Parle Agro Private Limited Implementation Project

Prepared by – Mr. Narayan Mohta Wipro – FICO Consultant

Contents
Accounts Payable Accounting: Master Data Accounts Payable Accounting Down Payments Accounts Payable Accounting Posting Invoices Accounts Payable Accounting Invoice and Payment with Clearing Payment Program Accounts Receivable Accounting Master Data Accounts Receivable Accounting Down Payments Accounts Receivable Accounting Posting Accounts Receivable Accounting Account Maintenance General Ledger Accounting Master Record Closing Operations Accounting Document and Ledger details Printing Assets Accounting 3 8 15 21 29 37 41 47 53 58 64 83 86

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Master Data in Accounts Payable Accounting
Purpose
All business transactions are posted to and managed by means of accounts. You have to create a master record for each account that you need. The master record contains data that controls how business transactions are entered in the account and how posting data is processed. In the master record, you can also store all the data that you need for conducting business with the vendor. Vendor master records are used by both the financial accounting department (accounts payable processing) and the purchasing department (MM) in your company. This document, however, only discusses the general data in vendor master records and the financial accounting aspect of these.

Prerequisites
The settings have been made for accounts payable accounting.

Process Flow
You can execute the following transactions in master data processing
• Create

• • • • •

Change Display Block/unblock Mark for deletion Display changes

Result
Vendor master records have been created and can be posted.

Creating a Vendor Master Record
Procedure
1. Call up the transaction as Menu path Transaction Code 2. follows: Accounting → Financial Accounting → Accounts Payable → Master Records → Create FK01

In the Create Vendor: Initial Screen, enter the required data. Field name Description Vendor R/O/C R/O User action and values 1115 Comment Example: Vendor account

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Field name Description Customer Trading partner R/O/C O O User action and values (Customer) Comment Only if clearing required Only if the company is an affiliated company Choose Enter.number as it is external number assignment Company code Account group R R PAPL PAPL Exter. no. enter the required data. R R O R O 522000 / Bangalore IN 10 .Karnataka English 080-565998 In the Create Vendor: Control screen. assgnment Choose Enter. 4. In the Create Vendor: Address screen. 3. if you are going to use the Automatic Payment Program Example Example Assign Vendor State Example Example Postal code/City Country Region Language Telephone Choose Enter. Field name Description Name Search term 1 Street/house number R/O/C R R O User action and values Ambala SarabhaiEnt Ltd Ambala Mahatma Gandhi Road Comment Example Example Example This is field must be filled. enter the required data. Confidential Page 4 of 112 .

5. Field name Description Payment terms R/O/C O User action and values 0001 Comment Select from the list the which is mostly used for this vendor If required Payment methods Choose Enter. If the Bank details are not maintained in the system earlier. 7. 6. Field name Description Country Bank key Bank account Account holder Collection authority Alternative payee R/O/C O O O O O O User action and values IN SBI 1234567 Ambala SarabhaiEnt Ltd Comment Example Example Vendor Bank Account Example Example Only if payment is to be made to a different vendor Choose Enter. enter the required data. enter the required data. O C Confidential Page 5 of 112 . In the Create Vendor: Accounting Information Accounting screen. enter the required data (if you require bank details).Domestic Comment Select the suitable Reconciliation Account Select from the list Sort key R 001 Choose Enter. system proposes the pop window to enter the Bank name and address. In the Create Vendor: Payment Transactions Accounting screen. Field name Description Reconciliation account R/O/C R User action and values 13110000 – Payable for Services . In the Create Vendor: Payment Transactions screen.

system will not hold the tax Select based on the type of vendors.8. enter the required data. if the vendor subject to with holding tax: Field name Wth. Field name Description Accounting clerk Account with vendor Clerk at vendor Accounting clerk’s telephone number R/O/C O O O O User action and values Comment Example Example Example Example 9. In the Create Vendor: Correspondence Accounting screen. In the Create Vendor: Withholding Tax Accounting screen for the country IN make the following entries.Type Type of recipient O CO – Corporates OT – Others GO – Government / no GO W/TaxID Tax identification no O Exemptio n number Exemption Key O Confidential Page 6 of 112 . Type W/Tax Code Liable Description With holding Tax Type R/O/C O User action and values Comment Select from the list based on the type of service Select from the list based on the rate of deduction If tax is deductible then activate the check box Even though you assigned the Withholding tax Type and Withholding tax code.tax. if the check box not selected. Based on this TDS challan will be updated Maintain the relevant Tax identification number If the vendor obtains the TDS exemption from Withholding Tax Code O Liable O Rec.

only then should you maintain the above details System allows the multiple withholding tax codes. If withholding tax not applicable to the particular transactions. If you choose an account group with internal number assignment to create the vendor account. Result The vendor master record has been created under the number you entered. Save your entries. without assigning any values in the Withholding Tax Accounting details tab.the Tax Authorities assign the same Exem % Exemptio n Reason Exempt From Exempt To Descripti on Exemption percentage Reason for exemption Date from which exempted Date to which exempted Description of with holding tax Type O O O O O Percentage of Exempted Exempted Reason Date valid from Date valid upto Defaulted from the Withholding tax type If the vendor services / supplies subject to with holding tax. Create another Vendor Master Record with Vendor ID .1115. 10. the system automatically assigns the next available number in the corresponding number range that has been assigned to the account group. You can maintain all the applicable withholding tax codes. System proposes the tax codes assigned in the master record automatically at the time of document processing. the same Withholding tax type and withholding tax code can be removed before posting the document. Confidential Page 7 of 112 .

You first create a down payment request manually.Down Payment Processing Purpose Processing vendor down payments in a company involves many different transactions. This scenario explained without considering the Withholding tax. Once the down payment request has been created. You have two types of withholding tax types defined in the system i.e. This is a purely statistical document that you require to enable the system to post the down payments to your vendor automatically using the payment program or you can make the payment manually. Use the applicable tax codes. you can enable the system to post the down payments in the next automatic payment run. If the vendor invoice is later posted manually. withholding tax type to deduct the TDS at the time of invoice liability and Withholding tax type to deduct the TDS at the time of Advance Payment. Process Flow This scenario shows the following steps • • • • Create Down Payment Request Post Down Payment Post Vendor Invoice Clear Down Payment Down Payment Request Use Create a down payment request to make the down payment to the vendor. Procedure 1. Prerequisites Vendor master record must be created using the “Accounts Payable Accounting: Master Data” and do not maintain any values in the Withholding Tax Accounting details screen. Access the transaction choosing one of the following navigation options: SAP R/3 Menu Transaction code Accounting → Financial Accounting → Accounts Payable → Document Entry → Down Payment → Request F-47 2. On the Down Payment Request: Header Data screen. some of which can be carried out automatically by the system. make the following entries: Field name User action and values Comment Confidential Page 8 of 112 . the invoice is cleared with the down payment that has already been posted so that only the difference remains to be paid to the vendor. the tax need to be deducted at the time of payment or at the time of invoice liability booking which ever is earlier. If the Vendor services or supplies are subject to withholding tax.

Today’s date Today’s date KA PAPL INR Request 453 1115 A Enter the Target Advance Payment Special G/L indicator to be posted at the time of clearing the down payment request.Pl/Secn. To post the down payment request document Choose Document Post.Sp. Choose Enter. On the Down Payment Request: Add Vendor Item screen choose the Withholding tax push button. If the transaction is not relevant for withholding tax. Result The system displays the message Document 170000000x was posted in company code PAPL. System will display the pop window Enter Withholding tax Information. On the Down Payment Request: Add Vendor Item screen make the following entries: Field name Amount Bus. 4.Code Due On Text User action and values 25000 Leave blank Today’s date + 1 Advance Payment to the Vendor Enter Section code. if the vendor is subject to withholding tax Due date of the down payment Enter the relevant text applicable to this line item Comment 5. remove the withholding tax code in the pop up screen and choose Enter. Example Document 1700000000 was posted in company code PAPL Confidential Page 9 of 112 .G/L ind. Make a note of the document number. With holding Tax codes will be default from the vendor master record. 6. Advance Payment reference text Vendor document Parle Agro Pvt Ltd 3.Document Date Posting Date Document Type Company Code Currency Reference Account Trg.

Advance Payment reference text Bank Payment SBI Comment Parle Agro Pvt Ltd 3. Choose the Create Down Payments push button 6. Procedure 1.G/L ind. On the Post Vendor Down Payment: Header Data screen make the following entries Field name Document Date Posting Date Type Company Code Currency Reference Account Sp.Amount Value date Bank -Text User action and values Today’s date Today’s date KZ PAPL INR Adv Payment 453 1115 A 24520100 25000 Today’s date C. On the Post Vendor Down Payment: Choose Requests screen select the down payment line item 5.Posting Down Payment Use Down payments to vendors can be posted automatically using the payment program or manually. Choose the push button Requests to process further 4. Bank – Account Bank . Access the transaction choosing one of the following navigation options: SAP R/3 Menu Transaction code Accounting → Financial Accounting → Accounts Payable → Document → Down Payment → Down Payment F-48 2. if required can be changed Enter the relevant reference data as required Enter the Special GL Indicator. To save the document. 100 Today’s date defaulted by the system. Result The system displays the message Document 1500000000 was posted in company code PAPL. Confidential Page 10 of 112 . use the menu Document → Post or press Ctrl+S.No. The process demonstrated is manual down payment. System will display the overview of the document to be posted. 7. Make a note of the document number.

Enter the following basic data: Field name Vendor Invoice Date Posting Date Reference Amount Currency Calculate Tax Bus.Tax Deduction at the time of invoice posting has been defaulted from the vendor master record Example . If the Company code is not defaulted use the following option to assign PAPL as the company code.Withholding tax type . choose Edit → Change Company Code.Tax Name of W/hld.Tx Typ Blank Confidential Page 11 of 112 .Example Document 1500000000 was posted in company code PAPL Posting an Invoice 1. To change the company code.Withholding Tax Type .Tx Typ Blank leave blank Stationery and other materials User action and values 1115 Today’s date Today’s date RE1210 50000 INR Comment Ambala Date of the vendor invoice Posting date in the SAP system Vendor’s invoice number Invoice amount Document/invoice currency The system calculates the input tax. 4. choose the following menu path: SAP R/3 Menu Transaction code Accounting → Financial Accounting → Accounts Payable → Document Entry → Invoice FB60 2. if required Enter the Section code if the vendor is subject to withholding tax Enter the Text for the line item The Withholding Tax Type / W/Tax Code defaulted from the Vendor Master Record Example . To post a vendor invoice for office supplies. Enter the following data if it is not already defaulted in the system: Field name Company Code User action and values PAPL Comment Parle Agro Pvt Ltd 3.Place/Sectn Text Withholding Tax Tab Name of W/hld.

194C-2. To post the document into the system use menu path Document → Post or Choose Post (Ctrl+S). 7. Curr. . Tax Code Jurisdiction Code Text Cost Center User action and values 58102000 Debit 50000 V0 IN00 Stationery Items purchased Example 1201-Purchasing Enter the gross amount.Deduction at the time of payment posting has been defaulted from the Vendor master record W/tax Code Blank Example –I1-INV-CONTS.194C-2. System will default automatically while posting the document. This tax will be used to deduct the tax at the time of payments. Example . If tax to be withheld on modified base amount use has to change the amount. If the services / supplies are not relevant for TDS remove withholding tax code I1.10%. The system calculates the input tax automatically. If the invoice is subject to withholding tax keep the Withholding Tax code on invoice posting. Confidential Page 12 of 112 . CORP. If required you can change the default value. If the Withholding tax information is not maintained in the Vendor Master Record.CORP-TDS SEC. FC Blank Other Field Values defaulted by the system in the Payment Tab (baseline date and Payment Terms). To check the document before it is posted. Enter the following data for the item: Field name G/L Acct D/C Amount in Doc. Remove the P1 as tax deducted using the I1. System will calculate the Tax to be withheld based on the Tax code.PAY-CONTS. the amount entered in the basic Data.20%. system will not display any data in the Withholding Tax tab 5. if the cost accounting assignment as applicable Comment Office supplies 6. W/tax Code Blank W/Tax Base FC Blank With / tax Amt. Input Tax Zero Jurisdiction code IN00 Enter the line item relevant text Enter the valid cost center.System defaulted P1.TDS SEC. choose Simulate (F9).

the posted document is displayed in the document overview along with all the document header information (such as the document number. such as the terms of payment. Double-Click one of the posting lines (or choose the magnifying glass icon) to display the details for that posting line. To display the posted invoice document. Example Document 1900000000 was posted in company code PAPL Displaying a Document 1. On the screen that follows. and the individual posting lines). You can then choose Display → Change (Shift+F1) to switch to the change mode and change certain details in the document. are the sequential document numbers posted by the system. Make a note of the invoice document number.8. Alternatively. If you detected an error when posting the document. invoice date. position the cursor on the posting line you require and choose Change Row (Ctrl+Shift+F11). or tax codes. 9. Confidential Page 13 of 112 . posting date. the system outputs the message: Document 1900000000 was posted in company code PAPL. You cannot change vendor or G/L accounts. At the bottom of the screen. choose the following menu path: SAP R/3 Menu Transaction code Enter the following data: Field name Document Number Company Code Fiscal Year Choose Enter. To do so. User action and values 1900000000 PAPL Current year Comment Accounting → Financial Accounting → Accounts Payable → Document → Display FB03 Enter the document number you noted previously. Results You have posted the vendor invoice in Financial Accounting. amounts. tax amounts. you have to reverse it. you can also go directly from the document overview to the change mode of a posting line.

Choose Post. Choose Process Down Pmnts. in a later payment run. a message appears requesting you to correct the marked line items.Down Payment Clearing You now want to clear the down payment with the invoice so that. and then choose Save. The system now displays the document overview. The system displays the message Document 1700000001 was posted in company code PAPL. and enter the text Down payment clearing. Choose the down payment document by clicking it twice. SAP R/3 Menu Transaction code 1. Choose the line item highlighted in color by double-clicking it. Comment Accounting → Financial Accounting → Accounts Payable → Document Entry → Down Payment → Clearing F-54 2. The down payment document created by the payment program is then displayed. Confidential Page 14 of 112 . At the bottom of the screen. Enter the following selection data: Field name Document Date Posting Date Company Code Currency Vendor Relevant Invoice User action and values Today’s date Today’s date PAPL INR 1115 1900000000 Enter the document number of the invoice that you have posted. only the open difference remains to be paid.

how to reverse this invoice. Once you have posted the invoice. Prerequisites SAP R/3 component involved: SAP FI and. Choose Enter. To post a vendor invoice.Posting and Reversing an Invoice Purpose You receive vendor invoices that must be posted manually in the SAP system. corrected document in the system. Create Vendor Master manually. you display the posted document. Process Flow This scenario shows you how to enter a vendor invoice for office supplies in the SAP system and. If an invoice has been posted to the wrong account or with the wrong amount. If you detect any errors. you have to reverse the document and post a new. depending on where the invoice is created. you have to reverse this invoice. Posting an Invoice 1. if necessary. choose Edit → Change Company Code. This enables you to check whether you have posted the document correctly. User action and values PAPL Comment Parle Agro Pvt Ltd 4. Each day. Enter the following data if the company code PAPL is not defaulted in the system: Field name Company Code 3. To change the company code. you receive vendor invoices that you have to post manually in the SAP system. SAP LO-MM. Enter the following basic data on the Enter Vendor Invoice: Company Code PAPL screen: Confidential Page 15 of 112 . if necessary. access the transaction choosing one of the following navigation options: Menu path Transaction code Accounting → Financial Accounting → Accounts Payable → Document Entry → Invoice FB60 2.

Tx Typ W/tax Code W/tax Code Blank Example -System defaulted P1. -TDS SEC. -TDS SEC.Tax Deduction at the time of invoice posting has been defaulted from the vendor master record Example . CORP.20%.PAY-CONTS. System will calculate the Tax to be withheld based on the Tax code. If the Withholding tax information is not maintained in the Vendor Master Record.Tx Typ User action and values 1115 Vendor Invoice Date Today’s date RE1210 25000 INR KR01 Supply of services Comment Date of the vendor invoice Posting date in the SAP system Vendor’s invoice number Invoice amount Document/invoice currency Select from the drop down Section Code Enter the text as a reference The Withholding Tax Type / W/Tax Code defaulted from the Vendor Master Record INVCONTRACTORS.Withholding tax type .CORP-TDS SEC.Place /Section Code Text Withholding Tax Tab Name of W/hld. Name of W/hld.Withholding Tax Type . This tax will be used to deduct the tax at the time of payments.194C Example .TDS SEC.I1-INV-CONTS.10%. System will default automatically while posting the document. If the invoice is subject to withholding tax keep the Withholding Tax code on invoice posting. system will not display any data in the Withholding Tax tab Confidential Page 16 of 112 . If required you can change the default value. . If the services / supplies are not relevant for TDS remove withholding tax code I1.Tax Deduction at the time of payment posting has been defaulted from the Vendor master record Example . If tax to be withheld on modified base amount use has to change the amount.194C-2. FC Blank Other Field Values defaulted by the system in the Payment Tab (baseline date and Payment Terms). W/Tax Base FC Blank With / tax Amt. the amount entered in the basic Data.194C PAYMENTCONTRACTORS. Remove the P1 as tax deducted using the I1.Field name Vendor Invoice Date Posting Date Reference Amount Currency Bus.194C-2.

then only Jurisdiction Code need to be entered Printing of Packing Materials 110 Enter the relevant Text for the line item Management Jurisdiction Code Text Cost Center 6. are the sequential document numbers posted by the system. Zero % Input Tax. including the Withholding Tax to be posted.Manufacturing. 7. If required. If the GL Account 58100000. F5312 Confidential Page 17 of 112 . At the bottom of the screen. Tax Code Debit 25000 V0 Enter the gross amount. Choose Post or (Ctrl+S). Enter the following data for the item: Field name G/L Acct User action and values 58100000 Comment Stationery. on the screen. Printing . the system outputs the message: Document 1900000001 was posted in company code PAPL. The system calculates the input tax automatically. you can edit the line items by using the Reset pushbutton. Curr.5. select the relevant General Ledger account to be posted D/C Amount in Doc. choose Simulate (F9). is relevant for Taxes. Make a note of the invoice document number. To check the document before it is posted. is relevant for Taxes. This enables you to display the document. 8. then only tax code need to be entered Federal Tax Jurisdiction. Document 1900000000 was posted in company code PAPL Message no. If the GL Account 58100000.

posting date. Base Line date. Double-click one of the posting lines (or choose the magnifying glass icon) to display the details for that posting line. and the individual posting lines) including the input tax line. invoice date. position the cursor on the posting line you require and choose Change Row (Ctrl+Shift+F11).Displaying a Document 2. or tax codes. (1900000001) Parle Agro Pvt Ltd Example – 2005 On the screen that follows. amounts. which is posted automatically. the posted document is displayed in the document overview along with all the document header information (such as the document number. Alternatively. tax amounts. To display the posted invoice document. You can then choose Document → Display <-> Change (Ctrl+F1) to switch to the change mode and change certain details in the document. On the Display Document: Initial screen. enter the following data: Field name Document Number Company Code Fiscal Year Choose Enter. you can also go directly from the document overview to the change mode of a posting line. you have to reverse it. access the transaction choosing one of the following navigation options: Menu path Transaction code Accounting → Financial Accounting → Accounts Payable → Document → Display FB03 3. User action and values 1900000001 PAPL Current year Comment Enter the document number you noted previously. You cannot change vendor or G/L accounts. Confidential Page 18 of 112 . If you detected an error when posting the document. such as the terms of payment. Assignment and Text can be changed. To do so.

Confidential Page 19 of 112 . To do so. The original document should not contain any cleared line items. Choose Post (Ctrl+S) to post the reversal document. Document 1700000002 was posted in company code PAPL Note that a document that has been reversed cannot be reversed a second time. choose Display Before Reversal (F5). You can use the search help function to find the number of the document to be reversed if you have forgotten it. access the transaction choosing one of the following navigation options: Menu path Transaction code 2. To reverse a vendor invoice. The system displays the message Document 1700000002 was posted in company code PAPL. Enter the following data: Field name Document Number Company Code Fiscal Year User action and values 19000000xx PAPL Current year Comment Accounting → Financial Accounting → Accounts Payable → Document → Reverse → Individual Reversal FB08 Document number of the document to be reversed (1900000006) Parle Agro Pvt Ltd The document number -1900000001 posted on 09-08. the document is posted under today’s date. You can display the document again to check it before you reverse it. Make a note of the document number.Reversing a Document 1. Choose Find Documents (Shift+F8).2005 and the Fiscal Year is 2005 Reversal in current period Reversal Reason 01 If you do not enter a posting date.

The document reversal date (in the Clearing field) and the reversal document number (clearing document) are displayed in the vendor item in the detail screen. access the transaction choosing one of the following navigation options: Menu path Transaction code 2. you can see the original invoice document number that was reversed with this document. Confidential Page 20 of 112 . Enter the following data: Field name Document Number Company Code Fiscal Year User action and values 1700000002 PAPL Current year Comment Accounting → Financial Accounting → Accounts Payable → Document → Display FB03 Enter the document number you noted previously. Double-click item 1. the posted reversal document is displayed in the document overview along with all the relevant information. The document header of the reversal document contains the number of the reversed invoice document. (1700000002) Parle Agro Pvt Ltd 2005 – Fiscal year in which document was posted 3. In the document header (Reversal document for). On the screen that follows. To display the reversal document that has been posted.Displaying a Reversal Document 1. Choose Enter. The document header of the invoice document contains the number of the reversal document.

Display the Payment Document 4. Confidential Page 21 of 112 User action and values PAPL Comment Parle Agro Pvt Ltd Formatted: Bullets and Numbering . To change the company code.Accounts Payable Accounting Invoice and Payment with Clearing Purpose This scenario describes the process of issuing a vendor invoice and explains how the invoice is paid by check Process Flow The process is divided as follows: 1. Outgoing Payment 3.Choose Enter.Enter the following data if the company code PAPL is not defaulted in the system: Field name Company Code 3. Prerequisites SAP R/3 component involved: SAP FI and. depending on where the invoice is created. SAP LO-MM. Create Vendor Master manually without Withholding Tax Assignment. Procedure 1.Access the transaction choosing one of the following navigation options: Formatted: Bullets and Numbering SAP R/3 menu Transaction code Accounting → Financial Accounting → Accounts Payable → Document Entry → Invoice FB60 Formatted: Bullets and Numbering 2. if necessary. choose Edit → Change Company Code. The invoice can also be posted from MM module. Create a vendor invoice 2. Display the Vendor Account 1 Posting Vendor Invoice Use Post the Vendor liability by using the Financial Accounting – Accounts Payable Invoice posting option.

keep the Withholding Tax Codes as blank. This tax will be used to deduct the tax at the time of payments. Blank System defaulted P1.Tax Deduction at the time of invoice posting has been defaulted from the vendor master record Withholding Tax Type . the amount entered in the basic Name of W/hld.194C-2.CORP-TDS SEC. the following values will be defaulted from the vendor master record and enter the following values.Tx Typ W/tax Code W/tax Code W/Tax Base FC Blank Confidential Page 22 of 112 .PAY-CONTS. If the invoice is subject to withholding tax keep the Withholding Tax code on invoice posting. . Enter the text as required Comment Formatted: Bullets and Numbering Supply of services If the Vendor is subject to Withholding tax.Tax Deduction at the time of payment posting has been defaulted from the Vendor master record I1-INV-CONTS. if the vendor liability is subject to withholding tax deduction. Field name Withholding Tax Tab Name of W/hld.Place /Section Code Text User action and values A2000 Vendor Invoice Date Today’s date RE1210 30000 INR KR01 Date of the vendor invoice Posting date in the SAP system Vendor’s invoice number Invoice amount Document/invoice currency Select from the drop down Section Code.194C-2. If the services / supplies are not relevant for TDS remove withholding tax code I1.Enter the following basic data on the Enter Vendor Invoice: Company Code PAPL screen: Field name Vendor Invoice Date Posting Date Reference Amount Currency Bus. If the vendor is not relevant to Withholding tax.4. System will default automatically while posting the document.10%. Remove the P1 as tax deducted using the I1. CORPTDS SEC.20%.Tx Typ User action and values Comment The Withholding Tax Type / W/Tax Code defaulted from the Vendor Master Record Withholding tax type .

Enter the following data for the item: Field name G/L Acct User action and values 58100000 Comment Stationery. F5312 Confidential Page 23 of 112 . you can edit the line items by using the Reset pushbutton. Zero % Input Tax. 7.Manufacturing. on the screen. including the Withholding Tax to be posted.To check the document before it is posted. Other Field Values defaulted by the system in the Payment Tab (baseline date and Payment Terms). If required. If the GL Account 58100000. is relevant for Taxes. If tax to be withheld on modified base amount use has to change the amount. Curr. where xx are the sequential document numbers posted by the system. FC Blank System will calculate the Tax to be withheld based on the Tax code. Tax Code Debit 30000 V0 Enter the gross amount. Make a note of the invoice document number. At the bottom of the screen. With / tax Amt. then only tax code need to be entered Federal Tax Jurisdiction. then only Jurisdiction Code need to be entered Printing of Packing Materials 110 Enter the relevant Text for the line item Management Formatted: Bullets and Numbering Jurisdiction Code Text Cost Center 6. Choose Post or (Ctrl+S). If the GL Account 58100000. 5. Document 1900000002 was posted in company code PAPL Message no. choose Simulate (F9). select the relevant General Ledger account to be posted Formatted: Bullets and Numbering D/C Amount in Doc. Printing . the system outputs the message: Document 1900000002 was posted in company code PAPL.Data. is relevant for Taxes. If required you can change the default value. The system calculates the input tax automatically. This enables you to display the document.

NO. Enter common text for all line items in the document This text will be transferred to the clearing line item Doc.100 Document Currency Enter reference text. Automatic Payment Program. Access the transaction choosing one of the following navigation options: SAP R/3 menu Transaction code Accounting → Financial Accounting → Accounts Payable → Document Entry → Outgoing Payment → Post F-53 2. The payment can be made in the system Manual Outgoing payment. Procedure 1. Post +Print.Outgoing Payment Use Using this activity Vendor Open item will be cleared by making the outgoing payment. etc. On the Post Outgoing Payments: Header Data screen. If you are using bank wise document types use the relevant document type. Document Type R KZ – Vendor Payment Company Code Currency Reference Company Code Document currency Reference R R O PAPL INR C. In the present process Manual outgoing payment with Standard payment process is being used. Header Text Document Header Text O Payment to Vendor Clearing Text Text for the clearing line item O Confidential Page 24 of 112 . make the following entries: Field name Document Date Posting Date Description Document Date Posting date of the document Document type to be used R/O/ C R R User action and values Today’s date Today’s date Comment Enter the document date Enter the document posting date Defaulted by the system. Say Cheque no.

System will open a commend box for all the open line items. If all are in active mode Select from menu Settings → Commends on/ off. 8. Using the Editing options user defaults for open items processing can be set as selected or de-selected. 6.Bank Data Account Bank Account R 24510000 – Cheques on hand and Remittance in Transi 30000 Today’s date Payment to Vendor General Ledger Account where bank postings are to be made Amount payable to the vendor Amount Value Date Text Amount to be paid Value date Line item text O R O Open Item Selection Account Vendor Account Number R 1115 Vendor Account to whom outgoing payment is to be made Account Type of the Account assigned Default Standard OIs check box is activated. T. by double click on the line item Amount. On the Post Outgoing payments. Select the line item. Ensure the ‘amount not assigned’ to Zero. With this option system will not propose the line items initially as selective. 7.code – FB00. choose menu Document → Simulate. Account Type Account type R K Standard OIs Type of Open Items X Activate 3. Enter the -* in the Commend box. under open Items tab select the check box for “Selected items initially inactive”. Confidential Page 25 of 112 . Choose the Process Open Items push button 4. check the line items are selected (active ) or not selected. If required change the amount entered in the bank line item. 5. in right and bottom side of the screen. Process Open Items screen. To check the document before it is posted.

the system outputs the message: Document 15000000xx was posted in company codePAPL. access the transaction choosing one of the following navigation options: Menu path Transaction code Accounting → Financial Accounting → Accounts Payable → Document → Display FB03 Formatted: Bullets and Numbering Formatted: Bullets and Numbering 2. Confidential Page 26 of 112 . Example Document 1500000001 was posted in company code PAPL. where xx are the sequential document numbers posted by the system. enter the following data: Field name Document Number User action and values 1500000001 Comment Company Code Fiscal Year 3.To display the posted invoice document. Based on the document type you selected. and the individual posting lines) tax line items if any. 9. 3 Displaying a Document 1. system will assign the Document number. Results You have posted the outgoing payment document to a Vendor. Choose Post or (Ctrl+S). the posted document is displayed in the document overview along with all the document header information (such as the document number. on the screen. If required. The default document type KZ generates the above document number. which is posted automatically.This enables you to display the document. PAPL Current year Enter the document number you noted previously.Choose Enter.On the Display Document: Initial screen. posting date. including the Withholding Tax to be posted. invoice date. (1500000001) Parle Agro Pvt Ltd Example – 2005 Formatted: Bullets and Numbering On the screen that follows. At the bottom of the screen. you can edit the line items by using the Reset pushbutton. Make a note of the invoice document number.

such as Assignment and Text can be changed.2005 Comment Example Result The summary transaction figures are displayed posting period wise with debit. In the Vendor Balance Display screen. Confidential Page 27 of 112 . You can then choose Document → Display <-> Change (Ctrl+F1) to switch to the change mode and change certain details in the document. balance. Access the transaction choosing one of the following navigation options: Menu path Transaction code Accounting → Financial Accounting → Accounts Payable → Account → Display Balances FK10N 2. Field name Description Vendor Company code Fiscal year 3.Double-click one of the posting lines (or choose the magnifying glass icon) to display the details for that posting line. In the Vendor Line item details screen you can notice the clearing document number and clearing document date will be assigned in the original invoice document. Procedure 1. enter the required data. Sales / Purchases and at the end total. credit. If you double click on any of the fields corresponding details will be displayed. Choose Execute (F8). Cumulative balance. R/O/C R R R User action and values 1115 PAPL Current year Example . Displaying Vendor Account Balance Use Displaying Vendor account balances.

the system displays all the account items. Confidential Page 28 of 112 . Choose Execute (F8). Result If you choose All Items. Comment Example 3.Activate the Check box Example System will display the standard open items. Procedure 1. You can also choose to display only open items or cleared items in the line item selection radio button option. In the Vendor Line Item Display screen. enter the required data. Access the transaction choosing one of the following navigation options: Menu path Transaction code Accounting → Financial Accounting → Accounts Payable → Account → Display/Change Line Items FBL1N 2. Field name Description Customer account Company code All items Type – Normal Items R/O/C R R O R User action and values 1115 PAPL X – Select the radio button X . If you want to view the details of Special GL Transactions select the other check box also and soon.Displaying and Changing a Line Item Use Displaying and changing line items in a Vendor account.

you can specify a payment currency different than the document currency. for example). Vendor items are paid using the payment method “C”. which can then be sent to the bank on disk or with special bank software. It creates the payment documents and makes the data available for the payment medium programs. and payment media created. the items cleared. Executing the Payment Program Prerequisites Master Data The methods used to pay the open items must be defined in the relevant vendor/customer master data.C (check) Two house banks are created (CITI and SBI) and Payment Program configured for CITI. which you can send to the bank or print a check and payment advice. Bank accounts for method C is: 24520000 (CITI) is being used. After a successful payment run.Payment Program The payment methods used . The printing function is not covered in this scenario due to vary in the Forms which are used from bank to bank. or create data media/files. Purpose The payment program enables you to carry out automatic domestic and international payment transactions with vendors and customers. In the open item. Please create the following vendor master data with address details that are used in this document: Business partner Vendor P1000 Vendor P1001 Vendor P1002 Payment Method Payment terms C C C 0001 0001 0001 Confidential Page 29 of 112 . This means that it represents the gross amount of the item in the payment currency. You can also specify an amount that is then paid instead of the gross amount of the item. the open customer or vendor items are paid. These ABAP programs either print a payment list or payment form (checks.

specify which payment methods can be used in the payment run. For more information on creating customers and vendors. the payment program chooses an appropriate method. see the relevant documentation.Before each payment run. If a payment method that is permitted for the payment run is explicitly specified in the open item or in the business partner master record. you first have to post a number of open vendor and customer items. Business partner Vendor P1000 Vendor P1001 Vendor P1002 Invoice amount Posting Date 10000 INR 20000 INR 50000 INR Today’s date 2 month before today 20 days before today Confidential Page 30 of 112 . therefore. Posting Open Items To execute the payment program. the payment program chooses this method. has priority over a payment method in the master record. The program checks the payment methods you specified for the payment run to determine whether they are permissible (they are checked in the same order you specified them). If several payment methods are specified in the master record and none is specified in the item. The payment method in the open item. Please create following vendor open invoices which will be used in this document (offset account is 58100000).

Enter the required data in the Automatic Payment Transactions: Status screen. Identification Enter a unique alphanumeric ID ( P1. Parameter Tab Page 1. however. The ID is user defined. Comment Docs Entered Up To You normally enter today’s date here. which can be used to differentiate between several runs with the same reconciliation key date.Procedure Entering Parameters You enter the following information. The program can also be run. thereby enabling you to monitor which steps the payment program has carried out. Call up the Parameter tab page. for example). 1. Call up the transaction as follows: Menu path Transaction code Accounting → Financial Accounting → Accounts Payable → Periodic Processing → Payments F110 2. Field name Posting Date Description Date under which the payment document is entered in accounting/cost accounting Date up until which open items are to be included in processing. Status Tab Page The status of the payment run is displayed on the Status tab page. User action and values Enter today’s date. Confidential Page 31 of 112 . Additional identification feature. Field name Run Date Description The run date is used to identify the parameters and is the date on which the program is to be run. 2. User action and values Note Enter today’s date. at an earlier or later date. Enter the required data in the Automatic Payment Transactions: Parameters screen.

without the need to specify a particular payment method in the open item or master record.The day of entry rather than the posting date is important here. Enter the date on which the next payment run is posted. Enter today’s date plus 7 days. Enter the account numbers of the vendors/customers that are to be included in this payment run. Accounts Vendors: from 1000 to 1115 Confidential Page 32 of 112 . the system displays a warning. In this field. If you enter a date that deviates from the posting date by more than 14 days. Company Codes Enter the company code PAPL. If you do not make an entry here. Customer Items Due By Date by which an open customer item must be due for it to be included in the payment run. You enter the required payment methods (with no additional separators). you enter the company codes for which the payment run is to be started. Pmt Meths Next p/date Enter today’s date plus +7 days. you have to enter a later date. If you also want to pay items that are not due until after the posting date. the date on which the payment run was posted applies. Enter the string C. List of payment methods that are to be used in the payment run. The program uses this date to determine whether the open items are paid in this payment run or in the next payment run. All items that are due by next week are now paid. The order of the keys determines which payment methods are to be used to pay the open items. This means that the payment program will first attempt to use payment method C.

the documents that were created in the subsequent payment are printed. In these fields. Check the status on the Automatic Payment Transactions: Status screen. 4. and the time is defaulted to 00:00:00. The Schedule Proposal dialog box is displayed. Scheduling Proposals Field name Description User action and values Choose Proposal or the following menu path: Edit → Proposal → Schedule Proposal. Enter the required data in the Automatic Payment Transactions: Additional Log screen. Field name Due Date Check Description Trace for determining the due date. the program starts The system proposes today’s date. Trace for selecting the payment method. Call up the Additional Log tab page. To save the parameters choose Save Icon or press Ctrl+S. It will display as Parameters have been entered. 2. When you set this flag. User action and values Activate Comment Payment Method Selection in All Cases Line Items of the Payment Documents Activate Activate Vendors (From/To) Vendors: 1000 – 1115 3. you enter the vendor numbers for which additional logs are to be created. This ensures that the payment method and banks selected are logged. Comment Start Immediately Set flag Enter Confidential Page 33 of 112 . Trace for payment documents. This ensures that all the posted documents are printed in the log with their line items. Start Date Start Time You can schedule the proposal run for this date and time.Additional Log Tab Page 1. This defines that the due date check for the open items is logged. With payment proposals.

the payment run can be scheduled. Call up the payment proposal list by choosing Edit → Proposal → Proposal List. you can release or block items for payment. For more information. Editing Proposals Field name Description User action and values In the screen for editing proposals. Choose Edit → Proposal → Edit. The system displays the List Variant dialog box. You can use the log to see whether items have been paid.immediately. see the documentation for the payment program. all the payments in a payment proposal run are selected for processing. or why they may not have been paid. All Accounting Clerks When you choose this option. Comment Confidential Page 34 of 112 . Refresh the screen still you see the status as Payment proposal has been created Keep choosing Status until the status text changes to Payment proposal has been created. Program Variant Program name Variant for program RFZALI20 RFZALI20 Blank Choose Enter Payment Details will be displayed. The system displays the Accounting Clerk dialog box. After analysis go to the Automatic Payment Transactions: Status screen using the Back or press F3. Then choose Edit → Proposal → Display Log to call up the proposal log. The All Accounting Clerks radio button is selected by default. When all the required items have been changed. You can now edit all the documents displayed. The status of the proposal run is indicated by Proposal run is running.

the program starts immediately. Keep choosing Status until the status text changes to Payment run has been carried out. Start Date Start Time Start Immediately You can schedule the payment run for this date and time. When you set this flag.Scheduling Payment Runs Field name Description User action and values Choose Pmnt Run or Edit → Payments → Schedule Payments. X completed. The system displays the Schedule Payment dialog box. The status will be changed to Payment run has been carried out and Posting orders: XX generated. The following status text is then displayed: Posting orders: X generated. XX completed System posted necessary accounting documents to Vendor account and house bank account The status of the payment run is indicated by Payment run is running. Then choose Edit → Payments → Display Log to call up the payment log. Set flag Choose Enter On the Automatic Payment Transactions: Status screen system will display the Payment run is running. and the time is defaulted to 00:00:00. The log includes information such as: Items paid Payment document numbers You can call up the payment list by choosing Edit → Proposal → Proposal List. Refresh the screen using the Status pushbutton. Based on the number vendors you are using for payment system will generate that many payment orders Comment Confidential Page 35 of 112 . The system proposes today’s date.

Exit the payment program with F3. Program Variant Program name Variant for program RFZALI20 RFZALI20 Enter Create Payment Medium Output Forms will vary from bank to bank and client to client. The print job can be viewed by the user in the own spool request (Transaction . the program starts immediately. This step can be scheduled by choosing this option. Set flag F110-20031224-P1-1 Start Date Start Time Start Immediately Job Name Choose Enter System will display the following message Print job F110-20031224-P11 has been schedule. and the time is defaulted to 00:00:00.code – SP02) Exit the payment list with F3. Confidential Page 36 of 112 . The system proposes today’s date. You can schedule the payment run for this date and time. System will default as follows: F110-20031224-P1-? Make your identification at the end of the print job Create Variant for the program RFFOUS_C and assign the Variant name in the Printout / data medium tab.The system displays the List Variant dialog box. the payment media are created. Assign the Print Job name. Necessary output forms need to developed and assigned in the configuration before printing of the Check and Payment advice. When you set this flag. Create Payment Medium After the payment run has been completed.

Customer master records are used by both the financial accounting department (accounts receivable processing) and the sale department (SD) in your company. (In this case. check whether the company code has the required value (transaction code FB70). set the required company code. If not. This document.Master Data in Accounts Receivable Accounting Purpose All business transactions are posted to and managed by means of accounts. Access the transaction choosing one of the following navigation options: Menu path Transaction code Accounting → Financial Accounting → Accounts Receivable → Master Records → Create FD01 Confidential Page 37 of 112 .) Creating a Customer Master Record Procedure 1. you can also store all the data that you need for conducting business with the customer. In the master record. this would be PAPL. You have to create a master record for each account that you need. however. only discusses the general data in and the financial accounting aspect of customer master records. Prerequisites The accounts receivable accounting settings have been made. Before you start posting. Process Flow You can execute the following transactions in master data processing: • Create • • • • • Change Display Block/unblock Set deletion flag Display changes made Result Customer master records have been created and can be posted. The master record contains data that controls how business transactions are entered in the account and how posting data is processed.

enter the required data if you require a bank connection. enter the required data. enter the required data. Field name Description Account group R/O/C R User action and values 0009 – Sold to Party .2. On the Address tab page in the Create Customer: General Data screen.IN Comment External Assignment Account Group Account Group is external assignment. In the Create Customer: Initial Screen. enter the required data. R PAPL 3. Field name Description Vendor VAT registration number 5. need to assign the Customer Account ID. Field name Description Name Search term 1 Street/house number Postal code/city Country Region Language R/O/C R R O R R R R User action and values Parle Sales – Mumbai Mumbai (c & f) Main Street 522000 / Bangalore IN 10 – Karnataka English Comment Example Example Example Example Example Select from the list Example 4. Customer C 9 Company code Choose Enter. On the Payment Transactions tab page in the Create Customer: Company Code Data screen. R/O/C O User action and values (Vendor) Comment Only if clearing required Confidential Page 38 of 112 . On the Control Data tab page in the Create Customer: General Data screen.

Field name Description Country Bank key Bank account Account holder Collection authority R/O/C O O O O O User action and values Comment Example Example Example Example Example Choose Company Code Data push button on the application menu tool bar. enter the required data. Field name Description Reconciliation account Sort key Previous account number R/O/C R R O User action and values 24430000 009 Example Comment Example 7. Field name Description Accounting Clerk R/O/C O User action and values 1 Comment Example Save your entries. The account can now be posted. 6. enter the required data. On the Correspondence tab page in the Create Customer: Company Code Data screen. On the Payment Transactions tab page in the Create Customer: Company Code Data screen. Confidential Page 39 of 112 . Field name Description Terms of payment Payment history record Payment methods R/O/C O R O User action and values 0001 X C If required Comment Example 8. On the Account Management tab page in the Create Customer: Company Code Data screen. Result The customer master record C100 has been created. enter the required data.

Creating another customer Please create another customer. and other parameters remain the same. Confidential Page 40 of 112 . Result The customer master record C200 has been created. The account can now be posted. with customer ID C200. name “Test customer”.

Down Payments Purpose Down payment requests and down payments are special general ledger transactions. Prerequisites Customizing for special general ledger transaction F with alternative general ledger account 70000300. On the Customer Down Payment Request: Header Data screen. These transactions are not posted to the G/L account defined in the customer master record but to an alternative G/L account. Process Flow • Down payment request • • • • Down payment Invoice Down payment clearing Payment and clearing Result Unlike partial payments. Access the transaction choosing one of the following navigation options: Menu path Transaction code Accounting → Financial Accounting → Accounts Receivable → Document Entry → Down Payment → Request F-37 2. enter the required data. Prerequisites Alternative reconciliation accounts for posting the down payment requests and the down payments. Posting a Down Payment Request Use Down payment requests are noted items that do not affect the balance sheet. They can be taken into consideration in the dunning program and in the payment program. Procedure 1. Confidential Page 41 of 112 . down payments are reported separately in the balance sheet.

Confidential Page 42 of 112 . Posting a Down Payment Use You can post down payments either manually or automatically (payment program SAPF110. Choose New Item. In the Customer Down Payment Request: Add Customer Item screen. The manual posting process is described in the following. automatic debit or bank direct debit payment method). SP. Save your entries. Receivable from the customer against order No:345 Comment Example 5. G/L Ind. R/O/C R R R R R R R R User action and values Today’s date Today’s date DZ PAPL INR Advance Request 9 A Comment Example Defaulted by the system Example Example Enter the Target Special GL Transaction to be used this request 3. Result The system posts the down payment request and assigns a document number based on the document type – 1400000000.Field name Description Document Date Posting Date Document Type Company Code Currency Reference Account Trg. Field Name Description Amount Due On Text R/O/C R R O User action and values 10000 Current date + 1 day Adv. 4. enter the required data.

Field name Description Document Date Posting Date Company Code Currency Reference Customer: Account Special G/L Indicator Bank: Account R/O/C R R R R R R R R User action and values Today’s date Today’s date PAPL INR CNo:100 C100 A 24520100 Select the Bank Incoming Payment account Example Example Example Example Comment Example Example Amount Value Date 3. enter the required data. Access the transaction choosing one of the following navigation options: Menu path Transaction code Accounting → Financial Accounting → Accounts Receivable → Document Entry → Down Payment → Down Payment F-29 2. proceed as described in steps 1 and 2. Field name Description Amount R/O/C R User action and values 10000 Comment Example Confidential Page 43 of 112 . Instead of Requests. choose New Item. If you post a down payment without a request. enter the required data. On the Post Customer Down Payment: Header Data screen. In the Post Customer Down Payment: Choose Requests screen. R R 10000 Current date 4. Choose Requests push button. Save your entries.Prerequisites Customizing for a Reconciliation account 24430000 and special general ledger transaction A an alternative general ledger account 13140000 has been assigned. In the Post Customer Down Payment: Add Customer Item screen. Procedure 1. select the required item. 5.

3456 10000 INR Invoice Raised on Customer 44300000 Enter the line item text Sale-Misc items. select the required GL Comment Example Example Example Example User action and values PAPL Comment Parle Agro Pvt Ltd Confidential Page 44 of 112 . Posting an Invoice Procedure 1. Enter the following data if the company code PAPL is not defaulted in the system: Field name Company Code Choose Enter. In the Enter Customer Invoice screen.Due On R Date in the future Save your entries. Field Name Description Customer Invoice Date Reference Amount Currency Text G/L Acct R/O/C R R R R R O R User action and values 9 Today’s date Invoice no. 3. Result The document posts the bank account 24520100 on the debit side and the customer with the alternative reconciliation account 13140000 on the credit side. To change the company code. enter the required data. choose Edit → Change Company Code. Access the transaction choosing one of the following navigation options: Menu path Transaction code Accounting → Financial Accounting → Accounts Receivable → Document Entry → Invoice FB70 2.

The system outputs the message 10000. To see the same use menu Document → Simulate.00. Field name Description Document Date Posting Date R/O/C R R User action and values Today’s date Today’s date Comment Example Example Confidential Page 45 of 112 . 5. You can view the account document to be posted in the simulate mode.Account Tax Code R Blank Based on GL Account system will ask the Tax Code Based on GL Account system will ask the Jurisdiction Code Jurisdiction Code R Blank Amount in Document Curr. Access the transaction choosing one of the following navigation options: Menu path Transaction code Accounting → Financial Accounting → Accounts Receivable → Document Entry → Down Payment → Clearing F-39 2. enter the required data. Clearing Use After you have issued the final invoice. Save your entries.INR Down payment exist for further postings to account 9. Item Enter the line item text 4. you can clear the down payment with the invoice. Procedure 1. Result The system posts the accounting document 1800000000. Text R O 10000 Sale of Misc. You carry out a transfer posting to the normal reconciliation account 24430000. In the Clear Customer Down Payment: Header Data screen. 6.

To save your entries choose Save icon or press Ctrl+S. Result The down payment is cleared and the balance of account 13140000 is zero again. Example Document 1600000000 was posted in company code PAPL Confidential Page 46 of 112 . The new item can now be handled as a partial payment. On the Clear Customer Down Payment: Choose Down Payments screen select the corresponding down payment to be cleared by activating the check box to the line item. Enter the text Down payment clearing. 4. The system posts a new item in the customer account and in account 24430000. Choose Save. Choose the line item highlighted in color by double-clicking it. A message then appears at the bottom of the screen requesting you to correct the marked line items.Document Type Company Code Currency Reference Account R R R R R DA PAPL INR Clearing Advance 9 Defaulted in the system Example Enter the customer account from which Down Payment to be cleared Example 1800000000 which is posted in the previous step Invoice Reference R Document number of the invoice 3. Choose Process Down Payments push button 4. and included and cleared when an incoming payment is received or cleared individually. 5.

Account Receivable Posting
Purpose
This document describes how invoices and credit memos without reference to the billing document are posted and how documents are reversed. All the documents concerned are FI documents. You can use these standard financial accounting functions to enter business transactions in general and subsidiary ledgers. During this process, the system generates accounting documents and updates the transaction figures in the general and subsidiary ledgers.

Prerequisites
• • • Document types (DR, DG) are defined in Customizing The currency and exchange rate are maintained in Customizing Accounts and, if necessary, posting keys must be defined for automatically created items: taxes on sales/purchases, cash discount, correction of tax on sales/purchases when cash discount is used, realized exchange rate differences, and payment differences Document number intervals are created and are assigned to the validity period and document types Tax codes for tax on sales/purchases are created in the TAXINJ tax procedure, and account determination is maintained

• •

Result
Once the system has successfully checked all of the data entered, the document is saved and stored in the database. During this process, the system updates the document file, the customer account balance, and the G/L account balance. You can change some of the fields in the documents that have already been posted. This, however, depends on certain conditions that are specified in the system. This is necessary, since any arbitrary changes you make to the documents can result in undesired manipulations and, consequently, you will not be able to carry out any reconciliation tasks.

Confidential

Page 47 of 112

Customer Invoice
Use
This section describes the procedure for posting invoices without reference to SAP LOSD.

Procedure
1.Access the transaction choosing one of the following navigation options: Menu path Transaction code Accounting → Financial Accounting → Accounts Receivable → Document Entry → Invoice FB70
Formatted: Bullets and Numbering Formatted: Bullets and Numbering

2.By default system will takes the Company Code ID as previously used by the user for posting of this transaction. For the First time user logging on to the screen, assign the Company Code as PAPL in the pop-up screen. To change the company code use menu option Edit → Change Company Code and assign the Company Code as PAPL. 3.On the Basic Data tab page in the Enter Customer Invoice: Company Code PAPL screen, enter the required data. Field name Description Customer Invoice date Posting date Reference Amount Currency Text G/L acct R/O/C R R R R R R O R User action and values 9 Today’s date Today’s date Inv.No.789 25000 INR Customer invoice 44300000 Maintain the line item text Sale of Misc. Item GL account is being used as offsetting account. Select the relevant GL Account If required select the Tax code If required select the Tax code (IN00) Comment Example Example Example Example Example

Formatted: Bullets and Numbering

Tax code Tax Jurisdiction Code

O O

Blank Blank

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Amount in document curr. Text

R O

25000 Sale of Misc item

Example Enter the line item text
Formatted: Bullets and Numbering

4.Save your entries. When you post the document, the system assigns a document number. Make a note of this number because you will need it for the following transactions.

Result
The document is posted to the database and the G/L account and customer transaction figures are updated.

Example
Document 1800000001 was posted in company code PAPL

Posting a Credit Memo with Reference to the Invoice
Use
You can use this function to create credit memos for invoices that have already been posted.

Procedure
1. Access the transaction choosing one of the following navigation options: Menu path Transaction code Accounting → Financial Accounting → Accounts Receivable → Document Entry → Credit Memo FB75

2. On the Basic Data tab page in the Enter Customer Credit Memo: Company Code PAPL screen, enter the required data. Field name Description Customer Document date R/O/C R R User action and values 9 Today’s date Comment Example Example

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In the Reverse Document: Header Data screen.Reference Amount Currency G/L acct Amount in document curr R R R R R Inv No 789 1000 INR 44300000 1000 Example Example Example 3. enter the required data. Reversing a Document – Individual Reversal Use You can reverse a document that has been created in Financial Accounting. the system automatically transfers the terms of payment from the invoice to the credit memo. enter the required data. Result When you post the document. If you post the credit memo with reference to the invoice. Confidential Page 50 of 112 . the system assigns a document number. The document is posted to the database and the G/L account and customer transaction figures are updated. On the Payment tab page in the Enter Customer Credit Memo: Company Code XXXX screen. Field name Description Invoice reference R/O/C O User action and values Invoice document number Comment If invoice reference exists 1800000001 Save your entries. Procedure 1. Example Document 1600000001 was posted in company code PAPL. Call up the transaction as follows: Menu path Transaction code Accounting → Financial Accounting → Accounts Receivable → Document → Reverse → Individual Reversal FB08 2.

40000/. Posting Customer Incoming Payment Manually Use When customer incoming payment received. and clear customer’s open line items. On the Post Incoming Payments: Header Data screen. Result When you save your entries. Post an customer invoice for an amount of Rs. debit bank clearing account. Access the transaction choosing one of the following navigation options:: Menu path Transaction code Accounting → Financial Accounting → Accounts Receivable → Document Entry → Incoming Payment F-28 2. make the following additional entries: Field name Description Document Date Posting Date Document Type Company Code R/O/C R R R R User action and values Today’s date Today’s date DZ PAPL Comment Example Example Defaulted Confidential Page 51 of 112 . Depending on which reason for reversal you chose.using the Customer Invoice procedure. Procedure 1. a new document is posted in order to clear the transaction figures or the transaction figures are simply saved again (actual reversal).Field name Description Document number Company code Fiscal year Reversal reason R/O/C R R R R User action and values Enter document number PAPL Current year 01 Comment Example Example Save your entries. the system reverses the source document. Prerequisites Customer Invoice must be posted in the system.

Result The invoice has now been cleared and the corresponding items have been posted to bank clearing accounts. 5. To save your entry.NO. 4. Example Document 1400000002 was posted in company code PAPL Confidential Page 52 of 112 .Currency Reference Bank data Account R O INR C.96332 Example enter reference data R 24510000 Select the GL Account to post the incoming payment offsetting account Enter the Incoming payment amount Example Amount R 40000 Value Date Open Item Selection Customer Account Type R Today’s date R R C100 D Example Account type – D to select the customer Accounts Standard Open Items R Activate 3. if all the line items are selected double-click on the line item amount to de-select the same. choose Save icon or press Ctrl+S. Choose Process open items push button Choose the invoice item need to be cleared by double-click the line item amount.

Managing Customer Account Purpose The following procedures are described in this document: • Displaying a balance • • • Displaying and changing a line item Carrying out manual clearing Carrying out automatic clearing Displaying a Balance Use Displaying customer account balances. Field name Description Customer Company code Fiscal year 4. Choose Execute (F8). enter the required data. Procedure 8. R/O/C R R R User action and values 9 PAPL Current year Example Comment Example Result The transaction figures are displayed. In the Customer Balance Display screen. Call Access the transaction choosing one of the following navigation options: Menu path Transaction code Accounting → Financial Accounting → Accounts Receivable → Account → Display Balances FD10N 2. Confidential Page 53 of 112 .

Choose Execute (F8). 5. Procedure 1. totals variants. select the check box Special G/L Transactions Comment Example R X Normal Items R Activate the check box 4. Cleared Items or All Items.Displaying and Changing a Line Item Use Displaying and changing line items in a customer account. Field name Description Customer account Company code Line Item Selection / Status All items R/O/C R R User action and values 9 PAPL Line Item selection can be Open Items. Choose the relevant radio button If you want to see Down Payment of Customer along with the normal items. In the Customer Line Item Display screen. and selection fields have been maintained in Customizing. Confidential Page 54 of 112 . Review the Customer line items on the Customer Line Item Display screen. enter the required data. Prerequisites Line layout variants. Access the transaction choosing one of the following navigation options: Menu path Transaction code Accounting → Financial Accounting → Accounts Receivable → Account → Display/Change Line Items FBL5N 2.

Result The open account items are now displayed and can be selected for clearing. Confidential Page 55 of 112 . 7. Choose Enter or Process Open Items. you can create a residual item for overpayments/underpayments. enter the required data. Prerequisites The system contains open items that can be cleared in the form of a customer invoice or a corresponding customer credit memo to the same amount. You can also choose to display only open items or cleared items.6. Press F3 to come of the screen Result If you choose All Items. If the balance of the items to be cleared is not 0. In the Clear Customer: Header Data screen. Carrying out Manual Clearing Use Clear open items. Procedure 1. it will displays the detailed screen of that line item. the system displays all the account items. Field name Description Account Company code Additional selections R/O/C R R O User action and values C100 PAPL Reference Example Comment 3. If you double click on any of the Customer line item displayed by the system. for example. Access the transaction choosing one of the following navigation options: Menu path Transaction code Accounting → Financial Accounting → Accounts Receivable → Account → Clear F-32 2.

for example. Business Area and Trading partner fields in addition to the amount.13 Transaction code 2. for example. enter the required data. In the Automatic Clearing without Definition of Clearing Currency (SAPF124) screen. Field name Description Company code Fiscal year Select customers R/O/C R O O User action and values PAPL Current year X Select the account type Customer to execute the clearing Enter the customer account to clear Example – Give the posting date of the clearing document Review the process in the Test run. The input field values have to be the same in the both line items to perform the Automatic clearing. To perform the Automatic Clearing System will compare the input values of Assignment.Carrying out Automatic Clearing Use You can periodically clear open customer items if credit memos have been created for invoices. After satisfying the results run the Comment Customer Accounts O 9 Clearing Date R Today’s Date Test Run O Activate the check box Confidential Page 56 of 112 . Procedure 1. Access the transaction choosing one of the following navigation options: Menu path Accounting → Financial Accounting → Accounts Receivable → Periodic Processing → Automatic Clearing → Without Specification of Clearing Currency F. Prerequisites The system contains open items that can be cleared in the form of a customer invoice or a corresponding customer credit memo to the same amount.

Review the Clearing procedure log on the Automatic Clearing without Definition of Clearing Currency (SAPF124) screen. A log is created. Confidential Page 57 of 112 .clearing in the Production mode 3. Press F3 and remove the Test Mode check box and run the clearing process in the production mode. Result All the open items that have identical debit and credit amounts are cleared. 5. Choose Execute (F8). 4.

The G/L accounts record the business transactions in line item and totals form. make the following entries: Confidential Page 58 of 112 . which are posted to G/L accounts. are updated in the general ledger.General Ledger Accounting Master Record Purpose Business transactions are posted and managed in the general ledger via accounts. Each master record contains settings that control the flow of financial transactions. Creating General Ledger Accounting Master Record Centrally Procedure 1.Access the transaction choosing one of the following navigation options: Formatted: Bullets and Numbering SAP R/3 menu Transaction code Accounting→Financial Accounting→General Ledger →Master records →Individual Processing → Centrally FS00 Formatted: Bullets and Numbering 2. Process Flow You can execute the following transactions in master data processing • Create • Change • Display • Block/unblock • Mark for deletion General Ledger Account Master Record can be created as follows: • Centrally • Chart of Account Level creation and Company Code Level Creation In the procedure it has been discussed how to create centrally the General Ledger Account Master Record.On the Edit G/L Account Centrally screen. Prerequisites The settings have been made for General Ledger Accounting. all business transactions. Result General Ledger Account master records have been created and can be posted. In the standard system.

Choose Create icon to create a new General ledger Account. allows you to assign the maximum number digits for an account is 8. The account group also determines which number interval the account must be.Field name Account number Description the account number of the G/L account that is being created R/O/ C R User action and values Comment Enter the 8 digit numeric number. P+L statement account type C Balance sheet account Identifies this account for use in the balance sheet - C Either this field or the Balance Sheet account field must be filled Either this field or the P+L statement acct type field must be filled Enter the Short Title of the GL Account Enter the long Title of the GL Account Description Short text G/L acct long text a short textual description of the G/L account The G/L account long text is used for online displays and evaluations R O Consolidatio n Data in Chart of Accounts Confidential Page 59 of 112 . Field Name Control in Chart of Accounts – Account Group Description The account group determines the fields for the entry screens if you create or change a master record in the company code. based on which fields will be displayed in GL Account master record at Company Code level Comments Use the drop down menu. CAIN – Chart of Account of India. Company code the company code ID R PAPL Formatted: Bullets and Numbering 3. Identified this account as an P+L statement account type R/O/C R User Action and Values Based on the type of account you are creating select the relevant account group.

Key for calculating exchange rate differences O O Use the drop down menu Tax category Posting w/o tax allowed Recon. Vendor. Use the drop down Menu to change Only Balances in Local Currency Exchange Rate Difference Key Valuation group Indicates that balance is updated only in local currency when users post items to this account.. O Allows posting to accounts without indicating taxes Use the drop down menu to indicate if this is an Assets. Reconciliation account. A reconciliation account ensures the integration of a Subledger account into a GL account.Trading partner Company ID standard for the whole group O Blank Choose the “Control Data” tab to continue. Account currency Identifier of the currency in which the account will be managed R INR The default currency is the one that is maintained in the Company Code PAPL. Determines whether the account is tax relevant. Customer. Check box O O 2-digit symbol Use the drop down menu O An entry in this field identifies this GL account as an reconciliation account. account for account type A valuation group can include a Number of GL accounts. It can be Seen as an equivalent to the Corporate group concept. Confidential Page 60 of 112 .

Postings to these accounts represent incomplete transactions. then an inflation key with the appropriate indicator must be set. Field Name Line item display R/O/C O User Action and Values Check box if line item display is possible for this account.Alternative account number Account managed in ext. Description Do not set this indicator for accounts in which the number of O Check box if open items are managed for this account. This is a user define field. It may be use to indicate the account number from the legacy system. Use this field to define appropriate treatment of differences arising from open item clearing. Accounts that are to be posted to in the local system but managed on an open item basis in the central system must be indicated in the local system. O O Check box O Tolerance group O Account Management in Company Code Open item management Set up accounts with open item management if offsetting entries are to be assigned to the postings made to these accounts. Use the inflation key if this account is to be revaluated using the inflation revaluation program. Comments Confidential Page 61 of 112 . If the account is to be treated as a monetary account. system Inflation key This is user defined.

incurred costs are usually shared among different recovery indicators which can then be dealt with in different ways using the periodic settlement program. Sort key How line items are to be sorted based on the allocation field.postings is so great that line item display online would not be advantageous. O O Check box if this account is to be use in the statement of Cash Confidential Page 62 of 112 . In global companies that belong to joint ventures. O This field is used to control displays in Cash Management. R Use the drop down menu Check box. such as receivables and payables accounts. O O Control of Document Creation Field status group Post automatically only Click on the “Create/Bank/Interest” tab to continue. O Supplement auto. Indicates that this account can only be posted to by the system using account determination tables. Determines the screen layout for document entry. postings Recon acct ready for input Bank/Financ ial Details Planning level Relevant to cash flow O Check box This indicator is used in conjunction to the Fixed Asset Management. O Authorization group Accounting clerk Recovery Indicator O The name of the accounting clerk.

Frequency Field Name Key date of last int. The interest calculation frequency is added to the date of the last interest calculation. Account ID O Interest Calculation Information Interest indicator Interest calc. To save the entries choose save icon or press Ctrl+S. If required create the GL Account as Cost Element. Date of last interest run O Use the drop down menu. O Use the drop down menu. The date of the last interest calculation for this account is noted here O Use the drop down menu. This is generally the upper limit of the last interest run.Flow. House bank Indicator for the company bank Identifies House Banks. O Use the drop down menu. R/O/C O User Action and Values Comments Use the drop down menu. Confidential Page 63 of 112 . Result You have created the general ledger account master record and you can use to post the transactions. calc Enter an interest calculation indicator here if the account is to be included in automatic interest calculation. Description The date in this field displays the last time the interest calculation program processed this account. 4. Use the drop down menu. An entry in this field determines the intervals (in months) at which interest is to be calculated automatically for this account (account balance interest calculation).

Recurring entries are similar to standing orders with banks for debiting rent. you have to enter a recurring entry document. The recurring entry program uses this document to create accounting documents. which the system uses as a reference. in a recurring entry document. therefore. The following data does not usually change: • • Posting key Account • Amounts You enter this data. which never changes. Prerequisites If you want to use this method. You make recurring entries for business transactions that occur regularly (rent and insurance contributions). The recurring entry document is not an accounting document and. Confidential Page 64 of 112 .Closing: Overview Introduction to Preparing Financial Statements The SAP R/3 System enables you to prepare various different financial statements: • Accrual / deferral posting • Recurring entries • Foreign currency valuations • Value adjustments • Balance confirmations • Balance Sheet and Profit and Loss generation Current Assets and Other Asset Items Recurring Entries General Information Purpose These are entries that are made on a regular basis by the recurring entry program and occur as a result of recurring entry documents. This document does not result in transaction figures being updated. contribution payments. or loan repayments directly. does not alter the account balance. Necessary master data created in the system.

The data for a lease installment payment has been defined as an example. Access the transaction choosing one of the following navigation options:: Menu path Accounting → Financial Accounting → (e. 1. you enter the individual data for the document that is to be posted. In the Enter Recurring Entry: Header Data screen. vendors.Processing a Recurring Entry Document Entering a Document You can enter recurring entry documents for customers. Specifies when the recurring entry document is to be posted for the last time. Monthly Specifies the day on which the document is posted as a posting date. enter the required data.) Accounts Payable → Document Entry → Reference Documents → Recurring Entry Document FBD1 Transaction code 2. In these fields. Description R/O/C User action and values Comment Company Code Recurring Entry Run First Run on PAPL 01/04/current FY Last Run on 03/31/current FY Interval in Months Run Date 1 9 Specifies when the recurring entry document is to be posted for the first time.g. Document Header Information Document Type Currency/Rate Reference First line item PstKy Account 31 A3000 KR INR Rent-Office1 Confidential Page 65 of 112 . and the general ledger.

The document is assigned a separate document number. Save the document and make a note of the document number for the following transactions. and Deleting a Document 1.56 Transaction code 2. Call up the transactions as follows: Menu path Accounting → Financial Accounting → (e.) Accounts Payable → Document → Reference Documents → Recurring Document → Change / Display / Delete FBD2/FBD3/F. To display or change a recurring entry document.g. Changing. enter the required data in the Display Recurring Document: Initial Screen or Change Recurring Document: Initial Screen. but has not yet been posted to the vendor account and General Ledger Account. Displaying.Enter Amount Bus. Confidential Page 66 of 112 .Place /Sectn Section code Next entry screen Enter the Section code if the Extended with holding tax is being used and TDS deduction is to be made for this vendor 500 KR01 Text PstKy Account Leasing installment payment 40 58052000 Printing and Stationery Enter 500 V0 Assign the Tax code if the GL Account 58052000 is relevant for tax Assign the Jurisdiction code if the GL Account 58052000 is relevant for tax Next entry screen Amount Tax Code Jurisdiction Code Cost Center Text IN00 110 Copying machine hire 3. Document 9100000000 was stored in company code PAPL The document is now entered as a recurring entry document.

The “Change Document” function does not carry out an automatic check (check example: document balance – debit / credit – results in zero). You can then call up the screen for deleting the document by choosing Document → Delete. The list displays the date of the next posting run.15 Transaction code 2. You can select documents that are still to be executed. When you start this program as an update run. List of Recurring Entry Original Documents 1.g. and/or documents that will not be executed until the next time the recurring entry program is run. Description R/O/C User action and values Comment Company Code Fiscal Year PAPL Current FY Execute (F8) The system displays a list of the existing recurring entry original documents. PAPL Enter The line items of the recurring entry document are displayed. You have to specify the company code.Description R/O/C User action and values Comment Document Number Company Code Enter the number you noted previously. you have to set the deletion indicator for the document in the Change Recurring Document: Recurring Entry Data dialog box by choosing View → Recurring Entry Data…. enter the required data.) Accounts Payable → Periodic Processing → Recurring Entries → Lists F. Choose Test Run to display the documents before you delete them. and the reference document type (D). Before deleting a recurring entry document. fiscal year. The above-mentioned points will not be illustrated in this example. Call up the transaction as follows: Menu path Accounting → Financial Accounting → (e. In the Recurring Entry Documents screen. Confidential Page 67 of 112 . the system will prompt you to reconfirm your entries. document number.

Confidential Page 68 of 112 . enter the required data. Call up the transaction as follows: Menu path Accounting → Financial Accounting → (e. Call up the transaction as follows: Menu path Transaction code System → Services → Batch Input → Sessions SM35 2.) Accounts Payable → Periodic Processing → Recurring Entries → Execute F. Batch Input Session Name User Name Execute (F8) Running a Batch Input Session 1.Carrying Out Recurring Entries 1. Select the session RECURING and choose Process (F8). The system displays the message Session RECURING was created.14 Transaction code 2. Description R/O/C User action and values Comment Company Code Fiscal Year General Selections PAPL Current FY Settlement Period Output control 01/04/current FY – 31/03/current FY RECURING You can also restrict the display to documents entered by just one user. In the Create Posting Documents from Recurring Documents screen.g.

Field name Process/ Foreground Display Errors Only Activate R/O/C User action and values Comment All the screens are displayed and have to be confirmed with Enter. You can see this is the session overview. Call up the transaction as follows: Menu path Accounting → Financial Accounting → Accounts Payable → Information System → Reports for Accounts Payable Accounting → Vendors: Items → List of Vendor Open Items for Printing S_ALR_87012083 Transaction code 2. In the Process Session RECURING screen. The documents are not posted in the foreground. Confirm the selection screen with Enter. If a session was processed in the foreground. only documents with errors are displayed. enter the required data. 1. Displaying a Posted Document You can display the posted document via the list of open vendor items. In the List of Vendor Open Items screen. Please check manually whether all documents of a session were posted. the selection screen Session Successfully Processed appears after the posting. Background 4. Run the batch input session. which you can correct. Documents with errors remain in the session and can then be processed and corrected in the foreground. The documents are not posted in the foreground. Description R/O/C User action and values Comment Vendor Account Company Code 1115 PAPL Execute (F8) Confidential Page 69 of 112 .3. enter the required data.

3. for a debit balance. You require two additional accounts so that you can display the transactions that are “delivered. Prerequisites You require an account for adjustment postings so that you can make a transfer posting for the GR/IR clearing account transactions. You display this account in a balance sheet item along with the GR/IR clearing account. If the balance of the open items for each purchase order number and item is not zero in the house currency. creates adjustment postings. Purpose You only have to regroup GR/IR clearing accounts when postings are carried out in SAP FI from the integrated SAP R/3 component SAP LO-MM. Here you can see that the date for the next execution has changed. Regrouping GR/IR Accounts General Information The report analyzes GR/IR clearing accounts on a specified key date and. adjustment postings for these items are included in a batch input session. These ensure that the following business transactions are reported correctly in the balance sheet: • Goods that have been delivered but not yet invoiced • Goods that have been invoiced but not yet delivered The report selects all the items in a GR/IR clearing account that are open on the specified key date. the transaction is considered as “delivered.15) for the list of source documents. see the report documentation. For a credit balance. To display the change to the source documents again. but not delivered” in the balance sheet. as “invoiced. For more information. items are posted to the GR/IR clearing account. if necessary. you have to carry out the following steps: Clarify differences in the GR/IR accounts Confidential Page 70 of 112 . not delivered”. Preparations for Regrouping Before you can regroup the GR/IR accounts. but not invoiced” and “invoiced. not invoiced” and. When the MM component is used. the GR/IR account is cleared with the correct purchase order and value quantity once the goods receipt and invoice receipt have been posted. proceed as described previously (F. Example: Goods receipt = Balance sheet account to GR/IR clearing Invoice receipt = GR/IR clearing to vendor In this way.

Before the system can do this.ext procurement – Dom. 1. Automatic Clearing of Open GR/IR Account Items A further preparatory step involves clearing the items in the GR/IR account. however. The program uses the purchase order number and item to select and then clear the associated items. press F1. Field name Company Code Fiscal Year Select G/L Accounts G/L Accounts User action and values PAPL 2003 -Current fiscal year Activate the Check box Example 13110100 . This report is in the SAP R/3 component SAP LO-MM (for more information.The system provides a report that displays the differences and enables you to clear them. which you can carry out using the automatic clearing program.GR/IRclearing . For detailed information on the fields. 31-03-2004/current FY for year-end clearing Activate the Check box Enter the Clearing document posting date Deactivate for update run Confidential Page 71 of 112 . Call up the transaction as follows: Menu path Accounting → Financial Accounting → General Ledger → Periodic Processing → Automatic Clearing → Without Specification of Clearing Currency F.13 Transaction code 2. A short log can also be printed later on. You should carry out this process on a regular basis and not just when you carry out closing operations. see the Materials Management documentation). the differences in the GR/IR accounts must have been clarified. Enter the required data in the screen. you are recommended to activate this so that the differences can be checked. Assign the GR/IR clearing account Example Comment Posting Parameters Clearing Date Test Run Output Control Detail List with Error Log For the test run.

1. Field name User action and values Comment G/L Account Company Code Parameters GR / IR Account PAPL 31-07-2005/current FY Activate the check box Activate GR/IR 31-07-2005/current FY SA 31-07-2005/current FY 12 01-08-2005/current FY 5 For detailed information on the fields. Activate for update run only Key Date GR/IR Clearing Postings Creating Postings Name of Batch Input Session Document Date Document Type Posting Date Month Reversal Posting Date Reversal Period Output List The line item display lists all the documents in the GR/IR account for which transfer postings have been made. It also lists all the postings and displays error messages. Enter the required data in the screen. Confidential Page 72 of 112 . Call up the transaction as follows: Menu path Transaction code Accounting → Financial Accounting → General Ledger → Periodic Processing → Closing → Regroup → GR/IR Clearing F.Regrouping GR/IR Clearing Accounts Once you have carried out all the preparatory steps. press F1. if any. you can start regrouping the GR/IR accounts.19 2.

you define expense accounts and revenue accounts under a key* for posting the exchange rate differences that result from the valuation. EVR =Always valuate Confidential Page 73 of 112 . Change the General Ledger Account Currency to USD from INR to the following GL Account 12120000 Secured Loans . For this reason. You can use valuation methods to group these basic specifications together so that you do not have to keep reentering them.Foreign Currency Valuation Valuating Foreign Currency Balance Sheet Accounts Use To create your balance sheet. such as the exchange rate and procedure that are to be used for the valuation. You enter the required valuation method during the valuation run.Foreign Curr Loan fm Fin inst (T. You create these accounts. In addition to the house currency accounts. the program requires a number of specifications. Prerequisite The exchange rate table must be maintained on a regular basis (transaction OB08). To valuate foreign currency balances. you have to valuate the foreign currency balance sheet accounts that have been posted in a foreign currency. *Exchange rate difference key (See also the Customizing documentation). you can define foreign currency balance sheet accounts. you merely require one or more expense and revenue accounts for the exchange rate differences. Create the GL accounts required to be maintained in the Foreign Currency and assign the same in the customizing settings to post the revaluation loss / gain. The foreign currency balance sheet account is the equivalent of a foreign exchange account at your bank.code FS00) Accounts for Exchange Rate Differences To valuate the balances in the foreign currency balance sheet accounts. you create one foreign currency balance sheet account for each foreign exchange account. to process foreign currency payment transactions. The result of the valuation is then posted to the valuated account immediately. Gains and losses from exchange rate fluctuations are shown in separate accounts. Valuation methods: When valuating the accounts. for example.

Call up the transaction as follows: Menu path Transaction code 2. Enter the required data in the screen.Process Flow To ensure that foreign currencies can be valuated. Field name Document Date Type Company Code Posting Date Currency Rate Reference PstKy Account User action and values Today's date SA PAPL Today's date USD 46 AB-BewFWB1 40 58040000 Enter Amount Tax code Jurisdiction Code Cost Center Text PstKy Account 10000 V0 IN00 1101 Foreign currency valuation – Document 50 12120000. 1.Secured Loans .Foreign Curr Loan fm Fin inst Enter Enter if required based on GL Account Enter if required based on GL Account Enter if required based on GL Account Comment Accounting → Financial Accounting → General Ledger → Document Entry → General Posting F-02 Confidential Page 74 of 112 . amounts must have been posted to the appropriate bank accounts.

Balance Confirmations – Customers / Vendors General Information Purpose You can use balance confirmations to check that receivables and payables via your business partners are correct.Document 3. Carrying Out Balance Confirmations The sample data specified can be used for confirming balances manually. There may be discrepancies that have to be clarified with the business partner. 1.17 Transaction code Confidential Page 75 of 112 . When you confirm balances.Amount Value Date 10000 Today's date System Proposes based on the field status of the GL Account. Post the document. Balances confirmations can be printed for customers and vendors. if required enter. or individual value adjustments that have to be posted. irrespective of whether any discrepancies exist or not. notify your business partner of the individual amounts he/she is to confirm. If required. otherwise ignore the field Text can be freely maintainable by the user as a narration to the line item Text Foreign currency valuation . Call up the transactions as follows: Menu path Accounting → Financial Accounting → Accounts Receivable → Periodic Processing → Closing → Check/Count → Balance Confirmation: Print F. make further postings in the same way using higher or lower exchange rates and by swapping the debit/credit account assignments (swap the posting keys). Ask for a confirmation.

HPP Enter a valid printer name.08. HPP Enter a valid printer name.. Field name User action and values Comment Example Customer / Vendor Company Code Reconciliation Key Date Further Selections 9 PAPL 31. Print Control Printer for Form Set Printer for Check List Printer for Results Table Printer for Error List Printer for Selections Enter a valid printer name. for Correspondence Line Item Sorting Confirmation Procedure Date of Issue No Reply Date for Reply Reply to Activate 01.2005/current FY Individual Customers / Individual Vendors Output Control Sort Var.g.18 Transaction code 2. The first example illustrates a customer balance confirmation.Menu path Accounting → Financial Accounting → Accounts Payable → Periodic Processing → Closing → Check/Count → Balance Confirmation: Print F. Address ID. and the second a vendor balance confirmation. you can define the external auditor.08. E. HPP Enter a valid printer Confidential Page 76 of 112 .g.2004/current FY Activate the Check box K2 P4 Blank 01. E. activate this checkbox. In this field. E. E.07.2005 current FY If you do not need a reply.g.g. for example. HPP Enter a valid printer name. Enter the required data in the screen.

Call up the transaction as follows: Menu path Accounting → Financial Accounting → Accounts Payable → Document Entry → Invoice Confidential Page 77 of 112 .00. Prepayments and Accrued Income / Accrued Expense and Deferred Income Accrual / Deferral Posting Use To fulfill the period definition of expenses. HPP Execute (F8) You need define your own firms towards balance confirmation letters. After the test run. in a subsequent step. the reverse postings can be created from the list of all the documents for which a reverse posting is possible. Prerequisites You have posted a document in this fiscal year. At present SAP R/3 pre-defined forms has been assigned. 1. the program terminates. cancel them (collective processing).000.02. You have to maintain the address in Customizing. for example.current FY to 28. The reversal date you define in the accrual / deferral document becomes the posting date of the canceling document.name. E. You can print the list out. which is issued over a period from 01. Reverse posting: The program creates a list of all documents and specifies whether a reverse posting is possible (test run) or has been made (update run). you post an invoice for rent amounting to INR 11.03. you can enter accrual / deferral documents and.current FY+1. You also have to maintain the company code address ID (enter manually to define the appropriate company data). For example. but the expense. also applies to the following year.g. If this address is not maintained in the company code.

current FY User-defined text 12000 58062000 Debit V0 If required make the entry If required make the entry Comment 5.08. In the G/L Account Line Item Display screen. enter the required data. Cost Center 3.Transaction code FB60 2. Curr. enter the required data. Description G/L Account Selection G/L Account Company Code Line Item Selection Status Select “All Items” Execute (F8) 58062000 PAPL R/O/C User action and values Comment Confidential Page 78 of 112 . 4. Description Company Code Vendor Invoice Date Posting Date Reference Amount G/L Acct D/C Tax Code Jurisdiction Code Amount in Doc.Current FY 09. Post this document. Call up the line items for account 58062000 as follows: Menu path Transaction code Accounting → Financial Accounting → General Ledger → Account → Display/Change Line Items FBL3N 12000 110 R/O/C User action and values PAPL 1115 09.08. In the Enter Vendor Invoice: Company Code PAPL screen.

03. In the Enter Accrual/Deferral Doc. Entering Accrual / Deferral Postings 1.to be transferred to next financial year by using the Accrual / Deferral postings option.current FY SA PAPL INR 05 Accrual / deferral posting Comment Reversal Date PstKy Account 01/04/current FY 50 58062000 Enter First line item Amount Tax Code Jurisdiction Code Cost Center PstKy Account 11.current FY 31. Call up the transaction as follows: Menu path Accounting → Financial Accounting → General Ledger → Periodic Processing → Closing → Valuate → Enter Accrual/Deferral Doc.000.00 V0 IN00 110 40 24700000 Enter Second line item Confidential Page 79 of 112 . enter the required data.: Header Data screen.11000/. The amount pertains to the next financial year about Rs.The total expenditure pertains to the next financial year also debited in the current financial year. <<< Header Data >>> Description Document Date Posting Date Type Company Code Currency Reversal Reason R/O/C User action and values 31.03. FBS1 Transaction code 2.

03.of the current fiscal year as follows: Menu path Transaction code Accounting → Financial Accounting → General Ledger → Account → Display/Change Line Items FBL3N 5. Posting period must be allowed to post the document.03. 4. Post this document. Call up the line items for account 58062000 of 31.current FY Execute (F8) 58062000 R/O/C User action and values Comment Reversing Accrual / Deferral Postings Prerequisites The document number for the next financial year has been defined. Description G/L Account Selection G/L Account Line Item Selection Status Posting Date Select “All Items” 31. Procedure 1. Call up the transaction as follows: Menu path Accounting → Financial Accounting → General Ledger → Periodic Processing → Closing → Valuate → Reverse Accrual/Deferral Document Confidential Page 80 of 112 .Amount Text * Accrual / deferral posting 3. In the G/L Account Line Item Display screen. enter the required data.

R/O/C User action and values PAPL Current fiscal year Comment Closing Reports Balance Sheets and P&L Statements Prerequisites You have already made the preparatory postings for the balance sheets and P&L statements and valuated the foreign currency balance sheet accounts and open items in foreign currencies.Transaction code F.Struc User action and values PAPL BAIN Financial Statement Version India Comment Confidential Page 81 of 112 .81 2. refer to the documentation on preparing balance sheets. Process Flow 1. Enter the required data in the screen. In the Reverse Accrual/Deferral Documents screen. Call up the line items for account 58062000 and compare with the descriptions provided in the previous steps. enter the required data. Description Company Code Fiscal Year Execute Test run Update run 3. Field name Company Code FIS Annual Rep. Every new account must be included in the financial statement version. For more information. Call up the transaction as follows: Menu path Accounting → Financial Accounting → General Ledger → Information System → General Ledger Reports → Balance Sheet/ Profit and Loss Statement/ Cash Flow → General → Actual/Actual Comparisons → Actual/actual comparison for year S_ALR_87012249 Transaction code 2.

Under Accounts Not Assigned. the report also lists the accounts that have not been assigned to an item in the financial statement version. Classic drilldown report Execute Output Type Result A financial statement version contains items that are particularly relevant to the financial statement report and general ledger information system. it only calculates the balance sheet and P&L result and displays this in the balance sheet and P&L statement. The retained earnings or losses and the P&L results are calculated by the report that creates the balance sheet and P&L statement. The report for creating balance sheets and P&L statements does not make any postings. Confidential Page 82 of 112 . as well as the accounts that could not be assigned. The retained earnings or losses are determined from the asset accounts. The balance of all the other accounts is derived from the P&L result. liabilities and owner’s equity accounts.Fiscal year In this field. specify the year and period and the comparison year and period for which you want to create the report.

g. 100000000 2005 Example User action and values PAPL Comment Example Confidential Page 83 of 112 . In the ABAP: Execute Program Screen. Access the transaction choosing one of the following navigation options: Menu path Transaction code System → Services → Reporting SA38 2. 4.Accounting Document and Ledger details Printing Purpose You can use these programs to print out the accounting documents and ledger details. 1 Printing accounting documents Procedure 1. Field name Program Description Program name R/O/C R User action and values /SMB14/SE38_P001_J03 Comment 3. Choose Execute (F8). enter the required data. Prerequisites • Printing accounting documents • Printing ledger details Result The accounting documents or ledger details are printed out. Field name Company code Posting date Documen t number Fiscal year Entry date Description Company code Posting date Document number Fiscal year Entry date R/O/C R O O R O E. Enter the required data.

g. enter the required data. Result The accounting documents are printed out. In the ABAP: Execute Program Screen. 4.: 24520100 Example CAIN Example Current year Example User action and values PAPL Comment Example Confidential Page 84 of 112 . Enter the printer name and choose Print.User name User name O 5. Field name Company code Documen t number Fiscal year Posting date Referenc e number Chart of account Posting period Currency GL Description Company code Document number Fiscal year Posting date Reference number Chart of account Posting period Currency key GL account R/O/C R O R O O R O O R E. Enter the required data. Choose Execute (F8). Field name Program Description Program name R/O/C R User action and values /SMB14/SE38_P002_J03 Comment 3. 2 Printing ledger details Procedure 1. Choose Execute (F8). 6. Call up the transaction as follows: Menu path Transaction code System → Services → Reporting SA38 2.

account Business area number Business area O 5. Confidential Page 85 of 112 . Choose Execute (F8).

Assets Accounting Creating Asset Use To create an Asset Master. Enter the required data. which will uniquely identify the asset. Procedure 1. use transaction AS08. To change to automatic number assignment. Remarks Plant and machinery Accounting → Financial Accounting → Fixed Assets → Asset → Create → Asset AS01 Asset System will assign number automatically Description Cost Center Usfl Life Area 01 Area 15 Area 20 Other fields R R R R R O Any 120 8 (years) 3 (years) 8 (years) You can enter data in all the other fields Confidential Page 86 of 112 . Field Name Asset Class Company Code Number of Similar Assets Description R/O/C R R R R User Action and Values 20200000 PAPL 1 Choose Enter or Master Data Several tab pages are displayed for you to enter the master data. Access the activity choosing one of the following navigation options: SAP R/3 Menu Transaction Code 2.

double click on row for depreication area 15. as the value of this asset will be included in the goup asset for the purpose of depreciation area 15. System issues a message with the number (Example: 60003-0) of the asset created. In the Depreciation area tab. 5. 4.sht. You can also use the following functions to maintain your fixed assets: SAP R/3 Menu Transaction Code Accounting → Financial Accounting → Fixed Assets → Asset → … AS02 (Change Asset) AS03 (Display Asset) AS06 (Delete Asset) AS05 (Lock Asset) AS11 (Create Subnumber) Prerequisite Asset master records have been created and posted to in the system.(optional). Screen make the following entries: Remarks Enter the group asset for income tax depreciation calculation. Save your entries. Access the activity choosing one of the following navigation options: SAP R/3 Menu Transaction Code Accounting → Financial Accounting → Fixed Assets → Asset → Asset Explorer AW01N Confidential Page 87 of 112 . Field Name Group Asset Description R/O/C R User Action and Values 1/0 Result The asset master record has been created under the number (Example: 60000-0) in company code PAPL and asset class 20200000. On the Create Asset : Depreciation Area Tax bal. 3. Procedure 1. All other entries on this screen are not relevant.

the net book value. of the asset created Current fiscal year For example. Enter the required data. Field Name Document Date Type Company Code Reference PstKy Account Description R/O/C R R R R Posting Key Vendor R R R User Actions and Values Today’s date. invoice number 31 Enter a vendor Enter Remarks Vendor invoice Enter an existing vendor code Takes you to the Confidential Page 88 of 112 . and any calculated interest. Field Name Company Code Asset Fiscal Year Depreciation Area Description R/O/C R R R R User Actions and Values PAPL No.2. all the depreciation values that have been calculated for the asset (including proportional value adjustments). 01 Book Depreciation Remarks Result The Planned Values tab page shows all the transactions that change the acquisition and production costs. Processing Fixed Assets Acquisitions Procedure 1. Access the activity choosing one of the following navigation options: SAP R/3 Menu Accounting → Financial Accounting → Fixed Assets → Posting → Acquisition → External Acquisition → With Vendor F-90 Transaction Code 2. for example. for example KR PAPL Any. Enter the required data.

Type Posting Key Asset Transaction type R 1. R Result The asset has been capitalized with the amount specified. Post the document. Field Name Existing Asset Amount Posted Document Date 3. Enter the required data. of the asset created 1. the capitalization and depreciation start dates were set when the first acquisition was posted.160 Automatic tax determination Debit asset External asset acquisition Takes you to the next screen Amount 3. the capitalization and depreciation start dates were set when the first acquisition was posted. of the asset created 100 Enter 1. Confidential Page 89 of 112 . w/Autom. In the asset master record. Description R/O/C O R R User Action and Values No. Offsetting Entry ABZON Transaction Code 2.000 Today's date Remarks Result The asset has been capitalized with the amount specified. In the asset master record.160 O R R R R Activate 70 No. Access the activity choosing one of the following navigation options: SAP R/3 Menu Accounting → Financial Accounting → Fixed Assets → Posting → Acquisition → External Acquisition → Acquis.next screen Amount in Document Currency Calculate Tax PstKy G/L account Trans. Acquisition with Automatic Offsetting Entry Procedure 1. Post the document.

you first have to post the revenue (customer to revenue from sale of asset) and then the asset retirement. The proportional value adjustment of 1250 yields a retirement net book value of 3750 and thus a loss of 750. you can post the receivable to the customer. Field Name Document Date Type Company Code Reference PstKy Account Posting Key Customer Description R/O/C R R R R R R User Actions and Values Today's date DR PAPL Any. An indicator in the posting transaction instructs the system to post an asset retirement after the revenue has been posted.Retirements Retirement with Revenue and Customer If you are also using the Financial Accounting component. for example. Procedure 1. Access the activity choosing one of the following navigation options: SAP R/3 Menu Accounting → Financial Accounting → Fixed Assets → Posting → Retirement → Retirement w/Revenue → With Customer F-92 Transaction Code 2. invoice number 01 9 Remarks Customer invoice R Amount Revenue (sales price) R Enter 100 Customer invoice Enter any existing customer Takes you to the next screen Confidential Page 90 of 112 . In the relevant posting transaction. the revenue. Enter the required data. The diagram below shows the retirement of 5000 APC with a revenue of 3000. and the asset retirement in one transaction when you sell an asset.

Post the document. The gains or losses realized were calculated automatically and posted to the accounts defined in Customizing. Type R R Asset Val. the retirement date was set automatically in the asset master record upon posting.Retire ment Amount Posted Percentage Rate Quantity Retirement date R O Today’s date.Calculate tax PstKy Account Posting Key Revenue clearing account O R R R Activate 50 40400000 Enter 100 Activate Enter No. of the asset created 260 Automatic tax determination Credit Takes you to the next screen Amount Asst Retirement Revenue (sales price) R R R Takes you to the next screen Retirement of current-year acquisition with revenue Asset Trans. If the asset retirement was a complete retirement. for example Activate Amount of APC being retired with partial retirement Amount of APC being retired with partial retirement Number of assets being retired (collective management) with partial retirement O O O 3. Date Compl. Confidential Page 91 of 112 . Result A partial retirement has been recorded for the specified asset.

Acq. Field Name Asset Document Date Asset Val. Confidential O Activate Page 92 of 112 . of the asset created Today’s date.Retirement with Revenue Without Customer Procedure 1. for example 50 Remarks Alternative entry to manual value Choose Partial Retirement (tab page) 200 Takes you to the next screen R Amount Posted Amount of APC being retired with partial retirement Amount of APC being retired with partial retirement Number of assets being retired (collective management) with partial retirement O Percentage Rate O Quantity O From Cur. Enter the required data. Access the activity choosing one of the following navigation options: SAP R/3 Menu Accounting → Financial Accounting → Fixed Assets → Posting → Retirement → Retirement w/Revenue → Asset Sale Without Customer ABAON Transaction Code 2. Date Manual Value NBV from Area Description R/O/C R R R O O Retirement date Revenue (sales price) Net book value from depreciation area as revenue User Action and Values No. for example Today’s date.Yr.

If the asset retirement was a complete retirement.3. Field Name Asset Document Date Asset Val. Retirement due to Scrapping Retirement without revenue involves the removal of a complex fixed asset from a company's fixed assets without revenue being realized for the asset (as in the case of scrapping. Post the document. Access the activity choosing one of the following navigation options: SAP R/3 Menu Transaction Code Accounting → Financial Accounting → Fixed Assets → Posting → Retirement → Asset Retirement by Scrapping ABAVN 2. The gains or losses realized were calculated automatically and posted to the accounts defined in Customizing. for example Choose Partial Retirement (tab page) 50000 Remarks Retirement date Takes you to the next screen Percentage Rate O Confidential Page 93 of 112 . Procedure 1. the system generates a loss for asset retirement without revenue equal to the retired net book value instead of the revenue and gain/loss posting. Result A partial retirement has been recorded for the specified asset. of the asset created Today’s date. Date Description R/O/C R R R R Amount Posted Amount of APC being retired with partial retirement Amount of APC being retired with O User Action and Values No. When an asset is retired without revenue. for example). Enter the required data. the retirement date was set automatically in the asset master record upon posting. for example Today’s date.

the retirement date was set automatically in the asset master record upon posting. The gains or losses realized were calculated automatically and posted to the accounts defined in Customizing. Field Name Description R/O/C User Action and Values Remarks Accounting → Financial Accounting → Fixed Assets → Asset → Create → Asset AS01 Confidential Page 94 of 112 . Access the activity choosing one of the following navigation options: SAP R/3 Menu Transaction Code 2. Enter the required data. Post-Capitalization Use Post-capitalization represents subsequent corrections to the acquisition and production costs (APC) of a fixed asset. An example of when you need this type of correction is if you neglect to add expenditures and costs linked with the acquisition or assembly of an asset to its APC in a fiscal year that is now closed. O Activate Result A partial retirement has been recorded for the specified asset. This example can apply to both part assets and entire complex fixed assets. Post the document.partial retirement Quantity Number of assets being retired (collective management) with partial retirement O From Cur.Yr. The following example is based on an entire complex fixed asset. If the asset retirement was a complete retirement. 3. Creating an Asset Master Record Procedure 1.Acq.

Assets Under Construction Use Assets under construction (AuC) are a special form of tangible asset. During the phase in which an asset is under construction. therefore. Once the asset is completed. use transaction AS08. Asset R System will automatically issue a number on posting Description Capitalized on Historical capitalization date of asset Area 01 Area 15 Area 30 R R Any Date in a fiscal year that is already closed 120 8 (years) 10 (years) 8 (years) You can enter data in all the other fields (optional). require separate account determination and asset classes. To change to automatic number assignment. They are usually displayed as a separate balance sheet item and. a transfer is made to a master record that has to be created in the completed fixed assets.Asset Class Company Code Number of Similar Assets PostCapitalization R R R O R 20200000 Machinery PAPL 1 Activate Choose Enter or Master Data Several tab pages are displayed for you to enter the master data. all actual postings are assigned to the AuC. Confidential Page 95 of 112 . Save your entries. Cost Center Usfl Life R R R R O Other fields 3.

a transfer is made at the time of completion. In the case of summary management. using transaction ABUMN. the entire expenses incurred are transferred once or several times to the asset(s) in the completed tangible fixed assets at the time of completion. Asset class 29501000 has been identified in Customizing as managed by line item for this purpose. Select the item you posted and choose Enter (Shift+F6). as described in the section on master data maintenance. you can enter settlement rules for every line item assigned to the AuC. use one of the methods described in the section on acquisitions. Alternatively. Field Name Confidential Description R/O/C User Action and Values Remarks Page 96 of 112 . First. as described above. When assets under construction are managed by line item. post an acquisition to this asset under construction. Field Name Company Code Asset Description R/O/C R R User Action and Values PAPL No. Asset class 29500000 is available for assets under construction managed for summary settlement. Procedure 1. create an asset master record in asset class 29500000. you can use asset 96 as the asset under construction and asset 7 as the completed asset once. of previously created AuC or asset 96 Remarks Accounting → Financial Accounting → Fixed Assets → Posting → Capitalize Asset u. Choose Execute 4. Next. it is assumed that the AuC has been completed and has yet to be transferred to the completed fixed assets. Const. Enter the required data. Access the activity choosing one of the following navigation options: SAP R/3 Menu Transaction Code 2. In the case of assets under construction managed for summary settlement. In the following example. Prerequisites The following example is based on assets under construction managed by line item.Settling Assets Under Construction Use Assets under construction can be managed for summary settlement or by line item. To do so. You have to maintain the settlement rule here. → Distribute AIAB 3. The two assets are created with the LSMW. Finally. create an asset master record in asset class 20200000.

choose F3. choose Save (F11). You can display the document for this intracompany transfer using the Asset Explorer (transaction AW01N). of previously created asset in class 20200000 100 Asset Percentage Rate O Portion of AuC APC that can be capitalized 5. Down Payments for Assets Under Construction Use Down payments for assets under construction are fixed asset acquisitions that have to be capitalized and reported as a separate item on the balance sheet. Description R/O/C R R R R R O O User Action and Values PAPL No. The following transactions must be posted in connection with a down payment: • Creating a down payment request for tangible assets (Accounts Payable Accounting only) Confidential Page 97 of 112 . Then choose Settlement (Shift+F8). Date Posting Date Test Run Detail List 6. for example Today’s date. To go back to the line item overview. For this reason. down payment postings use separate. This calls up transaction AIBU (AuC Settlement). You can access this transaction from both the asset under construction and the completed asset. special transaction types and are posted to separate accounts in the SAP R/3 System. for example Deactivate Activate Remarks Result When the settlement is carried out. Execute the settlement. Field Name Company Code Asset Document Date Asset Val.Type Settlement Receivers % Settlement receiver category R R FXA No. for example Today’s date. of previously created AuC Today’s date. To save the settlement rule. an intracompany transfer is made between the asset under construction and the asset in the completed fixed assets.

you can display the down payment. First. Alternatively.Sp. for example KA Remarks Accounting → Financial Accounting → Accounts Payable → Document Entry → Down Payment → Request F-47 Vendor down payment request Company Code Posting Date Account Vendor R R R R R PAPL Today’s date. Field Name Document Date Type Description R/O/C R R User Action and Values Today’s date. The following example is based on the integrated procedure. Access the activity choosing one of the following navigation options: SAP R/3 Menu Transaction Code 2.• Posting the down payment for tangible assets • Posting the corresponding final settlement for tangible assets • Clearing the down payment with the final settlement These transactions can be carried out with integration with Accounts Payable Accounting. create an asset master record for an AuC in class 29500000 Post the Down Payment Request Procedure 1. Enter the required data. for example 1115 M Enter 1115 For example. final settlement. Prerequisites The transaction types for down payments must be permitted in Customizing for the asset under construction (AuC) classes. the first day of the next month Trg. and settlement separately in Asset Accounting. Special G/L indicator Enter an existing vendor Tangible asset down payment Takes you to the next screen Amount Due on Down payment amount R R Confidential Page 98 of 112 .G/L Ind. in other words without integration with Accounts Payable Accounting.

Access the activity choosing one of the following navigation options: SAP R/3 Menu Transaction Code 2. first day of the next month KZ PAPL For example.Asset O No. for example 1115 M Example 245200000 For example. Reference Account Vendor R R R R R R Reference number. first day of the next month Remarks Accounting → Financial Accounting → Accounts Payable → Document Entry → Down Payment → Down Payment F-48 Vendor down payment India Best Practices Ltd The warning message about adjusting the period to the posting date can be ignored on posting. of the asset under construction created earlier 3. Posting the Down Payment Procedure 1. first day of the next month 150000 Special G/L Ind Special G/L indicator Account Bank account Value Date Amount Down payment amount Enter an existing vendor Tangible asset down payment Confidential Page 99 of 112 . Result The down payment request did not result in a posting to the asset. Enter the required data. Post the document. Field Name Document Date Type Company Code Posting Date Description R/O/C R R R R User Action and Values For example.

a posting was made to the account for tangible asset down payments defined in Customizing for Asset Accounting rather than the balance sheet asset account. first day of the next month KA Remarks Accounting → Financial Accounting → Accounts Payable → Document Entry → Down Payment → Clearing F-54 Company Code Posting Date R R PAPL For example. Enter the required data. The offsetting account for this is the clear down payments on tangible assets account that is also defined in Customizing for Asset Accounting. Result An asset line item with transaction type 100 has been generated for the asset under construction as a result of the posting transaction for the final settlement. You can now post the down payment. use transaction F-90 to post the final settlement as described in the section on acquisitions integrated with Accounts Payable Accounting. Access the activity choosing one of the following navigation options: SAP R/3 Menu Transaction Code 2. first day of the next month Vendor down payment request BP Acc India The warning message about Confidential Page 100 of 112 . Choose Requests and then select the request you posted in the list. Result An asset line item with transaction type 180 has been generated for the asset under construction as a result of the posting transaction described above.3. Make a note of the document number. Clearing the Down Payment Procedure 1. Posting the Final Settlement Procedure Next. Field Name Document Date Type Description R/O/C R R User Action and Values For example. When you posted the down payment.

Post the document. Choose Enter. however. A message appears at the bottom of the screen requesting you to correct the relevant line items. You still have to enter a text here. Confidential Page 101 of 112 . The CO internal order you created is stored in the asset master record. want to manage cost accounting information at the same time. In the first step. Direct capitalization refers to asset acquisitions that do not have an ‘under construction’ phase. enter the amount to be cleared. 5. you create an asset master record in the appropriate asset class. and commitments in order to make target/actual comparisons. Instead. Vendor R R 1115 Document number of final settlement Result An asset line item with transaction type 181 has been generated for the asset under construction as a result of the posting transaction for the clearing the down payment described above. Enter the text Down payment clearing. For example. Account Invoice 3. 4. You can plan and/or budget this order. In the Transfer Posting column.adjusting the period to the posting date can be ignored on posting. the internal order is updated statistically. budgets. Next. You post the acquisition directly to the asset master record. they are capitalized and depreciated immediately. Then choose Post. Select the down payment you posted. the SAP FI-AA Asset Accounting component allows you to post asset transactions both directly to the asset and as statistics to an internal order at the same time. You might. you create a CO internal order. you might want to manage planned values. During this process. For this reason. This enables you to then make a plan (or budget)/actual comparison at internal order level. Choose the highlighted line item by double-clicking it. Direct Capitalization Use Asset investments that do not have an asset under construction (AuC) phase are usually capitalized directly in Asset Accounting. This is made possible by the Direct Capitalization component.

The above prerequisites have been met in the system. You can use report RACKAR00 in Customizing to create all of the fixed asset balance sheet accounts in depreciation area 01 as statistical cost elements. Periodic Processing Purpose The steps described in the following section must be carried out periodically at monthly or yearly intervals. This indicator is already set appropriately in the standard transaction types. the balance sheet asset accounts are created as statistical cost elements with cost element category 90 = ‘Statistical balance sheet account’. Depreciation Posting Runs Use A posting to a fixed asset initially causes the planned depreciation to change in Asset Accounting. • The indicator for statistically updating the order has to be set in the definition of the transaction types used for asset transactions (Relevant to Budget indicator). however. quarterly. • The asset balance sheet accounts for the acquisition and production costs (APC) of the assets have to be entered in the FI-CO component as cost elements (cost element category 90). The depreciation posting should be run periodically (annually. Confidential Page 102 of 112 . Prerequisites The order in which the individual steps are carried out is determined by the other components in use. Once you have executed the function in update mode. or monthly). The total planned depreciation is not posted to Financial Accounting (only collective documents are created) until the periodic depreciation posting run is executed. the program has to be started in the background. • The Internal Order field has to be set as an optional entry field in the field status variant of the company code/asset balance sheet account for the APC of the asset.Prerequisites The following conditions have to be fulfilled for automatic statistical posting to orders: • The CO internal order must be entered in the asset master record as an investment account assignment (not as a maintenance order or cost order in the time-dependent data). When executed as an update run. such as SAP FI-CO and SAP FI. semi-annually. The accumulated depreciation accounts and depreciation accounts of the balance sheet and profit and loss statement are not updated immediately.

As the posting date. For depreciation area 20. the system uses • The last day of the period for normal periods (no special periods) • The last day of the fiscal year for special periods Prerequisites Document type AF has been defined in Customizing for posting depreciation. For each depreciation area. Confidential Page 103 of 112 . You can also choose an unplanned depreciation posting run using an indicator on the initial screen of the depreciation posting run. The Customizing settings also specify that depreciation in depreciation areas 01 (book depreciation). Access the activity choosing one of the following navigation options: SAP R/3 Menu Transaction Code Accounting → Financial Accounting → Fixed Assets → Periodic Processing → Depreciation Run → Execute AFAB 2. The system is set in such a way that depreciation is posted monthly. Enter the required data on the screens displayed. When you set this indicator. you have to specify whether depreciation is to be posted to the cost center and/or to the order. This information is taken from the asset master record and passed on to Financial Accounting as an additional account assignment. The difference between the two procedures becomes evident when you process acquisitions within the fiscal year or handle post-capitalization. you can skip over several periods and post the total depreciation for all of the skipped periods in one period. the annual depreciation amount determined is distributed equally over the periods from the current posting period to the year end. depreciation due on a transaction within the fiscal year (from the depreciation start date. number range 03 has been specified with external number assignment. In the Customizing definition of the document type. With the catch-up method. the system is set to assign the cost-accounting depreciation and interest to the cost center Procedure 1. You do not have to keep strictly to this posting cycle.The system creates posting documents for each depreciation area and account group in accordance with the posting cycles specified in Customizing. and 20 (cost-accounting depreciation) is posted in the general ledger. You can define the depreciation posting cycle by specifying the length of time in posting periods between two posting runs. The depreciation posting program posts this amount in the period in which the posting date of the acquisition lies. up to the current period) is posted in one total. The system supports two different procedures for distributing the forecasted depreciation over the posting periods. With the smoothing method. according to period control. The catch-up procedure is configured in the system for all depreciation areas.

Field Name Company Code Fiscal Year Posting Periods Planned Posting Run Repeat Restart Unplanned Posting Run List Assets

Description

R/O/C R R R

User Action and Values PAPL Current fiscal year Current period

Remarks India Best Practices Ltd

Period for which the depreciation is to be posted

O O O O O Activate Activate

List of Manual Depreciation Test Run

O

Activate

O

See explanation See explanation See explanation See explanation All the assets are listed individually in the list. Manual depreciation is listed separately. You can only execute the update run in the background.

Explanations: • Planned Posting Run You can post to the next period that is specified according to the posting cycle. During a regular posting run of this kind, the system does not allow you to limit the run to particular assets. • Repeat Run You can request a repeat posting run for the last period posted. You might need to carry out a repeat run if the depreciation terms were changed for individual assets in connection with the year-end closing, for example. During a repeat posting run, the system only posts the differences that resulted between the first posting run and the repeat posting run. You can limit the run to particular assets. • Restart If a posting run terminated for technical reasons and changes had already been made to the database, you have to restart the program in restart mode. Using the restart mode ensures that all system activities that were interrupted by the termination are repeated. • Unplanned Posting Run

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If, for whatever reason, you want to skip over one or more posting periods, you can do this by specifying an unplanned posting run. The system then creates postings for all the periods that were skipped, as well as for the period entered. The posting period that you specify, however, must fit into the posting cycle. If you specify period 7 for a quarterly posting cycle, for example, no posting occurs. 3. Once you have made all the necessary entries, execute the depreciation posting run in the background (Program → Execute in Background) 4. Enter the required data on the screens displayed. Field Name Output Device Print Immediately Description Printer name R/O/C R O User Action and Values Select an existing printer. Deactivate Remarks Select this checkbox if you want to print the list you created immediately. Takes you to the next screen The job is started immediately.

R Start Time dialog box R

Continue (Shift+F1) Choose Immediate

5. To start the depreciation posting run, save the start time values. You can monitor the job scheduled in the background as follows: 6. Access the activity choosing one of the following navigation options: SAP R/3 Menu Transaction Code System → Services → Jobs → Job Overview SM37

You can accept the default values on the selection screen. Choose F8 to execute the program. The job always appears under the name RAPOST2000. The Status column shows the current status of the job. Choose Refresh or F8 to update the information. As soon as the status of the job is "Finished", select your job and choose Spool. To go from the overview to your list, choose F6. When this list was generated, the fixed assets in question were also updated to include the posted depreciation. The planned depreciation for every complex fixed asset is not totaled for each posting level and posted directly to Financial Accounting until the periodic depreciation posting run has been executed.

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Result
The planned depreciation is posted to the accounts defined in Customizing. Note that the system always creates collective documents (not individual documents for each asset) when posting depreciation.

Posting Acquisition and Production Costs Values
Use
In addition to the posting of depreciation (using the depreciation posting run), the most important periodic processing you perform is the posting of changes to asset balance sheet values. These changes consist of all postings that affect the APC of the asset, including acquisitions, retirements, and so on. You have to post changes to asset balance sheet values from more than one depreciation area to the general ledger if one of the following applies: • You need to create different balance sheet versions for internal and external purposes, for example. You can define any number of balance sheet versions per chart of accounts in FI (General Ledger) for this purpose. • You have a group depreciation area in a foreign currency, and you need to post changes to asset balance sheet values from this area to the ledger of the corporate group. • You calculate reserves for special depreciation or transferred reserves in a derived depreciation area. The third case applies in the system. For these derived areas, the program posts the proportional accumulated depreciation resulting from retirements, intracompany transfers, post-capitalization, and so on. The report RAPERB00 creates a batch input session.

Procedure
1. Access the activity choosing one of the following navigation options:

SAP R/3 Menu Transaction Code

Accounting → Financial Accounting → Fixed Assets → Periodic Processing → Periodic Posting ASKB

2. Enter the required data on the screens displayed. Field Name Company Code Document Type List Line Items Description R/O/C R R User Action and Values PAPL AB Remarks Document type used for the posting Lists the individual documents

O

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Test Run Main Asset Number/Asset Sub-Number Session Names Session Blocking Date O O R O Any entry Date until which the session you created is blocked The session is kept after processing. You can process the batch input session as follows: 4. Field Name Process/ Foreground Description R/O/C O User Actions and Values Remarks Each screen is displayed and has to be confirmed with Enter. The documents are not posted in the foreground. only documents with errors are displayed and can be corrected. Enter the required data on the screens displayed. The procedure from this point onwards (job monitoring) is the same as for the depreciation run. Access the activity choosing one of the following navigation options: SAP R/3 Menu System → Services → Batch Input → Sessions Transaction Code SM35 Select your session and choose Process or F8. Documents with errors are written to a new batch Display errors only O Activate Background O Confidential Page 107 of 112 . 5. Execute the program. Keep Session O 3. The documents are not posted in the foreground.

input session. the relevant accumulated depreciation postings are posted to the accounts defined in Customizing. Enter the required data. Depreciation Simulation/Primary Cost Planning Use You can use standard reports to help you forecast the planned depreciation of complex fixed assets over several years. Access the activity choosing one of the following navigation options: SAP R/3 Menu Accounting → Financial Accounting → Fixed Assets → Information System → Reports on Asset Accounting → Depreciation Forecast → Depreciation on Capitalized Assets (Depreciation Simulation) S_ALR_87012936 Transaction Code 2. such as retirements. Depreciation Area Simulation Version Confidential R O 20 Page 108 of 112 . Procedure 1. In addition to the simple list display option. Field Name Company Code Report Date Description R/O/C R R User Action and Values PAPL 31/03/2005 Remarks India Best Practices Ltd Specify here the number of years for which the simulation is to run. 6. Result If assets with reserves for special depreciation or transferred reserves involve postings. that change the accumulated depreciation. you can also post the planned depreciation as planned costs to the cost centers or internal orders to which the individual fixed assets are assigned. Run the batch input session.

The following section describes how to post the forecast depreciation as planned costs to the Controlling objects that are assigned to the assets. The cost element that is specified in Customizing for Asset Accounting as the expense account for the respective depreciation type is used.You can use simulation versions to simulate changes with regard to the types of asset valuation (depreciation key. Execute the report and analyze the result. there are various other fields that you can use to limit the report to particular complex fixed assets. 6. The planned costs are posted directly to the assigned Controlling objects and can be evaluated by means of cost center reporting or internal order reporting. Enter the required data. for example). The value that already exists in a Controlling object for the cost element and period is overwritten during this process. 3. You can execute the report in the background. 4. Result The system does not create a batch input session. useful life. Confidential Page 109 of 112 . Access the activity choosing one of the following navigation options: SAP R/3 Menu Accounting → Financial Accounting → Fixed Assets → Periodic Processing → Primary Cost Planning: Depreciation/Interest S_ALR_87099918 Transaction Code 5. Field Name Company Code Depreciation Area Planning Periods Fiscal Year Planning Periods From Period To Plan Version Test Run Summary Report Description R/O/C R R R O User Action and Values PAPL 20 Current fiscal year Remarks India Best Practices Ltd No restriction means from 1 to 12 0 Deactivate Deactivate R O O In addition to the selection fields above. In addition to the selection fields above. The section on depreciation posting runs contains information on monitoring the job and spool. You have to define simulation versions in Customizing. there are various other fields that you can use to limit the report to particular complex fixed assets. Execute the report. You can execute the report more than once.

the asset values from the previous fiscal year are carried forward cumulatively into the new fiscal year. Enter the required data. Access the activity choosing one of the following navigation options: SAP R/3 Menu Transaction Code 2. however. you must have already closed fiscal year YYYY-2.Fiscal Year Change Use From a system perspective. Field Name Company Code New Fiscal Year Test Run Description R/O/C R R O User Action and Values PAPL Current fiscal year + 1 Activate Remarks India Best Practices Ltd Accounting → Financial Accounting → Fixed Assets → Periodic Processing → Fiscal Year Change AJRW If the company code has been set to “production” (company code status = blank). Before you can change to fiscal year YYYY. a fiscal year change represents the creation of a new fiscal year for a company code. At the same time. continue to post in the previous fiscal year. you cannot carry out the fiscal year change until the last month of the current fiscal year (in Confidential Page 110 of 112 . The fiscal year change has to be carried out as background processing for performance reasons. The earliest that you can carry out a fiscal year change is in the last month of the old fiscal year. The system automatically corrects any values that have already been carried forward and that are affected by postings in the past. Procedure 1. Once the fiscal year change takes place. even after the fiscal year change. No business transactions can be posted in a new fiscal year before the fiscal year change. You can continue to post in the old fiscal year. provided this has not been closed as a result of the year-end closing. you can. You can carry out test runs with fewer than 1.000 assets in the foreground. You can have a maximum of two fiscal years open for posting at one time. Prerequisites The fiscal year change can only be carried out (even in test mode) for the new fiscal year. you can post to assets using value dates in the new fiscal year. At the fiscal year change.

The fiscal year change has to be carried out in Asset Accounting before the year-end closing (SAP FI-AA). You cannot close the current fiscal year.000 assets exist in the system. Once the fiscal year is closed. you can change the fiscal year as and when required. The system only closes a fiscal year in a company code if • The system found no errors during the calculation of depreciation (such as incorrectly defined depreciation keys) • Planned depreciation from the depreciation areas to be posted has been completely posted to the general ledger • Balances from depreciation areas that are posted periodically have been completely posted to the general ledger • All assets acquired in the fiscal year have already been capitalized Confidential Page 111 of 112 .000 assets exist in the system. If the company code is a test company code (company code status = 2). Carry out the fiscal year change as a test run. No more than two fiscal years. you can no longer post or change values within Asset Accounting (for example. You set the company code status in Customizing for Asset Accounting.000 assets in the foreground. Start the program. You can carry out test runs with fewer than 1. the asset values from the previous fiscal year are carried forward cumulatively into the new fiscal year. Prerequisites You have to carry out the year-end closing as background processing for performance reasons. however. The section on depreciation posting runs contains information on monitoring the job and spool. If fewer than 1. Result If you started the report in update mode. in Background). can be open at the same time. as a background job (on the selection screen for the program: Program → Exec. you have to start the program by choosing Program → Execute in Background. The year-end closing in Asset Accounting must be performed before the year-end closing in General Ledger Accounting.update mode). The fiscal year that is closed is always the year following the last closed fiscal year. therefore. Postings can now be made to the new fiscal year. by recalculating depreciation). If more than 1. you can also start the report online. Year-End Closing Use You can use the year-end closing program to close the fiscal year for one or more company codes from an accounting perspective.

you can prevent it from being performed for these assets by means of the asset class. Description R/O/C R O User Action and Values PAPL Remarks Capitalization date not checked Accounting → Financial Accounting → Fixed Assets → Periodic Processing → Year-End Closing → Execute AJAB Fiscal Year to Fiscal year to be R Current fiscal year Be Closed closed Test Run O Activate 3. Execute the year-end closing and analyze the log. • All incomplete assets (master records) have been completed The system lists any assets that do not meet the above requirements in the year-end closing log. Const. Access the activity choosing one of the following navigation options: SAP R/3 Menu Transaction Code 2. Field Name Company Code Asset Classes Asset u. Result If you have performed the year-end closing in update mode. The log also shows the reason for the errors.Since this check does not make sense for assets under construction. You can execute the report in the background. you can no longer post to the closed fiscal year. Confidential Page 112 of 112 . Procedure 1. The section on depreciation posting runs contains information on monitoring the job and spool. Enter the required data.

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