Sap - Financial Module - V1.0

SAP | Financial Module
Module Analysis Document

Version: 1.0
Creation Date: 20 – 03 - 2022
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Table of Contents
5.............................................................................................. Introdution .1
5..................................................................... Document Purpose 1.1
5.............................................................................. Stakeholders 1.2
6..................................................................................... Financial Module .2
6....................................................................... Chart of Accounts 2.1
7................................................................. Creating G/L Accounts 2.1.1
Changing, Moving, and Deleting G/L 2.1.2
9 Accounts
11............................................... Chart of Accounts Windows 2.1.3
20............................................................................ Journal Entry 2.2
20..............................Creating Journal Entries Manually 2.2.1
Preparing a Microsoft Excel Import 2.2.2
32 File for Journal Entry
39...................................................................... Journal Vouchers 2.3
39.........................................Adding New Journal Vouchers 2.3.1
41...................................................... Posting Journal Vouchers 2.3.2
42..............Deleting Entries from Journal Vouchers 2.3.3
43............................................... Removing Journal Vouchers 2.3.4
45..................................................................... Posting Templates 2.4
45................................................ Creating Posting Templates 2.4.1
Creating Journal Entries Based on 2.4.2
47 Posting Templates
48............................................ Removing Posting Templates 2.4.3
50...................................................................... Recurring Posting 2.5
50..........Setting Templates for Recurring Postings 2.5.1
51........Executing Instances of Recurring Postings 2.5.2
52........................................... Removing Recurring Postings 2.5.3
56................................................................. Reverse Transactions 2.6
56........................................... Posting Reverse Transactions 2.6.1
58......................................................... Exchange Rate Differences 2.7
Generating Exchange Rate Differences 2.7.1
58 Report
Posting Exchange Rate Differences 2.7.2
59 Transactions
63.............................................................. Conversion Differences 2.8
.. .Posting Conversion Differences Transactions 2.8.1
63
67........................................................ Financial Report Templates 2.9
Creating Financial Report 2.9.1
67 Templates Based on Existing Templates
69.......................Creating Financial Report Templates 2.9.2
75.................................................................... Document Printing 2.10
76..................Document Printing - Selection Criteria 2.10.1
78..................................................... Print Documents Window 2.10.2
79............................Printing Documents Automatically 2.10.3
80............................................................. Journal Voucher Report 2.11
81.................................Journal Voucher Report Window 2.11.1
82......................................................... Working with Fixed Assets 2.12
83..................................Upgrade of Fixed Assets Add-On 2.12.1
83................................................................. Enabling Fixed Assets 2.12.2
85......................Defining and Assigning Asset Classes 2.12.3
136................................................................ Creating Fixed Assets 2.12.4
137....................................................................... Asset Transactions 2.12.5
164.......................Asset Depreciation Forecast Report 2.12.6
168..................................................................... Asset History Sheet 2.12.7
171..................................................................... Asset Status Report 2.12.8
173..................................................... Asset Transaction Report 2.12.9
Importing Fixed Asset Master Data 2.12.10
179 from Microsoft Excel
183.....Importing Data from Fixed Assets Add-On 2.12.11
187............................Working with Virtual Fixed Assets 2.12.12
190................................................................................... Budget 2.13
190.......................................................................... Budget Scenarios 2.13.1
192.........................................Budget Distribution Methods 2.13.2
194................................................................... Defining the Budget 2.13.3
200...................................................................... Cost Accounting 2.14
200................................................... Working with Dimensions 2.14.1
Working with Cost Centers and 2.14.2
200 Distribution Rules
209............................................. Working with Accrual Types 2.14.3
2.14.4
Recording Differences Between Financial Accounting and Cost Accounting – Example
209
211...................................................... Cost Accounting Reports 2.14.5
218.................................................. Cost Accounting Windows 2.14.6
234.................................................................... Financial Reports 2.15
235........................................................................ Electronic Reports 2.15.1
237.......................................................................................... Accounting 2.15.2
272................................................................................................. Financial 2.15.3
293......................................................................................... Comparison 2.15.4
Budget.......................................................................................................... 2.15.5
302
310...................Support for IFRS in SAP Business One 2.15.6
324..................................................... Cash Flow Forecast Window 2.16
325...................................................................... Configuration Area 2.16.1
328..................................................................... Company Overview 2.16.2
330.......................................................... Business Object Details 2.16.3
1. Introdution
1.1 Document Purpose
Documenting SAP | Financial Module functionalities, their

purposes, and how to use each of them.
This will help the target audience explore what can be achieved
using SAP, and become more familiar and confident using
Financail Module capabilities. Which will have a direct impact on
the organization as a whole.
1.2 Stakeholders
 IT Department
 Financial Department
 Sales Department
 Purchase Department

2. Financial Module
This module:
 Includes all functions and reports required for the accounting and financial
operations of the company
 Includes all tax-related reports according to the regulations in each country
 Enables you to document all financial and accounting-related transactions
2.1 Chart of Accounts

Setting Up and Working with G/L Accounts
The setting up of financial accounting occurs when SAP Business One is first
implemented. During implementation, your partner, tax advisor, and accountant
follow GAAP and country or state regulations to set up financial accounting.
Once you have determined your financial or posting periods and account segments,
if any, you create your chart of accounts. A chart of accounts lists all of a company's
general ledger (G/L) accounts and is the basis for its reporting and posting
activities.
Drawers, Titles, and Active Accounts
Accounts are organized hierarchically according to drawers, titles, and active
accounts. The organization of the chart of accounts follows GAAP in which there is
a separate “drawer” for accounts representing assets, liabilities, equity, revenues,
cost of sales, expenses, financing, and other revenues and expenses (see level 1 in
the figure). Within each drawer, you organize your accounts by level in a logical
fashion appropriate to your financial accounting processes. Drawers are the
organizational units on the top level. You cannot change the predefined drawers
provided with SAP Business One, but you can rename them as needed. To rename
the drawers, proceed as follows:
1. From the SAP Business One Main Menu, choose Financials Chart of
Accounts. The Chart of Accounts window opens.
2. On the right side of the window, select the drawer you want to rename.
3. In the chart of account list in the middle of the window, select the top line
that represents the drawer.
4. On the left side of the window, in the Name field, specify a new name and
update.
Every G/L account is defined as either a title account or an active account. A title
account groups together all of the active accounts below it (see level 2, 3, and 4 in
the figure). In financial reports, a title summarizes all of the balances of each active
account below it. Active accounts contain postings of transactions (see level 4 and
5 in the figure). You can differentiate titles and active accounts by their text color:
titles appear in blue, active accounts appear in either green or black. Green
accounts are control accounts that have been defined as default G/L accounts for
automatic posting of transactions in SAP Business One. Black accounts are those
active accounts that have not been selected in G/L account determination. For
more information, see G/L Account Determination.
The number of levels in your chart of accounts may depend on your localization
and common business practices. Some countries have a legally required number of
levels.
SAP Business One provides predefined charts of accounts for individual countries
based on local requirements. Discuss with your partner which predefined chart of
accounts to use, and what additions and adjustments are necessary for your
company.
Setting Up and Working with G/L Accounts
1- Create accounts.
You create most accounts during initialization and setup, often as additions to a
predefined chart of accounts. However, you may wish to add a new account from
time to time. For example, if your company incurs a new kind of operating cost due
to the introduction of new technology, you will add a new expenses account. Or if
your company opens a new bank account, you will need to reflect this in your chart
of accounts.
For more information, see Creating G/L Accounts.
2- Edit account details or move accounts within the chart of accounts, as needed.
For more information, see Changing, Moving, and Deleting G/L Accounts.
3- Delete any unnecessary accounts.

For more information, see Changing, Moving, and Deleting G/L Accounts.
4- Check G/L account balances. If necessary, check the balances of individual business
partners.
For more information, see Checking G/L Account Balances.
2.1.1 Creating G/L Accounts

You can create G/L accounts manually or, if you use account segments, you
can generate them automatically.
Use automatic generation for the following purposes:
 To create active accounts from a combination of different segments
Active accounts are accounts in the chart of accounts to which journal
entries are posted.
Segments represent the specific business units, such as company,
division, region, department, group, or categories, such as travel
expense, box office revenue, product line, and so on, that you want to
track.
Automatically generated accounts are based on a combination of
different segments.
 To create a specific G/L account simultaneously in several different
account groups, for example, departments
Procedure
Manually Creating a Title or an Active Account
1. From the SAP Business One Main Menu, choose Financials Chart of
Accounts.
2. The Chart of Accounts window appears.
3. Select the drawer to which you want to add the account.
4. In the list of accounts, click at the level where you want to add the
account.
5. In the menu bar, switch to Add mode by choosing Data Add.
6. In the G/L Account field, enter a unique code and then specify all
other relevant data.
7. Choose Add.
8. The new account is added at the specified level of the selected
drawer, as the last account on that level. If you have not specified a
default, it is created as an active account at level two.
Note
As long as no transactions have been posted, you can change any
details/parameters in the Edit Chart of Accounts window.
You can also create an account in the Edit Chart of Accounts window.
Automatically Generating a G/L Account

Prerequisites
 Account segmentation is allowed for your country or state.
 The option Use Segmentation Accounts is selected
in Administration System Initialization Company Details on
the Basic Initialization tab.
Note
Once a single journal entry has been posted, you can no longer change the
selection for this option.
Procedure
1. From the SAP Business One Main Menu, choose Financials Account
Code Generator.
2. In the Account Code Generator window, specify the required
information.
3. In the Segment Codes – Selection Criteria window, specify the
selection criteria for the segment codes.
4. In the Account Code List window, make the necessary settings and
choose Add.
5.
2.1.2 Changing, Moving, and Deleting G/L Accounts
In the normal course of business, it is not uncommon to have to adjust the
chart of accounts from time to time. In SAP Business One, you can make
changes to the chart of accounts, and change, regroup, or delete existing
accounts.
Examples
 One of your banks changes its name, so you update its name in the
corresponding G/L account.
 You originally created an account that was then never used, so you
decide to delete it.
 You need to reorganize your subsidiary’s accounts, based on new
instructions from the mother company.
Procedure
Changing a G/L Account
1. From the SAP Business One Main Menu, choose Financials Edit Chart of
Accounts.
2. In the Chart of Accounts window, select the account and make your
changes.
3. To save these changes, choose Update.
4. If required, choose Account Details, make changes in the G/L Account
Details window, and choose Update.
Moving a G/L Account
Note
Moving a parent account also moves its sublevel accounts.

Accounts.
2. Do one of the following, and choose OK.
 To change the location of accounts within a drawer, select the
relevant drawer.
 To move accounts between drawers, select the relevant
drawers.
The Edit Chart of Accounts window appears, listing the accounts included
in the selected drawer(s).
3. Select the account you want to move.
Note
 To find an account, press CTRL + F, enter its code and/or name
in the Find Account window, and choose OK.
 The G/L Account Location section displays the current location

parameters.
4. In the Drawer, Parent Article, and Loc. in Drawer fields, specify the

target location of the account.
Note
 The options in the G/L Account Location fields depend on
the selections made in the Edit Chart of Accounts –
Selection Criteria window.
 The account moves to the specified location.
5. To save the change, choose Update.
Deleting G/L Accounts

Prerequisites
 No transactions have been posted to the account, including the opening
balance.
 The opening balance has not been posted to the account.
 The account is not defined as a control account.
 The account is not included in G/L account determination.
Procedure
Accounts.
2. In the Edit Chart of Accounts - Selection Criteria window, select the
required drawers and choose OK.
3. Select the account you want to delete.
4. From the menu bar, choose Data Advanced Delete Account.
Checking G/L Account Balances
Procedure
1. From the SAP Business One Main Menu,
choose Financials Chart of Accounts.
2. Choose an account and click the arrow next to Balance.
3. The Account Balance – <account title> window appears.
4. To display business partner codes in the account balance,
choose and select the Visible option for the BP/Account
Code column.
Note
You can also check the account balance of an individual
business partner from the Business Partner Master
Data window.
2.1.3 Chart of Accounts Windows
Use the following windows to set up and work with the chart of accounts:
2.1.3.1 Chart of Accounts Window

Use this window to define a chart of accounts for your company or
organization.
To open the window, choose Financials Chart of Accounts.
Chart of Accounts Window
Title, Active Account
After you have defined the G/L account code, you classify each G/L account as
either Title or Active Account. An active account contains postings of
transactions. A title account groups together all the active accounts below it.
For an active account to be summarized at title level in financial reporting, it
must be assigned accordingly in the chart of accounts hierarchy.
You can differentiate titles and active accounts by their text color: titles
appear in blue, active accounts appear in either green or black. Green
accounts are control accounts or accounts that have been defined as default
G/L accounts for automatic posting of transactions in SAP Business One. Black
accounts are those active accounts that have neither been selected in G/L
account determination nor control accounts.
G/L Account
Enter an alphanumeric code of up to fifteen characters (letters, numbers or a
combination of both) for the account.
Name
Specify an account name of up to 100 characters.
External Code
Define an additional code for sorting purposes. The additional code is
informational only and allows you to refine queries (customized reports).
Currency
The account currency is the currency in which all journal entries for that
account are recorded. By default, the currency is defined as All Currencies.
In an all currencies account, transactions can be executed in a foreign currency
without the account’s foreign currency balance having any significance.
Therefore, the account can accept journal entries in different currencies.
Example
A foreign sales account can be used for every sale abroad, even
though the sales are in different currencies. Accounts are then settled
with these customers in their account currency (an American
customer buys in US dollars). However, the revenue account
accumulates revenue from all the various currencies. Since this
account is not a debit/credit account, its updated foreign currency
balance is not relevant, and you refer only to its LC (local currency)
balance.
If you work with a number of countries but use only one revenue account,
define this account as All Currencies.
If the account currency is defined as a foreign currency, all postings in this
account are recorded in both the local currency (as required by law) and in the
defined foreign currency.
If you define a foreign currency account and record transactions for it, you
cannot later change the account currency or perform transactions in any
currency other than the defined account currency.
Accounts defined as foreign currency accounts are usually foreign bank
accounts, and so on.
A foreign currency account has two balances: a local currency balance and the
account currency balance.
Confidential
Defines certain accounts as confidential, preventing unauthorized users
(according to defined permissions) from using them or viewing their activities
in the system.
Level
Define the level of the account.
 Level 1 is the drawer level, so you cannot define an account or a title
as Level 1.
 Level 2 to 9 are for either titles or accounts.
 Level 10 is for active accounts only.
The number of levels in your chart of accounts may depend on your
localization and common business practices. Some countries have a legally
required number of levels.
Balance
The account balance displayed in the currency defined for the account, after
various journal entries have been recorded.
Note
If the account is defined in a foreign currency, select LC from the field
dropdown list to display the balance in local currency.
Account Type
You can define the account as a revenue account or as an expense account or
as a different type of account (“other”).
Control Account
Defines this account as a control account. Control accounts are linked to
business partners and reflect their activities in the financial reports. Only
accounts defined in the Assets and Liabilities drawers can be defined as
control accounts. Control accounts appear in the chart of accounts in green.
Note
Once the account has any transaction posted to it, you cannot change
the status by selecting or deselecting the checkbox.
Cash Account
This checkbox appears in the first three drawers that include the balance sheet
accounts, and defines an account as a monetary account.
Cash flow statements refer only to monetary accounts. SAP Business
One defines the following as monetary accounts: cash funds and bank
accounts (current and short-term deposits).
Note
An account cannot be defined as indexed and monetary at the same
time. Therefore, selecting the Indexed Account option automatically
clears the Monetary Account option and vice versa.
Indexed
Defines an account as indexed.
SAP Business One revalues only indexed accounts when performing valuations
of financial statements to an index. Indexes are defined
in Administration Exchange Rates and Indexes.
Reval. (Currency)
Select this box for companies whose defined currency is not the local
currency.
Selecting this box enables you to:
 Generate a conversion differences report for the account.
 Produce an automatic differences reconciliation to adjust the balance
of the account in the system currency to the balance in the account
currency.
Primary Closing Account
Assign an account as the primarily selected period-end closing account.
Note
This feature is not available in the following localizations: Austria,
Belgium, Chile, Costa Rica, Czech Republic, Spain, France, Guatemala,
Hungary, Italy, Mexico, Portugal, Slovakia, Argentina and Turkey.
Note
This field appears only for those accounts related to the P/L accounts that
are included in the Period-End Closing - Selection Criteria window.
Cash Flow Relevant
Specify G/L accounts that are cash flow relevant. The objective of the
assignment process is to generate the Cash Flow report.
Note
This field is visible only for active accounts at the asset level.
Project
If required, select the checkbox to set the G/L account as relevant to project. If
required, you can further choose , and in the List of Projects window, select a
default project.
You can change the checkbox status and the default project field at any time.
Note
For G/L accounts relevant to project, SAP Business One performs actions,
defined on the Cost Accounting tab of the General Settings window,
under Administration System Initialization General Settings, for
postings in which such G/L accounts are without project assignment.
Distribution Rule
 If you did not select the Use Multidimensions checkbox on the Cost
Accounting tab of the General Settings window,
under Administration System Initialization General Settings, the
section displays one checkbox and one default distribution rule field.
 If you selected the Use Multidimensions checkbox, the section
displays checkboxes and their default distribution rule fields for the
active dimensions.
Only active dimensions are displayed. You can set the active status of
dimensions in the Dimensions window under Financials Cost
Accounting Dimensions.
If required, select one or more checkboxes to set the G/L account as relevant
to distribution rules of corresponding dimensions. If required, you can further
choose , and in the List of Distribution Rules window, select a default
distribution rule for the corresponding dimension.
You can change the checkbox status and the default distribution rule field at
any time.
Note
Distribution rule fields are displayed only for G/L accounts of
type Sales or Expenditure.
Note
For G/L accounts relevant to distribution rules, SAP Business
One performs actions, defined on the Cost Accounting tab of the General
Settings window, for postings in which such G/L accounts have no
distribution rule assigned to the selected dimensions.
Account Details
Opens the G/L Account Details window in which you can define and add more
information pertaining to the account
2.1.3.2 G/L Account Details Window

Use this window to display or change the data of a specific account.
To open the window, choose Financials Chart of Accounts. Then select the
required account and choose Account Details.
G/L Account Details
G/L Account, Account Name
Read-only account code and name, as defined in the Chart of
Accounts window.
Foreign Name
Name that appears in several reports (on screen and in printed reports)
when Display Foreign Names is selected in the selection criteria window of
the report.
Code for Exporting
Additional code for the account, used only when exporting transactions
from SAP Business One to another software.
Project
Specify whether to relate the account to one of the projects defined in SAP
Business One.
Details
Specify additional details regarding the account.
Default Tax Posting Account
Select default account for tax posting. The options are:
 Sales Tax Account
 Purchase Tax Account
Default Tax Code
Specify the tax code to be used by default when a manual journal entry is
created (including any journal entry that is based on a posting template or a
recurring posting). If you have left the Default Tax Posting Account field
empty, this field is disabled.
Category
The Category fields are available for active accounts only. If required, specify
the category of the account.
1. In the first field, from the dropdown list, choose the category of the
account, as follows:
o Balance Sheet – Specify the account as a Balance Sheet
account.
o Profit and Loss – Specify the account as a Profit and Loss
account.
o Trial Balance – Specify the account as a Trial Balance
account (predefined and closed list of options available
only).
o Other – Specify the account category as Other if it is
neither a Balance Sheet account nor a Profit and Loss
account.
If the field is left empty, the account does not belong to any category
and you cannot specify a subcategory for it.
2. In the second field, from the dropdown list, choose the subcategory
of the account. Proceed as follows:
o If there is no relevant subcategory in the dropdown list,
define a new one to which you want to assign the
account.
o If there are relevant subcategories in the dropdown list,
specify one for the account.
If the field is left empty, the account does not belong to any
subcategory.
For certain countries you may find additional information in the country-
specific online help file under: Help Documentation Country-Specific Info.
Planning Level
If required, specify the planning level for use in the B1iSN integration
scenario Liquidity Forecasting. The planning level is a source of planning data
used to process the liquidity forecasting report in SAP ERP.
Branch
Select a branch to which you want to assign the account.
Note
This field is available only if you have enabled multiple branches.
Active
Enables you to determine an active date range for the account:
 From...To... – Specify the date range.
 Remarks – Specify a relevant comment.
Note
If a user tries to add a journal entry, for example, on a date that exceeds
the defined range, the remark appears in an error message.
Account Balance Allowed
Defines in local currency the amount range of the account balance for any G/L
account. (You can define only the highest amount, only the lowest amount,
both amounts, or neither amount.)
Remarks Template
You can predefine texts here as templates for remarks in journal entries either
manually created or generated by documents whose remarks are defined in
the Reference Field Links setup form.
On Hold
Enables you to deactivate an account for a determined period of time.
 From...To... – Specify the date range during which the account
cannot be used.
 Remarks – Specify a relevant comment.
Note
If you try to add a journal entry on a date within the defined range, the
remark appears in an error message.
Cost Accounting Adjustment Only
Available only when the account category is not Other.
If the checkbox is selected, the G/L account can be used in the Journal Entry
for Cost Accounting Adjustments only.
Allow Multiple Linking to Financial Templates
Lets you link this account more than once within the same financial template.
This is useful, for example, if you need to include the debit and the credit sides
of an account rather than the overall balance, one side in the assets section
and the other side in the liabilities section of the balance sheet.
If you do not select this checkbox, the application issues a warning message
but you are not prevented from including the account more than once.
Relevant to Budget
Enables you to define budgets for the account.
Note
Only available if Budget Initialization is selected
in Administration System Initialization General Settings Budget.
Exchange Rate Differences
Includes the account in the automatic creation of exchange rate differences
transactions.
Rate Conversion
Includes the account in the automatic creation of rate conversion transactions.
Balance Sheet Categories - Setup Window

Use this window to define new subcategories that can be linked to Balance
Sheet accounts.
To open the window, choose Financials Chart of Accounts Account Details. In

the Category fields, choose Balance Sheet in the first field, and then in the
second field, choose Define New.
 Profit and Loss Categories - Setup Window

Use this window to define new subcategories that can be linked to Profit and
Loss accounts.
To open the window, choose Financials Chart of Accounts Account
Details. In the Category fields, choose Profit and Loss in the first field, and
then in the second field, choose Define New.
 Other Categories - Setup Window

Use this window to define new subcategories that can be linked to accounts
other than the Balance Sheet or Profit and Loss accounts.
To open the window, choose Financials Chart of Accounts Account

Details. In the Category fields, choose Other in the first field, and then in the
second field, choose Define New.
Edit Chart of Accounts - Selection Criteria Window
Use this window to specify the selection criteria for an account or accounts
you want to add or edit.
To open the window, choose Financials Edit Chart of Accounts.
After selecting the drawers in which the accounts are located (or are to be
located), you maintain them in the Edit Chart of Accounts window.
Use this window to maintain an account or accounts you filtered in the Edit

Chart of Accounts - Selection Criteria window.
Edit Chart of Accounts Window
G/L Account Details
The account type (title or active), code, name, and level, for the selected
account.
G/L Account Location
Location in the chart of accounts, according to:

 Drawer - Name of the drawer(s) in which the account resides
 Parent Article - Immediate level under which the account is found
You can view all items on this level that are found in this drawer.
 Loc. in Drawer - First, last, or after another account in the drawer.
Add Sub-Level Acct
Adds a lower-level account under the marked account.
Example
Select a Level 3 account, and choose Add Sub-Level Account to create a
new account on Level 4 or 5. The selected account becomes the parent
article of the new account.
Note
This button displays only if the option Use Segmentation

Accounts is not selected on the Basic Initialization tab
in Administration System Initialization Company Details.
Add Same-Level Acct
Adds an account on the same level as a selected account, under the same
parent article.
Note
This button exists only if the option Use Segmentation

Accounts is not selected on the Basic Initialization tab
in Administration System Initialization Company Details.
Account Code Generator Window
Use this window to have active accounts generated automatically from a
combination of different segments. These segments represent the specific
business units or activities that you want to track.
The following prerequisites must be fulfilled:
 Account segmentation is allowed for your country or state.
 The option Use Segmentation Accounts is selected
To open the window, choose Financials Account Code Generator.
Account Code Generator Window
G/L Account Details
For all G/L accounts to be created, define the following:
 Natural Account – Number of characters is limited to the value of
the Size field in the Account Segmentation - Setup window for the
first segment: Natural Account
 Account Name – String you enter here, plus a suffix from the short
name of every segment
 Currency – Specify the appropriate currency
 Level – Specify the level in the chart of accounts
 Drawer: Specify the chart of accounts drawer to which to add the
G/L accounts.
 Parent Article: If you create G/L accounts in Levels 3 to 5, you can
set the appropriate title in the drawer to which the accounts are
added. The drop-down box displays titles from one level below the
value you set in Level of G\L Account Details.
Example
When you select 3 in the Level field, the Parent Article field
displays titles from Level 2 of the selected drawer.
G/L Account Properties
The fields from the Chart of Accounts window appear according to the
selected drawer.
Division, Region, Department
Choose the button for each segment to open the Segment Code – Selection
Criteria window, where you select the required codes from each segment to
be included.
Note
You must use all the segments defined in SAP Business One when you
create new G/L accounts.
Segment Codes - Selection Criteria Window
Use this window to specify selection criteria for the segment codes from which
you want to generate active accounts. Segment codes are numbers that
represent the specific business units or activities you want to track.
The following prerequisites must be fulfilled:
 Account segmentation is allowed for your country or state.
 The option Use Segmentation Accounts is selected
To open the window, choose Financials Account Code Generator, and then
choose the button next to the Division, Region, or Department option.
Selection Criteria
Choose
Includes the accounts defined under this segment in your selection criteria.
Code
These columns display identifying details regarding the segments defined
in SAP Business One.
Account Code List Window
This window displays accounts that you can create in the chart of accounts,
according to the parameters you set in the Account Code Generator Window.
Note
The prerequisites for using this window are that account
segmentation is allowed for your country or state, and that the
option Use Segmentation Accounts is selected
the Basic Initialization tab. If these two conditions are not true, you
cannot use this window.
Account Code List Window
Add
Select the accounts you would like to create.
G/L Account
Code that will be assigned for each new account.
Name
Combination of the specified account name and the short name for the
selected segment codes. Change the name if required.
Currency
Currency code. You can change the currency if required.
Parent Article
Drawer in the chart of accounts. All the accounts will be created according to
the level set in the Account Code Generator window, under the selected title.
Add
Adds the selected accounts to the chart of accounts.
2.2 Journal Entry

Use this function to manually create journal entries for accounts and
.business partners
You can view and create journal entries in expanded or reduced editing
.mode
2.2.1 Creating Journal Entries Manually
Procedure
1. From the SAP Business One Main Menu, choose Financials Journal

Entry.
The Journal Entry window opens in Add mode.
2. In the header fields, enter the relevant transaction information, such

as reference number, dates, and so on.
3. In the table area, enter accounting information, including amounts

and additional details, using a separate row per G/L account or
business partner.
4. After inserting all the rows, ensure that the debit and credit total
amounts are balanced, in local currency, foreign currency and system
currency.
Note
To enable creating unbalanced transactions in foreign currency,
choose Form Settings Document General, and select Allow
Unbalanced Transaction in FC.
5. Choose Add.
Results
The transaction is recorded in the database and affects financial and accounting
reports.
Changing the BP Control Account in Journal EntriesChecking G/L Account Balances
Prerequisites
The transaction is a manual journal entry of type JE (displayed in
the Origin field of the Journal Entry window).
(Context)
You cannot delete journal entries from the database, but you can create a
reversal journal entry that voids the original transaction. Use this procedure
to cancel manual journal entries.
Note
You can reverse journal entries created by documents by creating the
opposite document or a manual journal entry that reflects the reversal.
Procedure

Entry.
2. Display the journal entry you want to cancel.
3. From the menu bar, choose Data Cancel.
The following message appears: Create reversal for this transaction?
4. To continue, choose Yes.
Note
If the selected journal entry has been reconciled, a notification appears
and you can decide whether to continue or not.
The Journal Entry window displays the reversed transaction. The dates

of the new transaction are the same as in the original transaction. If
required, you can change the dates.
Note
The reversed transaction format is determined by the selection made in
the Company Details. If Use Negative Amount for Reverse
Transaction is selected, the amounts in the reversed transaction
appear on the same sides as in the original transaction, but with a
minus sign. If the option is not selected, the same amounts appear on
opposite sides.
5. Choose Add.
Results
The reversed transaction is added to the database. SAP Business
One automatically adds the text (Reversal) – original trans. no. to the
transaction details for reporting purposes.
Cancelling Journal Entries
Prerequisites
The transaction is a manual journal entry of type JE (displayed in

the Origin field of the Journal Entry window).
(Context)
You cannot delete journal entries from the database, but you can create a
reversal journal entry that voids the original transaction. Use this
procedure to cancel manual journal entries .
Note
You can reverse journal entries created by documents by creating
the opposite document or a manual journal entry that reflects the
reversal.
Procedure

Entry.
2. Display the journal entry you want to cancel.
3. From the menu bar, choose Data Cancel.
The following message appears: Create reversal for this transaction?
4. To continue, choose Yes.
Note
If the selected journal entry has been reconciled, a notification
appears and you can decide whether to continue or not.
The Journal Entry window displays the reversed transaction. The
dates of the new transaction are the same as in the original
transaction. If required, you can change the dates.
Note
The reversed transaction format is determined by the selection
made in the Company Details. If Use Negative Amount for
Reverse Transaction is selected, the amounts in the reversed
transaction appear on the same sides as in the original
transaction, but with a minus sign. If the option is not selected,
the same amounts appear on opposite sides.
5. Choose Add.
Results
The reversed transaction is added to the database. SAP Business

One automatically adds the text (Reversal) – original trans. no. to the
transaction details for reporting purposes.
Journal Entry Window
Use this window to display journal entries. The fields in the General

Area section are relevant for the entire journal entry, while the fields in
the Expanded Editing Mode section reflect the data relevant to the
selected row in the journal entry.
To open the window, choose Financials Journal Entry.

Note
This topic documents fields and other elements in this window that
either are not self-explanatory or require additional information.
(General Area)
Series
Displays the default numbering series of the journal entries. Choose
another series if required.
Number
Entry number allocated by the system according to the selected numbering

series.
Due Date, Posting Date, Doc. Date
By default, the posting date is the current date. Change it if necessary. The
due date is the date on which the entry takes place. The document date is
the journal entry date for tax reporting purposes.
Ref. 1, Ref. 2
Specify relevant references for the journal entry, or leave these fields
blank.
Trans. Code
Select a transaction sort code from a previously defined list of codes to help
you find a particular transaction. Choosing a code automatically inserts the
code description as the default setting in the Details field.
Remarks
Enter any relevant information regarding the journal entry.

Note
If the transaction is an incoming payment that has been generated by the
payment wizard, the default display is Incoming Payments - <business
partner code> — <payment run name>.
If the transaction is an outgoing payment that has been generated by the

payment wizard, the default display is Outgoing Payments - <business
partner code> — <payment run name>.
The payment run name is copied from the Payment Wizard, General

Parameters window.
Origin, Origin No., Trans. No.
 The Origin field displays the abbreviated name of the original journal.

If the journal entry was created when you added an A/R invoice, the
abbreviation IN is displayed.
 The Origin No. field displays the number of the document that was
generated by the transaction.
Choose to display the document that generated the transaction.
 The Trans. No. field displays the automatically assigned number of

the journal entry.
Template Type, Template
You can record transactions according to one of the defined posting
templates.
Choose Template Type (percentage or recurring) and in the Template

Code field, select the appropriate template code.
Indicator
Select the relevant indicator code from a list of previously defined codes to
help you find a particular transaction.
Project
You can link a transaction to a previously defined project and use it as

a selection criterion in reports.
 Click the icon to link the transaction to a project in the list of
projects defined for the company.
Revaluation Reporting Exch. Rate
In reports, if you want to revalue the postings in foreign currency with an

exchange rate other than the one defined in the Exchange Rate and
Indexes window, select this checkbox to define the foreign currency and
the exchange rate.
The revaluation is for reporting purposes only and does not affect the
postings values.
Reverse
Enables you to create a reversal transaction for the current journal entry
and define the date on which the reversal transaction should be created.
Adj. Trans. (Period 13)
Enables you to mark the closing entries. If required, you can exclude closing
entries when generating a report.
Branch
Select the branch for which you want to create the journal entry.
Note
This field is available only if you have enabled multiple branches.
Automatic Tax
If this option is selected, once you create a row in the journal entry for a
G/L account for which a default tax group was defined, SAP Business
One automatically creates a row for the tax transaction. The checkbox is
not editable once the journal entry is added.
This option is selected by default if the option Use Automatic

Tax in Administration System Initialization Document Settings Per
Document tab Journal Entry is selected.
Manage WTax
This checkbox is enabled only if the Automatic Tax checkbox is selected.
If you select this checkbox:

 The WTax Amount field and the WTax Liable column are displayed.
 You can enter only one business partner in the journal.
Display in FC, Display in SC
By default, journal entry amounts are displayed in local currency. Select

these options to display the amounts in foreign and/or system currency.
Clear Template
Disconnects a journal entry based on a specific posting template, from that

template.
A message asking whether to clear the table appears. To have all rows of
the journal entry deleted, choose Yes. To keep the journal entry rows while
clearing the Template Type and Template fields, choose No.
Expanded Editing Mode
G/L Acc./BP Code, G/L Acc./BP Name
Selecting the G/L Account/BP Code in the table automatically inserts the

G/L account/business partner name.
Ref. 1
Displays the document number for all the rows in the journal entry, if the
entry resulted from a document such as an A/R invoice, incoming payment,
and so on.
Displays for all the rows, the data specified by the user in the header
field Ref. 1, if the journal entry was created manually.
Ref. 2
Displays different information, depending on the document through which

the journal entry was created:
 Displays the customer/vendor reference number assigned to the

document, if the journal entry resulted from an A/R Invoice, Incoming
Payment, and so on.
 Displays the number of the base document, if the journal entry
resulted from a reversing document (A/R Credit Memo based on A/R
Invoice).
 Displays the data specified in the document header Ref. 2 field, if the
journal entry resulted from an inventory transaction document, such
as Goods Receipt.
 Displays the data specified in the Ref. 2 field of the Opening
Balance or Period-End Closing Settings window, if the journal entry
was created through one of these windows.
 Displays data specified by the user, if the journal entry was created
manually.
Ref. 3
The information displayed here depends on the document through which

the journal entry was created:
 A/R and A/P Invoice, A/R and A/P Credit Memo, A/R and A/P Down
Payment Invoice, A/R and A/P Reserve Invoice:
o Business partner row: sequential installment number
o Withholding tax row: sequential number of the last installment
 Incoming and Outgoing Payments:
o Business partner row: document number
o Check payment: check number
o Credit card payment: credit card voucher number
o Bank transfer payment: reference number specified by the user
o In the case of a cash payment, nothing is displayed.
o When cancelling an incoming or outgoing payment, the
document number of the cancelled document is displayed.
o When creating an incoming or outgoing payment on
account (not based on selected transactions), the document
number is displayed in the Ref. 3 field in the tax line.
o When creating an incoming or outgoing payment to account,
the document number is displayed in the Ref. 3 field of the
account rows.
 Deposits:
o Check deposit: check number
o Credit card voucher deposit: credit card voucher number
o Cash deposit: deposit number
 Receipt from Production, Issue for Production and closing a
production order: production order number
The production order number is copied to Ref. 3 only when the value
of the Reference 3 - BP Row field in the Reference Field Links -
Setup window is set to Not Defined. To access the Reference Field
Links - Setup window, from the SAP Business One Main Menu,
choose Administration Setup General Reference Field Links.
Offset Account
Automatically specifies the offset account of the posting.
You can specify any account from those that were posted in this document.
The offset account is then displayed in accounting reports.
Debit (FC), Credit (FC), Debit, Credit, Debit (SC), Credit (SC)
Display the credit or debit amount of every row in the transaction currency,
foreign currency, and system currency.
Due Date, Posting Date, Doc. Date
By default, the posting date is the current date. Change it if necessary.
The due date is the date on which the entry takes place.
The document date is the journal entry date for tax reporting purposes.
Project
If required, specify the project to which the G/L account or business

partner is allocated.
Tax Group
Tax group connected to the G/L account or business partner that appears in
the selected row.
Distr. Rule
If required, specify a distribution rule for the selected row.
 If you did not select the Use Multidimensions checkbox on the Cost

Accounting tab of the General Settings window,
under Administration System Initialization General Settings, select
a distribution rule from the dropdown list.
 If you selected the Use Multidimensions checkbox, click , and

in the Select Distr. Rule window, choose distribution rules for the
dimensions.
In the List of Distribution Rules window, you can choose the Define

Manual Distribution Rule button to define a distribution rule for the
specific row.
Note
Only active dimensions appear in the Select Distr. Rule window.
Remarks
Specify row details.
The default entry consists of details for the entire transaction.

Note
If the transaction is an incoming payment that has been generated by
the payment wizard, the default display is Incoming Payments -
<business partner code> — <payment run name>.
If the transaction is an outgoing payment that has been generated by

the payment wizard, the default display is Outgoing Payments -
<business partner code> — <payment run name>.
The payment run name is copied from the Payment Wizard, General

Parameters window.
Table Fields
Business partners and/or accounts involved in the transaction. When

creating the journal entry manually, to choose a G/L account from list,
press the TAB key; To choose a business partner from list, press CTRL + TAB.
Federal Tax ID
Displays the federal tax ID in the rows of business partner accounts as

follows:
 If the journal entry is automatically generated by a purchasing or
sales document, the field value is copied from the document and
refreshes accordingly in case of changes in the document. Here, the
value is not editable.
 If the journal entry is automatically generated by a document of
other types, the field value is copied from the document only if the
value in the document is editable. Otherwise, the value remains
blank.
 If you manually create the journal entry, the following conditions
apply:
o If the business partner you selected is a customer, the default
value in the field is copied from the Federal Tax ID field in
the Ship-To Address table in the business partner master data.
If the value in the Ship-To Address is empty, the default value is

copied from the Federal Tax ID field on the header of the
business partner master data.
o If the business partner you selected is a vendor, the default

value in the field is copied from the Federal Tax ID field on the
header of the business partner master data.
o You can update the field at any time, even after the journal
entry is added.
Tax Amount
Gross Value
Payment Block
In manual journal entries, you can specify whether a business partner row
should be blocked from payment by selecting Y or N.
Block Reason
If the row should be blocked from payment (that is, you selected Y in
the Payment Block dropdown list), you can select a reason from this
dropdown list.
Payment Order Run
If the checkbox is selected, it indicates that this manual journal entry row is
included in a payment order run. The checkbox is deselected in the
following situations:
 The payment order row that includes this manual journal entry is
removed from the payment order run.
To remove a payment order row, in Payment Wizard: Step 6 -

Recommendation Report, right-click the payment order row and
choose Remove. The checkbox for this payment order row is
deselected in the selection column.
 The payment order row that includes this manual journal entry is
closed in the payment order run.
To close payment order rows in which all the documents are fully
paid, in Payment Wizard: Step 6 - Recommendation Report, choose
the Close Payment Order Rows button. The Payment Order
Status column displays C for the closed payment order rows.
 The payment order run that includes this manual journal entry is
executed into a payment run.
To execute a payment run, in Payment Wizard: Step 6 -

Recommendation Report, choose the Next button. In Payment
Wizard: Step 7 - Save Options, choose the Next button and
choose Yes in the system message.
Note
When this checkbox is selected, you cannot change the value in
the Due Date field in the expanded editing area.
Note
The above-mentioned fields appear in the table section by default. Use
the Form Settings window to add more columns to the table.
Control Account
You can specify the control account for this journal entry after
selecting a business partner.
Note
If you cannot find this field in the table, in the Form Settings window,
set the Control Account field to Active and Visible.
Due Date
Due date of each line in the transaction.

Expected Account Balance (LC, SC, FC)
Display the expected balance of the account in local, system, and foreign
currencies. Before you add the journal entry, the values in the fields refresh
accordingly if you perform one of the following:
 Enter or change the amount in the Debit or Credit field

 Create or update documents which trigger changes in the account
balance, for example, A/P invoices
Note
These fields are available only when the Journal Entry window is
in Add mode.
Source of Posting
Indicates the source of the current posting line. A journal entry source is a
data table that records information and data related to journal entries. If
the source is not supported, this field is empty.
The values are presented in the <Origin - Source (Source Table Name)>
format. For example, if the journal entry is posted due to the creation of an
A/R invoice, and the current journal entry line is posted due to the freight
in the A/R invoice lines, then the value of the Source of Posting field will be
[A/R Invoice – Freight on Rows (INV3)].
Currently, the following sources are supported:
 A/R Invoice (OINV): represents the origin document as a whole

 A/R Invoice – Rows (INV1): represents the origin document lines
 A/R Invoice – Freight – Rows (INV2): represents the freight defined
in the origin document lines
 A/R Invoice – Freight (INV3): represents the freight defined on the
origin document header
 A/R Invoice Rows – Distributed Freights (INV13): represents the
distributed freight on the origin document header
 A/R Invoice – Installments (INV6): represents the installment in the
origin document
 A/R Invoice – Drawn Dpm Detail (INV11): represents the down
payment in the origin document
Source Line Internal ID
Indicate the internal ID of the line in the source of the current posting line.
The internal ID is the internal numeric key automatically assigned to the

source line by SAP Business One at the time of creation.
The combination of the Source of Posting and the Source Line Internal

ID values can identify the specific and unique data record line that causes
the current posting line.
For example, if the journal entry is posted due to the creation of an A/R
invoice, the Source of Posting is [A/R Invoice – Freight on Rows (INV3)], and
the Source Line Internal ID of the current posting line is 3. This means that
the current journal entry line is posted due to the freight in the A/R invoice
line, and the Int. Line No. of the freight line is 3.
Note
To enable the line internal ID in marketing documents, choose Form
Settings Table Format, and select the Visible checkbox for the Int. Line
No. column.
Import from Excel
You can import certain data from a Microsoft Excel file to a company in SAP
Business One.
The data is copied from the cells of the Microsoft Excel table and written to
the corresponding fields in SAP Business One.
Note
 If some data is manually added on the form before import, the
imported lines will be added at the end of the existing lines
and will not override the existing data.
 After performing the import from Excel, you must choose
the Add button in the Journal Entry window to finish the data
import.
 You can import only a single journal entry (for example, a
header with several lines). If you intend to import several
journal entries at one time (for example, two headers with
several lines), you can go to the Import from Excel window
(Main Menu Administration Data Import/Export Data
Import Import from Excel) and select Journal Entry from
the Data Type to Import dropdown list.
Transaction Type Abbreviations Legend
The following table lists abbreviations and their meanings for the
transaction types that exist in SAP Business One. The abbreviated
transaction types appear in the Origin field in the Journal Entry window, as
well as in other windows in the application.
Transaction Type Abbreviations Legend
Transaction Type Abbreviation
Opening Balance OB
Closing Balance BC
Journal Entry JE
Delivery DN
Return RE
A/R Invoice IN
A/R Invoice + Payment IN
A/R Reserve Invoice IN
A/R Debit Memo IN
A/R Invoice Exempt IN
A/R Bill IN
A/R Exempt Bill IN
A/R Export Invoice IN
A/R Down Payment Invoice DT
A/R Credit Memo CN
Goods Receipt PO PD
Goods Return PR
A/P Invoice PU
A/P Reserve Invoice PU
Internal Invoice PU
A/P Debit Memo PU
A/P Down Payment Invoice DT
A/P Credit Memo PC
Landed Costs IF
Incoming Payment RC
Deposit DP
Postdated Credit Voucher Deposit DD
Outgoing Payments PS
Checks for Payment CP
BoE – Deposit to Paid BT
Goods Issue SO
Goods Receipt SI
Inventory Transfer IM
Inventory Posting ST
Inventory Revaluation MR
Production Order PW
Receipt from Production SI
Issue for Production SO
Journal Reconciliation JR
Correction Invoice CI
2.2.2 Preparing a Microsoft Excel Import File for Journal Entry

Context
The following fields for journal entry can be imported into SAP Business
One and, therefore, can be contained in a Microsoft Excel file.
Note
 The maximum length of a numeric value is expressed in the
form of <Maximum Digits>.<Maximum Digits>. For example,
"19.6" means that, at most, 19 digits are allowed before the
decimal separator, while, at most, 6 digits are allowed after
the decimal separator.
 Value options of a field must be in upper case.
Field Name Max. Length Data Type Remark

Record Type 1 Value options: Predefined column A.
(H for Header
and L for Line)  H - create a new header
 L – create a new line that is
affiliated with the latest header
Series 8 Alphanumeric Field in Header.
Predefined column B.
Posting Date 8 Date Field in Header.
Format: YYYY-MM-DD or Predefined column C.
YYYY/MM/DD
Due Date 8 Date Field in Header.
Format: YYYY-MM-DD or Predefined column D.
YYYY/MM/DD
Document Date 8 Date Field in Header.
Format: YYYY-MM-DD or Predefined column E.
YYYY/MM/DD
Remarks 50 Alphanumeric Field in Header.
Predefined column F.
Indicator Code 2 Alphanumeric Field in Header.
Predefined column G.
Project Code 20 Alphanumeric Field in Header.
Predefined column H.
Transaction Code 4 Alphanumeric Field in Header.
Predefined column I.
Reference 1 100 Alphanumeric Field in Header.
Predefined column J.
Predefined column K.
Predefined column L.
VAT Date 8 Date Field in Header.
Format: YYYY-MM-DD or Predefined column (if
YYYY/MM/DD applicable)
EU Report 1 Value options: Checkbox in Header
Predefined column (if
 Y – Yes applicable)
 N – No
ECD Posting Type 1 Value options: Field in Header
 N – Normal applicable)
 E - Statement
Contract Code 11 Numeric Field in Header
Identification Predefined column (if
(CIG) applicable)
Unique Code of 11 Numeric Field in Header
Project (CUP) Predefined column (if
applicable)
Generate Excise 1 Value options: Field in Header
Reg No. or Not Predefined column (if
 Y – Yes applicable)
 N – No
Material Type 11 Numeric Field in Header
applicable)
Residence 1 Value options: Field in Header
Number Type Predefined column (if
(Multiple Excise 1 – Spanish Fiscal ID applicable)
Register Number)
2 – VAT Registration Number
3 – Passport
4 – Fiscal ID Issued by the County of

Residence
5 – Certificate of Fiscal Residence
6 – Other Document
Creator Name 155 Alphanumeric Field in Header
applicable)
Approver Name 155 Alphanumeric Field in Header
applicable)
Account Type 2 Value options: Field in Line.
(GL or BP) Predefined column.
GL – G/L accounts involved in the
transaction
BP – Business partners involved in
the transaction
Account Code/BP 15 Alphanumeric Field in Line.
Code Predefined option in
dropdown list.
Debit Amount 19.6 Numeric Field in Line.
Predefined option in
dropdown list.
Credit Amount 19.6 Numeric Field in Line.
dropdown list.
(FC) Predefined option in
dropdown list.
(FC) Predefined option in
dropdown list.
Foreign Currency 3 Alphanumeric Field in Line.
dropdown list.
(SC) Predefined option in
dropdown list.
(SC) Predefined option in
dropdown list.
Row Details 50 Alphanumeric Field in Line.
dropdown list.
Reference 1 (in 100 Alphanumeric Field in Line.
Lines) Predefined option in
dropdown list.
dropdown list.
dropdown list.
Due Date (in 8 Date Field in Line.
Lines) Format: YYYY-MM-DD or Predefined option in
YYYY/MM/DD dropdown list.
Document Date 8 Date Field in Line.
(in Lines) Format: YYYY-MM-DD or Predefined option in
YYYY/MM/DD dropdown list.
Project Code (in 20 Alphanumeric Field in Line.
dropdown list.
Payment 27 Alphanumeric Field in Line.
Reference No. Predefined option in
dropdown list.
Distribution Rule 8 Alphanumeric Field in Line.
dropdown list.
Costing Code 2 8 Alphanumeric Field in Line.
dropdown list.
dropdown list.
dropdown list.
dropdown list.
k 1 Value options: Field in Header
Y – Yes Predefined column (if applicable)

N – No
Payment Block Abs 11 Numeric Field in Line.
Entry
Predefined option in dropdown list.
Cash Flow Line Item ID
11 Numeric Field in Line.
(Primary Form Item)
Predefined option in dropdown list
(if applicable).
You can import only one Cash Flow

Line Item for each line.
Contract Code 11 Numeric Field in Line.
Identification (CIG)(in
lines) Predefined option in dropdown list
(if applicable).
Unique Code of Project
11 Numeric Field in Line.
(CUP)(in lines)
(if applicable).
System Currency 3 Alphanumeric Field in Line.

(if applicable).
Posting Date (in lines)8 Date Field in Line.
Format: YYYY-MM-DD or YYYY/MM/DD

(if applicable).
Federal Tax ID (RFC) 32 Alphanumeric Field in Line.
Predefined option in dropdown list.

Branch Name (in lines)
100 Alphanumeric Field in Line.

(if applicable).
If you do not select this option, the

branch name of each line will be
defined with the default value.
UDFs (User Defined Depends on the UDFs The UDFs defined for the header
Fields) length. list behind the line column and the
UDFs defined for the lines list
following the header’s UDFs.
Procedure
You can import the journal entry by the following methods:
1. You can import the journal entry in the Import from Excel window by

selecting Journal Entry from the Data Type to Import dropdown list. It
supports batch import, which means you can import simultaneously
multiple journal entries that contain multiple headers. Each header starts
behind the previous line.
Example
1. Your company is in Italy and you import two journal entries via the
Import from Excel window.
Due
Document Indicator
Record Type Series Posting Date Remarks Project Code
Date Code
Date
H Primary 6/1/2016 6/2/2016 6/3/2016 Remark01 1 pr1
H Primary 6/1/2016 6/2/2016 6/3/2016 Remark01 1 pr1
2. You can import the data from the Journal Entry window. Via this window, you can
import only a single journal entry, which contains only one header, at a time.
Note
 The import process is not finished until you click
the Add button in the Journal Entry window.
 If you have changed the description of a field in the Journal

Entry window (Ctrl+ double-click), the field name in the Import
from Excel window will show the description as you defined it
originally.
 With this import method, the field names are consistent with
the description defined in the journal entry. So when you
import the data from the Journal Entry window, you may find
that some field names are different from the field names listed
in the previous method; for example, <Unique Code of
Project> is described as <CIG>.
Example
 Your company is in Italy and you import one journal entry via the Journal
Entry window.
Due
Record Posting Document Indicator Project Transaction
Series Remarks
Type Date Date Code Code Code
Date
Remark0
H Primary 6/1/2016 6/2/2016 6/3/2016 1 pr1 tr1
1
Note
You define your data import template in two parts:
a. The predefined columns are mandatory fields.
b. The predefined option in a dropdown list are optional fields.
The value in the fields could be empty.
Note
Some fields apply only to the specific countries and/or specific system settings.
Example
You can see the <System Currency> in the object fields only if you have
specified a system currency for your company.
Example
You can see the <ECD Posting Type> in the object fields only if your
company’s location is in Brazil.
Example
You can see the <VAT Date> in the object fields only if your company’s
location is in Belgium or Israel and, simultaneously, you have enabled
the <VAT Date> on marketing documents and the journal entry form .
 The below fields in the header cannot be imported from Excel, and so
you must manually specify these fields in the form:
o <Template>
o <Template Type>
o All checkboxes in the header (for example, <Automatic Tax>),

except <EU Report> (if applicable). <EU Report> can be imported
from Excel.
 During the import process, even an error caused by one of the lines will
result in failure of the whole import operation. You must cancel the
entire import operation (for example, stop importing the data and
remove the data that has been imported from the file) and, after
correcting the error, execute the whole import process from the
beginning.
 You must ensure that one of the following fields has a value in the Excel
file.
o <Debit Amount>
o <Credit Amount>
o <Debit Amount (FC)>
o <Credit Amount (FC)>
o <Debit Amount (SC)>
o <Credit Amount (SC)>
 The authorization for importing a journal entry from an Excel operation is
based on the authorization of the Journal Entry form.
o If you have full authorization for the Journal Entry form and the

authorization for Import from Excel, you can import multiple journal
entries via the Import from Excel window.
o If you don’t have the authorization for the Journal Entry form but you
do have the authorization for Import from Excel, you cannot import a
journal entry via the import utility; however, you can still import
other objects (for example, Business Partner) via the Import from
Excel window.
 For importing journal entries from an Excel file, you can only add new
records; you cannot update existing records. All data is imported as new
records.
2.3 Journal Vouchers
A journal voucher is a draft stage document that creates no values in the general
ledger. At this stage, the journal voucher can be checked and completed, and then
recorded. The input template is identical to that of the Journal Entry window.
To open a journal voucher, choose Financials Journal Vouchers.
2.3.1 Adding New Journal Vouchers

Context
Use the following procedure to create a new journal voucher for temporary
recording of journal entries.
Procedure
Vouchers.
 The Journal Vouchers window appears.
2. Choose Add Entry to New Voucher.
 The Journal Voucher Entry window appears.
3. Record the journal entry you want to save in the new journal voucher.
4. Choose Add to Voucher.
Results
The system adds a new record to the upper table in the Journal
Vouchers window. Selecting the record displays, in the lower table, a row
representing the journal entry you saved in the new journal voucher.
Adding Entries to Existing Journal Vouchers

Prerequisites
At least one journal voucher with the status Open exists in the upper table
of the Journal Vouchers window.
Procedure

Vouchers.
 The Journal Vouchers window appears.
2. In the upper table, select the voucher to which you want to add the
new entry.
 Note
You can add new entries only to vouchers with the status Open.
3. Choose Add Entry to Existing Voucher.

 The Journal Voucher Entry window appears.
4. To record the new entry, choose Add to Voucher.
5. To return to the Journal Vouchers window, choose Close.

Results
Selecting the voucher containing the new entry displays the new record in
the lower table of the window.
2.3.2 Posting Journal Vouchers
Use journal vouchers as a temporary storage facility for journal entries
that cannot yet be posted to the company database. Once you have
checked and approved the journal voucher content, you save it to the
database. It is then reflected in the accounting system.
Procedure
To post journal vouchers to the database and record them as any other
journal entry:

Vouchers.
2. In the upper table of the window, choose the journal voucher you
want to post.
 Note
You can post journal vouchers as long as they have the
status Open.
3. Choose Post Voucher.
 A system message appears prompting you to save the

voucher to the permanent file.
4. Choose Yes.
Result
The status of the posted voucher changes to Closed.
2.3.3 Deleting Entries from Journal Vouchers
Prerequisites
The journal voucher from which you want to delete entries has the
status Open.
Procedure

Vouchers.
2. In the upper table of the window, choose the journal voucher from
which you want to delete entries.
 The lower table of the window displays the entries recorded
in the selected voucher.
3. In the lower table, select the row(s) for the entries you want to
delete.
4. In the menu bar, choose Data Delete Row.
5. Choose Update.
2.3.4 Removing Journal Vouchers
Prerequisites
The journal voucher has the status Open.
Context
SAP Business One saves journal vouchers as temporary files until a user
posts them to the database. Until such a time, you can remove them,
along with their recorded entries. Use this procedure to remove irrelevant
journal vouchers.
Note
You can only remove one voucher at a time.
Procedure

Vouchers.
2. In the upper table, select the voucher to remove.
3. From the menu bar, choose Data Remove Journal Voucher.

 A confirmation message appears.
4. Choose the OK button.
2.3.4.1 Journal Voucher Window

Use this window to view and enter journal vouchers.
To open the window, choose Financials Journal Vouchers.
Note
This topic documents fields and other elements in this window that either
are not self-explanatory or require additional information.
Voucher-Related Fields
Find
Trace a journal voucher by its number.
Open Only
Displays only open journal vouchers.
Post Voucher
Posts the journal entries of the selected journal voucher (one that you
have finished processing) to the database.
Note
When a journal voucher is posted, its status changes to C lose d.
Date
Date when the journal voucher was created.
Total (LC)
Total value in local currency of all journal entries included in the journal
voucher.
User
Name of the user who created the journal voucher.
Remarks
Enter any relevant information regarding the journal voucher.
Entry-Related Fields
Trans. No.
The successive number of the journal entries for each journal voucher.
Status
Status of the journal voucher containing the journal entry.
Total (LC), Total (FC)
Total value of each journal entry, in local currency and foreign currency.
Remarks
Content of the Remarks field in the Journal Voucher Entry window.
Base Ref., Posting Date, Ref. 1, Ref. 2, Trans. Code, Project Code
Details taken from journal entries, not displayed by default.
Note
To view these fields, choose Form Settings in the toolbar.
Add Entry to New Voucher/Add Cost Accounting Adjustment Entry to New Voucher
Opens the Journal Voucher Entry window or the Journal Entry for Cost
Accounting Adjustment window where you can create a journal entry or a
cost accounting adjustment journal entry for a new journal voucher.
Add Entry to Existing Voucher
Opens the Journal Voucher Entry window where you can create a journal
entry for the journal voucher selected in the upper table.
Note
Journal entries can be added for open journal vouchers only.
2.3.4.2 Journal Voucher Entry

Use this window to add a journal entry to a journal voucher.
This window is identical to the Journal Entry Window except for the
following field:
Voucher No.
Number of the voucher to which the journal entry is added.
2.4 Posting Templates
Every commercial organization has transactions presented in template format, in

which only the recorded amounts vary from transaction to transaction (for
example, the separation of VAT in purchasing or sales).
SAP Business One enables you to create fixed templates for such recurrent journal
entries. When recording this type of transaction, choose the relevant template and
fill in the missing items. SAP Business One separates the amounts in accordance
with the account assignment template.
2.4.1 Creating Posting Templates
You can create a percentage-based posting template for journal entries

requiring a format that:
 Includes the same accounts and/or business partners
 Is characterized by a specific ratio of amounts
Procedure
1. From the SAP Business One Main Menu, choose Financials Posting
Templates.
 The Posting Templates window appears.

2. Specify a unique code and description for the template.
3. In the table area, specify the G/L accounts and/or business partners for
inclusion in the template.
Note
The default control accounts for the business partners included in
the posting template can be changed; therefore, journal entries
based on this template are posted to the selected control accounts.
4. For each G/L account/business partner, specify the ratio that reflects the
debit or credit amount in the transaction.
Note
The total percentage in the debit and credit sides must be equal,
though it need not be 100%.
5. Choose Add.
Result
The posting template is saved in the database and can be updated.

Example
You can use the following posting template to create journal entries that
reflect A/R Invoices:
Posting Template
G/L Account/BP Code Debit % Credit %

Customer 117
Tax Account 17
Sales Credit Account 100
Total 117 117

2.4.2 Creating Journal Entries Based on Posting Templates
Context
You can manually create journal entries by using previously defined posting
templates.
Procedure
1. From the SAP Business One Main Menu, choose Financials Journal Entry.
The Journal Entry window appears.
2. In the Template Type field, select the required category:
 Percentage – to use a template defined in Financials Posting
Templates
 Recurring Posting – to use a template defined
in Financials Recurring Postings
3. In the Template field, press TAB to open a list of available templates of the
selected template type.
Note
Choosing the Recurring Posting template type displays a list of
instances of the recurring posting templates.
4. Select the required posting template or instance:

 Selecting Posting Template displays the G/L accounts and/or
business partner codes in the table area, together with the
respective percentages representing the amounts of debit and
credit.
 Selecting a Recurring Posting instance displays the complete
journal entry in the window, including all G/L accounts, and/or
business partners and amounts. You can change the amounts,
as necessary.
5. If you selected Posting Template, enter the relevant amount in one of the
rows and press TAB.
 The amounts in the remaining rows are updated accordingly .

6. Enter any other details that might be required, such as reference numbers,
and check the dates.
7. Choose Add.
2.4.3 Removing Posting Templates
Context
Use this procedure to remove posting templates that are no longer
relevant.
Caution
Removing a posting template is irreversible. We strongly recommend that
you perform this action carefully, especially when preparing to remove
complicated templates.
Procedure
1. From the SAP Business One Main Menu, choose Financials Posting
Templates.
 The Posting Templates window appears.

2. Display the posting template you want to remove.
3. From the menu bar, choose Data Remove.

4. Choose OK.
2.4.3.1 Posting Templates Window

This window displays Posting Templates according to your defined criteria.
Note
Posting Templates Window

Code
Enter a unique code of up to 8 characters for the posting template.
We recommend that you choose a meaningful code, one that will be
understandable to users when they need to choose a posting template in a
journal entry.
Automatic Tax
Applies the Automatic Tax functionality on transactions you create through
the Posting Templates window. This option is selected by default if the
option Use Automatic Tax in Administration System
Initialization Document Settings Per Document tab Journal Entry is
selected.
Manage WTax
Control Account
You can specify the control account for this posting template after selecting
a business partner.
Note
If you cannot find this field in the table, you may need to set
the Control Account field to Active and Visible in the Form
Settings window.
G/L Acct/BP Code, G/L Account/BP Name
Specify the account code or business partner code to be associated with a
journal entry created with this template. The account name or business
partner name appears automatically in the G/L Account/BP Name field.
If there is no constant account or business partner associated with a
specific row, or even the entire template, but you still want to create a
template for the percentage distribution, leave these fields blank.
Debit %, Credit %
Enter the appropriate percentages used to separate the amounts in the
journal entry for which you are defining the template.
As in a regular journal entry, the debit and credit sides must be balanced in
a posting template; otherwise, SAP Business One does not allow you to add
it.
Tax Group
Specify the tax group to which the line refers.
The drop-down list displays all the tax groups to which the account is
linked. Selecting one automatically inserts the account in the line.
If the Automatic VAT option is selected, the default tax group, if defined for
the G/L account, is displayed automatically.
If the option Permit Other VAT Group is selected for the G/L account, you
may select another VAT group.
Distr. Rule
Specify the distribution rule for each row in the template. When a journal
entry based on this posting template is created, the relevant amounts are
posted to the respective cost centers.
Note
If a distribution rule was defined for the account(s) that appears in the
posting template, the amounts recorded in the journal entries based
on this posting template, are posted to the distribution rule(s) defined
in the chart of accounts.
Project
Specify the project that you want to relate to the account. If you defined
the project for the account in the Chart of Accounts window, the field
displays the project code by default.
Note
The specified project information appears in the journal entry created
using this posting template.
Total
Indicates the percentages entered in the Debit and Credit columns of the
posting template.
To Balance
Indicates what percentages you need to enter in the Debit / Credit column
to balance this posting.
2.5 Recurring Posting
Every business has transactions that recur monthly or weekly. Although the
transactions recur on predefined dates, and usually comprise the same objects, the
transaction amounts are not necessarily the same each time, nor do the
percentages have to be fixed.
Example
Recurring journal entries can be payroll orders or standing instructions that
are paid by the bank every month.
2.5.1 Setting Templates for Recurring Postings

Context
Use this procedure to create a template for recurring postings and set its
frequency and expiration date.
Procedure
1. From the SAP Business One Main Menu, choose Financials Recurring
Postings.
 The Recurring Postings window appears.

2. In the window header, specify a unique code, an expressive description,
and other relevant details.
3. In the table area, build the transaction. Enter the accounts and/or business
partners and expected amounts, and ensure that the transaction is
balanced.
Note
You can change the amounts of each instance of the transaction before
you confirm it.
4. In the footer, set the frequency according to which you want SAP Business
One to create instances for the transaction. The default frequency
is Monthly.
5. To set a date after which SAP Business One should not create instances of
the transaction, use the Valid Until option.
Results
SAP Business One creates the recurring posting template. The instances are
created according to the frequency you set, and are stored in
the Confirmation for Recurring Posting window until you execute or
remove them.
2.5.2 Executing Instances of Recurring Postings
Context
Use this procedure to add instances of recurring posting templates and
turn them into journal entries.
Procedure
Postings Confirmation List.
 The Confirmation of Recurring Postings window appears, in which each

row represents one instance of a recurring posting template.
Note
To set the automatic display of this window,
choose Administration System Initialization General
Settings Services. For more information, see General Settings: Services
Tab.
2. Deselect the rows you do not want to execute. All are selected by default.
Note
You can display each instance and make required changes, such as
updating amounts. You can also change control accounts for business
partners.
Note
Every change you make in a specific instance is valid only for that
instance and does not affect other instances of the same template.
3. Choose Execute.
 A message appears, asking whether you want to save the posting to the
permanent file.
4. To complete the action and create journal entries, choose Add.
Results
The selected instances become journal entries and no longer appear in
the Confirmation of Recurring Postings window.
2.5.3 Removing Recurring Postings
Procedure
Postings Confirmation List.
 The Confirmation of Recurring Postings window appears.

2. Deselect instances you do not want to remove.
3. Choose Remove.

4. Choose Remove.
2.5.3.1 Recurring Postings Window

This window lets you define and display a recurring posting template
according to your defined criteria.
To open the window, choose Financials Recurring Postings.
Recurring Postings Window
Code
Enter a unique code of up to 8 characters for the recurring posting
template.
We recommend that you choose a meaningful code, one that will be
understandable to users when they need to choose a recurring posting
template in a journal entry.
Instance
Indicates the instance of the transaction.
Description
Enter a short description of the recurring posting.
Ref. 1, Ref. 2
Use these fields to predefine the transaction details, or to specify them
just before adding the transaction on the defined date.
Trans. Code
From the drop-down list, choose either the required code or Define
New to open the Transaction Codes - Setup window.
The chosen code automatically appears in the Tran. Code field of
the Journal Entry window.
Remarks
After you choose a code, its description is copied automatically to this
field, and it then appears in the Remarks field in the Journal
Entry window.
Regardless of the chosen code, you can still manually enter the details you
prefer.
Automatic Tax
Applies the Automatic Tax functionality on transactions you create
through the Recurring Postings window. This option is selected by default
if the option Use Automatic Tax in Administration System
Initialization Document Settings Per Document tab Journal Entry is
selected.
Manage WTax
G/L Acc./BP Code, G/L Account/BP Name
Enter the account code or business partner code to be associated to a
journal entry created with this template. The account name or business
partner name appears automatically in the G/L Account/BP Name field.
Debit, Credit
Fill in the required amounts. Remember that – as for a regular journal
entry – the debit and credit must be balanced; otherwise, you will not be
able to add the recurring posting template.
Tax Group
Specify the tax group to which the line refers.
The drop-down list displays all the tax groups to which the account is
linked. Selecting one automatically inserts the account in the line.
Distr. Rule
Specify the distribution rule for each row in the template. When a journal
entry based on this recurring posting template is created, the relevant
amounts are posted to the respective cost centers.
Note
If a distribution rule was defined for the accounts that appear in the
recurring posting template, the amounts recorded in the journal
entries resulting from this recurring posting template, are posted to
the distribution rule(s) defined in the chart of accounts.
Control Account
Displays the default control accounts defined for each business partner
and/or G/L accounts included in the template. You can change the control
account in the business partner rows, if required.
To display this column in the table area, select it in the Form Settings -
Recurring Posting window. For more information, click here.
Project
Specify the project that you want to relate to the account. If you defined
the project for the account in the Chart of Accounts window, the field
displays the project code by default.
Note
The specified project information appears in the journal entry created
using this recurring posting template.
Total
Indicates the sum of the amounts that were already entered in
the Credit column and in the Debit column of the recurring posting
template.
To Balance
Indicates the amount you need to enter in the Debit / Credit column in
order to balance this recurring posting template.
Frequency
Choose the required frequency for making the recurring posting.
If you choose Daily, Weekly or Monthly, use the drop-down list for the
field to the right to specify a value, that is, the exact number of days, the
day of the week, or the day of the month the recurring posting should be
made.
Choosing any other option disables the field to the right.
Choose Template to create a posting template that is not subject to any
execution dates or frequency. As such, it will not appear in the list of
transactions for execution.
Next Execution
Enter the required date for the next execution of the recurring posting.
This is the base date from which SAP Business One calculates the value
defined in the Frequency field. The default value for this field is the
current system date.
If you chose Template for the Frequency field, this field is not shown.
Valid Until
Select this option to define an expiration date for the validity of the
recurring posting template. After the defined date, no further instances of
this template will be created or appear in the list of transactions for
execution.
Confirmation List
Opens the Confirmation of Recurring Postings window, in which you can
view all recurring postings to be executed.
2.5.3.2 Confirmation of Recurring Posting

This window displays a list of all instances of recurring posting templates.
Use this window to define which instances you want saved to the
database and which can be removed from the list.
To open the window, choose Financials Recurring Postings Confirmation
List.
Confirmation of Recurring Postings
Posting No.
Displays the recurring posting template code. Choose the arrow to view
the recurring posting template.
Description
Displays the description of the recurring posting template.
Date
Displays the date on which each instance of the recurring posting is
scheduled to be executed.
Note
If you execute a specific instance in a date later than appears in
the Date field, the date of execution is set as the posting date, due
date, and document date of the journal entry.
Value
Displays the total debit/credit in the recurring posting.
Instance
Instance number of the recurring posting; increases incrementally each
time the recurring posting is executed.
Total
Displays the total debit/credit of the selected recurring postings.
Remove
Removes the selected recurring postings. Removed recurring postings
cannot be executed and they are deleted from this window.
Execute
Choose to execute the selected recurring postings. Once a recurring
posting is executed, a new journal entry is added. You can view it in
Number of Postings to be Executed
The number of the selected recurring postings.
2.6 Reverse Transactions
This function displays a list of all manual journal entries scheduled for automatic
reversal, which you can execute.
2.6.1 Posting Reverse Transactions

This function displays a list of all manual journal entries scheduled for
automatic reversal, which you can execute.
2.6.1.1 Posting Reverse Transactions

Prerequisites
Reverse transactions can be posted only if the reverse date has already
arrived.
Context
Use this procedure to post reverse transactions that are defined in
Procedure
1. From the SAP Business One Main Menu, choose Financials Reverse
Transactions. The Reverse Transactions window appears, displaying all
transactions to which a reverse date earlier than the current date was
assigned.
2. Deselect transactions you do not want to reverse.
Note
To change the date of a reverse transaction, choose link Arrow in
the Transaction field.
3. Choose Execute.
Results
 New transactions are created, one for each selected row.
The Remarks field of these transactions displays the text (Reversal) and the
number of the original transaction. The Reverse option is disabled.
 In the original transactions, the Reverse option is not visible, and the
word Cancelled indicates that the transactions were cancelled.
Note
You can reverse each journal entry only once.
2.6.1.1.1 Reverse Transactions Window

Use this window to create reverse transactions for selected
journal entries.
To open the window, choose Financials Reverse Transactions.
Note
This topic documents fields and other elements in this window
that either are not self-explanatory or require additional
information.
Reverse Transactions Window

Cancel
Deselect this option for each transaction that you do not want to
reverse.
Transaction
Displays the journal entry number. Use the arrow to the left of this
field to open the Journal Entry window.
Description
Displays the content of the Details field in the Journal
Entry window.
Original Date
Posting date of the journal entry.
Cancellation Date
Displays the date on which the journal entry should be reversed,
as defined in the Journal Entry window.
Value
Displays the debit/credit value of the journal entry.
Number of transactions to be cancelled
The number of the selected transactions.
2.7 Exchange Rate Differences
When you maintain foreign currency (FC) business partners and/or accounts, SAP
Business One conducts all related bookkeeping in FC. Since you also conduct the
bookkeeping system in local currency (LC), SAP Business One expresses every FC
transaction in LC according to the FC exchange rate on the date of transaction. Daily
fluctuations in FC exchange rates may cause mismatches between the balances in
LC and FC.
The Exchange Rate Differences function periodically recalculates the LC and FC

balances according to the exchange rate on the day the differences are calculated.
SAP Business One provides recommendations for executing automatic journal

transactions for exchange rate differences in FC business partners and accounts,
correct to a given date. The Exchange Rate Differences function reconciles the FC
balance and the LC balance, considering the fluctuation in the FC exchange rate.
2.7.1 Generating Exchange Rate Differences Report

Context
If you run business activities with foreign business partners or manage
foreign currency accounts, you have to handle exchange rate differences.
You can generate a report that lists the recommended transactions
pertaining to exchange rate differences.
Procedure
1. From the SAP Business One Main Menu, choose Financials Exchange Rate
Differences.
 The Exchange Rate Differences – Selection Criteria window opens.
2. Specify the parameters according to which you want SAP Business One to
generate the recommendations for the exchange rate differences
transactions.
3. Choose Execute.
2.7.2 Posting Exchange Rate Differences Transactions
Prerequisites
You have created the Exchange Rate Differences report.
Context
Use this procedure to post exchange rate differences transactions
according to recommendations provided by SAP Business One.
Procedure
1. In the header of the Exchange Rate Differences window, specify the
relevant details.
2. The rows in the table area represent transactions. In the App. column,
select the transactions you want to post.
Note
Each row in the table can refer to more than one transaction. To view
the transactions behind a specific row, double-click the row. In the Rate
Differences – Row Details window, you can include all the transactions
in the exchange rate differences posting or just part of them. Values in
the recommended exchange rate differences transaction are updated
accordingly.
3. Choose Add.
Note
If you are not sure whether or not to add the transactions , you can
choose Save to save the modified report for later processing.
Results
SAP Business One adds a new transaction for each row you selected. You
can recognize the new transactions according to the details you assigned to
them in the header of the Exchange Rate Differences window.
Note
If you chose to save the recommendations, no new transactions are
added to the database.
2.7.2.1 Exchange Rate Differences - Selection Criteria

Use this window to specify selection criteria for the Exchange Rate
Differences report.
To open the window, choose Financials Exchange Rate Differences.
After defining the report, you can view it in the Exchange Rate
Differences window.
Note
Selection Criteria
Business Partner
Calculates exchange rate differences for business partners.
If not selected, other fields pertaining to business partner selection criteria
are not displayed.
Customer Group, Vendor Group
Specify whether to display business partners from a specific group,
separated into customers and vendors.
Example
To display only customers, choose None in the Vendor Group field.
Properties
Opens the Properties window where you can specify required properties.
Your choices appear in the field next to the Properties button.
G/L Accounts
Calculates exchange rate differences for G/L accounts. If not selected, all
fields related to G/L accounts selection criteria are not displayed.
The Account column displays the codes and the names of the accounts. In
column X, specify which account or title to include by clicking the
appropriate row.
Show Level
Choose the account level to display in the table.
Level 1 displays the highest level titles for the accounts. When selecting a
title in the table, you select all the accounts that appear under this title.
Exclude Gains with Due Date After
Define a date after which you want to exclude the calculation of net
realized gains.
Due Date From...To...
Define a due date range for open items.
Execution Date
Specify the cut-off date for calculating exchange rate differences. This is
usually the end of the year or quarter.
Consider Recon. Date
Reflects the reconciliation status of the transactions for the selected date.
Example
If a transaction is reconciled now but was not reconciled on the execution
date, the exchange rate differences are calculated as if the transaction has
not been reconciled.
Currency
Specify the currency for which you want to calculate the exchange rate
differences.
Exch. Rate Gain Acct(A/R), Exch. Rate Gain Acct(A/P), Exch. Rate Gain Acct(G/L),
Exch. Rate Loss Acct(A/R), Exch. Rate Loss Acct(A/P), Exch. Rate Loss Acct(G/L)
Specify which of the exchange rate differences accounts should be applied
when the automatic journal transaction is executed.
The accounts are divided into gain and loss accounts and used accordingly.
You can define different or identical accounts for customers, vendors, and
accounts.
Data Side
Specify whether to calculate the exchange rate differences for the gain
side, loss side or both sides.
Previous Report
Opens the latest saved recommendation report.
2.7.2.1.1 Properties
This window opens when you choose the Properties button in
selection criteria windows.
Note
This topic documents fields and other elements in this window
that either are not self-explanatory or require additional
information.
Properties
Ignore Properties
Ignores properties as business partner selection criteria.
Link, Or, And
Specify the logic link between the selected properties:
 And narrows the selection, so the selected business partners
are only those containing all properties defined in the
properties window.
 Or expands the selection so each business partner having at
least one of the selected properties is included in the
selection.
Property
Specify required properties by selecting their boxes.
2.7.2.2 Exchange Rate Differences Window

This window displays the Exchange Rate Differences report according to
your defined selection criteria.
Note
Exchange Rate Differences Window
Execution Date
Date up to which the exchange rate differences are calculated.
Exchange Rate
The exchange rate of the System Currency in Local Currency for
the Execution Date.
Details on Transactions
Determine the following details regarding the exchange rate differences
transactions you want to execute:
 Ref. 1 – Specify the details you want to display in the Ref. 1 field of the
transactions.
 Code – Specify the required transaction code. The description of the
selected code is displayed automatically in the Remarks field. To
define a new transaction code,
choose Administration Setup Financials Transaction Codes.
 Remarks – Enter a remark to display in the Remarks field in the
journal entry.
 Auto. Remarks – Automatically displays the text Exchange rate
differences for <currency name> in the Remarks field of the journal
entry.
 Auto Reverse – Automatically creates a reverse transaction for the
exchange rate differences transaction. In the Reversal Date field, you
can specify the date for the reverse transaction.
App.
Select the transactions you want to execute.
Balance
Balance of the G/L account or business partner, calculated in local
currency.
Balance (FC)
Balance of the G/L account or business partner, calculated in the G/L
account/business partner currency (the mark of the currency displayed in
the next column).
Rate
Rate set for calculating the difference.
Difference
Suggested difference calculated in LC for the journal entries recorded up
to the date of execution.
Save
Saves the recommendations as a draft, without creating journal entries.
2.7.2.3 Exchange Rate Differences - Row Details

This window displays the exchange rate difference for the selected row.
Code, Name
The details of the G/L account or business partner to which this row
refers.
Currency
The currency in which the exchange rate difference is calculated.
Journal ID
Entry number allocated by SAP Business One according to the selected
numbering series. To display the journal entry for the selected row,
click .
Balance, Balance (FC)
The balance of the selected G/L account/business partner displayed in the
system currency and the foreign currency. These fields are maintained
automatically.
Rate
Displays the rate of exchange between the system currency and the local
currency on the date the transaction is carried out.
Difference
Displays the difference (in the system currency) between the amount in
the (system) Balance column and the amount in the (foreign) Balance
(FC) column.
Due Date, Doc. Date, Posting Date
Displays the due date, document date, and posting date for the
transaction.
2.8 Conversion Differences
This function is relevant for companies whose defined system currency is

different from the local currency. SAP Business One recommends making
journal entries automatically for differences in system currency. Use
the Conversion Differences function to make adjustments between the
account/business partner balance in the system currency and the balance in
the local currency.
2.8.1 Posting Conversion Differences Transactions
Prerequisites
You have generated the Conversion Differences report.
Context
Use the procedure to post conversion differences transactions according to
the recommendations provided by SAP Business One.
Procedure
1. In the header of the Conversion Differences window, specify the relevant
details.
2. In the App. column in the table area, select the rows (transactions) you
want to post.
Note
Each row can refer to more than one transaction. To view the
transactions behind a row, double-click the row. In the window that
appears, you can define whether to include all the listed transactions in
the conversion differences posting, or just some of them. The values in
the recommended conversion differences transaction are updated
accordingly.
3. Choose Add.
Note
If you are not sure whether or not to add transactions, you can
choose Save to save the modified report for later processing.
Results
A new transaction is added for each row selected. In the header of
the Conversion Differences window, you can recognize the new
transactions according to the details you assigned to them.
If you defined the projects for the selected accounts in the Chart of
Accounts window, the project codes appear in the corresponding journal
entry rows.
Note
If you save the recommendations, no new transactions are added to
the database.
2.8.1.1 Conversion Rate Differences - Selection Criteria

Use this window to specify values for a conversion differences template.
To open the window, choose Financials Conversion Differences.
After defining the template, you can view it in the Conversion
Differences window.
Note
Selection Criteria
Business Partner
Select to calculate conversion differences for business partners. When this
checkbox is cleared, all other fields pertaining to business partner
selection criteria are not displayed.
Properties
Opens the Properties window, where you specify the required selection of
properties. Your choices appear in the field next to this button.
G/L Accounts
Select to calculate conversion differences for G/L accounts. If the checkbox
is cleared, the fields related to G/L accounts selection criteria are not
displayed.
The X column indicates a selected account or title.
 To select/clear accounts, click in the relevant row.
 To select/clear all rows, click the X appearing in the column header.
The Account column displays the codes and names of the accounts. View
details of each account by using the link appearing next to its code and
name.
Show Level
Choose the account level to display in the table.
Option 1 displays the highest level titles of the accounts. If you select a
row in the table you actually select all the accounts appearing under this
title.
Execution Date
Define the cut-off date for calculating conversion differences. Usually this
is the end of the year or quarter.
Consider Recon. Date
Reflects the reconciliation status of the transactions for the selected date.
Example
If a transaction is reconciled now but was not reconciled on the execution
date, the exchange rate differences are calculated as if the transaction has
not been reconciled.
Conv. Rate Gain Acct (A/R), Conv. Rate Loss Acct (A/R), Conv. Rate Gain Acct (A/P),
Conv. Rate Loss Acct (A/P), Conv. Rate Gain Acct (G/L), Conv. Rate Loss Acct (G/L)
Specify which of the conversion differences accounts should be applied
when the automatic journal transaction is executed.
The accounts are divided into gain and loss accounts and used accordingly.
You can define different or identical accounts for customers, vendors, and
accounts.
Data Side
Specify whether to calculate the conversion differences for the gain side,
loss side, or both sides.
Previous Report
Choose to view saved recommendation report.
2.8.1.2 Conversion Rate Differences Window

This window displays conversion differences templates according to
your defined criteria.
Conversion Differences Window
Execution Date
Displays the date until which conversion differences are calculated. This
date is entered in the selection criteria window.
Details on Transactions
Use this section to determine the following details pertaining to the
conversion differences transactions you choose to execute.
 Ref. 1 – Specify the details to display in the Ref. 1 field of the
transactions.
 Code – Choose the required transaction code. The description of the
code is displayed automatically in the Remarks field. To define a new
transaction code,
choose Administration Setup Financials Transaction Codes - Setup.
 Remarks – Enter the remarks you want displayed in the Details field of
the journal entry.
 Auto. Remarks – Select to automatically display the text Conversion
differences for (currency name) in the Details field of the journal
entry.
 Auto Reverse – Select to automatically create a reverse transaction
for the conversion differences transaction, and enable the Reversal
Date field, where you specify the date for the reverse transaction.
App.
Select the checkbox of each transaction you wish to execute.
Code, Name
refers.
Balance (SC), Balance (LC)
The balance of the G/L account or business partner, displayed in the
system currency and the local currency.
Converted Balance (SC)
Displays the balance of the G/L account or business partner in system
currency, calculated by the following formulae:
 With the Direct exchange rate posting option: Converted Balance
(SC) = Balance (LC) / Exchange Rate
 With the Indirect exchange rate posting option: Converted Balance
(SC) = Balance (LC) * Exchange Rate
Difference
Displays the difference (in the system currency) between the amount in
the Converted Balance (SC) column and the amount in the Balance
(SC) column.
This is the amount caused by the difference of the system currency
exchange rate between the report execution date and the document
posting date.
Add
Creates the selected transactions and adds them to the database.
Save
Saves the recommendations displayed in this window as a draft, without
creating journal entries.
Reject All, Approve All
Choose to clear the selection you made or to select all the transactions.
2.8.1.3 Conversion Rate Differences - Row Details

This window displays the conversion difference for the selected row.
General Area Fields
Code, Name
refers.
Exchange Rate
Displays the rate of exchange between the system currency and the local
currency on the date the transaction is carried out.
SC Adjustment
Select this checkbox to create journal entries to adjust the conversion
difference for the selected BP or G/L account.
Total Transaction Amount (SC)
Sums up and displays the total value of all transactions of the selected BP
or G/L account in the system currency.
Total Balance Due (SC)
Displays the open balance of all the open transactions of the selected BP
or G/L account in the system currency.
Difference
Displays the difference between the Total Balance Due (SC) field and
the Total Transaction Amount (SC) field.
Table Area Fields
Journal ID
Entry number allocated by SAP Business One according to the selected
numbering series. To display the journal entry for the selected row,
click .
Balance (SC), Balance (LC)
The balance of the selected G/L account or business partner displayed in
the system currency and the local currency. These fields are maintained
automatically.
Converted Balance (SC)
Displays the balance of the G/L account or business partner in system
currency, calculated by the following formulae:
 With the Direct exchange rate posting option: Converted Balance
(SC) = Balance (LC) / Exchange Rate
 With the Indirect exchange rate posting option: Converted Balance
(SC) = Balance (LC) * Exchange Rate
Difference
Displays the difference (in system currency) between the amount in
the Converted Balance (SC) column and the amount in the Balance
(SC) column.
This is the amount caused by the difference of the system currency
exchange rate between the report execution date and the document
posting date.
Due Date, Doc. Date, Posting Date
Displays the due date, document date, and posting date for the
transaction.
2.9 Financial Report Templates
Use this function to create financial report templates that you can customize for
your business needs.
You can create templates for the following reports:
 Balance Sheet
 Profit and Loss Statement
 Trial Balance
 Cash Flow
 FA Historic Report
2.9.1 Creating Financial Report Templates Based on Existing Templates
Context
There are cases when it is required to create a financial report template
that is similar to another financial report template that already exists in SAP
Business One.
Examle
Subsidiaries of a parent company report their activity on a daily basis. The
parent company would like to create a profit and loss report on a monthly
basis to their respective subsidiaries, to show the total for each subsidiary
in the books. The chart of accounts of the parent company identifies each
subsidiary using segments. The parent company creates a profit and loss
financial report template for one subsidiary, which is a slimmed down
version of the parent company’s profit and loss statement, and now has to
create similar templates for the other subsidiaries.
Procedure
1. From SAP Business One Main Menu, choose: Financials Financial Report
Templates. From the Report dropdown list, select the required financial
report.
2. From the Template dropdown list, choose Define New. A setup window,
indicating in its name the selected report, appears.
Example
If you have selected in step #1 the value Balance Sheet, when selecting the
option Define New from the Template dropdown list, the window Balance
Sheet Templates — Setup appears.
Specify a name for the new template, and choose the Update button.

Choose the OK button.
3. In the Financial Report Templates window, select from
the Report dropdown list the financial report whose template is going to be
used as the base template, and from the Template dropdown list select the
required template.
4. From the Data menu, choose: Advanced Copy to Template. The Choose
Copy Template window appears.
5. From the Report dropdown list select the financial report for which you
have defined the new template in step #1, and from
the Template dropdown list, select the new template. Choose
the OK button.
6. In the Financial Report Templates window, choose the Update button
Results
In the Template Details section, select the new template. You can see that
it is a copy of the base template. You can now make any adjustments if
required.
2.9.2 Creating Financial Report Templates
Context
Financial reports are presented to different parties for various purposes,
requiring customized formatting and presentation solutions. Use this
procedure to build financial report templates, without making any changes
Procedure
1. From the SAP Business One Main Menu, choose Financials Financial
Report Templates.
 The Financial Report Templates window appears.

2. Choose the report for which you want to create a template.
3. Define a new template or, if you only need modifications, select an existing
one.
 The window displays the existing template, or a blank page to define a

new one.
4. Add the required accounts and titles to the template and place them in the
required hierarchy and order.
Note
If you choose Generate Standard Chart of Accounts for a new template,
the chart of accounts structure is displayed. You can remove non-relevant
accounts and rearrange the others as required.
5. To link relevant G/L accounts to an account group in the template, double-
click the account.
The Account Category - Details window appears.
6. Specify the required account(s) and choose Update.
Note
Although the chart of accounts may contain accounts at more than four
levels, the financial report templates can only include accounts of up to
four levels. Accounts defined as Level 5 and lower are grouped under
their Level 4 parent article and displayed in the Account Category -
Details window. The accounting data of the lower-level accounts is
reflected through the fourth-level parent article.
For information about how to specify the accounts, see Account Category -

Details Window.
7. In the Financial Report Templates window, choose Update.
Results
The new template is added to the database and is available in the selection
criteria of the report for which the template was created.
Example
If you create a template for a balance sheet and name it "My Balance
Sheet", the Template field in the Balance Sheet - Selection Criteria window
lists the option My Balance Sheet.
2.9.2.1 Financial Report Templates Window

Use this window to create or edit Financial Report Templates.
To open the window, choose Financials Financial Report Templates.
Financial Report Templates Window
Template Details
 Report – From the dropdown menu, select the report for which you
want to create a template.
 Template – Specify whether to use an existing template or define a
new one.
Show Missing Accounts
Displays accounts that are not included in the template.
G/L Account Details
Name and foreign name of the selected account.
Note
You can change the name and foreign name of the account for display in
the report.
Current parent article and account location in the tree.
Note
You can change the location of the account.
Group Data
 For Balance Sheet: Select whether to group the data from the Active
side or the Passive side.
 For Profit and Loss: Subtotal displays subtotals in the report. Select
the account under which you want to locate the subtotal,
select Subtotal and specify its title in the field on the right.
o Totals Formula calculates the subtotals from a formula you specify
using the Formula option on the right.
o Automatic Summary calculates the default subtotals.
 For FA historic report: Subtotal displays subtotals in asset history
sheet reports. Automatic Summary calculates the subtotals.
Add Child Acct
Enables you to create an account on a level lower than that of the selected
account.
Add Same-Level Acct
Enables you to add a new account on the same level as the selected
account.
Generate Standard Chart of Accounts / Generate From Cash Flow Line Items
Generates the standard chart of accounts for the temperate.
For cash flow report templates, generate the template from cash flow line
items.
For fixed asset templates, generates only the assets of the standard chart
of accounts.
You can add new accounts, rearrange the accounts, or remove non-
relevant accounts as required.
Mock Title
Hides the selected account in the financial report.
Not available for FA history report templates.
Hide Accounts
Hides selected accounts in the report.
Not available for FA history report templates.
Cash Flow Report Template Fields
Report
Specify a report type.
Line Item
Displays the name of a selected line item.
Parent Article
Specify the title to be assigned to the line item.
Loc. on Tree
Specify the location of the line item relative to other line items under the
same title.
Line Number
Specify the line item number to be displayed in the final Cash Flow report.
Indent Characters
Specify the number of character indentations to display in the final report.
The default number for Level 3 is four indentations.
Text Title
Selecting this field:
 Defines the selected line item as a text title that cannot have any child
cash flow line items or cash flow relevant G/L accounts
 Disables the Subtotal and Reversal Sign fields
Reversal Sign
Changes the cash flow line item amount to a negative number.
To display the Financial Report Templates – Expansion window, double-
click the line item.
2.9.2.1.1 Financial Report Templates - Expansion Window

Double-click the line item to display the Financial Report
Templates – Expansion window.
 The Cash Flow Line Item tab is launched as the default for
both primary and supplementary line items.
 You can assign either a cash flow line item or a G/L account.
Cash Flow Line Item Tab
Line Item
From the Choose from List window, assign active cash flow line
items to the line items created in the cash flow report template.
Delete Rows
Select a row and click Delete Rows to delete a cash flow line item.
G/L Accounts Tab
G/L Account
Specify G/L accounts to a line item in the cash flow report
template.
Account Name
Displays the G/L account name.
Calculation Method
Define the period of time for which to calculate the balance of the
assigned G/L accounts.
Delete Rows
Select a row and click Delete Rows to delete a G/L account.
2.9.2.1.1.1 Account Category - Details Window

When you create financial report templates, the account
hierarchy display is limited to 4 levels only, while in the
chart of accounts there may be up to 8 levels depending on
your localization.
To display the child accounts located under a specific
account, double-click this account in the Financial Report
Templates window. The Account Category – Details window
appears.
Account Category – Details
G/L Account, Account Name
The code and name of the accounts located under the
selected account in chart of accounts.
Linked/Sign
The fields define whether the overall balance, the debit side
of the account, or the credit side of the account is included
in this account category of the balance sheet, and how the
value being positive or negative influences the result.
Example
You want the VAT account to be part of an assets account group if the
closing balance is positive and part of a liabilities account group if the closing
balance is negative. You therefore link the account as a debit with a + sign
under assets and also as a credit with a - sign under liabilities.
The default is Balance in the Linked field with the Sign field empty. If you
overwrite the default value in the Linked field and the checkbox Allow
Multiple Linking to Financial Templates has not been selected in the G/L
Account Details window, the application issues a warning message but you
are not prevented from saving the change.
After an upgrade from a previous release version of SAP Business One, the
results for accounts linked using the checkbox Transfer Accounts with
Negative Sign are as follows:
 The Linked field value is Balance.
 If the account balance is a positive value, the Sign field
value is (+).
 If the account balance is a negative value, the Sign field
value is (–).
Note
Values are included differently in the asset accounts and the liabilities accounts,
according to the following logic:
Included in this account
Linked Sign group if the following
applies:
Balance
+ Debit > Credit
(Balance = Debit – Credit)
Balance
- Debit < Credit
(Balance = Debit – Credit)
Included regardless of
whether the value is
Balance
positive or the value is
negative
(Balance = Debit – Credit) Note
If the checkbox Accounts
with Balance of Zero is
selected in the Balance
Sheet – Selection
Criteria window, G/L
accounts with a balance of
0 (zero) are also included.
Debit + Debit > 0
Debit - Debit < 0
negative
Note
Debit If the checkbox Accounts
with Balance of Zero is
selected in the Balance
Sheet – Selection
Criteria window, G/L
accounts with a balance of
0 (zero) are also included.
Credit + 0 > Credit
Credit - 0 < Credit
Credit
negative
Delete Rows
Deletes accounts that are currently located under the
selected account in the financial report template. Your
action in this window applies only to the financial report
template. It does not influence the chart of accounts, even
if the financial report template is based on the chart of
accounts.
2.9.2.1.1.2 Choose Copy Template Window

Use this window to copy financial report templates.
2.9.2.1.1.3 Financial Template - Full Display

This window provides you full display of the current
financial report template. You can use it to review the
complete template, and make sure that all required
accounts are included and in the right level.
To locate a specific account, choose the Find button and
specify the code or name of the required account. If this
account is included in the template, it is marked in
the Financial Template – Full Display window. If it is not
included in the template, an error message appears.
2.10 Document Printing
Context
Use this function to print batches of documents according to your required selection
criteria. You can choose whether to print the whole list or specific documents.
Procedure
1.From the SAP Business One Main Menu, choose one of the following:

 Financials Document Printing
 Sales – A/R Document Printing
 Purchasing – A/P Document Printing
 Banking Document Printing
 Inventory Document Printing
The Document Printing – Selection Criteria window appears.
For more information about printing sales or purchasing documents,

see Document Printing – Selection Criteria.
For more information about printing checks for payment, see Document

Printing – Selection Criteria: Checks for Payment.
2. Enter the selection criteria and choose the OK button.
3. In the Print Documents Window, select the documents you wish to print and
choose the Print button.
Results
SAP Business One prints the desired document(s).

2.10.1 Document Printing - Selection Criteria
Use this window to enter selection criteria for the documents you want to
print.
To open the window, choose one of the following options:
 Financials Document Printing
 Sales – A/R Document Printing
 Purchasing – A/P Document Printing
 Banking Document Printing
 Inventory Document Printing
Note
Document Printing Selection Criteria Fields

Document Type
Specify the document type you want to print.
Series
Specify a numbering series.
This enables you to print documents assigned to a certain numbering
series.
When Batch/Serial No. Exist, Print
When Batches or Serial Numbers exist for the document, you can choose
whether to print the following information:
 Document and Batch/Serial No.
 Document Only
 Batch/Serial No. Only
This feature is not available for certain document types.
For Multiple Counters
Available only for inventory counting documents and relevant only to the
multiple-counter counting type.
The following options are available:
 Print All Counters' Results: All individual counters' counting results, as
well as the total counting result of team counters, are printed into one
file.
 Print per Counter: Each individual counter's or team counter's counting
results are printed into a separate file.
Only Documents Still to Be Printed
Prints only documents that have not been printed yet.
Open Only
Prints only documents with the status Open.
This includes documents with a positive open quantity.
Exclude Canceled and Cancellation Marketing Documents
Select this checkbox if you do not wish to include the canceled marketing
documents and their corresponding cancellation documents in your batch
printing. Note that this checkbox affects only canceled marketing
documents whose cancellation generates cancellation documents. For a
complete list of relevant documents, see Canceling Sales and Purchasing
Documents.
Posting Date From ... To
Specify a range of posting dates to print documents included in that range.
Internal Number From ... To
Specify the range of document numbers from which to draw documents for
printing.
No. of Copies
Specify the number of copies you want to print for each document.
2.10.2 Print Documents Window
This window displays all the documents that meet the criteria you specified
in the Document Printing – Selection Criteria window. To print the
documents, select the desired rows and choose the Print button.
Note
Print Document Fields
Document No.
Document number of the documents found according to the specified
selection criteria.
Posting Date
Posting date of the documents found according to the specified selection
criteria.
Due Date
Due date of the documents found according to the specified selection
criteria.
BP Code
Business partner codes in the documents found according to the specified
selection criteria.
Total (LC)
Total amount in local currency of the documents found according to the
specified selection criteria.
2.10.3 Printing Documents Automatically
Context
You can set SAP Business One in such a way that certain document
types, such as orders, are printed automatically when they are created.
Procedure
1. Choose Administration System Initialization Print Preferences.
 The Print Preferences window appears.
2. On the Per Document tab, in the Document dropdown list, select the

required document type.
3. Select Print Document.
4. Enter the required number of copies in Copies (Incl. Original).
Note
You can configure additional settings for the document.
For more information, see Print Preferences: Per Document Tab.
5. Choose Update and OK.
2.11 Journal Voucher Report
This report provides comprehensive information on existing journal

vouchers. Use the report to get a list of the journal vouchers to be
approved, or to save one or all of the open journal vouchers as permanent
financial documents.
Use this window to specify selection criteria for the Journal Voucher report.
To open the window, choose Financials Journal Voucher Report.
After defining the report, you can view it in the Journal Voucher Report Window.
Selection Criteria
Created by
Specify the user who created the journal voucher.
Leave the field blank to include vouchers created by any user.

Approved by
Specify the user who approved the journal voucher.
Leave the field blank to include journal vouchers approved by any user.
Date
Specify the range of posting dates of the journal vouchers.

Journal Voucher No.
Specify the range of the journal voucher group numbers.

Trans. No.
Specify the range of the transaction numbers of a journal voucher.

Display Open Journal Vouchers
Report includes journal vouchers that have not been approved or saved as
permanent documents.
Display Closed Journal Vouchers
Report includes journal vouchers that have been approved or saved as permanent
documents.
2.11.1 Journal Voucher Report Window
This window displays the Journal Voucher report according to the selected

criteria.
Use the first column to select the journal vouchers for the report:
 The document level checkboxes are activated for manual editing, while
the checkboxes on the G/L account level are not.
 Selecting a certain document automatically selects the related G/L
accounts.
 The checkboxes of the closed journal vouchers are inactive.
 Once selected journal vouchers are posted as journal entries, their
checkboxes become inactive.
Note
To display the Remarks field, from the SAP Business One Main
Menu, choose Tools Form Settings. In the Remarks column, select
the Visible checkbox.
The data in the Remarks field from the journal vouchers is
displayed in the lower matrix of the Journal Vouchers window.
Journal Voucher Report
Currency
Specify the currency type for displaying the amount.
From Date, To Date
Displays the range of the posting dates you defined for the report.
Changing the dates updates the display of the journal vouchers accordingly.
Gr.-No.
Journal Voucher Number - Transaction Number
Date
Posting date of the transaction.
Created by
Person who created the journal voucher, using the format defined in the
employee master data.
Approved by
Person who approved the journal voucher, using the format defined in the
employee master data.
Code/name of the account or business partner for which the journal
voucher was recorded.
Debit, Credit
Debit/credit values of the journal voucher.
Post
Saves the selected journal vouchers as journal entries.
2.12 Working with Fixed Assets
With SAP Business One, you can now manage your fixed assets from both the tax
and accounting perspectives in a more efficient manner. The fixed assets function
provides you with both physical and financial control over the complete asset life
cycle, from acquisition through depreciation, revaluation, and disposal.
Moreover, you can use the various reports in SAP Business One to evaluate and
process the fixed asset-related data.
2.12.1 Upgrade of Fixed Assets Add-On
If you were using SAP Business One 8.82 or lower versions with the Fixed
Assets add-on installed, the upgrade process has the following results:
 The add-on is not available.
 No data in the add-on is upgraded. Instead, all data in the add-on is
stored in the database after upgrade.
Migration of Fixed Assets Data
In order to make the data available in SAP Business One 9.0, you must use
the fixed assets data migration wizard.
With the wizard, you can only migrate the asset values at the beginning of a
fiscal year from the add-on to SAP Business One. No asset transactions can
be migrated.
Example
 You have been using SAP Business One 8.82 with the Fixed Assets add-
on since 2010. In March 2013, you upgrade to SAP Business One 9.0.
 After the upgrade, you migrate the data from the add-on using the
fixed assets data migration wizard. As a result, all the asset master data
with their accumulated values as of January 1st, 2013, are migrated.
Any depreciations or transactions posted after January 1st, 2013 are
not migrated.
Therefore, to make sure all fixed asset-related data are correctly migrated,
we recommend that you upgrade when you close a fiscal year and are
ready to open a new fiscal year.
In case the upgrade must be executed in the middle of a fiscal year, you
must do the following in the add-on before the upgrade to ensure the data
migration afterwards achieves the expected results:
 If there are asset depreciations in the fiscal year, cancel the
corresponding journal entries.
After the upgrade, you must carry out these depreciations again.
 If there are asset transactions, such as capitalization and retirement, in
the fiscal year, cancel the transactions and their corresponding journal
entries.
After the upgrade, you must create these transactions again.
2.12.2 Enabling Fixed Assets
To manage fixed assets in SAP Business One, you must enable the fixed
assets function.
Note
If you have not enabled fixed assets, you cannot access fixed asset-
related menus or windows.
After you have enabled bin locations, you can find fixed asset-related
menu entries in the following paths from the SAP Business One Main
Menu:
 Administration Setup Financials Fixed Assets
 Financials Fixed Assets
Procedure
choose Administration System Initialization Company Details.
The Company Details window opens.
2. On the Basic Initialization tab of the Company Details window, select
the Enable Fixed Assets checkbox.
3. In the Calculate Depreciation By field, specify whether you want the
system to calculate the depreciation of your fixed assets by month or
day.
For more information about the field, see Company Details: Basic
Initialization Tab.
Recommendation
After enabling fixed assets for your company, set up the following before
you create asset master data:
 Account determination
 Depreciation types
 Depreciation areas
 Attribute groups
 Asset classes
2.12.3 Defining and Assigning Asset Classes
In SAP Business One, you can define your fixed assets by different classes.
In each asset class, you can assign multiple depreciation areas and
depreciation methods. By assigning an asset class to an asset, you can link
the depreciation areas and methods to the asset.
Prerequisites
 You have enabled fixed assets.
For more information, see Enabling Fixed Assets.
 You have defined the following:
o Account determination
o Depreciation types
o Depreciation areas
o Attribute groups
Procedure
Defining Asset Classes
choose Administration Setup Financials Fixed Assets Asset Classes.
 The Asset Classes - Setup window opens.
2. Specify the general information and the following parameters:
o Asset type
o Attribute group
o Depreciation area
o Depreciation type
o Useful life
3. Choose Add.
Assigning Asset Classes to Fixed Assets
o From the SAP Business One Main Menu, choose Financials Fixed
Assets Asset Master Data.
 The Asset Master Data window opens.
o On the Fixed Assets tab, Overview subtab, specify the asset class
to which the asset belongs.
Note
You cannot change the asset class of an asset having the
status Active.
Once you specify the asset class, the associated depreciation
parameters are copied to the asset. If required, you can also
change these parameters for the asset.
2.12.3.1 Asset Classes
With SAP Business One, you can use asset classes to classify fixed assets
according to business and legal requirements. For each asset class, you
can assign various depreciation areas and depreciation types. After you
assign an asset class to an asset, the depreciation areas and depreciation
types are taken to the asset master data as defaults.
2.12.3.1.1 Defining and Assigning G/L Accounts

In SAP Business One, you can define multiple sets of G/L accounts.
After defining the G/L account sets, you can assign them to asset
classes and, therefore, link them to fixed assets.
Prerequisites
You have enabled fixed assets.
Procedure
Defining G/L Accounts
choose Administration Setup Financials Fixed Assets Account
Determination.
 The Account Determination - Setup window opens.
2. Specify the code, description, and G/L accounts and choose Add.
Assigning G/L Accounts to Fixed Assets
choose Administration Setup Financials Fixed Assets Asset
Classes.
 The Asset Classes - Setup window opens.
2. Specify the general information, select the depreciation areas, and
specify the account determination in each area.
3. Choose Add.
4. From the SAP Business One Main Menu, choose Financials Fixed
 The Asset Master Data window opens.
5. On the Fixed Assets tab, Overview subtab, specify the asset class
to which the asset belongs.
Note
status Active.
Once you specify the asset class, the associated account
determination is assigned to the asset.
2.12.3.1.1.1 Account Determination
Account determination enables the system to automatically

determine the relevant general ledger accounts for a fixed
asset when an asset transaction takes place.
SAP Business One lets you define multiple account
determination sets. For each asset, you can apply more than
one set of G/L accounts, so that the asset value and
transactions can be posted to more than one accounting
area at the same time.
2.12.3.1.1.1.1 Account Determination - Setup Window
Use this window to define and view different sets of

G/L accounts for your fixed assets.
To open this window, from the SAP Business
One Main Menu,
choose Administration Setup Financials Fixed
Assets Account Determination.
Account Determination - Setup Window Fields
Code
Enter a unique code for the set of G/L accounts you
are defining.
Description
Enter a description for the set of G/L accounts you are
defining.
Asset Balance Sheet Account
Specify the account for the acquisition and production
costs of fixed assets.
Acquisition Clearing Account
Specify the clearing account for the acquisition and
production costs of the fixed assets.
Revaluation Reserve
Specify the account to which the increase in the
asset's value, as a result of revaluation, is posted.
Revaluation Reserve Clearing
Specify the clearing account to which the increase in
the asset's value as a result of revaluation is posted
temporarily when an asset is sold.
Ordinary Depreciation
Specify the expense account for the ordinary,
planned, annual depreciation of fixed assets.
Accumulated Ordinary Depr.
Specify the account on the liability side for the
accumulated value of ordinary, planned depreciation.
This account is the offsetting account for ordinary,
planned depreciation.
Unplanned Depreciation
Specify the expense account for the unplanned annual
depreciation of fixed assets.
Accumulated Unplanned Depr.
Specify the account for the accumulated unplanned
Special Depreciation
Specify the expense account for the special
Accumulated Special Depr.
Specify the account for the accumulated special
Revenue from Asset Sales (Net)
Specify the account for the net revenues from asset
sales before tax. This account is the offsetting account
for the revenue account from asset sales that is
specified for sales from the customer account. The net
book value and the profits or losses are posted to this
account when a sale is made.
Retirement with Expense (Net)
Specify the account to which the net losses resulting
from asset sales are posted.
Retirement with Revenue (Net)
Specify the account to which the net profits gained
from asset sales are posted.
NBV Retirement Expense Account (Gross)
Specify the expense account for recording the net
book value of an asset during retirement.
When an asset with the gross posting method retires
with losses, the account records the net book value of
the asset during retirement.
NBV Retirement Revenue Account (Gross)
Specify the revenue account for recording the net
book value of an asset during retirement.
When an asset with the gross posting method retires
with profits, the account records the net book value of
the asset during retirement.
Revenue Account for Retirement
Specify the account for the revenue resulting from
asset retirement.
Revenue Clearing Account
Specify the clearing account for the revenue resulting
from asset sales.
2.12.3.1.2 Defining and Assigning Depreciation Methods
In SAP Business One, you can define various depreciation

methods, such as the following:
 Straight line
 Straight line period control
 Declining balance
 Multilevel
 Immediate write-off
 Special depreciation
 Manual depreciation
After defining the depreciation methods, you can assign them to
asset classes and, therefore, link them to fixed assets.
Prerequisites
Procedure
Defining Depreciation Methods
Assets Depreciation Types.
The Depreciation Types - Setup window opens.
2. Select the depreciation methods and specify other
depreciation related parameters.
3. Choose Add.
Assigning Depreciation Methods to Fixed Assets
Classes.
The Asset Classes - Setup window opens.
2. Specify the general information, select the depreciation areas,
and specify the depreciation type in each area.
3. Choose Add.
choose Financials Fixed Assets Asset Master Data.
The Asset Master Data window opens.
5. On the Fixed Assets tab, Overview subtab, specify the asset
class to which the asset belongs.
Note
status Active.
Once you specify the asset class, the associated
depreciation types are copied to the asset. Therefore, the
depreciation methods are assigned to the asset. If
required, you can also change the depreciation types for
the asset.
2.12.3.1.2.1 Depreciation Types
In SAP Business One, you can use depreciation types to

define different depreciation calculation methods for your
fixed assets.
After you create a depreciation type, you can assign it to

a specific depreciation area of an asset class. Then, by
assigning the asset class to a fixed asset, the
depreciation calculation methods are finally applied to
the asset.
In general, SAP Business One lets you use the following

depreciation methods:
 Straight Line Method

 Straight Line Period Control Method
 Declining Balance Method
 Multilevel Method
 Immediate Write-Off Method
 Special Depreciation Method
 Manual Depreciation Method
2.12.3.1.2.1.1 Depreciation Types - Setup Window

Use this window to create, display, or change
depreciation types.
To access the general area, from the SAP Business
One Main Menu,
Assets Depreciation Types.
General Area Fields
Code
Enter a unique code for the depreciation type.
Description
Enter a description about the depreciation type.
Method
From the dropdown list, select one of the following
depreciation methods:
 No Depreciation
 Straight Line – A method of distributing an
asset's value evenly across its useful life. That is,
the asset is depreciated by the same amount in
each period.
 Straight-Line Period Control – A method that
entails defining different factors used in
depreciation calculation for different periods of
an asset's useful life.
 Declining Balance – A method that entails
applying a depreciation rate against the non-
depreciated balance of an asset.
Instead of spreading the cost of the asset evenly
over its useful life, the method depreciates the
asset at a constant rate, which results in
declining depreciation charges each successive
period.
 Multilevel – A method of applying different
depreciation rates to an asset for different stages
of an asset's useful life.
 Immediate Write-Off – A method generally
applied to low-value assets whose full value can
be depreciated in the acquisition year.
 Special Depreciation – A method of carrying out
automatic special depreciation.
 Manual Depreciation – A method of carrying out
manual special depreciation.
Calculation Base
Specify whether you want to calculate the
depreciation of assets with one of the following
bases:
 Yearly – Calculates the depreciation of the year
first, and then uses the yearly depreciation as the
base to calculate the depreciation of each period.
 Monthly – Calculates the depreciation of the
month first, and then uses the monthly
depreciation as the base to calculate the
depreciation of each period.
When you use the two different kinds of
calculation bases, the rounding of depreciation
values can be different.
Note
For depreciation types with the Declining
Balance method, the percentage you define can
be annual or monthly, according to your
selection here.
Example
Asset X
Acquisition and Production Costs: 5500 USD
Useful Life: 48 Months
Depreciation Method: Straight Line
Calculation Method: Acquisition Value / Total Useful
Life
 If the asset has the yearly calculation base, the
system calculates the depreciation of the year as
follows:
 5500 USD / 48 * 12 = 1375 USD
 If the asset has the monthly calculation base, the
system first calculates the depreciation of the
month as follows:
 5500 USD / 48 = 114.5833 USD
Then, the system rounds 114.5833 to 114.58 and
calculates the depreciation of the year as follows:
 114.58 USD * 12 = 1374.96 USD
2.12.3.1.2.1.1.1 Depreciation Types - Setup Window: General Tab

Use this tab to define the general parameters for
depreciation types.
To access this tab, from the SAP Business One Main
Menu,
Assets Depreciation Types and select
the General tab.
General Tab Fields
Minimum Depreciated Value
Specify the minimum book value of an asset after
depreciation.
Note
If you have specified a minimum depreciated
value and a salvage value percentage at the
same time, the salvage value has higher
priority. That is, the system depreciates an
asset till the asset value is reduced to the
salvage value.
Maximum Depreciable Value
Note
The field is available only for depreciation
types having the Straight Line or Declining
Balance method.
Enter the maximum depreciable value of an asset.
The system takes the maximum depreciable value

into account when calculating the depreciation
charges for an asset. For more information, see the
examples below.
Example
Asset X
o Acquisition and Production Costs: 80,000
USD
o Useful Life: 60 Months
o Maximum Depreciable Value: 60,000 USD
o Salvage Value Percentage: None
o Depreciation Method: Straight Line
o Calculation Method: Acquisition Value / Total
Useful Life
o Calculation Base: Monthly
As the maximum depreciable value is 60,000 USD,
the system calculates the monthly depreciation as
follows:
60000 USD / 60 = 1000 USD
At the end of the useful life, the asset still holds the
value of 20,000 USD.
Asset Y
USD
o Salvage Value Percentage: None
Useful Life
As the acquisition and production costs are less than
the maximum depreciable value, the asset can be
depreciated until its acquisition and production costs
reach zero. Therefore, the monthly depreciation
charge is calculated as follows:
30000 USD / 60 = 500 USD
At the end of the useful life, the asset's book value is
zero.
Asset Z
USD
o Salvage Value Percentage: 20%
Useful Life
The system calculates the salvage value of the asset
as follows:
15000 USD * 20% = 3000 USD
Though the asset's maximum depreciable value is
9,000 USD, its actual depreciable value is only 6000
USD, considering the salvage value.
Therefore, the asset's monthly depreciation charge is
calculated as follows:
 Include Salvage Value in Depreciation
Calculation checkbox: Selected
9000 USD / 60 = 150 USD
After 40 months, the asset's accumulated
depreciation charges reach 6,000 USD and the
depreciation stops.
 Include Salvage Value in Depreciation
Calculation checkbox: Unselected
(9000 USD – 3000 USD) / 60 = 100 USD
Round Year End Book Value
Rounds the net book values of assets at the end of

each fiscal year.
Once you select the checkbox, SAP Business
One rounds the depreciation amounts of the fiscal
year so that the year end book values of the assets
are rounded.
Example
The net book value of an asset calculated by the
system amounts to 28,123.32 USD at the end of the
year. If you have selected the checkbox, the system
rounds this amount to 28,123.00 USD. The
depreciation amount of the asset in the year is
therefore increased by 0.32 USD.
Salvage Value Percentage
Enter a salvage value percentage.

Note
If you have specified a minimum depreciated
value and a salvage value percentage at the same
time, the salvage value has higher priority. That
is, the system depreciates an asset till the asset
value is reduced to the salvage value.
Include Salvage Value in Depreciation Calculation
Includes the salvage value in the calculation of an

asset's depreciation.
Example
Asset X
o Acquisition and Production Costs: 6,000 USD
o Calculation Base: Yearly
Useful Life
o Salvage Value Percentage: 10%
 If you have not selected the checkbox, the system
calculates the asset's monthly depreciation as
follows:
(6000 USD – 6000 USD * 10%) / 60 = 90 USD
In this case, the asset is depreciated by 90 USD per
month, and the salvage value is 600 USD after its 60
months useful life.
 If you have selected the checkbox, the system
calculates the asset's monthly depreciation as
follows:
6000 USD / 60 = 100 USD
In this case, the asset is depreciated by 100 USD per
month in the first 4 years, and 50 USD per month in
the last year of its useful life so that its salvage value
remains 600 USD.
Acquisition
Specify how the acquisition of an asset determines
the asset's depreciation start date. From the
dropdown list, select one of the following
conventions:
 Pro Rata Temporis – If you select this, the PR
Temporis Type field appears. From the
dropdown list, you can select one of the
following options to determine the depreciation
start date:
o Exact Daily Base – The depreciation of the
asset starts from the day of the asset
acquisition.
o First Day of Current Period – The
depreciation of the asset starts from the first
day of the posting period within which the
asset acquisition takes place.
o First Day of Next Period – The depreciation
of the asset starts from the first day of the
posting period that follows the period of
asset acquisition.
 First Year Convention – Determines the
depreciation start date as follows:
o When your fiscal year matches a calendar
year:
 If the asset acquisition takes place before
July 1st, the depreciation starts from
January 1st.
 If the asset acquisition takes place after
July 1st, the depreciation starts from July
1st.
o When your fiscal year does not match a
calendar year:
 If the asset acquisition takes place in the
first half of the fiscal year, the
depreciation starts from the first day of
the first half of the year.
 If the asset acquisition takes place in the
second half of the fiscal year, the
depreciation starts from the first day of
the second half of the year.
 Half Year – The depreciation of the asset always
starts from the first day of the second half of the
fiscal year during which the asset acquisition
takes place.
 Full Year – The depreciation of the asset always
starts from the first day of the fiscal year during
which the asset acquisition takes place.
Subsequent Acquisition
Specify how an asset's subsequent acquisition affects
the asset's depreciation. From the dropdown list,
select one of the following conventions:
 Pro Rata Temporis – If you select this, the
field PR Temporis Type appears. From the
following options:
o Exact Daily Base – Recalculates the asset
depreciation from the very day when the
subsequent acquisition takes place.
o First Day of Current Period – Recalculates
the asset depreciation from the first day of
the posting period within which the
subsequent acquisition takes place.
o First Day of Next Period – Recalculates the
asset depreciation from the first day of the
posting period that follows the period of
subsequent acquisition.
 Half Year Convention – Recalculates the asset
depreciation as one of the following:
o If an asset's subsequent acquisition takes
place in the fiscal year of acquisition, the
system recalculates the asset depreciation
from the very day when the depreciation
starts.
place in years that follow the fiscal year of
acquisition, the system recalculates the asset
depreciation from the first day of the fiscal
year during which the subsequent acquisition
occurs.
 Full Year – Recalculates the asset depreciation as
one of the following:
place in the fiscal year of acquisition, the
system recalculates the asset depreciation
from the very day when the depreciation
starts.
place in years that follow the fiscal year of
acquisition, the system recalculates the asset
depreciation from the first day of the fiscal
year during which the subsequent acquisition
occurs.
Retirement
Specify how an asset's retirement affects the asset's
depreciation. From the dropdown list, select one of
the following conventions:
 Pro Rata Temporis – If you select this, the
field PR Temporis Type appears. From the
following options:
o Exact Daily Base – Calculates the asset
depreciation till the very day of retirement.
o Last Day of Prior Period – Calculates the
asset depreciation till the last day of the
posting period prior to the period of
retirement.
o Last Day of Current Period – Calculates the
asset depreciation till the last day of the
posting period in which the retirement takes
place.
 Half Year Convention – Calculates the asset
depreciation as one of the following:
o If the asset retirement takes place in the first
half of the fiscal year, the system calculates
the depreciation till the last day of the first
half of the year.
o If the asset retirement takes place in the
second half of the fiscal year, the system
calculates the depreciation till the last day of
the second half of the year.
Transfer From Source Asset, PR Temporis Type
Specify how the transfer of an asset determines the

depreciation of the source asset.
Transfer from Source Asset field is non-editable and
displays Pro Rata Temporis.
In the PR Temporis dropdown list, you can select one
of the following options:
 Exact Daily Base - As the source asset, calculates
the depreciation of the transferred asset until the
very day of the transfer.
 First Day of Prior Period - As the source asset,
calculates the depreciation of the transferred
asset until the first day of the posting period
prior to the period within which the asset
transfer takes place.
 First Day of Current Period - As the source asset,
calculates the depreciation of the transferred
asset until the first day of the posting period
within which the asset transfer takes place.
Transfer to Target Asset, PR Temporis Type
Specify how the transfer of an asset determines

depreciation start date of the target asset.
The Transfer to Source Asset field is non-editable
and displays Pro Rata Temporis.
 Exact Daily Base - As the target asset, the
depreciation of the transferred asset starts from
the very day of the transfer.
 First Day of Prior Period - As the target asset, the
the first day of the posting period prior to the
period within which the asset transfer takes
place.
 First Day of Current Period - As the target asset,
the depreciation of the transferred asset starts
from the first day of the posting period within
which the asset transfer takes place.
Include Depreciation of Previous Periods in Capitalization
Period
Moves depreciation of previous periods in the fiscal
year to the capitalization period.
If the capitalization of an asset does not take place at
the beginning of a year, you can calculate the
depreciation for the entire year and then select the
checkbox to move the depreciation of the previous
periods to the capitalization period.
Transfer to Target Asset, PR Temporis Type
Specify how the transfer of an asset determines

depreciation start date of the target asset.
The Transfer to Source Asset field is non-editable
and displays Pro Rata Temporis.
 Exact Daily Base - As the target asset, the
the very day of the transfer.
 First Day of Prior Period - As the target asset, the
the first day of the posting period prior to the
period within which the asset transfer takes
place.
 First Day of Current Period - As the target asset,
the depreciation of the transferred asset starts
from the first day of the posting period within
which the asset transfer takes place.
Include Depreciation of Previous Periods in Capitalization
Period
Moves depreciation of previous periods in the fiscal
year to the capitalization period.
If the capitalization of an asset does not take place at
the beginning of a year, you can calculate the
depreciation for the entire year and then select the
checkbox to move the depreciation of the previous
periods to the capitalization period.
Example
Asset X
USD
Useful Life
Capitalization Date: April 1st, 2012
It is required to deduct the depreciation in the first

year by 50%.
The system first calculates the depreciation in the
first year as follows:
(10000 USD / 60 * 12) * 50% = 1000 USD
Then, the depreciation per month is calculated as
follows:
1000 USD / 12 = 83.33 USD
 If you have selected this checkbox, the asset
depreciation in 2012 is as follows:
Jan. Feb. Mar. Apr. May Jun. Jul. Aug. Sep. Oct. Nov. Dec.
333.32 83.33 83.33 83.33 83.33 83.33 83.33 83.33 83.33
 If you have not selected this checkbox, the asset

depreciation in 2012 is as follows:
83.33 83.33 83.33 83.33 83.33 83.33 83.33 83.33 83.33 83.33 83.33 83.33
Stop Depreciation at End of Last Full Fiscal Year
Stops an asset's depreciation at the end of the last

full fiscal year of the asset's useful life.
Example
Asset X
o Acquisition and Production Costs: 3,600 USD
Useful Life
o Capitalization Date: April 1st, 2010
 If you have selected this checkbox, the asset

depreciation is as follows:
2010 100 100 100 100 100 100 100 100 100
2011 100 100 100 100 100 100 100 100 100 100 100 100
2012 100 100 100 100 100 100 100 100 100 100 100 400
 If you have not selected this checkbox, the

asset depreciation is as follows:
2010 100 100 100 100 100 100 100 100 100
2011 100 100 100 100 100 100 100 100 100 100 100 100
2012 100 100 100 100 100 100 100 100 100 100 100 100
2013 100 100 100
Percentage of Depreciation to Reverse in Retirement Year
Enter the amount (in percentage) of depreciation you

want to reverse for an asset in the retirement year.
After you specify the percentage, the system
decreases the asset's planned depreciation in the
retirement year, and adjusts its net book value
accordingly.
Note
The percentage you specify here applies to an
asset only when it is fully retired.
Example
Asset X
USD
Useful Life
o Percentage of Depreciation to Reverse in
Retirement Year: 40%
o Capitalization Date: January 1st, 2010
o Retirement Date: July 1st, 2012
The system calculates the asset depreciation as
follows:
2010 1000 1000 1000 1000 1000 1000 1000 1000 1000 1000 1000 1000
2011 1000 1000 1000 1000 1000 1000 1000 1000 1000 1000 1000 1000
2012 1000 1000 1000 1000 1000 1000
2013
Then, the system calculates the depreciation to

reverse in 2012 as follows:
1000 USD * 6 * 40% = 2400 USD
And the deprecation in 2012 is updated as follows:
(6000 USD – 2400 USD) / 6 = 600 USD
2012 600 600 600 600 600 600
The net book value of the asset on July 1st, 2012 is

20,400 USD.
Valid From To
Specify the valid period of the depreciation type.
2.12.3.1.2.1.1.2 Depreciation Types - Setup Window: Calculation
Use this tab to define the calculation methods for

depreciation types.
To access this tab, from the SAP Business One Main

Menu,
Assets Depreciation Types and select
the Calculation tab.
You can specify the depreciation calculation details,
depending on the depreciation methods you select
from among the following in the general area of
the Depreciation Types - Setup Window:
 No depreciation: No calculation is carried out

and you do not need to enter any data.
 Straight Line Method
 Straight Line Period Control Method
 Declining Balance Method
 Multilevel Method
 Immediate Write-Off Method
 Special Depreciation Method
 Manual Depreciation Method
2.12.3.1.2.1.1.2.1 Straight Line Method
Straight line depreciation is the simplest and

most commonly used depreciation method,
which assumes an asset loses an equal amount
of value each year over its estimated useful
life. This means that the acquisition and
production costs are distributed evenly across
the entire useful life of the asset.
Generally, straight line depreciation is
calculated by subtracting the salvage value of
the asset from the acquisition and production
costs, and then dividing this amount by the
useful life of the asset. SAP Business
One provides two additional calculation
methods. For more information, see
the Calculation Method field in the section
that follows.
Note
Subsequent acquisitions lead to an increment
in the value of an asset; therefore, the
depreciation is usually increased by the
amount that would have been necessary to
fully depreciate the increment over the useful
life of the asset.
Straight Line Method
Calculation Method
Select one of the following depreciation
calculation methods:
 Acquisition Value/Useful Life
 Percentage of Acquisition Value
If you select this method, you must specify
a percentage in the Annual
Percentage field.
 Net Book Value/Remaining Life
Annual Percentage
Enter the annual percentage rate for the
depreciation calculation.
Note
The field is available only if you have
selected Percentage of Acquisition Value in
the Calculation Method field.
Example
Asset X
USD
The asset depreciation is calculated in different
ways, depending on the different calculation
methods.
 Acquisition Value/Total Useful Life
The system calculates the monthly
depreciation as follows:
60000 USD / 60 * 12 / 12 = 1000 USD
2010 1000 1000 1000 1000 1000 1000 1000 1000 1000 1000 1000 1000
2011 1000 1000 1000 1000 1000 1000 1000 1000 1000 1000 1000 1000
2012 1000 1000 1000 1000 1000 1000 1000 1000 1000 1000 1000 1000
2013 1000 1000 1000 1000 1000 1000 1000 1000 1000 1000 1000 1000
2014 1000 1000 1000 1000 1000 1000 1000 1000 1000 1000 1000 1000

Annual Percentage = 20%
60000 USD * 20% / 12 = 1000 USD

2010 1000 1000 1000 1000 1000 1000 1000 1000 1000 1000 1000 1000
2011 1000 1000 1000 1000 1000 1000 1000 1000 1000 1000 1000 1000
2012 1000 1000 1000 1000 1000 1000 1000 1000 1000 1000 1000 1000

2013 1000 1000 1000 1000 1000 1000 1000 1000 1000 1000 1000 1000
2014 1000 1000 1000 1000 1000 1000 1000 1000 1000 1000 1000 1000

depreciation for each year as follows:
2010
60000 USD / 60 * 12 / 12 = 1000 USD
2011
(60000 USD – 1000 USD * 12) / (60 – 12) =
1000 USD
2012
(60000 USD – 1000 USD * 12 * 2) / (60 – 12
* 2) = 1000 USD
...
2010 1000 1000 1000 1000 1000 1000 1000 1000 1000 1000 1000 1000
2011 1000 1000 1000 1000 1000 1000 1000 1000 1000 1000 1000 1000
2012 1000 1000 1000 1000 1000 1000 1000 1000 1000 1000 1000 1000
2013 1000 1000 1000 1000 1000 1000 1000 1000 1000 1000 1000 1000
2014 1000 1000 1000 1000 1000 1000 1000 1000 1000 1000 1000 1000
If there is a subsequent acquisition of the

asset, the system recalculates the depreciation
so that the asset can still be fully depreciated
over its useful life.
To determine when the asset depreciation is
recalculated, select a convention in
the Subsequent Acquisition field on
the Depreciation Types - Setup Window:
General Tab.
Assume a subsequent acquisition, with a worth
of 15,000 USD, takes place on October 1st,
2010, and the depreciation is recalculated from
the same day using the Acquisition
Value/Total Useful Life method; the system
updates the depreciation amounts as follows:
2010: October – December
(60000 USD + 15000 USD) / 60 = 1250 USD
2011, 2012, 2013
(60000 USD + 15000 USD) / 60 = 1250 USD
2014
In order to fully depreciate the asset, the
system calculates the monthly depreciation
in the last year of its useful life as follows:
[60000 USD + 15000 USD – 1250 USD * (12
* 3 + 3) – 1000 USD * (12 – 3)] / (60 – 12 *
4) = 1437.50 USD
20101000 1000 1000 1000 1000 1000 1000 1000 1000 1250 1250 1250
20111250 1250 1250 1250 1250 1250 1250 1250 1250 1250 1250 1250
20121250 1250 1250 1250 1250 1250 1250 1250 1250 1250 1250 1250
20131250 1250 1250 1250 1250 1250 1250 1250 1250 1250 1250 1250
20141437.501437.501437.501437.501437.501437.501437.501437.501437.501437.501437.501437.50
2.12.3.1.2.1.1.2.2Straight Line Period Control Method
Straight line period control is a depreciation

method that involves exercising control over
the depreciation amount of each individual
period in an asset's useful life. The method
calculates an asset's depreciation in a period by
multiplying the straight line depreciation
amount in the period by a factor you define.
SAP Business One provides the following two
kinds of period control:
 Standard – You can apply the same factor
for depreciation calculation to all periods in
an asset's useful life.
To define the factor, on the Calculation tab of
the Depreciation Types - Setup window, enter
a value in the Factor field.
 Individual – You can apply different factors
for depreciation calculation to different
periods in an asset's useful life.
SAP Business One lets you define a factor for
each month. To do so, open the Depreciation
Period Control window by choosing the Period
Control pushbutton in the asset master data.
Straight Line Period Control Method
Calculation Method
Select one of the following depreciation
calculation methods:
 Acquisition Value/Useful Life
If you select this method, you must specify
a percentage in the Annual
Percentage field.
Annual Percentage
Note
The field is available only if you have
selected Percentage of Acquisition
Value in the Calculation Method field.
Depreciation Period
Select one of the following:
 Standard – Enables you to specify a factor
for depreciation calculation that can be
applied to all periods of an asset's useful
life.
To specify the factor, enter a value in
the Factor field.
 Individual – Enables you to specify multiple
factors for depreciation calculation that
can be applied to different periods of an
asset's useful life.
To specify the factors, open the Depreciation
Period Control window by choosing the Period
Control pushbutton in the Asset Master
Data window.
To define a default factor for all periods, enter
a value in the Factor field.
Factor
Do one of the following:
 If you have selected Standard in
the Depreciation Period field, enter a
factor for depreciation calculation that is
applied to all periods of an asset's useful
life.
 If you have selected Individual in
the Depreciation Period field, enter a
factor for depreciation calculation that is
taken as the default factor for all periods.
You can change the factor in
the Depreciation Period Control window
opened from the asset master data.
Note
With the straight line period control
method, the factor also has an effect
on the remaining life of an asset.
For example, one asset has a planned useful

life of 60 months and depreciates using the
standard period control method with a factor
of 1.5. After the first year, the asset is
considered having passed 18 months (12 * 1.5)
of its useful life and its remaining life is 42
months instead of 48 months.
For more information, refer to the two
examples below.
Factor Only Relevant to First Fiscal Year
Note
The checkbox is available only if you
have selected Standard in
the Depreciation Period field.
Indicates that the factor you specified is

effective only in the first fiscal year of an
asset's useful life.
Once you select the checkbox, the system
calculates the asset depreciation in the first
year of its useful life with the specified factor.
In the following years, the system does not
consider the factor when calculating the asset
depreciation.
Example
Standard Period Control
Asset X
USD
o Depreciation Method: Straight Line Period
Control
o Depreciation Period: Standard
Factor: 2
Capitalization Date: January 1st, 2010
methods.
 Acquisition Value/Total Useful Life
60000 USD / 60 * 12 * 2 / 12 = 2000 USD
Jan Feb Ma Apr Ma Jun Jul. Aug Sep Oct No Dec
. . r. . y . . . . v. .
201 200 200 200 200 200 200 200 200 200 200 200 200
0 0 0 0 0 0 0 0 0 0 0 0 0
201 200 200 200 200 200 200 200 200 200 200 200 200
1 0 0 0 0 0 0 0 0 0 0 0 0
201 200 200 200 200 200 200

2 0 0 0 0 0 0
201
3
201
4

60000 USD * 20% * 2 / 12 = 2000 USD
Jan Feb Ma Apr Ma Jun Jul. Aug Sep Oct No Dec

. . r. . y . . . . v. .
201 200 200 200 200 200 200 200 200 200 200 200 200
0 0 0 0 0 0 0 0 0 0 0 0 0
201 200 200 200 200 200 200 200 200 200 200 200 200
1 0 0 0 0 0 0 0 0 0 0 0 0
201 200 200 200 200 200 200

2 0 0 0 0 0 0
201
3
201
4

depreciation for each year as follows:
2010
60000 USD / 60 * 12 * 2 / 12 = 2000 USD
2011
As the depreciation amount in 2010 equals
two years' depreciation amount calculated
with the straight line method, the asset is
considered having passed two years of its
useful life at the end of 2010. Therefore,
the monthly depreciation of year 2011 is
(60000 USD – 2000 USD * 12) * 2 / (60 – 12
* 2) = 2000 USD
2012
As the depreciation amount in the first two
years equals four years' depreciation
amount calculated with the straight line
method, the asset is considered having
passed four years of its useful life at the
end of 2011. Therefore, the monthly
depreciation of year 2012 is calculated as
follows:
(60000 USD – 2000 USD * 12 * 2) * 2 / (60
– 12 * 4) = 2000 USD
At this rate, the asset is fully depreciated
after the first six months in 2012.
Jan. Feb Ma Apr Ma Jun. Jul. Aug Sep Oct Nov Dec
. r. . y . . . . .
201 200 200 200 200 200 200 200 200 200 200 200 200
0 0 0 0 0 0 0 0 0 0 0 0 0
201 200 200 200 200 200 200 200 200 200 200 200 200
1 0 0 0 0 0 0 0 0 0 0 0 0
201 200 200 200 200 200 200

2 0 0 0 0 0 0
201
3
201
4
With all the above calculation methods, the

asset depreciates twice as quickly as with the
straight line method, and the overall useful life
of the asset is shortened to 30 months as a
result.
Example
Individual Period Control
Asset Y
USD
o Depreciation Method: Straight Line Period
Control
o Depreciation Period: Individual
Depreciation Period Control
Ja Fe Ma Ap Ma Ju Ju Au Se Oc No De
n. b. r. r. y n. l. g. p. t. v. c.
Depreciati Ye Yes Yes Ye Yes Yes

on s s
Factor 2 2 2 2 2 2

bases and methods.
 Calculation Base: Yearly
Calculation Method: Acquisition
Value/Total Useful Life
The system calculates the yearly
60000 USD / 60 * (2 + 2 + 2 + 2 + 2 + 2) =
12000 USD
Each year, the 12,000 USD is allocated to
the six months as follows:
Jan. Feb Mar Apr Ma Jun Jul. Aug Sep Oct Nov Dec
. . . y . . . . . .
201 200 200 200 200 200 200

0 0 0 0 0 0 0
201 200 200 200 200 200 200

1 0 0 0 0 0 0
201 200 200 200 200 200 200

2 0 0 0 0 0 0
201 200 200 200 200 200 200

3 0 0 0 0 0 0
201 200 200 200 200 200 200

4 0 0 0 0 0 0
 Calculation Base: Monthly
Calculation Method: Percentage of
Acquisition Value
The system first calculates the monthly
percentage as follows:
20% / 12 = 1.67%
Then, the depreciation for the months with
a factor of 2 is calculated as follows:
60000 USD * 1.67% * 2 = 2004 USD
To make sure the depreciation does not
cause the asset's book value to fall below
zero, the depreciation in the last month of
the asset's useful life is calculated as
follows:
60000 USD – [2004 USD * (6 * 4 + 5)] =
1884 USD
Jan. Feb Mar. Apr. May Jun. Jul. Aug. Sep. Oct. Nov. Dec.
.
2010 2004 2004 2004 2004 2004 2004
2011 2004 2004 2004 2004 2004 2004
2012 2004 2004 2004 2004 2004 2004
2013 2004 2004 2004 2004 2004 2004
2014 2004 2004 2004 2004 2004 1884
 Calculation Base: Monthly
Calculation Method: Net Book
Value/Remaining Life
The system calculates the depreciation for
each month as follows:
2010: January
60000 USD / 60 * 2 = 2000 USD
2010: March
As the depreciation amount in January
equals two months' depreciation amount
calculated with the straight line method,
the asset is considered having passed two
months of its useful life in March.
Therefore, the depreciation of March is
(60000 USD – 2000 USD) / (60 – 1 * 2) * 2 =
2000 USD
2010: May
As the depreciation amount in January and
March equals four months' depreciation
amount calculated with the straight line
method, the asset is considered having
passed four months of its useful life in
May. Therefore, the depreciation of May is
(60000 USD – 2000 USD * 2) / (60 – 1 * 4) *
2 = 2000 USD
...
Jan. Feb. Mar. Apr. May Jun Jul. Aug Sep. Oct. Nov. Dec.
. .
2010 2000 2000 2000 2000 2000 2000
2011 2000 2000 2000 2000 2000 2000
2012 2000 2000 2000 2000 2000 2000
2013 2000 2000 2000 2000 2000 2000
2014 2000 2000 2000 2000 2000 2000
2.12.3.1.2.1.1.2.3 Declining Balance Method
The declining balance method entails higher

depreciation charges at the beginning of an
asset's useful life and gradually decreasing
charges in subsequent periods. Each year, the
depreciation is calculated using the same
constant percentage rate. In the first year, the
system calculates the depreciation based on
the asset's acquisition and production costs. In
the following years, the calculation is based on
the asset's remaining net book value.
As you can never reach a net book value of
zero using this method, the system can switch
to straight line depreciation towards the end of
the useful life.
The depreciation amount determined in this
way must not exceed a specified upper limit.
This limit is the depreciation amount that is
calculated with the straight line method,
multiplied by a factor.
Percentage
Do one of the following:
 If you have selected Yearly in
the Calculation Base field, enter the annual
percentage rate for the depreciation
calculation.
 If you have selected Monthly in
the Calculation Base field, enter the
monthly percentage rate for the
Factor
Enter the factor for calculating the upper limit
of an asset's depreciation amount in each
period. The upper limit is calculated using the
straight-line method and multiplied by this
factor. For example, the upper limit of an
asset's annual depreciation is calculated with
the following formula:
(Net Book Value – Salvage Value) * [1 / (Total
Useful Life / 12)] * Factor
Note
If an asset's depreciation amount exceeds
the upper limit, SAP Business One uses the
upper limit as the depreciation amount
instead.
Example
Asset X
USD
o Depreciation Method: Declining Balance
o Percentage: 20%
o Factor: 2.5
Automatically Change To: Depreciation Type 01
(Method = Straight Line, Calculation Method =
Net Book Value/Remaining Life)
Capitalization Date: April 1st, 2010
Subsequent Acquisition: October 1st, 2010
with 500 USD
The system calculates the depreciation in the
first year of the asset's useful life as follows:
April 1st, 2010 – September 30th, 2010
The system first calculates the standard
depreciation amount according to the declining
balance method as follows:
1000 USD * 20% / 12 * 6 = 100 USD
Then, the system calculates the upper limit
using the straight line depreciation multiplied
by the factor as follows:
1000 USD * 10% * 2.5 / 12 * 6 = 125 USD
Since the standard depreciation amount does
not exceed the upper limit, the system takes
100 USD as the asset's depreciation amount in
the first half year of its useful life.
October 1st, 2010 – March 31, 2011
Note
When an asset transaction takes place
after the depreciation starts and the asset
uses the yearly calculation base, SAP
Business One recalculates the standard
depreciation amount and the upper limit
using different criteria as follows:
o For the calculation of the standard

depreciation amount, SAP Business
One does not subtract the
depreciation of the periods prior to
the asset transaction in the same
fiscal year.
o For the calculation of the upper
limit, SAP Business One subtracts the
depreciation of the periods prior to
the asset transaction in the same
fiscal year.
For more information, see the calculations
below, which resulted from the asset's
subsequent acquisition.
depreciation amount according to the declining
balance method, as follows:
(1000 USD + 500 USD) * 20% / 12 * 6 = 150
USD
using the straight line depreciation multiplied
by the factor, as follows:
(1000 USD + 500 USD – 100 USD) / * 10% *
2.5 / 12 * 6 = 175 USD
Since the standard depreciation amount does
not exceed the upper limit, the system takes
150 USD as the asset's depreciation amount in
the second half year of its useful life.
As a result, the asset's depreciation in year
2010 is as follows:
100 USD + 150 USD = 250 USD
Automatically Change to
If required, specify a depreciation type with the
straight line method as the alternative
depreciation type.
After you specify a depreciation type with the
straight line method, the system compares the
depreciation amounts between the declining
balance and straight line methods. When the
depreciation amount calculated with the
declining balance method falls below the
straight line depreciation amount in a point of
an asset's life, SAP Business One automatically
switches to the straight line depreciation from
that point on.
If you leave the field empty, SAP Business
One depreciates the asset according to the
declining balance method till the stopping
point.
Recommendation
Do not specify a depreciation type that does
not use the straight line method. If you do
so, SAP Business One always calculates the
depreciation of an asset as zero.
Example
Declining Balance Depreciation Without Alternative Method
Asset X
USD
o Percentage: 40%
Factor: 2
Automatically Change To: None
The system calculates the depreciation for each
year as follows:
2010
depreciation amount according to the
declining balance method, as follows:
60000 USD * 40% = 24000 USD
using the straight line depreciation
multiplied by the factor, as follows:
60000 USD * [1 / (60 / 12)] * 2 = 24000
USD
Since the standard depreciation amount is
equal to the upper limit, the system takes
24,000 USD as the asset's depreciation
amount in 2010.
Therefore, the monthly deprecation in
2010 is 2,000 USD.
2011
(60000 USD – 24000 USD) * 40% = 14400
USD
(60000 USD – 24000 USD) * [1 / (60 / 12)] *
2 = 14400 USD
equal to the upper limit, the system takes
amount in 2011.
Therefore, the monthly depreciation in
2011 is 1,200 USD.
2012
The system calculates the standard
depreciation amount and the upper limit,
and gets the same result, as follows:
(60000 USD – 24000 USD – 14400 USD) *
40% = 8640 USD
2012 is 720 USD.
2013
The system calculates the standard
depreciation amount and the upper limit,
and gets the same result as follows:
(60000 USD – 24000 USD – 14400 USD –
8640 USD) * 40% = 5184 USD
2013 is 432 USD.
2014
In order to fully depreciate the asset in the
last year of its useful life, the system
calculates the depreciation as follows:
60000 USD – 24000 USD – 14400 USD –
8640 USD – 5184 USD = 7776 USD
2014 is 648 USD.
Jan. Feb Ma Apr Ma Jun. Jul. Aug Sep Oct. Nov Dec
. r. . y . . . .
201 200 200 200 200 200 200 200 200 200 200 200 200
0 0 0 0 0 0 0 0 0 0 0 0 0
201 120 120 120 120 120 120 120 120 120 120 120 120
1 0 0 0 0 0 0 0 0 0 0 0 0
201 720 720 720 720 720 720 720 720 720 720 720 720
2
201 432 432 432 432 432 432 432 432 432 432 432 432
3
201 648 648 648 648 648 648 648 648 648 648 648 648
4
Example
Declining Balance Depreciation With an Alternative Method
Asset Y
USD
o Percentage: 3%
o Factor: 5
Automatically Change To: Depreciation Type 01
(Method = Straight Line; Calculation Base =
Monthly; Calculation Method = Acquisition
Value/Total Useful Life)
According to the alternative method, the
monthly depreciation amount is 1,000 USD
(60000 USD/60). Therefore, once the standard
depreciation amount falls below 1,000 USD,
the system automatically switches to the
alternative method.
Starting from January 1st, 2010, the asset
depreciates as follows:
2010: January
60000 USD * 3% = 1800 USD
60000 USD * (1 / 60) * 5 = 5000 USD
less than the upper limit, the system takes
amount in January.
2010: February
(60000 USD – 1800 USD) * 3% = 1746 USD
(60000 USD – 1800 USD) * (1 / 60) * 5 =
4850 USD
amount in February.
2010: March
(60000 USD – 1800 USD – 1746 USD) * 3%
= 1693.62 USD
(60000 USD – 1800 USD – 1746 USD) *
(1/60) * 5 = 4704.50 USD
1,693.62 USD and rounds it to 1694 USD as
the asset's depreciation amount in March.
2011: September
(60000 USD – 27372 USD) * 3% = 978.84
USD
As the depreciation amount falls below
1,000 USD, which is calculated with the
alternative straight line method, the
system switches to straight line
depreciation from this month.
2014: May
At the beginning of May 2014, the asset's
accumulated depreciation has reached
59,372 USD, and its net book value is only
628 USD. Therefore, the asset can only
depreciates 628 USD in May.
Jan. Feb Ma Apr Ma Jun. Jul. Aug Sep Oct Nov Dec
. r. . y . . . . .
201 180 174 169 164 159 154 149 145 141 136 132 128
0 0 6 4 3 4 6 9 4 1 8 7 8
201 124 121 117 114 110 107 104 100 100 100 100 100
1 9 1 5 0 6 2 0 9 0 0 0 0
201 100 100 100 100 100 100 100 100 100 100 100 100
2 0 0 0 0 0 0 0 0 0 0 0 0
201 100 100 100 100 100 100 100 100 100 100 100 100
3 0 0 0 0 0 0 0 0 0 0 0 0
201 100 100 100 100 628

4 0 0 0 0
2.12.3.1.2.1.1.2.4 Multilevel Method

With the multilevel method, you can view an
asset's useful life as several phases and
depreciate the asset by a defined rate for each
phase. This way, the asset can have a course of
depreciation that changes in levels over
time. SAP Business One lets you break down an
asset's useful life into multiple phases, for each
of which you can specify a depreciation rate
and a validity period.
Multilevel Method
Level
Displays the level of depreciation. SAP Business
One lets you specify multiple levels, with each
level representing a phase in an asset's useful
life.
Base
Select one of the following as the base for the
depreciation calculation in each phase:
 Acquisition Value
The annual depreciation in each phase is
calculated using the following formula:
(Acquisition Value – Salvage Value) *
Annual Percentage
 Net Book Value
The annual depreciation in each phase is
calculated using the following formula:
(Net Book Value – Salvage Value) * Annual
Percentage
Number of Years
Enter the number of years in each phase.
You can enter integers only.
Annual Percentage
depreciation calculation that is valid for each
phase.
Example
Asset X
USD
o Depreciation Method: Multilevel
Calculation
Level Base Number of Years Annual Percentage
1 Acquisition Value 2 35
Calculation
2 Acquisition Value 3 10
The system calculates the depreciation as
follows:
2010 – 2011
Each year, the depreciation is calculated as
follows:
60000 USD * 35% = 21000 USD
Therefore, the monthly deprecation is
1,750 USD.
2012 – 2014
Each year, the depreciation is calculated as
follows:
60000 USD * 10% = 6000 USD
Therefore, the monthly depreciation is 500
USD.
Jan. Feb Ma Apr Ma Jun Jul. Aug Sep Oct No Dec
. r. . y . . . . v. .
201 175 175 175 175 175 175 175 175 175 175 175 175
0 0 0 0 0 0 0 0 0 0 0 0 0
201 175 175 175 175 175 175 175 175 175 175 175 175
1 0 0 0 0 0 0 0 0 0 0 0 0
201 500 500 500 500 500 500 500 500 500 500 500 500
2
201 500 500 500 500 500 500 500 500 500 500 500 500
3
201 500 500 500 500 500 500 500 500 500 500 500 500
4
Example
Asset Y
USD
o Depreciation Method: Multilevel
Calculation
1 Net Book Value 2 35
2 Net Book Value 3 10
The system calculates the depreciation as

follows:
2010: January
60000 USD * 35% / 12 = 1750 USD
2010: February
(60000 USD – 1750 USD) * 35% / 12 =
1698.95 USD
The amount is then rounded to 1699 USD.
Note
In the above formula, the system
recalculates the annual depreciation
based on the new book value in
February, thereby dividing the amount
by 12 instead of 11 to get the
depreciation amount of this month.
2011: March
(60000 USD – 1750 USD – 1699 USD) * 35%
/ 12 = 1649.40
The amount is then rounded to 1649 USD.
2014: December
At the beginning of December 2014, the
asset's accumulated depreciation has
reached 38,003 USD, and its net book value
is still 21,997 USD. Therefore, to fully
depreciate the asset at the end of its useful
life, the depreciation amount in December
is 21,997 USD.
Jan. Feb Ma Apr Ma Jun Jul. Aug Sep Oct No Dec.
. r. . y . . . . v.
201 175 169 164 160 155 150 146 142 138 134 130 1264
0 0 9 9 1 5 9 5 3 1 1 2
201 122 119 115 112 109 105 102 997 968 940 912 886
1 7 1 6 3 0 8 7
201 246 244 242 240 238 236 234 232 230 228 226 224
2
Jan. Feb Ma Apr Ma Jun Jul. Aug Sep Oct No Dec.
. r. . y . . . . v.
201 222 220 219 217 215 213 211 210 208 206 204 203
3
201 201 199 198 196 194 193 191 190 188 186 185 2199
4 7
2.12.3.1.2.1.1.2.5 Immediate Write-Off Method
Immediate write-off is a depreciation method

that completely writes off the depreciable
value of an asset in the period when the asset
is acquired. Usually, this method is applied to
low value assets.
In SAP Business One, based on different

calculation bases, a low value asset can be
completely written off in the acquisition month
or year. For more information, see the
examples below:
Example
Asset X
o Acquisition and Production Costs: 100 USD
o Useful Life: 1 Month
o Depreciation Method: Immediate Write-Off
As the total useful life of the asset is 1 month,

the asset must be completely written off in this
month. Therefore, the depreciation amount in
January is 100 USD.
Example
Asset Y
o Acquisition and Production Costs: 100 USD
o Depreciation Method: Immediate Write-Off
The asset depreciation can be different based

on different calculation bases, as follows:
 Calculation Base – Yearly
The asset must be completely written off in
year 2010. Therefore, the asset is
depreciated by 50 USD each month in
January and February.
 Calculation Base – Monthly
The asset must be completely written off in
the first month of its useful life. Therefore,
the asset is depreciated by 100 USD in
January.
2.12.3.1.2.1.1.2.6 Special Depreciation Method
In many countries, you are allowed to carry out

special depreciations for your fixed assets.
Usually, a certain percentage of the asset value
can be depreciated in addition to the normal
depreciation amount. The percentage allowed
for the special depreciation, as well as the
period over which you can carry out the special
depreciation, are dependent on national
legislation.
Note
In SAP Business One, special depreciation is
always carried out in the first period of the
concession years. For more information, see
the examples below.
Special Depreciation Method
Calculation Method
Displays Additional, which suggests that
special depreciation is always calculated in
addition to the standard depreciation amount.
Pool of Depreciation Type
From the dropdown list, select a pool to which
you want to assign the depreciation type.
You must assign a special or manual
depreciation type to a pool.
Normal Depreciation
Specify a depreciation type that is used for the
regular automatic depreciation of an asset.
You must specify a depreciation type whose
method is not special depreciation.
Alternative Depreciation
To compare different depreciation calculations,
specify a second depreciation type here. The
system calculates the depreciation for this
depreciation type in parallel. The result of the
alternative calculation is for reference only,
and no bookings are carried out in the general
ledger.
Recommendation
You can specify the same depreciation type for
the normal and alternative depreciation. This
way, you can compare the asset depreciation
with and without the special depreciation.
Concession Period (Years)
Enter the number of years during which the
special depreciation is legally permitted.
Maximum Percentage
If required, enter the percentage rate for
calculating the maximum depreciation amount
allowed in addition to the normal depreciation.
National legislation specifies this value.
The system calculates the maximum special
depreciation amount as follows:
(Acquisition and Production Costs – Salvage
Value) * Maximum Percentage
Maximum Amount
If required, enter the maximum depreciation
amount allowed in addition to the normal
depreciation. The maximum amount is an
alternative to the maximum percentage.
To optimize depreciation from a tax point of
view, you can split the concession period into
multiple sub-periods and freely distribute the
maximum percentage over these periods.
Number of Years
Specify the number of years in each period.
Note
The total number of years you enter must not
exceed the concession period.
Annual Percentage
special depreciation calculation.
Note
The total percentage rate of all periods must
not exceed the maximum percentage.
Amount
Enter the annual special depreciation amount.
Note
The total amount for all periods must not
exceed the maximum amount.
Example
Asset X
USD
o Depreciation Type: Special Depreciation
o Normal Depreciation: Depreciation Type 02
Yearly; Calculation Method = Net Book
Value/Remaining Life)
o Concession Period: 2 Years
o Maximum Percentage: 30
Level Number of Years Annual Percentage
1 2 15

follows:
2010–2011
The system first calculates the normal
depreciation in 2010 and 2011 as follows:
2010: 60000 USD / 60 * 12 = 12000 USD
2011: (60000 USD – 12000 USD) / (60 – 12)
* 12 = 12000 USD
Then, the special depreciation in each year
is calculated as follows:
60000 USD * 15% = 9000 USD
Assuming your company's posting periods
are months, SAP Business One carries out
the special depreciation in the first month
of 2010 and 2011, respectively.
2012–2014
The system calculates the depreciation
from 2012 to 2014 as follows:
Note
Within the concession period, the
special depreciation amount does not
affect the calculation of the net book
value. However, after the concession
period, the calculation of the net book
value takes into account the special
depreciation amount.
2012
(60000 USD – 12000 USD * 2 – 9000 USD *
2) / (60 – 12 * 2) * 12 = 6000 USD
2013
(60000 USD – 12000 USD * 2 – 9000 USD *
2 – 6000 USD) / (60 – 12 * 3) * 12 = 6000
USD
2014
60000 USD – 12000 USD * 2 – 9000 USD *
2 – 6000 USD * 2 = 6000 USD
2010 10000 1000 1000 1000 1000 1000 1000 1000 1000 1000 1000 1000
2011 10000 1000 1000 1000 1000 1000 1000 1000 1000 1000 1000 1000
2012 500 500 500 500 500 500 500 500 500 500 500 500
2013 500 500 500 500 500 500 500 500 500 500 500 500
2014 500 500 500 500 500 500 500 500 500 500 500 500
Example
Asset Y
USD
o Depreciation Type: Special Depreciation
o Normal Depreciation: Depreciation Type 02
Yearly; Calculation Method = Net Book
Value/Remaining Life)
o Concession Period: 2 Years
o Maximum Amount: 20,000 USD
Level Number of Years Amount
1 2 10000

follows:
2010–2011
The system calculates the normal
depreciation in 2010 and 2011 as follows:
2010: 60000 USD / 60 * 12 = 12000 USD
2011: (60000 USD – 12000 USD) / (60 – 12)
* 12 = 12000 USD
The special depreciation in each year is
10,000 USD.
Assuming your company's posting periods
are months, SAP Business One carries out
the special depreciation in the first month
of 2010 and 2011, respectively.
2012–2014
The system calculates the depreciation
from 2012 to 2014 as follows:
Note
Within the concession period, the
special depreciation amount does not
affect the calculation of the net book
value. However, after the concession
period, the calculation of the net book
value takes into account the special
depreciation amount.
2012
(60000 USD – 12000 USD * 2 – 10000 USD
* 2) / (60 – 12 * 2) * 12 = 5333.33 USD
The system rounds 5,333.33 USD to 5,333
USD.
2013
(60000 USD – 12000 USD * 2 – 10000 USD
* 2 – 5333 USD) / (60 – 12 * 3) * 12 =
5333.33 USD
The system rounds 5,333.33 USD to 5,333
USD.
2014
60000 USD – 12000 USD * 2 – 10000 USD *
2 – 5333 USD * 2 = 5334 USD
2010 11000 1000 1000 1000 1000 1000 1000 1000 1000 1000 1000 1000
2011 11000 1000 1000 1000 1000 1000 1000 1000 1000 1000 1000 1000
2012 444.42 444.42 444.42 444.42 444.42 444.42 444.42 444.42 444.42 444.42 444.42 444.38
2013 444.42 444.42 444.42 444.42 444.42 444.42 444.42 444.42 444.42 444.42 444.42 444.38
2014 444.50 444.50 444.50 444.50 444.50 444.50 444.50 444.50 444.50 444.50 444.50 444.50
2.12.3.1.2.1.1.2.7 Manual Depreciation Method
Use this depreciation method for one-off

depreciations.
With this depreciation method, you do not
need to specify any calculation methods.
Instead, you enter the depreciation amount
directly when you create the manual
depreciation documents. For more
information, see Manual Depreciation.
Note
You cannot assign depreciation types with
the manual depreciation method to any
asset or asset class.
SAP Business One lets you use these

depreciation types only when you create
manual depreciations.
Manual Depreciation Method

Reduce Depreciation Base
To let manual depreciation affect the calculation of an asset's
planned depreciation, select this checkbox.
After you select the checkbox, the system automatically reduces the
depreciation base by the manual depreciation amount.
The reduction of the depreciation base only applies to the fiscal year
during which the manual depreciation takes place. For more
information, see the examples below.
Note
The reduction applies to an asset only when the asset uses the
acquisition and production costs as the base for the planned
depreciation calculation. If the asset uses the net book value as the
base, the manual depreciation amount is deducted anyway.
In addition, the reduction only takes places in the fiscal year during
which the manual depreciation occurs.
Pool of Depreciation Type
From the dropdown list, select a pool to which you want to assign
the depreciation type.
You must assign a special or manual depreciation type to a pool.
Example
Asset X
 Acquisition and Production Costs: 60,000 USD
 Useful Life: 60 Months
 Depreciation Method: Straight Line
 Calculation Base: Yearly
 Calculation Method: Acquisition Value/Total Useful
Life
 Capitalization Date: January 1st, 2010
Normal Depreciation: Depreciation Type 02 (Method = Straight Line;
Calculation Base = Yearly; Calculation Method = Net
On January 1st, 2011, you created a manual depreciation for the
asset with a worth of 2,000 USD.
The system calculates the depreciation differently, depending on the
settings of the manual depreciation type.
 Reduce Depreciation Base checkbox: Selected
2010
60000 USD / 60 * 12 = 12000 USD
2011
In January, the asset was manually
depreciated by 2,000 USD. In this case, the
depreciation base (the acquisition and
production costs) of this year is reduced by
2,000 USD as follows:
60000 USD – 2000 USD = 58000 USD
Therefore, the standard depreciation in
this year is calculated as follows:
58000 USD / 60 * 12 = 11600 USD
2012
As the manual depreciation amount only
affects the depreciation base in 2011, the
depreciation in 2012 is still calculated as
follows:
60000 USD / 60 * 12 = 12000 USD
2013
60000 USD / 60 * 12 = 12000 USD
2014
The system calculates the book value of
the asset as follows:
60000 USD – 12000 USD * 3 – 2000 USD –
11600 USD = 10400 USD
2010 1000 1000 1000 1000 1000 1000 1000 1000 1000 1000 1000 1000
2011 2966.67 966.67 966.67 966.67 966.67 966.67 966.67 966.67 966.67 966.67 966.67 966.63
2012 1000 1000 1000 1000 1000 1000 1000 1000 1000 1000 1000 1000
2013 1000 1000 1000 1000 1000 1000 1000 1000 1000 1000 1000 1000
2014 866.67 866.67 866.67 866.67 866.67 866.67 866.67 866.67 866.67 866.67 866.67 866.63
 Reduce Depreciation Base checkbox:

Unselected
2010
60000 USD / 60 * 12 = 12000 USD
2011
The system still calculates the standard
depreciation in this year as follows:
60000 USD / 60 * 12 = 12000 USD
In addition, in January, the asset was
manually depreciated by 2,000 USD.
2012
60000 USD / 60 * 12 = 12000 USD
2013
60000 USD / 60 * 12 = 12000 USD
2014
The system calculates the book value of
the asset as follows:
60000 USD – 12000 USD * 4 – 2000 USD =
10000 USD
2010 1000 1000 1000 1000 1000 1000 1000 1000 1000 1000 1000 1000
2011 1000 1000 1000 1000 1000 1000 1000 1000 1000 1000 1000 1000
2012 1000 1000 1000 1000 1000 1000 1000 1000 1000 1000 1000 1000
2013 1000 1000 1000 1000 1000 1000 1000 1000 1000 1000 1000 1000
2014 833.33 833.33 833.33 833.33 833.33 833.33 833.33 833.33 833.33 833.33 833.33 833.37
2.12.3.1.3 Defining and Assigning Depreciation Areas
In SAP Business One, you can define the following types of

depreciation areas:
 Posting to G/L
 Additional area
 Derived area
For each asset class, you can assign multiple depreciation areas
and these depreciation areas will then be taken to all assets in the
class. With multiple depreciation areas, you can carry out different
depreciation calculations for a single asset.
Prerequisites
Procedure
Defining Depreciation Areas
Assets Depreciation Areas.
 The Depreciation Areas - Setup window opens.
2. Enter the code and description, select the type, and specify
other parameters.
3. Choose Add.
Assigning Depreciation Areas to Fixed Assets
Classes.
 The Asset Classes - Setup window opens.
5. Specify the general information, select the depreciation areas,
and specify other required fields.
6. Choose Add.
 The Asset Master Data window opens.
Note
status Active.
Once you specify the asset class, the associated depreciation areas
are copied to the asset.
2.12.3.1.3.1 Depreciation Areas
In SAP Business One, you can use different depreciation

areas for showing the value of fixed assets for a specific
purpose.
Example
Balances for tax purposes or management accounting values
SAP Business One supports the following types of

depreciation areas:
 Posting to G/L – The area for posting asset

depreciations in the general ledger accounts.
 Derived Area – The derived area of the main

depreciation area. Generally, you use this area when
carrying out special depreciations.
In special depreciation, you can specify the same

depreciation type for both the normal and alternative
depreciation. This way, the main depreciation area
carries out the normal depreciation and the special
depreciation while the derived area carries out the
normal depreciation only. You can then compare the
asset depreciation with and without the special
depreciation.
The derived area is used only for information purposes,

and there is no posting in the general ledger.
 Additional Area – The area in addition to the posting

depreciation areas. You can use this area to compare
the effects of using different depreciation areas. You can
carry out an additional depreciation calculation for a
different depreciation area in parallel to the actual
calculation. The parallel calculation is for information
purposes only, and no posting is carried out in the
general ledger.
2.12.3.1.3.1.1 Depreciation Areas - Setup Window
Use this window to create, update, and view

depreciation areas.
To open the window, from the SAP Business One Main
Menu,
Assets Depreciation Areas.
Depreciation Areas - Setup Window Fields
Code
Enter a unique code for the depreciation area.
Description
If required, enter a description of the depreciation
area.
Type
Select one of the following types for the depreciation
area:
 Posting to G/L – In this area, the asset
depreciation is posted to the general ledger
accounts.
 Additional Area – In this area, the asset
depreciation is not posted to the general ledger
accounts. The depreciation carried out in this area
is for information purposes only.
 Derived Area – The derived area of the main
depreciation area. Generally, you use this area
when carrying out special depreciations.
In special depreciation, you can specify the same
depreciation type for both the normal and alternative
depreciation. This way, the main depreciation area
carries out the normal depreciation and the special
depreciation, while the derived area carries out the
normal depreciation only. You can then compare the
asset depreciation with and without the special
depreciation. For more information, see Special
Depreciation Method.
The derived area is used only for information
purposes, and there is no posting in the general
ledger.
Note
SAP Business One lets you create only one
depreciation area with the Derived Area type.
Main Depreciation Area
Select the checkbox to indicate that the depreciation
area is the main depreciation area.
Note
SAP Business One lets you create one main
depreciation area only.
Derived Depreciation Area
Note
The field is available only if the following
conditions are met:
 The depreciation area has the Posting to G/L type.
 The depreciation area is the main depreciation
area.
From the dropdown list, select the derived
depreciation area of the main depreciation area.
Posting of Depreciation
Note
The field is available only for the depreciation
areas with the Posting to G/L type.
Select one of the following depreciation posting
methods:
 Direct Posting – The system posts the asset
depreciation directly in the asset balance sheet
account.
 Indirect Posting – The system posts the asset
depreciation in the accumulated depreciation
accounts and transfers the depreciation to the
asset balance sheet account only when the asset
is retired.
Posting of Retirement
Note
The field is available only for the depreciation
areas with the Posting to G/L type.
Select one of the following retirement posting

methods:
 Gross – The system does not post the profits or
losses during asset retirement to any general
ledger accounts.
 Net – The system posts the profits and losses
during asset retirement to corresponding general
ledger accounts.
2.12.3.1.4 Defining and Assigning Asset Attributes
In SAP Business One, you can define different groups of attributes

for your fixed assets. By assigning an attribute group to an asset
class, you can, therefore, link the attributes to your fixed assets.
Prerequisites
Procedure
Defining Attributes
Assets Attribute Groups.
 The Attribute Groups - Setup window opens.
2. Enter the description, activate the attributes that you want to
use, and enter the attribute names and default values.
Note
If you want to adjust the order of the attributes, use
the Move Up orMove Down pushbutton.
3. Choose Add.
Assigning Attributes to Fixed Assets
Classes.
 The Asset Classes - Setup window opens.
2. Specify the general information and select the attribute group
that you want to assign to the asset class.
3. Choose Add.
 The Asset Master Data window opens.
Note
status Active.
Once you specify the asset class, the associated attribute group is
linked to the asset. As a result, the active attributes in the group
are copied to the Attributes subtab, displayed in the order that
was specified in the Attribute Groups - Setup window.
2.12.3.1.4.1 Attribute Groups - Setup Window

Use this window to set up different groups of attributes for
your fixed assets.
In each group, you can define up to 64 attributes of different
types, as follows:
Type Number of Attributes
Text 32
Numeric 10
Date 5
Amount 7
Price 5
Quantity 5
By assigning an attribute group to an asset class, you can,

therefore, link the attribute group to your fixed assets. The
active attributes in the group will then be displayed in Asset
Master Data Window - Fixed Assets Tab: Attributes Subtab.
To open this window, from the SAP Business One Main
Menu, choose Administration Setup Financials Fixed
Assets Attribute Groups.
Attribute Groups - Setup Window Fields
Name
Enter a name of up to 100 characters for the attribute
group.
Attribute Name
Note
The field is editable only if you have selected
the Active checkbox in the row.
Enter a name of up to 100 characters for the attribute.
Attribute Value
Note
The field is editable only if you have selected
the Active checkbox in the row.
If required, enter an attribute value of up to 100 characters.
The value you enter here is taken to the asset master data
as the default attribute value.
Example
Attribute Name – Color
Attribute Value – Black
If you assign the asset group to an asset class, the
attribute Color and the default value Black will be taken to
the master data of all assets in the class.
Field Type
Displays the predefined type of the attribute field.
You cannot change the type.
Active
Activates the attribute.
You can then specify the attribute name and value.
Note
Once you assign the attribute group to an asset class,
the active attributes in the group are taken to the
master data of all assets in the class.
Move Up, Move Down
Use these two pushbuttons to adjust the order of the
attributes.
To move an attribute upward in the list, select the attribute
row and choose the Move Up pushbutton.
Likewise, to move an attribute downward in the list, select
the attribute row and choose the Move Down pushbutton.
SAP Business One lets you select multiple rows with
the Shift or Ctrl key on your keyboard.
Note
Once you assign the attribute group to an asset class,
the active attributes in the group are taken to the asset
master data, displayed in the order specified in
the Attribute Groups - Setup window.
2.12.3.2 Asset Classes - Setup Window

Use this window to create, update and view asset classes.
To open this window, from the SAP Business One Main Menu,
choose Administration Setup Financials Fixed Assets Asset Classes.
General Area Fields
Code
Enter a unique code for the asset class.
Description
If required, enter a description of the asset class.
Asset Type
Select one of the following asset types:
 General – Select this option for regular assets.
 Low Value Asset – Select this option for low value assets.
Value Limit From
Note
The field is available only if you have selected Low Value Asset in
the Asset Type field.
Enter the lower limit for low value assets.

Value Limit To
Note
The field is available only if you have selected Low Value Asset in
the Asset Type field.
Enter the upper limit for low value assets.
Attribute Group
From the dropdown list, select the attribute group that you want to assign
to the asset class.
By default, Default Attribute Group is selected. The default attribute
group contains the following four predefined attributes:
 Remark 1
 Remark 2
 Amount 1
 Amount 2
Table Area Fields
Depreciation Area
Specify the depreciation areas for the asset class.
Note
You must specify at least one main depreciation area.
Active
Select the checkbox to indicate that the depreciation area is active for the
asset class.
The system calculates the asset depreciation in all active depreciation
areas.
Note
At least one depreciation area must be active.
Account Determination
Specify the account determination for the Posting to G/L type of
depreciation areas.
Depreciation Type
Specify the depreciation type in the depreciation area.
Later, when you assign the asset class to an asset, you can still change the
depreciation type in the asset master data.
Note
For the derived depreciation area, you cannot specify a depreciation
type.
Useful Life (Months)

Enter the useful life in months for the assets in this asset class.
Later, when you assign the asset class to an asset, you can still change the
useful life in the asset master data.
Note
For the derived depreciation area, you cannot specify a useful life.
2.12.4 Creating Fixed Assets
Prerequisites
1. You have enabled fixed assets.
2. You have defined the following:
o Depreciation types
o Depreciation areas
o Attribute groups
o Asset classes
Procedure
1. From the SAP Business One Main Menu, choose Financials Fixed Assets Asset
Master Data.
The Asset Master Data window opens.
2. To switch to Add mode, do one of the following:
o Press Ctrl + A on your keyboard.
o In the toolbar, choose .

o From the menu bar, choose Data Add.
3. In the general area of the Asset Master Data window, specify the item number
and other required information.
4. On the Fixed Assets tab, Overview subtab, specify the asset class to which the
asset belongs.
Once you specify the asset class, the following depreciation parameters of the asset
class are copied to the asset as the default:
o Depreciation area
o Depreciation type
o Useful life
5. If required, specify other information related to the asset on the Fixed
Assets tab.
6. Choose Add.
2.12.4.1 Asset Master Data

The general area of the Asset Master Data window has the same fields as the general
area of the Item Master Data window, except for the following fields.
Virtual Item
Note
This checkbox is available only if you use numbering series for asset master data. By
default, this checkbox is unselected.
Select the checkbox to indicate the asset is a virtual item used for bulk purchase.
Virtual items can be capitalized by A/P invoices only. Once you have used a virtual item in an
A/P invoice, the checkbox becomes non-editable.
Enforce Serial Numbers
Note
This checkbox is available only if you have selected the Virtual Item checkbox. By
default, this checkbox is unselected.
Select the checkbox to enforce the use of serial numbers for fixed assets generated by
virtual items. This means, when you purchase assets by using virtual items in A/P invoices,
you must specify a serial number for each generated asset.
2.12.5 Asset Transactions
2.12.5.1 Capitalization
Capitalization is the process of recording an acquisition and production cost as a

fixed asset (written off as depreciation over several accounting periods) instead of
an expense (charged against earnings in one accounting period). When you
acquire an asset, SAP Business One automatically capitalizes it.
To create asset acquisitions, you can use any of the following documents:
 Capitalization
Note
When you acquire an asset for the first time using a capitalization document, you must
create the document for all depreciation areas. For subsequent acquisitions, you can
create the document for a specific depreciation area.
SAP Business One lets you create a capitalization document for multiple assets. Once
you add the document, the system creates a journal entry for each Posting to
G/L depreciation area associated with the assets. In the journal entry, the asset balance
sheet accounts are debited and the acquisition clearing accounts are credited.
 A/P invoice
 A/P correction invoice

Note
If you acquire an asset using an A/P invoice or A/P correction invoice, the system
automatically generates a capitalization document. The capitalization affects all of the
asset's associated depreciation areas.
2.12.5.1.1 Capitalization Window

Use this window to create asset acquisitions.
To open the window, from the SAP Business One Main Menu,
choose Financials Fixed Assets Capitalization.
General Area Fields
Origin
Displays one of the following:
 AC – The abbreviation for the transaction type Capitalization. It indicates the
capitalization document is manually created.
 PU – The abbreviation for the transaction type A/P Invoice. It indicates the
capitalization document is automatically generated as a result of the creation of an
A/P invoice with fixed assets.
 CU – The abbreviation for the transaction type A/P Correction Invoice. It indicates
the capitalization document is automatically generated as a result of the creation of
an A/P correction invoice with fixed assets.
When the capitalization document is in Add mode, the field is blank.
Origin No.
 If the capitalization document is created manually, the field displays the document
number according to the definition in the Document Numbering - Setup window.
 If the capitalization document is automatically generated, the field displays the
document number of the source A/P invoice or A/P correction invoice document.
No.
Displays the document series and number according to the definition in
the Document Numbering - Setup window.
Status
 Posted – Indicates the capitalization document is created.
 Cancelled – Indicates the capitalization document is cancelled.
Posting Date
Specify the date on which the journal entry is posted.
Document Date
Specify the document date. By default, the document date is the same as the
posting date.
Asset Value Date
Specify the date on which the asset is capitalized.
By default, the date is the same as the posting date.
Note
If you have not specified the capitalization date for an asset in the asset master
data, the date you specify here is copied to the asset master data as the
capitalization date.
Cancellation Date
Note
The field is available only if you have canceled the capitalization document.
If a capitalization document is automatically generated upon the creation of an
A/P invoice or A/P correction invoice, you must cancel the invoice in order to
cancel the capitalization document.
Displays the cancellation date.
Depreciation Area
Select the depreciation area in which the capitalization takes effect.
Note
You must create the capitalization document for all depreciation areas.
By default, * – All Areas is selected.
Reference
If required, specify additional information about the capitalization.
Currency
From the dropdown list, select which currency (local, system, or foreign) you
want to use for the capitalization.
If you select foreign currency, specify the currency and the exchange rate.
Total
Displays the total amount of the document.
Contents Tab Fields
Asset No.
Specify the asset you want to acquire.
Selecting the same asset twice displays an error message.
Asset Description
You can select an asset by the asset description, as an alternative to the asset
number.
G/L Account
Note
The field is available only if you have selected a specific depreciation area
instead of all areas in the Depreciation Area field.
Specify the clearing account for the acquisition and production costs of the
fixed assets.
By default, the Acquisition Clearing Account you have specified for the asset is
displayed.
Total
Enter the acquisition cost of the asset.
Quantity
If the asset is planned for quantity maintenance, enter the acquired quantity.
Remark
If required, enter remarks about the asset.
Accounting Tab Fields
Depreciation Area
Displays all Posting to G/L depreciation areas that are associated with the
selected assets in this document.
One journal entry is generated for each depreciation area.
Journal Remark
If required, enter the remark about the journal entry generated in each
depreciation area.
By default, the journal remark is Capitalization.
Cancellation Journal Remark
If required, enter the remark about the journal entry generated upon the
cancellation of the capitalization document.
Note
The field is available only if you have canceled the capitalization document.
If a capitalization document is automatically generated upon the creation of an
A/P invoice or A/P correction invoice, you must cancel the invoice in order to
cancel the capitalization document.
2.12.5.2 Capitalization Credit Memo
A capitalization credit memo, which reduces the acquisition and production costs of an
asset, essentially represents the opposite of an invoice for a purchased asset.
To reduce the acquisition and production costs of an asset, you can use any of the
following documents:
 Capitalization credit memo
When you reduce the acquisition and production costs of an asset using a capitalization
credit memo, you can apply the reduction to any depreciation area associated with the
asset. If the depreciation area you specify is not a Posting to G/L area, no journal entry
is generated.
SAP Business One lets you create a capitalization credit memo for multiple assets. If you
select all depreciation areas, the system creates a journal entry for each Posting to
G/L depreciation area associated with the assets. In the journal entry, the asset balance
sheet accounts are credited and the acquisition clearing accounts are debited.
 A/P credit memo
 A/P correction invoice

Note
If you reduce an asset's acquisition and production costs using an A/P credit memo or
A/P correction invoice, the system automatically generates a capitalization credit memo.
 A/P correction invoice reversal

Note
If you have acquired an asset using an A/P correction invoice, you can reverse the
acquisition by creating an A/P correction invoice reversal. With the reversal, the system
cancels the original capitalization document generated upon the creation of the A/P
correction invoice.
When you create a capitalization credit memo for an asset, the credit memo always
affects the asset's planned depreciation for the whole year, no matter when in the year
the credit memo occurs. If the credit memo occurs in the year of the first acquisition, the
asset's depreciation is decreased as of the depreciation start date. If the credit memo
occurs in a subsequent fiscal year, depreciation for the asset is decreased as of the
beginning of this subsequent fiscal year.
Note
SAP Business One considers the asset value date of the capitalization credit memo
document as the date when the credit memo actually occurs.
2.12.5.2.1 Capitalization Credit Memo Window

Use this window to create capitalization credit memos for assets.
choose Financials Fixed Assets Capitalization.
General Area Fields
Origin
 AM – The abbreviation of the transaction type Capitalization Credit Memo. It
indicates that the capitalization credit memo is manually created.
 PC – The abbreviation of the transaction type A/P Credit Memo. It indicates that the
capitalization credit memo is automatically generated as a result of the creation of
an A/P credit memo with fixed assets.
 CU – The abbreviation of the transaction type A/P Correction Invoice. It indicates
that the capitalization credit memo is automatically generated as a result of the
creation of an A/P correction invoice with fixed assets.
When the capitalization credit memo is in Add mode, the field is blank.
Origin No.
 If the capitalization credit memo is created manually, the field displays the
document number according to the definition in the Document Numbering -
Setup window.
 If the capitalization credit memo is automatically generated, the field displays the
document number of the source A/P credit memo or A/P correction invoice
document.
No.
Status
 Posted – Indicates that the capitalization credit memo is created.
 Cancelled – Indicates that the capitalization credit memo is cancelled.
Posting Date
Document Date
posting date.
Asset Value Date
Specify the date on which the assets' acquisition and production costs are
reduced.
Cancellation Date
Note
The field is available only if you have canceled the capitalization credit memo.
If a capitalization credit memo is automatically generated upon the creation of
an A/P credit memo, you must cancel the A/P credit memo in order to cancel
the capitalization credit memo.
In addition, if a capitalization credit memo is automatically generated upon the
creation of an A/P correction invoice, you must create an A/P correction
invoice reversal to cancel the capitalization credit memo.
Depreciation Area
Select the deprecation area in which the reduction of the assets' acquisition
and production costs applies.
Reference
If required, specify any additional information about the capitalization credit
memo.
Currency
From the dropdown list, select which currency (local, system, or foreign) you
want to use for the credit memo.
Total
Contents Tab Fields
Asset No.
Specify the asset for which you want to reduce acquisition and production
costs.
You cannot select the same asset twice; otherwise, an error message appears.
Asset Description
You can select an asset by its asset description, as an alternative to its asset
number.
G/L Account
Note
The field is available only if you have selected a specific depreciation area
instead of all areas in the Depreciation Area field.
Specify the clearing account for the acquisition and production costs of the
fixed assets.
By default, the Acquisition Clearing Account you have specified for the asset is
displayed.
Total
Enter the amount that you want to reduce from the asset's acquisition and
production costs.
Quantity
If the asset is planned for quantity maintenance, enter the quantity you want
to reduce.
Remarks
If required, enter the remarks about the asset.
Depreciation Area
 If you have selected a specific depreciation area in the Depreciation Area field in the
general area, the field displays this depreciation area.
Only when this depreciation area is a Posting to G/L area can the system
generate a journal entry.
 If you have selected * – All Areas in the Depreciation Area field in the general area,
the field displays all Posting to G/L depreciation areas that are associated with the
In this case, for each depreciation area, one journal entry is generated.
Journal Remark
depreciation area.
By default, the journal remark is Capitalization Credit Memo.
Note
The field is available only if you have canceled the capitalization credit memo.
If a capitalization credit memo is automatically generated upon the creation of
an A/P credit memo, you must cancel the A/P credit memo in order to cancel
the capitalization credit memo.
In addition, if a capitalization credit memo is automatically generated upon the
creation of an A/P correction invoice, you must create an A/P correction
invoice reversal to cancel the capitalization credit memo.
cancellation of the capitalization credit memo.
2.12.5.3 Retirement
In accounting, retiring a fixed asset means removing it from a corporate balance sheet
and operating activities.
In SAP Business One, you can retire an asset in the following ways:
 Retirement through Sale
A fixed asset is sold with a profit or loss. If you want to specify the customer information
for the asset sale, you can create an A/R invoice to retire the asset. Upon the creation of
the A/R invoice, a retirement document is generated automatically. However, if you do
not want to specify the customer information, you can directly create a retirement
document using the Sales type.
 Retirement through Scrapping
If a fixed asset leaves the asset portfolio without any profit or loss being made, you can
retire the asset by creating a retirement document with the scrapping type. In this case,
the system posts the remaining book value of the asset during retirement as an expense.
 Complete or Partial Retirement
A retirement can refer to an entire asset (complete retirement) or part of an asset (partial
retirement). You can trigger the partial retirement of an asset by entering the retired
acquisition and production costs or the retired quantity. When you enter the retired
acquisition and production costs or quantity, the system determines the percentage that
is deducted from the asset.
When you create a partial retirement for an asset, the retirement reduces the asset's
acquisition and production costs and thereby affects the planned depreciation. The date
on which the partial retirement reduces the assets's acquisition and production costs is
calculated based on the asset value date in the retirement document and the retirement
convention you specified for the asset's depreciation type.
When you retire an asset completely, the asset becomes inactive and you can no longer
carry out any transactions with it.
2.12.5.3.1 Retirement Window

Use this window to create retirement for assets.
choose Financials Fixed Assets Retirement.
General Area Fields
Origin
 RT – The abbreviation for the transaction type Retirement. It indicates the
retirement document is manually created.
 IN – The abbreviation for the transaction type A/R Invoice. It indicates the
retirement document is automatically generated as a result of the creation of an A/R
invoice with fixed assets.
When the retirement document is in Add mode, the field is blank.
Origin No.
 If the retirement document is created manually, the field displays the document
number according to the definition in the Document Numbering - Setup window.
 If the retirement document is automatically generated, the field displays the
document number of the source A/R invoice document.
No.
Status
 Posted – Indicates the retirement is created.
 Cancelled – Indicates the retirement is cancelled.
Posting Date
Document Date
posting date.
Asset Value Date
Specify the date of the retirement.
Cancellation Date
Note
The field is available only if you have canceled the retirement document.
If a retirement document is automatically generated upon the creation of an
A/R invoice, you must cancel the A/R invoice in order to cancel the retirement
document.
Transaction Type
Select one of the following retirement types:
 Sales – Indicates an asset sold with a profit or loss. If you do not need to specify the
customer information, use this type; otherwise, use an A/R invoice.
 Scrapping – Indicates a scrapped asset, with no revenue earned. SAP Business
One posts the asset's remaining book value at the time of retirement as an expense.
Depreciation Area
Select the depreciation area in which an asset's retirement takes effect.
If an asset is retired completely, the retirement is effective in all depreciation
areas. In this case, you must select * – All Areas in this field.
Reference
If required, specify any additional information about the retirement.
Currency
From the dropdown list, select the currency (local, system or foreign) you want
to use for the retirement.
Use Projects/Use Distributions Rules
Select the checkbox to make the Project/Distr. Rule column in the table
effective and editable for the fixed assets in the displayed depreciation area.
Total
Contents Tab Fields
Asset No.
Specify the asset that you want to retire.
Asset Description
number.
G/L Account
Note
The field is available only if the following conditions are met:
 You have selected Sales in the Transaction Type field.
 You have selected a specific depreciation area instead of all areas in
the Depreciation Area field.
Specify the general ledger account to record the revenue from asset sales. The
account cannot be a control account.
By default, the Revenue Account for Retirement you have specified for the
asset is displayed.
For an asset that retires through scrapping, you cannot specify the general
ledger account. Depending on the Posting of Retirement method you have
specified for the asset in the Depreciation Areas - Setup window, the
retirement is posted to one of the following accounts:
 If the asset's retirement posting method is Gross, the asset's retired value is posted
to the Leave with Expense NBV (Gross) account.
 If the asset's retirement posting method is Net, the asset's retired value is posted to
the Retirement with Expense (Net) account.
Total
Enter the total revenue resulting from an asset sale.
Based on the asset's sales revenue and its net book value on the retirement
date, the system determines whether the asset retires with profit or loss.
Note
The field is available only if you have selected Sales in the Transaction
Type field.
Partial
Select the checkbox to indicate the asset retirement is partial, for example.
Only part of the asset quantity or value is removed from the portfolio.
Quantity
Note
The field is editable only if you have selected the Partial checkbox.
If you want to retire an asset partially and the asset is planned for quantity
maintenance, enter the quantity you want to retire. In this case, if you enter
the acquisition and production costs, the value you enter is not effective.
Note
After you enter the quantity, the system calculates the retired net book value
as follows:
Retired Net Book Value = Net Book Value on Retirement Date * Retired
Quantity / Available Quantity on Retirement Date
APC
If you want to retire an asset partially and the asset is not planned for quantity
maintenance, specify how much of the asset's acquisition and production costs
are retired. In this case, if you enter the quantity, it is not effective.
Note
The field is editable only if you have selected the Partial checkbox.
Note
After you enter the quantity, the system calculates the retired net book value
as follows:
Retired Net Book Value = Net Book Value on Retirement Date * Retired
Acquisition and Production Costs / Acquisition and Production Costs on
Retirement Date
Project/Distr. Rule
Displays the project/distribution rule for each asset.
Note
The Project/Distr. Rule column is effective and editable only if you have
selected the Use Project/Use Distr. Rule checkbox.
Remarks
Depreciation Area
Journal Remark
depreciation area.
Depending on whether the retirement type is sales or scrapping, the default
journal remark is Retirement – Sales or Retirement – Scrapping, respectively.
Note
The field is available only if you have canceled the retirement document.
If a retirement document is automatically generated upon the creation of an
A/R invoice, you must cancel the A/R invoice in order to cancel the retirement
document.
cancellation of the retirement document.
2.12.5.4 Transfer
In SAP Business One, you can transfer a fixed asset to a different asset class or a
different asset master data record. This may be necessary if you want to do any of the
following:
 Assign a different set of G/L accounts to an asset
If you want to change the G/L accounts for a certain asset, transferring the asset offers
an alternative to creating a completely new asset. Once you transfer the asset, the
system copies all depreciation data to the target asset. You only need to assign the new
set of G/L accounts to the target asset. After the transfer, the system continues carrying
out the asset's depreciation and transactions with the new set of G/L accounts.
After you completely transfer an asset to another asset, the system deactivates the
source asset and carries out the depreciation calculation for the target asset with its own
depreciation types.
 Create different asset master records for the same asset
If you use a certain type of asset in multiple locations, it may be necessary to maintain
different master data records for this asset. Transferring the asset enables you to create
and store different master records for an asset, and you do not need to create a
completely new asset in the system.
 Change the asset class of an asset for which bookings have already been carried out
 Change the asset class when an asset construction has been completed
For an asset under construction, it is often necessary to reflect the asset at the year end
in the asset history sheet. To achieve this, as well as monitor the construction progress,
you may need to create a specific asset class for this asset. After the construction is
completed and the asset is ready to be used, you can move the asset to a designated
asset class.
Note
Fixed assets that already have posted special depreciation cannot be transferred to
another asset. A valid workaround is to cancel the manual depreciation posting (if
any), cancel the acquisition, and then post the correct values to the new fixed asset. To
keep a link between the two fixed assets, you might want to enter the old fixed asset
number in the description field. This link is for information purposes only. Another
solution is to retire the old fixed asset and then do the new acquisition.
2.12.5.4.1 Transfer Window

Use this widow to transfer an asset to a new asset or asset class.
choose Financials Fixed Assets Transfer.
General Area Fields
Origin
Displays FT, which is the abbreviation for the transaction type Transfer. It
indicates the transfer document is always manually created.
When the transfer document is in Add mode, the field is blank.
Origin No.
Displays the document number according to the definition in the Document
Numbering - Setup window.
No.
Status
 Posted – Indicates the transfer is created.
 Cancelled – Indicates the transfer is cancelled.
Posting Date
Document Date
posting date.
Asset Value Date
Specify the date on which the transfer takes place.
Cancellation Date
Displays the cancellation date of a transfer document.
Note
The field is available only if you have canceled the transfer document.
The field is not available for an asset class transfer document, as you cannot
cancel such a document.
Transaction Type
Select one of the following transfer types:
 Asset Transfer – Transfers an asset to another asset. You can create an asset
transfer only if the following conditions are met:
o The transfer date is on the first day of a fiscal year. That is, you must specify
an asset value date that is the first day of a fiscal year.
o The source asset does not have special depreciation, either automatic or
manual.
o You have performed fiscal year change for the year during which the
transfer takes place.
In asset transfer, the target asset can be a new or capitalized asset.
If the target asset is a new asset, the system capitalizes it upon the creation of
the transfer document and the capitalization date is copied from the source
asset. However, the target asset's depreciation start date is determined by the
transfer date and the acquisition convention you specified for the depreciation
type.
After the transfer, the system brings the remaining life of the source asset to
the new asset as its useful life and remaining life. In addition, the system keeps
a record of the source asset's useful life for the depreciation calculation of the
new asset. In case the source asset's remaining life has decimals, which can
happen if the asset uses the straight line period control depreciation method,
the system first rounds the number and then brings it to the new asset.
 Asset Class Transfer – Transfers an asset to a new asset class. You can perform the
asset class transfer only if the asset uses the depreciation types with the No
Depreciation method in all areas during the transfer period.
Depreciation Area
Select the depreciation area in which the asset's transfer takes effect.
Note
You must select * – All Areas for either of the following conditions:
 The transfer is an asset class transfer.
 The transfer is an asset transfer in which the target asset has not been capitalized.
Reference
If required, specify any additional information about the transfer.
Contents Tab Fields
Asset No.
Specify the asset that you want to transfer.
If you select the same asset twice, an error appears.
Asset Description
You can select an asset by the asset description, as an alternative to asset
number.
Target Asset No.
Note
The field is available only if you have selected Asset Transfer in
the Transaction Type field.
Specify the target asset to which you want to transfer the asset.
Note that the target asset must have the same depreciation areas as the
source asset.
Target Asset Description
Note
You can select the asset by the asset description, as an alternative to the asset
number.
Note that the target asset must have the same depreciation areas as the
source asset.
Target Asset Class
Specify the new asset class for the asset.
Note that the new asset class must have the same depreciation areas as the
current asset class.
Note
The field is available only if you have selected Asset Class Transfer in
Partial
Note
The checkbox is available only if you have selected Asset Transfer in
Select the checkbox to indicate the asset transfer is partial, for example, only
part of the asset quantity or value is transferred to the target asset.
Quantity
Note
In addition, the field is editable only if you have selected the Partial checkbox.
If you want to transfer an asset partially and the asset is planned for quantity
maintenance, enter the quantity you want to transfer. In this case, if you enter
the acquisition and production cost, it is not effective.
Note
After you enter the quantity, the system calculates the transferred net book
value as follows:
Transferred Net Book Value = Net Book Value on Transfer Date * Transferred
Quantity / Available Quantity on Transfer Date
APC
Note
In addition, the field is editable only if you have selected the Partial checkbox.
If you want to transfer an asset partially and the asset is not planned for
quantity maintenance, specify how much of the asset's acquisition and
production costs are transferred. In this case, if you enter the quantity, it is not
effective.
Note
After you enter the acquisition and production costs, the system calculates the
transferred net book value as follows:
Transferred Net Book Value = Net Book Value on Transfer Date * Transferred
Acquisition and Production Costs / Acquisition and Production Costs on
Transfer Date
Remarks
If required, enter a remark about the asset.
Depreciation Area
Displays either of the following:
Journal Remark
If required, enter a remark about the journal entry generated in each
depreciation area.
Depending on whether the transfer type is asset transfer or asset class
transfer, the default journal remark is Transfer – Asset Transfer or Transfer –
Asset Class Transfer respectively.
Note
The field is available only if you have canceled the transfer document.
The field is not available for an asset class transfer document, as you cannot
cancel such a document.
cancellation of the transfer document.
2.12.5.5 Manual Depreciation
SAP Business One can use depreciation types to automatically determine the planned
depreciation for an asset in a particular fiscal year. However, you may want to manually
depreciate the asset in case one of the following situations arises:
 There is an unexpected permanent reduction in the value of the asset caused, for
example, by an accident.
 You want to manually trigger the special depreciation of the asset.
 You are using the unit-of-production depreciation method and want to manually plan the
asset's depreciation.
SAP Business One lets you create the following types of manual depreciation
documents:
 Ordinary Depreciation – Refers to the manual ordinary depreciation.
Generally, ordinary depreciation includes the planned ordinary depreciation and the
manual ordinary depreciation. The former is the depreciation calculated and carried out
automatically by the system based on the depreciation type you assign to the asset. The
latter is the depreciation you manually perform using the manual depreciation document.
You can view the sum of both depreciation amounts in the Ordinary Depreciation row
on the Values subtab in the asset master data.
 Unplanned Depreciation – Refers to the unplanned depreciation, usually carried out

when there is an unexpected reduction in the value of an asset resulting, for example,
from an accident.
 Special Depreciation – Refers to the manual special depreciation.
SAP Business One can carry out the special depreciation automatically for an asset,
which is known as the automatic special depreciation. You can assign a depreciation
type with the Special Depreciation method to an asset, and the system automatically
calculates the special depreciation when it is due.
If you want to manually carry out the special depreciation, use the manual depreciation
document and assign a depreciation type with the Manual Depreciation method.
You can view the sum of both depreciation amounts in the Special Depreciation row on
the Values subtab in the asset master data.
 Appreciation – Refers to the increase in an asset's book value to offset the asset's
unplanned depreciation.
Usually a revaluation of an asset can also result in the increase of the asset's value in the
book. SAP Business One regards the two kinds of value increase in an asset as a write-
up. To view an asset's write-up information, see the Write-Up row on the Values subtab
in the asset master data.
2.12.5.5.1 Manual Depreciation Window

Use this window to create manual depreciations for assets.
choose Financials Fixed Assets Manual Depreciation.
General Area Fields
Origin
Displays MD, which is the abbreviation for the transaction type Manual
Depreciation. It indicates that the manual depreciation document is always
manually created.
When the manual depreciation document is in Add mode, the field is blank.
Origin No.
Displays the document number according to the definition in the Document
Numbering - Setup window.
No.
Status
 Posted – Indicates the manual depreciation is created.
 Cancelled – Indicates the manual depreciation is cancelled.
Posting Date
Document Date
posting date.
Asset Value Date
Specify the date on which the special depreciation takes place.
Cancellation Date
Note
The field is available only if you have canceled the manual depreciation
document.
Transaction Type
Select one of the following types for manual depreciation:
 Ordinary Depreciation – Refers to the manual ordinary depreciation in this case.
Generally, ordinary depreciation includes the planned ordinary depreciation
and the manual ordinary depreciation. The former is the depreciation
calculated and carried out automatically by the system based on the
depreciation type you assign to the asset. And the latter is the depreciation
you manually perform using the manual depreciation document. You can view
the sum of both depreciation amounts in the Ordinary Depreciation row on
the Values subtab in the asset master data.
 Unplanned Depreciation – Refers to the unplanned depreciation, usually carried out
when there is an unexpected reduction in the value of an asset resulting, for
example, from an accident.
 Special Depreciation – Refers to the manual special depreciation.
SAP Business One can carry out the special depreciation automatically for an
asset, known as the automatic special depreciation. You can assign a
depreciation type to an asset with the Special Depreciation method, and the
system automatically calculates the special depreciation when it is due. For
more information, see Special Depreciation Method.
If you want to manually carry out the special depreciation, use the manual
depreciation document and assign a depreciation type with the Manual
Depreciation method. For more information, see Manual Depreciation
Method.
You can view the sum of both depreciation amounts in the Special
Depreciation row on the Values subtab in the asset master data.
 Appreciation – Refers to the increase in an asset's book value to offset the asset's
unplanned depreciation.
Usually a revaluation of an asset can also result in the increase of the asset's
value in the book. SAP Business One regards the two kinds of value increase in
an asset as a write-up. To view an asset's write-up information, see the Write-
Up row on the Values subtab in the asset master data.
Depreciation Area
Select the depreciation area in which an asset's manual depreciation takes
effect.
Reference
If required, specify any additional information about the manual depreciation.
Use Projects/Use Distribution Rules
Select the checkbox to make the Project/Distr. Rule column in the table
effective and editable for the fixed assets in the displayed depreciation area.
Contents Tab Fields
Asset No.
Specify the asset for which you want to create manual depreciations.
Asset Description
number.
Total
Enter the total depreciation amount.
If it is an appreciation, the total must not exceed the difference between the
asset's NBV and historical NBV.
Note
If the total you enter in this field causes the asset's net book value to fall below
zero in any period, the system displays an error.
For example, asset X is capitalized on January 1, 2012 and its acquisition and
production costs are 100 USD. You create a capitalization credit memo for the
asset with the amount of 40 USD on 2012 October 1st.
On May 1, 2012 you want to create a manual depreciation of 70 USD for the
asset. In this case, the system blocks you from the creation of the manual
depreciation document.
Project/Distr. Rule
Displays the project/distribution rule for each asset.
Note
The Project/Distr. Rule column is effective and editable only if you have
selected the Use Project/Use Distr. Rule checkbox.
Remarks
If required, enter remarks about the asset.
Depreciation Area
In this case, one journal entry is generated for each depreciation area.
Journal Remark
depreciation area.
Depending on the transaction type, the default journal remark can be any of
the following:
 Manual Depreciation – Ordinary Depreciation
 Manual Depreciation – Unplanned Depreciation
 Manual Depreciation – Special Depreciation
 Manual Depreciation – Appreciation
cancellation of the manual depreciation document.
Note
The field is available only if you have canceled the manual depreciation
document.
2.12.5.6 Depreciation Run
Each single asset transaction leads to a change in planned depreciation, but not to a
posting to the relevant general ledger accounts. Only when you execute a depreciation
run does the system carry out all depreciations planned up to the specified date.
The depreciation run only covers automatic depreciation.

Note
When you create manual depreciations, the associated values are immediately posted
to the general ledger accounts.
To trigger the posting of planned depreciation, it is usually sufficient to start one

depreciation run for several posting periods. However, it is possible to execute several
depreciation runs for the same depreciation period. A repeat run might be necessary, for
example, if the depreciation terms have been changed for individual assets in connection
with the year-end closing.
In depreciation runs, unposted planned depreciation is always posted using the catch-up
method. In the catch-up method, the system gathers any planned depreciation that has
not been posted yet for the entire depreciation period and then creates a collective
posting. Therefore, the posting can also include planned depreciation from several
periods.
Example
A planned depreciation of 1,200 USD for the current fiscal year has been calculated
for an asset. The depreciation run is executed for the first time in March. The system
proportionally posts a depreciation amount of 300 USD for the months from January
to March. This means the depreciation for January and February is done in March in
general ledger accounting.
A depreciation run can be repeated as often as necessary, provided no depreciation run

has been executed for the following periods. A repeat depreciation run may be necessary
if the asset values have changed once again after posting planned depreciation. When
repeating a depreciation run, only the value differences to the posting of the last
depreciation run are considered.
Caution
You can execute a depreciation run only when no depreciation run has been executed
for the following periods. Within one period you can execute as many depreciation
runs as required.
Note
In order to keep the number of financial documents to a minimum, we recommend
that you carry out only one depreciation run per fiscal year.
SAP Business One lets you preview the details of the depreciation run before you
execute it.
2.12.5.6.1 Depreciation Run Window

Use this window to enter the desired data for a depreciation run and view
previous depreciation runs.
choose Financials Fixed Assets Depreciation Run.
General Area Fields
Depreciation Area
Select the depreciation area for which the depreciation run is carried out.
Depreciate To
Select the period until which the depreciation run is carried out.
By default, the current period is displayed.
After you specify the period, the system carries out the posting for the
depreciation from the first day of the fiscal year to the last day of the selected
period.
Example
You select May 2012 as the Depreciate To period.
After you execute the depreciation run, the system posts all assets' planned
depreciation from January 1st, 2012 to May 31, 2012.
If you have not posted the depreciation for year 2011, you must post the
depreciation for 2011 before you execute the depreciation run for 2012.
Table Area Fields
Run
Displays the previously executed depreciation runs.
To view the details about a depreciation run, choose to open
the Depreciation Run - Results window.
Status
Displays one of the following statuses of the executed depreciation runs:
 Depreciation Posted – Indicates that the depreciation has been posted to the
general ledger accounts.
 No Depreciation Posted – Indicates that no depreciation has been posted to the
general ledger accounts, which can happen in any of the following situations:
o You have selected a non-posting depreciation area for the depreciation run.
o There is no planned depreciation in the specified period.
o You repeat a previously executed depreciation run, and the depreciation has
not changed in the interval.
Depreciation Area
Displays the depreciation area for which the depreciation run is carried out.
Depreciate To
Displays the end date of the depreciation run.
Posting Date
Displays the posting date of the depreciation run.
Depreciation
Displays the total depreciation amount posted during the depreciation run.
Remarks
Displays the remarks, if any, about the depreciation run.
2.12.5.6.2 Depreciation Run - Preview/Results Window
Use the Depreciation Run - Preview window to preview the details of the
depreciation run before you execute it.
Use the Depreciation Run - Results window to view the details of the
depreciation runs that you have executed.
To access the Depreciation Run - Preview window, proceed as follows:
Assets Depreciation Run.
2. In the Depreciation Run window, specify the depreciation area and the Depreciate
To date, and choose Preview.
The Depreciation Run – Preview window opens.
To access the Depreciation Run - Results window, choose the Execute button
in the Depreciation Run – Preview window opened in step 2 above.
General Area Fields
Depreciation Area
Displays the depreciation area for which the depreciation run is carried out.
Depreciate To
Displays the end date of the depreciation run.
Posting Date
Specify the date for the journal entry posting.
By default, the posting date is the last day of the selected Depreciate
To period.
Remarks
If required, enter the remarks about the depreciation run.
Consolidate Journal Entry Rows by Projects/Distribution Rules
Select the checkboxes to consolidate the journal entry rows by projects and
distribution rules.
Depending on your selection, the journal entry layout can be one of the
following:
 Consolidate Journal Entry Rows by Projects – the system consolidates the journal
entry rows with the same G/L account and project.
 Consolidate Journal Entry Rows by Distribution Rules – the system consolidates the
journal entry rows with the same G/L account and distribution rule.
 If you select both, the system consolidates the journal entry rows with the same G/L
account, project, and distribution rule.
 If you leave the two checkboxes unselected, the system consolidates only the
journal entry rows with the same G/L account.
For more information, see the examples in Consolidation of Journal Entry Rows
by Projects and Distribution.
Status
Note
The field is blank in preview mode.
Displays either of the following statuses of the executed depreciation runs:
 Depreciation Posted – Indicates that the depreciation has been posted to the
general ledger accounts.
 No Depreciation Posted – Indicates that no depreciation has been posted to the
general ledger accounts, which can happen in any of the following situations:
o You have selected a non-posting depreciation area for the depreciation run.
o There is no planned depreciation in the specified period.
o You repeat a previously executed depreciation run, and the depreciation has
not changed in the interval.
Table Area Fields
Asset Class
Displays the asset class to which the asset is assigned.
Journal Entry
Note
The field is blank in preview mode.
Displays the journal entry for the posted depreciation in the Depreciation Run
- Results window.
Cancellation Journal Entry
Displays the journal entry for the canceled depreciation run.
Note
This column is available only if the depreciation run has been canceled.
Asset No.
Displays the assets for which the planned depreciation is to be posted.
Asset Description
Displays the description of each asset.
Ordinary Depreciation
Displays each asset's planned ordinary depreciation in the specified period.
Special Depreciation
Displays each asset's automatic special depreciation in the specified period.
2.12.5.7 Asset Revaluation
Asset revaluation is a technique used to revaluate a company's assets to take into
account inflation or changes in value since the assets were acquired. Usually,
revaluations are carried out for an asset whenever there is a difference between the
asset's current market value and its value on the company's balance sheet.
A revaluation reserve arises when the value of an asset becomes greater than the
value at which it was previously carried on the balance sheet. However, not every
increase in the asset value is added to the revaluation reserve. The exact treatment
depends on the history of the asset – whether the asset has been impaired, that is,
whether the asset has had unplanned depreciation carried out.
In the case of an asset having unplanned depreciation, the value increase resulting
from the revaluation is used to reverse the planned depreciation. And if there is any
surplus, it is added to the revaluation reserve.
Similarly, a value decrease resulting from the revaluation is used to reduce the
revaluation reserve, with any excess treated as unplanned depreciation and taken as a
loss.
2.12.5.7.1 Asset Revaluation Window

Use this window to revaluate assets.
To access the window, from the SAP Business One Main Menu,
choose Financials Fixed Assets Asset Revaluation.
General Area Fields
Depreciation Area
Select the depreciation area in which the asset revaluation takes effect.
Reference
If required, specify the additional information about the revaluation.
Revaluation Percentage
If required, enter the revaluation percentage.
The percentage you enter here is copied to the Revaluation Percentage field in
the table area as the default.
With the revaluation percentage, the system calculates the new net book
value of the assets as follows:
New NBV = NBV * Revaluation Percentage
No.
Posting Date
Document Date
posting date.
Asset Value Date
Specify the date on which the revaluation takes place.
Note
The date you specify must be the last day of a fiscal year.
Journal Remark
creation of the revaluation document.
The default journal remark is Fixed Asset Revaluation.
Table Area Fields
Asset No.
Specify the asset that you want to revaluate.
Asset Description
Displays the description of the asset.
NBV
Displays the asset's net book value on the asset value date you specified.
Revaluation Percentage
If required, specify the revaluation percentage.
By default, the value is copied from the Revaluation Percentage field in the
header.
After you specify the revaluation percentage, the system calculates the new
net book value of the asset as follows:
New NBV
Specify the new net book value of the asset after the revaluation.
By default, the system calculates the net NBV according to the NBV and
revaluation percentage with the following formula:
Difference
Displays the difference between the net book value and the new net book
value.
Remarks
2.12.5.8 Executing a Fiscal Year Change
Prerequisites
Context
In fixed asset management, you must execute a fiscal year change when a fiscal year
ends. With the change, SAP Business One transfers all the asset depreciations and
balances from the current fiscal year to the new fiscal year.
Procedure
 From the SAP Business One Main Menu, choose Financials Fixed Assets Fiscal
Year Change.
The Fiscal Year Change window opens.
 In the From Fiscal Year field, select the fiscal year from which you want to
execute the change.
SAP Business One automatically adds the next fiscal year in the To Fiscal Year field, to
which the change is to be made.
Note
If the next fiscal year, to which you want to change, is not yet defined in SAP Business
One, you receive an error message.
To define the next fiscal year, do the following:
From the SAP Business One Main Menu, choose Administration System Initialization
Postin Periods.
The Posting Periods window opens.
Choose the New Period pushbutton and add the desired fiscal year.
 In the Fiscal Year Change window, choose the Execute pushbutton.
The system prompts a system message for you to confirm the change.
 In the message dialog box, choose OK.

2.12.5.8.1 Fiscal Year Change Window
Use this window to start a fiscal year change. When you change a fiscal year,
SAP Business One performs the following calculations:
 For each asset, SAP Business One calculates the year-end values of
all asset transactions. These values are saved in the asset master
data and serve as start values for the new fiscal year.
 For each asset, SAP Business One recalculates the planned
depreciation for the new fiscal year.
Fiscal Year Change Window Fields
From Fiscal Year
Select the fiscal year you want to change.
To Fiscal Year
Displays the fiscal year to which the change is made. The system always selects
the subsequent fiscal year.
2.12.6 Asset Depreciation Forecast Report
To help you plan the value development of your fixed assets from both the
management and accounting perspectives, SAP Business One provides you with
the depreciation forecast report to forecast and simulate an assets's future
depreciations.
2.12.6.1 Asset Depreciation Forecast Report - Selection Criteria

Use this window to specify the selection criteria for the asset depreciation forecast report.
To open the window, from the SAP Business One Main Menu, choose Financials Fixed
Assets Fixed Asset Reports Asset Depreciation Forecast Report.
Selection Criteria
Asset No. From ... To
Specify the range of assets that you want to include in the depreciation forecast report.
Note
The following assets are not displayed in the report:
 New assets which have not been capitalized
 Assets which retired in fiscal years before the forecast period
Balance Sheet Account
Select the balance sheet account for the assets you want to include in the report.
The assets which use the specified account are displayed in the report.
Note
If you select a balance sheet account and a non-posting depreciation area at the same
time, the system prompts an error as there is no balance sheet account in a non-posting
depreciation area.
Depreciation Area
Select the depreciation area in which the depreciation forecast is carried out.
Note
depreciation area.
Forecast Date From ... To
Specify the period for which you want to carry out the depreciation forecast.
By default, the From field displays one of the following:
 If you have executed the fiscal year change, the From date displays the first day of
the fiscal year to which the last change is executed.
 If you have not executed a fiscal year change, the From date displays the first day of
the current fiscal year.
In the To field, you must specify a date that is the last day of a fiscal year. Otherwise, the
system automatically changes it to the last day of the fiscal year according to
the From date.
Summarize By
Select one of the following options to split the forecast period for assets in the report:
 Project – The system splits the forecast period according to the validity periods of
the projects assigned to the assets.
 Distr. Rule – The system splits the forecast period according to the validity periods
of the distribution rules assigned to the assets.
 Project and Distr. Rule – The system splits the forecast period according to the
validity periods of the projects and distribution rules assigned to the assets.
 If you do not select any of the above options, the system splits the forecast period
by fiscal years.
Note
If you select Distr. Rule or Project and Distr. Rule, you can also specify the dimension.
Dimension
Note
The field is available only if you have selected Distr. Rule or Project and Distr. Rule.
Select the dimension to which the distribution rules are assigned.
Once you select a dimension, the system displays only the distribution rules relevant to
this dimension in the report.
2.12.6.2 Asset Depreciation Forecast Report Window
Use this window to view the details of an asset's depreciation forecast.
To open the window, proceed as follows:
1. From the SAP Business One Main Menu, choose Financials Fixed Assets Fixed
Asset Reports Asset Depreciation Forecast Report.
2. In the Asset Depreciation Forecast Report - Selection Criteria window, specify the
selection criteria and choose OK.
The Asset Depreciation Forecast Report window opens.
Asset Depreciation Forecast Report Window Fields
Asset No.
Displays the asset number.
Asset Description
Year
Displays the fiscal years in the forecast period in separate rows.
Project
Note
The field is hidden unless you choose to summarize the report by projects in the report
selection criteria.
Displays the projects assigned to each asset.
Distr. Rule
Note
The field is hidden unless you choose to summarize the report by distribution rules in
the report selection criteria.
Displays the distribution rules assigned to each asset.
Period Start Date
Displays the start date of each period.
If you choose to summarize the report by projects or distribution rules, the system splits
the forecast period according to the validity periods of the projects or distribution rules
assigned to the assets.
If you do not choose to summarize the report, the system splits the forecast period by
fiscal years.
Period End Date
Displays the end date of each period.
If you choose to summarize the report by projects or distribution rules, the system splits
the forecast period according to the validity periods of the projects or distribution rules
assigned to the assets.
If you do not choose to summarize the report, the system splits the forecast period by
fiscal years.
APC
Displays the asset's acquisition and production costs at the end of each period.
Accum. Ordinary Depr.
Displays the asset's accumulated ordinary depreciation at the beginning of each fiscal
year in the forecast period.
Accum. Unplanned Depr.
Displays the asset's accumulated unplanned depreciation at the beginning of each fiscal
year in the forecast period.
Accum. Special Depr.
Displays the asset's accumulated special depreciation at the beginning of each fiscal year
in the forecast period.
Accum. Write-Up
Displays the asset's accumulated write-up at the beginning of each fiscal year in the
forecast period.
Ordinary Depr.
Displays the asset's ordinary depreciation in each period.
Unplanned Depr.
Displays the asset's unplanned depreciation.
Special Depr.
Displays the asset's special depreciation.
Write-Up
Displays the asset's write-up.
NBV
Displays the asset's net book value at the end of each fiscal year in the forecast period.
Historical NBV
Displays the asset's historical net book value at the end of each fiscal year in the forecast
period.
The historical net book value is the net book value of the asset that is calculated without
taking into account any unplanned depreciation, appreciation or write-up.
2.12.7 Asset History Sheet
The asset history sheet is the most important supplement to the balance sheet
from the fixed asset point of view. The report shows all the changes to the asset
portfolio in a fiscal year or a specific period of a fiscal year.
You can create the report for all assets, assets using the same balance sheet
account, or a specific asset.
2.12.7.1 Asset History Sheet - Selection Criteria

Use this window to specify the selection criteria for the asset history sheet.
Assets Fixed Asset Reports Asset History Sheet.
Selection Criteria
Asset Class From ... To
Specify the asset classes of the assets you want to include in the asset history sheet.
Note
The following assets are not displayed in the report:
 New assets which have not been capitalized
 Assets which retired in fiscal years before the reported period.
Balance Sheet Account
Select the balance sheet account for the assets you want to include in the report.
Note
depreciation area.
Depreciation Area
Select the depreciation area in which you want to see the asset values.
Note
depreciation area.
Period
Select the fiscal year in which you want to view the asset value changes. You can select
from all fiscal years defined in SAP Business One.
Subperiod From ... To
To view the asset value changes in a sub period in the selected fiscal year, specify the
period range.
Template
Select a template for the asset history sheet.
To define a template for the asset history sheet, go to the Financial Report
Templates window.
2.12.7.2 Asset History Sheet Window
Use this window to view the asset value changes over the course of a fiscal year or a
specific period of a fiscal year.
The assets displayed in this window are grouped by balance sheet accounts and asset
classes.
To access the window, proceed as follows:
Asset Reports Asset History Sheet.
2. In the Asset History Sheet - Selection Criteria window, specify the selection criteria
and choose OK.
The Asset History Sheet window opens.
Asset History Sheet Window Fields
Balance Account
Note
The field is available only if you have selected a Posting to G/L depreciation area in the
report selection criteria.
Displays the asset's balance sheet account in the depreciation area selected in the report
selection criteria.
Account Name
Note
The field is available only if you have selected a Posting to G/L depreciation area in the
Displays the name of the asset balance sheet account.
Asset Class
Displays the asset class of the assets.
Asset No.
Displays the asset number of each asset.
Asset Description
Historical APC
Displays the asset's historical APC as specified in the asset master data.
Capitalization Date
Displays the asset's capitalization date.
Displays the asset's total useful life in months.
Remaining Life (Months)
Displays the asset's remaining life in months at the end of the reported period.
Depr. Type
Displays the asset's depreciation type assigned to the depreciation area selected in the
APC on Start Date
Displays the asset's acquisition and production costs on the first day of the reported
period.
Accum. Depr. on Start Date
Displays the asset's accumulated depreciation on the first day of the reported period.
Accum. Write-Up on Start Date
Displays the asset's accumulated write-up on the first day of the reported period.
NBV on Start Date
Displays the asset's net book value on the first day of the reported period.
Capitalization
Displays the asset's capitalization amount in the reported period.
Retired APC
Displays the asset's retired acquisition and production costs in the reported period.
Retired NBV
Displays the asset's retired net book value in the reported period.
Transferred APC
Displays the asset's transferred acquisition and production costs in the reported period.
Transferred NBV
Displays the asset's transferred net book value in the reported period.
Write-Up
Displays the asset's write-up in the reported period.
Depreciation
Displays the asset's depreciation in the reported period.
APC on End Date
Displays the asset's acquisition and production costs on the last day of the reported
period.
NBV on End Date
Displays the asset's net book value on the last day of the reported period.
Accum. Depr. on End Date
Displays the asset's accumulated depreciation on the last day of the reported period.
2.12.8 Asset Status Report
In SAP Business One, you can use the asset status report to view an asset's overall
information, such as the asset class, useful life, and depreciation type. The report
provides you with easy access to an overview of all your fixed assets.
You can create the report for specific asset classes, and you can also filter the
assets by their statuses.
2.12.8.1 Asset Status Report - Selection Criteria

Use this window to specify the selection criteria for the asset status report.
Assets Fixed Asset Reports Asset Status Report.
Selection Criteria
Specify the range of assets that you want to include in the asset status report.
To narrow down the asset range, specify the range of asset classes of the assets you want
to include in the asset status report.
Period
Select the fiscal year for which you want to view the asset data.
Display New Fixed Assets
To display new fixed assets in the report, select the checkbox.
Display Active Fixed Assets
To display active fixed assets in the report, select the checkbox.
Display Inactive Fixed Assets
To display inactive fixed assets in the report, select the checkbox.
2.12.8.2 Asset Status Report Window
Use this window to view the overall information of an asset.
Asset Reports Asset Status Report.
2. In the Asset Status Report - Selection Criteria window, specify the selection criteria
and choose OK.
The Asset Status Report window opens.
Asset Status Report Window Fields
Asset No.
Asset Description
Asset Class
Displays the asset class to which the asset is assigned.
Status
Displays the asset's current status – New, Active or Inactive.
Asset Group
Displays the asset group to which the asset belongs.
Depreciation Area
Displays the asset's associated depreciation areas.
Depreciation Start Date
Displays the asset's depreciation start date.
Depreciation End Date
Displays the asset's depreciation end date.
Displays the asset's total useful life, in months.
Remaining Life (Months)
Displays the asset's remaining life at the beginning of the fiscal year selected in the report
selection criteria.
Depreciation Type
Displays the depreciation type assigned to the asset in each depreciation area.
2.12.9 Asset Transaction Report
The asset transaction report provides you with a list of all transactions relevant to an
asset.
SAP Business One lets you view the following types of transactions in the report:
 Acquisition – The first acquisition of an asset.
 Subacquisition – The subsequent acquisitions of an asset.
 Credit Memo – The credit memo created to reduce an asset's acquisition and production
costs.
 Full Retirement – The full retirement of a regular asset with a method of sales.
 Full Scrapping – The full retirement of a regular asset using the scrapping method.
 Partial Retirement – The partial retirement of a regular asset using the sales method.
 Partial Scrapping – The partial retirement of a regular asset using the scrapping
method.
 Low Value Asset Full Retirement – The full retirement of a low value asset using the
sales method.
 Low Value Asset Full Scrapping – The full retirement of a low value asset using the
scrapping method.
 Full Transfer – The full transfer of an asset to another asset.
 Partial Transfer – The partial transfer of an asset to another asset.
 Asset Class Transfer – The transfer of an asset from one asset class to another asset
class.
 Manual Ordinary Depreciation – The manual depreciation document created for an

asset of the Ordinary Depreciation type.
 Manual Unplanned Depreciation – The manual depreciation document created for an

asset of the Unplanned Depreciation type.
 Manual Special Depreciation – The manual depreciation document created for an asset
with the Special Depreciation type.
 Appreciation – The manual depreciation document created for an asset of

the Appreciation type.
 Revaluation – The revaluation of an asset.
 Change of Depreciation Type – The change of an asset's depreciation type in the asset
master data.
 Change of Useful Life – The change of an asset's useful life in the asset master data.
 Change of Depreciation Start Date – The change of an asset's depreciation start date
 Change of Salvage Value – The change of an asset's salvage value in the asset master
data.
 Change of Period Control – The change of an asset's period control settings in the
asset master data if the asset uses the individual straight line period control depreciation
method.
2.12.9.1 Asset Transaction Report - Selection Criteria
Use this window to specify the selection criteria for the asset transaction report.
Assets Fixed Asset Reports Asset Transaction Report.
Selection Criteria
Specify the asset classes of the assets you want to include in the asset transaction report.
Specify the range of assets that you want to include in the asset transaction report.
Note
The report does not display new fixed assets as they do not have any transactions yet.
Posting Date From ... To
Specify the posting date range of the transactions that you want to include in the asset
transaction report.
Document Date From ... To
Specify the document date range of the transactions that you want to include in the asset
transaction report.
Asset Value Date From ... To
Specify the asset value date range of the transactions that you want to include in the asset
transaction report.
Transaction Type
Acquisition The first acquisition of an asset
Subacquisition The subsequent acquisitions of an asset
Credit Memo The credit memo created to reduce an asset's acquisition

and production costs
Full Retirement The full retirement of a regular asset with a method of sales
Full Scrapping The full retirement of a regular asset with a method of

scrapping
Partial Retirement The partial retirement of a regular asset with a method of

sales
Partial Scrapping The partial retirement of a regular asset with a method of

scrapping
Low Value Asset Full The full retirement of a low value asset with a method of
Retirement sales
Low Value Asset Full The full retirement of a low value asset with a method of
Scrapping scrapping
Full Transfer The full transfer of an asset to another asset

Partial Transfer The partial transfer of an asset to another asset
Asset Class Transfer The transfer of an asset from one asset class to anther asset
class
Manual Ordinary The manual depreciation document created for an asset

Depreciation with the Ordinary Depreciation type
Manual Unplanned The manual depreciation document created for an asset

Depreciation with the Unplanned Depreciation type
Manual Special The manual depreciation document created for an asset

Depreciation with the Special Depreciation type
Appreciation The manual depreciation document created for an asset

with the Appreciation type
Revaluation The revaluation of an asset
Note
The following five options are not document or transaction types. Instead, they are
user actions which result in the changes of asset values. SAP Business One lists them as
transaction types here so that you can view the detailed change log in the report.
Change of The change of an asset's depreciation type in the asset

Depreciation Type master data
Change of Useful Life The change of an asset's useful life in the asset master data
Change of The change of an asset's depreciation start date in the asset

Depreciation Start master data
Date
Change of Salvage The change of an asset's salvage value in the asset master
Value data
Change of Period The change of an asset's period control settings in the asset
Control master data if the asset uses the individual straight line
period control depreciation method
2.12.9.2 Asset Transaction Report Window

Use this window to view assets' transaction details.
Asset Reports Asset Transaction Report.
2. In the Asset Transaction Report - Selection Criteria window, specify the selection
criteria and choose OK.
The Asset Transaction Report window opens.
Asset Transaction Report Window Fields
Asset No.
Asset Description
Doc. No.
Displays the asset transaction document number.
To view the details about the transaction, choose to open the corresponding document.
Note
If the transaction type is any of the following, there is no document number as none of the
following is an actual document in the system:
 Change of Depreciation Type
 Change of Useful Life
 Change of Depreciation Start Date
 Change of Salvage Value
 Change of Period Control
Posting Date
Displays the posting date of the document.
Note
If the transaction type is any of the following, the field displays the date when you made
the change:
Document Date
Displays the document date.
Note
If the transaction type is any of the following, the field displays the date when you made
the change:
Asset Value Date
Displays the asset value date of the document.
Note
If the transaction type is any of the following, the field displays the first day of the fiscal
year selected in the asset master data when you made the change:
Transaction Type
Displays the type of the transaction.
For more information about each transaction type, see Asset Transaction Report.
Depreciation Area
Displays in which depreciation areas the transaction takes effect.
Amount
Displays the amount in each transaction.
Cancelled
Indicates whether the transaction has been cancelled.
Remarks
Displays the change log for the following transaction types:
2.12.10 Importing Fixed Asset Master Data from Microsoft Excel
After you enable fixed assets, you can import the fixed asset master data from
Microsoft Excel into SAP Business One.
Before you start importing, you can prepare the asset-related values in the
Microsoft Excel sheet. Note that all asset values must be the values at the
beginning of a fiscal year. During the import, you can specify the fiscal year, and
then the system transfers all values to the asset master data in SAP Business One as
the beginning values of the specified fiscal year.
1. Prerequisites
 You have specified the following information in the Microsoft Excel sheet for the
different types of assets you want to import:
o New Assets – Assets that do not have a depreciation start date
For new assets, you have specified the following:
 Item no.
 Asset class
 Depreciation area
 Useful life
 Remaining life
 Depreciation type
o Active Assets – Assets that have a depreciation start date and do not have a
retirement date
For active assets, you have specified the following:
 Item no.
 Asset class
 Useful life
 Remaining life
 Depreciation type
 Acquisition and production costs
 Accumulated ordinary depreciation
o Inactive Assets – Assets that have a retirement date and the net book value
of which is zero
For inactive assets, you have specified the following:
 Item no.
 Asset class
The following values in the Microsoft Excel sheet already exist in SAP Business One:
o Asset class
o Depreciation area
o Depreciation type
o Pool of depreciation type
o Asset group
o Depreciation group
o Sales tax definition
o Purchase tax definition
2. Procedure
3. From the SAP Business One Main Menu, choose Administration Data Import/Data
Export Data Import Import Fixed Asset Master Data from Excel.
4. In the Import Fixed Asset Master Data from Excel window, select the fiscal year of
which you want to import the asset related values.
Note
The system copies the asset values from the Microsoft Excel sheet to SAP Business
One as the beginning asset values of the selected fiscal year.
5. To map the Microsoft Excel sheet columns with the SAP Business One fields, do
either of the following:
o If you have saved a data mapping template, load the template by
choosing in the Use Data Template field.

o If you do not have a data mapping template yet, specify the data mapping
method by using the Column and Field columns.
To save the mapping method as a template, choose the Save As pushbutton.
6. Choose OK.
After the import is completed, you can find the assets in the asset master data.
2.12.10.1 Import Fixed Asset Master Data from Excel Window
Use this window to map the Microsoft Excel sheet columns to the fixed asset data in SAP
Business One.
You can save the data mapping method as a template to use directly for future imports.
To access the window, from the SAP Business One Main Menu,
choose Administration Data Import/Data Export Data Import Import Fixed Asset
Master Data from Excel.
General Area Fields
Import to Fiscal Year
Select the fiscal year of which you want to import the asset values.
The system copies the asset values from the Excel sheet to the asset master data in SAP
Business One as the values at the beginning of the specified fiscal year.
Use Data Template
If you have saved a data mapping template, you can load the template by choosing .
To save the data mapping method as a template, choose the Save As pushbutton.
Save As
Lets you save the data mapping method as a template for future imports.
Table Area Fields
Column
Displays the columns in the Microsoft Excel sheet.
Field
Select the SAP Business One field to which each column in the Microsoft Excel sheet
corresponds.
You can select among the following:
 Item Description – The Item Description field in the asset master data.
 Description in Foreign Lang. – The Foreign Name field in the asset master data.
 Bar Code – The Bar Code field in the asset master data.
 Sales Tax Definition – The Tax Group field on the Sales Data tab in the asset master
data.
 Purchase Tax Definition – The Tax Group field on the Purchasing Data tab in the
asset master data.
 Asset Class – The Asset Class field in the asset master data.
 Capitalization Date – The Capitalization Date field on the Overview subtab of
the Fixed Assets tab in the asset master data.
 Retirement Date – The date on which an asset retires completely. The value is
stored in the database.
 Asset Group – The Asset Group field on the Overview subtab of the Fixed Assets tab
 Depreciation Group – The Depreciation Group field on the Overview subtab of
 Inventory Number of Asset – The Inventory No. field on the Overview subtab of
 Asset Serial Number – The Serial Number field on the Overview subtab of the Fixed
Assets tab in the asset master data.
 Depreciation Area – The Depreciation Area field on the Overview subtab of
 Depreciation Start Date – The Depreciation Start Date field on the Overview subtab
of the Fixed Assets tab in the asset master data.
 Useful Life – The Useful Life field on the Overview subtab of the Fixed Assets tab in
the asset master data.
 Remaining Life – The Remaining Life field on the Overview subtab of the Fixed
 Depreciation Type – The Depreciation Type field on the Overview subtab of
 APC – The Acquisition and Production Costs field on the Overview subtab of
 Historical APC – The Historical APC field on the Overview subtab of the Fixed
 Asset Quantity – The Quantity field on the Overview subtab of the Fixed Assets tab
 Salvage Value – The Salvage Value field on the Overview subtab of the Fixed
 Accumulated Ordinary Depr. – The accumulated ordinary depreciation of an asset.
The value is stored in the database.
 Accumulated Unplanned Depr. – The accumulated unplanned depreciation of an
asset. The value is stored in the database.
 Special Depreciation 01, 02, 03 – The special depreciation of an asset in
depreciation pool 01, 02, and 03. The values are stored in the database.
 Accumulated Special Depr. 01, 02, 03 – The accumulated depreciation of an asset in
depreciation pool 01, 02, and 03. The values are stored in the database
 Accumulated Write-Up – The accumulated write-up of an asset. The value is stored
in the database.
2.12.11 Importing Data from Fixed Assets Add-On
 Prerequisites
 The Fixed Assets add-on must be version 8.8 or later.
 You have backed up the company database.
 You are the only user that is logged on to the company database.
 Context
With the fixed asset data migration wizard, you can migrate the following data from
the Fixed Assets add-on to SAP Business One:
 Account determination
 Depreciation areas
 Depreciation types
 Asset classes
 Asset master data
When importing the asset master data, the system can only copy the asset values
at the beginning of a fiscal year from the add-on to SAP Business One. Usually, this
is the year to which the last fiscal year change is carried out in the add-on. If asset
transactions take place during the fiscal year, you must manually create these
transactions in SAP Business One as the transactions cannot be imported.
For example, in the Fixed Assets add-on, asset X has a net book value of 5000 USD
on January 1st, 2012. On October 1st, 2012, the asset retires completely and
becomes inactive.
In November, you import the asset-related data from the add-on into SAP Business
One. After the import is completed, you can find asset X in SAP Business One with a
net book value of 5,000 USD at the beginning of fiscal year 2012. There is no record
of its retirement and the asset is still in active status. In this case, you must create
the asset retirement transactions in SAP Business One all over again.
 Procedure
1. From the SAP Business One Main Menu, choose Administration Utilities Fixed
Assets Data Migration Wizard.
2. In the first step, select the Start a New Migration Run option.
3. In the second step, specify the migration run name and migration options, and
choose Execute.
4. In the third step, view the summary report of the migration.
To see the details of the migrated data, return to step 1 in the wizard and select
the Load Executed Migration Runs option.
In the second and third steps, you can then view the migration parameters and a
list of migrated data.
2.12.11.1 Fixed Assets Data Migration Wizard, Step 1: Wizard Options

In this step, specify whether you want to start a new migration run or load an executed
migration run.
Wizard Options Fields
Start a New Migration Run
Select the option to create a new migration run.
Load Executed Migration Runs
Select this option to view the details of previously executed migration runs.
Note
The following fields are available only if you have selected the Load Executed Migration
Runs option.
Find
Enter the name of the executed migration run for which you want to view the details.
Migration Run Name
Displays the names of the previously executed migration runs.
Date
Displays the date on which each migration run is carried out.
Status
 Successful – Indicates all the objects are successfully migrated.
 Partially Successful – Indicates some objects are successfully migrated while some
are not.
 Failed – Indicates no objects are migrated.
Remarks
Displays the remarks of each depreciation run.
2.12.11.2 Fixed Assets Data Migration Wizard, Step 2: Migration Parameters

In this step, specify the migration run name and migration options.
Note
If you chose to view an executed migration run in step 1, you can only view the detailed
parameters of the migration run in this step.
Migration Parameters Fields
Migration Run Name
Enter the name of the migration run.
Migrate Data for Fiscal Year
 If you have executed fiscal year changes in the add-on, the field displays the fiscal
year to which the last change was made.
 If you have not executed fiscal year changes in the add-on, the field displays the last
year in which the values of the migrated assets were calculated in the add-on.
Note
During the migration, the system migrates the asset values at the beginning of the fiscal
year from the add-on to SAP Business One.
If asset transactions that took place during the year exist in the add-on, you must manually
create these transactions in SAP Business One as you cannot migrate asset transactions
using this wizard.
Remarks
If required, enter remarks about the migration run.
Fixed Asset Data
Displays the fixed asset-related data that are migrated from the add-on to SAP Business
One.
Account determination records, depreciation areas, depreciation types, asset classes, and
asset master data must all be migrated. You cannot change the selection.
Migration Options
Select one of the following migration options:
 Skip if Data Already Exists – If the data you want to migrate already exists in SAP
Business One, the data is not migrated.
 Overwrite Existing Data – If the data you want to migrate already exists in SAP
Business One, the system overwrites the data.
2.12.11.3 Fixed Assets Data Migration Wizard, Step 3: Summary Report

In this step, you view the summary report of the migration run. The report displays all
error, warning, and information messages.
To see the detailed results of the migration run, return to the first step of the wizard and
select the Load Executed Migration Runs option.
2.12.11.4 Fixed Assets Data Migration Wizard, Step 3: Migration Results
In this step, view the detailed results of a previously executed migration run.
Migration Results Fields
Object Type
Displays the different types of fixed asset data that are migrated from the add-on.
Object Code
Displays the code of each migrated object.
To view the details about the migrated object, open the object window by clicking
before the code.
Object Name
Displays the name or description of the migrated object.
Result
Indicates whether the object was migrated successfully.
Remarks
If the object is successfully migrated, the field displays Create Object. Otherwise, it
displays an error message.
2.12.12 Working with Virtual Fixed Assets
With SAP Business One, you can now manage fixed assets with the virtual fixed
asset function. That is, when your company needs to purchase identical fixed assets
in large quantities, you can purchase a virtual fixed asset in a certain quantity, and
then SAP Business One automatically creates the same quantity of asset master
data records, and capitalizes them for you.
Using this function can free you from having to manually enter large amounts of
repeated information; hence helping to improve your company’s efficiency in
managing fixed assets.
2.12.12.1 Creating a Virtual Fixed Asset
You have enabled the numbering series for Items.
To set up the document numbering series, from the SAP Business One Main Menu,
choose Administration System Initialization Document Numbering.
Procedure

2. In the dropdown list of the Item No. field in the general area, choose the
predefined numbering series.
The Virtual Item checkbox appears in the general area.
3. Select the Virtual Item checkbox.
The Enforce Serial Number checkbox appears under the Virtual

Item checkbox.
4. [Optional] If you want to manage assets that are generated by virtual fixed
assets by serial number, select the Enforce Serial Number checkbox.
5. Specify the required information for the asset that you want to purchase in
bulk.
Note
Once you have purchased the virtual fixed asset by A/P invoice, identical
asset master data will be automatically created by SAP Business One. Make
sure you have entered all necessary information in the master data of the
virtual fixed asset.
2.12.12.2 Capitalizing Assets by Virtual Fixed AssetsCanceling
You have created asset master data with the Virtual Item checkbox selected.
To access the Asset Master Data window, from the SAP Business One Main Menu,
choose Financials Fixed Assets Asset Master Data .
 Procedure
1. From the SAP Business One Main Menu, choose Purchasing A/P A/P Invoice.
2. In the A/P invoice, specify relevant information in the header.
3. In the table on the Contents tab, perform the following:
a. In the Item No. field, choose the virtual item.
b. In the Quantity field, specify the amount of the asset that you want to
purchase in bulk.
c. [Optional] If you want to maintain quantity for the created asset master
data, select the Consider Quantity checkbox.
4. [Optional] If you have selected the Enforce Serial Number checkbox for the virtual
fixed asset, perform the following:
a. In the A/P invoice, right click and choose Asset Serial Numbers. The Asset
Serial Numbers – Setup window opens.
b. In the Asset Serial Numbers – Setup window, create a serial numbers for
each asset purchased through the A/P invoice.
5. In the A/P invoice, choose the Add button.
 Results
SAP Business One automatically creates asset master data results as follows:
 The information in the asset master data of the virtual fixed asset is completely
copied to the newly created asset master data, except the Virtual Item checkbox is
unselected.
 The quantity of the newly created asset master data is the same as the quantity you
have specified in the A/P invoice.
 The item numbers are automatically assigned to newly created asset master data,
according to the rules you have defined for the series used in the master data of the
virtual fixed asset.
Note
 You can include multiple virtual fixed assets in the same A/P invoice, but you cannot
include both virtual fixed assets and normal fixed assets in the same A/P invoice.
 To capitalize assets by virtual assets, you can use A/P invoices only; capitalization
documents are not allowed for virtual fixed assets.
2.12.12.3 Capitalization of Virtual Fixed Assets

1. Prerequisites
 You have capitalized fixed assets by purchasing a virtual fixed asset with an A/P
invoice.
 The credited amount is no greater than the total NBV of credited assets.
In the following scenarios, none of the assets were subsequently capitalized.
Scenario 1: Cancel A/P Invoices
Procedure:
In the A/P invoice with which you purchased the virtual fixed asset , right-click and
choose Cancel.
Result:
The purchased assets become inactive. That is, in the Asset Master Data window of each
asset, the Inactive radio button is automatically selected.
Scenario 2: All Purchased Assets Are Fully Credited
Procedure:
2. In the A/P invoice with which you purchased the virtual fixed asset , choose the Copy
To button; then choose A/P Credit Memo.
3. The target A/P credit memo opens. Do not change either the quantity or the total
amount.
4. Choose the Add button.
Result:
The APC and the net book values of all assets become zero. That is, for all relevant assets,
in the Net Book Value field on the Overview subtab of the Fixed Assets tab of the Asset
Master Data window, the value becomes zero.
Scenario 3: All Purchased Assets Are Credited with Partial Amount
Procedure:
To button; then choose A/P Credit Memo. The target A/P credit memo opens.
2. In the A/P Credit Memo window, change the total amount to a smaller value.
3. Choose theAdd button.
Result:
The credited amount is distributed equally to each asset. The APC and the net book value
of each asset decrease by the distributed amount.
Scenario 4: Partial Assets Are Credited
Procedure:
To button; then choose A/P Credit Memo. The target A/P credit memo opens.
2. In the A/P Credit Memo window, change both the quantity and the total amount to
a smaller value.
3. In the table area, right-click and choose Asset Selection.
4. In the Asset Selection window, select the assets that you want to credit, and
choose OK .
5. In the A/P Credit Memo window, choose the Add button.
Result:
One of the following happens:
 If the credited amount is equal to the total NBV of all credited assets:
o The net book value of each credited asset becomes zero.
o The APC of each credited asset decreases by the NBV amount, or becomes
zero.
 If the credited amount is less than the total NBV of all credited assets:
o The credited amount is distributed equally to each credited asset.
o The APC and the net book value of each credited asset decrease by the
distributed amount.
2.13 Budget
Use this function to define budgets to relevant accounts, according to selected scenarios.
To use the function, choose Financials Budget Setup Budget.
2.13.1 Budget Scenarios

Budget scenarios are used mainly for displaying budget reports. Using a scenario,
you create a prognosis of a particular situation for the company's budget and
obtain important information about what the budgetary balance would be
according to the selected scenario.
2.13.1.1 Import Budget Scenarios Window

Use this window to import a budget scenario from another company database.
To open the window, choose Financials Budget Setup Budget Scenarios. In the Budget
Scenarios — Setup window, choose the Import Scenario button.
Note
This topic documents fields and other elements in this window that either are not self-
explanatory or require additional information.
Import Budget Scenarios Window
Original Data
Specify the data of the source company.
 Choose Company – Opens the Choose Company window, where you select the
source company.
 Database Name, Company Name – Displays the details of the selected source
company.
 Original Scenario – Specify the budget scenario you wish to import. The list displays
all budget scenarios defined in the selected company.
Destination Data
Database Name, Company Name – Displays the details of the current company.
Destination Scenario – Specify the scenario to which you want to import the original
scenario.
2.13.1.2 Copy Budget Scenarios Window
Use this window to copy an existing budget scenario to a new budget scenario in the
present company.
To open the window, choose Financials Budget Setup Budget Scenarios, and then
choose Copy Scenario.
Note
Copy Budget Scenarios Window
Original Data
 Database Name, Company Name – your current database and company name
 Original Scenario – specify the scenario you want to copy
Destination Data
 Database Name, Company Name – your current database and company name.
 Destination Scenario - specify the target scenario to which you want to copy the
original budget scenario data.
Find
Opens the Account – Selection Criteria window where you can define a range of
accounts to be selected for the copy budget scenario procedure.
[Accounts Selection Table]
Specify the required accounts by selecting their rows in the X column. Click the column
header to choose all or no accounts. In the upper right corner, you can choose the
account display level.
2.13.2 Budget Distribution Methods
Use this function to define the required distribution methods for your budget(s).
Note
This function is not relevant if you manage an annual budget
By default, each company in SAP Business One has three common methods for
budget distribution:
 Equal – Distributes the budget amount equally among the months of the year.
 Ascending Order – Distributes the budget amount in an ascending order; can be used
when you increase your budget expenses over the course of the year.
Example
In January you use only a small portion of your budget amount, in February you increase
your expenses, and so on.
 Descending Order – Distributes the budget amount in a descending order; can be used
when you decrease your budget expenses over the course of the year.
Example
In January you use the largest portion of your budget amount, in February you use a little
less, and so on.
2.13.2.1 Budget Distribution Methods - Setup Window
Use this window to specify budget distribution methods.
To open the window, choose Financials Budget Setup Budget Distribution Methods.
Budget Distribution Method – Setup Window
Method
Internal number automatically assigned to the distribution method.
Method Name
Specify a description of the distribution method.
Total
Specify the total amount to be distributed among the months. This amount must be
greater than zero. The amount is in local currency.
Month
A numerical representation of the month of the year.
Factor
Specify the proportion of the total to be distributed to each month. The factor total
should match the total distribution.
Clear
Clears the definitions made in the Factor column.
Set as Default
Sets a distribution method as the default.
2.13.3 Defining the Budget
1. Prerequisites
 The Budget Initialization option in Administration System Initialization General
Settings Budget tab is selected.
 The required budget scenario was defined in Financials Budget Setup Budget
Scenarios.
 The required distribution methods were defined in Financials Budget Setup Budget
Distribution Methods.
2. Procedure
3. From the SAP Business One Main Menu, choose Financials Budget Setup Budget.
The Budget Scenario Definition window appears.
4. Choose the scenario on which to base the budget and select the G/L accounts to be
included.
5. Choose OK.
The Budget Scenarios – Setup window appears, with the name of the selected
scenario.
6. For each account, enter the budget amount, percentage, and distribution method.
Note
When you create a new budget that includes accounts without previous budget
definition, the window does not display any accounts. In this case, select the
option Display accounts with no budget.
7. Results
The budget is defined for the selected accounts and you can make an analysis by
comparing the defined budget with the actual business activity.
2.13.3.1 Budget Scenarios - Setup Window
Use this window to define new budget scenarios.
Budget Scenarios — Setup Window
Fiscal Year
The current fiscal year is displayed by default. Choose a different one if required.
Example
If you are preparing for the coming year and want to define new budget scenario,
choose the coming year from the dropdown menu Note that this is available only if you
have defined the respective posting period already.
Budget Name
Specify a name for the budget scenario. This name is unique to that fiscal year.
Based On
Choose the budget scenario on which to base the defined budget scenario. An
independent budget scenario should be based on itself.
Initial Ratio (%)
Set the percentage of the defined budget in relation to its base budget. If the budget
scenario is based on itself, the initial ratio percentage must be 100.
Rounding Method
Select the rounding method for budget amounts in each scenario.
Copy Scenario
Opens the Copy Budget Scenarios window with which you can copy existing budget
scenario into a new one.
Import Scenario
Open the Import Budget Scenarios window in which you can import budget scenario
from other SAP Business One company into new budget scenario.
2.13.3.1.1 Budget Scenarios - Setup (Scenario - XXX) Window
Use this window to specify a budget according to a specific budget scenario.
To open the window, choose Financials Budget Setup Budget. Set the
required parameters in the Budget Scenario Definition window and choose OK.
Budget Scenarios – Setup (Scenario – XXX) Window
Display Accounts with no Budget
Displays G/L accounts for which no budget amount has been entered.
Dimension
From the dropdown list, select an active dimension for which you want to
define the budget.
Acct No., Acct Name
Account code and name as defined in the chart of accounts.
Parent Acct
A percentage of this account will be the budget for the account in focus.
%
Percentage of the parent account amount.
Note
Since the amount in the parent account is not divided between the child
accounts, the rate can exceed 100%.
Method
Specify the required method according to which the budget is distributed over
months:
 Equal – The budget amount is distributed equally among 12 months.
 Ascending Order – The budget is distributed in such a way that most of it is
dedicated to the last months, and only a small part is used during the first months.
 Descending Series – The budget is distributed in such a way that most of it is
dedicated to the first months of the year, and the amount assigned to each month
decreases as the year progresses.
 Manual – Enables you to manually specify how the budget is distributed among the
different months. You can, for example, decide that the budget is distributed among
two months only.
 Define New – Opens the Budget Distribution Method window where you can define
new budget distribution methods.
Debit
Budget amount in local currency. Budget calculation is always performed
against the debit side.
Credit
Budget amount for incoming payment accounts, for reporting purposes only.
Actual
Actual amount in this account based on its journal entries.
Distr. Rule Code, Distr. Rule Name
Displays the code and name of the distribution rules to which the budget
amount is distributed.
You can add cost centers by right-clicking the G/L account row and
choosing Add Cost Center.
Distr. Rule Debit
Enter the budget amount, in local currency or system currency, that you want
to distribute to each distribution rule. Budget calculation is always performed
against the debit side.
Distr. Rule Credit
Enter the budget amount, in local currency or system currency, that you want
to distribute to each distribution rule. This is the budget amount for incoming
payment accounts, for reporting purposes only.
Distr. Rule Actual
Displays the actual amount, in local currency or system currency, accrued in
this account as a result of the distribution rule.
2.13.3.1.1.1 Budget Item Details Window
This window enables you to manually change the distribution of the budget
amounts, for the selected account. You can change the total amount
assigned to the account as well as the distribution of the amount within the
months.
Budget Item Details Window
Account Number
The code of the selected G/L account.
Account Name
The name of the selected G/L account as defined in Chart of
Accounts window.
Total (Local)
The total budget amount in local currency defined for the selected G/L
account. You can change this amount if required. Once you press
the TAB key, the amounts in the Total (System) field and in the table are
updated accordingly.
Total (System)
The total budget amount in system currency defined for the selected G/L
account. You can change this amount if required. Once you press TAB, the
amounts in the System column are updated accordingly.
Month
The month of the year.
Local
The budget amount in local currency that was distributed to each month.
You can change manually the amount distributed to each month. Once you
press the TAB key, the amounts in the System column are updated
accordingly, and the difference between the original amount distributed and
the updated amount appears in the For Reconciliat.: field.
System
The budget amount in system currency that was distributed to each month.
You can change this amount manually. Once you press the TAB key, the
difference between the original amount in system currency and the updated
one appears in the For Reconciliat.: row, under the System column.
Note
When changing amounts in system currency, the amounts in local currency
are not updated accordingly (as opposed to a change in local currency that
results in respective change in system currency as well).
%
The proportion out of the overall budget amount that was distributed to
each month. When changing the amounts distributed among the months
and pressing the TAB key, the percentage is updated accordingly.
For Reconciliation
If the total of the % column is not 100, this row displays the amount
remaining to be distributed.
Remarks
Specify relevant remark for each month, if required.
Note
The remarks are saved per month, so make sure that you click the relevant
month before entering your remarks.
Update Differences
If you change the monthly budget amounts and, as a result, the total budget
value is not fully allocated, choose this button to specify the remaining value
in the budget amount of the last month.
2.14 Cost Accounting
In addition to their regular bookkeeping, many businesses perform expense and revenue
analyses that measure the profitability of each of their business activities or departments.
The cost accounting function in SAP Business One enables you to define sets of cost centers
and distribution rules. Generating respective reports provides important cost-related
information.
SAP Business One provides two cost accounting methods: distribution rules and projects.
2.14.1 Working with Dimensions

Dimensions configured in the system provide customers with multiple views of an
expense and revenue analysis.
Authorization is required for viewing and defining dimensions.
To define dimensions, choose Financials Cost Accounting Dimensions.
2.14.2 Working with Cost Centers and Distribution Rules

A cost center is a company unit or division that performs a specific business
function.
For expenses and revenues that can be assigned directly to a cost center, you
define a direct distribution rule. When you create a cost center, SAP Business One
automatically creates a distribution rule. You cannot change this distribution rule.
The default values of the distribution rule are as follows:
- Values in the Code and Description fields are the same as they appear in the
Cost Center and Name fields, respectively, of the corresponding cost center.
- The dimension and effective period are the same as those of the corresponding
cost center.
- The Active and Direct Allocation checkboxes are automatically selected.
- The value of the corresponding cost center is 100, for a total value of 100.
2.14.2.1 Working with Cost Centers
A cost center is a company unit or division that performs a specific business function, such
as manufacturing specific products or providing a specific service. The cost center you
define here represents the respective division or department, and is used to consolidate
the expenses and revenues resulting from the ongoing activity of the specific
organizational unit.
Authorization is required for viewing and defining cost centers.
To define cost centers, choose Financials Cost Accounting Cost Centers.
2.14.2.1.1 Allocating Expenses/Revenues to Cost Centers

This example illustrates how to allocate two amounts from an accounting
document to two cost centers as follows: amount 1 to cost center CC1, and
amount 2 to cost center CC2.
 Prerequisites
 You have defined cost centers CC1 and CC2 in Financials Cost Accounting Cost
Centers.
 You have prepared the relevant accounting document, but have not yet added it to
the database.
 Procedure
 If you did not select the Use Multidimensions checkbox on the Cost Accounting tab
of the General Settings window under Administration System
Initialization General Settings, in the Distr. Rule field of the row with amount
1/amount 2, specify distribution rule CC1/CC2.
 If you selected the Use Multidimensions checkbox, do the following:
o If you selected the In a Unified Column radio button, then in the Distr.
Rule field of the row with amount 1/amount 2, specify distribution
rule CC1/CC2 for the required dimension.
o If you selected the In Separate Columns radio button, then in the XXX field
(XXX is the description of the required dimension) of the row with amount
1/amount 2, specify distribution rule CC1/CC2.
Note
SAP Business One automatically creates distribution rules CC1 and CC2 once
you create cost centers CC1 and CC2.
 Result
When you add the document to the database, amount 1 is allocated to cost
center CC1, and amount 2 is allocated to cost center CC2.
2.14.2.1.2 Assigning Cost Centers to Expense/Revenue and COGS Accounts

When you create an accounting document that involves expense/revenue and
cost of goods sold (COGS) accounts (such as deliveries, A/R invoices, returns,
A/R invoices + payments, and A/R credit memos), the transaction amounts are:
 Posted to the default expense/revenue or COGS accounts
 Allocated to the cost centers that are linked to these accounts through distribution
rules
The following procedure illustrates how to link different cost centers to the
expense/revenue and COGS accounts for all/specific document rows.
 Prerequisites
 You have defined the required cost centers in Financials Cost Accounting Cost
Centers.
 You have prepared the relevant accounting document, but have not yet added it to
the database.
 Procedure
1. On the Table Format tab of the Form Settings window for the accounting document,
select the Visible and Active checkboxes for the Distr. Rule and COGS Distr.
Rule columns.
Note
If you selected the In Separate Columns radio button on the Cost
Accounting tab of the General Settings window in Administration System
Initialization General Settings, select the two checkboxes for
the XXX and COGS XXX columns, where XXX is the description of active
dimensions.
The two columns appear on the Contents tab of the accounting document.
2. Assign cost centers to expense/revenue and COGS accounts.
o To assign cost centers for all document rows, proceed as follows:
a. In the Form Settings window for the accounting document,
choose Document Table.
b. In the Distr. Rule field, assign to the expense/revenue account the
distribution rule that is automatically created for the required cost
center.
c. In the COGS Distr. Rule field (such as deliveries, A/R invoices,
returns, A/R invoices + payments, and A/R credit memos), assign to
the COGS account the distribution rule that is automatically created
for the required cost center.
d. Choose the OK button.
A system message appears asking whether you want to apply your selections
to document table rows.
e. Choose the Yes button.
Your selections are applied to all document table rows.
o To assign cost centers for specific document rows, proceed as follows:
a. In the Distr. Rule field or the XXX field of the row (XXX being the
description of the required dimension), assign to the
expense/revenue account the distribution rule that is automatically
created for the required cost center.
b. In the COGS Distr. Rule field or the COGS XXX field of the row
(XXX being the description of the required dimension), assign to the
COGS account the distribution rule that is automatically created for
the required cost center.
3. When the accounting document is complete, choose the Add button.
Note
If most of the document rows have the same distribution rule, you can first
assign the distribution rule to all document rows and then assign a distribution
rule to the exceptional rows.
 Result
 In the accounting document you created, the selected distribution rules appear in
the Distr. Rule and COGS Distr. Rule columns (or XXX and COGS XXX columns,
where XXX is the description of the required dimension).
 The cost centers are linked to the amounts posted to the expense/revenue and
COGS accounts through distribution rules.
 These amounts are reflected in cost accounting reports.
2.14.2.2 Working with Distribution Rules
A distribution rule is a cost accounting method used to allocate direct and indirect
expenses and revenues to one or more cost centers. It contains information regarding
the portion or the fixed amounts of the expenses or revenues to be allocated to each
cost center.
You can link distribution rules to the respective expenditure and sales G/L accounts of
the business. As a result, the amount of each accounting transaction that is posted to
these accounts is recorded in the respective cost centers according to the ratio defined
in the distribution rules.
SAP Business One provides the following three kinds of distribution rules:
- Distribution rules that SAP Business One creates when you create cost centers.
This kind of distribution rule has a one-to-one relationship with the
corresponding cost centers.
- Distribution rules that you create as master data. This kind of distribution rule is
the most common one. You create it to allocate direct and indirect expenses
and revenues to one or more cost centers.
- Distribution rules that you create manually for individual transactions. This kind
of distribution rule is defined for particular transactions and does not affect the
distribution rule master data.
Authorization is required for viewing and defining distribution rules.
To define distribution rules, choose Financials Cost Accounting Distribution Rules.
2.14.2.2.1 Displaying and Editing Distribution Rules
Context
Note
You can only display (not edit) a direct distribution rule that is automatically
created for a cost center. You can display and edit other distribution rules.
Procedure
- From the SAP Business One Main Menu, choose Financials Cost Accounting
Distribution Rules.
The Distribution Rules – Setup window appears.
- In Find mode, use the search functions to find the required distribution rule.
- You can edit a distribution rule by, for example, adding new cost centers to it,
or changing the factors used to allocate expenses and revenues.
- To save your changes, choose the Update button.
2.14.2.2.2 Defining Cost Accounting Methods for G/L Accounts
SAP Business One provides two cost accounting methods: distribution rules
and projects.
SAP Business One provides two types of cost accounting method settings for
G/L accounts:
 Checking the cost accounting method assignment of G/L accounts
 Assigning default cost accounting methods to G/L accounts
 Prerequisites
 You have defined the required projects
in Administration Setup Financials Projects.
 You have defined the required distribution rules in Financials Cost
Accounting Distribution Rules.
 You have defined the required G/L accounts in Financials Chart of Accounts.
 Procedure
1. From the SAP Business One Main Menu, choose Financials Chart of Accounts.
The Chart of Accounts window appears.
2. Select the required G/L account for which you want to define cost accounting
methods.
3. Select the Project checkbox, which sets the G/L account as relevant to project. You
can also specify a default project for the account.
For G/L accounts relevant to project, SAP Business One performs actions
defined on the Cost Accounting tab of the General Settings window,
in Administration System Initialization General Settings, for postings in
which such G/L accounts are without project assignment.
4. In the Distribution Rule section, select one or more checkboxes to set the G/L
account as relevant to distribution rules of corresponding dimensions. You can also
specify default distribution rules for corresponding dimensions.
Note
Distribution rule fields are editable only for G/L accounts of
type Sales or Expenditure.
For G/L accounts relevant to distribution rules, SAP Business One performs
actions defined on the Cost Accounting tab of the General Settings window for
postings in which such G/L accounts have no distribution rule assigned to the
selected dimensions.
5. In the Chart of Accounts window, choose the Update button.
Note
The cost accounting methods assigned to G/L accounts in this procedure
function as the default methods when you post different transactions in SAP
Business One. You might have transactions or documents in which you are
required to assign different cost accounting methods to a specific account. In
such cases, the default cost accounting methods can be changed in most
windows.
2.14.2.2.3 Updating Distribution Rules in Accounting Documents and
Manual Journal Entries
Context
An accounting document is a logistics document recording a business
transaction that generates journal entries, that is, postings to accounts.
If you add accounting documents or manual journal entries to SAP Business
One, transaction amounts are posted to various cost centers according to the
distribution rules defined for the G/L accounts.
At times, you may want to use a different distribution rule for a transaction.
For example, if you have some cleaning work done that also involves
renovation, you might want to post the expenses not to your usual cleaning
expense account, but to a different account. In such a case, you need to
change the distribution rule specified in the accounting document or manual
journal entry.
Procedure
- On the Table Format tab of the Form Settings window for the accounting
document or manual journal entry, select the Visible and Active checkboxes for
the Distr. Rule column.
Note
If you selected the In Separate Columns radio button on the Cost Accounting
tab of the General Settings window in Administration System Initialization
General Settings, select the two checkboxes for the XXX column, where XXX is
the description of active dimensions.
The column appears on the Contents tab of the accounting document or in the
Journal Entry window.
- In the Distr. Rule or XXX field of the row for which you want to change the
distribution rule, specify a different distribution rule.
- To save your changes, choose the Update button.
2.14.2.2.4 Specifying One-Time Distribution Rules
The following is a list of transactions and documents in SAP Business
One where you can assign distribution rules to G/L accounts that are involved
in a specific transaction/document or a series of transactions/documents. This
might be required in the following cases:
 You have assigned a default distribution rule to the G/L account, but in a specific
transaction/document or series of transactions/documents, you need to assign a
different distribution rule.
 You have not assigned a default distribution rule to the G/L account, but in a specific
transaction/document or a series of transactions/documents, you need to assign to
it a distribution rule.
 Features
In all places listed below, the distribution rules can be changed at any time
(before and after the transaction/document is added), unless otherwise stated.
Note
If you specify distribution rules at both the row level and the document
level, SAP Business One takes the distribution rule information from the row
level.
Financials Module
 Journal entries / journal voucher entries – the Distr. Rule field is active at both the
row level and the document level. You can access the field in the expanded editing
mode, or in the table directly, or on the Table subtab of the Document tab in
the Form Settings window. Use the last option to assign distribution rules at the
document level.
 Posting templates / recurring postings – the Distr. Rule column is active at the row
level. Assign to each row the required distribution rule. Journal entries that are
created from posting templates / recurring postings automatically record
distribution rules in the posting templates / recurring postings as default distribution
rules.
Sales and Purchasing Documents
 In sales and purchasing documents, the Distr. Rule column is active at both the row
level and the document level.
 In sales documents of type Item, you can specify distribution rules for the cost of
goods sold (COGS) account. The COGS Distr. Rule column is active at both the row
level and the document level.
Freight
 In the Freight – Setup window in Administration Setup General Freight, the Distr.
Rule column is active at the row level. The distribution rule you specify here is used
by default, at both the row level and the document level, whenever freight is used.
 In all sales and purchasing documents, the Distr. Rule column for freights is active at
both the row level and the document level.
o To specify distribution rules for freight at the row level, on the Table
Format tab of the Form Settings window, select
the Visible and Active checkboxes for the columns Freight 1 Distr.
Rule, Freight 2 Distr. Rule, and Freight 3 Distr. Rule, and specify a required
distribution rule for each freight item.
o To specify distribution rules for freight at the document level, in
the Freight field, choose . In the Freight Charges window, specify a
required distribution rule for each freight item.
Banking Module
 Incoming and outgoing payments – the Distr. Rule column is active at the row level.
 Payment wizard – the Distr. Rule column is active at the row level in the
recommendation report.
 Commission – the Distr. Rule field is active for commissions.
Inventory Module
 Inventory documents – in goods receipts, goods issues, and inventory transfers,
the Distr. Rule column is active at the row level.
 Inventory revaluation, inventory opening balances, inventory tracking, and inventory
posting – the Distr. Rule column is active at the row level.
Production Module
Production orders – the Distr. Rule column is active at the row level.
2.14.3 Working with Accrual Types
An accrual type is a set of conditions used to represent the differences between
cost accounting and financial accounting.
Authorization is required for viewing and defining accrual types.
To define accrual types, choose Financials Cost Accounting Accrual Type.
2.14.4 Recording Differences Between Financial Accounting and Cost

Accounting – Example
This example illustrates how to record differences between financial accounting and cost
accounting using accrual types.
In the example, a machine costs USD 9,000, and its legal life is 3 years (that is, the
monthly depreciation is USD 250 in financial accounting), but in the company's point of
view, the estimated useful life is 5 years (that is, the monthly depreciation is USD 150 in
cost accounting).
The current monthly posting is as follows:

Debit Credit
111000 - Plant and Machinery USD 250
645010 - Plant and Machinery Depreciation Expense USD 250

Procedure
To record the differences between financial accounting and cost accounting, proceed as
follows:
1. In the Edit Chart of Accounts window, create two G/L accounts of

type Expenditure: 645011 - Calculation Machinery Depr and 645012 -
Calculation Interim Machinery Depr.
2. In the Accrual Types – Setup window, create an accrual type as follows:
Code Name Posting Acct Accrual Calculation Accrual Calculation Interim
Acct Acct
01 Machinery Depr 645010 645011 645012
3. For cost accounting correction postings, you can create a monthly recurring posting, or
you can manually create a journal entry every month.
G/L Acct/BP Code G/L Acct/BP Name Debit Credit
645011 Calculation Machinery Depr USD 150
645012 Calculation Interim Machinery Depr USD 150

Result
In financial accounting, the depreciation expense is USD 250, while in cost accounting,
the depreciation expense is USD 150. The difference between financial accounting and
cost accounting is USD 100.
In the cost accounting reconciliation report, you can find the following records:
Financial Accounting Cost Accounting
P/L Company-Related Cost Accounting Cost Accounting P/L

Correction
AccountsExpense(LRevenue(LExpense(LRevenue(LExpense(LRevenue(LExpense(LRevenue(L
C) C) C) C) C) C) C) C)
645010- USD 250 USD 0 USD 250 USD 0

Plant and
Machinery
Depreciati
on Expense
645011- USD 150 USD 0 USD 0 USD 150

Calculation
Machinery
Depr
645012- USD -150 USD 0 USD -150 USD 0

Calculation
Interim
Machinery
Depr
USD 250 USD 0 USD 0 USD 0 USD 100 USD 0 USD 150 USD 0
Total USD -250 USD 0 USD -100 USD -150
Financial USD -250 Non- USD -100 Cost USD -150

P/L Operating Accounting
P/L P/L
2.14.5 Cost Accounting Reports
2.14.5.1 Cost Center Report

This report provides comprehensive information about expenses and revenues that are
credited to or debited from cost centers. Use the report to analyze the financial situation
of cost centers in detail.
Authorization is required for viewing this report.
Use this window to specify selection criteria for the cost center report.
To open the window, choose Financials Cost Accounting Cost Center Report.
After defining the report, you can view it in the Cost Center Report window
Note
Selection Criteria
Dimension
From the dropdown list, select a dimension to view its related cost centers.
Note
Only active dimensions appear in the dropdown list.
Note
This field appears only when you selected the Use Multidimensions checkbox on the Cost
Accounting tab of the General Settings window under Administration System
Initialization General Settings.
Template
If required and you’ve defined a cost center hierarchy, select the radio button, and from
the dropdown list, select a hierarchy template to display the cost centers in the hierarchy.
Note
Selecting the radio button hides the Sort Code From…To… and the Summary by Sort
Code fields.
Cost Center From...To...
If required, specify a range of cost centers to include in the report.
Sort Code From...To...
If required, specify a range of sort codes to include in the report only cost centers with
selected sort codes.
Note
This field appears only when you selected the Cost Center radio button.
Due Date / Posting Date / Document Date From…To…
If required, specify ranges of due dates, posting dates, or document dates to include
specific postings in the report.
Summary of
From the dropdown list, select to include summaries of each cost center by distribution
rules, linked accounts, or months.
Project
If required, select the checkbox and choose specific projects to further narrow down the
cost centers to be displayed in the report.
Display by Posting Date / Due Date
Select the way of displaying when the report is summarized by months.
Note
This field appears only when you selected Months in the Summary of dropdown list.
Summary by Sort Code
If required, select the checkbox to include summaries by sort codes in the report.
Note
This field appears only when you selected the Cost Center radio button.
Exclude Closing Balance JEs
Select the checkbox to exclude journal entries created by the period-end closing function.
It is deselected by default.
Hide Cost Centers with No Postings
Hides cost centers with no postings in the cost center report. The checkbox is selected by
default.
Hide Distribution Rules with No Postings
Hides distribution rules with no postings in the cost center report. The checkbox is
selected by default. It appears only when you select Distribution Rules in the Summary
of dropdown list.
2.14.5.2 Distribution Report

This report provides comprehensive information about total overhead expenses and the
expenses in each cost center, according to distribution rules. Use the report to get a clear
picture of overhead expenses posted by specific transactions and the distributed amounts
in each cost center.
Authorization is required for viewing this report. The report excludes confidential G/L
accounts for users who are set as No Authorization for Access to Confidential Accounts.
Use this window to specify selection criteria for the distribution report.
To open the window, choose Financials Cost Accounting Distribution Report.
After defining the report, you can view it in the Distribution Report window
Note
Selection Criteria
Dimension
From the dropdown list, select a dimension to view its related distribution rules.
Note
Note
Distr. Rule From...To...
If required, specify a range of distribution rules to include in the report.
Posting Date / Due Date / Document Date From...To...
If required, specify ranges of posting dates, due dates, or document dates to include
specific postings in the report.
Project
distribution rules to be displayed in the report.
Scenario
Select the budget scenario that you want to display in the report.
Note
Only valid budget scenarios in the selected date range appear in the dropdown list.
Display LC / SC / LC and SC
Select to display the report in local currency, system currency, or both local currency and
system currency.
Hide Cost Centers with No Values
If required, select to hide cost centers with no values in the report.
Cost Accounting Adjustment
Click this button to open the Journal Entry for Cost Accounting Adjustment window.
2.14.5.3 Cost Accounting Summary Report
This report provides information on transactions related to cost accounting.
Authorization is required for viewing this report. The report excludes confidential G/L
accounts for users who are set as No Authorization for Access to Confidential Accounts.
Use this window to specify selection criteria for the cost accounting summary report.
To open the window, choose Financials Cost Accounting Cost Accounting Summary
Report.
After defining the report, you can view it in the Cost Accounting Summary Report window
Note
Selection Criteria
Dimension
From the dropdown list, select a dimension to view its related cost centers.
Note
Note
Hierarchy Template
If required and you’ve defined a cost center hierarchy, select the radio button, and from
the dropdown list, select a hierarchy template to display the cost centers in the hierarchy.
Note
Selecting the radio button disables the Cost Center Type From…To… and the Sort Code
From...To… fields.
Cost Center
If required, select the radio button, and choose the icon to select specific cost
centers in the Cost Center Selection window. By default, all cost centers are selected.
Note
In the Cost Center Selection window, you can choose the Find button to specify a range of
cost centers to include in the report.
Cost Center Type / Sort Code From…To…
If required, specify a range of cost center types or sort codes to include in the report only
cost centers with selected types or sort codes.
Note
These fields are enabled only when you selected the Cost Center radio button.
Date From…To…
Specify a range of posting dates, due dates, or document dates to include specific postings
in the report.
G/L Accounts
If required, select the checkbox, and choose the icon to select specific G/L accounts
in the Accounts – Selection Criteria window.
Note
In the Accounts – Selection Criteria window, you can choose the Find button to select
specific G/L accounts using the selection criteria in the Find G/L Accounts window.
Project
cost centers to be displayed in the report.
Add Journal Vouchers
If required, select the checkbox to include journal vouchers in the report as potential
postings.
Annual / Quarterly / Monthly Report
Select to display an annual, quarterly, or monthly report for the selected fiscal year.
system currency.
2.14.5.4 Budget versus Cost Accounting

This report provides comprehensive information on budget and cost accounting for budget
relevant G/L accounts. Use the report to get information on G/L accounts for which budget
amounts have been entered in the Budget Scenarios – Setup (Scenario – XXX) window.
Use this window to specify selection criteria for the budget versus cost accounting report.
To open the window, choose Financials Cost Accounting Budget versus Cost Accounting.
After defining the report, you can view it in the Budget versus Cost Accounting window
Note
Selection Criteria
Dimension
From the dropdown list, select a dimension to view its related cost accounting
information.
Note
Note
G/L Accounts
If required, select specific G/L accounts to be included in the report. You can choose
the Find button to specify a range of account codes in the Accounts – Selection
Criteria window.
Note
Only G/L accounts appear here for which you selected the Relevant to Budget checkbox in
its G/L Account Details window.
Scenario
From the dropdown list, select a budget scenario.
Note
Only valid budget scenarios in the selected date range appear in the dropdown list.
Date From…To…
Specify a range of posting dates, due dates, or document dates to include specific postings
in the report.
system currency.
Hide Accounts with No Postings
Hides accounts with no postings in the budget versus cost accounting report. The
checkbox is selected by default.
2.14.5.5 Cost Accounting Reconciliation Report
To make sure that expenses and revenues are posted to the correct period, define accrual
types to reflect the differences between financial accounting and cost accounting, and
then use the report to get an overview of financial accounting and cost accounting in your
company.
Use this window to specify selection criteria for the cost accounting reconciliation report.
To open the window, choose Financials Cost Accounting Cost Accounting Reconciliation
Report.
After defining the report, you can view it in the Cost Accounting Reconciliation
Report window
Note
To get the current data (for example, you want the report to reflect the latest change
made by other users), close the selection criteria window, and run the report by opening
the window again.
Note
Selection Criteria
Dimension
From the dropdown list, select a dimension to view its related cost accounting
information.
Note
Note
G/L Accounts
If required, select specific G/L accounts to be included in the report. You can choose
the Find button to specify a range of account codes in the Accounts – Selection
Criteria window.
Note
Only G/L accounts whose account type is Expenditure or Sales appear here.
Posting Date / Due Date / Document Date From…To…
Specify ranges of posting dates, due dates, or document dates to include specific postings
in the report.
system currency.
Hide Accounts with No Postings
Hides accounts with no postings in the cost accounting reconciliation report. The checkbox
is selected by default.
2.14.6 Cost Accounting Windows
2.14.6.1 Dimensions Window

Use this window to define and view dimensions used in cost accounting.
Note
Dimensions Window Fields
Name
Displays the default names of the five dimensions.
Act.
Select the checkbox to activate a dimension (the checkbox for Dimension 1 is selected by
default).
Note
Once you assign a dimension to cost centers or distribution rules, the checkbox of this
dimension is disabled.
Description
If required, specify the name of the dimension. Default values are the same as they appear
in the Name field.
Values you entered here appear as field or column names for corresponding dimensions.
2.14.6.2 Cost Centers - Setup Window
Use this window to define and view cost centers in your company.
Note
Cost Centers – Setup Window Fields
Cost Center
Specify a code for the cost center.
Name
If required, specify a name or short description for the cost center.
Owner
Define an employee as the owner of the cost center.
Sort Code
If required, specify a sort code for the cost center, for selection by future reports and
analyses.
Example
A company manufactures 10 different products, for each of which you defined a cost
center. The products are divided among three different categories, and the company
management wants to know which category is the most profitable. You can assign to each
cost center a sort code that represents the relevant product category. Generating the cost
center report summarized by sort code provides the answer.
Dimension
From the dropdown list, select the dimension to relate to the cost center.
Note
Note
Cost Center Type
If required, from the dropdown list, select a cost center type, for selection by future
reports and analyses.
You can select Define New to open the Cost Center Type – Setup window, in which you
can specify the code and name of the cost center type.
Effective From…To…
Specify the effective period of the cost center.
Note
You cannot update the Effective From and Effective To dates for inactive cost centers.
Active
If required, select the checkbox to activate the cost center. By default, the checkbox is
selected.
Note
In SAP Business One, you can only use active cost centers.
Open Table
Choose to open the Table of Cost Centers and Distribution Rules window.
2.14.6.3 Distribution Rules - Setup Window
Use this window to define and view distribution rules.
Note
Distribution Rules – Setup Window
Code, Description
Specify a code and a description for the distribution rule.
Effective From…To…
For reporting purposes, specify the effective periods of the distribution rule. The effective
periods cannot overlap each other. For manually created distribution rules, you can
update the current Effective From date in the Date window. To open this window,
choose Define New in the Effective From dropdown list. You cannot update the Effective
From and Effective To dates for inactive distribution rules
Note
When you assign a distribution rule in a transaction, SAP Business One lists out only the
distribution rules that are effective on the transaction posting date.
Example
There is a transaction with a posting date of 01.07.2009, and you have assigned to it a
distribution rule whose effective period is from 01.06.2009 onwards. You updated the
effective period of the distribution rule as from 01.06.2009 to 30.06.2009. SAP Business
One still includes the distribution information in reports by comparing the posting date
with the latest Effective From date.
However, for new transactions, if the posting date is not within June 2009, SAP Business
One does not list out the above distribution rule for you to choose.
Example
There is a distribution rule whose effective period is from 01.06.2009 onwards, and you
add the following effective periods:
 The new effective period is from 01.07.2009 onwards: SAP Business One updates the
original effective period as from 01.06.2009 to 30.06.2009.
 The new effective period is from 01.04.2009 to 30.04.2009: SAP Business One does
not change the original effective period.
 The new effective period is from 01.04.2009 onwards: the new and original effective
periods overlap each other, SAP Business One does not save the new effective
period and displays an error message.
Dimension
From the dropdown list, select the dimension to relate to the distribution rule.
Note
Note
Accounting tab of the General Settings window underAdministration System
Active
If required, select the checkbox to activate the distribution rule. By default, the checkbox
is selected.
Note
In SAP Business One, you can only use active distribution rules.
Total
Specify the reference value to be used for defining factors.
Direct Allocation
For reporting purposes, specify whether the amounts based on this distribution rule is
allocated directly or indirectly.
Example
A company consists of four departments, each of which is a cost center. The electricity bill
covers the consumption of the entire company for a defined period. Since the company
cannot calculate the exact amount of electricity consumed by each department, the global
amount is distributed among the departments according to each department's office size.
The distribution rule used in this case is not Direct Allocation, as it is impossible to relate a
specific amount of the electricity bill directly to a specific department.
The Direct Allocation distribution rule is used for allocating amounts that are directly
related to specific cost centers, such as raw material expenses for a production division.
Allocate By Fixed Amounts
Select the checkbox to indicate that fixed amounts will be allocated to cost centers when
the current distribution rule is used.
Note
Once you have added the distribution rule in the application, the selection status of this
checkbox cannot be changed any longer.
Center Code, Center Name
Specify the code of the cost center.
Note
You can only choose the cost centers:
 That are effective throughout the effective period of the distribution rule, and
 That are related to the selected dimension.
Value
 If you have entered a value in the Total field
Specify the portion of the expenses or revenues to be debited from/credited to the cost
center.
 If you have selected the Allocate by Fixed Amounts checkbox
Specify in local currency the fixed amount of the expenses or revenues to be debited
from/credited to the cost center.
Table Total
Total of all values entered in the table.
 When you have entered a value in the Total field
Table total value is not necessarily the same as the total value specified in the Total field
above.
To distribute expenses and revenues as percentages, enter 100 in the Total field above,
and enter the percentages for the individual cost centers as whole numbers in the table.
Note
If the values you enter in the table do not add up to the total value, SAP Business
One automatically allocates the difference to the zero cost center (Centr_z), which is only
used in reports.
 When you have selected the Allocate by Fixed Amounts checkbox
It is not necessarily that the transaction amount always equals the table total amount. The
difference between the transaction amount and the table total amount will be allocated
according to the following rules:
o If you have selected one cost center in the table with no defined value, the
difference amount will be allocated to this cost center.
In this case, only one cost center can have no defined value, and at least one of the
selected cost centers must have a defined value.
o If you have not selected any cost center in the table with no defined value,
then the difference amount will be allocated to the zero cost center
(Centr_z), which is only used in reports.
Example
o You have selected one cost center in the table with no defined value
Cost Center Cost Center Name Value
Code
CC01 Cost Center 1 USD 50.00
CC03 Cost Center 3

o Table Total: USD 80.00
a. When the transaction amount is USD 100.00, allocation using this
distribution rule is:
CC01: USD 50.00 CC02: USD 30.00 CC03: USD 20.00
b. When the transaction amount is USD 70.00, allocation using this
CC01: USD 50.00 CC02: USD 30.00 CC03: USD -10.00
o You have not selected any cost center in the table with no defined value
Cost Center Cost Center Name Value
Code

o Table Total: USD 80.00
a. When the transaction amount is USD 100.00, allocation using this
CC01: USD CC02: USD zero cost center (Centr_z): USD
50.00 30.00 20.00
b. When the transaction amount is USD 70.00, allocation using this
CC01: USD CC02: USD zero cost center (Centr_z): USD -
50.00 30.00 10.00
Distribution Rule History
Displays the Distribution Rule History window, which provides an overview of the changes
made to the distribution rule based on different effective periods.
You can edit the effective periods of the distribution rule.
2.14.6.4 Distribution Rule History Window
This window provides an overview of the changes made to a specific distribution rule. The
changes are displayed according to different effective periods.
Example
A sweets factory produces chocolate, cookies, and ice cream. In the spring and summer
periods (01.03.2010 – 31.08.2010) the sugar consumption of the factory is distributed
among the three cost centers as follows:
 30% - chocolate
 30% - cookies
 40% - ice cream
However, between 01.09.2010 and 28.02.2011, the factory does not produce ice cream,
and the sugar consumption is distributed as follows:
 40% - chocolate
 60% - cookies
The Distribution Rule History window displays the following rows:
Effective Effective Chocolate Cookie Ice Center_z
From To s Cream
01.03.2010 31.08.2010 30 30 40
01.09.2010 28.02.2011 40 60
2.14.6.5 Table of Cost Centers and Distribution Rules Window
This window provides an overview of the cost centers and distribution rules defined in SAP
Business One.
Authorization is required for viewing this window.
To open the window, choose Financials Cost Accounting Table of Cost Centers and
Distribution Rules.
Note
Table of Cost Centers and Distribution Rules Window Fields
Dimension
From the dropdown list, select a dimension to view its related distribution rules and cost
centers.
Note
Note
Distr. Rule/Cost Center
Displays all distribution rules related to the selected dimension.
To open the Distribution Rules – Setup window and to view the distribution rule, choose
the icon.
If the distribution rule is created automatically from a cost center, it has the same name as
the cost center and you cannot change the distribution rule.
Allocate By Fixed Amounts
Indicate whether transactions using this distribution rule are allocated by fixed amounts.
Effective From, Effective To
Displays the effective periods of the distribution rule.
If the distribution rule is created automatically from a cost center, it has the same effective
period as the cost center.
Note
For effective period that includes the current system date, the corresponding distribution
row is marked bold.
Total
Displays the total value of each distribution rule.
Centr_z
Displays the portion allocated to the zero cost center. If the total value if allocated in its
entirety to individual cost centers, the value in this column is 0.
Additional columns
Displays all cost centers related to the selected dimension. The appropriate distribution
rule for distributing expenses among the cost centers is displayed for each distribution
rule.
New Cost Center
Opens the Cost Centers – Setup window.
New Distribution Rule
Opens the Distribution Rules - Setup window.
Cost Accounting Adjustment
Click this button to open the Journal Entry for Cost Accounting Adjustment window.
2.14.6.6 Cost Center Hierarchy Window
Use this window to define and view cost accounting report templates according to
company needs.
To open the window, choose Financials Cost Accounting Cost Center Hierarchy.
Note
 Cost Center Hierarchy Window Fields
Dimension
From the dropdown list, select a dimension to define and view its related cost accounting
report templates.
Note
Note
Template
To view or update existing hierarchy templates, from the dropdown list, select a template.
To define new hierarchy templates, from the dropdown list, select Define New. After
specifying the name and updating the Cost Center Hierarchy Templates – Setup window,
return to the Cost Center Hierarchy window to define the new hierarchy template.
Item Name
Displays the name of the selected hierarchy item. If required, specify a new name.
Item Location
Displays the parent article and the location on the tree of the selected hierarchy item. If
required, specify a new location.
Text Title
Selecting the checkbox:
 Defines the selected item as a text title that appears in reports without statistics
 Hides the Subtotal checkbox
Subtotal
Selecting the checkbox:
 Defines the selected item as a subtotal calculated according to the defined formula
 Displays the Formula button
Add Same-Level Cost Center
Choose to add a new cost center that is of the same level as the selected cost center.
Add Child Cost Center
Choose to add a new cost center that is one level lower than the selected cost center.
2.14.6.7 Accrual Types - Setup Window
Use this window to define and view accrual types used for cost accounting correction.
Use either of the following to open the Recurring Postings window:
 Right-click a selected row and choose Recurring Postings.
 Select a row and in the menu bar, choose Data Advanced Recurring Postings.
The default values of the recurring posting are as follows:
 Code: code of the accrual type
 Description: name of the accrual type
 G/L Acct/BP Code, G/L Account/BP Name: the accrual calculation account and the
accrual calculation interim account
Note
Accrual Types – Setup Window Fields
Code, Name
Specify the code and name of the accrual type.
Posting Acct
Specify a financial posting account for the accrual type.
Amounts posted to this account appear in both the Financial Accounting and the Cost
Accounting Correction sections of the cost accounting reconciliation report.
Accrual Calculation Acct
Specify a cost accounting calculation account for the accrual type.
Accounting P/L sections of the cost accounting reconciliation report.
Accrual Calculation Interim Acct
Specify a cost accounting calculation interim account for the accrual type.
Accounting Correction sections of the cost accounting reconciliation report.
Note
You can select only those G/L accounts whose account type is Expenditure or Sales.
Note
You can specify one G/L account only once in the window.
2.14.6.8 Cost Center Report Window
This window displays the cost center report according to the defined selection criteria
(see Cost Center Report).
Note
3. Cost Center Report
Cost Center Hierarchy, Cost Center
Displays the cost center hierarchy if you selected the Template radio button, or cost
centers if you selected the Cost Center radio button in the selection criteria window.
Trans. No., Origin
Displays the transaction number and origin type of the transaction that have postings to
the particular cost center. If required, choose the icon to open the Journal
Entry window.
Example
IN is displayed for a transaction created by an A/R invoice.
Note
These fields appear only when you selected Linked Accounts in the Summary
of dropdown list of the selection criteria window.
Direct Allocation, Indirect Allocation
Displays amounts referring to direct or indirect allocation, divided into expenses and
revenues.
Note
You can define the allocation to be direct or indirect in the Distribution Rules –
Setup window.
Total
Displays the total amount in cost centers for each row.
2.14.6.9Distribution Report Window
This window displays the distribution report according to the defined selection criteria
Note
2 Distribution Report
Distr. Rule
Displays the distribution rule codes. If required, choose the icon to open
the Distribution Rules – Setup window.
G/L Acct
Displays the code and name of the G/L account for which you selected the distribution rule
in a posting.
Trans. No., Origin
Displays the transaction number and origin type of the transaction. If required, choose
the icon to open the Journal Entry window.
Example
Remarks
Displays the remarks of the transaction row.
Total Costs
Displays the total expenses posted to the distribution rule.
Distribution Total
Displays the total distribution amount.
Budget
Displays the budget amount defined for this distribution rule and this account.
Total Costs vs. Budget
Displays the result of total costs minus the budget amount.
Cost Centers
Displays the distribution amounts for each cost center.
2.14.6.10 Cost Accounting Summary Report Window

This window displays the cost accounting summary report according to the defined
selection criteria (see Cost Accounting Summary Report).
Note
3 Cost Accounting Summary Report
Cost Center Hierarchy
Displays the cost center hierarchy only if you selected the Hierarchy Template radio
button in the selection criteria window.
Cost Center
Displays the cost center codes.
G/L Acct
Displays the code and name of the G/L account that have postings to the particular cost
center.
Trans. No., Origin
Displays the transaction number and origin type of the transaction. If required, choose
the icon to open the Journal Entry window.
Note
Remarks, Amount, Distr. Rule
Displays the remarks, amount, and distribution rule of the transaction row. If required,
choose the icon to open the Distribution Rules – Setup window.
Cost Total
Displays the amount allocated to the cost center calculated based on the transaction
amount and distribution rule.
2.14.6.11 Budget versus Cost Accounting Window
This window displays the budget versus cost accounting report according to the defined
selection criteria
Note
4 Budget versus Cost Accounting
Financial Accounting Section
G/L Account
Displays the code and name of the G/L accounts according to the defined selection
criteria.
Budget
Displays the budget amount of the G/L account in the selected date range and the
selected budget scenario.
Actual
Displays the actual posting amount of the G/L account in the selected date range.
Difference
Displays the difference between the budget and actual amounts. It is calculated as the
value in the Budget field minus that in the Actual field of the financial accounting section.
Diff. in %
Displays the difference in percentage. It is calculated as: value in the Difference field of the
financial accounting section / value in the Budget field * 100%.
Cost Accounting Section
Distr. Rule Code, Distr. Rule Name
Displays the code and name of the distribution rule that you assigned to the specific G/L
account in postings of the selected date range.
Actual
Displays the actual posting amount based on the distribution rule and the G/L account in
the selected date range.
Difference
Displays the difference between the budget and actual amounts. It is calculated as the
value in the Budget field minus that in the Actual field of the cost accounting section.
Diff. in %
Displays the difference in percentage. It is calculated as: value in the Difference field of the
cost accounting section / value in the Budget field * 100%.
Budget
Displays the budget amount defined for this distribution rule and this account.
Actual vs. Budget
Displays the result of cost accounting actual amount minus the budget amount.
2.14.6.12 Cost Accounting Reconciliation Report Window
This window displays the cost accounting reconciliation report according to the defined
selection criteria (see Cost Accounting Reconciliation Report).
Note
 Cost Accounting Reconciliation Report
Financial Accounting Section
P/L (Accounts, Expense, Revenue)
Displays the selected G/L account codes and names, as well as their corresponding
expense and revenue totals from all journal entries.
 For Expenditure type G/L accounts, displays their totals (amounts on the debit side
minus that on the credit side) as Expense.
 For Sales type G/L accounts, displays their totals (amounts on the credit side minus
that on the debit side) as Revenue.
Cost Accounting Section
Company-Related (Expense, Revenue)
Displays the expense and revenue totals of G/L accounts that are both:
 Not entered in the Accrual Types – Setup window
 From postings that have no distribution rule assignment in the selected dimension.
Cost Accounting Correction (Expense, Revenue)
Displays the expense and revenue totals of the corresponding G/L accounts that are set
as Posting Acct or Accrual Calculation Interim Acct in the Accrual Types – Setup window.
 For Expenditure type G/L accounts, displays their totals (amounts on the debit side
minus that on the credit side) as Expense.
 For Sales type G/L accounts, displays their totals (amounts on the credit side minus
that on the debit side) as Revenue.
Cost Accounting P/L (Expense, Revenue)
Displays the expense and revenue totals of G/L accounts that meet one or both of the
following criteria:
 The accounts are set as Accrual Calculation Acct in the Accrual Types –
Setup window.
 The accounts are both not relevant to accrual types and from postings that have
distribution rule assignment in the selected dimension.
Total
Displays totals (revenue totals minus expense totals) of financial accounting, company-
related, cost accounting correction, and cost accounting amounts.
Financial P/L
Displays totals (revenue totals minus expense totals) of financial accounting amounts.
Non-Operating P/L
Displays totals (revenue totals minus expense totals) of company-related and cost
accounting correction amounts.
Cost Accounting P/L
Displays totals (revenue totals minus expense totals) of cost accounting amounts.
2.14.6.13 Journal Entry for Cost Accounting Adjustment Window
Use this window to display cost accounting adjustment journal entries. To open this
window, choose Financials Cost Accounting Cost Accounting Windows Journal Entry for
Cost Accounting Adjustment.
This window is identical to the Journal Entry Window except for the following rules:
Numbering series: must be “Cost Accounting Adjustment Only”
- G/L account:
o default “Cost Accounting Adjustment Only” will be used automatically
o must use “Cost Accounting Adjustment Only”
o must use the same G/L account in JE
- JE origin is “Manual”
- JEs are excluded from financial reports, but included in accounting reports
- Tax relevant functions are not available in this window
- Recurring template is not available in this window
- Postings are in LC only
- Must specify distribution rule
2.14.6.14 Voucher Entry for Cost Accounting Adjustment
Use this window to add a cost accounting adjustment journal entry to a cost accounting
adjustment journal voucher.
This window is identical to the Journal Entry for Cost Accounting Adjustment Window
except for the following fields:
- Voucher No.
- Number of the voucher to which the cost accounting adjustment journal entry
is added.
2.15 Financial Reports
This menu option includes all reports pertaining to the analysis of the financial and
accounting activities of the company. The reports comprise the following main categories:
1. Financial
2. Accounting
3. Comparison
4. Budget Setup
2.15.1 Electronic Reports
Use Electronic Reports to generate reports in electronic formats. Before generating
electronic reports, you must have set up the electronic file formats using the
electronic file manager.
Depending on the definition of Module from the Electronic File Manager: Format
Definition add-on, the available electronic formats are listed in Electronic Reports
under the reports menu entry of the specific SAP Business One module.
2.15.1.1Generating Electronic Reports
Use Electronic Reports to generate reports with electronic formats.

Prerequisites
You have set up the electronic file formats using the electronic file manager.
Procedure
Based on the definition of Module in the Electronic File Manager: Format

Definition add-on, the available electronic formats are listed in Electronic
Reports, under the reports menu entry of the specific SAP Business One module.
1. From the SAP Business One Main Menu, choose module module

Reports Electronic Report the specific electronic report.
Alternatively, choose it from the Reports module.
The report wizard appears. The number of steps in the wizard depends
on the parameters to be configured for the specific report.
In each step, choose the appropriate button, as follows:
 Next: proceed to the next step

 Back: return to the previous step
 Cancel: quit the process
 Preview: preview the report based on the parameters that
you have specified
2. In step 1 and up to the Save Option step, specify the parameters

required by the Electronic Format Manager: Format Definition for this
report.
3. In the Save Option step, specify the destination file path for the
generated electronic report.
4. In the Result Summary step, do the following:
 To view the system log, choose the View Log button.

 To open the generated electronic report, click the
hyperlink.
 To close the wizard, choose the Finish button.
2.15.2 Accounting
The Accounting Reports folder contains:
Reports that provide an overview of the objects and data in your accounts
Tax reports that you must submit to the tax authorities
To access these reports, choose Financials Financial Reports Accounting. Alternatively,
access them from the Reports module.
2.15.2.1G/L Accounts and Business Partners

This report enables you to generate a list of G/L accounts and/or business
partners. Use this window to specify selection criteria for the report.
To access the report, choose Financials Financial Reports Accounting G/L
Accounts and Business Partners. Alternatively, open it from the Reports module.
Note
This topic documents fields and other elements in this window that either are not
self-explanatory or require additional information.
Selection Criteria
BP
Displays business partners in the report.
Note
When not selected, other options pertaining to business partner selection criteria
are not available.
Display Leads
Report includes business partners defined as leads.
Specify the group from which to display business partners.
Example
Properties
Opens the Properties window where you select the required properties. Your
choices appear in the adjoining field.
G/L Accounts
Includes G/L accounts in the report.
Note
When not selected, options related to G/L account selection criteria are not
available.
Find
Opens the Find G/L Accounts window in which you select the G/L accounts to be
included in the report. For more information, see the online help topic Finding
G/L Accounts to Include in Financial Reports/Period-End Closing.
[Level]
Select the level of the accounts to display in the table. Selecting Level 1 displays
the account titles on the highest level.
Note
A selected row includes all accounts appearing under the title.
X, Account
Indicates accounts selected to appear in the report.
 Clear the X from a row to deselect the account.
 Click the X in the column header to select or clear all accounts or selections,
respectively, in the table.
2.15.2.1.1 G/L Accounts and Business Partners
Window
This window displays the G/L Accounts and Business Partners report according
to your defined selection criteria.
G/L Accounts and Business Partners Window
G/L Accounts
Displays only the list of G/L accounts.
BP
Displays the list of business partners.
G/L Accounts/BP
Displays the name, number, and group for each account in a combined list of
G/L accounts and business partners.
Display Currency
Specify whether to display the balance in the local currency, system currency,
or respective account foreign currency.
2.15.2.2General Ledger
This report enables you to generate a list of journal entries posted to the company
database according to various criteria. Use this window to specify selection criteria
for the report.
To open the window, choose Financials Financial Reports Accounting General
Ledger. Alternatively, open it from the Reports module.
After defining the report, you can view it in the General Ledger window (For more
information, see the topic General Ledger Window).
Note
Selection Criteria
Selection Criteria Name
You can save a specific set of selection criteria and generate the report accordingly
whenever required. To do so pressCTRL + A, enter a meaningful name, and set all
the required selection criteria for the report. Choose Save. To generate a report
based on a saved selection criteria set, click the icon. The List of Reports -
Selection Criteria window appears. Highlight the required selection criteria set from
the list, and choose the Choose button. The selected selection criteria set is
populated. To generate the report, choose OK.
Business Partner
Note
If not selected, other fields pertaining to business partner selection criteria are not
displayed.
Enables you to include business partners from a specific group, divided between
customers and vendors.
Note
Properties
Opens the Properties window, where you select the required properties. Your
choices appear in the adjoining field.
G/L Accounts
Note
If not selected, other fields related to G/L account selection criteria are not
displayed.
Find
Opens the G/L Accounts window, where you specify G/L accounts for the report.
Level
Select the level of the accounts displayed in the table.
Selecting Level 1 displays the account titles on the highest level.
Note
Level
Indicates accounts selected to appear in the report.
 To deselect an account, clear the X from its row.
 To select/clear all accounts/selections in the table, click the X in the column
header.
Posting Date From...To..., Due Date From...To..., Document Date From...To...
Specify the date type by which to define the transaction range for the report.
You can:
 Use more than one date range
 Specify a specific financial period
Expanded
Opens the Expanded Selection Criteria window, where you define additional
parameters for the transactions to be included in the general ledger report.
Print Each Account on Sep. Page
Prints the transactions related to each account on a separate page. Otherwise, the
transactions are printed successively.
Print Directly to Printer
Prints the report without displaying it on the screen.
Order Acct By Chart of Accounts
Report displays accounts in the same order as in the Chart of Accounts window.
Ignore Adjustments
Report excludes transactions with Adj. Trans. (Period 13) selected.
Foreign Names
The report displays the foreign names defined for business partners and accounts.
Summarize Control Accounts
Select the checkbox to summarize the transactions posted to the control accounts in
the report.
Hide Zero Value LC Rows
Select this checkbox to hide any transaction row which has a zero posting amount in
the local currency.
Display Postings Summary
Includes a summary of the postings displayed in the bottom line of the report.
Opening Balance for Period
Select this checkbox to display the opening balance of the selected BP and G/L
accounts, as accumulated in the time range from the following option date to the
start date specified in the Selection options:
 OB from Start of Company Activity – displays the opening balance
accumulated after company activity started.
 OB from Start of Fiscal Year – displays the opening balance accumulated
after the start of the fiscal year specified in the Selection options.
Example
You have selected the OB from Start of Fiscal Year radio button.
The posting date range defined in the Selection option is 01/04/2005–31/03/2006,
and the posting periods defined for the company are four quarters per calendar
year.
The date to be considered as "Start of Fiscal Year" is then 01/01/2005 .
The opening balance display is then the accumulated balance from 01/01/2005 to
01/04/2005.
Caution
The calculation of the opening balance is influenced by the date range defined for
the report. If you specify more than one date range, SAP Business One calculates
opening balance as follows:
 If Posting Date is one of the selected options, all transactions with posting
date earlier than the date defined in the Posting Date From field are
included.
 If Posting Date is not one of the selected options, all transactions with
document date earlier than the date defined in the Document Date
From field are included.
Display
Choose the transactions to display in the report:
 All Postings – Displays all transactions posted to the selected BP and G/L
accounts.
 Not Fully Reconciled – Displays transactions posted to the selected BP and
G/L accounts that are either partially reconciled or not reconciled.
You can internally reconcile the BP or G/L accounts in the BP Internal Reconciliation
- Selection Criteria or G/L Internal Reconciliation - Selection Criteria window.
 Fully Reconciled Only – Displays only the transactions posted to the selected
BP and G/L accounts that are fully reconciled.
 Unreconciled Externally – Displays transactions posted to the selected BP
and G/L accounts that are not reconciled with any external account
statement.
You can externally reconcile the BP or G/L accounts in the External Reconciliation -
Selection Criteria window.
 Reconciled Externally – Displays transactions posted to the selected BP and
G/L accounts that are reconciled with external account statements.
Consider Reconciliation Date
Note
This field is available only if you select All Postings, Not Fully Reconciled, or Fully
Reconciled Only in the Display field.
Enables you to do the following:
 If you select the checkbox, the report displays transactions with a correct
historic balance due as at the specified posting date To date as follows:
o If the reconciliation date is later than the specified posting
date To date, the transaction (or partial transaction if partially
reconciled) is shown as un-reconciled, and the un-
reconciled Balance Due value is displayed.
o If the reconciliation date is earlier than or same as the specified
posting date To date, the transaction (or partial transaction if
partially reconciled) is shown as reconciled, and the
reconciled Balance Due value is displayed.
 If you do not select the checkbox, the report displays transactions with the
latest balance due.
Hide Zero Balance Due
Note
The field is available only if you select All Postings in the Display field and
select Consider Reconciliation Date checkbox.
Select to hide the transactions which have a zero balance due as calculated when
the Consider Reconciliation Date checkbox is selected.
Hide Zero Balanced Acct
Excludes zero balanced accounts from the report.
Note
Available only if Hide Acct with no Postings is not selected.
Hide Acct with no Postings
Report excludes accounts with no postings.
Sort and Summarize
Enables you to specify sorting criteria for displaying the report on the screen:
 In the field below, specify what is to be sorted.
 In the table, define up to three levels of sort.
 In each row, specify:
o Sort Field
o Order
o Summary
Revaluation
Opens the Revaluation Selection Criteria window where you can specify how to
revaluate report results.
Note
The revaluation is for display purposes only and does not affect the postings values.
2.15.2.2.1 Expanded Selection Criteria
This window enables you to set additional selection criteria for the general
ledger report and fine tune the report results.
To open the window, choose Financials Financial
Reports Accounting General Ledger; then, in the General Ledger – Selection
Criteria window, choose Expanded.
Expanded Selection Criteria
Original Journal
Document and transaction types by which journal entries are created in SAP
Business One. To display in the report only journal entries created by
specific documents or transaction types, select the respective ones.
Parameters
Select the parameters you want to apply to optimize the range of
transactions to display in the general ledger report, and specify the required
range in the respective From...To... field.
Reference Fields
Enables filtering the report according to reference fields defined
in Administration Setup General Reference Field Links. Therefore, filtering
the report data according to the level of granularity required for IFRS and for
other purposes becomes possible.
User-Defined Fields
Enables filtering the report according to the user-defined fields defined
Series
Opens the Series Selection window where you can choose to view only
journal entries related to specific numbering series.
Clear Sel.
Clears all selections made in this window.
2.15.2.2.1.1 Series Selection
This window appears when you specify selection criteria for the General
Ledger.
To access the window, choose Financials Financial
Reports Accounting General Ledger. In the General Ledger – Selection
Criteria window, choose Expanded, and in the Expanded Selection
Criteria window, choose Series.
Alternatively, open it from the Reports module.
Note
Series Selection
Document
Specify the document.
Series
Numbering series defined in the Document Numbering window for
documents available in the Expanded Selection Criteria window.
2.15.2.2.2 Revaluation - Selection Criteria
Use this window to specify selection criteria for the Revaluation report.
To open the window, choose Financials Financials
Criteria window choose Revaluation.
Note
FC Tab
Currency
Choose the currency to which you want to revaluate.
Revaluation Method
Choose whether to calculate the revaluation according to the rate defined
in the Posting Date or Due Date of the transaction, or according to Fixed
Rate. If you choose the last option, enter the required fixed rate.
Average Rate from Interval (in Days)
Specify the number of days for calculating an average rate in case an
exchange rate was not defined for a specific date.
Refer to Rates in Journal Entry
Select this checkbox to use the rate defined in the journal entries, if it is
different from the rate defined in the Exchange Rates and
Indexes window.
Revaluate All Currency G/L Account/BP
All currency accounts and business partners must have their values
converted to one currency before they can be revaluated.
Select whether to revaluate All currency G/L accounts or business partners
by local currency or by system currency.
Index Tab
To
Choose the required month and year of the index.
Value
Displays the index defined for the chosen month and year. Change this
value if required.
Revaluation Method
Choose whether to calculate the revaluation according to the index
defined for the Posting Date or the Due Date of the transaction.
2.15.2.2.3 Selecting Control Accounts in the General

Ledger Report (BP View)
Context
In the General Ledger report (BP view), you can select the transactions per
control account.
Procedure
 From the SAP Business One Main Menu, choose Financials
Financial Reports Accounting General Ledger.
 In the General Ledger – Selection Criteria window, select the
BP checkbox and specify the selection criteria for the report.
For more information, see the topic General Ledger.
 If required, select the desired control accounts.
 To run the report, choose OK.
2.15.2.2.4 Summarizing Control Accounts in the

General Ledger Report
Context
In the General Ledger report (G/L view), you can summarize the
transactions posted on the control accounts.
Procedure
 From the SAP Business One Main Menu, choose Financials
Financial Reports Accounting General Ledger.
 In the General Ledger – Selection Criteria window, select the
Accounts checkbox and specify the selection criteria for the
report. For more information, see the topic General Ledger.
 If you want to summarize the transactions per control
account, select the Summarize Control Accounts option.
 To print the report, choose Print General Ledger.
Results
SAP Business One creates a general ledger report that displays only the
selected accounts and prints only the totals for the control accounts.
2.15.2.2.5 General Ledger Window
This window displays the General Ledger report according to the defined
selection criteria.
Note
This topic documents fields and other elements in this window that either are
not self-explanatory or require additional information.
General Ledger Window
Posting Date, Due Date
Posting date and due date of the accounting document.
Series
Numbering series assigned to the displayed journal entry.
Doc. No.
Number of the document that created the transaction and its original journal
entry (IN for A/R Invoice, RC for Incoming Payments, and so on).
Trans. No.
Number of the journal entry.
Remarks
Text entered in the Remarks field in the journal entry.
Offset Acct
Offsetting account from the journal entry.
Example
In a journal entry created by an incoming payment, the cash fund account is
displayed.
Deb./Cred.(LC)
Posting amounts in local currency. Credit postings are in green and placed in
brackets.
Balance (LC)
Account balance, recorded cumulatively with each posting, in the national
currency.
Cumulative Balance Due (LC)
Total due from business partner or G/L account, recorded cumulatively with
each posting, in the national currency, reflecting the payment and account
activity.
Project, Project Name
Display the code and name of the project each transaction is allocated to.
Note
By default, these two columns do not appear in the General Ledger window.
You can select them in the Form Settings window. To open the window, in the
toolbar, choose .
Note
Choosing to preview/print displays a window where you select the general
ledger that you want to print: either the Book of Account or the Subsidiary
account.
2.15.2.2.5.1 Printing Totals by Control
Account in the General Ledger
Report (BP View)
Context
In the General Ledger report (BP view), you can print the totals per control
account for each business partner and a summary of the control accounts
at the end of the report.
Procedure
 From the SAP Business One Main Menu, choose Financials Financial
Reports Accounting General Ledger.
 In the General Ledger – Selection Criteria window, select BP and
specify the selection criteria for the report. For more information,
see the topic General Ledger.
 To print the report, choose Expand Ledger General Ledger by
Control Account.
 Click Set as Default and Cancel.
 Choose Print Expand Ledger.
Results
SAP Business One creates a report that displays the transactions with totals
per control account for each business partner and a summary by control
account at the end of the report.
2.15.2.3Aging
Aging reports can give you a general or detailed overview of the age of unpaid
customer debts, the age of unpaid liabilities to the vendors, and the value of the
debts or liabilities.
To create aging reports, choose one of the following:
- Financials Financial Reports Accounting Aging
- Business Partners Business Partner Reports Aging
Alternatively, create them from the Reports module.
2.15.2.3.1 Customer Receivables Aging

This report lists all open customer receivables, sorted by age, and provides an
analysis of each customer receivable owed to you.
Use this window to specify selection criteria for the Customer Receivables
Aging report (see the topic Customer Receivables Aging Report).
To open the window, choose one of the following:
 Financials Financial Reports Accounting Aging Customer Receivables Aging
 Business Partners Business Partner Reports Aging Customer Receivables Aging
Note
 Customer Receivables Aging Selection Criteria Fields
Group By
Specify whether to group the report by customer or by sales employee.
Customer Group
From the dropdown list, select the group from which to display business
partners. To include all customers in the selection criteria, select All.
Properties
Opens the Properties window, where you can specify customer properties.
Control Accounts
Select the checkbox and click to show only the transactions and balances
for selected control accounts.
Select All
Includes all customers in the report
Aging Date
The age of a receivable is determined using this date. Usually, this is the
current date, which, therefore, is set as the default. You can change the
default if, for example, you want to display all receivables that are due for
payment during the following week.
Interval
Specify a time interval for grouping receivables.
From the dropdown list, select Days, Months, or Periods. If you choose Days,
four new fields appear for you to specify the duration of each time interval.
You do not have to specify all four fields, but you must specify at least the first
field. The default values for the four fields are: 30, 60, 90, and 120.
Example
In the first two fields, specifying 20, 50 days as the interval subdivides the
receivables as follows:
 Up to 20 days old
 21 to 50 days old
 51 days or older
Display Customers with Zero Balance
Includes customers with a zero balance in the report
Display Reconciled Transactions
Displays reconciled journal entries of the accounting documents generated for
the customers
Ignore Future Remit
Hides the Future Remit column in the report and excludes transactions that
have a value in this field
Display in Pages
Select this checkbox to display the report in pages and with navigation
buttons.
Note
This function is available only if you are using SAP Business One, version
for SAP HANA.
2.15.2.3.1.1 Customer Receivables Aging

Report
SAP Business One displays the results of this report according to your
selection criteria (see the topic Customer Receivables Aging).
It displays documents together with the respective receivables. The report
provides the value of the debt the customer has acquired and the length of
time that the debt has remained unpaid.
Note
1. Customer Receivables Aging Report
Currency
Specify the currency for displaying the report results.
Aging Date
The aging date specified in the selection criteria window
Age By
Specify by which date to calculate the age of the receivables: due date,
posting date, or document date of the document/journal entry.
Type
Displays the document type and provides a link to the document window
Installment No.
Displays the successive number of the installment
Example
If a document contains three installments, each installment is displayed in
a separate row, and this field displays the value 1, 2, or 3, accordingly.
BP Ref. No.
Displays the business partner reference number
Number of Days Outstanding
The number of days between the due date and the aging date
Original Account
Displays the original document total, the original total of the installment,
or the total value of a manual journal entry line
Balance Due
Displays the total open amount of debt
Figures in brackets indicate the payments received from customers that
have not been applied for the period.
Future Remit
Displays all open receivables owed by the customer according to the date
selected in the Age By field and for which the date specified in the Aging
Date field has not yet been reached
Example
The customer has an open A/R invoice for USD100, due on May 1st.
In the Age By field, Due Date is selected.
The Aging Date field is set to April 28th.
Since the invoice is due after the aging date, the invoice amount is
displayed in the Future Remit column.
Interest
Displays the amount of interest that should be paid
Project Code
Displays the code of the project to which the document's journal entry is
assigned
Payment Method Code
Displays the code of the default payment method assigned to the business
partner on the Payment Run tab of the Business Partner Master
Data window
[Time Intervals]
SAP Business One displays the relevant open receivables in columns
representing the specifications you made in the Interval field in the
selection criteria window.
The amount of future remit is first subtracted from the total sum of
receivables.
The last column in each category includes open receivables for the
respective category prior to the first columns.
 Days – Each column represents the number of days entered in the selection criteria
window, starting from the aging date and moving back.
 Months – Each column represents one month, starting from the aging date month
and moving back.
 Periods – Each column represents one period, as defined in Administration System
Initialization Posting Periods, starting from the aging date period and moving back.
Dunning Level
Displays the dunning level assigned to the debt
Dunning Letter
Select the checkbox in this column to create a dunning letter for that
document.
Doubtful Debt
Displays any existing doubtful debt amount
The calculation for this field depends on the definitions in the Doubtful
Debts - Setup window. The sum of the invoices for each range of days is
multiplied by the percentage defined for this range of days.
In this report you are able to issue a journal entry to credit the customer
for the doubtful debt. To create a journal entry for a doubtful debt,
proceed as follows:
2. Highlight the customer / invoice row including the doubtful debt.
3. Right-click the row and choose Journal Entry. Alternatively, from the menu bar,
choose GoTo Journal Entry.
A Journal Entry window opens. The first row in the journal entry includes
the customer code, the customer name, and the amount of the doubtful
debt to be cleared in the Credit column.
4. Enter the account code for the second row.
5. Change the amounts in the rows or proceed to the end of the second row to
complete the amount in the Debit column in order to balance the journal entry.
Note
The entry will be recorded in both the customer amount and the control
account that was set for the customer in the business partner master data.
[Top Total Row]
Displays the sum of amounts listed in one column
[Bottom Total Row]
Displays the percentage of open receivables for each time interval
Go to Page
Enter a page number and press Tab to display the data in this page.
Note
The input number must be a number between 1 and the maximum page
number.
Note
This field is available when you select the Display in Pages checkbox in
the Customer Receivables Aging – Selection Criteria window.
Display <Number> Rows
From the dropdown list, select a number of rows that you want to display
in the table as one page.
Note
The number that you select decides the row number shown in the
following four buttons:
 First <Number> Rows – Choose this button to display the data in the first page of
the table. This button is disabled if the current display is the first page.
 Previous <Number> Rows – Choose this button to display the data in the previous
page of the table. This button is disabled if the current display is the first page.
 Next <Number> Rows – Choose this button to display the data in the next page of
the table. This button is disabled if the current display is the last page.
 Last <Number> Rows – Choose this button to display the data in the last page of the
table. This button is disabled if the current display is the last page.
Note
This dropdown list is available when you select the Display in
Pages checkbox in the Customer Receivables Aging – Selection
Criteria window.
View
Select the appropriate view to display the data:
 Summary – Select the Summary option to display each item data consolidated in
one row in the table including the basic information. Note that this option is
selected by default.
 Detailed – Select the Detailed option to display detailed transactional data for each
item.
Note
This dropdown listis available when you select the Display in
Pages checkbox in the Customer Receivables Aging – Selection
Criteria window.
2.15.2.3.2 Vendor Liabilities Aging
This report analyzes vendor liabilities, sorted by age.
Use this window to specify selection criteria for the Vendor Liabilities
Aging report (see the topic Vendor Liabilities Aging Report).
To open the window, choose one of the following options:
 Financials Financials Reports Accounting Aging Vendor Liabilities Aging
 Business Partners Business Partner Reports Aging Vendor Liabilities Aging
Note
 Vendor Liabilities Aging Selection Criteria Fields
Group By
Specify whether to group the report by vendor or buyer.
Code From ... To
Specify a range for the business partner number.
Vendor Group
Specify a vendor group as a selection criterion.
Properties
Opens the Properties window, in which you can select the vendor properties.
Control Accounts
Select the checkbox and click to show only the transactions and balances
for selected control accounts.
Select All
Report includes all vendors
Aging Date
Used to determine a liability age
The current date is the default setting.
You can change the default if, for example, you want to display all liabilities
that are due for payment during the following week.
Interval
Specify a time interval for grouping liabilities.
From the dropdown list, select Days, Months, or Periods. If you choose Days,
four new fields appear for you to specify the duration of each time interval.
You do not have to specify all four fields, but you must specify at least the first
field. The default values for the four fields are 30, 60, 90, and 120.
Example
In the first two fields, specifying 20, 50 days as the interval subdivides the
liabilities as follows:
 Up to 20 days old
 21 to 50 days old
 51 days or older
Display Vendors with Zero Balance
Report includes vendors with a zero balance
Display Reconciled Transactions
Displays reconciled journal entries according to their reconciliation date,
rather than the journal entry dates
Ignore Future Remit
Hides the Future Remit column in the report and excludes transactions that
have a value in this field
2.15.2.3.2.1 Vendor Liabilities Aging Report
SAP Business One displays the results of the report according to your
selection criteria (see the topic Vendor Liabilities Aging).
It displays documents together with the respective liabilities. The report
provides the size of the vendor liability and the time that the debt has
remained unpaid.
Note
Vendor Liabilities Aging Report
Currency
Specify the currency for displaying the report results.
Aging Date
Displays the aging date entered in the selection criteria window
Age By
Specify by which date to calculate the age of the liabilities: due date,
posting date, or document date of the document/journal entry.
Vendor Code
Displays the vendor code as defined in the business partner master data
Vendor Name
Displays the name of the vendor, as defined in the business partner master
data
Type
Displays the document type and provides a link to the document window
Installment No.
Displays the successive number of the installment
Example
If a document contains three installments, each installment is displayed in
a separate row, and this field displays the value 1, 2, or 3, accordingly.
BP Ref. No.
Displays the business partner reference number
Number of Days Outstanding
The number of days between the due date and the aging date
Original Account
Displays the original document total, the original total of the installment,
or the total value of a manual journal entry line
Future Remit
Displays all open liabilities owed to vendors according to the date selected
in the Age By field and for which the date specified in the Aging Date field
has not yet been reached.
Example
You have an open A/P invoice for USD100, due on May 1st.
Due Date is selected in the Age By field.
The Aging Date field is set to April 28th.
Since the invoice is due after the aging date, the invoice amount is
displayed in the Future Remit column.
Project Code
Displays the code of the project to which the document's journal entry is
assigned
Payment Method Code
Displays the code of the default payment method assigned to the business
partner on the Accounting tab of the Business Partner Master
Data window.
[Time Intervals]
SAP Business One displays the relevant open liabilities in columns
representing the specifications you made in the Interval field in the
selection criteria window.
The amount of future remit is first subtracted from the total sum of the
liabilities.
The last column in each category includes open liabilities for the respective
category prior to the first columns.
 Days – Each column represents the number of days entered in the selection criteria
window, moving back from the aging date.
 Months – Each column represents one month, moving back from the aging date
month.
 Periods – Each column represents one period as defined inAdministration System
Initialization Posting Periods, moving back from the aging date period.
[Top Total Row]
Displays the sum of amounts listed in one column
[Bottom Total Row]
Displays the percentage of open receivables for each time interval
2.15.2.4Transaction Journal Report
Use this window to specify selection criteria for the Transaction Journal report,
which displays a list of transactions according to a selected transaction type.
Reports Accounting Transaction Journal Report. Alternatively, open it from
the Reports module.
After defining the report, you can view it in the Transaction Journal
Report window.
Selection Criteria
Original Journal
Specify the type of transaction to display.
Transaction No. From...To...
Specify a range of transaction numbers to include only transactions whose
numbers fall within the range.
Series
Opens the Series Selection window, where you can choose to display only
transactions with numbers of specific numbering series.
2.15.2.4.1 Transaction Journal Report Window
This window displays the Transaction Journal Report according to the defined
selection criteria.
Note
Transaction Journal Report Window
Original Journal
Original journal defined for the report.
Currency
Currency to use for displaying transaction amounts.
Date
Posting date of each transaction.
Series
Numbering series assigned to each transaction.
Type
Type of transaction.
Note
Each document has a different transaction type. For example, IN is for A/R
invoice.
Trans.#
Transaction number with a link to the transaction.
Creator
User who created the document or the transaction.
G/L Acct /BP Code
Code of the G/L account and/or business partner involved in the transaction.
G/L Acct/BP Name
Name of the G/L account and/or business partner involved in the transaction.
Debit, Credit
Debit or credit values in the transaction, per G/L account/business partner.
Total debit and credit amounts are displayed at the bottom of the columns.
Series
Opens the Series Selection window, where you can choose to display only
transactions with numbers of specific numbering series. The report is updated
accordingly.
2.15.2.5Transaction Report by Projects
This report displays the transactions made in SAP Business One and groups them
by their related projects.
Note
Failure to consistently relate projects to transactions may result in an inaccurate
report.
Use this window to specify selection criteria for the Transaction Report by
Projects.
Reports Accounting Transaction Report by Projects. Alternatively, open it from
the Reports module.
After defining the report, you can view it in the Transaction Report by
Projects window.
Selection Criteria
Project From...To..., G/L Account From...To...
Specify the required project/range of projects, and the required G/L
account/range of G/L accounts.
Due Date From...To..., Posting Date From...To..., Document Date From...To...
Specify the required date ranges for the report.
Note
The default values for these fields are the date ranges defined for the current
posting period.
2.15.2.5.1 Transaction Report by Projects Window
This window displays the Transaction Report by Projects according to your
defined selection criteria.
Note
Transaction Report by Projects Window
Trans. No.
Number and link to journal entry.
Project Code
Project code to which the transaction is linked.
Account Number
Code of the G/L account involved in the transaction that is linked to the
project code.
Posting Date
Posting date of the transaction.
Debit, Credit
Credit and debit amounts of the rows in the transaction that are linked to the
project code.
Total
Total amount per account, per project code. Credit amounts are marked with
a negative sign.
2.15.2.6Document Journal
This report displays in detail journal entries created manually or automatically by
documents produced in SAP Business One. The large variety of selection criteria
can create the most accurate report as per company requirements.
Use this window to specify selection criteria for the Document Journal report.
Reports Accounting Document Journal Report. Alternatively, open it from
the Reports module.
After defining the report, you can view it in the output modes Detailed
Transactions or Month Totals.
Note
Selection Criteria
Selection Criteria Name
You can save a specific set of selection criteria and generate the report
accordingly whenever required. To do so pressCTRL + A, enter a meaningful name,
and set all the required selection criteria for the report. Choose Save. To generate
a report based on a saved selection criteria set, click the icon. The List of
Reports - Selection Criteria window appears. Highlight the required selection
criteria set from the list, and choose the Choose button. The selected selection
criteria set is populated. To generate the report, choose OK.
BP
Note
When not selected, all other fields pertaining to business partner selection criteria
are unavailable.
Specify whether to display business partners from specific groups, divided into
customers and vendors.
Note
Properties
Opens the Properties window where you can specify properties as selection
criteria. Your choices appear in the adjoining field.
Accounts
Note
When not selected, all other fields related to G/L accounts selection criteria are
unavailable.
Find
Opens the Find G/L Accounts window, where you can specify G/L accounts to be
included in the report.
[Level]
Select the level of the accounts to display in the table. Selecting Level 1 displays
the account titles on the highest level.
Note
X, Account
Indicates accounts selected to appear in the report:
 Clear the X from a row to deselect the account.
 Click the X in the column header to select/clear all accounts/selections in the table.
Posting Date From...To, Creation Date From...To, Document Date From...To
Define the transaction range by posting, creation and/or document date, and
specify a date range.
Output Mode: Detailed
Specify the output mode of the report:
 No Total: Displays all journal entries
 Month (Posting Date): Displays all journal entries per month based on the posting
date
 Month (Posting Date) and Original Journal: Displays all journal entries per month
based on the posting date and original journal
 Period (Posting Date) and Original Journal: Displays all journal entries per period
based on the posting date and original journal
Output Mode: Totals
Specify the output mode of the report:
 Month (Posting Date): Displays the totals per month based on the posting date
 Month (Creation Date): Displays the totals per month based on the creation date
 Month (Posting Date) and Original Journal: Displays the totals per month based on
the posting date and original journal
 Period (Posting Date) and Original Journal: Displays the totals per period based on
the posting date and original journal
Creation Date
Groups the postings by month, based on the creation date.
Note
Only available for Month Totals Mode.
Display Postings Summary
Displays the postings summary in a separate row at the end of the report.
Note
Only relevant for Month Totals Mode.
Opening Balance for Period
Select this checkbox to display the opening balance of the selected BP and G/L
accounts, as accumulated in the time range from the following option date to the
start date specified in the Selection options:
 OB from Start of Company Activity – displays the opening balance accumulated
after company activity started.
 OB from Start of Fiscal Year – displays the opening balance accumulated after the
start of the fiscal year specified in the Selection options.
Example
You have selected the OB from Start of Fiscal Year radio button.
The posting date range defined in the Selection option is 01/04/2005–
31/03/2006, and the posting periods defined for the company are four quarters
per calendar year.
The date to be considered as "Start of Fiscal Year" is then 01/01/2005 .
The opening balance display is then the accumulated balance from 01/01/2005 to
01/04/2005.
Caution
The calculation of the opening balance is influenced by the date range defined for
the report. If you specify more than one date range, SAP Business One calculates
opening balance as follows:
 If Posting Date is one of the selected options, all transactions with posting date
earlier than the date defined in the Posting Date From field are included.
 If Posting Date is not one of the selected options, all transactions with document
date earlier than the date defined in the Document Date From field are included.
Ignore Adjustment
Report excludes adjustment transactions.
Display Installments in One Row
Group installments included in transactions in one row. The row representing the
installments displays the cumulative amount of all the installments in the
transaction, while all the other details of that row refer to the last installment.
Note
Only relevant for the Detailed Transactions output mode.
Numbering for Detailed Mode, First Sequential No., No. on First Printed Page
Specify the first sequential number and the first page number to be displayed in
the detailed mode of the report.
Note
Page numbering is only relevant for printed reports.
Sort
Report sorts using the criteria that you specify.
In the table, specify the required sorting fields and their preferred order.
2.15.2.6.1 Document Journal: Detailed Transactions
This window displays the Document Journal in the Detailed
Transactions output mode, according to your selection criteria.
Note
Document Journal: Detailed Transactions
Succ. No.
Successive numbers of transactions, according to the value entered in the First
Sequential No. field in the selection criteria.
Trans. No.
Transaction number and a link to the journal entry.
Posting Date
Posting date of each row in the transaction.
Note
If you selected Display Installments in One Row in the selection criteria, the
posting date displayed in the installment rows is the one assigned to the last
installment.
Series
Numbering series linked to the transaction.
G/L Acct/BP Code, G/L Acct/BP Name
Code and name of the G/L account or business partner to which the row of the
transaction is related.
Debit/Credit (LC)
Total amount of the credit or debit fields, in local currency.
Remarks
Additional details for the document or journal entry.
2.15.2.6.2 Document Journal: Month Totals Mode
This window displays the Document Journal in the Month Totals Mode output
mode, according to your selection criteria.
Document Journal: Month Totals Mode
Date
Month and year when the transactions summarized in this row were created.
Total Credit (LC), Total Debit (LC)
Sum of G/L account, customer and vendor credit or debit, in local currency.
Credit Account (LC), Debit Account (LC)
Cumulative credit and debit amounts related to G/L accounts, in local
currency.
Credit Customers (LC), Debit Customers (LC)
Cumulative credit and debit amounts related to customers, in local currency.
Credit Vendors (LC), Debit Vendors (LC)
Cumulative credit and debit amounts related to vendors, in local currency.
2.15.2.7Cash Flow Reference Report
This window displays a list of cash flow relevant transactions that may or may not have
been assigned a cash flow line item within a certain period. With the exception of the
report reference period, you cannot modify the fields in this report.
To open this window, choose Financials Financial Reports Accounting Cash Flow
Reference Report. Alternatively, open it from the Reports module.
Cash Flow Reference Report - Selection Criteria Window
Date From … To
Select the date range for displaying the cash flow relevant transactions. This field may be
left blank.
Unassigned Transactions Relevant to Cash Flow
Generates a list of cash flow relevant transactions that have not been assigned a cash flow
line item. This is the default setting.
All Transactions Relevant to Cash Flow
Generates the entire list of cash flow relevant transactions.
Cash Flow Reference Report Window
Currency
The selected currency in which the accounting documents are displayed.
From Date, To Date
Cash flow relevant transactions that occurred within the specified period.
Date
Posting date and value date of the accounting document.
Type
Type and number of the accounting document, for example, JE (journal entry).
Trans. #
Transaction number of the journal entry.
Creator
Person who created the corresponding transaction.
Debit/Credit
Posting amounts displayed in the national currency. Credit postings appear in green
between brackets.
For transactions for which more than one cash flow line item is assigned, the debit/credit
amounts are displayed separately according to their corresponding cash flow line items.
Primary Form Item
Primary form line item assigned to the cash relevant transaction.
Glossary of Journal Types and Abbreviations
Abbreviation Journal Type
OB Opening Balance
JE Journal Entry
IN A/R Invoice
CN A/R Credit Memo
PU A/P Invoice
PC A/P Credit Note

Abbreviation Journal Type
RC Incoming Payment
PS Payments to Vendors
DP Deposits
CP Checks for Payment
DN Delivery
RE A/R Returns
PD Goods Receipt PO
SI Goods Receipt
SO Goods Issue
MI Inventory Posting
WO Work Order
2.15.2.8Expanded Selection Criteria
This window enables you to set additional selection criteria for the general ledger report
and fine tune the report results.
To open the window, choose Financials Financial Reports Accounting General Ledger;
then, in the General Ledger – Selection Criteria window, choose Expanded.
Expanded Selection Criteria
Original Journal
Document and transaction types by which journal entries are created in SAP Business One.
To display in the report only journal entries created by specific documents or transaction
types, select the respective ones.
Parameters
Select the parameters you want to apply to optimize the range of transactions to display in
the general ledger report, and specify the required range in the
respective From...To... field.
Reference Fields
in Administration Setup General Reference Field Links. Therefore, filtering the report
data according to the level of granularity required for IFRS and for other purposes
becomes possible.
User-Defined Fields
in Administration Setup General Reference Field Links. Therefore, filtering the report
data according to the level of granularity required for IFRS and for other purposes
becomes possible.
Series
Opens the Series Selection window where you can choose to view only journal entries
related to specific numbering series.
Clear Sel.
Clears all selections made in this window.
2.15.2.9Series Selection
This window appears when you specify selection criteria for the General Ledger.
To access the window, choose Financials Financial Reports Accounting General Ledger.
In the General Ledger – Selection Criteria window, choose Expanded, and in
the Expanded Selection Criteria window, choose Series.
Note
Series Selection
Document
Specify the document.
Series
Numbering series defined in the Document Numbering window for documents available in
the Expanded Selection Criteria window.
2.15.2.10 Tax
This menu option includes tax reports according to the company's localization.
The information about the tax reports in a given country is available in the country-specific
online help file in: Help Country Specific Info... or by choosing F1 while the relevant tax
report is the active window in SAP Business One.
To create tax reports, choose Financials Financial Reports Accounting Tax. Alternatively,
create them from the Reports module.
2.15.3 Financial
This menu option includes the financial reports required to present a company's
business activity results.
To create financial reports, choose Financials Financial Reports Financial.
Alternatively, create them from the Reports module.
2.15.3.1Balance Sheet
This report displays the accumulated assets and liabilities of a company up to a particular
date, using the accounting formula: Total Assets = Total Liabilities + Equity.
2.15.3.1.1 Balance Sheet - Selection Criteria

Use this window to specify selection criteria for the Balance Sheet report.
To open the window, choose Financials Financial Reports Financial Balance
Sheet. Alternatively, open it from the Reports module.
After defining the report, you can view it in the Balance Sheet window.
Selection Criteria
Date From... To...
Specify:
 Whether to create the balance sheet according to posting date or document date
 The date up to which the report should be created.
Template
Select the template to be used for the report. The options available in this
dropdown list are the financial report templates of type Balance Sheet that
defined in:Financials Financial Report Template. If you have not defined any
financial report template, the default option is Chart of Accounts.
Display in Report
Choose one of the following:
 Accounts with Balance of Zero – report displays accounts with a balance of zero.
 Foreign Name – report displays the foreign names defined for G/L accounts.
Nothing is displayed for accounts for which a foreign name was not defined.
 External Code – report displays external codes defined for G/L accounts.
Includes transactions that are recorded in Open journal vouchers, but not yet
permanently saved in the database.
Add Closing Balances
The report includes period-end closing journal entries, for the chosen posting
period only; as such, Profit Period shows a zero balance for a closed posting
period.
If you do not select this option, the Profit Period shows the balance prior to
the period-end closing process.
The balance of previously closed periods is displayed in the Retained Earnings
G/L account, whether this field is selected or not.
Example
The company has two closed posting periods: 2003 and 2004.
 Add Closing Balances is not selected, and you run the report to 2004.
o The report displays the balance of the Profit Period from the beginning of
2004.
o The balance of the previous periods (2003) is displayed in the Retained
Earnings G/L account.
 Add Closing Balances is selected, and you run the report to the last day of the
posting period (December 31, 2004).
o The report displays a zero balance for the Profit Period.
o The balance of the previous posting periods (2003) is displayed in
the Retained Earnings G/L account.
o The balance of the profit and loss accounts of 2004 is displayed in
the Period-End Closing G/L account.
 Add Closing Balances is selected, and you run the report to the next posting period
(2005). The balance of the previous posting periods is displayed in the Retained
Earnings G/L account.
Ignore Adjustments
Report excludes adjustment journal entries from its balance calculation.
Choose Segments
Opens the Find G/L Accounts window, where you can choose the accounts to
include in the balance sheet, according to segments.
Note
Available only if the company maintains a chart of accounts based on
segments.
Revaluation
Opens the Balance Sheet Revaluation window.
2.15.3.1.1.1 Balance Sheet Revaluation

Use this window to set criteria according to which the balance sheet is
revaluated.
Reports Financial Balance Sheet. In the Balance Sheet – Selection
Criteria window choose the Revaluation button.
Note
FC Tab
Currency
Revaluation Method
Choose whether to calculate the revaluation according to the rate defined in
the Posting Date or Due Date of the transaction, or according to Fixed Rate.
If you choose the last option, enter the required fixed rate.
different from the rate defined in the Exchange Rates and Indexes window.
Revaluate All Currencies G/L Account/BP
Select whether to revaluate all currency G/L accounts or business partners
Index Tab
To
Value
Displays the index defined for the chosen month and year. Change this value
if required.
Revaluation Method
Choose whether to calculate the revaluation according to the index defined
for the Posting Date or the Due Date of the transaction.
2.15.3.1.2 Balance Sheet Window
This window displays the Balance Sheet report according to the defined
selection criteria.
 Balance Sheet Window
Up to
Date specified in the To field in the selection criteria.
Display Subtotals
Displays a subtotal opposite each title.
Hide Titles
Selecting the checkbox changes the display and print mode of the report in the
following ways:
 Hides all the title accounts
 Displays the active accounts in the current level and higher levels
Selecting the checkbox does not hide the special row Profit Period, which is
taken from the profit and loss statement report and is used for calculating the
total in the balance sheet report.
Note
Selecting the checkbox enables you to sort the accounts in the report.
Level
Specify the account level you want to display in the balance sheet.
The balance sheet is displayed at the latest level selected in the window.
 Level 1 includes a summary of all G/L accounts under the titles Assets, Liabilities,
and Equity.
 The transition to a higher level of detail conforms to the levels defined in the chart
of accounts. Level 2 usually breaks down:
o The assets into current assets, long-term investments, and fixed assets
o The liabilities into current and long-term liabilities
The equity sections include share capital and profit for the period.
Note
You can distinguish among the various display levels by color: drawers in red,
titles in blue, and active accounts in black.
Account Name
Displays the names of the drawers (Assets, Liabilities, Equity, and so on), titles,
and accounts in the chart of accounts, according to the selected display level.
 If you select Foreign Names in the selection criteria, foreign names are displayed
next to the account codes.
 If you select External Code in the selection criteria, the external code is displayed
instead of the original account code.
Note
You can sort the accounts in the report as follows:
1. Select the Hide Titles checkbox.
2. To sort the accounts alphanumerically in ascending order, double-click the column
header Account Name.
To sort the accounts alphanumerically in descending order, double-click the
column header again.
Balance
Balance of the drawer, title, or G/L account, according to the display level.
Foreign Currency
Balance in foreign currency for foreign currency G/L accounts.
Note
Displayed only when you select Foreign Currency as a selection criterion.
System Currency
Balance in the system currency.
Note
Displayed only when you select System Currency as a selection criterion.
Relative Percentage
Relative percentage of each balance in the company’s assets, liabilities, and
equity set. Each first-level title (drawer) equals 100 %, and its related titles and
active G/L accounts display their relative percentage.
Note
Displayed only when you select Relative Percentage as a selection criterion.
2.15.3.1.3 Revaluation - Selection Criteria

Use this window to specify selection criteria for the Revaluation report.
Criteria window choose Revaluation.
Note
FC Tab
Currency
Revaluation Method
the Posting Date or Due Date of the transaction, or according to Fixed Rate. If
you choose the last option, enter the required fixed rate.
Specify the number of days for calculating an average rate in case an exchange
rate was not defined for a specific date.
Revaluate All Currency G/L Account/BP
All currency accounts and business partners must have their values converted
to one currency before they can be revaluated.
Select whether to revaluate All currency G/L accounts or business partners by
local currency or by system currency.
Index Tab
To
Value
Displays the index defined for the chosen month and year. Change this value if
required.
Revaluation Method
Choose whether to calculate the revaluation according to the index defined for
the Posting Date or the Due Date of the transaction.
2.15.3.2Trial Balance
This report displays a summary of all accounts and/or business partner balances for a
specific date. The report can comprise all accounts and business partner balances in SAP
Business One, or only a particular cross section.
2.15.3.2.1 Trial Balance - Selection Criteria

Use this window to specify selection criteria for the Trial Balance report.
To open the window, choose Financials Financial Reports Financial Trial
Balance. Alternatively, open it from the Reports module.
After defining the report, you can view it in the Trial Balance window.
Note
Selection Criteria
BP
Includes business partners in the report.
Properties
Open the Properties window and use the business partner properties as
selection criteria.
G/L Accounts
Report includes G/L accounts.
Find
To find a special account, choose this button and specify the account code. SAP
Business One automatically displays an X next to this account.
Level
Choose the level of the account displayed in the table.
If you choose Level 1 here, the table displays the highest level titles for the
accounts.
If you select a row in the table, you actually select all the accounts that appear
under this title.
Date, From...To...
Click and choose the date range type for displaying the report.
Then, define the actual range in the From ...To.. fields.
Click to define a range of posting periods.
Display in Report
You can select the following options to display in the report:
 Hide Zero Balanced Acct – Select this checkbox to exclude zero balanced accounts
from the report.
 Hide Acct with No Postings – Select this checkbox to exclude accounts with no
postings. This checkbox is only available if Hide Zero Balanced Acct is deselected.
 Foreign Names – Displays only the foreign names defined for G/L accounts
in Financials Chart of Accounts Account Details Foreign Names.
Note
When this checkbox is selected, nothing is displayed for accounts for which the
foreign name was not defined.
 External Code – Displays external codes defined for G/L accounts in Financials Chart
of Accounts External Code.
 Opening Balance for Period – Select this option when you need to differentiate
between the balance of the selected posting period and that of the previous periods.
When a date range of a current posting period is selected, you can select this
checkbox to display the bookkeeping balance prior to the selected date range in a
separate column: OB.
As default, the checkbox is cleared. Selecting it displays the following options:
o OB from Start of Company Activity – Displays the opening balance
accumulated since the company’s activity started.
o OB from Start of Fiscal Year – Displays the opening balance accumulated
from the start of the current fiscal year.
 Accumulative Balance – Displays Accumulative Debit Opening Balance/Closing
Balance (OB/CB) and Accumulative Credit Opening Balance/Closing Balance (OB/CB)
in the results.
 Foreign Currency – Displays amounts in local and foreign currency. When the
option System Currency is also selected, the amounts are displayed in system and
foreign currency.
Note
For All Currencies accounts and business partners, if all the journal entries
were recorded using the same foreign currency, the trial balance shows the
actual foreign currency balance. Otherwise, **** is displayed instead of the
amounts.
 System Currency – Displays amounts in system currency only.
 Local and System Currency – Displays amounts in system and local currencies.
Template
Click and select a template for displaying the balance sheet.

Annual Report, Quarterly Report, Monthly Report
Select:
 Annual Report to calculate the trial balance for the entire year
 Quarterly Report to calculate the trial balance separately for each quarter
 Monthly Report to calculate the trial balance separately for each month
Periodic Report
Displays the report according to the posting periods included in the defined
date range.
Includes in the report Open transactions that are recorded in journal vouchers,
but are not yet saved in the database.
Ignore Adjustments
 Selected: Report includes period-end closing journal entries and balances of the
selected posting period only. All profit and loss accounts that were closed by the
period-end closing process show a zero balance.
o CB of Life-to-Date: Reports includes the closing balance from the system go
life date to the end of the selected period.
o CB before Selected Period Only: Reports includes the closing balance from
the system go life date to the beginning of the selected period.
 Not selected (default): Report does not include period-end closing journal entries.
All profit and loss accounts that were closed by the period-end closing process show
the G/L account balance prior to the closing process.
Note
 Period-end closing journal entries of posting periods prior to the selected period are
included in the Opening Balance column.
 In certain countries you can transfer the balances of Balance Sheet accounts from
one fiscal year or period to another. In these localizations the period-end closing
process is different than described above; therefore, the effect of this box on the
report is different. For additional information see the country-specific online help
file under Help Documentation Country-Specific Info.
Revaluation
Opens the Trial Balance Revaluation window. After the revaluation is made,
the option next to this button is selected.
Expanded
Opens the Expanded Selection Criteria window, where you can use a
transaction code, project, and distribution rule range, as well as series, as
selection criteria for this report.
2.15.3.2.1.1 Expanded Selection Criteria

Use this window to apply additional selection criteria to the Trial Balance
report.
Reference Fields
Project From...To...
Select Project and specify a project range.
The report includes transactions pertaining to the projects within the
defined range.
Distr. Rule From...To...
Select Distr. Rule and specify a distribution rule range. The report covers
transactions related to the distribution rules within the defined range.
User-Defined Fields
2.15.3.2.1.2 Trial Balance Report Details by

Control Account
Context
In the Trial Balance report, you can print the totals per control account for
each business partner and a summary of the control accounts at the end of
the report.
Procedure
 From the SAP Business One Main Menu, choose Financials Financial Reports
Financial Trial Balance.
 In the Trial Balance – Selection Criteria window, select the BP checkbox and
specify the selection criteria for the report. For more information, see the topic
Trial Balance – Selection Criteria.
 Select the Show Info per Ctrl Acct checkbox.
 To run the report, choose OK.
2.15.3.2.2 Trial Balance Window
This window displays the Trial Balance report according to your defined
selection criteria.
Note
1. Trial Balance Window
Hide Titles
Selecting the checkbox changes the display and print mode of the report as
follows:
 Displays the total
Note
Name
Displays the names of the drawers (assets, liabilities, equity, and so on), titles,
and accounts in the chart of accounts, according to the selected display level.
A separate section for displaying business partner balances appears at the end
of the trial balance.
Note
You can sort the accounts in the report by G/L accounts and BP sections, as
follows:
OB
Displays the opening balance amounts.
Note
This column is displayed only when the Disp.Opening Balance for
Period checkbox is selected in the Selection Criteria window.
Accumulative Debit OB
Displays a balance of all debit transactions on account until the report start
date.
Accumulative Credit OB
Displays a balance of all credit transactions on account until the report start
date.
Accumulative Debit CB
Displays a balance of all debit transactions on account until the report end
date.
Accumulative Credit CB
Displays a balance of all credit transactions on account until the report end
date.
Debit
Displays the total debit amount for each drawer, title, active account, and
business partner according to the selected display level.
Credit
Displays the total credit amount for each drawer, title, active account, and
business partner, according to the selected display level.
Balance
The balance of the drawer, title, active account, or business partner, according
to the display level.
Calculation: debit amount – credit amount + O.B. amount
System Currency
Displays the balance in the system currency.
To display only the Balance column in the system currency, double-click the
title System Currency.
When you print the trial balance, the debit and credit data, as well as the
balance, are displayed in the Local, System and foreign currencies.
Note
The System Currency column is displayed only if the checkbox Display in SC is
selected in the Selection Criteria window.
Foreign Currency
Displays the balance in foreign currency for foreign currency G/L accounts and
business partners.
To display only the Balance column in a foreign currency, double-click the
title Foreign Currency. When you print the trial balance, the debit and credit
data, as well as the balance, are displayed in the local, system and foreign
currencies.
Note
The Foreign Currency columns are displayed only if the checkbox Foreign
Currency is selected in the Selection Criteria window.
Level
Select the account level you want to display in the trial balance.
Level 1 includes a summary of all G/L accounts under each drawer.
The transition to a higher level of detail will conform to the levels you defined
in the Chart of Accounts.
Note
You can distinguish between the various display levels by color.
A title is also shifted slightly to the left of the active account or of a subtitle
beneath it.
2.15.3.3Profit and Loss Statement
This report lets you view the balance of all Profit and Loss G/L accounts. The total result of
the statement is the profit or loss for the company in the selected period.
2.15.3.3.1 Profit and Loss Statement - Selection

Criteria
Use this window to specify selection criteria for Profit and Loss Statement
reports.
To open this window choose Financials Financial Reports Financial Profit
and Loss Statement. Alternatively, open it from the Reports module.
After defining the report, you can view it in the Profit and Loss Statement
window.
 Profit and Loss Statement – Selection Criteria
Date, From ... To...
Click and choose the date according to which to generate the profit and loss
statement.
Next, define the required date range, or choose in the From... To... fields to
select the required period range.
Display in Report
Select any of the following options to display in the report:
 Accounts with Balance of Zero – Displays accounts with a balance of zero.
 Foreign Name – Displays only the foreign names defined for G/L accounts
in Financials Chart of Accounts Account Details Foreign Name.
Note
When this checkbox is selected, nothing is displayed for accounts lacking a
foreign name.
 External Code – Displays external codes defined for G/L accounts in Financials Chart
Select:
 Annual Report to calculate the profit and loss statement for the entire year
 Quarterly Report to calculate the profit and loss statement separately for each
quarter
 Monthly Report to calculate the profit and loss statement separately for each
month
Periodic Report
Select this option to display the report according to the posting periods
included in the defined date range.
Template
Choose a template for displaying the profit and loss statement. By default, the
template chart of accounts is selected.
Click to select a different template.

Note
Different templates might show different results, due to the different G/L
accounts assigned to them.
Display in First Column
Select whether to display figures in local currency or in system currency, in the
first column of the report.
Display in Second Column
Select one of the following options to display in the report's second column:
 System Currency – figures in system currency.
Note
If you chose to display system currency in the first column, this option is
disabled.
 Foreign Currency – figures in foreign currency.
 Balance for Comparison – once this option is selected, select one of the following
radio buttons:
o Life to Date – to display the balance from beginning of company activity up
to the date defined in the To field.
o Year to Date – to display the balance from day one of the selected posting
period up to the date defined in the From field.
Note
The first day of the selected posting period is the one defined
in Administration System Initialization General Settings Posting Periods.
The date appears in the From field of the first sub period.
Includes in the report Open transactions that are recorded in journal vouchers,
but are not yet saved in the database.
Ignore Adjustments
Report excludes adjustment journal entries from its profit and loss statement
calculation.
Choose Segments
Opens the Find G/L Accounts window, in which you can choose the accounts
to include in the profit and loss statement, according to segments.
Note
Appears only if the company maintains a chart of accounts based on segments.
Revaluation
Select this option and choose the required parameters to generate a
revaluated report.
Expanded
Opens the Expanded Selection Criteria window, where you can define
additional parameters for the report.
2.15.3.3.1.1 Profit and Loss Statement

Revaluation
Use this window to set criteria according to which the profit and loss
statement is revaluated.
To open the window, choose Financials Financials Reports Financial Profit
and Loss Statement. In the Profit and Loss Statement – Selection
Criteria window choose the Revaluation button.
Note
FC Tab
Currency
Revaluation Method
the Posting Date or Due Date of the transaction, or according to Fixed Rate.
If you choose the last option, enter the required fixed rate.
Revaluate All Currencies G/L Account/BP
Select whether to revaluate all currency G/L accounts or business partners
Index Tab
To
Value
Displays the index defined for the chosen month and year. Change this value
if required.
Revaluation Method
Choose whether to calculate the revaluation according to the index defined
for the Posting Date or the Due Date of the transaction.
2.15.3.3.2 Profit and Loss Statement Window
This window displays the Profit and Loss Statement report according to the
1. Profit and Loss Statement Window
From Date, To
Selected date range for the report.
Hide Titles
Selecting the checkbox changes the display and print mode of the report as
follows:
Note
Display Subtotals
Displays subtotals next to each Title G/L account.
Account Name
Displays the names of the drawers, titles, and active accounts in the chart of
accounts, according to the chosen display level.
Note
You can sort the accounts in the report as follows:
Balance
The balance of the drawer, title, or G/L account, according to the display level.
Multi-Year Cumulative
Displays the G/L account balance from the company start date.
If the selected date range is not from the beginning of work in the company,
there will be a difference in the data displayed in the Balance and Current Year
columns.
System Currency
Displays the balance in the System currency.
This column appears only if the checkbox SC is selected in the Selection
Criteria window.
FC
Displays the balance in foreign currency for foreign currency G/L accounts.
The FC column is displayed only if the checkbox FC Column is selected in
the Selection Criteria window.
Display Subtotals
Displays subtotals next to each Title G/L account.
Level
Choose the account level you want to display in the profit and loss statement.
The report is always displayed at the last level established in the window.
2.15.3.4Cash Flow
This report lets you analyze your cash flow based on all revenues and expenses, for
example, checks, credit cards, recurring account transactions, customer liabilities, and so
on. You define the level of detail for the individual results.
The report provides information about the liquidity of your business that is beyond the
scope of a profit-and-loss statement.
The report:
 Takes into account whether open payments have since been paid, and if not, the
likelihood of these receivables being collected.
 Lets you forecast future revenues and expenses to facilitate business decisions.
 Can raise your awareness of possible future liquidity problems, enabling you to act
accordingly.
2.15.3.4.1 Cash Flow - Selection Criteria

Use this window to specify selection criteria for the Cash Flow report.
To open the window, choose Financials Financial Reports Financial Cash
Flow. Alternatively, open it from the Reports module.
After defining the report, you can view it in the Cash Flow window.
 Selection Criteria
Date From...To
Specify a date range. The report includes documents and transactions with due
dates within this range.
Time Interval
Specify a time interval as a preliminary report format. Each row in the report
will represent a time interval: day, week, month, and so on.
Add Recurring Postings
Adds to the cash flow recurring transactions, which appear in green in the
report.
Adds open journal vouchers to the report calculation, which is displayed in
blue in the report.
Consider Delays in Payments
Specifies that the average number of delay days, if defined for the business
partner, should be included in the cash flow.
Example
If the due date of an A/R invoice is 03/10/05 and the average delay defined for
the customer is five days, the due date calculated for the cash flow (when this
option is selected) is 03/15/05.
Display Fully Reconciled Postings
Includes transactions reconciled internally.
Example
Outgoing invoices and the reconciled incoming payments are displayed
together in the report.
Add Blanket Agreement
Adds approved blanket agreements to the report calculation.
Tax
Report includes tax transactions.
In the appurtenant field, specify whether to display transactions as they are
reported monthly, or every two months, depending on how your business pays
tax.
Opening Balance/Calculate Opening Balance
 Select Opening Balance to enter an opening balance manually for the selected
accounts.
 Select Calculate Opening Balance to display the opening balance according to the
data recorded in SAP Business One.
Include Projected Postings Table
Specify future transactions that have not been recorded yet in SAP Business
One, such as the purchase of a new car for the business, designated to be
executed next month.
Specify the following for the expected transactions:
 Date – due date
 Description – brief text insertion
 Incoming Total, Outgoing Amount – incoming or outgoing sum
 Security Level – security level at which the report should display them
The report displays the additional transactions in green.
Cash Tab
Displays G/L accounts defined as Cash Accounts in the Chart of Accounts.
Select the accounts to be included in the report. The amounts transferred
through these accounts will appear in the report at security level 1 – Cash
Accounts.
Credit Card Tab
Credit funds used when incoming payments for credit card vouchers were
created. Amounts transferred through these accounts will appear in the report
at security level 2 – checks and credit.
Checks Tab
Check funds.
Amounts transferred through these accounts appear in the report at security
level 2 – checks and credit.
Business Partner
Specify a range, a group, or the properties of business partners to include in
the report.
Amounts transferred through these business partners will appear in the report
at level 3 – customer liabilities, and security level 4 – payable to vendors.
2.15.3.4.2 Cash Flow Window
This window displays the Cash Flow report according to your defined selection
criteria.
Note
Cash Flow Window
Cash Accounts, Credit, Checks, Customer Liabilities, Debts to Vendors
Each option represents a security level. Select the respective options to display
in the report according to the relevant security levels.
Due Date
Each row represents a time interval. The postings are assigned to a time
interval according to their due date. Expand the display mode to see the
security levels.
Origin
Transaction type of the postings in each security level and a link to the
document by which the transaction was created. The origin is displayed only
when the display is expanded.
Reference
Reference number of the documents/transactions.
Control Account
Control account linked to the transaction.
G/L Account/BP Code
Business partner code or G/L account code involved in the transaction.
Note
The display of accounts in the Cash Flow report is subject to user
authorizations. SAP Business One does not display confidential accounts if the
user is not permitted to access confidential accounts.
Remarks
Details entered in the Remarks field in the transaction or document.
Debit, Credit
Debit or credit amounts for the postings.
Total
Total for a posting, security level, or time interval. Rows representing the
security level and time interval are highlighted in blue. Negative balances are
indicated with a minus sign (-).
Balance
Total cumulative amounts.
In each row, the total of the balance of the previous row plus the total amount
for the current row is calculated. This means that the balance is always
displayed for each detailed row. Negative balances are indicated by a minus
sign (-).
2.15.3.5Cash Flow Report
The Cash Flow report is a standard financial statement. It details information relating to
cash relevant income and expenses, and cash equivalents within a defined period.
The report comprises two types of forms:
- Primary – Relates to the cash flow of income and expenses during business,
investment, and financial activities.
- Supplementary – Relates to:
o Investment and financial activities not related to cash income and
expenses
o The cash flow of business activities relating to net profit adjustments
o The increase in net value of cash and cash equivalents
2.15.3.5.1 Cash Flow Statement Selection Criteria
Use this window to specify selection criteria for the cash flow report.
To open this window, choose Financials Financial Reports Financial Cash
Flow Report. Alternatively, open it from the Reports module.
After defining the report, you can view it in the Cash Flow Report window.
Cash Flow - Selection Criteria
Actual Period
Specify a date range for the report.
Previous Period
Specify a date range for the comparison period. Select the checkbox to display
the comparison period in the report.
Date
Using the date bar, specify a time frame for the report.
 For a report covering an entire year, select the year, click to clear, and click again to
select all the months.
 For a report that extends to the end of a particular month, select the month.
From … To
Specify a date range for the report.
Template
Specify a template for displaying the report.
2.15.3.5.2 Cash Flow Report Window
This window displays the Cash Flow Report according to your defined selection
criteria. The report details information relating to cash relevant income and
expenses and cash equivalents within a defined period. In order to generate
this report, you must assign pre-defined cash flow line items to cash relevant
transactions.
To access the Cash Flow Statement Selection Criteria window, choose one of
the following:
 Reports Financials Financial Cash Flow Report.
 Financials Financial Reports Financial Cash Flow Report.
After finish defining cash flow report, choose OK to generate cash flow report.
Cash Flow Report
Company
Displays the name of the company database that the user is generating the
report from.
From, To
Displays the period in which the report is being generated.
Line Items
The cash flow line items for the 'Primary form' and 'Supplementary form' are
listed together with their corresponding line number and accumulated value in
the same window. They are identified by the line item of level 1 displayed in
red.
Line No.
The line number represents the line item previously defined in the Define Cash
Flow Line Items window.
Actual Period
Displays the value for particular lines according to the template you specified
in the selection criteria. This column can be adjusted by clicking on
the Adjust button. Users require full authorization to manually adjust the
amount of the cash flow line item.
Note
You can only change an amount that is independent of a predefined formula.
Previous Period
Displays the value for particular lines according to the template you specified
in the selection criteria.
Level
Defines the level of hierarchy for display and printing. The default value is level
10.
Adjust
By selecting this button you are able to manually adjust the amounts in
the Amount column. This button is disabled when viewing a previously saved
report.
2.15.3.5.3 Creating a Cash Flow Report
Context
The cash flow report for a particular period shows the accumulated amounts of
cash flow line items assigned to cash relevant transactions.
Procedure
1. From the SAP Business One Main Menu, choose Reports Financials
Company Cash Flow Report – Selection Criteria.
2. Using the date bar in the Cash Flow Statement Selection Criteria
window, choose a time frame for the report.
- For a report covering an entire year:
o Select the year, for example, 2006.
o Click to clear all the months.
o Click again to select all the months.
- For a report that extends to the end of a particular month, select the month.
- For a report that extends to a specific date, for example, 10.16.2006, specify
the date in the To field.
2.15.4 Comparison
These reports let you review the results of business activities of two posting
periods, or compare two companies.
2.15.4.1Balance Sheet Comparison

This report compares the balance sheet reports of two companies, or of two periods of the
same company, with the same chart of accounts. Use this window to specify selection
criteria for the Balance Sheet Comparison report.
To open the window, choose Financials Financial Reports Comparison Balance Sheet
Comparison. Alternatively, open it from the Reports module.
After defining the report, you can view it in the Balance Sheet Comparison window.
Selection Criteria
Company Name
Name of the company to which you are currently logged on.
Database Name
Name of the database to which you are currently logged on.
Posting Date/Document Date
Specify whether to generate the report according to a posting or a document date range.
From...To
Specify the dates of the first and last day to be included in the report.
Company Name
Name of the company to which the figures of the current company should be compared.
By default, the name of the current company is displayed.
Database Name
Name of the database to which the figures of the current company should be compared.
By default, the database of the current company is displayed.
Change
Opens a window in which you can choose the company to which the figures of the current
company should be compared.
Note
You can only select companies that are located on the same database server as the current
company.
Posting Date/Document Date
Specify whether to generate the report according to a posting or a document date range.
From...To
Specify the dates of the first and last day in the comparison company to be included in the
report.
Display in Report
 Accounts with Balance of Zero – Report displays accounts with zero balance.
 Differences in % – Adds a column displaying the differences between the compared
companies or posting periods, as a percentage.
 Amount Differences – Adds a column displaying the differences between the
compared companies or posting periods, as a percentage.
 Foreign Name – Displays only foreign names defined for G/L accounts.
Note
Accounts for which a foreign name was not defined are not displayed in the report.
 External Code - Displays external codes defined for G/L accounts in Financials Chart
 Local Currency – Displays the results in local currency.
 System Currency – Displays the results in system currency.
 Foreign Currency – Displays the results in foreign currency.
Template
Specify the template to be used for the report.
Includes in the report transactions that are recorded in Open journal vouchers, but are not
yet saved in the database.
Includes period-end closing journal entries, for the chosen posting period only, in the
report. As such, the Profit Period shows a zero balance for a closed posting period.
Add Closing Balances is not selected: period-end closing journal entries are not included in
the report, and the Profit Period shows the balance prior to the period-end closing
process.
Ignore Adjustments
Choose Segments
Opens the Find G/L Accounts window where you can choose the accounts to include in
the report, according to segments.
Note
Only available if the company maintains a chart of accounts based on segments.
Revaluation
Opens the Balance Sheet Revaluation window where you can make additional selection
criteria for revaluation.
2.15.4.1.1 Balance Sheet Comparison Window
This window displays the Balance Sheet Comparison report according to your
Balance Sheet Comparison Window
Current Period
The date you entered in the To field for the period of the current database.
Comparison Period
The date you entered in the To field for the comparison period of the current
database or a compared database.
Account Name
According to the display level, the names of the drawers (Assets, Liabilities,
Equity, and so on), titles, and accounts in the chart of accounts template.
If you selected Foreign Names in the selection criteria, the foreign names are
displayed, as defined for each account in the chart of accounts.
Current Period
Balance of the drawer, title, or account – according to the selected display
level – to the requested date of the current period / company in the current
database, in the selected currency.
Comparison Period
Balance of the drawer, title or account – according to the display level – to the
requested date of the compared period/company in the current or compared
database, displayed in the selected currency.
Display Subtotals
Displays a subtotal for each drawer or title, according to the display level.
Level
Select the account level you want to display in the balance sheet comparison.
The balance sheet is displayed at the latest level applied in the window. Level 1
displays a summary of all accounts under the titles Assets, Liabilities,
and Equity.
The transition to a higher level of detail conforms to the levels defined in
the Chart of Accounts. Level 2 usually breaks down assets into current assets,
long-term investments, and fixed assets; and liabilities into current and long-
term liabilities. The equity sections include share capital and profit for the
period.
Level 5 displays all the active accounts in SAP Business One.
Note
You can distinguish between the various display levels by color: drawers in red,
titles in blue, and accounts in black.
Difference Amount
Difference between compared periods / Companies according to this
accounting formula:
Difference Amount = Current Period / Company - Comparison
Period/company
Percentage Difference
Difference between the current period/company and the compared
period/company according to the accounting formula:
Percentage Difference = Difference Amount / Compared Period x 100
2.15.4.2Trial Balance Comparison
This report compares the trial balances of two different companies or two different
posting periods. Use this window to define selection criteria for the Trial Balance
Comparison Report.
To open the window, choose Financials Financial Reports Comparison Trial Balance
Comparison. Alternatively, open it from the Reports module.
After defining the report, you can view it in the Trial Balance Comparison window.
Note
Selection Criteria
Business Partner
Select to include business partners in the report.
Properties
Open the Properties window and use the business partner properties as selection criteria.
G/L Accounts
Find
To find a special account, choose this button and specify the account code. SAP Business
One automatically displays an X next to this account.
Level
Choose the level of the account display in the table. If you choose Level 1 here, the table
displays the highest level titles for the accounts. If you select a row in the table, you
actually select all the accounts that appear under this title.
Company Name
Displays the company and database names of the current company and the comparison
company.
Period
In this section, define the periods to be compared by the report:
 Current, Comparison – Click and select whether to generate the report

according to posting date, due date, or document date.
 From, To, – Define the current period and comparison period by entering the
required date ranges. Click to define the date ranges according to posting
periods.
Display in Report
 Hide Zero Balanced Acct – Select this checkbox to exclude zero balanced accounts
from the report.
 Hide Acct with No Postings – Select this checkbox to exclude accounts with no
postings. This checkbox is only available if Hide Zero Balanced Acct is deselected.
 Differences in % - select to display the differences between the compared
companies / periods as percentages.
 Amount Differences - select to display the differences between the compared
companies/periods in amounts.
 Foreign Name – to display the foreign names defined for G/L accounts
When this checkbox is selected, only foreign names are displayed. Nothing is displayed for
accounts lacking a foreign name.
 External Code - to display external codes defined for G/L accounts
in Financials Chart of Accounts External Code.
 Opening Balance for Period - Select this checkbox when you need to differentiate
between the balance of the selected posting period and the balance of the previous
periods.
As default, the checkbox is deselected. When a date range of a current posting period is
selected, you can select this checkbox to display the bookkeeping balance prior to the
selected date range in a separate column, O. B. This opening balance includes:
o Bookkeeping balance prior to the selected date range.
o Journal entries created in the selected posting period
through Administration System Initialization Opening Balances (Origin =
O.B, Transaction Type = -2).
o Period-end closing journal entries of posting periods prior to the selected
period.
 Local Currency – displays the report in the local currency.
 System Currency – displays amounts in the system currency only.
 Foreign Currency – displays the report in a foreign currency.
Template
Choose and select a template for displaying the balance sheet.

Includes transactions in the report that are recorded as Open in journal vouchers, but have
not yet been saved to the database.
Ignore Adjustments
Add Closing Balance
Includes closing balances in the report.
Revaluation
Opens the Trial Balance Revaluation window. After the revaluation is made, the option
next to this button is selected.
Expanded
Opens the Expanded Selection Criteria window, where you can use a project range and a
distribution rule range as selection criteria for this report.
2.15.4.2.1 Trial Balance Comparison Window
This window displays the Trial Balance Comparison report according to your
Trial Balance Comparison Window
Name
The names of the drawers, titles, and accounts according to the display level
you selected.
The list of business partners appears in the lower part of the report, divided
into customers and vendors.
Current Period
Displays the totals for the debit, credit, and balance of each business partner
and/or G/L account in LC/SC/FC (according to the selection made in the Trial
Balance Comparison – Selection Criteria window) for the requested date
range for the Current Period in the current database.
Comparison Period
Displays the totals for debit, credit, and balance of each business partner
and/or G/L account (according to the selection made in the Trial Balance
Comparison – Selection Criteria window) for the requested date range of
the Comparison Period in the current database or in the compared database.
Differences in Amounts
The difference between the compared periods according to the accounting
formula:
Differences in Amounts = Current Period - Previous Period
Differences in Percentage
The difference between the current period and the comparison period
according to the accounting formula:
Differences in Percentage = Differences in Amounts / Previous Period x 100
Level
The trial balance comparison is always displayed at the last level established in
the window. Level 1 displays a summary of all accounts under the titles
(Assets, Liabilities, Equity, and so on), and a summary
of Customers and Vendors.
If you are interested in more detail than is provided in Level 1, choose the
appropriate level in the Trial Balance Comparison window.
The transition to a higher level of detail conforms to the levels you defined in
the Chart of Accounts. Display at Level 2 usually breaks down assets into
current assets and long-term investments; customers and vendors are divided
into groups.
Note
titles in blue, and accounts in black. A title is also displayed slightly to the left
of the active account or to the left of the subtitle below it.
The subtitle for a title is shown immediately after the displayed title.
Current Period From To
The dates you entered as the date range for the Current Period in the Trial
Balance Comparison – Selection Criteria window.
Comparison Period From To
The dates you entered in the Trial Balance Comparison – Selection
Criteria window as the date range for the Comparison Period in the current
database or in the compared database.
2.15.4.3Profit and Loss Statement Comparison - Selection
Criteria
This report lets you compare the profit and loss statements of two companies or periods.
Use this window to specify selection criteria for the profit and loss statement comparison
report.
To open the window, choose Financials Financial Reports Comparison Profit and Loss
Statement Comparison. Alternatively, open it from the Reports module.
Comparison window.
Selection Criteria
Current Company
The following fields contain data from the current company:
 Company Name, Database Name – System displays the current company and
database names, as they appear in the Choose Company window.
 Date, From...To ...– Click and specify whether to generate the report according to
posting date, due date, or document date. Then define the date range for
transactions to include in the report.
Click to define a range based on posting periods.
Comparison Company/Posting Period
The following fields contain data from the company or posting period to which you are
comparing the current company/period:
 Company Name, Database Name, Change – The defaults displayed are the current
company name and the current database name, as they appear in the Choose
Company window. Choose Change to select a different company.
 Date, From...To ...– Click and specify whether to generate the report according to
posting date, due date, or document date.
Then define the date range for transactions that you are including in the report. Click to
define a range based on posting periods.
Display in Report
 Accounts with Balance of Zero – if this checkbox is not selected accounts with
balance of zero will not be displayed in the report.
 Differences in % - select this option to add to the report a column which displays the
differences between the compared companies/posting periods in percentage rate.
 Amount Differences - select this option to add to the report a column which displays
the differences between the compared companies/posting periods in percentage
rate.
 Foreign Name – to display the foreign names defined for G/L accounts
When this checkbox is selected, only foreign names will be displayed, therefore nothing
will be displayed in case of accounts for which the foreign name was not defined.
 ExternalCode - to display external codes defined for G/L accounts
in Financials Chart of Accounts External Code.
 LocalCurrency – select to display the results in local currency.
 SystemCurrency – select to display the results in system currency.
 ForeignCurrency – select to display the results in foreign currency.
Template
Specify the template to use for the report.
Includes transactions in the report that are recorded as Open in journal vouchers, but have
not been saved yet in the database.
Ignore Adjustments
Choose Segments
Opens the Find G/L Accounts window, in which you can select the accounts to include in
the report, according to segments.
Note
Appears only if the company maintains a chart of accounts based on segments.
Revaluation
Choose to open the Balance Sheet Revaluation window. After you make your selections
and close this window, the option next to the button is selected.
Expanded
Opens the Expanded Selection Criteria window, in which you can define additional
parameters for the report.
2.15.4.3.1 Profit and Loss Statement Comparison

Window
This window displays the Profit and Loss Statement Comparison report
according to your defined selection criteria.
Profit and Loss Statement Comparison Window
Account Name
Displays the names of the drawers (Revenues, Cost of Sales, Expenses, and so
on), titles and accounts, according to the display level you selected, and the
selections made in the Profit and Loss Statement Comparison – Selection
Criteria window.
Current Period
Displays the balance of the drawer, title, or account (according to the selected
display level) to the requested date of the Current Period in the current
database.
Comparison Period
Displays the balance of the drawer, title, or account (according to the selected
display level) to the requested date of the Comparison Period in the current
database or in the compared database.
Difference Amount
Difference between compared periods according to the accounting formula:
Difference Amount = Current Period - Previous Period
Percentage Difference
The difference between the current period and the comparison period
according to the accounting formula:
Percentage Difference = Difference Amount / Previous Period x 100
Display Subtotals
Displays subtotals for each title and drawer.
Level
The Profit and Loss comparison is always displayed at the last level established
in the window. Level 1 displays a summary of all accounts under the
titles Revenues, Cost of Sales, Expenses, and so on.
For more detail than is provided in Level 1, select the appropriate level in
the Profit and Loss Comparison window.
The transition to a higher level of detail will conform to the Levels you defined
Level 2 displays greater detail – primary titles and primary accounts.
of the active account or the subtitle below it.
The subtotal for a title is shown immediately after the displayed title.
Current Period From To
The dates you entered in the date range for the Current Period in the Profit
and Loss Statement Comparison – Selection Criteria window.
Comparison Period From To
The dates you entered in the Profit and Loss Statement Comparison –
Selection Criteria window, as a date range for the Comparison Period in the
current database or in a compared database.
2.15.5 Budget
If your company manages budgets, you can create a budget report to review
business activities from a budget perspective.
2.15.5.1Budget Report
This report analyzes the business activities that took place during a defined period, with
reference to a selected budget scenario. Use this window to specify its selection criteria.
To open the window, choose Financials Financial Reports Budget Setup Budget Report.
After defining the report, you can view it in the Budget Report window.
Note
Selection Criteria
Specify the time frame of the report.
Local Currency, Display in SC
Specify whether to display the report in local currency or in system currency.
Scenario
Specify the scenario according to which the report will be created.
Distr. Rule
Specify the distribution rule for which to create a report reflecting the budget used for the
cost accounting activities.
Note
If you selected the Use Multidimensions checkbox on the Cost Accounting tab of
the General Settings window under Administration System Initialization General
Settings, you can select distribution rules of specific dimensions from the dropdown lists.
Only active dimensions are editable.
Project
Specify a project for which to create a report reflecting the budget used for the project.
Future Balances
Includes open purchase orders and open purchase delivery notes in the Actual column of
the report.
Find
Opens the Find G/L Accounts window, where you can select specific G/L accounts for the
report.
Account
Specify the G/L accounts you want to include in the report.
[Level]
Specify the detail level of the account display in the account table. Level 1 displays the
drawers, Level 2 drills down to the main titles, and so on.
Date From...To...
Date range of the report, as defined in the months table below.
Date
Specify the year for the report. Then, select the month or months for which the report
should be created. The Date From...To... fields are updated accordingly.
2.15.5.1.1 Budget Report Window
This window displays the Budget Report according to your defined selection
criteria.
Note
Budget Report Window
Display Subtotals
Displays a subtotal for each title and drawer.
Budget
Budget amount for the account as specified in the Define Budget window.
Actual
Actual amount used of the budget amount.
Difference
Difference between the budget amount and the actual balance.
Chart Style
Specify the style of the graphic display.
[Level]
Specify the detail level of the account display in the account table. Level
1 displays the drawers, Level 2 drills down to the main titles, and so on.
2.15.5.2Balance Sheet Budget Report
This report displays a balance sheet based on a selected budget scenario. Use this window
to specify selection criteria for the Balance Sheet Budget report.
To open the window, choose Financials Financial Reports Budget Reports Balance Sheet
Budget Report. Alternatively, open it from the Reports module.
After defining the report, you can view it in the Balance Sheet Budget Report window.
Note
Selection Criteria
Date
Specify the year, then click the month or months for which the report should be created.
The date field below is updated accordingly.
External Code
Displays external codes that you defined for G/L accounts in Financials Chart of
Accounts External Code.
Ignore Adj. Trans. (Period 13)
Report excludes adjustment transactions.
Accounts with Balance of Zero
Report includes accounts with zero balance.
Budget-Relevant Accounts Only
Report includes only G/L accounts defined as relevant to the budget.
Foreign Names
Displays foreign names that you have defined for G/L accounts in Financials Chart of
Accounts Account Details Foreign Name.
Choose Segments
Opens the Find G/L Accounts window, where you can select the accounts to include in the
report, according to segments.
Note
Only available if the company maintains a chart of accounts based on segments.
2.15.5.2.1 Balance Sheet Budget Report Window

This window displays the Balance Sheet Budget report according to your
Note
Balance Sheet Budget Report Window
As of
Date specified in the To field in the selection criteria.
Display Subtotals
Displays subtotals opposite each title.
Level
The report is displayed at the latest level applied in the window. Level 1
displays a summary of all accounts under the Assets, Liabilities,
and Equity titles.
If you want more details, choose the appropriate level.
The transition to a higher level of detail conforms to the levels you defined in
the Chart of Accounts. Level 2 usually breaks down assets into current assets,
long-term investments, and fixed assets; and liabilities into current and long-
term liabilities. The equity sections include share capital and profit for the
period.
Level 5 displays all the active accounts in SAP Business One.
Note
You can distinguish between the various display levels by color: drawers in
red, titles in blue, and accounts in black.
Budget
Planned amount for the account as specified in the Define Budget window.
Actual
Actual balance of the account.
Difference
Difference between planned amount and the actual balance.
2.15.5.3Trial Balance Budget Report
This trial balance report is based on a specific budget scenario. Use this window to specify
selection criteria for the report.
To open the window, choose Financials Financial Reports Budget Reports Trial Balance
Budget Report. Alternatively, open it from the Reports module.
After defining the report, you can view it in the Trial Balance Budget Report window.
Note
Selection Criteria
G/L Accounts
Find
To find a special account(s), choose this button and specify the account code or range of
account codes. SAP Business One automatically displays an X next to this account(s).
Level
Choose the level of the account display in the table.
If you choose Level 1 here, the table displays the highest level titles for the accounts. If you
select a row in the table, you actually select all the accounts that appear under this title.
Posting Date / Due Date / Document Date
Click the icon and choose to display the report according to posting date, due date or
document date range.
Scenario
Preferred budget scenario (displayed according to the selected financial period).
Display LC, Display in SC
Select whether to display the report in local currency or in system currency
External Code
Select this option to display external codes that you have defined for G/L accounts in their
master records ( Financials Chart of Accounts External Code).
Ignore Adjustments
Hide Zero Balanced Acct
Select this checkbox to exclude zero balanced accounts from the report.
Hide Acct with No Postings
Select this checkbox to exclude accounts with no postings. This checkbox is only available
if Hide Zero Balanced Acct is deselected.
Budget Accounts Only
Select this option to include in the report only G/L accounts that were defined as relevant
to the budget (Financials Chart of Accounts Account Details Relevant to Budget).
Foreign Names
Select this option to display foreign names that you have defined for G/L accounts in their
master records ( Financials Chart of Accounts Account Details Foreign Name).
Expanded
Opens the Expanded Selection Criteria window, where you can define the range of
projects and/or profit centers as additional parameters for the report.
2.15.5.3.1 Trial Balance Budget Report Window
This window displays the Trial Balance Budget report according to your defined
selection criteria.
Note
Trial Balance Budget Report Window
From Date To
Displays the dates you entered in the range of dates in the Trial Balance
Budget Report – Selection Criteria window.
Budget
The planned amount for each account as specified in the Define
Budget window.
Actual
Actual balance of this account.
Difference
Difference between planned amount and actual balance.
Difference in %
Calculates the difference in percentage.
Level
Level 1 displays a summary of all accounts under titles such as Assets,
Liabilities, Equity, and so on.
If you are interested in more detail than is provided in Level 1, select the
appropriate level in the Trial Balance Budget Report window.
Note
of the active account or the subtitle below it.
2.15.5.4Profit and Loss Statement Budget Report

This report displays a profit and loss statement based on a selected budget scenario.
2.15.5.4.1 Profit and Loss Statement Budget Report

- Selection Criteria
Use this window to specify selection criteria for the Profit and Loss Statement
Budget Report.
To open the window, choose Financials Financial Reports Budget Profit and
Loss Statement Budget Report. Alternatively, open it from
the Reports module.
Budget Report window.
Note
Selection Criteria
Date
In the ruler, select the required period.
Posting Date / Due Date / Document Date
Specify whether to create the report according to the posting date range, the
due date range or the document date range.
Scenario
Select the budget scenario according to which the report should be generated.
Local Currency
Displays the report figures in local currency.
System Currency
Displays the report figures in system currency.
External Code
Displays the external codes of the accounts in the report, as defined
in Financials Chart of Accounts External Code field.
Ignore Adj. Trans. (Period 13)
Generates a report without adjustment transactions.
Accounts with Balance of Zero
Report includes zero-balance accounts.
Budget-Relevant Accounts Only
Report displays only accounts with a budget amount.
Foreign Names
Displays the foreign name of the accounts in the report, as defined
in Financials Chart of Accounts Account Details Foreign Name field.
Annual / Quarterly / Monthly Report
Specify the required display mode for the report.
Choose Segments
Opens the Find G/L Accounts window, where you can select the accounts to
include in the report, according to segments.
Note
Only available if the company maintains a chart of accounts based on
segments.
Expanded
Opens the Expanded Selection Criteria window where you can define a range
of projects and/or profit centers as additional parameters for the report.
2.15.5.4.2 Profit and Loss Statement Budget Report
Window
This window displays the Profit and Loss Statement Budget Report according
to your defined selection criteria.
Note
Profit and Loss Statement Budget Report Window
Date From...To...
The dates you specified in the selection criteria.
Display Subtotals
Displays subtotals above each title for levels higher than Level 1.
Budget
Planned amount for the account as specified in the Define Budget window.
Actual
Actual balance of the account.
Difference
Difference between planned amount and actual balance.
Difference in %
Difference in percentage.
Level
The report is always displayed at the last level established in the window.
Level 1 displays a summary of all accounts under the titles Revenues, Cost of
Sales, Expenses, and so on.
For more detail, select the appropriate level. The transition to a higher level of
detail will conform to the levels you defined in the Chart of Accounts.
Level 2 displays greater detail – primary titles and primary accounts.
Note
of the active account or the subtitle below it. The subtotal for a title is shown
behind the displayed title.
2.15.6 Support for IFRS in SAP Business One
SAP Business One includes a number of enhanced features that support companies
in the preparation of financial statements according to International Financial
Reporting Standards (IFRS) in addition to their group reporting and also any other
GAAP reporting needs.
Accurate reporting in SAP Business One depends not only on functionality, but also
on correct setup and handling. Additionally, SAP Business One localizations vary
according to different local GAAP requirements. Therefore we strongly recommend
that you consult with your SAP partner and your company accountant when
identifying what your IFRS requirements are, how to implement them, and which
authorizations to define for them. You are responsible for carrying out all the
appropriate operations and providing the appropriate documentation to ensure the
accuracy and completeness of your financial reports.
Note
Both SAP Business One IFRS-related capabilities and the IFRS are subject to future
change.
 Preparing for Financial Reporting According to IFRS
Before you start adjusting your SAP Business One application for the purpose of
preparing financial statements according to IFRS, we strongly recommend that you
follow the steps below:
1. Analyze the differences between the local GAAP and IFRS. The most common
differences are:
o Valuation and depreciation of fixed assets
o Foreign currency valuation
o Provisions
o Inventory valuation
o Revenue and cost recognition
2. Identify which differences are relevant for your company.
3. Minimize the number and extent of the differences as much as possible (for
example, by adjusting the internal accounting policy).
4. Prepare the internal accounting policy to support the preparation of financial
statements according to IFRS.
 Basic Concepts of the IFRS Setup
You have the following options regarding how IFRS is implemented and used at
your company:
 Parallel postings to specifically created G/L accounts
 Using reference fields and user-defined fields to mark journal entries and then
setting filters accordingly in the reports’ selection criteria
 A combination of these two methods
The following figure shows you the recommended accounts setup for the two
different types of reporting:
Recommended Accounts Setup

 Parallel Accounting Systems
Business transactions can have different meanings and/or valuation for local GAAP
and for IFRS purposes. You can create different types of G/L accounts in the chart of
accounts to support both local GAAP and IFRS-related postings. If your company
needs to report according to both the local GAAP and to IFRS, the chart of accounts
can include three types of G/L accounts:
 Local G/L accounts – for local GAAP purposes only
 IFRS G/L accounts – for IFRS purposes only
 Common G/L accounts – for both local GAAP and for IFRS purposes
Recommendation
Use different G/L account codes and/or names to indicate the type of G/L account.
Example
 41100 – Sales Revenue – Domestic
 IFRS – 41110 – Sales Revenue – Domestic
 Local – 41120 – Sales Revenue – Domestic
Note
You cannot change an account code once the account already has postings.
However, you can change existing account names.
Note
SAP Business One allows a maximum length of 15 characters for G/L account codes
and of 100 characters for G/L account names.
 Possible Scenarios
SAP Business One allows you to cover the following scenarios in your accounting
system:
 A transaction has the same impact for the local GAAP and for the IFRS rules. The
transaction is posted to the common G/L accounts; for example, a purchasing
invoice for services.
 A transaction has different valuations for the local GAAP and for IFRS. It is posted in
parallel to both local and IFRS G/L accounts; for example, pension liabilities or
 A transaction is required only by local GAAP rules. It is posted to local G/L accounts
only; for example, a specific provision.
 A transaction is required only by IFRS rules. It is posted to IFRS G/L accounts only; for
example, financial leasing.
 A transaction is required only by local GAAP rules or only by IFRS rules. It is posted to
the common accounts. When the GAAP and IFRS reports are created, you filter the
relevant postings based on selection criteria for reference fields and user-defined
fields. For example, 3 of 10 postings to a common account are not relevant for IFRS,
so you exclude them from the IFRS report based on selection criteria filters.
Examples of Postings to Common Accounts, Local GAAP Accounts, and IFRS
Accounts
 Manual Postings
You adopt one of the following approaches for manual parallel postings to local
GAAP accounts and to IFRS accounts:
 Posting only local transactions and marking them as local. At the end of the financial
year, filtering the transactions and manually creating relevant postings for IFRS
purposes, transaction by transaction.
 Posting only local transactions, and marking them as local. At the end of the year,
filtering the transactions and manually creating relevant postings for IFRS as
aggregate transactions.
Note
When you are setting up IFRS, make sure to discuss with your partner and your
company accountant which IFRS postings will be made manually and which IFRS
postings, if any, can be made automatically. The standard case is that the majority
of IFRS postings are done manually.
As an alternative to the manual posting scenarios (see above), you can manually
create documents twice, once for local GAAP and once for IFRS. In this case, a
second numbering series is required for each affected document type. Automatic
parallel posting to the accounts is done by specifying the account in the invoice.
2.15.6.1Creating an IFRS Setup in SAP Business One
Prerequisites
You have made the necessary preparations as described in Support for IFRS in SAP Business
One.
Procedure
1. Create additional IFRS accounts and rename existing accounts, as required. For more
information, see Chart of Accounts.
2. If required, adjust the settings that determine which G/L accounts are posted
when transactions occur in SAP Business One. For more information, see G/L
Account Determination.
Note
The standard case is that IFRS postings are done manually. Discuss with
your partner and with your company accountant whether there are any IFRS
postings that you can post automatically.
3. Check and, if necessary, adjust the predefined values for the reference fields
and any user-defined fields in journal entries. For more information, see the
topic Setting Up Reference Field Links and UDF Links for IFRS.
4. If you use automatic or semi-automatic internal reconciliation, decide whether
to set any of the reference fields as matching rules (automatic) or reference
parameters (semi-automatic). Define these settings as necessary.
In business partner internal reconciliation, you can use Ref. 1 (BP Row), Ref.

2 (BP Row), and/or Ref. 3 (BP Row). In G/L internal reconciliation, you can
use Ref. 1 (Row), Ref. 2 (Row), and/or Ref. 3 (Row).
Note
These settings affect the reconciliation process, not IFRS directly.
5. Define the financial report templates that you want to use for IFRS. The
templates will include a mix of IFRS accounts and common accounts.
a. For G/L accounts that you intend to include more than once in the same
template, set the checkbox Allow Multiple Linking to Financial
Templates in the G/L Account Details window.
This is useful if you need to include the debit and the credit sides of an
account rather than the overall balance, one side in the assets section and the
other side in the liabilities section of the balance sheet.
Example
You want the VAT account to be part of an assets account group if the closing
balance is positive (+) and part of a liabilities account group if the closing
balance is negative (-).
b. Create the financial report templates that you intend to use for IFRS.
In the Account Category - Details window, adjust the values in
the Linked and Sign fields as required. For more information, see the
topic Account Category - Details Window.
c. Review which accounts are linked to which balance sheet templates by

choosing Tools Queries System Queries G/L Account Location in
Balance Sheet Templates.
6. Decide which G/L accounts to use in which reports.
For information about how to find and select the relevant G/L accounts for a
report, see the topic Finding G/L Accounts to Include in Financial
Reports/Period-End Closing.
7. If you have not already done so, check and adjust the user authorizations for
your company as required for IFRS.
8. Manually create any parallel postings that are required for IFRS. For more
information, see the sections Basic Concepts of the IFRS Setup and Manual
Postings in the topic Support for IFRS in SAP Business One.
9. Before creating the following reports, specify the selection criteria for
reference fields and user-defined fields as your company requires them for
IFRS:
a. G/L report
b. Document journal
c. Trial balance
d. Balance sheet
e. Profit and loss statement
For more information, see the topic Setting Filters on Reports for IFRS.
10. Generate the financial reports as required by your company for IFRS.
11. Generate the following inventory reports as required by your company for
IFRS:
a. Inventory valuation method report

b. Inventory valuation simulation report
c. Inventory audit report
2.15.6.1.1 Setting Up Reference Field Links and UDF
Links for IFRS
1. Context
SAP Business One gives you considerable flexibility to differentiate and analyze
the effect of business transactions in your financial reports, based on values in
reference fields and in user-defined fields (UDFs).
To enable you to record specific source document information with the journal
entries in the accounting system, SAP provides a number of reference fields in
the journal entry to which values can be copied from the source document. A
source document in this context can be any document in SAP Business
One that gives rise to journal entries and therefore affects the financial
accounts.
SAP Business One comes with predefined values for the reference fields –
which differ depending on the source document – but you can overwrite the
predefined values, either when setting up your system (for example, for IFRS
purposes) or when manually creating a journal entry. For example, your
company may need to store varying or additional information as part of journal
entries, either for its day-to-day work or for IFRS or in order to fulfill country-
specific, industry-specific, or legal requirements.
Caution
You can change the reference field and UDF links at any time. However, we
recommend that you set up these links in advance of the financial year in
which you produce IFRS reports and only change the links at the end of the
financial year and prior to the start of the next financial year.
Make sure you discuss and validate these changes with your company account
and partners in relation to how these changes will impact automatic or
semiautomatic reconciliation, bank statement processing, and other financial
processes as well as any partner add-ons or other enhanced functionality such
as formatted search.
Target Fields
The following reference fields are available:
 Ref. 1 (header)
 Ref. 2 (header)
 Ref. 3 (header)
 Ref. 1 (BP row)
 Ref. 1 (row)
 Ref. 2 (BP row)
 Ref. 2 (row)
 Ref. 3 (BP row)
 Ref. 3 (row)
“Header” refers to the header of the journal entry. “BP row” refers to the
journal entry row with the business partner control account. “Row” refers to
the journal entry row with the standard G/L account.
You can also copy to any user-defined field in the journal entry, apart from to
the following combinations of type and structure:
Type Structure
General Link
Type Structure
General Image
Alphanumeri Text
c
Source Fields
With regard to the source fields, you can copy from selected fields in business
documents that create accounting entries. Fields that are automatically copied
to other fields in journal entries – such as the due date, posting date, or
document date – are not available for copying to reference fields as well.
However, with that exception, you may copy from the same source field to
multiple target fields.
Fields that are available for copying from a business document are available as
a dropdown list for each reference field.
Note
You can copy from standard fields or from user-defined fields on header level
only, not on line level.
Special Considerations
There are some special considerations that you need to be aware of for the
documents of payments, landed costs, and inventory transfers as well as for
form settings and user-defined field verification. For more information,
see Reference Field Definition: Special Considerations.
2. Procedure
choose Administration Setup General Reference Field Links.
4. In the Reference Field Links – Setup window, double-click the initial column next to
the business document whose reference links you want to review.
5. In the Reference Field Links – Definition window, review the predefined values for
each reference field and also for any user-defined fields.
In the left column (entitled Field Name), you see the name of the reference
field or user-defined field in the journal entry. In the middle column
(entitled Field Value), you see in a dropdown list the names of the available
fields from the respective document. In the right column (entitled Default
Value), you see the predefined SAP value for that field.
Make adjustments as required.
6. To save your settings, choose Update and choose OK in first the Reference Field
Links – Definition window and then the Reference Field Links – Setup window.
7. Results
From now on, whenever a journal entry is created, the reference fields and any
user-defined fields in the journal entry are filled according to the values you
have defined for the respective document.
Any changes to the reference field links and/or user-defined field links of a
document are indicated by the status Customized in the Reference Field Links
– Setup window, while documents with all default source fields are shown with
the status Original.
2.15.6.1.1.1 Reference Field Definition:
Special Considerations
Before you define reference field links and user-defined field links for journal entries, we
recommend that you consider the features and special cases described below.
Form Settings
In the Form Settings window for journal entries, all of the reference fields for the header
are on the General subtab of the Document tab and the reference fields for the grid are
on the Table Format tab.
Incoming and Outgoing Payments
Ref. 2
The Ref. 2 field in the journal entry is not copied directly from the Reference field in the
payment document. Instead, it is copied from a field that is not visible on the user
interface, the Ref. 2 field in the payments table on the database.
The standard behavior is that SAP Business One copies the field value from the payment
document to the field in the database, and then from the field in the database to the field
in the journal entry. However, if you use a partner add-on that modifies the value of
the Ref. 2 field in the payments table, this logic does not apply.
Ref. 3
The value that is copied to the Ref. 3 field for rows depends on the payment means.
However, if you select a value other than Default in the Reference Links – Definition –
Incoming/Outgoing Payments window for Reference 3 – BP Row or Reference 3 –
Row, this is the value that is then copied to these rows for all payment means.
If you leave the value for rows as predefined by SAP – that is, as Default –, the value
that is copied depends on the payment means, as shown in the following table:
Source Value Copied
BP row Payment number (document number)
Check Check number
Contra payment row Payment number (document number)
VAT correction and discount Payment number (document number)
Rate difference row Payment number (document number)
Credit card payment row Voucher number
Split credit voucher Voucher number/index
Any other row Empty

Landed Costs
The source field Reference 1 in the Reference Links – Definition – Landed

Costs window corresponds to the Reference field in the landed costs document.
The source field Reference 2 that is shown in the Reference Links – Definition –

Landed Costs window is not otherwise visible on the user interface. The only way to edit
the value in this field is through the SAP Business One Software Development Kit (SDK).
Inventory Transfers
The source field Reference 2 that is shown in the Reference Links – Definition –

Inventory Transfers window is not otherwise visible on the user interface. The only way
to edit the value in this field is through the SAP Business One Software Development Kit
(SDK).
Verification of User-Defined Fields
When defining reference links to user-defined fields, you need to ensure the following:
 That the source and target field types match

 That the source and target field lengths match
 That the source and target field values match
 That any truncation due to the target field being shorter than the source field is
acceptable, or else change the definition of the target field
 That the target field is none of the following combinations:
Type Structure
General Link
General Image
Alphanumeric Text
 If the application detects any of these situations, you receive an appropriate system
message.
2.15.6.1.2 Setting Filters on Reports for IFRS
 Context
SAP Business One allows you to filter your financial reports and accounting
reports according to the level of granularity your company requires for IFRS.
You do this by specifying selection criteria for the reference fields and user-
defined fields that were defined in Administration Setup General Reference
Field Links.
 Procedure
1. Open the selection criteria window of one of the following reports:
o General ledger
o Document journal
o Balance sheet
o Trial balance
o Profit and loss statement
2. Choose the Expanded button.
The Expanded Selection Criteria window opens.
3. To the right of the Reference Fields checkbox, click the button or click

the Reference Fields checkbox.
4. In the Reference Fields window, specify the following data for one or more
reference fields:
Field Description
Field Displays the reference field name and position in

the following order:
o Ref. 1 (header)
o Ref. 2 (header)
o Ref. 3 (header)
o Ref. 1 (BP row)
o Ref. 1 (row)
o Ref. 1 (all rows)
This setting applies to both Ref. 1 (BP row) and Ref.
1 (row).
o Ref. 2 (BP row)
o Ref. 2 (row)
o Ref. 2 (all rows)
2 (row).
o Ref. 3 (BP row)
o Ref. 3 (row)
o Ref. 3 (all rows)
3 (row).
Rule To determine how to filter the values for a

particular field, select one of the following from the
dropdown list:
o Equal
o Not Equal
Field Description
o In Range
o Out of Range
o Greater than
o Greater or Equal
o Smaller than
o Smaller or Equal
o Contains
o Does Not Contain
o Start with
o End with
o Is Empty
o Is Not Empty
If you do not want to filter this reference field, do
not specify a rule.
Value Specify the required value for each field that you
filter.
To If the rule that you selected is either In Range,

Value or Out of Range, specify a value. For all other rules,
this field is disabled.
5. Optionally, do one or more of the following:
o To cancel the operation, choose the Cancel button.
o To clear all values in the window, choose the Clear button.
6. To save your settings and to return to the Expanded Selection Criteria window,
choose the OK button.
The Reference Fields checkbox now appears as selected.
7. To set one or more filters based on user-defined fields, click the button to the
right of the User-Defined Fields checkbox or click the User-Defined Fields checkbox,
and proceed as described in steps 3–5 above.
Once you have set filters on user-defined fields, the User-Defined
Fields checkbox appears as selected.
Note
User-defined fields of the following definition types and structures are not
available:
Type Structure
General Link
General Image
Alphanumeri Text
c
8. To return to the selection criteria window, choose the OK button.
 Results
The respective financial reports and accounting reports are generated
according to the rules and values that you have defined in this procedure.
Reports based on these filters have the following features:
 The logical operator between the filters – that is, between the rows in the definition
table – is AND not OR.
 Any filter settings that were made against the All Rows option affect both
accounting entries in the report (BP row and row).
 In the balance sheet, trial balance, and profit and loss statement, the
printed/printable report's selection criteria shows the filters on reference fields
and/or user-defined values that were used to generate the report.
 In the general ledger and document journal, the reference fields and user-defined
values are displayed in the detailed views of the report results. You can
activate/deactivate the display of these fields in the Form Settings window in exactly
the same way as you can for standard fields.
2.15.6.1.3 Finding G/L Accounts to Include in
Financial Reports/Period-End Closing
1. Context
You can specify through detailed selection criteria which accounts should be
included in your company's financial reports and which accounts should be
included in period-end closing.
In the case of financial reports, these selection criteria help you prepare the
reports according to the following groups:
 Common accounts and local G/L accounts = for local GAAP reports
 Common accounts and IFRS G/L accounts = for IFRS reports
To find and select the required accounts, follow the procedure below.
2. Procedure
3. From the SAP Business One Main Menu, choose Financials Financial
Reports Accounting.
4. Open the selection criteria window of one of the following reports, or of the period-
end closing transaction:
Financials — Financial Reports — Accounting
o G/L Accounts and Business Partners
o General Ledger
o Document Journal
Financials — Financial Reports — Financial
o Trial Balance
Financials — Financial Reports — Comparison
o Trial Balance Comparison
Financials — Financial Reports — Budget
o Budget Report
o Trial Balance Budget Report
Administration — Utilities
o Period-End Closing
Alternatively, you can open any of the above reports from the Reports module.
5. To clear previous G/L account selections, click the “x” sign at the top of the accounts
grid.
Note
If you do not clear previous account selections, these are added to the newly
made account selections and the results are displayed cumulatively.
6. Choose the Find button.
7. In the Find G/L Accounts window, select whether you want to identify the relevant
G/L accounts for the report by segment or by G/L account.
If your company does not use account segmentation, skip this step.
8. Depending on what you specified in the previous step, do one of the following:
o Specify by G/L account codes or by G/L account names, or a mixture of both,
which accounts are to be included or excluded in the respective report,
together with the appropriate filtering rules.
Note
If the rule that you have selected is either In Range or Out of Range, you must
specify a value in the To Value column. For all other rules this field is disabled.
Perform one or more of the following actions, as required:
To perform this task... Do this...
Create a new row Right-click an existing row and

choose Duplicate Row.
Alternatively, from the menu bar,
choose Data Duplicate Row.
Delete a row Right-click the row and

choose Delete Row. Alternatively,
from the menu bar,
choose Data Delete.
Note
If the window contains only one
account code row and you delete
this row, you can only create
further account code rows by
choosing Restore. The same
applies if you delete a single
account name row.
Cut/copy, and paste a Click the source cell and

value from one row to choose Cut or Copy. Then click the
another target cell and choose Paste.
Delete a value from a Click the cell and choose Delete.

row without deleting
the entire row
Restore the window to Right-click a row and

its original state, with choose Restore.
one empty row for
account code and
another empty row for
account name
Cancel the current Choose the Cancel button.

operation
Remove all rules and Choose the Clear button.

values, while retaining
the same number of
rows as well as
the Field column
Transfer the specified Choose the OK button.

accounts to the
selection criteria
Note
The relationship between the selection criteria is such that if you specify more
than one row, the OR condition applies.
o Specify according to segments or segment ranges which G/L accounts are to
be included in the report.
This radio button is available only if your company uses account segmentation,
that is, if you have selected the Use Segmentation Accounts checkbox on
the Basic Initialization tab in Administration System Initialization Company
Details.
9. Specify the other selection criteria and verify that the accounts marked with
an “x” in the accounts grid are the ones you require.
10. To apply the specified filters to the report, choose the OK button.
11. Results
G/L accounts are displayed in the financial reports according to the rules and
values, or the segments, that you defined in the Find G/L Accounts window.
Note
The settings you make in the Find G/L Accounts window are retained in the
application until you change them. However, it is not possible to save them as
part of an entire set of selection criteria for the report.
2.16 Cash Flow Forecast Window
SAP Business One, version for SAP HANA provides a cash flow forecast function to let
you view detailed information about your company's incoming and outgoing cash
flows.
To use the cash flow forecast function, in the SAP Business One, version for SAP
HANA toolbar, choose Cash Flow Forecast. The Cash Flow Forecast window appears.
You can choose the Export button in the lower–right area to export the business
object detail to a Microsoft Excel file.
2.16.1 Configuration Area
The accounts are defined as follows:
 A cash account is an account whose Cash Account checkbox is selected in
the Chart of Accounts window.
 A credit account is the account you choose when creating payments using
the Credit Card payment means.
 A check account is the account you choose when creating payments using
the Checks payment means.
The configuration area has the following sections:
 Measure provides five cash-related categories that you can choose to consider in
the overview chart.
Note
Invoices include reserve invoices.
Purchase quotations and sales quotations are not considered.
o Outgoing Cash / Outgoing Transaction includes the following:
 Cash account amounts in outgoing payments and manual journal
entries
 Credit account amounts in outgoing payments and manual journal
entries
 Check account amounts in outgoing payments and manual journal
entries
 Business partner row amounts in outgoing payments and manual
journal entries
 A/P invoices
 A/P credit memos
o Incoming Cash / Incoming Transaction includes the following:
 Cash account amounts in incoming payments and manual journal
entries
 Credit account amounts in incoming payments and manual journal
entries
 Check account amounts in incoming payments and manual journal
entries
 Business partner row amounts in incoming payments and manual
journal entries
 A/R invoices
 A/R credit memos
o Expense Forecast includes the following:
 Cash account amounts in journal vouchers and recurring postings
 Credit account amounts in journal vouchers and recurring postings
 Check account amounts in journal vouchers and recurring postings
 Business partner row amounts in journal vouchers and recurring
postings
 Purchase orders
 Goods receipt POs
 Goods returns
 Blanket agreements
 Drafts of purchase orders, goods receipt POs, goods returns, A/P
down payments, A/P invoices, A/P credit memos, and A/P correction
invoices
 Recurring transactions of A/P invoices and A/P credit memos
o Sales Forecast includes the following:
 Cash account amounts in journal vouchers and recurring postings
 Credit account amounts in journal vouchers and recurring postings
 Check account amounts in journal vouchers and recurring postings
 Business partner row amounts in journal vouchers and recurring
postings
 Sales orders
 Deliveries
 Returns
 Blanket agreements
 Drafts of sales orders, deliveries, returns, , A/R invoices, and A/R
credit memos
 Recurring transactions of A/R invoices and A/R credit memos
o Opening Balance takes into consideration the amounts that occurred before
the starting date you defined in the time bar.
 Criteria provide six criteria that you can choose to consider in the overview chart.
o Recurring Postings consider business partner row amounts only.
o Recurring Transactions
o Blanket Agreements
o Journal Vouchers consider business partner row amounts only.
o Draft Documents
o Consider Delays in Payments takes into consideration the value defined in
the Average Delay field in Business Partner Master Data Payment Terms
 Certainty Level provides choices of various certainty levels of cash flow. Drag the
square icon to change certainty levels. For higher levels, the cash is more certain to
be earned. To customize certainty levels, choose , and in the Certainty Level

Settings window, drag business objects to required certainty levels, and choose
the Save button.
The default settings are as follows:
o Certainty Level 1:
 Cash Accounts display the cash account amounts in payments,
manual journal entries, journal vouchers, and recurring postings.
 Incoming Payments display the amount of business partner rows
only.
 Outgoing Payments display the amount of business partner rows
only.
o Certainty Level 2: Credit displays the credit account amounts in payments,
manual journal entries, journal vouchers, and recurring postings.
 Checks display the check account amounts in payments, manual
journal entries, journal vouchers, and recurring postings.
 A/P Invoices includes A/P invoice documents and drafts.
 A/P Credit Memos includes A/P credit memo documents and drafts.
 A/P Correction Invoices includes A/P correction invoice documents
and drafts.
 A/R Invoices includes A/R invoice documents and drafts.
 A/R Credit Memos includes A/R credit memo documents and drafts.
 A/P Correction Invoices includes A/R correction invoice documents
and drafts.
 Manual Journal Entries display the amount of business partner rows
only.
 A/P Down Payment includes A/P down payment invoices, A/P down
payment requests, and drafts.
 A/R Down Payment includes A/R down payment invoices, A/R down
payment requests, and drafts.
 Goods Receipt PO includes goods receipt PO documents and drafts.
 Goods Return includes goods return documents and drafts.
 Delivery includes delivery documents and drafts.
 Returns include return documents and drafts.
 Purchase Orders: Besides purchase order documents and
drafts, Purchase Orders also include blanket agreements and
business partner row amounts in journal vouchers and recurring
postings.
 Sales Orders: Besides sales order documents and drafts, Sales
Orders also include blanket agreements and business partner row
amounts in journal vouchers and recurring postings.
2.16.2 Company Overview
The upper area provides a time bar of two years from the current date for you to
specify a time range or date.
 To make the time range longer or shorter, drag to the required date.
 To apply the same length of time range to a different period, drag the shaded
time range to the required period.
The lower part is a chart with bars and a line showing the incoming, outgoing,
and net cash amount in the required period. The three kinds of amounts are
displayed accumulatively. For example, the incoming cash flow for today is $50,
and the incoming cash flow for tomorrow is $30; therefore, the incoming amount
displayed for tomorrow is $80.
Note
The following documents are split according to their installment settings:
 Sales order documents and drafts
 Purchase order documents and drafts
 A/R down payment request documents, A/R down payment request drafts, and
A/R down payment invoice drafts
 A/P down payment request documents, A/P down payment request drafts, and
A/P down payment invoice drafts
 A/R invoice drafts
 A/P invoice drafts
 A/R correction invoice drafts
 A/P correction invoice drafts
For most documents, the forecast date is the delivery date or due date of the document
or installment. For the following documents, the forecast date is calculated according to a
set of priorities:
 Recurring transactions
 Sales order documents and drafts
 Purchase order documents and drafts
 Delivery documents and drafts
The calculation priorities are as follows:
1. The installment date setting if the document is listed in the previous note
To set the installment date, on the Accounting tab of the document, choose the link
button beside the Installments field. The Installments window appears, displaying the
installment date setting from the selected payment terms. You can change the
installment date if required. The forecast date of each installment will be set to the date
you specified in the Installments window.
If there is no such field named Installments on the Accounting tab, choose the link
button beside the Payment Terms dropdown list, and in the Payment Terms - Setup
window, choose the link button beside the No. of Installments field. In
the Installments window, specify numbers in the Month and Days columns for a specific
installment.
Example
The delivery date or due date of the document is 2012.08.15. If there is no such field
named Installments on the Accounting tab, the forecast date will be calculated
according to the numbers you specified in the Installments window by choosing the link
button beside the No. of Installments field in the Payment Terms - Setup window. For
the first installment, you entered 1 and 14 in the Month and Days columns. The forecast
date of the first installment will be calculated as 2012.(08+1).(15+14), and thus set
to 2012.09.29.
2. The Manually Recalculate Due Date setting of the document
To define the Manually Recalculate Due Date setting, on the Accounting tab of the
document, select the options in the Manually Recalculate Due Date dropdown list, and
enter numbers in the Months and Days fields:
o Month End: the last day of the current month
o Half Month: the 15th of the current month
o Month Start: the first day of the next month
o <empty>
Example
The date after the previous round of calculation is 2012.09.29. You select Month End in
the Manually Recalculate Due Date dropdown list, and enter 1 and 2 in
the Months and Days fields, respectively. The forecast date will be calculated as 2012.
(09+1).(30+2), and thus set to 2012.11.02.
3. The Payment Date setting of the business partner
To define the Payment Date setting of the business partner, from the SAP Business
One, version for SAP HANA Main Menu, choose Business Partner Master
Data Payment Terms Payment Dates, and in the Payment Dates window, enter
numbers between 1 and 31 inclusive.
Example
You enter the following numbers in the Payment Dates window respectively:10, 5, 25, 20,
and 30.
When you open the window again, the dates will be automatically sorted
as: 5, 10, 20, 25 and 30.
The date after the previous two rounds of calculation is 2012.11.02. The forecast date will
be set to 2012.11.05, because the number 2 falls between 0 and 5.
4. The Holidays setting of the company or the business partner
o If the document is in the Purchasing - A/P module, the forecast date is
calculated according to the Holidays setting of the company.
To define the Holidays setting of the company, choose Administration System
Initialization Company Details Accounting Data Holidays. If the date after the
previous three rounds of calculation falls on a holiday date, the forecast date will be set to
the next working day.
o If the document is in the Sales - A/R module, the forecast date is
calculated according to the Holidays setting of the business partner.
To define the Holidays setting of the business partner, on the Payment Terms tab of the
business partner, choose the holidays in the Holidays dropdown list. If the date after the
previous three rounds of calculation falls on a holiday date, the forecast date will be set to
the next working day. If you do not select any holiday in the dropdown list, the forecast
date will still be the date after the previous three rounds of calculation.
5. Example
6. The date after the previous three rounds of calculation is 2012.11.05, and the
document is in the Purchasing - A/P module. According to the Holidays setting
of the company, 2012.11.05 is a holiday date of year 2012, so the forecast date
will be set to 2012.11.06.
7. The delays in payments if you select the Consider Delays in
Payments checkbox in the Configuration area
To define the delays in payments, from the SAP Business One, version for SAP
HANA Main Menu, choose Business Partners Business Partner Master
Data Payment Terms, and in the Average Delay field, enter a number.
Example
The date after the previous four rounds of calculation is 2012.11.06, and the value in
the Average Delay field on the Payment Terms tab of the business partner is 5. The
forecast date will be set to 2012.11.11.
2.16.3 Business Object Details
The Consider Business Objects table lists all the business objects that satisfy
your selections in the Configuration area.
For detailed information about the scope of each business object, see
the Certainty Level part in Configuration Area.
In the table, to see detailed information of a specific business object, choose

the link button in the No. of Document column of the business object.
The Document Details window appears, displaying a list of documents with
their information. In the Document Details window, you can choose the link
button in the Original Doc. column to see the document, and
the Export button to export the document details to a Microsoft Excel file.

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SAP | Financial Module

Module Analysis Document

This document contains material which is a proprietary property of and confidential to

1.1 Document Purpose

Documenting SAP | Financial Module functionalities, their

2.1 Chart of Accounts

3- Delete any unnecessary accounts.

2.1.1 Creating G/L Accounts

Automatically Generating a G/L Account

1. From the SAP Business One Main Menu, choose Financials Edit Chart of

 The G/L Account Location section displays the current location

4. In the Drawer, Parent Article, and Loc. in Drawer fields, specify the

 The account moves to the specified location.

5. To save the change, choose Update.

Deleting G/L Accounts

2.1.3 Chart of Accounts Windows

2.1.3.1 Chart of Accounts Window

2.1.3.2 G/L Account Details Window

Balance Sheet Categories - Setup Window

To open the window, choose Financials Chart of Accounts Account Details. In

 Profit and Loss Categories - Setup Window

 Other Categories - Setup Window

To open the window, choose Financials Chart of Accounts Account

Edit Chart of Accounts - Selection Criteria Window

To open the window, choose Financials Edit Chart of Accounts.

Use this window to maintain an account or accounts you filtered in the Edit

Edit Chart of Accounts Window

G/L Account Details

G/L Account Location

Location in the chart of accounts, according to:

Add Sub-Level Acct

Adds a lower-level account under the marked account.

This button displays only if the option Use Segmentation

Add Same-Level Acct

This button exists only if the option Use Segmentation

2.2 Journal Entry

2.2.1 Creating Journal Entries Manually

1. From the SAP Business One Main Menu, choose Financials Journal

The Journal Entry window opens in Add mode.

2. In the header fields, enter the relevant transaction information, such

3. In the table area, enter accounting information, including amounts

1. From the SAP Business One Main Menu, choose Financials Journal

The following message appears: Create reversal for this transaction?

The Journal Entry window displays the reversed transaction. The dates

The transaction is a manual journal entry of type JE (displayed in

1. From the SAP Business One Main Menu, choose Financials Journal

3. From the menu bar, choose Data Cancel.

The following message appears: Create reversal for this transaction?

The reversed transaction is added to the database. SAP Business

Use this window to display journal entries. The fields in the General

To open the window, choose Financials Journal Entry.

Entry number allocated by the system according to the selected numbering

Enter any relevant information regarding the journal entry.

If the transaction is an outgoing payment that has been generated by the

The payment run name is copied from the Payment Wizard, General

Origin, Origin No., Trans. No.

 The Origin field displays the abbreviated name of the original journal.

Choose to display the document that generated the transaction.

 The Trans. No. field displays the automatically assigned number of

Choose Template Type (percentage or recurring) and in the Template

You can link a transaction to a previously defined project and use it as

In reports, if you want to revalue the postings in foreign currency with an

This option is selected by default if the option Use Automatic

This checkbox is enabled only if the Automatic Tax checkbox is selected.