What is ‘Iterative Processing’ of Cycles?

‘Iterative Processing’ is nothing but the repetitive processing

of sender/receiver relationships until the sender’s entire cost is transferred to the receiver(s). During
iterative processing, you will not be able to use ‘fixed amounts’ as the ‘sender rules’; you will also
not be able to define a percentage to remain on the sender. You will be able to use both plan and
actual data while using the iteration