods
Path: SPRO- Financial accounting (new)- General ledger accounting (new)-Periodic processing – Valuate- Define
valuation methods

65
Valuation method : AML1
Description : FC valuation bank selling method for AML
Select always evaluate radio button
Document type : SA
Exchange rate type for debit balance : B (bank selling rate)
Exchange rate type for credit balance :B
Select determine exchange rate of ratio button
Save
Define Valuation Areas

Same path
Valuation area : BA
Valuation method : AML1
Currency type : Select company code currency
Save
Assign valuation areas and accounting principles

Same path

Valuation area : BA
Accounting principle : B1
Save
Prepare automatic postings for foreign currency valuation:
Path :Upto valuate the path is same-Foreign currency valuation-Prepare automatic posting for foreign currency
valuation (Tr code is OBA1)
Double click on exchange rate difference using exchange rate key

Give you chart of accounts : AML
Select change valuation area or right arrow button
Give the valuation area : BA
Enter
Exchange rate difference key : USD
expenses account :400301
Exchange rate gains account :300100
Delete ledgers (other than OL) for Ledger Group – OL
66
April –March OL Leading ledger (India)
Jan- Dec G1 Non leading ledger 1(US)
July – June GL Non leading ledger 2(Australia)
At the time of posting – FI we don’t give ledger group it updates all the ledgers automatically
Indian accounting standards / US Accounting

Australian accounting standards standards (US GAAP)
FC revaluation Add to asset

Creation of ledger groups OL G1
Assign ledgers OL and GI G1
Delete ledgers assigned to ledger group OL other than OL
Path :SPRO-Financial accounting (new)- Financial accounting Global settings (new) – Ledger-Define ledger
group-
Select ledger group :0L

Double click ledger assignment folder
Select ledgers other than OL
From the menu select delete
Ignore the message press enter and save
Assign exchange rate difference key in GL Master (FS00)
Give the GL 100301 SBI FC Term loan

Company code : AML
From the menu select GL Account change
Exchange rate difference key: Select USD
Foreign currency term loan receipt (F-02)

Type : SA
Company code : AML
Currency : USD
Rate :47
Posting key :40
Account :200100 ( Cash account)
Enter
Amount :100000
Business area :AMLH
Text :SBI FC Term Loan Receipt
67
Enter
Posting key :50
Account :100301 SBI FC Term loan
Enter
Amount enter :*
Business area :AMLH
Text :+
From the menu select Document Simulate and Save
Enter year end exchange rate in Forex table – OB08

Exchange rate Valid from From Direct quotation To

G 31.03.2009 USD 49.50 INR
B 31.03.2009 USD 50.00 INR
Save
Foreign Currency Revolution
Path: Accounting – Financial accounting-General ledger-Periodic processing-closing-valuate-foreign currency

valuation (new) (Tr.code is FAGL_FC_VAL)

Valuation key date :31.03.2009
Valuation area : BA
Select GL balance tab
Select valuate GL Account balance check box
GL account 100301 SBI FC term loan
Select postings button
Give the batch input session name :AML
Select 1postings button
Month end revaluation

Diff
23.10.2008 100000 47
31.10.2008 47.50 0.50 5000
30.11.2008 49 2.00 200000
Exchange Loss Option 2

31.10.2008 50000
30.11.2008 200000 01.11.2008 50000
SBI FC Term loan

23.10.2008 100000 4700000
31.10.2008 50000
01.11.2008 500000 30.11.2008 200000
Loss for October 50000

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Loss for November 150000
---------
Loss up to Nov. 200000
======
procedure for month end revaluation: (Tr code is FAGL_FC_VAL)
Enter month end exchange rates in Forex table

Company code : AML
Valuation key date : Month end date
Valuation area : BA
Select crate posting check box
Select reverse posting check box
Procedure for year end revaluation
Enter year exchange rate in Forex table

Company code : AML
Valuation key date year end date
Valuation area : BA
Select create posting check box
Reversal posting date :Blank
Deselect reverse posting check box
From the menu select System –-> Services-Batch input – Sessions
Select session FAGL_FC_VALU
Give the business area : AMLH
Enter
Second
Enter
We get a message processing of batch in put session completed
To view the document posted view the Tr.Code FB03
Enter
Select display currency button
End user area customization area SPRO
SAP easy access screen)
How to view path when transaction code is given
In command filed enter search – SAP- menu
Search –SAP-Menu
69
Press enter
Search text entry : F-02
Enter
CUSTOMIZATION AREA: Use the Tr.code is SPRO

Select find button (Ctrl+F)
Search term : Fiscal year
Enter
Select fiscal year in area financial accounting global settings
Enter
70
ACCOUNT PAYABLE
This is subledger (subsidiary ledger). This is used when material management (MM) module is not implemented for all
type purchases material purchase services.
When Material Management(MM) module is implemented.
This is used for services where TDS is to be deducted.
Eg.Job work charges /legal and professional charges
In normal accounting for raw material purchases.
Purchase A/c Dr
To party
In SAP :for Raw material purchases

Inventory RM Dr General ledger
To party Sub ledger –Sundry creditors –General ledger
|
Reconciliation account on control account
Trail balance will not match –when we post to party automatically it updates sundry creditors –RM
Basic settings for account payable:

1. Creation of vendor account groups
a) we create FI vendors services parties
b) MM vendors -Reconciliation account
Material parties -Required entry field
2. Create number range for vendor accounts:
3. Assign number range group to vendor account group.
4. Define tolerance group for vendors.
5. Creation of 2GL masters.
a) Inventory raw material - Current assets, loans & advances
b) Sundry creditors – RM -Current liabilities & Provisions
6. Creation of vendor master
7. Document type and no.ranges
KR: Vendor invoices
KZ: Vendor payment
KA: Vendor document for transfers / Reversals
8. Posting keys :31 Vendor credit
:25 Vendor debit
Creation of vendor accounts groups:
Path :SPRO –Financial accounting –Accounts receivable and accounts payable-Vendor accounts-Master data-
preparation for creating vendor master data- Define account groups with screen layout (vendors)

Account group :AML1
Name :FI vendors for AML
Double click on company code data
Double click on account management
Reconciliation account make it required entry field
Cash management group make it suppress
select save button
71
select create request button
short description :AP customization for AML
enter
press enter to save in your request
select next entry button
account group AML2
Name :MM vendor for AML
Reconciliation account : Make it required entry filed.
Cash management group select suppress
Save
Create number range for vendors account :
Up to preparation for creating vendor master data path is same

Create number ranges for vendors account.(Transaction code is XKN1)

Number range :13
From no. :4200001
To no. :4300000
Enter
Select interval button once again
No.range :14
From No. :4300001
To no :4400000
Enter
Save
Assign number range to vendor account groups:

Same path

Account group :AML1
Enter
For account group :AML1
Number range :13
Account group AML2
Number range :14
72
Define tolerance group for vendor
Path :SPRO-Financial accounting-Account receivable and account payable-Business truncations-Outgoing

payments-manual outgoing payments-Define tolerances(Vendors)
Company code :AML

Tolerance group : Blank
Save
Press enter save in your request
Creation 2GL masters (FS00)

Company code :AML
Give the GL account no.200100 Cash A/c
Company code : AML
Enter
Change short text and GL A/c long text to Inventory RM (Raw material)
Select create /bank /interest tab
Field status group change to G001
Deselect relevant to cash flow check box
Save
One more A/c
GL Account No.100501
Company code :AML
Give the GL A/c No.100500 (Outstanding exp)
Company code :AML
Enter
Select type/ Description tab
Change short test and GL account long test to Sundry Creditor to RM
Deselect only balances in local currency check box
Reconciliation account for account type select vendor
Deselect open item management check box
Sort key :Select 012 vendor number
Field status group change to G067 (reconciliation accounts)
Save
Creation of vendor master:
Path : Accounting-Financial accounting –Account payable-Master records-Maintain centrally-Create

(Transaction code is XK01)
73
Account group :AML1
Enter
Title :Select company
Name :Birla Chemicals Limited
Street : Ameerpet
Post :500082
City :Hyderabad
Country :In(India)
Telephone no. :040123456
Select next screen button three times
Reconciliation account :Select 100501 (sundry creditors raw materials)
Sort key :012 Vendor no
Select next screen button
Payment terms :Select 0001 (payable immediately)
Tolerance group :Blank
Select check double invoice check box
Save
MM Module
Purchase order
|
Goods receipt
|
Invoice verification
FI Module
Document date :Party bill date 01.10.2008
Posting date 31.10.2008 07.11.2008

Reference vendor no. party bill no.
1234 1234
| |
Save save
Doc no.100001
System gives a wrong message no.100001 is posted to the party with the same amount. Do you want to post once
again.
Provided we select check double invoice check box (If MM module is not implemented and same bill two times entry)
Document types and no. ranges (OBA7)

Select type  KR  Vendor invoice

Number range 19 (Note down the no.range)
74
No.range :19
Year :2008
From no. :100001
To no. :200000
Enter and save
Select back arrow 3 times
Select type -KZ vendor payment
No. range 15 (note down the no.range)
Select no.range information button
No.range year From no. To no.
15 2008 200001 300000
Enter and save
Select type – KA vendor document
No.range 17
Company code : AML
Select change interval button
No.range :17
Year :2008
Form no. :300001
To no. :400000
Enter and save
75
HOUSE BANK
Bank branch name
Bank Address
Contact person
Telephone no.
Senario1
1. House bank  SBI Main branch
No.of account Current A/c Current A/c Current C/A
ID’s (Identification) No.1 No.2 No.3
Scenario 2
2 House banks SBI Main branch BI Begumpet Branch

| |
Account ID Current A/c No. Current A/c No.
Steps:
1) Creation of GL Master  SBI current account  Under Current assets , Loans & Advances
2) Define House bank
3) Creation of check lots  check from no., check to no.
* In SAP check mean cheque
1. Creation of GL Master (FS00)

Company code :AML
Give the GL account no.: 200100 Cash A/c
Company : AML
Enter
Change short text and GL account long text  SBI current A/c
save
2. Define house banks
Path : SPRO-Financial accounting –Bank accounting-Bank accounts –Define house banks (FI12)

Enter
House bank :SBI
Bank country :IN
Bank key :AML1 (text field)
Save
Bank name :State Bank of India
Street :Bank Street
76
City :Hyderabad
Bank branch :Main branch
Enter
Double click on bank account folder
Account ID :SBI1
Description :SBI current A/c no.1
Bank account no. :AML1234
Currency :INR
G/L Account no. :200105 SBI current a/c
Select save button
3. Creation of check lots:
Path :Accounting –Financial accounting-Accounts Payable –Periodic Processing -payments (F110)
From the menu select  Environmentcheck Information  Number ranges (FCHI)
Paying company code :AML

House bank :SBI
Account ID :SBI1
Select change button (Shift +F5)
Select create button
Lot no. :1
Check no :500001
To no. :500100
Select –Non sequential check box
Short information :SBI
Purchase date :Today’s date i.e Check box issue date
Enter and save
Manual payment Automatic payment

1. We can issue any check any time System will issue check one after another
2. Sequential or Non-sequential Sequential
Purchase invoice posting
Path : Accounting-Financial accounting-Account payable –Document entry- Invoice general

(Transaction code F-43)
Give the document date :Todays date

Type :KR(Vendor)
Company code :AML
Posting key :31 (Vendor credit)
Account :4200001 (Vendor no.)
Enter
77
Business area :AMLH
Text :Purchase invoice posting
Posting key :40
Account no. :200120 (Inventory raw material)
Enter
Amount :*
Business area :AMLH
Text :+
From the menu select document  Simulate and save
How to view vendor account transactions
Path: Accounting –Financial accounting-Account payable-Account –Display change line items (Transaction
code is FBL1N)
Give the vendor account :4200001

Company code :AML
3. To view general ledger sundry creditor raw material –Transaction code is FS10N
Give the GL account no.:100501 Sundry creditor raw material

Company code : AML
Fiscal year :2008
Business area :AMLH
Double click on cumulate balance amount
To view vendor wise
Select change layout button

Select assignment field from the hidden fields column
Select amount in local currency (under column content)
Select left arrow
Select copy button
100501 Sundry creditors RM
Sort key :012 Vendor number
Sort key updates assignment field automatically
Outgoing payment with clearing
Path :Accounting – Financial accounting-Accounts payable -Document entry–Outgoing payment –Post

(F-53)

Type :KZ
Company code :AML
78
Account under bank date :200105 (SBI current account)
Amount :5000
Business area :AMLH
Text :Outgoing payment
Account under open item select :4200001
Account type :K comes by default (K stands for Vendors)
Double click on payable amount :5000
Document Simulate
Go and see the vendor account truncation (Tr.code is FBL1N)

Give the vendor account no. :4200001
Company code :AML
Select cleared item radio button
Execute
Creation of manual check
Path :Accounting –Financial accounting –Accounts payable –Environment –Check information –Create –
Manual checks (Tr code FCH5)
House bank :SBI

Account ID :SBI1
Give the check no. :500025
Save
Display check resister
Upto check information the path is same Display –Check register (Tr code is FCHN)
Give the paying company code :AML

Execute
Double click on check no. :500025
Select accompany documents button
Path A/c
Bill no. Amount Payment Payment doc.no. Check
1 5000 5000 200005 500001
2 5000
3 15000
4 5000 5000 200001 500025 payment history
5 5000 5000 200010 500005
Assignment of check no.to payment no.payment doc no.is cleared will be number
Check encashment date updating:

Based on bank statement we update check encashment date.
79
Advantage 1
1. We know on which date the check is encased by the party
2. Bank reconciliation is easier
3. upto check information the path is same change –Additional info/Cash
(Tr code is FCH6)
paying company code :AML
House bank :SBI
Account ID :SBI1
Check no. :500025
Enter
Give the check encashment :20.11.2008
Save
Go and see check register FCHN
give the paying company code :AML

Execute
Sort date wise –FI the encashment date is bank or offer 30.11.2008
Checks issued but not presented.
Unissued checks cancellation
Some time while writing check we commit mistake before issuing to party – we cancel check
Up to check information the path is same void –unused checks (Tr code is FCH3)

House bank :SBI
Account id :SBI1
Check no.from :500001
Void reason code :Select 06 destroyed select void button (Shift+F5)
Go and see the check register (FCHN)

Once the check lot is over all check keep the cursor and cheque no.from to select sort in ascending order button
(Ctrl +F5)
If any number is missing between the check is misused.
How to create void reason code
Path :SPRO-Financial accounting –Accounts receivable and accounts payable-Business truncations-

Outgoing payments –Automatic outgoing payments-Payment media –check management –Define void
reason codes
(Tr code is FCHV)

Reason :15
Void reason code :Stop payment for AML
How to delete encashment date data:

500019 we have to give encashment date 20.11.2008 for 500019.by mistake we have given for 500020
500025 20.11.2008 to delete encashment date
500021
500022
Path :up to check information the path is same – Delete –Reset data (Tr.code is FCHG)
80
House bank :SBI
Account id :SBI1
Check number :500025
Select reset cashing data radio button
Execute
Select yes button for the message to reset data

Execute
Issued check cancellation

System will not permit to cancel encashed checks.
Vendor account
a) Invoice posting (F-43) a) 01 (open items)
b) Outgoing payment with clearing (F-53) b) Bank 5000 Dr a)5000 Cr
c) Manual check creation (FCH5) CI (Clearing items)
A) 5000 Cr
B) 5000 Dr
d)Display check register (FCHN)
e) Issued check cancellation
1) Reset cleared items –Delinking bill amount and payment amount
Vendor Account
01
B) Bank 5000 DrA) 5000 Cr
2) Reverse payment
Vendor account
01
A) 5000 Cr
Cancel check
Path :upto check information the path is same –Void-Cancel payment (Tr.Code is FCH8)

House bank :SBI
Account ID :SBI1
Check number :select 500025
Void reason code :15 (stop payment for AML)
Reversal reason :select 01(reversal in current period)
Select cancel payment button
Go and seethe vendor account FBL1N
Give the vendor account no.:4200001

Company code :AML
Go and see the check register FCHN

Advance payments to vendors (down payments to vendors)
81
Sundry creditors Purchase Advance Advance to vendors
(current liabilities) (current assets)
Payment purchase
1. Creation of GL master –Advance to vendors –Current assets, Loans & Advances
2. Link between sundry creditors ands advances to vendors
A (Advance special GL indicator)
^
Sundry creditors Advance to vendors
Reconciliation account Alternative reconciliation account or special
GL Account
100501 200150
Vendor A/c 4200001 – BirlaChemals Limited -100501
At the time of making payment –we know the purpose of payment.
If it is payment against a bill -4200001
100501-Sundry creditors
If it is payment as an advance 4200001 A
4200001 – Birla Chemicals Limited -100501
A(Advance (Special GL indicator))

^
100501 200150
Advance payment posting
Purchase invoice posting

Transfer of advance from special GL to normal by clearing special GL items.
Clearing of normal items.
Vendor account have two parts
1) Normal items
2) Special GL items
Creation of GL master advance to vendors (FS00)
GL A/c No. :200150

Company code :AML
Give the GL account no.100501 (Sundry creditors raw material)
Company code :AML
Enter
Change account group to current assets loans & advances
Change short text and GL account long text to Advance to vendors
Link between sundry creditors and advance to vendors:
Path :SPRO-Financial accounting-Accounts receivables and accounts payables – Business transactions-Down

payment made-Define alternative reconciliation account for down payments (Tr code is OBYR)
Double click on A or down payment on current assets

Give the chart of accounts :AML
Enter
Reconciliation account :100501
Special GL account :200150
82
Advance payment posting:
Path :Accounting –Financial accounting –Account payable –Document entry-down payment –Down payment (F-
48)
Document date :Todays date

Type :KZ
Company code :AML
Vendor account :4200001
Special GL indicator :A
Bank account :200105 SBI current account
Business area :AMLH
Amount :25000
Text :Advance payment posting
Enter
Amount :*
Business area :AMLH
Text :+
Go and see the vendor account transaction (Tr.code is FBL1N)

Company code :AML
Select special GL transaction check box
Execute
Purchase invoice posting (F-43)
Give the document date :Today’s date

Type :KR
Company code :AML
Posting key :31
Account no :4200001
Enter
Amount :25000
Business area :AMLH
Text :purchase invoice posting
Posting key :40
Account no. :200120 inventory raw material
Enter
Amount :*
Business area :AMLH
Text :+
83
From the menu select document –simulate and save
Go and see the vendor account (Truncation code FBL1N)

Company code :AML
Execute
Select back arrow
Select special GL truncation check box along with normal items
Execute
Transfer of advance from special GL to normal by clearing special GL items
Path :Accounting –Financial accounting-Accounts payable-Document entry-Down payment –Clearing (F-54)

Document type :KA
Company code :AML
Text :Advance transfer to normal
Select process down payments button
Transfer posting :25000
Save
Go and see the vendor account transactions FBL1N

Company code :AML
Select clearing items radio button
Select special GL transaction check box
Execute
Select back arrow
Execute
Clearing of normal items:
Path : Accounting –Financial accounting –Accounts payable –Account –Clear (F-44)
Give the account no. :4200001

Company code :AML
Double click on credit 25000
Double click on debit 25000
84
Save
Go and see the vendor accounts (Transaction code .FBL1N)

Company code :AML
Execute
Vendor account
|
Normal / Items
6 5 25000 425000 Sundry creditors C/L
Special GL items
Advance to vendor 3 25000 5 25000
2nd Scenario
Advance more bill less
Advance 200000
Bill amount 50000
A) Advance payment posting (F-48)

B) Purchase in voice posting (F-43)
C) Transfer of advance of Rs.500000 from special GL to normal (F-54)
Vendor A/c normal items

D C 50000 B 50000
Special GL items
A 200000 C 50000
D) Clearing of normal items (F-44)
Final result
Vendor special GL shows a balance of Rs.1500000 – Advance to vendors
To be cleared against future bills.
3rd Scenario
Advance bill more
Advance 9000
Bill amount 90000
Vendor A/c
normal items
A) Advance payment posting (F-48)
B) Purchase invoice posting (F-43) C 9000 B 90000
C) Transfer of advance from special GL to normal
by clearing
Special GL Items
Special GL (F-54) A 9000 C 9000
D) While making balance payment

Of Rs.81000 double click on bill
Amount 900000 and payment amount
Rs.9000. All the 3 line items will go to
Clearing items (F-53)
TERMS OF PAYMENT
1 Payable immediately - Due net
Path : SPRO-Financial accounting –Accounts receivable and accounts payable –Business transactions-
Incoming invoices / Credit memos – Maintain terms of payment
85
Payment terms :AML1
Select customer check box
Select vendor check box
Default for base line date
No default :No.of purchases during the month base line date at the time of Invoice posting
–Blank
For all purchases during the month give month end date.
Document date :Party bill date
Posting date :Goods receipt date
Entry date :Quality approval date
Payment terms :If the payment is made within 10 days -3% cash discount
If the payment is made within 20 days -2% ash discount payable within 30 days
Under default for baseline date: Select posting date radio button
Percentage No.of days
Term 1 3 10
Term2 2 20
Term3 - 30
Press enter
Cash Discount Received
Trade discounts are to be adjusted to purchases where as cash discounts are to be shown under other income.
Creation of GL master –Cash discount received other income (FS00)
Give the GL A/c no. :300101

Company code :AML
Give the GL account 300100 exchange gain
Company code :AML
Enter
Change short text and GL account long text to cash discount received.
Save
Assignment of account for automatic postings:
Path :SPRO-Financial accounting-Accounts receivable and Accounts payable-Business transactions-

Out going payments-Out going payments global settings –Define accounts for cash discount taken. (Tr
Code is OBXU)
Give the Chart of Accounts :AML

Enter
Save
Give the account no.300101 cash discount received
Save

86
Entry date :Today’s date
Type :KR
Company code :AML
Currency :INR
Posting key :31
Account :4200001
Enter
Amount :100000
Payment terms :Select AML1
Enter
Posting key :40
Account no. :200120 Inventory raw material
Enter
Amount :*
Business area :AMLH
Text :+
From the menu select document –Simulate and Save
Go and see the vendor account (Transaction code is FBL1N):

Company code :AML
Execute
Form the menu select change layout button
Form the hidden fields column
Select current cash discount amount
Select amount in document currency under column-contain
Select left arrow or show selected fields button
Select copy button
Outgoing payment with clearing (F-53)
Document date :Today’s date

Type :KZ
Company code :AML
Clearing text :Out going payment
Account under bank data :200105 SBI current account
Business area :AMLH
87
Amount :97000
Text :out going payment
Account :Under open item selection 4200001
From the menu select document Simulate
We get a message correct the marked line items.
Double click on blue font
Text enter :+
Save
Automatic payment program (APP)
System will -Check due dates

-Issue check
-Pass the enter and cleared party account
-Generate payment advance
- update check register
The check lot should be sequential –we are not programmer –system given payment program.
Check format and payment advice format
APP will be used by cash rich companies
They run weekly / for every 10 days /For every 15 days
At the time of APP run, we have to give bankwise ranking with available amounts.
SBI 1 1000000
IDBI 2 500000
ICICI 3 300000
It will issue checks from SBI upto 10 lakhs. Then afterwards it issued form IDBI upto 500000 – Then it goes to ICICI and
issued up to 3000000
After run, it gives a proposal – In the proposal it shows for which parties for which bills from which bank it is going to
issue to checks.
We can edit proposal By blocking some invoices for payment

Or
By charging bank
Due Party X Party Y

1 1
2 2
3 3
4 4
5 5
Black invoices 4,5 and make the payment for 1,2 and 3 use the fund for party bill payments.
System is issuing form SBI for party X 3 bills –party is having account in ICICI-Change bank from SBI to ICICI.
88
Setup payment methods for country for payment transactions
Path :SPRO –Financial accounting-Account receivable and account payable –Business transactions-Outgoing
payments –Automatic outgoing payments -Payment method /Bank selection for payment program-Setup
payment method per country for payment transactions

Country :IN
Payment method :B
Description :Check
Select outgoing payments radio button
Select check radio button
Document type for payment :KZ
Clearing document type :KZ
Payment medium program :RFFOUS_C
Name of print date set :LIST1S
Save
Setup payment methods per company code for payment transactions:
Same path
Payment method :B
Minimum amount :10
Maximum amount :9999999999
Select payment per due day check box
Select from data button
From for the payment medium: F110_PRENUM_CHECK
Drawer on the form : for Aravind Mills Limited
Authorized signatory
Save
Setup all company codes for payment transactions:
Same path

Company code :AML
Separate payment per business area check box
Out going payment with cash discount from : Bank interest rate 1.5% per month
18% per annum
Payment term:
If we make the payment within 30 days we get -1% cash discount
Due within 60 days
89
System will payment 60 days since discount is less than bank interest rate.
Within 30 days :Interest for month 1.5
Within 60 days :Interest for month 1.5+1.5
Payment terms:
If we make the payment within 30 days we get 2% cash discount.
Due with in 60 days
System will within 30 days since discount more than bank interest rate.
Maximum cash discount:

Payment term:
If we make the payment within 30 days we get 1% cash discount. Due within 60 days.
Though we are not entitled, system claims 1% cash discount and make the balance payment only even if it is paid with
60 days.
Special GL transaction to be paid under vendors : Select A (Advances)
Save
Setup paying company codes for payment transactions:
Same path

Select forms button
From for the payment advise F110_D_AVIS
Select sender details button
Text ID :Select ST (ST stands for Text)
Letter header :F_0001_HEADER
Footer :F_0001_FOOTER
Sender :F_0001_SENDER
Save and Press enter to save in your request
Creation of sequential check lots (FCHI)

House bank :SBI
Account ID :SBI1
Select change button
Lot number :2
Check number :800001
To :801000
Deselect non-sequential check box
Short information :SBI
Purchase date :Today’s
Enter and save
Assign payment methods in vendor master:
90
Path :Accounting-Financial accounting –Accounts payable-Master records –Maintain centrally-Change (XK02)
Give the vendor no. :4200001

Company code :AML
Select payment transaction check box under company code data
Enter
Payment methods :Select ‘B’
Payment block :If we don’t want to make the payment to this party in this
run, select -Skip account
Alternative payee :We have purchased from Birla Chemicals Limtied –BCL has to make the payment to
party XYZ –BCL instructs us to make the payment to XYZ-in alternative payee give XYZ
no. when we run APP ,check will be in the name of XYZ and party clearing will be BCL
House bank :BCL in having account in ICICI –It instructs us to issue check from ICICI only – We give
house bank ICICI- check we issued only form ICICI.
Individual payment :When we run APP, it will issue one check only for all the bills due –some parties ask us
to issue separate check for each bill. Select individual payment check box.
Separate check will be issued for each bill.
END USER AREA

Type :KR
Company code :AML
Posting key :31
Account no. :4200001
Enter
Business area :AMLH
Posting key :40
Enter
Amount :*
Business area :AMLH
Text :+
Document –Simulate and save
Setup bank determination:
Path :Accounting –Financial accounting –Accounts payable-Periodic processing-Payments (Tr code is FBZP)
From the menu select Environment maintain -Configuration
Automatic payment program –Customization one –Screen FBZP

Select bank determination button
91
Enter
Select AML
Double click on ranking order folder
Payment method :B
Currency :INR
Bank order :1
House bank :SBI
Save
Double click on bank accounts folder
House bank :SBI
Payment method :B
Currency :INR
Account ID :SBI1
Bank sub account :200105 (SBI current account)
Business area :AMLH
save
Double click available amounts folder
House bank :SBI
Account ID :SBI1
Days :999
Currency :INR
available for outgoing payment :1000000
Save
Automatic payment program run (Tr code is F110)
Path :Up to periodic processing the path is same- Payments (Tr code is F110)
Run date :Today’s date

Identification :AML1
Select parameter tab
Company codes :AML
Payment methods :B
Though we have given the date, we can run tomorrow it self
Payment term :If we make the payment within 10 days we get 2% cash discount (Dues within 30
days)
Purchase today :07.11.2008
If we make the payment to day -2%

If we make the payment on 14.11.2008 2%
System will not issue check today’s – It will issue in the next run since the discount amount is same.
92
It control the cash flows
Party bill date :07.11.2008

Payment term :AML2 30 days credit 07-12-2008
APP run today : It asks next Posting date :14.11.2008
APP run2 :14.11.2008 21.11.2008

Next payable date :14.11.2008
Next posting date :14.11.2008
Vendor from :4200001

Vendor to :4300000
Save
Select bank arrow

Select proposal button (Shift +F1)
Select start immediately check box
Enter
Go on press enter (Basic Tr code box green tick mark box)
Till we get the message payment Proposal has been created
To edit the proposal -Select any proposal button enter (Shift +F4)
Double click on vendor no.
To block on invoice for payment
Double click on document no. :100001
Payment block :Select A (Block for payment )
Enter
To change bank for second bill
Double click on document no. :100004
Select reallocation button
Payment method :B
House bank :SBI
Account ID :SBI1
Enter
Save
Select bank arrow two times
We get a message payment proposal has been edited
Select payment run button
Enter
Go on press enter .
It we get the message payment run has been carried out.
To take check printing:
Select printout / data medium tab for the program RFFOUS_C

Give the variant :A1
93
Select maintain variants button
Select for all selection screen radio button
Select continue button
Program run date :07.11.2008
Identification feature :AML1
Payment method :B
Business area :AMLH
House bank :SBI
Account id :SBI1
Check lot no. :2
Select print checks check box
Printer :LP01
Select print immediately check box
Select print payment advice notes check box printer :LP01
Select print payment summary check box
Printer :LP01
No.of sample print outs :0
Select don’t void any checks check box
Select attributes button (F5)
Meaning :SBI check printing date 08.11.2008
Save
Select back arrow
Save once again
Select bank arrow
Select print out button
For job name –in place of question of mark –Give variant A1
A1 Company code :AML
Business area :AMLH
Bank :SBI
Account ID :SBI1
Check lot no. :2
Parameters are saved in the variant in place of question mark A1
Press enter
Enter once again
To view check printing
From the menu select system –Services output control

Select spool no.check box for check
Select display contents (F6)
94
Go and see the vendor Account FB11N
Give the vendor account :4200001

Company code :AML
Execute
Double click on document type :KZ
For the amount :9999
Select call up document overview button (F9)
Enter
From the menu select Environment check information

Execute
Credit memo postings
Purchase from Birla Chemicals Limited

If the material is not good
Return the material or reduce the amount (Price)
BCL will issue credit note to mail or AML raises Debit note on BCL
Both are same
Doc type :KG (Credit memo) KA

No.range 17 17
No need to give no.range interval already we have given earlier
Path :Accounting- Financial accounting –Accounts payable –Document entry –Credit memo general (F-41)

Type :KG (Vendor credit memo)
Company code :AML
Posting key :21 Credit memo
Account :4200001
Enter
Business area :AMLH
Text : Credit memo posting
Posting key :500
Enter
Amount :*
Business area :AMLH
95
Text :+
Note: Cash journal postings – not accept negative balances

Normal postings Accept negative postings
ACCOUNTS RECEIVABLE (A/R)
This is also a Sub Ledger (Subsidiary Ledger)
This is used when Sales & Distribution (SD) Module Is not implemented-All types of sales.
Eg: Product Sale/Raw Material Sale/Scrap Sale

When Sales & Distribution(SD) Module is implemented-This is used for Raw Material Sale /Scrap Sale/Asset Sale-(Other
than Product Sale)
At the time of sale:
Customer Account Dr Sub ledger Sundry Debtors(General Ledger)

| | TO SALES
General Ledger |
|
|
Reconciliation Account
Or
Control Account
BASIC SETTINGS FOR ACCOUNTS RECEIVABLE:
1.Creation Of Customer Account Groups

A)FI Customers
Asset Sale/Scrap Sale/RM Sale Reconciliation account field
Parties
B)SD CUSTOMERS Required Entry field
PRODUCT SALE PARTIES

2.Create number ranges for customer accounts
3.Assign number ranges to customer account groups
4.Creation of 2 GL masters
A)Sundry Debtors- "Current Assets,Loans&Advances"
B)Sales Account Sales

5.Creation Of Customer Master
6. Document Types And No.Ranges OBA7
96
DR Customer Invoice
DZ Customer Payment
DA Customer Document For
Transfers/Reversals
7.Posting Keys 01 Customer Debit

15 Customer Credit
We test a scenario where vendor is a customer

Party BCL Party BCL
Purchase 100000 Sales 100000
Sales 20000 Purchase 20000
-------- -------
Net Payable 80000 Net Receivable 80000
When we Pay/Receive net amount we have to clear vendor transactions and customer transactions at a time
Note : Create receipt terms (if any cash discount debit - Debit expenses )
1.SALES INVOICE POSTING:
Creation of customer account groups
Path: SPRO- Financial Accounting- Account Receivables and accounts payables customer accounts – Master
data- Preparation for creating customer master data- Define account groups with screen layout (customers)

Account group : AML1
Name : FI Customers for AML
Double lick company code data
Double click account management
Reconciliation account make it required entry filed
Save
Select create request button
Short description for AR customization for AML
Press enter
Enter once again to Save in your request
Select next entry button
Name : SD customers for AML
Reconciliation account make it required entry filed.
Save.
Create No. range for customer accounts:
Path :Upto preparation for creating customer master data the path is same.-Create no. range for customer
accounts (Tr.code is XDN1)

97
No. range :23
From no. :6600001
To no. :6700000.
Enter
No.range :24
From no. :6700001
To no. :6800000
Enter and Save
Assign Number ranges to customer account groups:
Same path

Enter
For AML1 Assign no.range :23
For AML2 Assign no.range :24
Save
Define tolerance group for Customer
Path :SPRO-Financial accounting-Account receivable and account payable-Business truncations-incoming

payments-manual incoming payments-Define tolerances(Customers)
Company code :AML

Tolerance group : Blank
Save
Creation of GL Masters (FS00):

Company code :AML
Give the GL account no.200150 advance to vendors
Company code : AML
Enter
Change short text and GL account long text to Sundry Debtors
Change reconciliation account for account type to customers
98
Change sort key to 031 customer number
Select Create / Bank / Interest tab
Field status group :G067
Save
GL account no :300000
Company code :AML
Change GL account 300100 Exchange gain
Company code :AML
Enter
Select type/description tab
Change the account group to sales/.
Change short text and GL account loge text to sales account
Creation of customer master
Path: Accounting- Financial accounting –Accounts receivables-Master records-Maintain Centrally-Create

(Tr.Code is XD01)
Account group :select FI customer for AML

Company code :AML
Enter
Title : : select Company
Name : BIRLA Chemicals Limited
Country : IN for India
Vendor :4200001
Select company code data button
Reconciliation account :200110 Sundry debtors
Sort key :031 (Customer no.)
Select payment transaction tab
Terms of payment :0001 payable immediately due net
Save
Document type number ranges (OBA7)
Select type Dr customer invoice

No.range :18
Company code :AML
99
Select intervals button
No.range :18
Year :2008
Form no. :400001
To no. :500000
Enter and save
Select type :DZ (Customer payment )
No. range :14
Company code ::AML
No.range :14
Year :2008
From no. :500001
To no. :600000
Enter and save
Select back arrow three times
Select type :DA (customer document)
No.range :16
Company code :AML
Select change interval button
No.range :16
Year :2008
Form no. :600001
To no. :700000
Enter and save
ENTER USER AREA
Sales invoice posting:
Path accounting – Financial accounting –Account receivable- Document entry-Invoice –General (F-22)
100
Type :DR
Company code :AML
Posting key :01 Invoice (Customer debit) C:Customer D: Debit
Account : select 6600001
Enter
Text : Sales Invoice posting
Posting key :50
Account :300000 (sales account)
Enter
Account :*
Business area :AMLH
Text :+
From the menu select document  Simulate and save
2.How To View Customer Account Transactions-
Path : Accunting – Financial accounting – Accounts receivable- Account-Display / Change line items (Tr.code is
FBL5N)
Give the customer account no. :6600001

Company code :AML
Select back arrow
To view vendor and customer transactions together
Select vendor items check box along with normal items
Execute
3.Incoming payment and clear vendor and customer transactions together
Step A)Document type DZ should allow vendor transactions
Document types and no. Ranges-OBA7

Select doc type: DZ Select doc type: kz
Select details button Select details button
Below no. Range- Below no. Range-
Account type: Account type:
A Assets A assets
D Customers selected D customers to select
K Vendors to select K vendors selected
M Materials M materials
S GL accounts selected S GL accounts selected
Normal receipt entry: Normal payment entry:

Bank A/c DR GL vendor a/c DR Vendor
101
To customer customer To Bank GL
use the Tr.code OBA7

Select document type : DZ (customer payment )
select details button
select vendor check box
save
Incoming Payment :
Path :Accounting – Financial accounting – Accounts receivable- Document entry- Incoming payments –
(Tr.Codes is F-28)

Type : DZ Customer payment
Company code : AML
Clearing text : Incoming payment
Account under bank data : 200105 (SBI current account)
Business area :AMLH
Amount :496000
Text : Incoming payment
Account under open item selection : Select 6600001
Account type :D comes by default (D stands for
customers)
Select other accounts check box
Select standard open items check box
Account type : Select K (Vendors)
Company code :AML
Account :4200001
Double click on all open items
Document  Simulate and save
Go And See The Customer Account Transactions (Tr.code is FBL5N)

Company code :AML
Select vendor items check box
Execute
Advance Receipts From Customers

(Down Payment Receipts From Customers)
Sundry Sale Advance Advance from
102
Debtors Customers
(Current (Current Liabilities)
Asset)
Receipt Sale
1. Creation Of GL Master-Advance From Customers- under Current Liabilities & Provisions (FS00)
2. Link between Sundry Debtors and advance from Customers
A (Advance) Special GL Indicator

/\
Sundry debtors Advance from customers
(Reconciliation Account)(Alternative reconciliation

account or special GL
account)
3.Advance Receipt Posting

4. Sales invoice posting
5. Transfer of advance from special GL to normal by clearing special GL items
6. Clearing of normal items
a)Customer account two parts
b) Special GL items
1. Creation of GL master –advance from customer current liabilities & provisions (FS00)
Give the GL account no.:100502

Company code :AML
Give the GL account no.:200110 Sundry debtors
Company code :AML
Change account group to current liability & provisions
Change short & GL account long text advance from customers
Save
3. Link between Sundry Debtors and advance from Customers
Path :SPRO-Financial accounting-Accounts receivable and accounts payable-Business transactions-

Down payment received –Define reconciliation accounts for customer down payments(OBXR)
Double click on special GL indicator A

Give a your chart of accounts :AML
Enter
Special GL account :100502
END USER AREA
Advance receipt posting:

103
Path :Accounting- Financial accounting –Accounts receivable-Document entry-Down payment –Down payment
(Tr.code is F-29)

Type :DZ
Company code :AML
Customer account :6600001
Special G/L indicator :A
Business area :AMLH
Amount :12000
Text :Advance receipt posting
Enter
Amount :*
Business area :AMLH
Text :+
From the menu select –Document –Simulate and save
Go and see the customer account transaction (FBL5N)

Company code :AML
Select special GL transactions check box
Execute
Sales invoice posting ( Tr code is F-22)

Type :DR customer invoice
Company code :AML
Posting key :01
Account :6600001
Enter
Amount :12000
Business area :AMLH
Text :Sales invoice posting
Posting key :50
Account no. :300000 Sales A/c
Enter
Amount enter :*
Business area :AMLH
Text :+
Form the menu select document –Simulate and save
104
Go and see the customer account transaction (FBL5N)

Company code :AML
Execute
Select back arrow
Select special G/L transactions check box along with normal items
Execute
Transfer of advance from special GL to normal by clearing special GL items:
Path :Accounting-Financial accounting –Accounts receivable-Document entry-Down payment clearing (F-39)

Type :DA
Company code :AML
Customer account :6600001
Text :Advance receipt clearing
Select process down payment button
Transfer posting :12000
Save
Go and see the customer account transactions (FBL5N)

Company code :AML
Select special GL transactions check box
Execute
Select bank arrow
Execute
Clearing of normal items:
Path :Accounting- Financial accounting –Accounts receivable –Account –Clear (F-32)
Give the account no. :6600001

Company code :AML
Double click on debit :12000
Double click on credit :12000
105
Save
Go and see the customer account transactions FBL5N

Company code :AML
Execute
BILL DISCOUNTING
Fund based limits Non fund based limits

(Money will be given physically (Money will no be given
by the bank) physically by the bank to the
company)
1. Cash credit Local Sales order 1. Bank Guarantees (BG)
2. Packing credit Export sales orders 2. Letter of credit (LC)
3.Bank overdraft
4.Bill discounting
Bill discounting mechanism AML
Sale 500000 on 12.11.2008

Term of payment –30 Days Credit
AML Discounts the bill

With the bank
|
Bank will charge 30 days
|
On due date, bank will collect
From customer
|
-----------------------------------------------------------------------------------------
| |
Customer makes the customer does not make the
payment to the bank Payment to bank liability to AML
No liability to AML Liability to AML
Contingent liabilities
Liability is uncertain
Year end: This is shown in notes to accounts –Under contingent liabilities
Bills discounted with bank
106
Normal Accounting SAP Accounting
A) Incase of sales Customer A/c Dr
Customer A/c Dr (Sundry debtors)
To Sales To Sales
B) Bill of exchange payment Customer special GL (W) Dr
- No entry - (Sundry debtors bill of exchange)
To customer a/c with clearing
(Sundry debtors)
C) Bill discounting Bank current A/c Dr
Bank current A/c Dr To Interest A/c
To Bank bill discounting To Bank Bill discounting
D) Report view customer wise /BIllwise
due date wise/Bankwise out standings
available in SAP
E) Reverse contingent liability Bank bill discounting (with clearing) Dr
Bank bill discounting Dr To Customer special GL(W) with
To Customer clearing
(sundry debtors will of exchange)
Presentation in Balance sheet:

Sundry debtors=Sundry debtors
Sundry debtors Debit

(Bill of exchange) } Net Zero
Bank bill discounting Credit
Or
Don’t plot sundry debtors bill of exchange and bank discounting in balance sheet-It is required only for notes to accounts.
Customer A/c SBI bill discounting

Normal items OP BAL 300000
A) 100000 B)100000 E)100000 C)100000

----------
400000
Special GL
B)100000 E)100000 300000
Limits with banks: SBI IDBI

Bill discounting limit 5000000 2000000
Already discounted 3000000 2000000
------------- ------------
Limit available 2000000 0
=======
Bill discounted as per C 1000000
-----------
Limit available 1000000
Payment by customer as per E 1000000
-----------
Now limit available 2000000
======
Creation of 2 GL masters
Sundry debtors (Bill exchange under current assets, loans & advances.
SBI bill discounting Secured loans

107
Fund based limits and non-fund base limits First change on current asset and
second change on fixed assets.
Creation of GL account (FS00)

Company code :AML
Select with template
Give the GL account no.200110 Sundry debtors
Company code :AML
Enter
Change short text to sundry debtors Bill of Exchange
Change GL account long text to sundry debtors (Bill of exchange)
GL account no. :100302
Company code :AML
Select with template with button
Give the GL account no.100300 SBI Rupee Term loan
Company code :AML
Change short text and GL account long text to SBI bill discounting
Select post automatically only check box
Save
Link between sundry debtors and sundry debtors bill of exchange
Path:SPRO-Financial account-Bank account –Business transactions-Bill of exchange transactions-Bill of

Exchange receivable-Post bill of change receivable-Define alternative reconcile –Actual for Bills/Exchange
receivable (Tr code is OBYN)
Double click on special GL indicator :W (Bill of Exchange receivable)

Enter
Special GL account :200111 Sundry debtors (Bill of exchange)
Save
Link for Bank current account, Sundry debtors Account and bank bill discounting account
Path: up to the bill of exchange receivable at bank-Define bank sub accounts(Tr code is OBYK)

Chart of accounts :AML
108
Usage select discounting special GL indicator :W
Customer reconciliation account :200110(sundry debtors)
Bank sub account for liability :100302 (SBI bill discount)
Save
END USER AREA
Sales invoice posting (F-22)

Type :DR
Company code :AML
Select posting key :01
Enter
Amount :100000
Business area :AMLH
Payment terms :Select NT 30 Net 30 (30 days credit)
Text :sales invoice posting
Posting key :50
Account :300000 Sales account
Enter
Amount :*
Business area :AMLH
Text :+
Bill of exchange payment:
Path :Accounting –Financial accounting- Accounts receivable –Document entry-Bill of exchange –Payment (F-
36)

Type :DZ
Company code :AML
Posting key :09 Customer special debit
Special GL indictor :W
Enter
Amount :100000
Business area :AMLH
Text :Bill of exchange payment
109
Due on :14.12.2008 (30 days due date)
Placement usage :select discounting
Domicile :SBI
Control bank location :Main Branch, HYD
select choose open item button
Double click on receivable :100000
Note the document no.500003
Bill discounting:
Path :Accounting –Financial accounting- Accounts receivable- Document entry –Bill of exchange –Discounting
(F-33)

Type :DA
Company code :AML
Bank account :200105 (SBI current account)
Business area :AMLH
Amount :95000
Text :SBI bill discounting
Posting key :40
Account no. :400400 Interest account
Enter
Amount :500000
Business area :AMLH
Text :+
Press select bill of exchange button
Doc no. :500003
Document –Simulate and save
Report to view customer wise bill wise, document wise and bank wise outstanding:
Path :Accounting –Financial accounting-Accounts receivable-Periodic processing –Bill of exclude processing –

Korea-Bill of exchange management (Tr codes S_ALR_87012213)

GL account :200111 Bill of exchange
Company code :AML
Special GL indicator :W
Usage :select D (Discounting)
Select discounted /Collected radio button
Execute
Select current layout button
Keep the fields due date, document no, customer received form, document data-Domicile.
110
Amount in local currency
Select copy button
Reverse contingent liability :
Path :Accounting-Financial accounting –Accounts receivable-Document entry- Bill of exchange –Reverse

contingent liability (F-20)
Give the document date & Posting date :13.12.2008

Type :DA
Company code :AML
GL account :200111 (Sundry debtors bill of exchange)
Usage :Select discounting
Due by :31.12.2008
Customer :6600001
Select edit line items button
Ignore the all warning message and press enter
Select drop down button for command column
+ Set items to active

++ Set items is blocks to active
- Set items to inactive
- Set items in blocks to inactive
Customer made payment for 2,3 and 4 bills.
Bill No or or
–
2 + ++
3 +
4 + ++
5 -
Customer made payment for 1 and 5 bills

Bill no. or or
1 +
2 - -
3 -
4 - -
5 +
Command filed select +

Save
From the menu select document –Display
If bill is dishonored:
Contingent liability becomes actual liability base step E reverse contingent liability additional entry to be passed.
Customer account Dr
To SBI current account (Sundry debtors)
Dunning (Reminder)
If the customer does not make the payment as per terms of payment system will issue dunning letters.
111
We are not programmers we use system given dunning letter formats.
Dunning area:
Company code as a whole /Regional wise / location wise
Eg.Big companies
Separate marketing heads
For East For West For North For South
Only to his area customers.

Here we create each session as one dunning area .
Small companies –one marketing head for all the regions.
Company code will be the dunning area.
(Cash credit : Loan from bank and after sales we discharge the liability export sales order , packing credit loan from
bank , bill discounting after sale)
Dunning levels type of letters

Maximum :9 levels
We are using :4 levels
Dunning intervals (Frequency) :10 days
Grace period :3 days
Eg: 1st Letter 2nd Letter 3rd Letter 4th Letter

Sale on 17.11.2008 after after after after
Payment terms 0001 20.11.2008 30.11.2008 10.12.2008 20.12.2008
Payable immediately
Dunning charges: For sending the letter we can collect dunning charges form the customer.
It can be level based / amount
Based
It can be fixed percentage amount
It will be shown only in the letter
It will not be posted the accounts
Define dunning areas:
Path :SPRO-Financial accounting-Accounts receivable and account payable-Business transactions –

Dunning –Basic settings for dunning –Define dunning areas.

Company code :AML
Area :Blank
Text :Dunning area to AML
save
Define dunning procedures:
Path :Up to dunning the path is same –Dunning procedures-Define procedures (Tr code is FBMP)
Select new procedure button

Dunning procedure :AML
Name :Dunning procedure for AML
Dunning interval in days:10
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No.of dunning levels :4
Line item grace periods :3 days
Interest indicator :Select 01 standard item interest calculation
Select standard transactions dunning check box
Dunning texts button
Company code :AML
Select customer radio button
Enter
Select new company code button
Enter
For company code :AML select separate notice per dunning level check box
Select Yes button for the message to save date
Select dunning levels button
Select always dun check box for all the four levels
Select charges button (F6)
Give the currency :INR
Enter
Company code :AML

Enter
Open one more session with transaction code :FBMP
Double click on procedure 0001

Select dunning text button
Give the company code :0001
Enter
Come to the first session
Dunning level 1
From F150-Dunn -01
Dunning level 2
Select pagedown button (right side)
Dunning level 3
Form F150_dunn_02
Dunning level 4th
Form F150_dunn_02
Now select charges button
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Give the currency :INR
Enter
Select back arrow
Save
Assign dunning procedure in customer master:
Path :Accounting-Financial accounting-Accounts receivable –Master records-Maintain centrally-Change (Tr

code is XD02)

Company code :AML
Enter
Select company code date button
Select correspondence tab
Dunning procedure :select AML
Save
END USER AREA
Sale invoice posting (F-22)
Give the document date & posting date :10.11.2008

Type :DR
Company code :AML
Posting key :01
Account :6600001
Enter
Amount :1111
Business area :AMLH
Posting key :50
Account no. :300000 Sales account
Enter
Amount :*
Business area :AMLH
Text :+
From the menu Select Document –Simulate and save
Dunning run
Path: Accounting –Financial accounting-Accounts receivable Periodic processing-Dunning-(Tr code F150)
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Run on :Today’s date
Identification :AML1
Select parameter tab
Dunning date :Todays date
Documents posted up to :Today date
Company code :AML
Customer :6700000
Save
Select back arrow
Select schedule button
Output devise :LP01
Select schedule button
Go on press enter till we get the message ‘ Dun selection is complted’
Select dunning print out button
Select print button
Go on press enter till we get the message dunning print out is completed
Select dunning history button
Give your company code :AML
Execute (F8)
Keep the cursor on 1111
Select display dunning notice button
Keep the cursor on the document no.
Select print preview button
Go and see the customer master (XD02)
Customer :6600001
Company code :AML
Enter
Its updates automatically
Last dunned date :17.11.2008 and dunning level.
115
SALES TAX
VAT means valued added tax or LST Local Sales Tax

CST mans Central Sales Tax
Purchase Sales (Output tax)

Input tax
1 2 3 4
Local outside Local Outside
purchases state Sales State sales
VAT/CST CST purchase VAT /L CST sales

Purchase
Basic 100 100 200 200

Excise 8% 8 8 20 20
VAT 4% 4.32(B+E) 2.16(CST2%) 27.50(VAT12.5%) 4.4(CST2%)
--------- -------- --------- ---------
Bill amount 112.32 110.16 247.50 224.40
====== ===== ===== ======
Payment to sales Department

1. Local sales –Local purchases 27.50-4.32=23.18
2. Local sales –CST purchases 27.50=27.50
3. CST sales –Local purchases 4.4-4.32=0.08
4. CST sales –CST purchases=4.4=4.4
At the time of local purchases, tax paid on purchases, can be adjusted –to tax payable at the time of sales. (Local
sales /CST sales)
At the time of CST purchase, tax paid on purchases can not be adjusted –to add to inventory.
Excises rates are based on products

Excise rates are given central excise tariff, in central excise tariff we have 8 digits chapter ID.
52000000 Textiles 8%
Central excise will be covered in the end.
We are testing now without excise duty.
Customization of sales tax
1. Define tax procedure
Path :SPRO-Financial accounting –Financial accounting global settings-Tax on sales /purchases-Basic

settings-Check calculation procedure.
Double click on define procedures

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Procedure :H Tax
Description :Sales tax India
Save
Select H Tax
Double click control data folder
Select new entries data folder

Step Co C Type Description From To Account key
10 0 Select BASB Base amount
20 0 MWVS Input tax 10 10 Select VST -Input tax
30 0 MWAS Output tax 10 10 MWS output tax
Save
Assign country to calculation procedure
Up to basic settings the path is same Assign country to calculation procedure

Give the country :IN for India
Enter
For country IN assign procedure H tax
Save
Define tax codes for sales and purchases
Up to tax on sales of purchases the path is same-Calculation –Define-Tax codes for sales and purchases.
(Tr.code is FTXP)
Give the country :IN for India

Enter
Give the tax code :Vo
Enter
Description :0% input tax
Tax type :Select V input tax
Enter
Input tax, tax percent rate 0
Keep the cursor on ouput tax, tax percent rate
Select deactivate line (F5) button
Save
Tax code :V1
Enter
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Description :4% input tax
Tax type :select V input tax
Enter
Input tax, tax % rate 4
Keep the cursor out put tax, tax percent rate
Select deactivate line button
Save
Tax code :A0
Enter
Description :0% output tax
Tax type :select A output tax
Enter
Output tax, tax percent rate 0
Keep the cursor our input tax, tax percent rate
Save
Tax code :A1
Enter
Description :12.5% output tax
Tax type :Select A out put tax
Enter
Output tax, tax percent rate 12.5%
Keep the cursor on input tax, tax percent rate
Save
Assign tax codes for non-taxable transactions
Path :Up to tax on sales/purchases the path is same Posting-Assign tax codes for non-taxable transactions
(Tr code is OBCL)

Enter
For AML select input tax V0
Out put tax Vo
Save
Creation of GL master FS00

1. VAT receivable Current assets,
2. VAT payable Loans & Advances
Current liability
Tr code is FS00

Company code :AML
118
Give the GL account no. :200120 (Inventory RM)
Company code :AML
Enter
Change short and GL long text to VAT receivable
Select create / Bank /Interest tab
Field status group change to G041 (Tax office clearing accounts)
Save
One more account
Company code :AML
Company code :AML
Enter
Select type/Description tab
Change account group to current liability and provisions
Change short text and GL account long text to VAT payable
Save
Company code :AML
From the menu select GL account change
Tax category :Select * (All tax types allowed)
Select posting without tax allowed check box
Save
GL Account 300000 Sales A/c
Company code AML
From the menu select GL account change
Tax category :select *
Select posting without tax allowed check box
Save
Assignment of accounts for automatic postings:
Path :SPRO-Financial accounting –Financial accounting global settings-Tax on sales/purchases-posting-

Define tax accounts (OB40)
Double click on transactions  VST (input tax)

Enter
119
Give the account :200155 VAT receivable
Save
Select back arrow
Double click on transactions MWS(output tax)
Save
Give the account no.100505 VAT table
Save
In line environment FI consultant’s job: Customization

Creation of Tax procedure
Creation of tax codes
Creation of GL accounts
Assignment of GL accounts
MM module:
Purchase order material no.RM1
Purchase order vendor 1234
Purchase order Qty 1 Kg
Purchase order Rate 100
Purchase order tax code V1 (4% input tax)
Goods receipt
Tax procedure:
Base amount 100 (1* 100) inventory Account
Input tax on base amount 4 VST -200155 VAT receivable
(V1-4% ) -----
Vendor credit 104
===
SD module:
Sales order Customer no. 9876
Material FG1
Qty 1Kg
Rate 200
Tax code A1 (12.5%) output tax
Tax procedure
Base amount 200 sales account
Output tax on base amount 25 MWS -100505 VAT payable
At 12.5% -----
Customer debit 225
===
In FI for sales:
Customer account Dr 225
To sales 200
To VAT payable 25
Save
Sales invoice posting Tr code is F-22

Company code :AML
Posting key :01 customer debit
Account :6600001
120
Enter
Select calculate tax check box
Text :Tax sales invoice posting
Posting key :50
Account no. :300000 (Sales a/c)
Enter
Amount :*
Tax code :Select A1
Business area :AMLH
Text :+
From the menu select Document- Simulate
Double click on VAT payable line item
Business area :AMLH
Text :+
Save
ASSET ACCOUNTING
Bad debits:
1. Creation of GL Master :Provision for bad debts reconciliation A/c No.200112
2. Link between sundry debtors and provision for bad debts :OBXY
E Reserve for bad debt

/\
200110 200112
3. Sales invoice posting F-22
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4. Transfer from customer normal to customer special GL
E F-30
Customer special GL E ER Dr Provision for bad debt
To customer with clearing Sundry debtors
5. After 3 years bad debtors Dr F-30

To Customer special GL Provision for bad debt
Asset accounting: This is sub ledger (subsidiary ledger)
Chart of Depreciation
Asset accounting customization will be done for Chart of Depreciation will be assigned to company code/codes.
We have to copy either Germany chart of depreciation or Indian Chart of Depreciation.
Depreciation areas:
Book depreciation (Postings to accounts)
Income tax depreciation |

Group depreciation | Only for information
Costing depreciation |
Depreciation methods;
Straight Line Method depreciation method (SLM)
Written down value depreciation method (WDV)
Depreciation keys Rate +Method

5% SLM Rate
5% WDV Rate
Transaction types
100 External acquisition
110 In-house production \
210 Retirement with revenue
Asset debit
The debit can be use of External acquisition (Outside purchase) /In house production/Inter unit transfer/Inter company
purchase.
With transaction type we will come to know because of what it is debited.
Posting keys:
70 Asset Debit
75 Asset Credit
Asset accounting is based on 4 rules:

1. Sub asset master is to be created with reference to main asset master.
2. Main asset master is to be created with reference to asset class
3. Account determination is specified in asset class
4. For account determination we assign GL accounts based on the nature of transaction.
Account Asset class Main asset Sub asset

determination master master
Purchase
200000 P & M 1.Land Free hold
200000 P& M 2.Building Lease hold
Factory
Non factory
Profit on asset Dept A Machine no.1 Motor
sale 15.05.2003
122
3. Plant &
Machinery Machine no.2 20.11.2008
Loss on asset Dept B

Sale Dept C
Loss due to 4. Furniture & Furniture &
scrapping Fixtures Fixtures
Depreciation 5. Vehicles Heavy , Others
Accumulation 6. Capital work in General
depreciation progress Expansion 1
Expansion 2
Additions to specific mechanical will be created as sub asset masters.
Main asset will be have always sub number zero.
Crate machine no.1 Master 1-0

Motor to machine no.1 1-1
Addition to machine no.1 1-2
If we give 1-0 it gives main asset value

If we give 1-1 it gives motor value
If we give 1 it gives machines 1 with additions
Why we call Land /Buildings etc. as account determinations.
These items will determine the GL accounts to be posted automatically.
Motor purchase: .
Motor A/c Dr SL 500000 Transaction type :100
2000000 P & M 50000 GL
To Bank GL 500000
Save
CUSTOMIZATION
Copy reference Chat of Depreciation /Depreciation Area:
Path :SPRO-Financial accounting-Asset Accounting –Organizational structures –Copy reference Chart of

Depreciation /Depreciation area (Tr code is EC08)
Double click on copy reference Chart of Depreciation

From the menu select organizational object
Copy org. object (F6)
From Chart of Depreciation :Select ODE
(Maximum valuation: Germany)
To chart of Depreciation :AML
Enter
Short depreciation :Asset customization for AML
Enter
Press enter once again to save in your request
We get a message chart of depreciation ODE copy to AML
Enter
123
Select back arrow
Double click on specify depreciation of Chart of Depreciation
Chart of Depreciation :AML
Enter
Change the description to Chart of Depreciation for AML
Select back arrow
Double click copy /delete depreciation areas
Give the Chart of Depreciation :AML
Enter
Select areas 3,10,15,20,31,32,41 &51
From the menu select Edit Delete
Save
Assign Chart of Depreciation to Company code
Path :Up to organization structure the path is same –Assign Chart of Depreciation to company code (Tr code is
OAOB)

Enter
For company code AML Chart of Depreciation AML
Save
Specify account determination
Path :Up to the organizational structure the path is same –Asset Class-Specify account determination

Account determination Description
AML10000 Land
AML11000 Building
AML20000 Plant & Machinery
AML30000 Furniture & Fixtures
AML31000 Vehicles
AML40000 Capital work in progress
Save
Create screen layout rule

Same path
124
Select screen layout 1000
Select copy as button
Change screen layout 1000 to AML1
Name :Land
Name :Buildings
Name :Plant & Machinery
Name :Furniture & Fixtures
Name :Vehicle
Change the screen layout 2600 to AML6
Name :Capital work in progress
Enter & Save
Define number range intervals
Path :Same path (Tr code is AS08)
Company code :AML

Number range :01
From number :100000
Enter
No.range :02
From no. :100001
To no. :200000
Enter
No.range :03
From no. :200001
To no. :300000
Enter
125
No.range :04
From no. :300001
To no. :400000
Enter
No.range :05
From no. :400001
To no. :500000
Enter
No.rage :06
From no. :500001
To no. :600000
Enter & Save
Define asset classes:
Path :Same path (Tr code is OAOA)

Asset class :AML1000
Description :Free hold land
Short text also :Free hold land
Account determination :select AML10000 Land
Screen layout rule :select AML1 Land
No.rage :01
Select included asset under inventory data
Select no.AUC or Summary Management of AUC
Save
Note: AUC stands for Asset Under Construction

Description :Factory Buildings
Short text : Factory Buildings
Account determination :select AML11000 Buildings
Screen layout rule :AML2
Number rage :02
Select include asset under inventory data check box
Save
126
Description : Dept A
Short text : Dept A
Account determination :select AML20000 P & M
Number rage :03
Save
Description : Furniture & Fixtures
Short text : Furniture & Fixtures
Account determination :select AML30000 Furniture & Fixtures
Number rage :04
Save

Description : Vehicles and others
Short text : Vehicles and others
Account determination :select AML31000 Vehicles and others
Number rage :05
Save
Description : Capital Work in Progress -General
Short text : Capital Work in Progress -General
Account determination :select AML40000 CWIP-General
Number rage :06
Select line item settlement radio button
Save
Select include asset under inventory data check box:
127
Inventory means fixed inventory, whatever assets we create they will be included in fixed assets inventory.
As per companies auditors report order (CARO) – the auditor will state whether fixed assets have been physically
verified by management or not.
Incase of big companies  physical verification in a phased manner
When we create an asset master – There is a field called last verification date
Asset nos Last verification date

1 31.03.2008
2 31.03.2007
3 31.03.2008
4 31.03.2008
5 31.03.2007
In the report we give the report date – From 01.04.2007 to 31.03.2008 we get the list of asset verified during the year
1 31.03.2008
2 31.03.2008
3 31.03.2008
4 31.03.2008
We have not selected for capital work in progress
We can not verify every that assets –once they are commissioned they will be shown under respective head and not
under capital work in progress
For capital work progress general –Select line item settlement radio button
Machinery Debit to Asset commissioned on 22.11.2008

01/11/2008 CWIP as machine no.10
Fright AMT
15/11/2008
Settle from Capital Work In Progress to machine no.10 line item wise
Commissioning charges 22/11/2008
Determine areas in the asset class
Path :SPRO-Financial accounting –Asset accounting-Valuation –Determine depreciation areas in the asset class
(Tr.Code is OAYZ)
Give the chat of depreciation :AML

Enter
Asset class :AML1000 (Free hold land)
Enter
Select AML1000 (Free hold land)
Double click depreciation areas folder
Deselect deactivation check box for area 01 Book depreciation
Layout :Select 2000 depreciation on asset sub-no level
For area 01 layout 2000
Save
128
Select back arrow
The same procedure the followed for asset class
AML1100 Factory building

AML2000 Dept A
AML3100 Vehicles & other
AML4000 Capital work in progress
Deselect deactivation check box for area 01 for land there is no depreciation
In asset master creation-Capitalization date –required Land purchase details registration date
Depreciation key(Rate) 0%
For area 01- Select 2000 – Depreciation on asset sub number level
Asset no. Sub.no.

Machine 10 1 - 0 10/08/2005
Motor 1 - 1 22/11/2008
Creation of 15 General ledger master FS00
S.N GL Account No. Account No.to Parameters to Maintain

o. copy
1 200000 200110 Sundry -Account group – Fixed assets
Land debtors -200000-20009
-Change the account group Fixed Assets
-Sort key -018 Asset number Reconciliation
A/c for account type –Asset
-Field status group 067 Reconciliation
accounts.
2 200005 200000 Land -Do -
Buildings
3. 200010 -Do- -Do -
Plant & Machinery
4. 200015 -Do- -Do -
Furniture & Fixtures
5. 200020 -Do- -Do -
Vehicles
6. 200025 -Do-
Capital work in progress -Do -
7 100200 -Do- Account group-Accumulate depreciation

Accumulate depreciation- -100200-100299
Building -Sort key -018 Asset number
-Reconciliation A/c for account type –Assets
-Field Status group- 067 Reconciliation
accounts
8 100205 100200 -Do -

Accumulated depreciation – Depreciation
Plant & Machinery -Buildings
9. 100210 -Do- -Do-
Accumulated depreciation –
Furniture & Fixtures
10 100215 Accumulated -Do- -Do-
depreciation –Vehicles
129
11. 300102 Assets sales 300100 Exchange Account group –other income
gain 300100-300199
Sort key -018 Asset number
Field status group G052
12 300103 Profit on asset sale -Do- -Account group other Income
-300100-300199
-Sort key 018 Asset number
-Field status group -G001
13 400302 Loss on asset sale -Do- -Do-
14 400303 Loss due to -Do- -Do-
scrapping
15 400500 Depreciation Change the Account group Depreciation
400500-400599
Sort key -018 Asset number
Filed status group-G001
Assignment of accounts for automatic postings:
Path :SPRO-Financial accounting –Asset accounting-Integration with the general ledger-Assign GL accounts.
Give the your Chat of Depreciation :AML

Enter
The Transaction code is AO90
Select chant of accounts :AML

Double click on account determination folder
Select account determination :AML10000 Land
Double click on Balance sheet accounts folder
Acquisition column :Acquisition and production costs Give the A/c No.:200000 Land
Loss made on asset retirement w/o revenue.(w/o revenue mean scrap)
Give the account no.400303 loss to scraping
Clearing account revenue from asset sale :300102
Gain from asset sale :300103
Loss from asset sales :400302
Press enter
Select save button
Select account determination :AML11000 Buildings
Double click on Balance Sheet accounts folder
Acquisition column acquisition and production cost a/c no.200005
Loss made on asset retirement w/o revenue :400303
Loss from asset sale :400302
Save
130
Double click on depreciation folder
Accumulated depreciation for ordinary depreciation 100200 accumulated depreciation buildings
Expense account for ordinary depreciation 400500 Depreciation account
Save
Select account determination :AML 20000 P & M
Acquisition column acquisition and production cost Give the GL account no.:200010
Loss made on asset retirement (without) w/o revenue 400303
Clearing account revenue from asset sales :300102
Accumulated depreciation account for ordinary depreciation a/c no.100205
Expense account for ordinary deprecation :400500
Save
Select account determination :AML30000 Furniture & Fixtures
Double click on balance sheet account folder
Acquisition :Acquisition and production costs 200015 (Furniture & Fixtures a/c)
Gain from asset sale : 300103
save
Accumulated depreciation account for ordinary depreciation 100210
Expense for ordinary deprecation :400500
Save
Select account determination :AML 31000 vehicles
Acquisition: Acquisition production costs :200020
131
Save
Accumulate depreciation for ordinary depreciation :100215
Expenses account for ordinary depreciation :400500
Save
Select account determination :AML40000 Capital Work In progress
Acquisition :Acquisition and production cost :200025
Clearing accounts revenue from asset sale :300102
Specify document type for posting of deprecation:
Up to integration with general ledger the path is same –Post-Deprecation to the GL –Specify Document type for
posting deprecation-Double click on define document type (Tr code is OBA7)
Select type AF Deprecation postings

Note the number range 04
Select intervals button
Number range :04
Year :2008
From no. :700001
To no. :800000
Select external check box
Enter and save
 As per SAP documentation :

 From ECC5 onwards Not to select external check box
 Up to 4.7 EE Select external check box
When we select external check box, we have to give what should be the document number at the time of posting.
There is an exception –for deprecation postings also we have to select external check box
In normal postings we are posting are document at a time.
132
Incase of deprecation / when we run depreciation number of documents will be generated at a time based on account
determination
04-2008 -700001 -800000 Select external check box
AML 10000 Land

AML11000 Buildings Depreciation account
AML20000 Plant & Machinery Assessment for
AML30000 Furniture & Fixtures Account determination
AML31000 Vehicles
AML40000 Capital work in Progress
When we run depreciation 4 documents will be generated automatically every month.
700001 Depreciation DR
To Acc Dep Buildings
To Acc. Dep-Plant & Machinery
To Acc Dep Furniture & Fixtures
To Acc Dep -Vehicles
Specify intervals and posting rules:
Same path (next step) (Tr code is OAYR)
Select company code AML

Double click on posting rules folder
Select monthly posting radio button
Save
Specify rounding for net book value and /or deprecation:
Path :SPRO-Financial accounting-Asset accounting-Valuation –Amount specifications (company

code/Deprecation area) –Specify rounding of net book value and /or deprecation

Double click on rounding specifications folder
Select area 01 book deprecation
Select automatically calculated depreciation check box
Select arithmetic rounding radio button
Save
Define screen layout for asset master data:
133
Path :SPRO-Financial accounting-Asset accounting-Master data-Screen layout-Define screen layout for asset
master data
Double click on define screen layout for asset master data

Select layout :AML1 Land
Double click on logical fields groups folder
Select 2 posting information
Double click on field group rules folder
Capitalization data make it required entry field
Select main number check box
Select sub-no check box
Select copy check box
We have created AML1 by copying layout 1000
Afterwards we create XYZ layout by copying
AML1 what ever fields we have chosen for AML1 should be copied XYZ
Select back arrow
Select 3 time dependent date
Double click on filed group rules folder
Business area make it required entry field
Select main no.check box, sub no.check box
Save
The same procedure is to the followed for layout AML 2 Buildings
AML 3 Plant & Machinery
AML5 Vehicles
AML6 Capital Work in Progress
Define screen layout for asset deprecation areas:
Same path (Tr code is AO21)

Select screen layout 2000 deprecation on asset sub no.level
Double click on field groups folder
Depreciation keys make it required entry filed
Select main no.check box
Select sub-no.check box
Select copy check box
Save
Deprecation keys creation (Rate+ Methods)
1. Define base methods

2. Define declining balance method
3. Define period control methods
4. Define period control methods
5. Maintain deprecation key
134
First steps will be assigned in 5th step and 5th step will be assigned in Asset master.
1. Define base methods:
Path :SPRO –Financial accounting-Asset accounting-Depreciation –Valuation methods –Depreciation key-

Calculation methods –Define base methods
Base method :0014 Ordinary :Explicit percentage (after end of life)

A) Ordinary deprecation
B) Explicit percentage –creation percentages rate given in Companies Act Schedule XIV
C) After end of line –If the next box value becomes zero no depreciation should be calculated.
Define declining balance methods

Same path
Give the Char of Depreciation AML

Enter
Note down decimal balance 001
002
Decimal factor 2
Max percentage 20
Beginning years :Wear and tear will be less
Acquisition value 100000
Rate of depreciation 5%
First year 5
Second year 5
Third year 5
Fourth year 5
---
20
First 4 years :100000*5% *98% (2% discount as per companies act)

5th year onwards :100000*5%
Define multi level methods: (Tr code is AFAMS)

same path

multilevel method :A
Description :5% SLM
Validity star :Select from ordinary deprecation on star date
Save
Double click on levels folder
Acquisition year :9999
Year :999
Periods :12
Base value :Select 01 Acquisition value
Percentage :5
Save
135
We have given say any year 2008- This rate is applicable for the assets purchased in the year 2008 –Next year also we
are purchasing an asset having 5% rate-we have to create acquisition year once again in the next year.
When we give 9999 purchase can be in the year

2. Years 999
A) 5% SLM rate 20 years (100/5)
B) 5% WDV rate ?
C) 1% SLM rate 100 years (100/1)
D) 1% WDV rate ?
999 max no. of year
In base method –once the net book value becomes zero –Do’t calculate depreciation .
In some countries.
First 5 years 5%
Next 5 years 10%
Next 5 years 15%
3. Periods 12 months
4. Base value 01 Acquisition value in case of SLM
24 Net book value incase of WDV
5. Percent 5 rate of depreciation
6. Reduction 1
Acquisition vale 100000
1% Scrap value 1000
------
99000
Dep 5% only on 99000
7. Remine life Percentage method Useful life method

India Machine no.1-In year 2003
Useful life :20 Years
Going for SAP in 2008
Select rem life
Asset master -15 Years
Select acquisition year 9999

Double click on Multi level method folder
Multilevel method A2
Description :5% WDV
Validity star :From ordinary depreciation star date
Save
Select acquisition year 9999

Double click on levels folder
Year :999
Periods :12
Base value :Select 24 net book value
Percent :5
Save
Maintain period control methods:
Same path
Give the Chart of deprecation :AML

Enter
136
Period method :006
Description :AML period control method
Acquisition year :Select 01 pro rate at period start date
Add year :Select 01
Retirement year :01 (Retirement mean sale)
Transfer year :01
Maintain deprecation key:
Same path Tr code is AFAMA

Depreciation key :AML1
Description :5% Straight line dep.method
Select period control according to fiscal year check box
Select dep. to the day check box
Save
Double click on assignment of calculation methods folder
Depreciation type :Select ordinary deprecation
Phase :Select from the start of depreciation
Base method :0014
Declare balance method :001
Period control method :006
Multilevel method :A1
Class :Select straight line depreciation
Save
Select depreciation key :AML1
Select activate button
Save
Depreciation :5% written Down Value Deprecation method
Period control according to Fiscal year check box
Select depreciation to the day check box
Save
Double click assignment of calculation methods folder
137
Depreciation type :Select ordinary depreciation
Phase :Select from the start of depreciation
Base method :0014
Declare balance method:001
Period control method :006
Multilevel method :A2
Class :Select declining –balance depreciation
Save
Select back arrow four times
Select depreciation key AML2
Save
Select first page control page up button
Select depreciation key :0000(no depreciation no interest )
Save
FI END USER AREA:
Create of main asset master:
Path :Accounting-Financial accounting-Fixed assets-Asset –Crete –Asset (The Transaction code is AS01)
Asset class :Select AML2000 Department A

Company code :AML
Enter
Give the description :Machine no.1
Capitalized on :18.04.2008
Select time dependent tab
Business area :AMLH
Select depreciation area tab
Depreciation key :Select AML1
Useful life :15 years
Period :6 months
Ordinary depreciation start date :18.04.2008
Note: Commissioning date –Indian system, sum countries is next month first day Eg. 01/05/2008)
save
Creation of sub asset master
Path :Up to fixed assets the path is same-Asset-Create-Sub number –Asset(The transaction code is AS11)
Asset :200001
Company code :AML
Enter
138
Description :Motor
Capitalized on :29.11.2008
Select deprecation area tab
Change the depreciation key AML2
Period :01
Ordinary depreciation:29.11.2008
Save
Main asset purchase posting:
Path :Accounting-Financial accounting-Fixed asset –Posting-Acquisition-External acquisition -With vendor

(Transaction code is F-90)
Give the document date and posting date :18.04.2008

Type :KR (Vendor invoice)
Company code :AML
Posting key :31 Vendor credit
Account :4200001
Enter
Amount :500000
Business area :AMLH
Text :Machinery purchase posting
Posing key :70 Debit asset
Account :Select 200001 -0 Machine no.
Transaction type :Select 100 External asset acquisition
Enter
1st Rule:
Sub asset master with reference to main asset master
200001-1 with reference to 200001
2nd Rule
Main asset with reference to asset also 200001 with reference to AML2000 Dept A
3rd Rule
Account determination is specified in asset class
AML200000 Plant & Machinery specified in AML2000 Dept A
4th Rule
For account determination we assign accounts based on the nature of transaction
For AML2000-Incase of acquisition-2000010 Plant & Machinery
Amount enter :*
Text :+
From the menu select document Simulate and save
Sub asset purchase posting (F-90)

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Type :KR
Company code :AML
Posting key :31
Enter
Amount :100000
Business area :AMLH
Text :Motor purchase posting
Posting key :70
Account :200001-1 that motor
Transaction type :100
Enter
(Applicable 1st rule)
Amount :*
Text :+
REPORT TO VIEW SUB ASSET WISE, YEAR WISE VALUES
Path :Accounting –Financial accounting –Fixed assets –Asset –Asset explorer (Tr code is AWO1N)

Asset no. :200001
Sub No. :0
Fiscal year :2008
Enter
Select Display depreciation calculation button
Select period information button
Select back arrow
Select compression tab
Change the asset to 200001
Sub no. :1
Enter
Select planned values tab
Change the fiscal year to 2009
Enter
Select display depreciation calculation button
2nd Report
Report to view for all assets for particular period
Path :Accounting-Financial accounting –Fixed assets –Information system –Reports on asset accounting –
Asset balances –Balance lists –Once again asset balances –By business area (Tr code is S_ALR_87011965
Press all selections button (Shift +F7)
140
Report date :31.12.2008
Execute
Double click on Dept A
Double click on Machine no.1
Change the report date to 30.04.2008
Execute
Depreciation run:
Path :Accounting –Financial accounting –Fixed assets -period processing –depreciation run –Execute (Tr code
is AFAB)

Fiscal year :2008
Posting period :1
Select planned posting run radio button
Select test run check box
(Note :If you run in middle of year select unplanned posting run radio button)
Execute
Select error list button (F7) (Right side corner)
Select back arrow
Deselect text run check box
From the menu select program Execute in back ground
Enter
To schedule in the rights select date /time button
Give the schedule start date :01.12.2008
Time :Give HR 23.00
Save
To post immediately select immediate button
Save
Note down get a message background job was scheduled for program RA POST 2000
To check whether the job or not from the menu select System –Jobs-Job overview-Services –select execute button
To view the document posted: (Tr code is FB03)

Document type :AF
Execute
Double click on document no.
Use the Tr code is AFAB
141
Company code :AML
Fiscal year :2008
Before Dep run for May 2008 and after Dep run for April 2008 we have commissioned an asset with back date 200002-0
Machine no.2 25.04.2008
Posted period 2
1. select planned posting run radio button posting as per plan (earlier we have selected monthly posting)
For 200001-0 from 1st May 2008 to 31st May 2008

For 200002-0 for 25th April 2008 to 31st May 2008
Report run:
Before run for May

Posting period
Select report run
System checks which assets are commissioned in April and not posted depreciation.
200002-0 from 25th April 2008 to 30th April 2008
Once it is completed
Posting period 2
Select planned posting run
200001-0 From 1st May 2008 to 31st May 2008
200002-0 from 1st May 2008 to 31st May 2008
Repeat run is possible only after planned posting run
We have run depreciation up to October 2008 -now we have commissioned an asset with April date repeat run is
possible only for last planned posting run-In this example only for October.
Restart
Rare cases –server is down during processing time system gives message restart.
Unplanned posting run:
Posting run not as per plan,

We have run for April
We want to run May to November Dep. At a time.
Posting period 8
Select unplanned posting run
Depreciation will be posted from May to no.at at time.
Asset sales :
200001-0 Machine no.1

Acquisition value 500000
Acquisition depreciation 890
---------
Net book value 30.04.2008 499110
Asset sales on 01.05.2008 501000
----------
Profit on asset sale 1890
1to check fields status for field status group G052 use the Tr code is OBC4
Select field status variant :AML
Double click on filed status groups folder
Double click on field status group G052
Accounts for fixed assets retirement
Double click on Asset accounting
Asset retirement make it required entry field
Save
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ASSET SALE
Path :Accounting –financial Accounting –Fixed assets –Posting –Retirement –Retirement with revenue –with
customer (F-92)
Give the document date & Posting date :01.05.2008

Type :DR
Company code :AML
Posting key :01
Enter
Business area :AMLH
Text :Asses sale
Posting key :50
Account no. :300102 Asset sale
Enter
Amount :*
Business area :AMLH
Text :+
Select asset retirement check box
From the menu select document –Simulate
Enter
Asset no. :200001
Sub number :0
Transaction type :210 comes by default
(210 stand for retirement with revenue)
Give the asset value (Capitalization date):01.05.2008

Select complete retirement check box
Enter
Contra
01 Customer 501000
70 Account Dep P & M 200001-0 890
40 Asset Sale 501000
75 Plant & Machinery 2000001-0 500000
50 Profit on asset sale 1890
01 Customer 501000
50 P&M 501000
We get a message correct the marked line item.

Double click on blue font line item
Select display document overview button
Asset sale on 20.05.2008 Sale 2000001-0 Machine

01 Customer 501000 Acquisition value 500000
70 Acc Dept P & M 1500 Acc Dep up to 19.05.2008 1500
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2000001-0 ----------
Net book value 19.05.2008 4985000
40 Asset sale 501000
50 Asset sale 501000
75 Plant & Machinery 500000 Asset sale on 20.05.2008 501000
2000001-0 CONTRA ----------
50 Profit on asset sale 2500 profit on asset sale 25000
Depreciation A/c Accumulated Depreciation account

3014 890 DR 2015 1500 3014 890
3115 610 DR 3115 610
(Dep up to 19/05/2008)
ASSET TRANSFER
When we transfer an asset from one unit to another unit with the company code –we have to transfer at cost HYD
BGL
200001-0
Capitalization date 20/04/2008
To transfer asset on 01.05.2008 to BGL
To transfer acquisition value
To transfer accumulated depreciation from the date of receipt (From 01/08) depreciation will be calculated in Bangalore
unit
1st Method 2d Method

Two step procedure one step procedure
A) Creation of asset master in BGL (AS01) Creation of asset master and transfer values
B) Transfer values
Path: Accounting –Financial accounting –Fixed assets –Posting –Transfer –Transfer with in company code
(ABUMN)

Ente
Give the asset no. 200001 Sub No.0
Document date :01.05.2008 |
Posting date :01.05.2008 |  Today’s date
Asset value date :01.05.2008 |
Text :Asset Transfer
Select new asset radio button
Give the description :Machine no.1
Asset class :AML2000 Dept A
Select master data button
Give the business area :AMLB
Select additional data button
Give the capitalized on 01.05.2008
Select depreciation area tab
Give the depreciation key :AML1
Period :5 months
Ordinary depreciation date :01.05.2008
Select back arrow
Enter
144
Go and see the document FB03
Give the document no.30
Company code :AML1
Fiscal year :2008
Enter
1) When we want to transfer no. of assets at a time go for two step procedure
2) When the asset has to be created in the receiving unit as a sub asset goes for two step procedure.
Asset scrapping
200000-1 Motor in Hyderabad unit 29.11.2008

This can’t be sold transferred /used we can scrap the asset
Scrap asset on 01.01.2009
It calculates depreciation up to 31.12.2008
The net book value will be charged to P & L Account
Impairment of assets (AS28)
If the expected relation of the asset is less than net book value and future cash flows are negative, we have to impair the
asset for the difference.
To check motor value as on 31.12.2008 (Tr code is S_ALR_87011965)

Press all selections button
Business area :AMLH
Asset Scrapping:
Path :Accounting –Financial accounting –Fixed Assets –Posting –Retirement- Asset retirement by scrapping (Tr
code ABAVN)
Give the asset no.200001 Sub No.1

Asset value date :01.01.2009
Text :Asset scrapping
Save
Go and see the document (FB03)
Document no. :31

Company code :AML
Fiscal year :2008
Enter
Capital work in progress line item settlement
Machinery 01.11.2008 Debit to CWIP Machine No.5
Freight charges 05.11.2008 Asset commissioned as machine no.5 on 31.12.2008
We settle from CWIP to respective asset
Commissioning charges This is linked with CO this will be covered in the 30.11.2008
end
145
REPORTS:
Step 1.How to create a folder?
Keep the cursor and favorites from the menu select Favorites –Insert folder
Give the folder name FI reports
Enter
Step 2. How to attach the report to folder ?
Keep the cursor on FI reports folder from the menu select Favorites –Insert truncation tr code is
(S_ALR_87011965)
Double click on asset balances report
Step 3. How to attach the report on desktop?
Go to report –Asset balances on right top select generates a short cut button
System description :ECC6
Enter
Select OK button
Close SAP
Icon desktop
Double click on asset balances Icon
Give the password :oracle (SAP password)
Step 4: How to create variant?

Go to asset balances report
From the menu select go to variant --Save as variant
Give the variant name :AML
Date :30.11.2008.
Save
Now close SAP
Double click on asset balances Icon on desktop
Give the password :oracle
Enter
Select get variant button (Select asset balances S_ALR_87011965)
Execute
Select :AML
Chart of Accounts List
146
Path :Accounting –Financial accounting –General ledger –Information system –General ledger reports –
Master data –Chart of account- Chart of account (S_ALR_87012326)
Give your chart of accounts :AML

Execute
TRAIL BALANCE
Path: Up to general ledger report the path is same -Account balances –Korea-Trail Balance (Tr code is
(S_ALR_87012310)
Country :Korea
Trail balance :South Korea
Execute
Select current layout button
Keep the fields
GL account
GL account long text
Closing balances
Enter
To down lead to excel from the menu select list export –spread sheet
Enter
List –>Export local file
Select spread sheet radio button
Enter
See directory file name :AML.xls
Select generate button
LEDGER:
Path :Accounting –Financial accounting –General ledger –Periodic processing closing –Document –
Balances audit trail –All accounts -General ledger from the document file (Tr code is S_ALR_87100205)

Execute
(Select menu bar –Settings-Layout –Current button )

or
Select current layout button(Ctrl+F8)
Keep the fields document no.
Posting date
From the hidden fields column
Select text fields
Select left arrow
Select debit amount in local currency
Select left arrow
147
Select credit amount in local currency
Select cumulative balances
Select left arrow
Select total check box for debit amount in local currency, Credit amount in local currency
Select copy button
To go the document level
Double click an amount no.
Select call up document over view button
VENDORS LIST
Path :Accounting –Financial accounting –Accounts payable –Information system -Reports for accounts
payable accounting –Mater data –Vendor list (Tr code is S_ALR_87012086)

Select address and telecom check box
Execute
Vendor wise patches
Path :Up to report for account payable accounting the path is same -Vendor balances vendor business
(S_ALR_87012093)

Execute
Each vendor wise
Out standing lit of vendors:
Path :up to reports for accounts payable accounting the path is same
Vendor Items- List of Vendors Open item for printing (S_ALR_87012083)

Execute
Age wise analysis of vendors:
Path :Up to vendors column item the path is same -Vendor payment history with open item sorted list
(S_ALR_87012085)

Summarization level :0
Select days overdue squirted list check box
Execute
Vendor advances report
Path :Up to vendors column items the path is same –List of Down payments open on key date vendors
(S_ALR_87012105)

Execute
Vendor ledger:
148
Path :Open and cleared up to vendors: Item the path is same –List of vendor line item (S_ALR_87012103)

Execute
Depreciation fore cost
Path :Accounting –Financial accounting –Fixed Assets –Information system -Reports are asset
accounting –Depreciation fore cost-Depreciation on Capitalized Assets (Depreciation simulation)
(S_ALR_87012936)

Report date :31.03.2011 (Give the any month end date)
Execute
Fixed assets schedule as per schedule VI of Companies Act
Path :Information system –Accounting –Financial accounting –Fixed assets -Asset history sheet (Tr
code is AR02)

Select group totals only radio button
Execute
Select assets button
Double click on asset retirements
DATA TAKEOVER
Master uploading
Balance uploading
Master uploading:
GS Master :FS00
Vendor masters :XK01
Customer masters :XD01
Asset masters :AS01
Material master :MM01
Create an excel file  conversion to text file  Up loading to SAP
Legacy System Migration Batch data Communication Computer aided testing tool
Work bench (LSMW) (BDC) (CATT)
ABAP :They teach all 3 methods
LSMW:Job of functional consultant
Open an excel file and note down for which fields values are to be uploaded
149
GL Comp Accou P& Balanc Short Long Text Acco Only Line Sor Field
Accoun any nt L e Text unt Balance item t status
t no. code Group State Sheet curre in local displa key group
ment A/c ncy currenc y
A/c y
100001 AML SCPL X PREF – PREF INR X X 001 G001
Share Share Cap.
cap.
200125 AML CAST X Inventory Inventory – INR X X 001 G001
–Stores Stores
300005 AML SALE X Sales Sales INR X X 001 G001
trading Trading
400101 AML PRSN X Wages Wages INR X X 001 G001
account account
Delete above column headings

Delete other sheets (like sheet 2 , sheet 3)
Select complete sheet
Press right mouse button
Select format cells
Select number  Category  Text
Select ok button
From the menu select file save as
Save type :select Text (tab delimited)
File name :AML Text
Select save button
Select no button
Select cancel button
From the menu select file  close
Select no button
2. Open an excel file and not down technical name of each filed technical name shall be noted down as per step
one order
Open an excel file
Component Data type length
Open SAP FS00

Give the GL No.100000 Equity share capital
Company code :AML
Enter
Keep the cursor on GL A/c press F1
Select technical information button
Double click field name SAKNR
Copy component SAKNR in excel 1 component column
Data type :C
150
Length :10
Copy component BUKRS that is company code in excel component column
Data type :C
Length :4
Select back arrow in SAP
Keep the cursor on account group
Press F1
Double click on filed name KTOKS
Copy component KTOKS that is account group in excel component column
Data type :C
Length :4
Copy component XPLACCT That is P & L statement account in excel component column
Data type :C
Length :1
Copy component XBILK that is I Balance Sheet A/c in excel component column
Data type :C
Length :1
Copy TXT20-ML That is GL A/c short text in excel component column
Data type :C
Length :20
Copy component TXT50_ML That is GL long text in excel component column
Data type :C
Length :50
Select back arrow
Keep the cursor on account currency press F1
Double click on filed name WAERS
Copy component WAERS that is account currency in excel component column
Data type :C
Length :5
Copy XSALH that is only balance in local currency in excel component column
Data type :C
Length :1
Line item display :copy component XKRES that is line item display in excel component column
Data type :C
Length :1
Sort key: copy component ZUAWA that is sort key in excel component column
Data type :C
Length :3
Copy component FSTAG that is field status group in excel component
151
Data type :C
Length :4
Save the file an ex file, file AML
Up loading of master in SAP (Tr code is LSMW)
Note: LSMW used for create No. of GL accounts at a time.
Project :AML
Subproject :FI
Object :GLMaster
Select create entry button
Description :AML Project
Enter
Sub project description FI Area
Enter
Object name :GL master up loading
Enter
Select continue button (F8)
Select double click Display click change button (Shift +F7)
Select batch in put recording radio button
From the menu select Goto recording  Overview
Select create recording button (Ctrl +F1)
Give the recording name :AMLGL
Description :GL Master uploading
Enter
FS00
Give the GL Account :100305

Company code :AML
From the menu select GL Account create
Account group select secured loans
Select balance sheet account radio button
Short text and GL account long text :IDBI rupee term loan
Select only balances in local currency check box
Select line display check box
Sort key :001 Posting date
Select create 1 bank /Interest tab
Field status group :G005 Bank Accounts
Save
Keep the cursor on FS00
152
Select default all button
Save
Give the recording name :AMLGL
Enter and save
Select back arrow
Execute
Select create a structure button

Source structure :AMLSTR
Description :AML GL Structure
Enter and save
Select back arrow
Execute
Keep the cursor on AMLSTR
Select table maintain button
Copy from
AML excel component column in SAP field name column
Copy from excel
AML excel data type column in SAP type column
Copy AML excel length column in SAP length column
Verify the copies data some data not copied copy to next page
Save
Select back arrow

Select back arrow once again
Execute
Select back arrow

Execute
Kept the cursor on AMLGL
Save
Back arrow
Execute
From the menu select –Extras-Auto field mapping
Press enter
Go on select accept proposal button (Press Accept proposal button many times)
Till we get the message
Auto field mapping completed
Enter and save
Select back arrow
153
Skip maintain fixed values, transactions user defined routines
Select specify files radio button
Execute
Keep the cursor on the PC (Fronted)
Select add entry button
Select file :AML text
Name :GL Master uploading
Select tabulator radio button
Enter & Save
Select back arrow
Execute
Save
Select back arrow
Execute
Execute once again
Skip display read data
Select convert data radio button
Execute
Execute once again
SKIP Display converted data
Select create batch input folder session
Execute
Execute once again
We get a message /batch input folder
With 4 transactions created
Execute
Select session name GL master
Select display errors only button
We get a message processing of batch input session completed
To view accounts created (Tr code is FS00)
Selected drop down button for GL A/c No.

Company code :AML
Enter
(Note: check it uploaded GL Accounts 100001, 200125,300005,400101)
154
BALANCES UP LOADING
Company going live in SAP from 1st December 2008 unloads – take balances as on 30th November 2008 and
enter in SAP – P & L Account balances as well as Balance Sheet Account balances.
Company going live in SAP from 1st April 2008 on wards, - Take Balance Sheet account balances as on
31.03.2008 in SAP don’t enter all the transactions –
Reasons:
1. In normal accounting all vendors, Customers, Assets are part of General Ledger where as in SAP we have
sub ledger concept.
2. In normal accounting –for vendors/ customers –Purchases /Sales transactions and advances will be entered
in one account where as in SAP we have normal items and special GL Item.
3. In normal accounting for Fixed Assets- We have account wise acquisition value and accumulated
depreciation where as in SAP for Fixed Assets, we have each sub asset wise acquisition value and
accumulated depreciation.
4. In normal accounting depreciation in a provisional figure where as in SAP it is actually calculated figure.
5. In normal accounting raw material consumption is a derived figure.
Opening stock +Purchases –Closing stock whereas in SAP we maintain each material wise quantity, rate
and amount and raw material consumption is actually calculated figure.
6. In normal accounting we will not pass production entries and delivery entries where as in SAP, system pass
production entries and delivery entries with production cost.
Procedure
1) We should enter day to day date in SAP production client till balances are up loaded and tallied.
2) Incase of Vendors /Customers we have to prepare a statement showing only open items which should match
with trail balance figure.
3) Incase of Assets, prepare a statement showing each asset wise acquisition value and accumulated depreciation
which should match with trail balance figure.
155
4) Incase of materials, prepare as a statement showing Material wise, Quantity , Rate and Amount which should
match with Trail Balance figure.
5) We have to create 5 dummy accounts under any account group.
A) GL Clearing
B) Vendor clearing
C) Customer clearing
D) Asset clearing
E) Stock taking
F)
6) After uploading balances, if the above 5 clearing accounts become zero, Then our date takeover is correct
Trail Balance (For opening balances)
Debit Credit
Equity share capital 500000
Party A/c 100000
Accumulated Dep. P & M Machine no.40 300000
Sales 400000
P & M –Machine no.40 500000
Party X 200000
Inventory RM 100000
Cash account 150000
RM Consumption 350000
--------- ----------
1300000 1300000.
======= =======
1. GL clearing A/c
2. Vendor clearing A/c
3. Customer clearing A/c
4. Asset clearing A/c
5. Stock taking A/c
1. To take GL Credit side items:Tr code F-02)
GL clearing A/c Dr 1300000

To Equity share capital a/c 500000
To Vendor clearing a/c 100000
To Asset clearing a/c 300000
To Sales a/c 400000
2. To take GL debit side items (F-02)

Asset clearing Dr 500000
Customer Dr 200000
Stock taking Dr 100000
Raw material consumption Dr 350000
To GL Clearing 1300000
3. A) Prepare a statement showing each vendor wise bill wise open item and
advances which showed match with trail balance .
Party A
Bill no.1400000 Cr
Bill no.250000 Cr
Bill no.330000 Cr
Advance 20000Dr 100000 Cr
B) Entry for Vendors (f-43)
156
Vendor clearing Dr 115000
Party A (SPLGLA) Dr 200000  advances to vendor
To party A-BIL1 No.1 400000 } Sundry creditors
To party A-BIL1No.2 500000 }
To party A-Bill No.3 45000 30000 Sundry creditors
4 (A) Prepare a statement showing each customer wise bill wise open items and advances which should match
with trail balances
Party X
Bill no.1 50000 Dr
Bill No.2 1800000 Dr
Advance 30000 Cr 200000 Cr
4 (B) Customer balances F-22

Party X- Bill no.1 Dr 50000 Sundry debtors
Party X-Bill no.2Dr 180000 Sundry debtors
To party X (SPL GLA) 300000 Advances from customer
To Customer clearing 200000 Advance from customer
5(A) To make fixed assets P & M GL account and accumulated depreciation plant & Machinery GL Account
as non-reconciliation accounts and pass. F-02
40 Plant & Machinery 500000

50 Accumulated Depreciation P & M 300000
50 Asset clearing 200000
Non-reconciliation means in FS00

For Plant & Machinery GL A/c and accumulated depreciation P & M GL A/c
Reconciliation a/c type –Assets remove
5 (B) Creation of asset masters:

| |
AS01 LSMW
Use the Tr code is AS01
Asset class :AML2000 Dept A

Company code :AML
Description :Machine no.40
Give the capitalized date :20.06.2006
Business area :AMLH
Select depreciation areas tab
Use life :15 years Period 4 months
Ordinary deprecation date :01.04.2008
Save
5 (C ) To take over acquisition value and accumulated depreciation for asset 2000004-0
It will not updated our GL Accounts since account for account type –Assets.
Path :SPRO-Financial accounting –Asset Accounting –Asset data transfer –manual online transfer –
Create/Change /Display legacy asset (The Tr code is AS92)
Double click on change legacy asset
Give the asset no. :200004

Sub number :0
Company code :AML
Select takeover values button
157
Cumulated acquisition value :500000
Accumulate ordinary deprecation :30000
No book values :200000
Save
5. D) To make fixed assets P & M A/c and accumulated depreciation P & M account as reconciliation
accounts.
Path :SPRO-Financial accounting –Asset accounting –Preparing for production start up-Production start
up-Set or reset reconciliation accounts (Tr code is OAMK)

Double click on change control of reconciliation account folder
From the menu select Edit –selections –select all
Select set reconciliation indicators for all accounts button
Save
6 (A) To propose a statement showing each material –match with trail balance.
Material Qty Rate Amount

RM1 2000 20 40000
RM2 7000 5 35000
RM3 2500 10 25000
---------
100000
======
6 (B) Creation of material masters (Transaction code MM01) –and in accounting

view –For moving average price
RM1 20
RM2 5
RM3 10
Use the transaction code MB1C
Movement type :561 Qty

RM1 2000 Kgs
RM2 7000 Kgs
RM3 25000 Kgs
Save
Accounting entry will be generated automatically

Inventory RM Dr 1000000 BSX
To stock taking 1000000 GBB BSA
Closing procedure
In the year end what steps we have to do April 2008 –March 2008 fiscal year 2008
In last week of March 2009

1. To carry forward Vendor and Customer balances to next year.
Path Accounting –Financial accounting-Accounts payable –Periodic processing –Closing –Balance

carry forwarded ( Tr code is F.07)

Carry forwarded fiscal year :2009
Select , select customer check box
Select , select vendors check box
Deselect detail log check box
158
Execute
One time exercise for each year
2. To carry forwarded asset balances

We can open 2 years at a time
2007 2008
To open 2009 we have to close 2007
A) To check which year is closed for asset accounting
Path :Accounting -Financial accounting –Fixed assets –Periodic processing –year end closing –Undo-Entire
company code (Tr code is 0AAQ)

Enter
To close fiscal year 2008 (not mandatory step)
Up to periodic processing the path is same –Year end closing –Execute (Tr code is AJAB)
Company code :AML

Fiscal year to be closed 2008
Deselect text run check box
Form the menu select Program- Execute in back ground
Enter
Select immediately button
Select save button (down side)
We get a message Back ground job was scheduled for program RAJABS00
To check whether the job is processed or not
From the menu select System –Services-Jobs –Job overview

To view result of the job
Select job RAJABS00 check box
Select spool button
Select spool no .check box
Select display content button
To close only year for asset a accounting we have to post depreciation for all assets and for all months
C) To open fiscal year 2009 for asset accounting
Path :Up to period processing the path is same –Fiscal year change (Tr code is AJRW)

New fiscal year :2009
Deselect test run check box
From the menu select program execute in back ground
Enter
159
Select immediate button
Select save button
We get a message back ground job was scheduled for program RAJAWE_00
To check whether the job is processed or not
From the menu select System  Services  Jobs job overview

To view the result of job
Select job RAJAWE00 check box
Select SPOOL button
Select SPOOL no.check box
Select display contents button
3. To carryforward GL Balances
Path :Accounting –Financial accounting –General Ledger –Periodic processing –Closing –Carryforward-
Balances carryforward new Tr cod is FAGLGVTR
Ledger :select OL leading ledger

Company code :AML
Carryforward fiscal year :2009
Deselect test run check box
Select output list of results check box
Select balances in retired earning check box
Execute
Select retired earning accounts button
Select back arrow
Select Balances sheet accounts button
To copy number range interval for next year
Path :SPRO-Financial accounting –Financial accounting global settings –Document –Document number
ranges –copy to fiscal year (Tr code is OBH2)
Company code :AML

To fiscal year details under source fiscal year :2008
To fiscal year under target fiscal year details :2009

Execute
Select Yes button
To open periods for next year

April 2009-March 2010
April 2009-April 2009 Fiscal year 2009
1st 1, 2009-1,2009 |
April 2008-March 2009 |  Mandatory
160
2nd March 2009-March 2009  Optional
12, 2008-12,2008
Path :Up to document the path is same –Posting periods –Open and close posting periods

Posting period variant :AML
Enter
For AML
From period 1 is 1 (April )
Year :2009
To period :1
Year :2009
From period :2
Period :12 March to March
Year :2008
To period :12
Year :2008
How to open special periods
On 15.04.2008 –Accounts Dept Finalized profitability management, management adjustment entries.

To post in special periods
April 2009 –March 2010 Fiscal year 2009
April 2009 –April 2009
1st 1, 2009 -1, 2009

April 2008 –March 2009 Fiscal year
March 2009-March 2009
13,2008 -13,2008
Same path :OB52

For variant :AML
From the period2 :13
Year :2008
To period :13
Year :2008
Save
How to post to special periods (F-02)

(Adjustment of management entries )
Document date & Posting date :28.03.2009

Type :SA
Company code :AML
Posting key :40
Account no. :400100 Salaries A/c
Enter
161
Change the period to 13
Enter
Amount :500000
Business area :AMLH
Text :Salaries provision
Posting key :50
Account no. :100500 Outstanding exp
Enter
Amount :*
Business area :AMLH
Text :+
Select document –Simulate and Save
Go and see the GL A/c FS10N

Give the GL A/c No. :400100 Salaries A/c
Fiscal year :2008
Business area :AMLH
Company code :AML
Execute
BANK RECONCILIATION
Check Deposit Bank statement

| |
-------------------- ------------------
| | | |
Manual Electronic Manual Electronic
162
Manual check deposit /manual bank statement
For each current account we have to create ¾ accounts
Account no. should with

1. Main bank account 0
2. Check issue account Open item 1
3. Check deposit A/c Open item 2
4. clearing account Open item 3
5. Bank Changes
If we have 100 Bank current accounts instead of assigning accounts 100 times –we assign only one time using masking.
1. Main bank account +++++++++0
2. check issue account +++++++++1
3. check deposit a/c +++++++++2
4.clearing account +++++++++3
Always main bank account balance and bank statement balance will be same.
Flow:
Sales:
1. Sales invoice posting F-22
Customer A/c Dr 100000

To Sales 100000
2. Check deposit
A) Bank key
B) Bank account
C) Pay slip no.
D) Transaction type
E) Customer
F) Bill no.
G) Amount and Save
IDBI Check deposit a/c Dr 100000

To Customer with clearing 100000
3. Enter manual bank statement

A) If the check deposit credit is not there –open items in bank check deposit A/c-Checks
Deposited but not credited
B) If the check deposit credit comes in bank statement

A) Pay slip no.
B) Bank key
C) Bank account
D) Transaction type
E) Amount and save
IDBI main bank A/c Dr 100000

To IDBI Check deposit a/c 100000
(with clearing)
Purchases :
4. Purchase invoice posting F-43
Inventory RM Dr 200000
To Party A/c 200000
5 Outgoing payment with clearing F-53

Party A/c Dr with clearing 200000
To IDBI check issue A/c 200000
6. Manual check creation
163
Assign check no.to payment doc.no.

A) If the check debit is not there open items in bank check is issue A/c check issued but not presented.
B) If the check issue debit is there
A) Bank key
B) Bank account
C) Transaction type
D) Check number
E) Amount and save
IDBI check issue Dr with clearing 200000

To IDBI Bank a/c 200000
Bank charges direct debits

A) Bank Key
B) Bank account
C) Transaction type
D) Amount and save
Bank charges Dr 5000

To IDBI main bank a/c 5000
IDBI main bank A/c IDBI bank statement
3 10000 7 B) 20000 7 B) 20000 3 B) 100000 Cr

8) 500 8) 500 DR
IDBI check Dept A/c

2. 100000 3. 100000
IDBI Check issue A/c
7 B) 20000 5 20000
1. Creation of GL masters (FS00)
Give the GL A/c no. :200130 Wages A/c

Company code :AML
Give the GL A/c no.200105 SBI A/c
Company code :AML
Enter
Change short text and GL Account long text to IDBI main bank
Save
GL A/c No. :200131
Company code :AML
Give the GL A/c NO.200130
Company code :AML
Enter
Change short text and GL A/c long text to IDBI check issue
Select control data tabs
164
Save
GL A/c No. :200132
Company code :AML
Give the GL A/c No. :200131
Company code :AML
Enter
Select type/description tab
Change short text and GL A/c long text to IDBI check deposit
Save
GL A/c No. :400304
Company code :AML
Give the GL A/c No. :400300 Rent A/c
Company code :AML
Enter
Change GL A/c short text and GL A/c long text to Bank charges
Save
Define House Bank (FI12)

Enter
House bank :IDBI
Bank country :IN
Bank key :AMLIDBI1
Save
Give the name IDBI bank limited
Street :Bank Street, Koti
City :Hyderabad
Bank branch :Main branch
Enter
Double click on bank accounts folder
Account ID :IDBI1
Description :IDBI current no.1
Bank account no. :AMLIDBI1234
Currency :INR
GL A/c No. :200130 IDBI Main bank
Save
165
3. Creation of Check lots (Tr code is FCHI)

House bank :IDBI
Account ID :IDBI1
Select change status button
Select create button (shift+F5) beside details button
Lot no. :1
Check no. :100001
To no. :100100
Select non-sequentional check box
Short information :IDBI bank
Purchase date :Today’s date
Enter and save
Define posting keys and posting rules for check deposit
Path :SPRO-Financial accounting –Bank accounting –Business transactions –Check deposit –Define posting
keys and posting rules for check deposit
Chart of accounts :AML

Enter
Accounts symbol :AMLA
Text :Main Bank
Accounts symbol :AMLB
Text :check issue
Accounts symbol :AMLC
Text :Check deposit
Accounts symbol :AMLD
Text :Bank charges
save
double click on assign accounts to account symbol folder
accounts symbol :AMLA
Account symbol Currency GL A/c

AMLA INR +++++++++0 (9 times plus)
AMLB INR +++++++++1 (9 times plus)
AMLC INR +++++++++2 (9 times plus)
AMLD INR 400304 –Bank Charges A/c
Save
Double click create keys for posting rules folder
Posing rule Text
166
AML1 Check receipt –Clear customer
AML2 Check deposit clearing in Bank
AML3 Check issue clearing in Bank
AML4 Bank charges direct debit by banks
Save
Double click on define posting rules folder

Notes:
Check receipt –clear customer
AML1-Check receipt clear customer
IDBI check deposit Dr GL
To Customer –with clrg SL
Doc.Type DZ
Posting rule :AML1

Posting area :select 2 sub ledger accounting
Debit posting key :40
Account symbol :AMLC (check deposit)
Document type :DZ
Posting type :select 8 sub ledger a/c
Posting rule :select AML2 (check deposit clearing in bank)
Notes:
AML2 :Check deposit clearing in bank
IDBI1 Main account Dr GL

To IDBI check deposit with clearing GL
Doc .type :SA
Posting area :select 1 Bank accounting

Accounts symbol :AMLA main bank a/c
Document type :SA (GL account document)
Posting type :select 5 clear credit GL Account
Posting rule :AMLB check issue clearing in bank
AML3 Check issue clearing in Bank

IDBI check issue with clrg DR GL
To IDBI main bank A/c
Doc .type :SA
Posting area :select 1 bank accounting

Debit account symbol :AMLB
Credit posting key :50
Account symbol :AMLA Main bank
Document type :SA
Posting type :select 4 clear debit GL Account
Posting rule :AML4 Bank charges :Direct debit by bank
Bank charges Dr GL
To IDBI Main bank A/c GL
167
Doc type :SA
Posting area :select 1 Bank accounting

Account symbol :AMLD
Credit posting key :50
Account symbol :AMLA
Document type :SA
Posting type :select 1 post to GL A/c
Save
Create and assign business transactions :
Path :Up to business transactions the path is same –Check deposit –Create and assign business transactions
(Tr code is OT53)

Transaction :AML1
+/- :+
Posting rule :AML1
Text :Check receipt clear customer
Transaction :AML1
+/- :- (for posting revenues)
Posting rule :AML1
Text :Check receipt clear customer reversal
Select save button
Select cancel button
Select Yes button
Save
Define variants for check deposit

Same path ( Tr code is OT45)

Variant :AML1
Name :check deposit variant for AML
Enter
From the possible fields column
Double click on reference document no.(selection)
Enter
Column Offset Length

1 3
2 20 16
3 37 4
4 52 10
Save
short description :Work Bench request for AML
Enter
kept the customer on AML1
168
select activate button
create and assign business truncation for manual bank statement
path :up to business truncation the path is same –Payment transactions –manual bank statement –Create and
assign business transactions

Transaction +/- Posting rule Interpretation Text
algorithm
AML2 + AML2 Check deposit
AML2 - AML2 Check deposit
clearing in bank
reversal
AML3 - AML3 011 (Outgoing Check issue
check :Check no. clearing in Bank
different from
payment doc.no.
AML3 + AML3 11 Check issue
clearing in bank
(Reversal)
AML4 - AML4 Bank charges
direct debit by
bank
AML4 + AML4 Bank charges
direct debit by
bank (reversal)
Save
011- Check no. different from payment doc.no. purchases
1. Purchase invoice posting F-43
Inventory RM DR 200000
To Party A/c 200000
Doc no.1
2. Outgoing payment with clearing F-53
Party A/c DR with clearing 200000

To IDBI Check issue A/c 200000
Doc no.200001
3. Manual check creation FCH5
Assign check no. to payment doc no.

Assign check no.100001 to payment
Doc no.200001
Check no. and payment Doc no. are different
Define variants for manual bank statement
Same path (Tr cod is OT43)

Variant :AML2
169
Name :Manual bank statement variant for AML
Enter
From the possible fields column double click on reference doc .number (selection)
Enter
4the column (20+16) :36
From the possible field column double click on bank reference
Enter
From the possible fields column double click on business area
Enter (53+13+4):67
Save
Press enter to save in your work bench request
Keep the cursor on AML2 :select activate button
To make text field optional field for field status groups G001 and G005 (Tr code is OBC4)
Select field status variant :AML
Double click on field status group folder
Double click on G001
Double click on general data
Text make it optional entry field
Save
Double click on G005
Text make it optional entry field
Save
SALES
Sales invoice posting (F-22)

Type :DR
Company code :AML
Posting key :01
Reference bill no. :2345
Account :6600001
Enter
Amount :100000
Business area :AMLH
Posting key :50
Account no. :300000 Sales a/c
Enter
170
Amount :*
Business area :AMLH
Text :+
Document –simulate & Save
Manual check deposit
Path :Accounting –financial accounting –Banks –Incomings –check deposit –manual entry (FF68)
From the menu select settings  Specifications
Start variant :select AML1

Enter
Bank key :AMLIDBI1
Bank account ;AMLIDBI1234
Currency :INR
Group :1 (paying slip no.)
Transaction :select AML1 (check receipt clear customer )
Posting date :Today’s date
Value date :Today’s date
Currency :INR
Enter
Amount :100000
Reference no. :2345 (bill no.)
Business area :AMLH
Customer no. :6600001
Enter & save
Save once again
From the menu select System –>services  Batch input  Sessions  select session name :IDBI-IDBI1
Select Display errors only radio button
We get a message processing of batch in put session completed
Go and See the customer A/c FBL5N
Give the customer no.6600001

Company code :AML
Execute
Double click on type DZ
Select column document overview button
Check deposit credit in bank statement
Path :Accounting –Financial accounting –Banks-Incoming –Bank statement –manual entry (Tr code is FF67)
171
From the menu select settings –specifications
Start variant :select AML2

Enter
Bank key :AMLIDBI1
Bank account :AMLIDBI1234
Currency :INR
Give the statement no. :1
Statement date :Today’s date
Opening balance :0
Closing balance :100000
Enter
Transaction :select AML2 check deposit in bank

Amount :100000
Give the reference doc no. :1 (That is paying slip no.)
Business area :AMLH
Enter & Save
Save once again
From the menu select System –Services –Batch input session
Select session name :IDBI –IDBI1
Ignore the message and exit batch input button
Go and see the IDBI check deposit A/c (FBL3N)

Give GL A/c No. :200132
Company code :AML
Execute
Double click credit 100000
Select call up document overview button
1. Purchases
Purchase invoice posting F-43
172
Type :KR
Company code :AML
Posting key :31
Enter
Business area :AMLH
Posting key :40
Account no. :200120 Inventory RM
Enter
Amount :*
Business area :AMLH
Text :+
Document –Simulate and Save
2. Outgoing payment with clearing (Tr code is F-53)

Type :KZ
Company code :AML
Account under bank data :200131 (IDBI cheque issue date)
Business area :AMLH
Amount :20000
Text :Outgoing payment
Account under open item selection :4200001
From the menu select Document --Simulate & Save
3. Manual check creation (FCH5)
Give the check no.100010

Save
4. Enter manual bank statement (FF67)
Select overview button (F8)
Keep the cursor on AML IDBI Bank Ltd

Select new statement button
Closing balance (100000-200000)=800000
Posting date :today’s date

Enter
173
Transaction :AML3 check issue clearing in Bank
Value date :today’s date
Amount :20000 with minus
Bank reference :100010 (cheque no.)
Business area :AMLH
Enter
Select save button , save once again
From the menu select System –Service –Batch input –Sessions
Select session name :IDBI-IDBI
Select Display errors only radio button
Ignore the message exit batch input button
Go and see IDBI cheque issue account (FBL3N)
Give the GL account :200131 IDBI cheque issue account

Company code :AML
Execute
Double click on debit 20000
Select call up document overview button
Bank charges Direct debits
Enter manual bank statement FF67

Select overview button
Keep the cursor on AML IDBI Bank Ltd
Select new statement button

Give the closing balance :79500
Enter
Transaction :AML4 Bank charges direct debits
Amount :500-
Business area :AMLH
Enter & Save
Save once again

From the menu select System –Services –Batch input –Session
Select session name :IDBI –IDBI-1
174
Ignore the message and select exit batch input button
To view the document posted (FB03)

Enter
To view bank statements in SAP FF67
Select overview button
Double click on AML IDBI Bank Ltd
To view the transactions in the statement

Double click on statement no.
CASH JOURNAL
1) To view daily cash and ban opening balances, Receipts , Payments and closing balance
2) GL Cash account accepts negative cash balance –Cash Journal will not accept negative cash balance
3) For petty cash purpose
1. Creation of GL master –Petty cash account –Current assets-Loans & Advances (FS00)
Company code :AML
Company code :AML
Enter
Change short text and GL a/c long text to Petty Cash A/c
Select post automatically only check box
Save
Define number rage intervals for cash journal documents
Path :SPRO-Financial accounting –bank accounting –Business transactions-Cash journal –Define number range
intervals for Cash journal Documents (FBCJC1)

No.range :01
From no. :500001
To no. :600000
Enter & Save
175
Setup cash journal (FBCJC0)
Same path

Company code :AML
Cash journal no. :0001
GL A/c No. :200101
Currency :INR
Document type for GL A/c :SA
Document type vendor payment :KZ
Document type vendor receipt :KZ
Document type customer payment :DZ
Cash Journal name, :AML HYD petty cash

Save
Create ,Change delete business truncations (FBCJC2)
Same path

Company code :AML
Business transaction type :select R Revenue
G/L A/c :300000
Cash journal business transaction :Revenue
Select account modifiable check box
Company code :AML
Business transaction type :select E Expenses
GL A/c No. :400100 Salaries A/c
Cash journal Business transaction :Expenses
Select account modifiable check box
Save
Setup print parameters for cash journal
Company code :AML

Cash journal print program name :RFCASH00
Report variant :DEMOEN (Demo English)
Correspondence :select SAP18 Cash document
Save
176
Posting to Cash journal
Path :Accounting –Financial accounting –General ledger –Posting –Cash journal posting (FBCJ)
From the menu select Extras  Change Cash journal

Cash journal :0001
Enter
Select cash receipts tab
Business transaction :select Revenue
Amount :5000
Business area :AMLH
G/L A/c :300000 Sales A/C
Text :Cash sales
Save
Select post button
Select print cash journal button
WITH HOLDING TAX (TDS
TDS: Tax deducted at source on Vendors/ Contractors/Local and professional charges
TCS: Tax collected at source –on Customers/ scrap sale /waste sale
TDS is part of CIN (Country India Version)
TDS two types
Classic with holding Tax Extended withholding tax

Up to 4.6 C SAP CIN from 4.7 EE on words
CIN is part of SAP
SAP was released in India 1995 –SA and CIN
February 1996 Finance Budget Govt. made
changes to TDS for the changes in Budget.
SAP releases –Patch (program)
February 1997 finance budget changes
February 1998 Finance budget changes
February 1991 Finance budget changes
Released extended with holding tax
Original CIN program modified with the budget
changes
Number changes
A) Education cess
B) Higher and Secondary Education cess
C) Return –Contractors –annual Return –form
26C
D) Changed to annual return Form 26
E) Changed to quarterly return –Form 26Q
F) ETDS
TDS on contractors/Professional charges
177
/Rent/Interest other than salaries
TDS on contractors (Income Tax Section 194C)
1 Status –Company /Partnership firm Individual

2. TDS Rates
Basic 2% 10% on 2% contract value in the whole year
Surcharges 10% on 2% exceed 10 Lakhs other wise NIL
ED 3% on (basic +Surcharges ) 3% on Basic +Surcharge
(Note :contract value in the whole year
exceeds 1 core other wise NIL)
4. TDS is to be deducted at the time of invoice posting or advance payment posting whichever is earlier
5. If each contract value is less than 20000 and all contract value in the whole year is less than 50000 –No TDS is
to be deducted.
6. To create only one code for invoice postings and one code for advance postings (Max codes can be created 99)
7. If the contractor does not have taxable income he for lower rate of deduction or NIL rate of deduction . Company
has to deduct at lower rate or Nil rate –Exemption certificate will be given by Income Tax Dept for each year.
8. In the bill amount includes material cost and conversion charges – (composite contacts) To deduct TDS only
conversion charges.
9. TDS deducted should be deposited within 7 days from the month end incase of year end credits TDS to deposit
within 2 months from the year end.
If 7th day comes on public holiday –choice to make the payment day before or after.
10. Issue TDS certificate in form 16A to the contractor –It can be a monthly certificate or consolidated certificate for
the whole year.
11. File quarterly return in form 26Q earlier annual return Form 26
12. Permanent Account Number (PAN) will be allotted at company code level where as Tax Deduction at Source
(TDS No./TAN can be obtained at company code level/Business area level/Business places level.
Maintain calendar
Path :SPRO-SAP Net weaver –General settings –Maintain calendar
Select public holidays radio button

Select with fixed date radio button
Day :1
Month :select 05 May day
Short holiday name :May day
Long holiday name :May day
Enter
Ignore the message select Yes button
178
Select back arrow
Select holiday calendar radio button
Calendar ID :A1 (AML HYD Factory Holiday calendar)
Select assign holiday button
Select May day check box
Select assign public holiday button
Save
Select factory calendar radio button
Factory calendar ID :A2
Description :AML HYD Factory calendar
Holiday calendar ID :A1
Work days select Monday to Saturday check boxes
Save
Check withholding tax countries
Path :SPRO-Financial Accounting –Financial accounting global settings-With holding tax-Extended

withholding tax-basic settings-Check with holding tax countries

Country :IN
Withholding tax country :IN
Description :India
Save in account payable customization request
Define withholding tax keys
Same path
Give the country key :In for India
Enter
Official withholding tax :194C
Name :TDS contractors
Save
Define Business places (section code )
Path :Up to extend with holding tax the path is same -Basic settings  India  Define business places
Select new entries
179
Company code :AML
Section code :AMLF
Name :AML HYD factory
Save
Give the name :AML HYD Factory
Assign factory calendars to section code (Business places)

Same path
Company code :AML
Section code :AMLF
Factory calendar ID :A2
Rule :select day before
Save
Define business place
Path: Form the menu select System –Services –Table maintenance –Extended table maintenance (Tr cod is
SM30)
Table/view :J_1BBRANCV
Select maintain button
Enter
Business place :AMLF
Description :AML Hyderabad factory
Save
Give the name :AML Hyd factory
Assign section code to business place (Tr code is SM30)
Table /View :V_seccode

Enter
For section code :AMLF
Business place :AMF
Save
Define withholding tax type for Invoice posing:

180
Path: Up to Extended with holding tax the path is same –Calculation –With holding tax type –Define with
holding tax type for invoice posing
Give the country key :IN

Enter
With holding tax type :D1
Description :section sec 194C contractors Invoice posting
Select gross amount radio button
Select with holding tax commercial rounding radio button
Select post with hold tax amount check box
Select no accumulation radio button
Save
Define withholding tax for payment posing
Same path
Enter
With holding tax type :DA
Description :Sec 194 C contractors –Advance posting
Select gross amount radio button
Select withhold tax commercial rounding radio button
Select no accumulation radio button
Select post with holding tax amount check box
Select central invoice propitiate radio button
Why to select central invoice proportionate for advance payments
2.266%
1. Advance payment F-48 20.11.2008
Party special GL (A) Dr 100000
To Bank 97734
To TDS (To deposit before 07.12.2008) 2266
2. Purchase invoice posting F-43 14.12.2008

Conversion charges Dr 300000
To party 293202
To TDS (to Deposit before 07.12.2009) 6798
3. Transfer of advance from special GL to normal by clearing special GL -54 14.12.2008

Party Dr 97734
TDS Dr 2266 auto debit
181
To Party special GL (A) 100000
TDS payable on 07.12.2008 on 07.12.2008 2266

TDS payable on 07.12.2009 4532
(6798-2266)
Define withholding tax codes
Path :Up to extend with holding tax the pat is same –Calculation  With hold tax codes  Define with
holding tax codes

Enter
With hold code :D1
Description :section 194C contractors Invoice (2.266%)
Official with holding tax :section 194 C
Base amount percentage subject to tax :100
With holding tax rate :2.266%
Posing indicator :selection 1 (standard posting :Bank /Vendor /Customer line item reduced
Save
Select back arrow
Select with holding tax type :D1
Change with holding tax type :D1 to DA
Change with hold tax code :from D1 to DA
Description :sec 194 C (contractors –Advance 2.266% )
Enter and Save
Check recipient type
Path :Up to extended with hold tax the path is same –Basic settings –Check recipient types
Give the country key :In for India

Enter
Recipient type :CO
Text :company
One more
With holding tax type :DA
Recipient type :CO
Text :Company
182
Save
Maintain tax due dates
Path :Up to extend with holding tax the path is same –Basic settings –India  Maintain tax due dates

Country :IN
Official with holding tax key :194C
Recipient type :CO
No.of days unit tax due date :777
Save
Assign withhold tax types to company code
Path :Up to Extend with holding tax the path is same –company code  Assign with holding tax types to
company code

Company code :AML
Withholding tax type :D1
Recipient type :CO
Select with hold tax agent check box
Withholding tax obligated firm :01.04.2008
Obligated to with hold tax until :31.03.2009
Save
Select back arrow
Select company code AML with tax type D1
Change the With holding tax type to DA
Enter & Save
Activate extended withholding tax :

Same path
Enter
For company code AML select extended with holding tax check box
Save
Combined with holding tax code
Path : up to Extend with holding tax the path is same –Calculation –India –surcharges –Maintain surcharge
rates (Surcharges combined with basic withholding tax codes)
183
Company code :AML
Withholding tax code :D1
Recipient type :CO
Surcharge rate :10
Company code :AML
Withholding tax code :DA
Recipient type :CO
Surcharge :10
Save
Creation of 2 GL masters (FS00)

1. Conversion charges under manufacturing group
2. TDS on contractors under Current Liabilities & Provision group
FS00

Company code :AML
Give the GL A/c :400100 Salaries A/c
Company code :AML
Enter
Change the A/c group to manufacturing expenses
Change short text and GL A/c long text to Conversion changes
Save
One more
Give the GL Account no. :100510
Company code :AML
Give the GL A/c No.100500 out standing exp.
Company code :AML
Enter
Change short text and GL account long text to TDS on Contractors
Save
Assignment of accounts for Automatic postings:
Path :Up to Extended with holding tax the path is same –Posting –Accounts for withholding tax –Define
accounts for withholding tax to paid over

Enter
Select with holding tax code check box
184
And with withholding tax type check box
Save
Withholding tax type :D1
Account :100510
Withholding tax type :DA
Account :100510
Save
Maintain company code settings
Path :SPRO-Logistic- General –Tax on goods movement –India –Basic settings –Maintain company code
settings

Give the company code AML and Save
Specify document type for remittance challans
Remittance challans TDS on contractors
1 CO 1000 (Company)
2 OT 2000 (Individual)
3 CO 3000
4 CO 4000
5 TO 5000
When we make TDS payment –we have to prepare two challans

1 for Companies
2 for Individuals
In remittance challan screen
recipient type Company (CO)

1 CO 1000
3 CO 3000
4 CO 4000
TDS on contractors Dr-With Clg 8000 GL

To Bank 8000 GL
Doc .Type :SA
Path :Up to Extended with holding tax the path is same –Posting –India –Remittance challans –Document types
–Specify document type (Accounts payable)

Company code :AML
Remittance challan document type :SA
Save
185
Maintain number groups:
Same path
Company code :AML
Section code :AMLF
Official withholding tax key :194C
Number group :08
Save
Assign number ranges to Number groups: ( Tr code is J1INO)
Same path

Internal number range group :08
Internal challan :08
Save
Maintain number ranges:(Tr code is J1INUMBER)
Same path
Select maintain groups button

Select group without tax having 08 check box
From the menu select Interval  Maintain
Enter
Year :2008
From no. :1
To number :100000
Enter & Save
Assign remittance challan number group to Business place
Tr code is (SM30)
Give the Table /View :J_1IEWTNUMGR

Company code :AML
Business place :AMLF
Official with holding :194C Tax key
Number group :08
Save
186
Assign remittance challan number group to section code :(SM30)
Table /view :J_1IEWTNUMGR_1

Company code :AML
Selection code :AMLF
Official withholding :194C Tax key
Number group :08
Save
Maintain number groups and SAP script forms
Path :Up to Extend with holding tax the path is same –Postings –India –Withholding tax certificates for Vendors
and Customers –Maintain number groups as SAP script forms

Company code :AML
Section code :AMLF
Official withholding tax key :194C
Form :J_11EWT_CERT
No group :09
Save
Assign number ranges to number groups
Same path
Number group :09
Internal number range :09
Save
Maintain number ranges
Sam path
Select maintain groups button
Select group without text having 09 check box
From the menu select interval maintain
Company code :AML
Enter
Year :2008
From number :100001
To number :200000
187
Enter & Save
Assign withholding tax code in Vendor master
Path :Accounting –Financial accounting –Accounts payable –Master records-Maintain centrally –change (Tr
code is XK02)
Give the vendor no. :4200001

Company code :AML
Select with hold tax check box
Enter
Give the withhold tax country :IN (India)
Select liable check box
Recipient type :CO
Withholding tax type :DA
Select liable check box
Recipient type :CO
Select CIN details button
Select withholding tax tab
Give the PAN of vendor :AP4C12345C
Select back arrow
Save
END USER AREA
Conversion charges posting (F-43)
Document type :Today’s date

Type :KR
Company code :AML
Posting key :31
Enter
Business area :AMLH
Business place /section code :select AMLF
Enter
Text :Conversion charges posting
Posting key :40
Account :400200 conversion charges account
188
Enter
Conversion charges
Option 1 Option 2 Option 3

If the bill value is less than If the value consists of If the bill amount is only for
20000 and whole year contract material 30000 and conversion conversion charges
value is less than 50000 charges 70000
No TDS A) For D1 with –holding tax A) Remove DA
base amount enter 70000
TDS will be deducted on
70000
Remove D1 and DA B) Remove DA
Remove with hold tax code :DA

Enter
Amount :*
Business area :AMLH
Text :+
From the menu select Document  Simulate and Save
Note : If you get a error message once check it Activate extended withholding tax / Document splitting
Create remittance challan
Path :Accounting –Financial accounting –Accounts payable –With holding tax –India –Extended with holding tax
–Remittance of withholding tax-Create remittance challan (Tr code is J1INCHLN)
Company code :AML

Fiscal year :2008
Business plane/ Second code :AMLF
Posting date :01.01.2009 to 31.01.2009
Section :194 C
Recipient type :CO
Bank account :200105 SBI CA
Execute (F8)
Enter
Business area :AMLH
Text :Conversion charges amount
Double click on all open items (by default one rupee can not see in SAP zero)
Select document overview button
Double click on the line item
SBI current A/c with one rupee
Amount :*
Save
Select clearing document button
Select back arrow
189
Enter Bank challan
Path: Same path ( Tr code is J1INBANK)

Fiscal year :2008
Challan clearing number :select document no.37
(Once we select challan clearing number, Internal challan number and internal challan date will be update automatically)
Base challan no . :789
Bank challan date :07.02.2009
Bank key :select SBI
Execute
Print TDS Certificate
Path :Up to extend with holding tax the path is same –Certificates –Print (J1INCERT)
Company code ;AML

Fiscal year :2008
Business area /Section code :AMLF
Section :194C
Posting dates :01.04.2008 to 31.03.2009
Bank challan dates :01.05.2008 to 30.04.2009
Certificate date :30.04.2009
Signatory :Mr X
Designation :Manager
Place of printing :Hyderabad
Execute
Select print button
Output device :LP01
Select print button
To view the print out
From the menu select –System –Services –Output control

Select spool no.check box
Select display contents button
Quarterly return
( Tr code J1INQEFILE)
Path for Entering acknowledgement numbers.
In TDS certificate we have to specify acknowledgment number for each quarterly return field.
Path :System –Service –Table maintenance –Extended table maintenance (Tr code is SM30)
190
Table /View J_1IET_ACKN_N

Company code :AML
Year :2008
Section code :AMLF
Period :select second quarter
ACK No. :123
Save
Note: Quarterly return not working in pirated software’s patches updated in genuine SAP software
Advance posting:
1. Advance payment posting F-48
15.12.2008 50000 1133 TDS to deposit before 07.01.2009

2. Conversion charges posting F-43
02.01.2009 200000 4532
3. Transfer of advance from special GL to normal by clearing special GL F-54

02.01.2009 1133 Auto debit will come before 07.02.2009 to deposit 4532-1133=3399
191

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SAP FI NOTES

PARTICULARS Page No.

House Bank 106

Bank Reconciliation Statement (BRS) 228

SAP stands for System Application and Products in data Processing

ECC stands for ERP Central Component

SAP was released in 1972 – It head quarters in Germany

It will facilitate free flow of data among the departments.

1990 – SAP R/3- R/3 stands for

Areas to be covered under FI /CO

Cross company code transactions:

What are difference between SAP EE 4.7 and ECC 6.0?

SAP EE 4.7 SAP ECC 6.0

Role of FI /CO Consultant

How to Open SAP

Open: Double lick on SAP Logon Icon

Double Click ECC 6 Server

In the implementation SAP

The consultant they do the customization in development client

Some companies they will give 3 clients:

Client: 800/000/810 – You can copy and give any number

User: Cost of package will depend on the no.of users licenses.

Password: The length of password – Min3 – Max 8

• Money is the password.

Aravind Group Wipro

Aravind :Core Team As is Process _What Is Requested From SAP

Wipro :To Be Process What Should Be Done In SAP

Wipro Customization - Transport Request

Aravind Core Team - Testing

Production client is live client where we enter day to day transactions.

We will not get any mistakes in the development client customization.

Development Client Testing quality Client Production Client

Aravind Core Team -> Testing

User : Cost of package will be based on number of user licenses

User Id Creation Is The Job of BASIS Administrator

SAP User: It Is Not Case sensitive (Capital Letters Or Small Letters)

Password: Password Is Case Sensitive (From Ecc 5 Onwards)

Length of Password: Minimum 6 Maximum 40

"We can use alphabets, Numerical, alphanumeric, special characters-like"

Not possible to change password more than once in a day.

System will not permit to use latest previous 5 passwords

EG: 1.09.2008 ABC123

Password can not be restored

If we user id : The menu will be in German

Now open SAP

Select and choose the radio button depend on necessity.

In training institutes we have to select 2nd radio button

1st raw is called menu bar

2nd raw is called standard tool bar

How to create a new session?

Path: From the menu bar - Select system- Create session

To move from one session to another session (alt+tab)

How to end session?

Path :From the menu bar - select system- End session

To view which version we are using?

Path : From menu bar - Select system- Status-Sap system data

We want posting of transaction.

To go back to SAP easy access screen:

Use: /n in command field and press enter.

For Posting Transaction:

After posting we want to view the ledger.

./O for create

How to activate transaction codes in sap menu?