AC205 4.6 / Financial Closing
AC205
R/3 System Release 46C 04/04/2001
0
AC205 4.6 / Financial Closing......................................................................................................................................0-1
Copyright ..................................................................................................................................................................0-2
The R/3 Integration Model....................................................................................................................................0-3
Financial Accounting ... Public Sector ..................................................................................................................0-4
Course Prerequisites..............................................................................................................................................0-5
Target Group .........................................................................................................................................................0-6
Introduction...............................................................................................................................................................1-1
Course Goals .........................................................................................................................................................1-2
Course Objectives .................................................................................................................................................1-3
Contents ................................................................................................................................................................1-4
Course Overview Diagram....................................................................................................................................1-5
Main Business Scenario ........................................................................................................................................1-6
Overview of Closing Process ....................................................................................................................................2-1
Overview of Closing Process: Unit Objectives .....................................................................................................2-2
Overview of Closing Process: Course Overview Diagram ...................................................................................2-3
Overview of Closing Process: Business Scenario .................................................................................................2-4
Month-End Closing Overview ..............................................................................................................................2-5
Year-End Closing Overview .................................................................................................................................2-6
Overview of Closing Process: Unit Summary ......................................................................................................2-7
The Financial Statement............................................................................................................................................3-1
The Financial Statement Program: Unit Objectives..............................................................................................3-2
The Financial Statement: Course Overview Diagram...........................................................................................3-3
The Financial Statement: Business Scenario.........................................................................................................3-4
The Financial Statement: Topic Objectives ..........................................................................................................3-5
Financial Statement Versions Overview ...............................................................................................................3-6
Financial Statement Versions................................................................................................................................3-7
The Balance Sheet Section of an F/S Version.......................................................................................................3-8
The Profit and Loss Section of an F/S Version .....................................................................................................3-9
Account Group Allocation According to Balance...............................................................................................3-10
Texts....................................................................................................................................................................3-11
Drilldown Reporting: Topic Objectives ..............................................................................................................3-12
Drilldown Reporting ...........................................................................................................................................3-13
Drilldown List and Detail List Reporting............................................................................................................3-14
Cost-Of-Sales Accounting: Topic Objectives .....................................................................................................3-15
Cost-Of-Sales and Period Accounting Views .....................................................................................................3-16
Cost-Of-Sales Accounting and Functional Areas................................................................................................3-17
The Financial Statement: Unit Summary ............................................................................................................3-18
The Financial Statement Exercises .....................................................................................................................3-19
The Financial Statement Solutions......................................................................................................................3-22
Assets and Liabilities (1)...........................................................................................................................................4-1
Assets and Liabilities (2).......................................................................................................................................4-2
Assets and Liabilities: Unit Objectives I...............................................................................................................4-3
Assets and Liabilities: Unit Objectives II..............................................................................................................4-4
Assets and Liabilities: Course Overview Diagram ...............................................................................................4-5
Assets and Liabilities: Business Scenario .............................................................................................................4-6
Fixed Assets: Topic Objectives.............................................................................................................................4-7
Assets on the Balance Sheet..................................................................................................................................4-8
Periodic tasks in FI-AA relevant for FI-GL ..........................................................................................................4-9
Settlement of Capital Investment Measures........................................................................................................4-10
Organizational Procedure for Depreciation Posting............................................................................................4-11
Fiscal Year Change/Year-End Closing ...............................................................................................................4-12
Current Assets: Topic Objectives........................................................................................................................4-13
Maintaining the GR/IR Clearing Account...........................................................................................................4-14
GR/IR Clearing Account Analysis and Declaring Acquisition Tax....................................................................4-15
Material Price Changes .......................................................................................................................................4-16
Material Valuation in the R/3 System .................................................................................................................4-17
Lowest Value Determination ..............................................................................................................................4-18
Balance Sheet Valuation .....................................................................................................................................4-19
Physical Inventory Procedure .............................................................................................................................4-20
Receivables (& Payables): Topic Objectives ......................................................................................................4-21
Customizing I: Balance Confirmations ...............................................................................................................4-22
Customizing II: Balance Confirmations..............................................................................................................4-23
IVA Posting for Doubtful Receivables ...............................................................................................................4-24
Flat-Rate IVA Posting for Doubtful Receivables................................................................................................4-25
Foreign Currency Valuation and the Sorted List.................................................................................................4-26
Currencies ...........................................................................................................................................................4-27
Exchange Rate Types..........................................................................................................................................4-28
Spreads................................................................................................................................................................4-29
Customizing: Valuation Methods........................................................................................................................4-30
Valuation (without Update).................................................................................................................................4-31
Valuation (with Update)......................................................................................................................................4-32
Open Item Valuation ...........................................................................................................................................4-33
Customizing: Account Determination for Open Item Exchange Rate Differences.............................................4-34
Customizing: Regroup Receivables and Payables ..............................................................................................4-35
Example: Customers with Credit Balance...........................................................................................................4-36
Balancing for Affiliated Companies ...................................................................................................................4-37
Changed Reconciliation Account........................................................................................................................4-38
Checks/Banks: Topic Objectives ........................................................................................................................4-39
Automatic Postings - Exchange Rate Differences...............................................................................................4-40
Account Determination in Foreign Currency Balances.......................................................................................4-41
Valuing Foreign Currency Balance Sheet Accounts ...........................................................................................4-42
Accrual/Deferral Postings: Topic Objectives......................................................................................................4-43
Accrual/Deferral Postings ...................................................................................................................................4-44
Accrual/Deferral Posting: Warehouse Lease ......................................................................................................4-45
Assets and Liabilities: Unit Summary.................................................................................................................4-46
Assets & Liabilities Exercises.............................................................................................................................4-47
Assets & Liabilities Solutions .............................................................................................................................4-60
Profit and Loss ..........................................................................................................................................................5-1
Profit and Loss: Unit Objectives ...........................................................................................................................5-2
Profit and Loss: Course Overview Diagram .........................................................................................................5-3
Profit and Loss: Business Scenario .......................................................................................................................5-4
Controlling: Topic Objectives...............................................................................................................................5-5
Controlling in R/3 .................................................................................................................................................5-6
Allocating Costs to Financial Accounting.............................................................................................................5-7
Allocating Costs to CO Objects I..........................................................................................................................5-8
Allocating Costs to CO Objects II.........................................................................................................................5-9
Reconciliation Ledger .........................................................................................................................................5-10
Reconciliation Postings.......................................................................................................................................5-11
Lock Period in Controlling..................................................................................................................................5-12
Posting Salary Expenses from HR: Topic Objectives.........................................................................................5-13
Payroll Procedure and Subsequent Activities .....................................................................................................5-14
Posting Payroll Results to Accounting................................................................................................................5-15
Additional Subsequent Activities........................................................................................................................5-16
Month-End Activities in FI .................................................................................................................................5-17
Profit and Loss: Unit Summary...........................................................................................................................5-18
Profit and Loss Exercises ....................................................................................................................................5-19
Profit and Loss Solutions ....................................................................................................................................5-22
Customizing Technical, Organizational and Documentary Steps .............................................................................6-1
Customizing Technical, Organizational and Documentary Steps: Unit Objectives ..............................................6-2
Customizing Technical, Organizational & Documentary Steps: Course Overview Diagram...............................6-3
Customizing Technical, Organizational and Documentary steps: Business Scenario...........................................6-4
Customizing Technical Steps: Topic Objectives...................................................................................................6-5
Defining Posting Periods.......................................................................................................................................6-6
Posting Period Control ..........................................................................................................................................6-7
Balance Carry-Forward.........................................................................................................................................6-8
Schedule Manager: Benefits .................................................................................................................................6-9
Schedule Manager: Monitor................................................................................................................................6-10
Schedule Manager: Scheduling...........................................................................................................................6-11
Schedule Manager: Task List - Flow Definition .................................................................................................6-12
Schedule Manager: Worklist Monitor.................................................................................................................6-13
Customizing Organizational Steps: Topic Objectives.........................................................................................6-14
Subsequent BA/PC / Profitability Segment Adjustment .....................................................................................6-15
Business Area Allocation....................................................................................................................................6-16
Customizing Documentary Steps: Topic Objectives...........................................................................................6-17
Balance Audit Trail (Accumulated) ....................................................................................................................6-18
Customizing Technical, Organizational, and Documentary steps: Unit Summary .............................................6-19
Cust. Tech., Org. & Doc. Steps Exercises...........................................................................................................6-20
Cust. Tech., Org. & Doc. Steps Solutions...........................................................................................................6-25
Closing Process .........................................................................................................................................................7-1
Closing Process: Unit Objectives..........................................................................................................................7-2
Closing Process: Course Overview Diagram ........................................................................................................7-3
Month-End Closing Process..................................................................................................................................7-4
Year-End Closing Process.....................................................................................................................................7-5
Closing Process: Unit Summary ...........................................................................................................................7-6
Appendix (1) .............................................................................................................................................................8-1
Country Specifics..................................................................................................................................................8-2
Country Specifics: Unit Objectives.......................................................................................................................8-3
AC205 - Course Overview (2): Country Specifics................................................................................................8-4
Country Specifics: Business Scenario...................................................................................................................8-5
General tax processing: Topic Objectives.............................................................................................................8-6
Taxes .....................................................................................................................................................................8-7
General Preconditions for Tax Processing ............................................................................................................8-8
GL Account = Tax Account..................................................................................................................................8-9
Tax Codes ...........................................................................................................................................................8-10
Tax Return ..........................................................................................................................................................8-11
Tax reporting USA: Topic Objectives.................................................................................................................8-12
1099 Business Process ........................................................................................................................................8-13
Vendor Master Record ........................................................................................................................................8-14
Vendor Account Groups .....................................................................................................................................8-15
Withholding Tax Codes ......................................................................................................................................8-16
Field Status Groups/Posting Keys.......................................................................................................................8-17
Document Change Rules.....................................................................................................................................8-18
Vendor Invoice....................................................................................................................................................8-19
Vendor payment..................................................................................................................................................8-20
1099 Reporting....................................................................................................................................................8-21
1099 State Withholding Tax ...............................................................................................................................8-22
1042 Business Process ........................................................................................................................................8-23
Vendor Master Record ........................................................................................................................................8-24
Vendor Account Groups .....................................................................................................................................8-25
Withholding Tax Codes ......................................................................................................................................8-26
Field Status Groups/Posting Keys.......................................................................................................................8-27
Document Change Rules.....................................................................................................................................8-28
Withholding Tax Countries.................................................................................................................................8-29
Type of Recipient for Vendors............................................................................................................................8-30
Withholding Tax Formulas .................................................................................................................................8-31
Automatic Posting (Withholding Tax) ................................................................................................................8-32
Vendor Invoice....................................................................................................................................................8-33
Vendor Payment..................................................................................................................................................8-34
1042 Reporting....................................................................................................................................................8-35
Germany Tax reporting: Topic Objectives..........................................................................................................8-36
Tax Return and Postings .....................................................................................................................................8-37
Advance Return for Tax on Sales/Purchases - Form (Germany) ........................................................................8-38
Germany Foreign trade reporting: Topic Objectives...........................................................................................8-39
Foreign Trade......................................................................................................................................................8-40
RFAWVZ5A Control Values..............................................................................................................................8-41
RFAWVZ5A: Foreign Trade Regulation Report ................................................................................................8-42
European Union Tax reporting: Topic Objectives ..............................................................................................8-43
EU Single European Market ...............................................................................................................................8-44
Customizing Country Specifics Exercises ..........................................................................................................8-45
Customizing Country Specifics Solutions...........................................................................................................8-48
Appendix (2) .............................................................................................................................................................9-1
Other Closing Information ....................................................................................................................................9-2
Other Closing Information: Unit Objectives .........................................................................................................9-3
Transferring data from FI to Consolidation: Topic Objectives .............................................................................9-4
Data Streams .........................................................................................................................................................9-5
Integration of Master Data ....................................................................................................................................9-6
Preparation in FI....................................................................................................................................................9-7
Assignment: Company Code - Company..............................................................................................................9-8
Trading Partner Information: FI............................................................................................................................9-9
Additional Account Assignment: Business Area ................................................................................................9-10
Assignments: Asset Master Record.....................................................................................................................9-11
Consolidation With Different Releases...............................................................................................................9-12
Defining Data Transfer .......................................................................................................................................9-13
Realtime Updates ................................................................................................................................................9-14
Periodic Extract...................................................................................................................................................9-15
Financial Statement Version for Consolidation ..................................................................................................9-16
Rollups ................................................................................................................................................................9-17
Closing Checklists: Topic Objectives .................................................................................................................9-18
Month-End Checklist ..........................................................................................................................................9-19
Year-End Checklist ...........................................................................................................................................10-22
Closing Menu Paths: Topic Objectives .............................................................................................................10-24
Menu Paths........................................................................................................................................................10-25
Appendix Exercises...........................................................................................................................................10-40
Appendix Solutions...........................................................................................................................................10-41
AC205 4.6 / Financial Closing
AC 205
Financial Closing
© SAP AG 1999
R/3
Release 4.6
January 2000
50035995
Copyright
Copyright 1999 SAP AG. All rights reserved.
Neither this training manual nor any part thereof may
be copied or reproduced in any form or by any means,
or translated into another language, without the prior
consent of SAP AG. The information contained in this
document is subject to change and supplement without
prior notice.
All rights reserved.
© SAP AG 1999
Trademarks
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Corporation.
The R/3 Integration Model
SD
FI
Sales &
Distribution
Financial
Accounting
MM
CO
Materials
Mgmt.
Controlling
PP
Production
Planning
R/3
QM
Quality
Mgmt.
AA
Asset
Accounting
PM
PS
Client / Server Project
System
ABAP
WF
Plant
Maintenance
Workflow
HR
IS
Human
Resources
Industry
Solutions
© SAP AG 1999
SAP’s R/3 System has set new norms for standard software that can be universally implemented. R/3
uses advanced development techniques to achieve comprehensive integration of business administration
and data processing.
R/3 combines state-of-the-art technology with comprehensive business administration functions to
provide a fully-integrated business solution for your company.
Financial Accounting ... Public Sector
1
Level 2
Level 3
AC200
5 days
Account Payable /
Receivable Processing &
Configuration
AC260
2 days
Additional Financial
Functionality
AC205
2 days
Financial Closing
AC010
5 days
Overview of Financial
Accounting & Reporting
AC305
4 days
Asset Accounting
AC220
5 days
Special Purpose
Ledger
AC290
Real Estate
Management
AC100
3 days
Budget Management for
Non-Profit
Organizations
HR050
5 days
Human Resources
© SAP AG 1999
AC240
5 days
Consolidation Functions
3 days
AC705
2 days
Funds Management:
Configuration and
Organization
AC270
2 days
Travel Management
AC710
2 days
Reporting in FM
Course Prerequisites
AC010 Financial Accounting & Reporting
AC200 General Ledger/Accounts Payable/Receivable
Processing and Configuration
Professional experience in Financial Accounting
© SAP AG 1999
Target Group
Audience:
Project team members responsible for the closing of financial
accounting
Duration: 2 days
© SAP AG 1999
Introduction
Course Goals
Course Objectives
Course Content
Course Overview
Main Business Scenario
© SAP AG 1999
(C) SAP AG
AC205 1-1
Course Goals
This course will enable you to:
Outline key R/3 System processes for closing
the financial books
Gain insight into the sequence of both technical
and organizational closing operations
Gain a basic understanding of the various
processes that create data flows from other R/3
System components and the resulting impact
on periodic closing activities within FI
Gain an understanding of the preparation of
balance sheet data and respective options
available during configuration
© SAP AG 1999
(C) SAP AG
AC205 1-2
Course Objectives
At the conclusion of this course, you will be able to:
Locate closing activities within configuration
Identify, execute, and analyze programs and
reports essential to financial closing
Distinguish between external and internal closing
© SAP AG 1999
(C) SAP AG
AC205 1-3
Contents
Preface
Unit 1
Introduction
Unit 5
Profit and Loss
Unit 2
Overview of Closing
Process
Unit 6
Unit 3
The Financial Statement
Customizing Technical,
Organizational and
Documentary Steps
Unit 4
Assets and Liabilities
Unit 7
Closing Process
Exercises
Solutions
Appendices
© SAP AG 1999
(C) SAP AG
AC205 1-4
Course Overview Diagram
Who is interested in
financial results?
Closing Process
3
Financial statement version
Overview
7
Internal view
2
2000
October
External view
Auditor’s view
4
Balance Sheet
Assets
Liabilities
Equity
Profit & Loss
Revenues
Costs
5
Appendix
Customizing Technical, Organizational, and Documentary Steps
© SAP AG 1999
(C) SAP AG
AC205 1-5
6
Main Business Scenario
Due to increased market competition,
corporations require timely and accurate
financial reporting for external users.
For legal purposes, requests for different
reporting layouts have to be fulfilled and most of
their deliveries are time relevant.
Quick reporting tests must be performed by the
project team to verify and control information
before it is offered for external purposes.
© SAP AG 1999
(C) SAP AG
AC205 1-6
Overview of Closing Process
Month-End and Year-End Closing Processes
© SAP AG 1999
(C) SAP AG
AC205 2-1
Overview of Closing Process: Unit Objectives
At the conclusion of this unit, you will be able to:
Describe the overall process for closing a period
or fiscal year
© SAP AG 1999
(C) SAP AG
AC205 2-2
Overview of Closing Process: Course Overview
Diagram
Who is interested in
financial results?
Closing Process
Financial statement version
Overview
Internal view
2000
October
External view
Auditor’s view
Balance Sheet
Assets
Liabilities
Equity
Profit & Loss
Revenues
Costs
Appendix
Customizing Technical, Organizational, and Documentary Steps
© SAP AG 1999
(C) SAP AG
AC205 2-3
Overview of Closing Process: Business Scenario
As a member of the project team responsible for
defining the financial closing process, you need
to define the types and timing of closing
activities that need to be performed in the R/3
System.
© SAP AG 1999
(C) SAP AG
AC205 2-4
Month-End Closing Overview
Old Month
New Month
Pre-Close:
Managerial Close:
Financial Close:
Open new period
Controlling
Repostings
Cost allocations
/settlements
CO reconciliation
posting to FI
CO periodic lock
Business area/ profit
center/ profitability
segment adjustments
Preparatory
postings
Close subledgers/
feeder systems
Preliminary close
of old period
Re-open G/L for
adjustment postings
Foreign currency
revaluations
Final close old period
Reporting
© SAP AG 1999
The closing of a period is performed in three sets of steps: pre-closing, managerial closing, and financial
closing.
Pre-Close activities ensure that all necessary entries have been posted in the General Ledger (G/L),
including entries from feeder systems/subledgers and accruals and recurring entries posted directly to the
G/L. Pre-close activities occur in both the old and new months.
Managerial Close activities involve the re-assignment of costs throughout the entire organization, using
the allocation and settlement functionality provided within Controlling (CO).
Financial Close activities include final adjustments to valuations and balances prior to the final close and
preparation of reports. Adjustments from the cost flows recorded in the managerial closing activities are
updated to FI through the reconciliation ledger posting.
The primary emphasis of this course is “external” closing, that is, closing activities associated with
“external accounting” of FI. “Internal” closing is synonymous with managerial closing. Therefore,
although the course does include an overview of internal or managerial close activities, the focus will be
on pre-close and financial close activities.
(C) SAP AG
AC205 2-5
Year-End Closing Overview
Old Year
New Year
Month-End
Pre-Close
Month-End
Managerial Close
Month-End
Financial Close
Pre-Close:
Financial Close:
Open new fiscal year
Account analysis and regrouping
Year-End valuations
General adjustment postings
Balance confirmations
Reconcile old year to new year
Fiscal year change (AA)
Final close old year
Balance carry forward
Reporting
© SAP AG 1999
At the start of a new year, year-end specific closing activities are required in addition to the normal
monthly closing activities.
For pre-close activities, certain revaluations of materials and assets may be performed by an enterprise
on an annual basis. Balance confirmations are sent to customers and vendors to verify that account
balances are correct. Technical steps, such as the fiscal year change in Asset Accounting (AA) and the
balance carry forward in FI, prepare the beginning balances for the new fiscal year.
Additional financial close steps for the new year include analyzing and regrouping account information
for clearer presentation of the financial statements, reconciliation between the old and new years, and
any necessary adjustment postings. Year-end reporting may include additional lists, such as the
Accumulated Balance Audit trail, to provide supporting detail for the financial statements.
(C) SAP AG
AC205 2-6
Overview of Closing Process: Unit Summary
The closing process steps for month-end and year-end are
categorized as pre-close, managerial close, and financial
close activities.
Pre-closing includes preparatory postings and technical
activities such as opening the new period or fiscal year and
performing a preliminary close of the old period.
Managerial closing is comprised of transactions within
Controlling that re-assign costs for managerial reporting.
Financial closing includes adjustment postings in Financial
Accounting, final closing of the old period or fiscal year,
and reporting.
© SAP AG 1999
(C) SAP AG
AC205 2-7
The Financial Statement
The Financial Statement Program
Drilldown Reporting
Cost-of-Sales Accounting
© SAP AG 1999
(C) SAP AG
AC205 3-1
The Financial Statement Program: Unit Objectives
At the conclusion of this unit, you will be able
to:
Identify the financial statement program
Describe the purpose of the financial statement
version
Display, change and create financial statement
versions
Start a balance sheet/profit and loss statement
using a drilldown report
Contrast cost-of-sales accounting and period
accounting reporting views
© SAP AG 1999
(C) SAP AG
AC205 3-2
The Financial Statement: Course Overview
Diagram
Who is interested in
financial results?
Closing Process
Financial statement version
Overview
Internal view
2000
October
External view
Auditor’s view
Balance Sheet
Assets
Liabilities
Equity
Profit & Loss
Revenues
Costs
Appendix
Customizing Technical, Organizational, and Documentary Steps
© SAP AG 1999
(C) SAP AG
AC205 3-3
The Financial Statement: Business Scenario
The project manager has requested that your
group locate and document the area where
financial statement configuration takes place.
She has instructed you to first display and
change existing financial statement versions and
then to create a new version. You are also to
review other reporting capabilities, such as
drilldown and cost-of-sales reporting.
© SAP AG 1999
(C) SAP AG
AC205 3-4
The Financial Statement: Topic Objectives
At the conclusion of this topic, you will be able to:
Identify the financial statement program
Describe the purpose of the financial statement
version
Display, change, and create financial statement
versions
© SAP AG 1999
(C) SAP AG
AC205 3-5
Financial Statement Versions Overview
Who is interested in
financial results?
Internal view
Financial statement
Version: IN01
Assets
External view
Financial statement
Version: EX01
Liabilities
Fixed
Current
Other
Current
Receivables
Checks/Banks
Accrued Income
Auditors view
Financial statement
Version: AU01
Profit & Loss
Revenues
Costs
Appendix
© SAP AG 1999
The R/3 System includes a standard balance sheet/profit and loss report (RFBILA00). You can
produce different outputs from this report program by specifying different financial statement versions.
Financial statement versions are also used in the structure balance list, drilldown reporting, planning, and
transferring data to consolidations.
You can define as many financial statement versions as you need to prepare reports according to various
criteria, for example, for tax authorities, for other external users, and for internal users.
The financial statement version allows you to configure the report format, including:
Which items are to be included and the sequence and hierarchy of these items
Text describing the items
Which charts of accounts and which individual accounts that are relevant to the report
Totals to be presented in the statements
The selection parameters for the RFBILA00 program allow you make additional specifications, such as
whether the to report at the business area level, company code level, and so on.
The standard system is delivered with sample financial statement versions. You can copy these and
modify them to create your own versions.
(C) SAP AG
AC205 3-6
Financial Statement Versions
Directory of Financial Statement Versions
Structure Description
XXXX
Balance sheet external
DE
¨
XXXX
Maint.language
Group acct number
Chart of accounts
Balance sheet / P+L items
Financial statement version XXXX
Balance sheet external
Hierarchy level 1
1
2
3
4
ASSETS
LIABILITIES
Profit and Loss
Accounts not assigned
© SAP AG 1999
Create Item
Assign Accounts
You define a financial statement version in two steps:
Entry in the directory of financial statement versions
Define hierarchy levels and assign accounts
Each version must have the following “special items”:
Assets
Liabilities
Balance sheet profit/loss
Profit and loss results
not allocable.
The balance sheet profit/loss is calculated by the ABAP/4 program RFBILA00 from the assets and
liabilities totals and placed in the “Balance sheet results profit/loss” item. The Profit and Loss results are
determined from all accounts not assigned to either assets or liabilities, and are placed in the proper
position.
(C) SAP AG
AC205 3-7
The Balance Sheet Section of an F/S Version
Balance sheet
version XXXX
ASSETS
Level 1
Level 2
Subscribed
capital
unpaid
Level 3
Real
estate
Level 4
Level 5
LIABILITIES
Formation
expenses
Fixed
assets
Current
assets
Intangible
assets
Tangible
assets
Financial
assets
Technical
assets
Machinery
and
equipment
Equity
Reserve
funds
Down payment
made for asset
under constr.
Acquisition Value
value
adjustment
...
max.
© SAP10
AG 1999
A financial statement version consists of a maximum of ten hierarchy levels.
A) You allocate items to each level. The system forms a total/subtotal for each item which is then
displayed when the program is run.
B) Allocate texts to each item.
C) Allocate the accounts whose balance and account name are to be listed in the lowest levels of the
items.
(C) SAP AG
AC205 3-8
The Profit and Loss Section of an F/S Version
Profit / loss
Annual profit before tax
Results of business
transactions
Level 1
Operating
result
Financial
result
Non-operat.
profit
Level 2
Sales
revenue
Material
expenses
Personnel
expenses
Level 3
Revenue
Sales
deductions
© SAP AG 1999
(C) SAP AG
AC205 3-9
Taxes
Approp.of
net income
Account Group Allocation According to Balance
G/L account
at BANK1
113100
G/L account
at BANK1
113101
G/L account
at BANK1
113102
Balance
- 100
Balance
+ 30
Balance
+ 50
+
-
?
Credit at BANK1
------------------------Acct no. D
C
from / to
Payables at BANK1
------------------------Acct no. D
C
from / to
113100
113101
113102
113100
113101
113102
X
X
X
© SAP AG 1999
X
X
X
Position varies based on
changing balance
You use account group allocation to determine in which cases the balance of this account group is to
appear in this financial statement item.
First example under:
D
C
X
If the joint balance of all accounts listed
this item is a debit
balance, it will
appear here.
Second example under:
X
If the joint balance of all accounts listed
this item is a credit balance, it will
appear here.
The settings listed above are only appropriate for accounts with a fluctuating balance.
Example: Bank accounts.
Another example: X
X
Balance will always appear here
irrespective of the balance of the
accounts.
Example: receivables accounts
(C) SAP AG
AC205 3-10
Texts
Financial statement version XXXX Bal.sheet acc.to nat’l regs
Hierarchy level
N
nnnn1
nnnn2
nnnn3
nnnn4
Stocks
Receivables
Securities
Checks, Cash on hand . . .
Text
nnnn4
Checks, Cash on hand
Start of group
Checks, Cash on hand, Central bank and postal giro
accounts, other bank accounts
End of group
...
Display total
Graduated total
Display total
© SAP AG 1999
You can write additional texts for each item in a financial statement. You can write up to four lines of
text at the beginning and/or the end of an item.
A graduated total is tallied along with the control level processing. It can be called up from any point
within the financial statement structure. You output the profit and loss part of the structure in the
standard system using the graduated total functionality.
RFBILA00 can print the balance sheet and P&L on a SAPSCRIPT form.
(C) SAP AG
AC205 3-11
Drilldown Reporting: Topic Objectives
At the conclusion of this topic, you will be able to:
Start a balance sheet/profit and loss statement
using a drilldown report
© SAP AG 1999
(C) SAP AG
AC205 3-12
Drilldown Reporting
Fin.Stmt.Version
Assets
Liabilities
P&L
GLT0
| Reporting Year | RY-1 | RY-2 | ... RY-n |
Columns
| Computed Columns (n) |
Rows
| Balance Sheet
Analysis |
x
| 1/12 | 1/4 | 1/2 | 1/1 |
Cell
y
© SAP AG 1999
Drilldown reporting is a tool that allows you to analyze G/L account transaction figures and balance
sheet structures. You can also carry out variance analyses such as plan/actual comparisons, fiscal year
comparisons, and so on. With Release 4.6, you can combine a graphical display with the traditional
drilldown views.
This tool provides easy navigation through your data, allowing you to move to different levels of detail
or from one object to another for analysis and to switch between a drilldown view and a detail view. It
also provides functions for processing the list including sorting, establishing conditions (thresholds),
ranking lists and so on. In addition, you can access the SAP Graphics, SAPmail, and Excel List Viewer
from your report.
The menus and functions directly available on the drilldown report make it easy to use the information
system.
Characteristics and key figures form the basis of the drilldown report presentation. Characteristics define
how your data can be classified or provide a time reference. Key figures include stored values/quantities
and calculations based on these values/quantities. In G/L drilldown reports:
Characteristics can include company, company code, business area, chart of accounts, financial
statement item, currency, fiscal year, period, and so on
Key figures can include total credit balance, total debit balance, balance sheet value, accumulated
balance, balance carry forward, and so on.
(C) SAP AG
AC205 3-13
Drilldown List and Detail List Reporting
Financial Statement Item
Assets
Business
FY 2000 FY 1999 Variance
Area
Drilldown List
0001
8000
9900
Financial Statement Item
Assets
Business Area
0001
Detail List
Ratio
FY 2000
FY 1999
Variance
© SAP AG 1999
Each report consists of a number of lists (depending on how many characteristics you select and the
number of values for those characteristics), which are divided according to their content into two
categories: drilldown lists and detail lists.
A drilldown list displays a selection of key figures in combination with at least one characteristic (for
example, balance sheet value for a fiscal year, the variance calculation) for a number of drilldown
characteristics (such as Assets/Business Area 0001, Assets/Business Area 8000, Assets/Business Area
9900). The key figures appear in the columns of a drilldown list. The lowest level of the drilldown
characteristics appear in the rows of this list, while all other levels, and their selected values, appear at
the top of the report. In this example, we selected the value “Assets” for the characteristic financial
statement item and then selected the characteristic business area, giving us a view of the total assets for
each business area.
A detail list always shows all the key figure/characteristic combinations for a single combination of
drilldown characteristic values. The key figures appear in the rows of a detail list. All selected drilldown
characteristics, including their selected values, appear at the top of the report in the order chosen.
(C) SAP AG
AC205 3-14
Cost-Of-Sales Accounting: Topic Objectives
At the conclusion of this topic, you will be able to:
Contrast cost-of-sales accounting and period
accounting reporting views
© SAP AG 1999
(C) SAP AG
AC205 3-15
Cost-Of-Sales and Period Accounting Views
CostCost-OfOf-Sales accounting
Period accounting
Revenue
Sales deductions
Cost of sales
….
Revenue
Sales deductions
Stock changes
Capitalized internal activities
Changes to work in process
….
Gross results
Total output
Sales and Marketing costs
Material costs
Personnel costs
Depreciation
Interest
...
Administration costs
Research and development
Results
Results
© SAP AG 1999
Two accounting methods used for generating profitability statements are the cost-of-sales method and
the period accounting method. Applying either method to a given set of business transactions under a
given set of laws yields the same bottom-line result (profit) in concept. The difference is in how the
overall profit and loss picture is presented.
Companies must choose to use one of these methods for generating their legal financial statements. The
choice is often determined by country-specific legal requirements. However, the methods facilitate two
different types of analyses, both of which a company may want to conduct, so internally there may be
efforts to track information in both manners.
Cost-of-sales accounting
The emphasis is on matching the revenues for goods and/or services provided (the value that a company
gains as a result of sales) against the related expenses for those items (the value that is lost when
products are transferred out of the company). Therefore, this accounting method displays profit and loss
information in a manner optimized for conducting margin analyses, and as such it is optimal for the
sales, marketing, and product management areas.
Period accounting
The emphasis is on summarizing the activity and situational change over a period of time, for a given
organizational unit. Therefore, this accounting method presents the revenues and primary expenses that
have been incurred during a given period of time and the changes in stock value levels, work-in-process,
and capitalized activities. As such, it is optimal for the production and profit center areas.
(C) SAP AG
AC205 3-16
Cost-Of-Sales Accounting and Functional Areas
FUNCTIONAL AREAS
Period accounting
Net sales
Bal. sheet change
Total output
Material expense
Personnel expense
Depreciation
Other expenses
Total expenses
Result
Result
Cost-of-sales accounting
Net sales
Cost of sales
Gross results
Selling expenses
Admin. expenses
Research
Total overhead exp.
Operating profit
© SAP AG 1999
5,463
+1
5,464
2,606
1,263
219
1,262
5,350
114
114
5,463
3,374
2,089
1,278
324
373
1,975
114
Production
2,606
565
140
64
3,375
./. Balance
sheet chg.
Sales
340
23
915
1,278
Admin.
139
21
164
324
Research
219
35
119
373
1
3,374
The period accounting view of profit and loss is the presentation provided by the standard financial
statement program (RFBILA00). This view is easy to achieve in the R/3 System, as it represents a
simple display of a G/L account or group of accounts for a report line.
The cost-of-sales accounting view requires the use of organizational units called functional areas to
divide costs posted to the same expense account to separate report lines. As illustrated above, this allows
you to present the same type of expense in different sections of your report (e.g., personnel expenses
associated with production are included in “Gross results” while personnel costs incurred for other
purposes would be included in the “Total overhead expenses” section). By grouping expenses by
function (production, sales, administration), cost-of-sales accounting also defines which business
transaction underlies each individual expense in the company and classifies the expense into various
types according to function.
Functional areas are normally assigned automatically to a transaction via a substitution rule and are
derived from the controlling object to which the expense is posted. For example, a posting to a cost
center with a cost center category of “Administration” would be assigned to the “Administration”
functional area whereas the order type on a posting to an internal order might direct the costs to the
“Research & Development” functional area.
New to R4.6:
Functional areas can be assigned directly to master data records, such as cost centers, internal orders
and G/L accounts.
(C) SAP AG
AC205 3-17
The Financial Statement: Unit Summary
The Financial Statement Version offers a flexible
layout of the balance sheet/profit and loss statement
produced by the standard financial statement
program.
The version technique offers freely definable texts and
includes pre-configured summarization and grouping
features.
Drill down reporting is a flexible reporting tool that
provides a variety of detailed analyses of G/L
transaction figures, including graphical displays.
Cost-of-sales accounting is an alternative to the period
accounting display of Profit and Loss information. In
the R/3 System, functional areas are used to obtain the
cost-of-sales view.
© SAP AG 1999
(C) SAP AG
AC205 3-18
The Financial Statement Exercises
Unit: The Financial Statement
Topic: The Financial Statement Program
At the conclusion of this exercise, you will be able to:
• Execute the balance sheet/profit and loss statement
• Customize the financial statement version
The project manager has asked you to review the options for
financial statement reporting in the R/3 System. You need to
review the presentation provided by the standard balance
sheet/profit and loss program, RFBILA00 and the ability to
customize the presentation using different financial statement
versions.
1-1
Execute a balance sheet/profit and loss statement (RFBILA00) for your company code
AC## for the current period and fiscal year using existing financial statement version
INT.
1-2
Create your own financial statement version FS## by copying and modifying an
existing version.
1-2-1 Copy the financial statement version INT to create your own version FS## and
add as a description Financial Statement Version ##.
1-2-2 Carry out a check to determine whether all the G/L-accounts that exist within
your chart of accounts and company code have been correctly assigned to the
financial statement items in your financial statement version.
1-2-3 Create your own profit and loss item 3063000, Employee Training and
Education under the 'Staff costs' item.
1-2-4 Assign the account 476400, Training costs, to the new item 'Employee
Training and Education'. The account will appear on this item whether it has a
debit or credit balance.
1-2-5 Re-order your financial statement items under 'Staff costs' by moving your new
item 3063000 to the end.
1-3
(C) SAP AG
Execute a balance sheet/profit and loss statement (RFBILA00) for company code
AC## for the current period to test your new financial statement version FS##. You
will also create a report variant to facilitate reporting in subsequent exercises. Assign a
variant name of VAR## and a description of CoCode AC## current period.
AC205 3-19
Exercises
Unit: The Financial Statement
Topic: Drill-Down Reporting
At the conclusion of this exercise, you will be able to:
• Execute and navigate a drill down report
The cross-application drill down reporting function can also be
used to develop financial statements. You will run a delivered
balance sheet/profit and loss report to explore the features
provided by this reporting tool.
2-1
(C) SAP AG
Create a new session. Run a balance sheet and profit and loss statement using the drill
down report Actual/Actual Comparison for Year. Run the report for your company
code AC##, for the current year, and using the financial statement version you created,
FS##. Within the output list of the report, drill down from the balance sheet item to the
line items which make up the account 'Salaries - base wages'.
AC205 3-20
Exercises
Unit: The Financial Statement
Topic: Cost-of-Sales Reporting
At the conclusion of this exercise, you will be able to:
• Execute a cost-of-sales profit and loss report
• Compare the cost-of-sales accounting view to the period
accounting view presented in the standard financial statement
program, RFBILA00
The reporting standards for your country require profit and loss
reporting using the cost-of-sales accounting method. You need to
execute a P&L report using this view and compare it to the period
accounting view presented in the previous topics.
3-1
(C) SAP AG
Create a new session. Run a current year cost-of-sales profit and loss statement for
your company code AC## using the report Annual profit and loss statement C/S.
Within the output list of the report, navigate to the Salaries - base wages account and
to functional areas 0400 and 0300 to see that this account is presented in a different
location on the report based on the functional area. Close the session when you finish
viewing the report.
AC205 3-21
The Financial Statement Solutions
Unit: The Financial Statement
Topic: The Financial Statement Program
1-1
Execute a balance sheet/profit and loss statement (RFBILA00) for your company code
AC## for the current period and fiscal year using existing financial statement version
INT.
Menu path for report:
Information Systems → Accounting → Financial Accounting → General ledger
→ Balance sheet
Enter the following information:
Company code:
AC##
Fin.stmt. version:
INT
Reporting year:
Current year
Reporting Period:
From current period to current period
Execute your report.
1-2
Create your own financial statement version FS## by copying and modifying an
existing version.
1-2-1 Copy the financial statement version INT to create your own version FS## and
add as a description Financial Statement Version ##.
Menu path to configure financial statement version:
Tools → AcceleratedSAP → Customizing → Edit Project → Goto →SAP Reference
IMG → Financial Accounting → General Ledger Accounting → Business
Transactions → Closing → Documenting → Define Financial Statement
Versions
Mark the row for financial statement version INT.
Edit → Copy as..
Enter the name FS##
and the description Financial Statement Version ##.
Select 'Enter'.
Save your entry.
(C) SAP AG
AC205 3-22
DO NOT EXIT THIS SCREEN
1-2-2 Carry out a check to determine whether all the G/L-accounts that exist within
your chart of accounts and company code have been correctly assigned to the
financial statement items in your financial statement version.
From the Change View "Financial Statement Versions": Overview screen:
Mark the row for financial statement version FS##.
Click on the button ‘Fin. statement items’
Select Structure → Check
Enter your company code (AC##) and flag only 'non assigned accounts
from chart of accounts from company code'.
Select 'Enter'.
When you are finished viewing the unassigned accounts, select Enter to
close the pop-up window and continue with the next exercise.
DO NOT EXIT THIS SCREEN
1-2-3 Create your own profit and loss item 3063000, Employee Training and
Education under the 'Staff costs' item.
From the Change Financial Statement Version screen:
Drill down by clicking on the folder to the left of the item to expand 'Profit
and loss statement'.
Place your cursor on the 'Staff costs' item and click 'Create items'.
Enter 3063000 for the item number and Employee Training and Education for the
description.
Select 'Enter' to add the new item to the structure.
DO NOT EXIT THIS SCREEN
1-2-4 Assign the account 476400, Training costs, to the new item 'Employee
Training and Education'. The account will appear on this item whether it has a
debit or credit balance.
From the Change Financial Statement Version screen:
Place your cursor on the 'Employee Training and Education' item and click
'Assign accounts'.
(C) SAP AG
AC205 3-23
Enter 476400 in the 'From act' column and select the both the debit (D) and credit
(C) balance indicators.
Select 'Enter'.
DO NOT EXIT THIS SCREEN
1-2-5 Re-order your financial statement items under 'Staff costs' by moving your new
item 3063000 to the end.
From the Change Financial Statement Version screen:
Position the cursor on item 3063000
Select Edit → Select +/(item is marked)
Position cursor on the destination item, '3062000'
Select Edit → Reassign
Confirm the 'same level' setting.
Select 'Enter'.
(item is moved)
Save your entry.
1-3
Execute a balance sheet/profit and loss statement (RFBILA00) for company code
AC## for the current period to test your new financial statement version FS##. You
will also create a report variant to facilitate reporting in subsequent exercises. Assign a
variant name of VAR## and a description of CoCode AC## current period.
Menu path for report:
Information Systems → Accounting → Financial Accounting → General ledger
→ Balance sheet
Enter the following information:
Company Code:
Fin.Stmt. Version:
Reporting Year:
Periods:
AC##
FS##
Current year
From current period to current period
Select Goto → Variant → Save as variant…
Enter the following information:
Variant name:
Description:
(C) SAP AG
AC205 3-24
VAR##
CoCode AC## current period
Save your entry.
Execute the report.
(C) SAP AG
AC205 3-25
Solutions
Unit: The Financial Statement
Topic: Drill-Down Reporting
2-1
Create a new session. Run a balance sheet and profit and loss statement using the drill
down report Actual/Actual Comparison for Year. Run the report for your company
code AC##, for the current year, and using the financial statement version you created,
FS##. Within the output list of the report, drill down from the balance sheet item to the
line items which make up the account 'Salaries - base wages'.
Menu path to open a new session:
System → Create session
Menu path for report:
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
Enter the following information:
Company Code:
FIS annual rep. struc:
Fiscal year:
AC##
FS##
Current year
Execute the report.
Expand profit and loss statement by clicking the '+' to the left of the Profit and
loss statement row. Continue to expand the following:
+ Staff costs
+ Wages and salaries
+ Salaries
+ Salaries - base wages
Mark the line item by positioning the cursor the select row, in the column for the
current fiscal year.
Select Goto → Line items
Review the line items for this account.
(C) SAP AG
AC205 3-26
(Optional) Mark a line item and click Display document to view the line item
detail. While in the document display, click Document overview to view the
other line items for this document.
(C) SAP AG
AC205 3-27
Solutions
Unit: The Financial Statement
Topic: Cost-of-Sales Reporting
3-1
Create a new session. Run a current year cost-of-sales profit and loss statement for
your company code AC## using the report Annual profit and loss statement C/S.
Within the output list of the report, navigate to the Salaries - base wages account and
to functional areas 0400 and 0300 to see that this account is presented in a different
location on the report based on the functional area. Close the session when you finish
viewing the report.
Menu path to open a new session:
System → Create session
Menu path for report:
Accounting → Financial accounting → General ledger → Information system →
General Ledger Reports → Balance Sheet/Profit and Loss Statement/Cash Flow →
General → Actual/Actual Comparisons → Annual profit and loss statement C/S
Enter the following information:
Company Code:
Fiscal year:
AC##
Current year
Execute the report.
Click G/L account in the 'Navigation' area of the report.
Click Selection of any characteristic value (magnifying glass to the right of 'G/L
account') and scroll down to the Salaries - base wages account. Doubleclick to select this account.
Click Functional area in the 'Navigation' area of the report.
If functional area 0400 is not displayed, click Next char. value (down arrow to the
right of 'Functional area') until you reach this functional area. Note that
the salaries costs are displayed in the report line General Administration
Costs.
Scroll up or down in the functional area until you reach 0300. Note that the
salaries costs for this functional area are displayed in the report line Sales
Costs.
(C) SAP AG
AC205 3-28
When you finish viewing the report, select System → End session.
(C) SAP AG
AC205 3-29
Assets and Liabilities (1)
Fixed Assets:
Settling assets under construction
Posting book/ tax depreciation and further transactions
Fiscal Year Change/Year-End Closing
Current Assets:
Maintain Goods Received/Invoice Received (GR/IR) clearing
account
Posting differences from material price changes, material
valuations, and the physical inventory procedure to FI-GL.
GR/IR Clearing Account Analysis
Year-End valuation methods
© SAP AG 1999
(C) SAP AG
AC205 4-1
Assets and Liabilities (2)
Receivables (& Payables):
Creating Balance Confirmations
Posting Flat Rate and Individual Value Adjustments
Evaluating Foreign Currency Open Items
Regrouping Receivables and Payables
Cheques / Banks
Evaluating foreign currency balance sheet accounts
Accrual/Deferral Postings
© SAP AG 1999
(C) SAP AG
AC205 4-2
Assets and Liabilities: Unit Objectives I
At the conclusion of this unit, you will be able to:
Outline the organizational impact of transactions
within Asset Accounting on periodic closing
activities within FI.
Explain how the maintenance of the GR/IR
clearing account, material price changes, material
valuations, and the physical inventory procedure
can lead to a GL posting.
Identify the various year-end valuation methods
for material that is externally procured.
Describe the procedure of analyzing the GR/IR
clearing account within FI
Produce Balance Confirmations
© SAP AG 1999
(C) SAP AG
AC205 4-3
Assets and Liabilities: Unit Objectives II
At the conclusion of this unit, you will be able to:
Explain the flat rate and individual value
adjustments for receivables
Evaluate foreign currency open items and
regroup payables /receivables
Evaluate foreign currency balance sheet
accounts
Describe the advantage of using accrual/deferral
postings instead of normal GL postings
Locate customizing in the IMG
© SAP AG 1999
(C) SAP AG
AC205 4-4
Assets and Liabilities: Course Overview Diagram
Who is interested in
financial results?
Closing Process
Financial statement version
Overview
Internal view
2000
October
External view
Auditor’s view
Balance Sheet
Assets
Liabilities
Equity
Profit & Loss
Revenues
Costs
Appendix
Customizing Technical, Organizational, and Documentary Steps
© SAP AG 1999
(C) SAP AG
AC205 4-5
Assets and Liabilities: Business Scenario
Assets within the balance sheet area represent
the use of wealth. Liabilities explain its origin.
During the R/3 System’s operation this use is
executed within the sub-ledgers, such as AR/ AP,
Asset Accounting, and other feeder systems like
Materials Management in order to administer,
manage, and control every single transaction.
For legal reporting purposes some of these
transactions need to be prepared or adjusted.
You need to verify that R/3 can provide for these
country specific legal requirements.
© SAP AG 1999
(C) SAP AG
AC205 4-6
Fixed Assets: Topic Objectives
At the conclusion of this topic, you will be able to:
Outline the organizational impact of posting
depreciation and further transactions within
Asset Accounting on periodic closing activities
within general ledger accounting.
© SAP AG 1999
(C) SAP AG
AC205 4-7
Assets on the Balance Sheet
Client
Company code 1000
Company code 1001
Balance Sheet
---
Balance Sheet
Business area
1000
Software
2000
3000
---
1000
Assets
intangible assets
fixed assets
Machines
100
financial assets
50
Securities
Profit + loss statement
.. .. ..
Profit + loss statement
Expenses
depreciation
© SAP AG 1999
The Asset Accounting (FI-AA) component is used for managing and supervising fixed assets in the R/3
System. It serves as a subsidiary ledger to the G/L, providing detailed information on transactions
involving fixed assets.
(C) SAP AG
AC205 4-8
Periodic tasks in FI-AA relevant for FI-GL
Profit & Loss
Depreciation posting run
Periodic
processing
Reports
Depreciation
1000
Accumulated
Depreciation
1000
Balance sheet
Posting asset values
Investment
support
Inflation
management
Asset balance
10000
Value adjmt
10
© SAP AG 1999
Asset
10
Bank
100
Account
10000
Asset
100
Periodic processing comprises those tasks in Asset Accounting which must be performed at periodic
intervals. Also included are tasks to be performed as part of the special valuation of fixed assets (for
example, calculating replacement values).
Replacement values and insurable values are updated in the system with the help of index series.
Investment support is a subsidy that a company has received for certain asset investments. Assets which
are eligible for such a subsidy are marked in the asset master records with an investment support key. All
specifications for claiming the investment support are stored in the definition of this key. You can post
the claim manually or in a mass procedure.
At present only the values of one depreciation area can be automatically posted online in Financial
Accounting: Therefore, the changes to asset values (transactions) from other areas with automatic
posting have to be posted periodically to the appropriate reconciliation accounts.
If you want to plan primary costs on a cost center basis, you can periodically determine planned
depreciation and interest and pass these on to primary cost planning in Controlling.
(C) SAP AG
AC205 4-9
Settlement of Capital Investment Measures
Capital Investment Measure
Bus.transactions during
"under construction”
phase
Order / WBS
Asset 1
Periodic
settlement
Final
settlement
Asset 2
Asset 3
Asset under construction
Asset history sheet
Asset Account
.
10
Cost center
Balance sheet
Profit & Loss
© SAP AG 1999
The R/3-IM (Investment Management) component enables you to create orders/WBS elements that
automatically have an asset under construction attached.
During the construction phase, you post all business transactions to the order/WBS element. During
monthly settlement, all items that are not settled directly to receivers in controlling (such as cost centers)
are settled directly to an asset under construction. In your monthly financial reports, capital investment
measures appear under assets under construction.
Upon final settlement, you settle the asset under construction to the final receivers. You enter these
receivers in the settlement rules for the order. The asset under construction is cleared automatically at the
time of final settlement.
(C) SAP AG
AC205 4-10
Organizational Procedure for Depreciation Posting
Depreciation run
Posting run
Batch input
session
Update of assets
Process!!!
ns
Co
Update of G/L
accounts
y!
nc
e
t
is
Asset history sheet
.
Balance sheet
Profit & Loss
© SAP AG 1999
The calculation and planning of depreciation, interest and revaluation is controlled by keys in the Asset
Accounting system. They can also be entered manually using a special posting transaction. In both cases,
these planned values in Asset Accounting have to be periodically posted to the corresponding expense
and asset balance sheet accounts in the general ledger.
This periodic posting takes place using a batch input session. The posting session also posts the different
depreciation types, interest and revaluation, in addition to writing-off and allocating special reserves.
The system does not create individual documents, only summarized posting documents (per general
ledger account).
New to R4.6
Depreciation posting can now be executed directly, without the use of a batch input session.
When entering parameters for the Depreciation Run, use the field ‘Direct FI Posting’.
(C) SAP AG
AC205 4-11
Fiscal Year Change/Year-End Closing
Ca lendar
Calendar
Dec
31
Dec
31
Fiscal Year Change
Year-end closing
Fiscal Year Change
Assets values
at fiscal year start
Transaction
0
APC
0
Ordinary dep.
0
Net book value
Year 1
10000
10000
3000 7000
Periodic processing
Fiscal year change
Assets values
at fiscal year start
Transaction
10000
APC
10000
Ordinary dep.
3000 Net book value
7000
© SAP AG 1999
Year 2
Fiscal Year Change
Year-end closing
1.
Depreciation posting run
Year-end closing program
2. Year- Check:
Can the yearyear-end closing be carried out?
- Maintenance of the last closed fiscal year
per company code
3. Closing reports
- Asset history sheet
- Asset list
-...
3000
-
0
10000
2100 4900
The fiscal year change program opens new annual value fields for each asset.
The earliest you can start this program is in the last posting period of the old year.
You have to run the fiscal year change program for your whole company code in order to be able to post
into the next fiscal year.
SAP provides you with a check report for year-end closing. It checks:
whether the fiscal year change has been completed for all assets,
whether depreciation was fully posted,
whether errors exist for any assets.
In addition, if the program finds no errors, it updates the last closed fiscal year for each depreciation
area. After execution, posting into the old year is no longer allowed.
(C) SAP AG
AC205 4-12
Current Assets: Topic Objectives
At the conclusion of this topic, you will be able to:
Explain the management of small quantity
differences between material delivered and
material invoiced
Verify that material price changes (if market price
differs from standard) can be posted and interpret
the resulting document
Identify the various year-end valuation methods
for material that is externally procured
Explain how the physical inventory procedure
can lead to a GL posting
© SAP AG 1999
(C) SAP AG
AC205 4-13
Maintaining the GR/IR Clearing Account
Stock
(1)
100
2
GR/IR clearing account
(3)
(2)
98
(3)
2
100
( 1 ) Goods receipt
for
100 pc at 1
( 2 ) Invoice receipt
for
98 pc at 1
Vendor
(1)
112.70 ( 2 )
Input tax
( 2 ) 14.70
( 3 ) Account maintenance
© SAP AG 1999
The GR/IR clearing account is maintained in Materials Management when the quantity of a material
delivered and the quantity invoiced differ and no further receipt is expected.
We recommend customers maintain the GR/IR clearing account on a monthly basis to ensure that
purchase orders (and therefore also relevant account postings) that are considered by the system as still
being open are matched up in good time with real events.
Closing operations in financial accounting also involve analyzing the GR/IR clearing account and
ensuring that the balance is zero (goods delivered, not invoiced/goods invoiced, not delivered:
RFWERE00).
(C) SAP AG
AC205 4-14
GR/IR Clearing Account Analysis and Declaring
Acquisition Tax
Situation
Goods
GR/IR clearing
100
200
(E1)
V1
100
200
400
400
Batch
Input
( + Reversal docs: key date + 1 )
Adjustment postings
Not yet delivered
Analysis
Vendor
GR/IR adjustment
Not yet invoiced
300
300
400
400
Interim account
Entered during
program run
(E1)
200
(V0)
200
Logs
Acquisition tax-incoming
20
Acquisition tax-outgoing
20
Balance sheet
BalanceSheet
700
20
© SAP AG 1999
700
20
Adjustment postings to the GR/IR clearing account are made whenever you recognize:
Goods which were delivered by the key date, but not yet invoiced,
Goods which were invoiced by the key date but not yet delivered.
Additionally, for European union countries, you can declare the acquisition tax for goods received but
not yet invoiced. You can also balance goods receipts with their accompanying invoice receipts, if
necessary. Acquisition tax is then posted for any remaining balance.
(C) SAP AG
AC205 4-15
Material Price Changes
“Old” valuation
Price:
Total stock:
Total value:
“New” valuation
4.00
10 pc
40.00
Price
change
Price:
Total stock:
Total value:
4.50
10 pc
45.00
Material price change => Revaluation document
Stock account
5
Expenses/revenue reval.
5
© SAP AG 1999
For purchased materials:
When a material is valued at standard price, it is often necessary to change the valuation price when
there is a large difference between the moving average price (which reflects developments in the
delivered cost of the material) and the standard price. The result of a valuation run (LIFO, FIFO,
Lowest principle) can be the basis of the decision to change the price. You can enter a new price in the
material master for:
- the actual,
- previous period
- and the end period of the previous year.
For materials that are produced in-house, new prices can be generated from Product Cost Controlling
and transferred to the standard price field in the material master. This is often performed at the end of the
fiscal year, but may be performed more frequently if required.
If inventory is in stock, entering a new price in the price field of the material master automatically
results in an accounting document for revaluation of the existing material.
Note: The example above shows the postings which result from an increase in price.
(C) SAP AG
AC205 4-16
Material Valuation in the R/3 System
How material stocks are usually valuated at the end of a fiscal year
Origin Material procured
externally (MM)
Purpose
Value
determination
Lowest
value
External
valuation
in FI
Normally
LIFO FIFO
Combination
with lowest
value possible
Material
Work in progress
manufactured
(CO)
in-house (MM or CO)
Inventory costing
with inventory
activity prices
WIP or results
analysis with costs
that must be
capitalized
Normally
Normally
summary reval.
summary revaluation
(Value adjustment account) (Value adjustment
account.)
summary reval.
(WIP account)
© SAP AG 1999
All materials:
The value of the stock of a material is determined at the end of the fiscal year according to the strict
lowest value principle. When certain conditions are fulfilled, the FIFO- (First in First Out) or LIFO(Last in First out) method can also be used.
In practice, for the sake of simplicity, when periods of less than a year are closed the values of stock
accounts are unchanged. As a result, stocks (as are movements) are valuated on the basis of costs (i.e.
quantity x standard or moving average price).
Individual materials:
The commercial or tax price calculated for individual materials at the end of the fiscal year can be
entered into the appropriate fields in the material master. The total difference between the closing taxbased and commercial-based values calculated at the end of the fiscal year and the cost accounting
values is usually corrected in summary form by way of a value adjustment posting via batch input.
An example of a revaluation posting could be as follows:
(DR) Expense value adjustment
(CR) stock value adjustment
The stock value adjustment account is assigned to the same balance sheet item as the relevant material
stock account.
(C) SAP AG
AC205 4-17
Lowest Value Determination
Single-level
Single-level
Multi-level
As per current
market prices
As per rate of
movement or
range of coverage
As per current
market prices
Lowest
current price
Lowest
current
market price
Minimum
Valuation
price
Percentage
devaluation
Valuation price
minus
devaluation
Lowest
current price
Lowest
Valuation
current
price
market price
Minimum
As per rate of
movement or
range of coverage
Percentage
devaluation
Material master
Commercial/tax price 1
Commercial/tax price 2
© SAP AG 1999
Commercial/ta
x price 1 minus
devaluation
The R/3 System offers two methods for determining the lowest value for a stock: market prices and rate
of movement/range of coverage. Both methods to determine the lowest value can be used separately
(single-level procedure) or in combination (multi-level procedure).
Market prices can be determined by analyzing receipts for purchase orders (goods receipts and invoice
receipts). Market prices from purchasing info records, purchase orders and contracts can also be used.
Materials that are slow/non-moving or that have a long range of coverage can be devaluated by a
percentage.
The results of lowest value determination can be used for drawing up a balance sheet for both tax and
commercial purposes. Material stocks can also be revaluated.
To update the results of lowest value determination in the material master and to create a batch input
session for revaluating material stocks, you have to run these programs in the background.
(C) SAP AG
AC205 4-18
Balance Sheet Valuation
LIFO valuation (addition.)
Lowest Value
Current
market
price
Rate of
movement
Layer values
Range of
coverage
Material master (2001)
Qty: 100
Sp:
Sp: 10
Tax/comm. price 1:
Tax/comm. price 2:
Year
Qty
50
Gross
value
400
Net
value
300
1999
2000
30
270
210
2001
20
200
160
(870)
670
9
8
Posting 31.12.1999
Valuation list
SV 1,000
LV
800 Diff. 200
...
Total
Diff. X
FB01
Valuation list
SV 1.000
Diff. 330
LIFO
...
Total
Diff. X
© SAP AG 1999
Stocks must be valuated for balance sheet purposes as accurately as possible according to the recognition
of loss principle. The programs for lowest value determination and LIFO valuation allow you to do this.
Both methods can be combined.
Results are recorded in valuation lists and allow the accounting department to make decisions about
revaluating materials.
The following abbreviations from above are:
SV
Stock value
LV
Stock value as per the lowest value principle (qty * tax/commercial price)
Prices calculated by the revaluation programs can either be entered into the price fields of the material
master records (an automatic posting of the differences is generated subsequently) or
by a manual adjustment posting. In the latter case you do not enter the new price into the price field of
the material master.
(C) SAP AG
AC205 4-19
Physical Inventory Procedure
Create physical
inventory document
1
Blocking indicator
2
Initiate a recount
Print PI
document
5b
3
Change
count 5a
Actual count
4
Difference
list
5
Post differences
6
© SAP AG 1999
The physical inventory procedure represents the check of quantity of stocks to be displayed in the
balance sheet. SAP's R/3 system supports the following methods:
With the continuous inventory method, stocks are counted throughout the entire fiscal year. Every
material has to be physically counted at least once during the course of the year.
With the periodic inventory method, all stocks are physically counted on the balance sheet key date.
Every material has to be counted on this day. During the count the entire warehouse is blocked from
any material movements.
Cycle counting is a physical inventory method which involves materials being counted at regular
intervals during the course of a fiscal year. The interval or cycle in which a material is counted
depends on the cycle counting indicator set for the material.
The actual quantity counted within the course of a physical inventory is entered in the material master as
the new quantity for the material. The difference between the quantity counted and the quantity
recorded in the system is posted via a program run in Materials Management.
If there is a reduction in stock posted by this program, then the following posting is made in Financial
Accounting:
(DR) ‘Expenses from physical inventory differences’
(CR) ‘Stock'.”
(C) SAP AG
AC205 4-20
Receivables (& Payables): Topic Objectives
At the conclusion of this topic, you will be able to:
Produce Balance Confirmations
Evaluate Foreign Currency Open Items
Explain the Flat Rate Adjustment procedure for
receivables
Describe the concept of posting Individual Value
Adjustments
Regroup Receivables and Payables
Locate and manage relevant customizing in the
IMG
© SAP AG 1999
(C) SAP AG
AC205 4-21
Customizing I: Balance Confirmations
1
Define form names for printing
correspondence
SAPF130D
SAPF130K
Balance confirmation
Balance notification
Balance request
Check list
Error list
Results table
2
Define sender details for
correspondence form
Header
SAPF130D
SAPF130K
Footer
Signature
Sender
© SAP AG 1999
(C) SAP AG
AC205 4-22
Form
F130_CONFIRM_01
Element
510
511
512
F130_LIST_01
F130_ERROR_01
Form ID
LI
ER
F130_RESULT_01
RE
Standard texts
F_0001_HEADER
F_0001_FOOTER_01
F_0001_SIGNATURE
F_0001_SENDER
Customizing II: Balance Confirmations
3
Define reply addresses for balance
confirmation
Company code
Address ID
is specified in program
"Reply to"
4
Form of address
Name
Street
City
Telephone . . .
Specify selection criteria for balance
confirmation
variant DEBI
variant KRED
SAPF130G
account type D, table name KNA1, KNB1, BSEG
account type K, table name LFA1, LFB1, BSEG
These settings depend on the client, and enable you to access additional selection
options from the above tables when you execute reports SAPF130D or SAPF130K.
5
Prepare balance confirmations for
customers and vendors
Create variants for programs SAPF130D and SAPF130K.
© SAP AG 1999
See point 3:
Minimum entry is one reply address using either ID “blank” or an explicit one. Depending on these
entries the report requires the corresponding ID in the selection criterion.
Example:
You can use ID “blank” for the auditor‘s address. For ex.the ID 0001 for the same company code can
be filled with the address of the internal revision department. This ID is entered in the selection
criterion of the report for totals that the internal revision is interested in.
(C) SAP AG
AC205 4-23
IVA Posting for Doubtful Receivables
Individual Value Adjustment
General Ledger
D
Receivables
C
100 000
Customer
1100
550
doubtful
receivables
IVA
IVA for receivables
Reconciliation
1 500
1500* posting
* net method,without
taxes (10%)
Special GL
Account
Allowance for IVA
1 500
© SAP AG 1999
Doubtful receivables are written off as an individual value adjustment (IVA) during year-end closing.
The special general ledger method is suitable for this procedure since the transaction is entered in the
customer account and is also posted to a special GL account, “Individual Value Adjustments for
Receivables”.
Valuation adjustments are made if the receivable is determined to be uncollectible. An adjustment must
also be made to taxes on sales and purchases.
(C) SAP AG
AC205 4-24
Flat-Rate IVA Posting for Doubtful Receivables
Valuation Adjustment Key
Customer A
Company code XXXX
Debit Rate
(Percent)
Accounting information
VA
Days
01
30
1
01
60
2
002
Sort key
.
.
.
.
Value adjust. 01
Flat-Rate IVA
Customer A
10000
2000
>30 days overdue
>60 days overdue
© SAP AG 1999
Receivables
10000
2000
Adjustment acct
20
200
Bad Debt Expense
20
200
With Release 4.5, you now have the ability to perform an automatic flat-rate individual value adjustment
for overdue receivables.
In Accounts Receivable configuration, you define the debit rate percentage (bad debt expense
percentage) for a valuation adjustment key and an overdue time period in days. You must also set up the
appropriate A/R adjustment and bad debt expense accounts on the account determination table.
You assign the valuation adjustment key to the master record for any customer accounts that you want to
include in the flat-rate individual valuation adjustment posting.
Periodically, you process a valuation run to calculate the bad debt expense posting for overdue items.
The valuation run produces a valuation proposal, which you can manually change, if desired. When you
are satisfied with the proposal, you perform a valuation transfer to generate your postings in G/L. The
system will create both the adjustment posting and a reversal posting for the next period.
(C) SAP AG
AC205 4-25
Foreign Currency Valuation and the Sorted List
Invoice
1
Rate 1.50 UNI
100 FC
Valuing open items in foreign
currency at key date: SAPF100
Accounts receivable and payable,
G/L accounts
Different valuation methods in
customizing
->Parallel currencies can be valued
separately.
Determining the valuation difference
->Only as a list, no posting entries
->Valuation at balance sheet key date
+ reversal
->Balance sheet key date valuation with
update
(note: only for fiscal year-end, no
reversal document)
2
Listing Receivables and Payables
SAPF101
By remaining life in the Balance Sheet
Current Assets
...
Receivables
life less than one year
life more than one year
Vendors with debit balance
Customers with credit balance
Changed reconciliation accounts
Batch input: Posting + Reversal
Direct posting, batch input only when
error or “without update”
© SAP AG 1999
SAPF100: We recommend that you first run the program in TEST mode and examine the resulting
output for accuracy (i.e. currency rates and account determination). If necessary, adjust customizing.
The Currency codes you use must be defined under global settings in customizing for the entire system.
In addition, you have to specify the number of decimal places that are managed for individual currencies.
You define translation rates in the table for exchange rates. The system determines the rates during
document entry and for key date valuations by using various currency rate types that are defined under
global settings in customizing. Translation rates receive a validity date.
(C) SAP AG
AC205 4-26
Currencies
Check currency codes
Set up decimal places for currencies
Check exchange rate types
Maintain currency spreads
Define rounding rules for currencies
Define translation factors for currency translation
Enter exchange rates
© SAP AG 1999
Generally, you can use currency codes as they are delivered by SAP.
You use the exchange rate type to be able to store exchange rates for different purposes on the same date
in the system (see next pages).
(C) SAP AG
AC205 4-27
Exchange Rate Types
Type
Use
B
Bank selling rate
G
Bank buying rate
M
Average rate
Base curr.
curr.
Buying rate at Selling rate at Inversion ...
M
M
USD
© SAP AG 1999
Exchange rate type: If no exchange rate is entered on the document, the system uses an exchange rate
type to read the exchange rate table. The system uses exchange rate type "M" for currency translation
during posting transactions if no exchange rate has been specified in the document type configuration.
This exchange rate type must be contained in the system. Other types may be used during valuation
procedures of foreign currency transactions.
Base Currency: If you have to perform foreign currency translations for many different currencies,
specifying a base currency for an exchange rate type can simplify the maintenance of foreign currency
translations. Instead of entering translation rates between every single currency, you only need specify
the translation rate between each currency and the base currency. All currency translations then take
place in two steps - into the base currency and from the base currency into the target currency. For
exchange rate relations within the EU, it is a legal requirement that the base currency (EUR) is the Fromcurrency.
Buying rate at/ Selling rate at: You have the option of letting bank buying and selling rates to be
calculated from average rate and spread. The spread is the difference between average rate and bank
buying rate or between average rate and bank selling rate. For bank buying or selling rate, you enter the
exchange rate type of the average rate to which the bank buying or selling rate corresponds.
Inversion: If an entry is missing for the translation of a foreign currency into local currency in the
system, then the translation takes place by means of the entry for the translation of local currency into
foreign currency, providing the indicator is set.
(C) SAP AG
AC205 4-28
Spreads
Type
M
From
To
CAD
UNI
Valid from Spread
01.01.99
0.1
Factor
1:1
Average rate M : 1.6
Bank buying rate G
Bank selling rate B
= 1.6 - 0.1 = 1.5
= 1.6 + 0.1 = 1.7
Devaluation:
Evaluation:
Foreign Currency Valuation Method
© SAP AG 1999
During valuation, translation to bank selling and buying rate is done when the average rate is determined
(during the evaluation run) and the spread is added to or subtracted from this rate.
In this table you enter spreads for each foreign currency - local currency relationship you have to value
in your system.
(C) SAP AG
AC205 4-29
Customizing: Valuation Methods
Valuation method
KTO
Description
FC balance per acct . . .
Valuation procedure
o Lowest value principle
o Strict lowest value principle
o Always valuate
o Revalue only
Balance evaluation
Write extract
Document type
Post per line item
SA
Exchange rate determination
Rate type for debit balance
Rate type for credit balance
G
B
Use exchange hedging
o Determine rate type from account balance
o Determine rate type from item with same invoice ref.
© SAP AG 1999
You can define different valuation methods for valuing foreign currency.
For each valuation method, you specify:
Parameters for the valuation procedure
Parameters for exchange rate determination.
You can use different rate types for determining the exchange rate.
See switch: Balance evaluation.
Only relevant when using strictest or lowest evaluation principle. Example: evaluation of the open
items of customer accounts.
In order to have credit items evaluated, the switch must be ”on”. Otherwise, only debit items will be
evaluated.
(C) SAP AG
AC205 4-30
Valuation (without Update)
Receivable
180
Realized
30
180
Adjustment
b 20
20
Bank
150
Valuation
a
a 20
Revenue
20
1. Invoice
b
180
100 FC
1.8
2. Valuation
1.6
3. Payment
1.5
a) key date
b) key date + 1
© SAP AG 1999
The above accounts show the posting transactions when valuing items in foreign currency without an
update of the valuation difference in the document line item.
In the period that the valuation is performed (as defined by the key date), a posting is made to adjust the
overall receivables balance for the change in exchange rates. This posting is reversed in the next period,
to bring the balances back to the original position. A subsequent valuation or the payment clearing is
then based on the original posting.
The adjustment posting is usually made on the key date and reversed on the key date + 1, however, the
user can specify different posting dates if required.
(C) SAP AG
AC205 4-31
Valuation (with Update)
Receivable
180
180
Realized
Bank
10
Revenue
150
180
20
Adjustment
20
20
Valuation
1. Invoice
20
With translation
Translation
20
Translation offsetting
100 FC
1.8
2. Valuation
1.6
3. Payment
1.5
not posted to the
reconciliation account,
only updated in the
document
20
© SAP AG 1999
The accounts above show the resulting posting transactions when valuing items in foreign currency with
an update of the valuation difference in the document line item.
The check box ”Balance sheet preparation valuation” of the SAPF100 program determines whether or
not open items will be updated.
When following the strict lowest value principle, you must use valuation with an update.
SAP recommends this only for the year-end valuation.
If you value a document line item, the R/3 System stores the valuation difference in the document line
item. The system then uses this valuation when clearing the item during payment or for subsequent
valuations.
Exchange rate differences that are not realized as valuation differences in the payment settlement, are
posted as an exchange rate translation (see example above). You specify how the exchange rate
translation is posted for each company code. This is relevant only in certain countries.
(C) SAP AG
AC205 4-32
Open Item Valuation
FC
LC
Transaction/
/
Transaction
Slide
X-Y new
100
180
100
160
Invoice
12/31.
1999
Keydate
100
175
100
180
100
170
12/31.
2000
12/31.
2001
Payment
X
X
t
X
X
X
For annual balance sheet (with update)
update)
-20
- Lowest value principle
-20
- Strict LVP.
During the fiscal year (without update)
- Lowest value principle
-20 +20
(automatic reverse posting)
+15
0
-5
+5
+5
0
-10
+10
0
-10
© SAP AG 1999
This slide provides an example of the valuation postings that would result as the value of an open item
changes from period to period, depending on whether the lowest value principle or strict lowest value
principle method is selected.
(C) SAP AG
AC205 4-33
Customizing: Account Determination for Open Item
Exchange Rate Differences
Process: KDF
Chart of accts
INT
General ledger
Currency Currency type
Receivables
Realized exchange rate difference
Loss
Gain
Valuation
Loss
Gain
Balance sheet adjustment
© SAP AG 1999
Translation
Loss
Balance sheet adjustment loss
Gain
Balance sheet adjustment gain
To evaluate foreign currencies in accounts managed on an open item basis, you define account entries
for: Valuated exchange rate gains and losses for each reconciliation account in subledger accounts.
The entries for realized exchange rate differences and translation are used during the clearing process
only.
(C) SAP AG
AC205 4-34
Customizing: Regroup Receivables and Payables
Receivables
>1 year
(VS2)
<= 1 year
Customers
Payables (customers with credit balance)
<= 1 year
1 - 5 years
(VH2)
> 5 years
(VH3)
1 - 5 years
(VH2)
> 5 years
(VH3)
Payables
<= 1 year
Vendors
Receivables (vendors with debit balance)
<= 1 year
(VS1)
>1 year
(VS2)
Receivables
<= 1 year
G/L accounts
Payables
<= 1 year
© SAP AG 1999
>1 year
(VS2)
1 - 5 years
(VH2)
> 5 years
(VH3)
An account assignment is needed for the areas which are “not” highlighted in white, e.g. VS1 for
vendors.
Values are produced by balancing the reconciliation account against the appropriate open-item account.
(C) SAP AG
AC205 4-35
Example: Customers with Credit Balance
Customer 1
600
One balance
sheet item
Receivables
100
600
200
20
Customer 2
100
Adjustment acct
20 To be adjusted
100
200
20
Customer 3
200
Open Item Analysis
<= 1 year
200
Receivables
<= 1 year
Payables
Receivables
> 1 year
Σ = 600
< 1 year
Balance sheet adjustment
&
Regroup Receivables
and Payables
100
1 - 5 years
20
> 5 years
© SAP AG 1999
The balance of an account determines whether the system will display it as a receivable or payable.
Receivables and payables are displayed separately by remaining life.
(C) SAP AG
AC205 4-36
Balancing for Affiliated Companies
Customer X
Business partner VERB01
Vendor Y
Business partner VERB01
30,000
20,000
10,000
15,000
20,000
OI Analysis
Receivables
(VH1)
<= 1 year
(VH1)
< 1 year
(VH2)
1 - 5 years
(VH3)
> 5 years
35,000
50,000
(VH2)
Payables
Balance adjustment
> 1 years
10,000
© SAP AG 1999
You show receivables and payables with a subsidiary in the accounts receivable or payable sub-ledgers.
Use a separate reconciliation account to distinguish “Affiliated” from “Normal.”
To connect the receivables and payables area, use the ”Business partner” field in the subledger account.
The common balance determines customer or vendor sorting during balance sheet adjustment.
(C) SAP AG
AC205 4-37
Changed Reconciliation Account
Customer
Old rec.
Old rec.
Receivables adjustment
300
400
700
Old receivables
New rec. 100
700
Common
Common Balance:
Balance: 00
Receivables adjustment
Adjustment Posting
700
New receivables
100
© SAP AG 1999
Common
Common Balance:
Balance: +800
+800
You can change the reconciliation account in the customer/vendor master record during a fiscal year.
The report for performing this change will display all the receivables at the balance sheet key date by
using the new reconciliation account.
(C) SAP AG
AC205 4-38
Checks/Banks: Topic Objectives
At the conclusion of this topic, you will be able to:
Evaluate foreign currency balance sheet
accounts
Explain the difference between open item
valuation and balance sheet account valuation
Locate and complete customizing in the IMG
© SAP AG 1999
(C) SAP AG
AC205 4-39
Automatic Postings - Exchange Rate Differences
Exch.rate diff.in
foreign currency
balances
Exchange rate differences
for open items
G/L account
Sub-ledger acct
G/L account
Currency FC
Currency LC
OI management
Currency LC
OI management
OI1 = 100 USD
OI2 = 500 USD
OI3 = 300 CHF
OIn = 900 FRF
OI1 = 200 GBP
OI2 = 800 GBP
OI3 = 400 NLG
OIn = 500 NLG
Transaction
figures in FC
© SAP AG 1999
LC = Local currency
FC = Foreign currency
Use program RFSBEW00 to valuate foreign currency balances.
Use program SAPF100 to valuate accounts managed on an open item basis.
You can use G/L accounts as foreign currency balance sheet accounts. You can only post to these
accounts in the currency defined in the account master record.
(C) SAP AG
AC205 4-40
Account Determination in Foreign Currency
Balances
Chart of accts
AAAA
Key
Expense account
|___|
Losses from foreign
currency valuation 1
TK
Losses from for.curr.val.2
...
...
Revenue account
Gains from foreign
currency valuation
Currency gains 2
G/L Account
Account number 123456 Bank FC
Chart of accounts AAAA
0001
Company code
© SAP AG 1999
Currency
Exch.rate diff. key
FC
TK
Foreign currency accounts are valuated by balance.
You can calculate exchange rate differences and post them via batch input using the RFSBEW00
program.
Exchange rate differences in foreign currency balance sheet accounts are posted to various gains and
losses accounts based on the exchange rate difference key in the G/L account master record.
(C) SAP AG
AC205 4-41
Valuing Foreign Currency Balance Sheet Accounts
Exchange rate
losses account
Foreign curr. balance sheet acct.
Posting
rates
1.6
1.5
1.4
FC
LC
1000
LC
1600
100
2000
150
Document
2800
480
480
Valuation
method
Account valuation
Valuation rate
at key date:
1.3
FC balance X
rate at key date
= 2900 x 1.3
= 3770
Cumulative balance
in local currency
Adjustment
posting in local
currency
4250
if required
Difference = 480
© SAP AG 1999
Batch
Input
Depending on the valuation method used and the balance of the foreign currency balance sheet account,
you may end up devaluing or revaluing your accounts. You can execute the valuation run with the same
selection criteria as many times as you like.
New transactions may change the balance of the account. A subsequent evaluation will only consider the
account if there is a new currency difference.
Important:
The reports selects only accounts that are not open item managed and that are not Profit and
Loss accounts.
(C) SAP AG
AC205 4-42
Accrual/Deferral Postings: Topic Objectives
At the conclusion of this topic, you will be able to:
Describe the advantage of using accrual/ deferral
postings instead of regular GL postings
© SAP AG 1999
(C) SAP AG
AC205 4-43
Accrual/Deferral Postings
Accrual/Deferral Postings
Anticipated (accrued)
Transitory (deferred)
Service transaction
now
Payment transaction
Payment transaction
later
Service transaction
Example:
Example:
Prepaid rent, taxes on
company car, etc.
affecting subsequent
periods
Leasing expenses must be
allocated to proper period
© SAP AG 1999
To ensure that expenses are posted to the correct period, you can enter accrual/deferral documents, and
then reverse them in a later step (collective processing). The reversal date (flag) in that document is then
regarded as the posting date of the reversal document. If you need to do accruals/deferrals often, the
recurring entry program is recommended.
(C) SAP AG
AC205 4-44
Accrual/Deferral Posting: Warehouse Lease
Start of warehouse lease
Rent prepayment: quarterly basis
Full expense
1500
12/1
1/31
2/28
Period 12
12/31
Accrual/Deferral
-1000
Expenses hit
Periods 01 and 02
01/01
Cancellation posting
-0
1000
© SAP AG 1999
The monthly rent is 500:
Prepayment of rent on 12/1
Posting:
Debit Rent credit Bank 1500
Accrual/Deferral posting on 12/31
Debit Pre-paid expenses
credit Rent 1000
Cancellation posting on 01/01
Debit Rent credit Accrued income
1000
During the entering of accrual/deferral document you have to enter a reversal reason. The reason is noted
in the document that is reversed. You can then see from this field why a particular document was
reversed.
The reversal reason also determines:
If the reversal document can have a different posting date
If the reversal document can be comprised of negative postings
(C) SAP AG
AC205 4-45
Assets and Liabilities: Unit Summary
Periodic activities in Asset Accounting and Materials
Management impact the closing of the GL:
Settling assets under construction
Depreciation and interest expense postings
GR/IR account maintenance
Material price changes and revaluations
Physical inventory procedure
Opening the new fiscal year (fiscal year change) and closing the
old fiscal year (year end closing) in Asset Accounting are annual
closing functions.
Open item accounts containing foreign currency transactions
such as payables/receivable and foreign currency balance sheet
accounts have to be revalued periodically,
Regrouping of the payables/receivables and analysis of the
GR/IR clearing account can provide more accurate presentation
of the financial statements.
© SAP AG 1999
(C) SAP AG
AC205 4-46
Assets & Liabilities Exercises
Unit: Assets & Liabilities
Topic: Fixed Assets
At the conclusion of this exercise, you will be able to:
•
•
•
Change the fiscal year in Asset Accounting in test mode
Post depreciation
Discuss year-end closing functions in Asset Accounting
In preparation for year-end closing, you need to review the
closing activities for Asset Accounting.
For month-end closing, you need to process a depreciation run to
record depreciation expense for the current period and post the
results to the General Ledger.
1-1
Execute the ‘Fiscal Year Change’ program for your company code AC## only IN
TEST RUN MODE. Review the documentation that results from this execution.
If you receive a ‘Limitation in online’ message, click on
‘Yes’ to continue processing
1-2
Process an unplanned depreciation run for your company code for the current period.
View the effect of this closing process on your asset value in Asset Accounting and on
your financial statements produced from the General Ledger.
1-2-1 Review the current asset values for your asset TACMACH##, sub-number 0,
in your company code AC## before posting depreciation.
1-2-2 In a second session, review the balance sheet/profit and loss statement
(RFBILA00) before posting depreciation using the report variant VAR## that
you created earlier. At this time, you will see only the asset acquisition balance.
1-2-3 In your first session, process an unplanned depreciation run for the current
period in your company code AC##. Process a production run (de-select test
run) and use DEPR## for your batch input session name to make it easier to
identify. The instructor will provide you with the appropriate output device.
(C) SAP AG
AC205 4-47
Remember that you must process a production depreciation
run in background. Select immediate processing.
1-2-4 Wait a couple of minutes for the program to process and view the asset value
again to see the depreciation posted to the asset.
1-2-5 Process the resulting batch input session (errors only) to generate the posting to
the General Ledger. Processing is complete when you receive the message
'Batch input processing completed'.
1-2-6 Return to your second session to rerun the balance sheet/profit and loss
statement. At this time, you will see depreciation posting in the balance sheet
(accumulated depreciation) and in the P&L (ordinary depreciation).
1-3
Answer the following questions about Asset Accounting year-end closing activities.
1-3-1 Name the year-end activity that has to be performed within FI-AA in order to
be able to post on assets in the new fiscal year. When should this activity be
performed?
1-3-2 Which two activities within FI-AA that have to be performed in the new year in
order to close the previous year?
(C) SAP AG
AC205 4-48
Exercises
Unit: Assets & Liabilities
Topic: Current Assets
At the conclusion of this exercise, you will be able to:
• Enter a manual price change for a material
• Execute the lowest cost determination for a material and
record the price adjustment
Your company will use the manual price change function to
update material prices on an as needed bases, as prices for items
change significantly. You will also revalue materials at the end of
the year using the lowest cost determination method. You need to
test both of these functions and view the effect in both Materials
Management and Financial Accounting.
2-1
Process a manual material price change. View the affect of the transaction on the
material master in MM and the balance sheet/P&L in G/L.
2-1-1 Review the balance sheet/profit and loss statement (RFBILA00) for inventory
balances before posting the material revaluation from the manual price change.
Use the report variant VAR## that you created earlier.
2-1-2 In a new session, review the current material price and value for material TAC205-## in plant AC##. Record the values for the material standard price,
total stock (quantity), total value, and previous price from the Accounting 1
view of the material master record.
Standard price: _____________________
Total stock: _____________________
Total value: _____________________
Previous price: _____________________
2-1-3 Manually change the price of material T-AC205-## in your company code
AC## and plant AC## to 9 UNI. Post the price change to the current date.
2-1-4 Display the material stock value again (Accounting 1 view in the material
master) for your material T-AC205-## in plant AC## in MM to see the result
of the revaluation. Record the values for the material standard price, total stock
(quantity), total value, and previous price.
Standard price: _____________________
Total stock: _____________________
(C) SAP AG
AC205 4-49
Total value: _____________________
Previous price: _____________________
2-1-5 Return to your original session to rerun the balance sheet/profit and loss
statement. On the balance sheet, the inventory account for your material now
reflects the current valuation for your material. The difference between this
value and the original value is reflected on the P&L in the 'Expense from
revaluation of own materials' account.
2-2
Perform lowest cost determination and material revaluation.
If you performed exercise 2-1, skip steps 2-2-1 and 2-2-2.
2-2-1 Review the balance sheet/profit and loss statement (RFBILA00) for inventory
balances before posting the material revaluation from the lowest cost
determination. Use the report variant VAR## that you created earlier.
2-2-2 In a second session, review the current material value for material T-AC205-##
in plant AC##. Record the values for the material standard price, total stock
(quantity), total value, and previous price from the Accounting 1 view of the
material master record.
2-2-3 Generate a purchase order to buy 100 pieces (PC) of casing material T-AC205## at a cost of 8 UNI for plant AC## from vendor T-F00A00. The purchasing
organization is Purchase Org AC##, the purchasing group is Mr. Becker, and
the company code is Company Code Training ## (your company code AC##).
Record your purchase order number.
2-2-4 Receive the material from your purchase order into inventory for plant AC##.
The movement type for this transaction is 101, and the storage location for your
material T-AC205-## is 0001.
2-2-5 Display the accounting document generated for the goods receipt in the
previous step. Note that the value of the material posted to the inventory
account is the goods receipt quantity multiplied by the current standard price of
the material. The difference between the standard price and purchase price is
recorded to a loss account.
2-2-6 Return to your original session to rerun the balance sheet/profit and loss
statement. The increase in stock from the goods receipt is reflected in the
inventory account balance.
2-2-7 Execute the lowest value determination for your material T-AC205-## in your
company code AC##. The lowest value determination will be performed with
the current date as the key date, using the receipt and order prices as for
market price information. In this case, you will perform a direct update of the
(C) SAP AG
AC205 4-50
database, which will update the material master with the lower of the standard
or market prices and result in a revaluation of materials currently in stock.
We could also have elected to generate the lowest value
determination without updating the material price. Instead,
we could run the Evaluation transaction in MM to determine
the overall inventory adjustment for all our materials and
perform a manual entry to FI for a Summary Revaluation.
2-2-8 Display the material stock value again (Accounting 1 view in the material
master) for your material T-AC205-## in plant AC## in MM to see the result
of the revaluation. Record the values for the material standard price, total stock
(quantity), total value, and previous price.
Standard price: _____________________
Total stock: _____________________
Total value: _____________________
Previous price: _____________________
2-2-9 Return to your original session to rerun the balance sheet/profit and loss
statement. On the balance sheet, the inventory account for your material now
reflects the current valuation for your material. The difference between this
value and the original value is reflected on the P&L in the 'Expense from
revaluation of own materials' account.
2-3
Answer the following questions about maintaining the GR/IR Clearing Account.
2-3-1 Is maintaining the GR/IR Clearing Account an FI or MM transaction?
2-3-2 In which case must this transaction be performed?
2-3-3 How often does SAP recommend this maintenance take place?
2-4
(C) SAP AG
Describe the intention of material price changes. What is the impact on the balance
sheet/profit and loss statement?
AC205 4-51
Exercises
Unit: Assets & Liabilities
Topic: Analyze GR/IR Account
At the conclusion of this exercise, you will be able to:
• Describe the GR/IR clearing account analysis feature
Your manager wants to know what is required to bring the GR/IR
clearing account balance to zero for year-end reporting. You need
to describe how this is accomplished.
3-1
(C) SAP AG
The GR/IR account has to be analyzed and its balance reduced to zero at the balance
sheet key date. Which program analyzes your GR/IR accounts, and what do you have
to do in customizing in order to enable the program to operate properly? Drill down in
the IMG in order to locate the necessary entries.
AC205 4-52
Exercises
Unit: Assets & Liabilities
Topic: Receivables & Payables
At the conclusion of this exercise, you will be able to:
• Create a balance confirmation for your customer
• Revalue your foreign currency open items for your customer
• Regroup receivables
You need to perform closing procedures for payables and
receivables. For the counting/checking step, you will create a
balance confirmation to verify you customer account balance. For
correct local currency valuation, you need to revalue foreign
currency open items. You will choose between the with and
without update valuation approaches. And for the best
presentation of receivables on your balance sheet, you will
process the regrouping program to break out your long term
receivables.
4-1
Create a balance confirmation for your customer T-F00A00 in your company code
AC##.
4-1-1 If the course is being held in a language other than German, change the
customer language to the course language in the customer master record. This
will produce the balance confirmation in the appropriate language. Perform the
Address information change for customer T-F00A00 in company code AC##.
If the balance confirmation forms have not been set up in
SAPScript in the course language, the output will default
back to German.
4-1-2 Produce your balance confirmation for your customer in your company code.
4-2
Determine the exchange rates currently in effect for posting a foreign currency
document and for foreign currency revaluation postings.
4-2-1 Locate in the IMG the current M exchange rate (standard translation at average
rate) between British pounds (GBP) and your local currency (UNI). This is the
exchange rate that was used when your document was posted. Record the
exchange rate.
(C) SAP AG
AC205 4-53
Currency relation: 1 GBP = ___________UNI
4-2-2 Calculate the G exchange rate (standard translation at bank buying rate) from
the M exchange rate and the spread.
G rate = ___________(M rate from previous step)
- ___________ (Spread for M rate, GBP to UNI)
= ___________
EXERCISE 4-3 AND 4-4 ARE BOTH FOREIGN CURRENCY OPEN ITEM
REVALUATIONS, 'WITHOUT UPDATE' AND 'WITH UPDATE', RESPECTIVELY.
YOUR INSTRUCTOR WILL TELL YOU WHICH EXERCISE TO COMPLETE.
4-3
Value open items in foreign currency without update of the line item
4-3-1 Review the balance sheet/profit and loss statement (RFBILA00) for Accounts
Receivable before posting the foreign currency open item revaluation. Use the
report variant VAR## that you created earlier.
4-3-2 In another session, execute the foreign currency valuation program first in test
mode in order to see what the valuation difference is on the last day of the
current period. Run the program for your company code AC##, valuation
method KTO, and customer T-F00A00.
Be sure to specify your company code!
4-3-3 Execute the foreign currency valuation program in production in order to post
your valuation difference. Run the program for your company code AC##,
valuation method KTO, and customer T-F00A00. To make this a production
run, select Create postings.
4-3-4 Return to your original session to rerun the balance sheet/profit and loss
statement. On the balance sheet, the foreign currency revaluation has been
posted to the receivables adjustment account, reducing the total receivables.
The difference between this value and the original value is reflected on the P&L
in the 'Expense from currency revaluation' account.
4-3-5
4-4
(C) SAP AG
(Optional) Now run the balance sheet/profit and loss statement for the next
period. Since the adjustment posting is automatically reversed on the key date +
1 in a valuation without update, the balance sheet is returned to its original
position when we run it for the next period.
Value open items in foreign currency with update of the line item
AC205 4-54
4-4-1 Review the balance sheet/profit and loss statement (RFBILA00) for Accounts
Receivable before posting the foreign currency open item revaluation. Use the
report variant VAR## that you created earlier.
4-4-2 In another session, execute the foreign currency valuation program first in test
mode in order to see what the valuation difference is on the last day of the
current period. Run the program for your company code AC##, valuation
method KTO, and customer T-F00A00.
Be sure to specify your company code!
4-4-3 Execute the foreign currency valuation program in production in order to post
your valuation difference. Run the program for your company code AC##,
valuation method KTO, and customer T-F00A00. To make this a production
run with update, select Bal. sheet preparation valuatn.
4-4-4 Display the valuation difference that has been recorded to your foreign currency
open item (currency GBP).
4-4-5 Return to your original session to rerun the balance sheet/profit and loss
statement. On the balance sheet, the foreign currency revaluation has been
posted to the receivables adjustment account, reducing the total receivables.
The difference between this value and the original value is reflected on the P&L
in the 'Expense from currency revaluation' account.
4-5
Regroup receivables with a maturity date greater than one year in the future.
4-5-1 Review the balance sheet/profit and loss statement (RFBILA00) for Accounts
Receivable before regrouping. All receivables are currently shown as short-term
(due within one year). Use the report variant VAR## that you created earlier.
4-5-2 In another session, display the open item for your customer T-F00A00 in
company code AC## that is due in two years . In the line item display, choose
the Terms of payment display variant.
4-5-3 Process in production the program to regroup receivables and payables for your
customer T-F00A00 in your company code AC##. Specify a balance sheet key
date of the last day of the period and use the standard sorted list SAP The
program will create a batch input session with the regrouping postings. In the
report selection screen, change the batch input session name to REGROUP##
to make your session easier to identify.
Be sure to specify your company code!
4-5-4 Process your batch input session REGROUP## (errors only) to post the
transactions to the G/L. Processing is complete when you receive the message
'Batch input processing completed'.
(C) SAP AG
AC205 4-55
If you forgot to change the name of your batch input session,
the default name is the program name, SAPF101. To identify
YOUR session, look for your user ID in the Created column.
4-5-5 Return to your original session to rerun the balance sheet/profit and loss
statement. On the balance sheet, the Accounts Receivable Due In One Year has
been reduced by the credit to the adjustment account. The debit from this
posting can be seen in the Accounts Receivable Not Due Within One Year
section of the balance sheet.
4-5-6 (Optional) Now run the balance sheet/profit and loss statement for the next
period. Since the adjustment posting is automatically reversed on the key date +
1, the balance sheet is returned to its original position when we run it for the
next period.
4-6
(C) SAP AG
What are the two procedures provided in the R/3 System to account for doubtful
receivables? Provide a brief description of each procedure.
AC205 4-56
Exercises
Unit: Assets & Liabilities
Topic: Checks, Banks
At the conclusion of this exercise, you will be able to:
• Revalue foreign currency balance sheet accounts
Your company, which reports in the UNI currency, does business
globally and maintains cash accounts in foreign currencies. You
will process the revaluation program for one of these cash
accounts.
5-1
Execute the foreign currency balance sheet accounts evaluation program (RFSBEW00)
and analyse the output of the list. Process the batch input session to update Financial
Accounting.
5-1-1 Review the balance sheet/profit and loss statement (RFBILA00) for the
Deustche Bank - USD Account (113150). Use the report variant VAR## that
you created earlier.
5-1-2 Execute the foreign currency balance sheet account evaluation program in
production and analyse the output of the list. Process the program to revalue a
bank account maintained in USD, 113150, in your company code AC## on the
last day of the period. Perform the revaluation in your company code currency
(type 10), use valuation method KTO, and generate both the adjustment and
reversal postings. In order to update the database, create a batch input session
named FCREVAL##.
5-1-3 Process your batch input session FCREVAL## (errors only) to post to
transactions to the G/L. Processing is complete when you receive the message
'Batch input processing completed'.
If you forgot to change the name of your batch input session,
the default name is the program name, RFSBEW00. To
identify YOUR session, look for your user ID in the Created
column.
5-1-4 Return to your original session to rerun the balance sheet/profit and loss
statement. On the balance sheet, Deustche Bank - USD Account debit balance
has been reduced in the local currency (UNI) based on the revaluation. The
(C) SAP AG
AC205 4-57
debit from this posting can be seen in the profit and loss statement in the
account 'Foreign currency revaluation losses'.
5-1-5 (Optional) Now run the balance sheet/profit and loss statement for the next
period. Since the adjustment posting is automatically reversed on the key date +
1, the balance sheet is returned to its original position when we run it for the
next period.
(C) SAP AG
AC205 4-58
Exercises
Unit: Assets & Liabilities
Topic: Accrual/Deferral Postings
At the conclusion of this exercise, you will be able to:
• Accrue and reverse expenses for legal fees
• Identify the benefits of using the Accrual/Deferral Posting
transaction
The Accounting department has been notified that about half of
the work on a lawsuit has been completed, and the legal fees that
have been earned but not yet billed amount to 75,000 UNI. The
invoice for the entire project is expected in the upcoming period.
6-1
Process the accrual and reversal transactions for the legal fees.
6-1-1 Accrue 75000 UNI as Legal Social Expenses (account 440000) to the current
period using the current date with offset to Other Accruals (account 204000).
6-1-2 Post the reversal.
6-1-3 Review the balance sheet/profit and loss statement (RFBILA00) to see the
accural to the Legal Social Expenses account (440000) for the current period.
Use the report variant VAR## that you created earlier.
6-1-4 Now run the balance sheet/profit and loss statement for the next period to see
the effect of the reversal.
6-2
(C) SAP AG
Name at least one advantage for using the transaction 'Accrual/deferral postings'
instead of posting accruals/deferrals with a 'normal GL posting'.
AC205 4-59
Assets & Liabilities Solutions
Unit: Assets & Liabilities
Topic: Fixed Assets
1-1
Execute the ‘Fiscal Year Change’ program for your company code AC## only IN
TEST RUN MODE. Review the documentation that results from this execution.
Menu path for fiscal year change:
Accounting → Financial accounting → Fixed assets → Periodic processing
→ Fiscal year change
Enter the following information:
Company Code: AC##
New Fiscal Year: Current year + 1
Test Run: Leave flag turned on
Execute the report.
If you receive a ‘Limitation in online’ message, click on
‘Yes’ to continue processing
Return to the main menu after reviewing the report.
1-2
Process an unplanned depreciation run for your company code for the current period.
View the effect of this closing process on your asset value in Asset Accounting and on
your financial statements produced from the General Ledger.
1-2-1 Review the current asset values for your asset TACMACH##, sub-number 0,
in your company code AC## before posting depreciation.
Menu path to display the asset value:
Accounting → Financial accounting → Fixed assets → Asset → Display →
Asset
Enter the following information:
Asset:
Sub-number:
Company code:
(C) SAP AG
AC205 4-60
TACMACH##
0
AC##
Click Asset values.
Review the data on the Planned values tab.
Click the Posted values tab to review the postings.
Return to main menu.
1-2-2 In a second session, review the balance sheet/profit and loss statement
(RFBILA00) before posting depreciation using the report variant VAR## that
you created earlier. At this time, you will see only the asset acquisition balance.
Menu path to open a new session:
System → Create session
Menu path for report:
Information Systems → Accounting → Financial Accounting → General
ledger → Balance sheet
Select variant:
Goto → Variants → Get
Enter VAR##.
Select 'Execute' to choose the variant.
Execute the report.
After reviewing the report, back up to the Balance Sheet/P+L screen.
Return to first session.
1-2-3 In your first session, process an unplanned depreciation run for the current
period in your company code AC##. Process a production run (de-select test
run) and use DEPR## for your batch input session name to make it easier to
identify. The instructor will provide you with the appropriate output device.
Remember that you must process a production depreciation
run in background. Select immediate processing.
Menu path for depreciation program:
Accounting → Financial accounting → Fixed assets → Periodic processing
→ Depreciation run → Execute
Enter the following information:
Company code: AC##
(C) SAP AG
AC205 4-61
Fiscal year:
Current year
Posting period: Current period
Select Unplanned posting run.
De-select Test run.
Change 'Session name' to DEPR##.
Select Program → Execute in background.
Enter the output device specified by the instructor.
Select 'Enter'.
Click Immediate.
Save.
1-2-4 Wait a couple of minutes for the program to process and view the asset value
again to see the depreciation posted to the asset.
Menu path to display the asset value:
Accounting → Financial accounting → Fixed assets → Asset → Display →
Asset
Enter the following information:
Asset:
TACMACH##
Sub-number:
0
Company code: AC##
Click Asset values.
Click Posted values to review.
Return to the main menu.
1-2-5 Process the resulting batch input session (errors only) to generate the posting to
the General Ledger. Processing is complete when you receive the message
'Batch input processing completed'.
Menu path for batch input session:
System → Services → Batch input → Sessions
Mark your session and click Process.
Select Errors only and click Process.
Click Exit to confirm the 'Batch input processing completed' message.
Click Start SAP Easy Access to return to the SAP Enjoy display.
(C) SAP AG
AC205 4-62
1-2-6 Return to your second session to rerun the balance sheet/profit and loss
statement. At this time, you will see depreciation posting in the balance sheet
(accumulated depreciation) and in the P&L (ordinary depreciation).
From the Balance Sheet/P+L screen, execute the report again.
1-3
Answer the following questions about Asset Accounting year-end closing activities.
1-3-1 Name the year-end activity that has to be performed within FI-AA in order to
be able to post on assets in the new fiscal year. When should this activity be
performed?
The Fiscal Year Change opens new annual value fields for each asset. The earliest
you can start this program is in the last posting period of the 'old' year.
1-3-2 Which two activities within FI-AA that have to be performed in the new year in
order to close the previous year?
First, the depreciation run completes all of the depreciation concerning the
old year.
Second, the Year-End Closing program checks to see that customizing of
AA is technically correct. Additionally, once this program is executed an
entry is made into a table which denotes that the 'old year' has been closed
and therefore can no longer be posted to.
(C) SAP AG
AC205 4-63
Solutions
Unit: Assets & Liabilities
Topic: Current Assets
2-1
Process a manual material price change. View the affect of the transaction on the
material master in MM and the balance sheet/P&L in G/L.
2-1-1 Review the balance sheet/profit and loss statement (RFBILA00) for inventory
balances before posting the material revaluation from the manual price change.
Use the report variant VAR## that you created earlier.
Menu path for report:
Information Systems → Accounting → Financial Accounting → General
ledger → Balance sheet
Select variant:
Goto → Variants → Get
Enter VAR##.
Select 'Execute' to choose the variant.
Execute the report.
After reviewing the report, back up to the Balance Sheet/P+L screen.
2-1-2 In a new session, review the current material price and value for material TAC205-## in plant AC##. Record the values for the material standard price,
total stock (quantity), total value, and previous price from the Accounting 1
view of the material master record.
Menu path to open a new session:
System → Create session
Menu path to display material stock value:
Logistics → Materials Management → Material Master → Material →
Display → Display current
Enter T-AC205-## in the Material field.
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Press 'Enter'.
Mark the Accounting 1 view.
Press 'Enter'.
Enter AC## in the Plant field.
Press 'Enter'.
Review the current values for the pertinent fields.
Return to the main menu.
Standard price: _____________________
Total stock: _____________________
Total value: _____________________
Previous price: _____________________
2-1-3 Manually change the price of material T-AC205-## in your company code
AC## and plant AC## to 9 UNI. Post the price change to the current date.
Menu path for material price change:
Logistics → Materials Management → Valuation → Valuation → Price
determination → Change price
Enter the following information:
Posting date:
Current date
Company code: AC##
Plant:
AC##
Press 'Enter'.
Enter the following information:
Material:
T-AC205-##
New (price):
9
Press 'Enter'.
Save.
Return to the main menu.
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AC205 4-65
2-1-4 Display the material stock value again (Accounting 1 view in the material
master) for your material T-AC205-## in plant AC## in MM to see the result
of the revaluation. Record the values for the material standard price, total stock
(quantity), total value, and previous price.
Menu path to display material stock value:
Logistics → Materials Management → Material Master → Material →
Display → Display current
Enter T-AC205-## in the Material field.
Press 'Enter'.
Mark the Accounting 1 view.
Press 'Enter'.
Enter AC## in the Plant field.
Press 'Enter'.
Review the current values for the pertinent fields.
Return to the main menu.
Standard price: _____________________
Total stock: _____________________
Total value: _____________________
Previous price: _____________________
2-1-5 Return to your original session to rerun the balance sheet/profit and loss
statement. On the balance sheet, the inventory account for your material now
reflects the current valuation for your material. The difference between this
value and the original value is reflected on the P&L in the 'Expense from
revaluation of own materials' account.
From the Balance Sheet/P+L screen, execute the report again.
After reviewing the report, back up to the Balance Sheet/P+L screen.
2-2
Perform lowest cost determination and material revaluation.
If you performed exercise 2-1, skip steps 2-2-1 and 2-2-2.
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2-2-1 Review the balance sheet/profit and loss statement (RFBILA00) for inventory
balances before posting the material revaluation from the lowest cost
determination. Use the report variant VAR## that you created earlier.
Menu path for report:
Information Systems → Accounting → Financial Accounting → General
ledger → Balance sheet
Select variant:
Goto → Variants → Get
Enter VAR##.
Select 'Execute' to choose the variant.
Execute the report.
After reviewing the report, back up to the Balance Sheet/P+L screen.
2-2-2 In a second session, review the current material value for material T-AC205-##
in plant AC##. Record the values for the material standard price, total stock
(quantity), total value, and previous price from the Accounting 1 view of the
material master record.
Menu path to open a new session:
System → Create session
Menu path to display material stock value:
Logistics → Materials Management → Material Master → Material →
Display → Display current
Enter T-AC205-## in the Material field.
Press 'Enter'.
Mark the Accounting 1 view.
Press 'Enter'.
Enter AC## in the Plant field.
Press 'Enter'.
Review the current values for the pertinent fields.
Return to the main menu.
(C) SAP AG
AC205 4-67
2-2-3 Generate a purchase order to buy 100 pieces (PC) of casing material T-AC205## at a cost of 8 UNI for plant AC## from vendor T-F00A00. The purchasing
organization is Purchase Org AC##, the purchasing group is Mr. Becker, and
the company code is Company Code Training ## (your company code AC##).
Record your purchase order number.
Menu path to create a purchase order:
Logistics → Materials Management → Purchasing → Purchase order →
Create → Vendor/supplying plant known
Enter the following information:
Vendor:
T-F00A00
Doc. date:
The current date - 4 weeks
Plant:
AC##
Click 'Item overview'.
Enter the following information:
Purchasing org.:
Purchase Org AC##
Purch. group:
Mr. Becker
Company code:
Company Code Training ##
Enter the following information in the first row:
Material:
PO Q(uantity):
Net (Price):
Plant:
T-AC205-##
100
8
AC##
Save your entry. Record your purchase order number.
Return to the main menu.
2-2-4 Receive the material from your purchase order into inventory for plant AC##.
The movement type for this transaction is 101, and the storage location for your
material T-AC205-## is 0001.
Menu path for goods receipt:
Logistics → Materials Management → Purchasing → Purchase order →
Follow-on functions → Goods receipt
Enter the following information:
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AC205 4-68
Movement type:
101
Purchase order:
Plant:
Storage location:
Your purchase order from the previous step
AC##
0001
Press 'Enter'.
Save your entry. The system will return you to the Goods Receipt for Purchase
Order: Initial Screen.
DO NOT EXIT THIS SCREEN
2-2-5 Display the accounting document generated for the goods receipt in the
previous step. Note that the value of the material posted to the inventory
account is the goods receipt quantity multiplied by the current standard price of
the material. The difference between the standard price and purchase price is
recorded to a loss account.
Menu path to display accounting document from the Goods Receipt for Purchase
Order: Initial Screen:
Goods receipt → Display
Click Overview.
Click Accounting docs…
Click Accounting document.
Review the postings generated by the goods receipt
Return to the main menu.
2-2-6 Return to your original session to rerun the balance sheet/profit and loss
statement. The increase in stock from the goods receipt is reflected in the
inventory account balance.
From the Balance Sheet/P+L screen, execute the report again.
After reviewing the report, back up to the Balance Sheet/P+L screen.
2-2-7 Execute the lowest value determination for your material T-AC205-## in your
company code AC##. The lowest value determination will be performed with
the current date as the key date, using the receipt and order prices as for
market price information. In this case, you will perform a direct update of the
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AC205 4-69
database, which will update the material master with the lower of the standard
or market prices and result in a revaluation of materials currently in stock.
We could also have elected to generate the lowest value
determination without updating the material price. Instead,
we could run the Evaluation transaction in MM to determine
the overall inventory adjustment for all our materials and
perform a manual entry to FI for a Summary Revaluation.
Menu path for lowest value determination:
Logistics → Materials Management → Valuation → Valuation → Bal. sheet
valuation → Determ. lowest value → Market prices
Enter the following information:
Company code: AC##
Key date:
Material:
Current date
T-AC205-##
Click Market price.
De-select all options except Receipt prices and Order prices.
Select 'Enter'.
Select Database update.
Click Change material prices.
Select Direct update.
Select 'Enter'.
Execute the program.
The system will display a listing of the price changes.
Return to the main menu.
2-2-8 Display the material stock value again (Accounting 1 view in the material
master) for your material T-AC205-## in plant AC## in MM to see the result
of the revaluation. Record the values for the material standard price, total stock
(quantity), total value, and previous price.
Menu path to display material stock value:
Logistics → Materials Management → Material Master → Material →
Display → Display current
Enter T-AC205-## in the Material field.
Press 'Enter'.
Mark the Accounting 1 view.
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AC205 4-70
Press 'Enter'.
Enter AC## in the Plant field.
Press 'Enter'.
Review the current values for the pertinent fields.
Standard price: _____________________
Total stock: _____________________
Total value: _____________________
Previous price: _____________________
2-2-9 Return to your original session to rerun the balance sheet/profit and loss
statement. On the balance sheet, the inventory account for your material now
reflects the current valuation for your material. The difference between this
value and the original value is reflected on the P&L in the 'Expense from
revaluation of own materials' account.
From the Balance Sheet/P+L screen, execute the report again.
After reviewing the report, back up to the Balance Sheet/P+L screen.
2-3
Answer the following questions about maintaining the GR/IR Clearing Account.
2-3-1 Is maintaining the GR/IR Clearing Account an FI or MM transaction?
Maintaining the GR/IR Clearing Account is an MM transaction.
2-3-2 In which case must this transaction be performed?
This transaction has to be performed for each business transaction in which the
quantity of material delivered differs from the quantity invoiced and no
further transaction is expected.
During open item account management, selected items receive the same allocation
(usually purchase order number and position). This technical precondition
to automatically clear the selected open items is given (SAPF124). This
precondition must be met in order to archive these cleared items.
2-3-3 How often does SAP recommend this maintenance take place?
Depending on the number of transactions in the GR/IR account, SAP
recommends maintaining the clearing account on a monthly or quarterly
basis in order to match up in good time open purchase orders with all
corresponding postings.
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AC205 4-71
2-4
Describe the intention of material price changes. What is the impact on the balance
sheet/profit and loss statement?
Changing the price in the material serves to adapt the standard price based on
current prices. This reflects the development of the delivered costs of the
material.
An accounting document is automatically posted for the revaluation of stocked
materials. This will result in an adjustment to inventory values reflected on
the balance sheet and income/expense from revaluation on the P&L.
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AC205 4-72
Solutions
Unit: Assets & Liabilities
Topic: Analyze GR/IR Account
3-1
The GR/IR account has to be analyzed and its balance reduced to zero at the balance
sheet key date. Which program analyzes your GR/IR accounts, and what do you have
to do in customizing in order to enable the program to operate properly? Drill down in
the IMG in order to locate the necessary entries.
The program RFWERE00 analyses the GR/IR Account. In order to post to the
accounts 'goods delivered, but not invoiced' and 'goods invoiced but not yet
delivered', you have to allocate these assignments in the IMG to the
transaction keys BNG and GNB.
Menu path for account determination of GR/IR Clearing adjustment accounts:
Tools → AcceleratedSAP → Customizing → Edit Project → Goto →SAP Reference
IMG → Financial Accounting → General Ledger Accounting → Business
Transactions → Closing → Regrouping → Define Adjustment Acounts for GR/IR
Clearing
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AC205 4-73
Solutions
Unit: Assets & Liabilities
Topic: Receivables & Payables
4-1
Create a balance confirmation for your customer T-F00A00 in your company code
AC##.
4-1-1 If the course is being held in a language other than German, change the
customer language to the course language in the customer master record. This
will produce the balance confirmation in the appropriate language. Perform the
Address information change for customer T-F00A00 in company code AC##.
If the balance confirmation forms have not been set up in
SAPScript in the course language, the output will default
back to German.
Menu path to change customer master record:
Accounting → Financial accounting → Accounts receivable → Μaster
records → Change
Enter the following information:
Customer:
Company code:
T-F00A00
AC##
Scroll down to the Language field.
Change the language to the course language.
Save your entry.
Return to the main menu.
4-1-2 Produce your balance confirmation for your customer in your company code.
Menu path to print balance confirmations:
Accounting → Financial accounting → Accounts receivable → Periodic
processing → Closing → Check/count → Balance confirmation:Print
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AC205 4-74
Enter the following information:
Customer:
T-F00A00
Company code: AC##
Reconciliation key date: Current date
Individual customers: X
Date of issue:
Current date
Correspondence sorting:
Sort by account number
Line item sorting:
Document date, reference/doc.no.
The instructor will give you the printer assignment (same for all the output lists):
Printer for form set
Printer for check list
Printer for results
Printer for error list
Printer for selection
Execute the program.
Scroll up or down to view the information on the displayed page. Page down to
view the other report pages.
Return to the main menu.
4-2
Determine the exchange rates currently in effect for posting a foreign currency
document and for foreign currency revaluation postings.
4-2-1 Locate in the IMG the current M exchange rate (standard translation at average
rate) between British pounds (GBP) and your local currency (UNI). This is the
exchange rate that was used when your document was posted. Record the
exchange rate.
Menu path for exchange rates:
Tools → AcceleratedSAP → Customizing → Edit Project → Goto →SAP
Reference IMG → General Settings → Currencies → Enter exchange rates
Currency relation: 1 GBP = ___________UNI
4-2-2 Calculate the G exchange rate (standard translation at bank buying rate) from
the M exchange rate and the spread.
Menu path for exchange rate spreads:
Tools → AcceleratedSAP → Customizing → Edit Project → Goto →SAP
Reference IMG → General Settings → Currencies → Maintain exchange
rate spreads
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AC205 4-75
G rate = ___________(M rate from previous step)
- ___________ (Spread for M rate, GBP to UNI)
= ___________
EXERCISE 4-3 AND 4-4 ARE BOTH FOREIGN CURRENCY OPEN ITEM REVALUATIONS,
'WITHOUT UPDATE' AND 'WITH UPDATE', RESPECTIVELY. YOUR INSTRUCTOR
WILL TELL YOU WHICH EXERCISE TO COMPLETE.
4-3
Value open items in foreign currency without update of the line item
4-3-1 Review the balance sheet/profit and loss statement (RFBILA00) for Accounts
Receivable before posting the foreign currency open item revaluation. Use the
report variant VAR## that you created earlier.
Menu path for report:
Information Systems → Accounting → Financial Accounting → General
ledger → Balance sheet
Select variant:
Goto → Variants → Get
Enter VAR##.
Select 'Execute' to choose the variant.
Execute the report.
After reviewing the report, back up to the Balance Sheet/P+L screen.
4-3-2 In another session, execute the foreign currency valuation program first in test
mode in order to see what the valuation difference is on the last day of the
current period. Run the program for your company code AC##, valuation
method KTO, and customer T-F00A00.
Be sure to specify your company code!
Menu path to open a new session:
System → Create session
Menu path for FC open item revaluation:
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AC205 4-76
Accounting → Financial accounting → Accounts receivable → Periodic
processing → Closing → Valuate → Open items in foreign currency
Enter the following information:
Company code:
AC##
Key date for OI overview:
Last day of the current period
For. curr. valuation methods: KTO
Select the Selections tab and enter Customer account number T-F00A00.
Execute the program.
Review the results. Return to the Open Item Foreign Currency Valuation screen.
4-3-3 Execute the foreign currency valuation program in production in order to post
your valuation difference. Run the program for your company code AC##,
valuation method KTO, and customer T-F00A00. To make this a production
run, select Create postings.
Menu path for FC open item revaluation:
Accounting → Financial accounting → Accounts receivable → Periodic
processing → Closing → Valuate → Open items in foreign currency
Enter the following information:
Company code: AC##
Key date for OI overview:
Last day of the current period
For. curr. valuation methods: KTO
Create postings: X
Select the Selections tab and enter Customer account number T-F00A00.
Execute the program.
Return to your first session.
4-3-4 Return to your original session to rerun the balance sheet/profit and loss
statement. On the balance sheet, the foreign currency revaluation has been
posted to the receivables adjustment account, reducing the total receivables.
The difference between this value and the original value is reflected on the P&L
in the 'Expense from currency revaluation' account.
From the Balance Sheet/P+L screen, execute the report again.
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After reviewing the report, back up to the Balance Sheet/P+L screen.
4-3-5
(Optional) Now run the balance sheet/profit and loss statement for the next
period. Since the adjustment posting is automatically reversed on the key date
+ 1 in a valuation without update, the balance sheet is returned to its original
position when we run it for the next period.
On the Balance Sheet/P+L screen, enter the following:
Reporting period: Current period + 1 to Current period + 1
Execute the report again.
Return to the main menu.
4-4
Value open items in foreign currency with update of the line item
4-4-1 Review the balance sheet/profit and loss statement (RFBILA00) for Accounts
Receivable before posting the foreign currency open item revaluation. Use the
report variant VAR## that you created earlier.
Menu path for report:
Information Systems → Accounting → Financial Accounting → General
ledger → Balance sheet
Select variant:
Goto → Variants → Get
Enter VAR##.
Select 'Execute' to choose the variant.
Execute the report.
After reviewing the report, back up to the Balance Sheet/P+L screen.
4-4-2 In another session, execute the foreign currency valuation program first in test
mode in order to see what the valuation difference is on the last day of the
current period. Run the program for your company code AC##, valuation
method KTO, and customer T-F00A00.
Be sure to specify your company code!
Menu path to open a new session:
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AC205 4-78
System → Create session
Menu path for FC open item revaluation:
Accounting → Financial accounting → Accounts receivable → Periodic
processing → Closing → Valuate → Open items in foreign currency
Enter the following information:
Company code: AC##
Key date for OI overview:
Last day of the current period
For. curr. valuation methods: KTO
Select the Selections tab and enter Customer account number T-F00A00.
Execute the program.
Review the results. Return to the Open Item Foreign Currency Valuation screen.
4-4-3 Execute the foreign currency valuation program in production in order to post
your valuation difference. Run the program for your company code AC##,
valuation method KTO, and customer T-F00A00. To make this a production
run with update, select Bal. sheet preparation valuatn.
Menu path for FC open item revaluation:
Accounting → Financial accounting → Accounts receivable → Periodic
processing → Closing → Valuate → Open items in foreign currency
Enter the following information:
Company code: AC##
Key date for OI overview:
Last day of the current period
For. curr. valuation methods: KTO
Bal. sheet preparation valuatn: X
Select the Selections tab and enter Customer account number T-F00A00.
Execute the program.
Return to the main menu
4-4-4 Display the valuation difference that has been recorded to your foreign currency
open item (currency GBP).
Menu path to display customer open items:
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AC205 4-79
Accounting → Financial accounting → Accounts receivable → Account →
Display/change line items
Enter the following information:
Customer account:
Company code:
T-F00A00
AC##
Execute.
Double-click the open item with currency GBP.
Click More data.
Note the 'Valuation diff.' field.
Return to your first session.
4-4-5 Return to your original session to rerun the balance sheet/profit and loss
statement. On the balance sheet, the foreign currency revaluation has been
posted to the receivables adjustment account, reducing the total receivables.
The difference between this value and the original value is reflected on the P&L
in the 'Expense from currency revaluation' account.
From the Balance Sheet/P+L screen, execute the report again.
After reviewing the report, return to the main menu.
4-5
Regroup receivables with a maturity date greater than one year in the future.
4-5-1 Review the balance sheet/profit and loss statement (RFBILA00) for Accounts
Receivable before regrouping. All receivables are currently shown as short-term
(due within one year). Use the report variant VAR## that you created earlier.
Menu path for report:
Information Systems → Accounting → Financial Accounting → General
ledger → Balance sheet
Select variant:
Goto → Variants → Get
Enter VAR##.
Select 'Execute' to choose the variant.
Execute the report.
After reviewing the report, back up to the Balance Sheet/P+L screen.
(C) SAP AG
AC205 4-80
4-5-2 In another session, display the open item for your customer T-F00A00 in
company code AC## that is due in two years . In the line item display, choose
the Terms of payment display variant.
Menu path to display customer open items:
Accounting → Financial accounting → Accounts receivable → Account →
Display/change line items
Enter the following information:
Customer account:
T-F00A00
Company code: AC##
Execute.
Click Choose (display variant).
Double-click the Terms of payment variant.
Note the document with a 'Pmnt date' two years in the future.
Return to the main menu.
4-5-3 Process in production the program to regroup receivables and payables for your
customer T-F00A00 in your company code AC##. Specify a balance sheet key
date of the last day of the period and use the standard sorted list SAP The
program will create a batch input session with the regrouping postings. In the
report selection screen, change the batch input session name to REGROUP##
to make your session easier to identify.
Be sure to specify your company code!
Menu path to regroup receivables:
Accounting → Financial accounting → Accounts receivable → Periodic
processing → Closing → Regroup → Receivables/payables
Enter the following information:
Company code: AC##
Balance sheet key date: Last day of the current period
Sorted list:
SAP
Carry out postings:
X
Batch input session name:
REGROUP##
Select the Selections tab.
Press 'Enter' to ignore document type warning message.
Enter the following information:
Account type:
Customer:
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AC205 4-81
D (customer)
T-F00A00
Execute the program.
From the report screen, click Postings to view the transactions that have been
created. Return to the report.
On the report screen, click Messages to view the batch input session information.
4-5-4 Process your batch input session REGROUP## (errors only) to post the
transactions to the G/L. Processing is complete when you receive the message
'Batch input processing completed'.
If you forgot to change the name of your batch input session,
the default name is the program name, SAPF101. To identify
YOUR session, look for your user ID in the Created column.
Menu path for batch input session:
System → Services → Batch input → Sessions
Mark your session and click Process.
Select Errors only and click Process.
Click Exit to confirm the 'Batch input processing completed' message.
Click Start SAP Easy Access to return to the SAP Enjoy display.
4-5-5 Return to your original session to rerun the balance sheet/profit and loss
statement. On the balance sheet, the Accounts Receivable Due In One Year has
been reduced by the credit to the adjustment account. The debit from this
posting can be seen in the Accounts Receivable Not Due Within One Year
section of the balance sheet.
From the Balance Sheet/P+L screen, execute the report again.
After reviewing the report, back up to the Balance Sheet/P+L screen.
4-5-6 (Optional) Now run the balance sheet/profit and loss statement for the next
period. Since the adjustment posting is automatically reversed on the key date +
1, the balance sheet is returned to its original position when we run it for the
next period.
On the Balance Sheet/P+L screen, enter the following:
Reporting period: Current period + 1 to Current period + 1
Execute the report again.
(C) SAP AG
AC205 4-82
After reviewing the report, return to the main menu.
4-6
What are the two procedures provided in the R/3 System to account for doubtful
receivables? Provide a brief description of each procedure.
1. The Individual Valuation Adjustment (IVA) - Individual open items are
identified as doubtful. Using a special G/L indicator, a manual transaction records
a credit through the A/R subledger to a special general ledger account set up for
this purpose, which reduces the total receivables balance on the financial
statement. The offset is posted to an Allowance for IVA or Bad Debt Expense
acccount.
2. The Flat-Rate IVA - Customers are assigned to a valuation adjustment key. A
bad debt expense percentage, based on number of days overdue, is specified for
the valuation adjustment key. A valuation run calculates the adjustment for all
open items for the selected customers and overdue dates and automatically
generates the adjusting posting to the General Ledger and a reversal in the next
period. The Flat-Rate IVA does not update the A/R subledger.
(C) SAP AG
AC205 4-83
Solutions
Unit: Assets & Liabilities
Topic: Checks, Banks
5-1
Execute the foreign currency balance sheet accounts evaluation program (RFSBEW00)
and analyse the output of the list. Process the batch input session to update Financial
Accounting.
5-1-1 Review the balance sheet/profit and loss statement (RFBILA00) for the
Deustche Bank - USD Account (113150). Use the report variant VAR## that
you created earlier.
Menu path for report:
Information Systems → Accounting → Financial Accounting → General
ledger → Balance sheet
Select variant:
Goto → Variants → Get
Enter VAR##.
Select 'Execute' to choose the variant.
Execute the report.
After reviewing the report, back up to the Balance Sheet/P+L screen.
5-1-2 Execute the foreign currency balance sheet account evaluation program in
production and analyse the output of the list. Process the program to revalue a
bank account maintained in USD, 113150, in your company code AC## on the
last day of the period. Perform the revaluation in your company code currency
(type 10), use valuation method KTO, and generate both the adjustment and
reversal postings. In order to update the database, create a batch input session
named FCREVAL##.
Menu path for foreign currency balance revaluation:
Accounting → Financial accounting → General ledger → Periodic
processing → Closing → Valuate → Foreign Currency Valuation of
Inventory
Enter the following information:
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AC205 4-84
G/L account:
113150
Company code: AC##
Key date: Last day of the current period
Valuation in curr. type: 10 (Company code currency)
Method: KTO
Create batch input seesion:
X
Batch input session name:
FCREVAL##
Postings with reversal: X
Execute the program.
Review the report.
5-1-3 Process your batch input session FCREVAL## (errors only) to post to
transactions to the G/L. Processing is complete when you receive the message
'Batch input processing completed'.
If you forgot to change the name of your batch input session,
the default name is the program name, RFSBEW00. To
identify YOUR session, look for your user ID in the Created
column.
Menu path for batch input session:
System → Services → Batch input → Sessions
Mark your session and click Process.
Select Errors only and click Process.
Click Exit to confirm the 'Batch input processing completed' message.
Click Start SAP Easy Access to return to the SAP Enjoy display.
5-1-4 Return to your original session to rerun the balance sheet/profit and loss
statement. On the balance sheet, Deustche Bank - USD Account debit balance
has been reduced in the local currency (UNI) based on the revaluation. The
debit from this posting can be seen in the profit and loss statement in the
account 'Foreign currency revaluation losses'.
From the Balance Sheet/P+L screen, execute the report again.
After reviewing the report, back up to the Balance Sheet/P+L screen.
5-1-5 (Optional) Now run the balance sheet/profit and loss statement for the next
period. Since the adjustment posting is automatically reversed on the key date +
1, the balance sheet is returned to its original position when we run it for the
next period.
On the Balance Sheet/P+L screen, enter the following:
Reporting period: Current period + 1 to Current period + 1
(C) SAP AG
AC205 4-85
Execute the report again.
After reviewing the report, return to the main menu.
(C) SAP AG
AC205 4-86
Solutions
Unit: Assets & Liabilities
Topic: Accrual/Deferral Postings
6-1
Process the accrual and reversal transactions for the legal fees.
6-1-1 Accrue 75000 UNI as Legal Social Expenses (account 440000) to the current
period using the current date with offset to Other Accruals (account 204000).
Menu path for accrual/deferral posting:
Accounting → Financial accounting → General ledger → Periodic
processing → Closing → Valuate → Enter Accrual/Deferral Doc.
Enter the following information:
Document date: Current date
Type: SA
Company code: AC##
Currency: UNI
Reversal reason: 05 (Accrual)
Reversal date: First day of next period
PstKy: 40
Account: 440000
Press 'Enter'.
Enter the following information:
Amount: 75000
Cost center:
T-A20A##
PstKy: 50
Account: 204000
Press 'Enter'.
Enter the following information:
Amount: *
Tax code: 0I
Text: Legal fees case ##
Click Post.
6-1-2 Post the reversal.
Menu path for accrual/deferral posting:
(C) SAP AG
AC205 4-87
Accounting → Financial accounting → General ledger → Periodic
processing → Closing → Valuate → Reverse Accrual/Deferral Document
Enter the following information:
Company code: AC##
Fiscal year:
Current year
Posting date:
First day of current period
To:
Last day of current period
Test run: De-select
Execute the program.
6-1-3 Review the balance sheet/profit and loss statement (RFBILA00) to see the
accural to the Legal Social Expenses account (440000) for the current period.
Use the report variant VAR## that you created earlier.
Menu path for report:
Information Systems → Accounting → Financial Accounting → General
ledger → Balance sheet
Select variant:
Goto → Variants → Get
Enter VAR##.
Select 'Execute' to choose the variant.
Execute the report.
After reviewing the report, back up to the Balance Sheet/P+L screen.
6-1-4 Now run the balance sheet/profit and loss statement for the next period to see
the effect of the reversal.
On the Balance Sheet/P+L screen, enter the following:
Reporting period: Current period + 1 to Current period + 1
Execute the report again.
After reviewing the report, return to the main menu.
6-2
Name at least one advantage for using the transaction 'Accrual/deferral postings'
instead of posting accruals/deferrals with a 'normal GL posting'.
1. Posting with this transaction ensures that you will not forget a document that is
supposed to be reversed. All documents can be reversed in one step.
(C) SAP AG
AC205 4-88
2. By entering a reversal reason you can control more efficiently and have better
documentation and structuring for your accrual and deferral postings.
(C) SAP AG
AC205 4-89
Profit and Loss
Overview of closing in Controlling (internal closing)
Posting salary expenses from Human Resources to
financial accounting
© SAP AG 1999
(C) SAP AG
AC205 5-1
Profit and Loss: Unit Objectives
At the conclusion of this unit, you will be able to:
Give an overview of processes within controlling
that impact financial accounting
Describe how the reconciliation ledger is used to
update financial accounting for transactions within
CO that cross FI organizational units
Lock a period to prevent postings within CO
Explain how salary expenses are posted to
financial accounting
© SAP AG 1999
(C) SAP AG
AC205 5-2
Profit and Loss: Course Overview Diagram
Who is interested in
financial results?
Closing Process
Financial statement version
Overview
Internal view
2000
October
External view
Auditor’s view
Balance Sheet
Assets
Liabilities
Equity
Profit & Loss
Revenues
Costs
Appendix
Customizing Technical, Organizational, and Documentary Steps
© SAP AG 1999
(C) SAP AG
AC205 5-3
Profit and Loss: Business Scenario
Profit and Loss reporting offers profitability
analysis on the reporting company. Many
processes in internal and external accounting
have an impact on this area of information.
As a member of the project team, you will have to
be aware of preparatory activities and ensure that
the information presented in the P&L statement is
correct.
© SAP AG 1999
(C) SAP AG
AC205 5-4
Controlling: Topic Objectives
At the conclusion of this topic, you will be able to:
Give an overview of processes within controlling
that impact financial accounting
Describe the various means of order settlement
to financial accounting
Describe other types of costs allocations within
CO
Explain how the reconciliation ledger is used to
update financial accounting for transactions that
cross FI organizational units
Lock a period to prevent postings within CO
© SAP AG 1999
(C) SAP AG
AC205 5-5
Controlling in R/3
COCOOMOMCEL
External
procure- FI
ment
Material MM
COCOOMOMCCA
Personnel
ECECPCA
Cost elements
P C
r o
o n
f t
i
r
t o
Cost centers
COCOABC
HR
Capital AM
COCOOPA
AA
COCOPA
COCOPA
Billing SD
doc.
COCOABC
Overhead ord.
ord.
Overhead proj.
COCOPC
Cost objects
Assets
MM
l
Processes
Material stocks
e
a
.
.
.
Profitability segments
Revenue types
C l
e i
n n
t g
e
r a
s r
Accr.
© SAP AG 1999
Controlling in the R/3-System consists of:
Overhead Management (CO-OM)
- Reconciliation Ledger
- Cost Center Accounting
- Overhead Orders and Projects
- Activity Based Costing
Product and Production Management
Profitability Analysis
Profit Center Accounting can also be used to provide internal views of the enterprise from Enterprise
Controlling (EC).
Revenues and costs flow into Controlling through FI from the application components illustrated above.
Transactions in CO such as allocations, settlements and repostings reassign costs for management
reporting purposes.
(C) SAP AG
AC205 5-6
Allocating Costs to Financial Accounting
Sender
Capital investment order
Overhead cost orders
PP Orders
Allocation criteria
Recipient
Retain original cost
elements or use
settlement cost elements
Periodically to: Cost center
Annually to: assets & const.
Total to: Assets in service
Retain original cost
elements or use
settlement cost elements
to G/L account (when FIAA is not used, for
example)
Use settlement cost
elements for external
recipients
Periodically to: “Work in
Process" account Total to:
Balance sheet acct
© SAP AG 1999
A settlement of an order or project can be an external or internal settlement. The processing of internal
and external settlements is identical; the difference is in the type of receiver object.
In an external settlement, costs are transferred from the order or project (on the P&L) to a balance sheet
or non-operating revenue/expense account on the GL. In the above examples, the overhead cost order
and production orders are settled directly to the relevant accounts on the GL. In the case of the capital
investment order, the asset account in the Asset Accounting subledger is updated with the asset
acquisition value, which is in turn used to update the appropriate assets in service account on the GL.
In an external settlement, the GL is updated online, real-time.
The settlement of projects contains the same procedures as settling orders.
(C) SAP AG
AC205 5-7
Allocating Costs to CO Objects I
Sender
Allocation
Criteria
Receiver
Primary cost center Credit
per "Overhead order"
Use overhead cost
elements
Internal order
Project
Order/Project "Settlement"
Retain original cost
elements or use
settlement cost elements
Cost center
Order
Project ....
© SAP AG 1999
Other transactions within CO that are relevant to orders and projects are overhead surcharges and
internal settlements.
In the overhead surcharge, overhead is transferred from a cost center or overhead order and applied to
the order or project.
In an internal settlement, costs are allocated from the order/project to another CO object such as a cost
center, order, project, and so on.
These transactions are internal to CO; financial accounting is not updated during processing.
(C) SAP AG
AC205 5-8
Allocating Costs to CO Objects II
Sender
Allocation
Criteria
Receiver
Allocation cost center
"periodic reposting"
reposting"
Retain original cost
elements
Primary cost center
Internal order/Project
Service cost center
"Distribution"
Retain original cost
elements
Cost center Internal
order/Project
Service cost center " Internal
activity allocation "
Use cost elements for
internal activity allocation
Cost center, Internal
order, Project, PP order
Credit object Cost
center/accrual mgt order "
Imputed cost calculation"
Use settlement cost
elements
Cost center
Service/Primary cost center
"Activity clearing at actual
activity price"
Use cost elements for
internal activity
allocation
Cost center
© SAP AG 1999
There are several types of transactions associated with cost centers that result in cost flows within CO.
These cost center allocations are all internal to CO; financial accounting is not updated during
processing.
(C) SAP AG
AC205 5-9
Reconciliation Ledger
Navigation
aids
General ledger
Reconciliation postings
Reconciliation
reports / Cost
analyzes
Reconciliation postings
...
Controlling
001
001
002
001
002
002
Company codes
Business areas
© SAP AG 1999
In some cases, the GL should be updated for the postings described on the previous pages as “internal to
CO”. This is a requirement when the CO cost flows cross FI organizational units (company codes,
business areas, and functional areas).
The reconciliation ledger stores all cost flows within controlling in a summarized form. The
reconciliation ledger represents cost element accounting in the R/3 system.
The reconciliation ledger compares the CO view of data to the FI view and enables you to automatically
reconcile controlling with financial accounting.
(C) SAP AG
AC205 5-10
Reconciliation Postings
$500
Company code: 0001
Object class: Overhead
Company code: 001
Object class: Overhead
Activity: Transfer
Debit/Credit: Credit
Value: $500-
0002
Overhead
001
Overhead
Transfer
Debit
$500+
of the
receiver
of the
sender
Reconc.
ledger
Account determination
Profit/loss accts:
Internal transfers
500
General
ledger
500
Allocation accounts
500
Company code
0001
500
Company code
0002
© SAP AG 1999
Postings in controlling that affect different company codes, business areas or functional areas are used to
generate reconciliation postings to financial accounting via the reconciliation ledger.
You can create reconciliation postings at any time. However, be sure to do so after the last relevant CO
postings have been made.
Prerequisites for reconciliation postings are:
Adjustment and clearing accounts must exist in Financial Accounting
The adjustment accounts must be assigned to business transactions or object types, or a combination
of these.
Utility functions are available when you create reconciliation postings. These include the functions
“Detail list” and “Test run”.
(C) SAP AG
AC205 5-11
Lock Period in Controlling
Locking transactions or periods
Transactions
Periods
01 02 03 04 05 06 07 08 09 10 11 12 13 14
CO through-posting from FI
Periodic reposting
...
Assessment
...
© SAP AG 1999
Use the period lock to lock plan and actual business transactions for a combination of controlling area,
fiscal year, and version.
You can select individual business transactions for locking from a list of all the actual and plan
business transactions.
It is also possible to lock individual business transactions for all the periods of the fiscal year, or all
business transactions for individual periods.
(C) SAP AG
AC205 5-12
Posting Salary Expenses from HR: Topic
Objectives
At the conclusion of this topic, you will be able to:
Explain how salary expenses are posted to
financial accounting
Describe the location of payroll data within the
balance sheet
Describe the monthly procedure of calculating
payroll data within the HR module
Outline the functionality of automatic and/or
manual posting of HR-relevant data
© SAP AG 1999
(C) SAP AG
AC205 5-13
Payroll Procedure and Subsequent Activities
Master data
Changes to
master data
End of payroll
May
June
Payroll released
Payroll and
corrections
Subsequent activities per payroll period
Renumeration statement
Payroll results
for May
Posting to Accounting
Further countrycountry-specific reporting
© SAP AG 1999
(C) SAP AG
AC205 5-14
Data medium exchange
FI CO
Posting Payroll Results to Accounting
Expenses
Salaries
Posting
Posting
run
run
HR
Posting
Posting
document
document
Payroll results
Payables
FI
Salaries payable
3.500,-
2.600,-
Social insurance
Tax payable
550,-
350,SI payable
1.100,CO
Cost center 1
3.000,-
Salaries
Cost center 2
500,-
Salaries
Fixed cost center
550,-
Social insurance
Special purpose
ledger, Funds
Management etc.
...
© SAP AG 1999
Payroll results are posted to Accounting via the FI/CO interface.
Posting date:
Subsequent corrective posting in special periods:
- If revised amounts are detected during the payroll run for one or more previous periods in the
current fiscal year, subsequent posting takes place in the current period. Revised amounts for
periods in the previous year can be posted into a special period in the previous year, and written off
to a clearing account in the current year.
Month-end accruals:
- If there are discrepancies between the HR payroll period and the FI posting period, the payroll
amounts are posted to the respective posting periods proportionally.
Revision
The FI documents are linked to the original documents in HR through the HR document number
which can be displayed in the FI document header. By double-clicking on the HR posting document,
you can display detailed information on revisions, including the wage types posted from the payroll
run.
This allows you to trace all postings to Accounting back to HR Payroll Accounting. Posting Payroll
Results to Accounting
(C) SAP AG
AC205 5-15
Additional Subsequent Activities
Expenses
Payables
Bank accounts FI
HR
manual
Payroll result
Salaries
3.500,-
Payments to
employees
HR
Salaries
2.600,-
2.600,-
Social insurance
550,-
Tax payable
350,-
Bank clearing
2.600,350,1.100,-
350,-
manual
SI payable
Tax and health
insurance payments
1.100,-
1.100,-
Vendor
payments
© SAP AG 1999
Payments to employees:
The data medium exchange program (DME) saves the employee payroll data to a diskette that is sent
to the respective bank. The contents of the diskette are posted manually to bank clearing accounts
using a DME list. Tax and health insurance payments are also posted manually.
Using the personnel number:
For some postings, such as advance payments and claims, it is useful to supply the employee's
personnel number. This allows you to control open items on the GL account with FI assistance, and to
manually or automatically clear accounts and archive the documents. Automatic clearing can only take
place for open items with the same assignment (in this case, personnel number).
Payments using HR creditors:
In some countries (for example, the USA and Canada), payments to third parties are made using the
third-party remittance function. In this case, amounts on payables accounts are transferred to HR
creditor accounts, and paid automatically using the payment program.
(C) SAP AG
AC205 5-16
Month-End Activities in FI
Subsequent activities within Financial Accounting
Reconciliation between posted amounts / payments
Check deductions for advanced payments
Check deductions for claims
Reconciliation of cross-company processes
© SAP AG 1999
(C) SAP AG
AC205 5-17
FI
Profit and Loss: Unit Summary
Periodic settlement of capital investment orders,
overhead cost orders, PP orders and projects, can
contain FI-GL postings.
Other controlling postings do not update the GL
directly. For controlling cost flows that cross FI
organizational units, the reconciliation ledger
provides the tool to update FI.
Postings within the CO application components
are controlled with the period lock function.
Monthly salary expenses from HR and subsequent
activities affect FI-GL.
© SAP AG 1999
(C) SAP AG
AC205 5-18
Profit and Loss Exercises
Unit: Profit and Loss
Topic: Controlling
At the conclusion of this exercise, you will be able to:
• Settle an internal order to generate a cross-business area cost
flow within Controlling
• Execute a reconciliation posting from CO to FI
Your company produces financial statements at the business area
organizational level. In the Controlling application, internal
orders are used to collect costs for internal services. When the
services are charged to the receiver (through the settlement
function), these costs may flow across business areas. After
closing is complete in CO, you will run the reconciliation ledger
closing to update FI for these cost flows.
1-1
Review the balance sheet/profit and loss statement (RFBILA00) to see the costs
recorded to your internal order (to account 404000, Spare Parts) using the report
variant VAR## that you created earlier. At.this point, the cost is charged to business
area 1000.
1-2
Process order settlement for your order T-ACREP## and analyze the results.
1-2-1 In another session, execute report Orders: Actual/plan/variance to see the costs
on your order T-ACREP##
1-2-2 Settle your order T-ACREP##, which belongs to business area 1000
(Mechanical Engineering), to your Research and Development cost center,
which belongs to business area 9900 (Corporate Services).
1-3
(Optional) Return to the first session and rerun the balance sheet/profit and loss
statement (RFBILA00) to see the costs for account 404000, Spare Parts. You will see
that the cost is still shown in FI under business area 1000, because the order settlement
was internal to CO and did not generate an FI posting.
1-4
Generate the reconciliation posting for your company code AC## in the current period.
Process the program in production for all reconciliation postings and produce a detail
list of the transactions to be generated.
1-5
Return to the first session and rerun the balance sheet/profit and loss statement
(RFBILA00) to see the costs for account 404000, Spare Parts. You will see that the
(C) SAP AG
AC205 5-19
cost is now shown in FI under business area 9900, because the of the reconciliation
posting to FI.
1-6
Within cost center accounting, a cross-cost center reposting of primary costs has been
done because an employee moved from one cost center to another during the period.
Both cost centers belong to different business areas. In Financial Accounting, you are
interested in business-area-related Profit & Loss statements including all relevant costs.
What R/3 functionality offers you the ability to update internal cost flows to Financial
Accounting ?
1-7
Answer the following questions about production orders.
1-7-1 Which procedures/activities within the life of a production order impact
external accounting?
1-7-2 A production order represents the status of accomplishment of an inhouseconstructed product. If this product is not completed at the end of a period, how
can this be displayed in the balance sheet?
(C) SAP AG
AC205 5-20
Exercises
Unit: Profit and Loss
Topic: Salary expenses
At the conclusion of this exercise, you will be able to:
• Describe the effect of payroll processing on FI
You need to review the integration between payroll and FI.
2-1
During the transfer of salary expense data to financial accounting the period was
already closed. What will be the reaction of the system?
2-2
Where in the FI document do you find the link to the HR document?
(C) SAP AG
AC205 5-21
Profit and Loss Solutions
Unit: Profit and Loss
Topic: Controlling
1-1
Review the balance sheet/profit and loss statement (RFBILA00) to see the costs
recorded to your internal order (to account 404000, Spare Parts) using the report
variant VAR## that you created earlier. At.this point, the cost is charged to business
area 1000.
Menu path for report:
Information Systems → Accounting → Financial Accounting → General ledger
→ Balance sheet
Select variant:
Goto → Variants → Get
Enter VAR##.
Select 'Execute' to choose the variant.
Execute the report.
After reviewing the report, back up to the Balance Sheet/P+L screen.
1-2
Process order settlement for your order T-ACREP## and analyze the results.
1-2-1 In another session, execute report Orders: Actual/plan/variance to see the costs
on your order T-ACREP##
Menu path to open a new session:
System → Create session
Menu path for report:
Accounting → Controlling → Internal Orders → Information system →
Reports for internal orders → Plan/actual comparisons → Orders:
Actual/plan/variance
Enter the following information:
Controlling area:
Fiscal year:
From period:
To period:
(C) SAP AG
AC205 5-22
1000
Current year
Current period
Current period
Plan version:
Or value(s):
0
T-ACREP##
Execute the report.
Return to the main menu.
1-2-2 Settle your order T-ACREP##, which belongs to business area 1000
(Mechanical Engineering), to your Research and Development cost center,
which belongs to business area 9900 (Corporate Services).
Menu path for settlement:
Accounting → Controlling → Internal Orders → Period-end closing →
Single functions → Settlement → Individual processing
Enter the following information:
Order:
T-ACREP##
Settlement period:
Posting period:
Fiscal year:
Processing type:
Test run:
Current period
Current period
Current year
Automatic
De-select
Execute the settlement.
Click Detail lists to view the settlement receiver.
Place the cursor on your order T-ACREP##.
Click Accounting documents to see that there is no FI document ('Accounting
document').
Return to the main menu.
1-3
(Optional) Return to the first session and rerun the balance sheet/profit and loss
statement (RFBILA00) to see the costs for account 404000, Spare Parts. You will see
that the cost is still shown in FI under business area 1000, because the order settlement
was internal to CO and did not generate an FI posting.
From the Balance Sheet/P+L screen, execute the report again.
After reviewing the report, back up to the Balance Sheet/P+L screen.
1-4
Generate the reconciliation posting for your company code AC## in the current period.
Process the program in production for all reconciliation postings and produce a detail
list of the transactions to be generated.
Menu path for reconciliation posting:
(C) SAP AG
AC205 5-23
Accounting → Controlling → Cost Element Accounting → Actual postings →
Reconciliation with FI
Enter the following information:
Select Company code and enter AC##.
Period:
Current period
Fiscal year:
Current year
Execute all reconcil. postings:
Select
Test run:
De-select
Detail lists:
Select
Execute the program.
Return to the main menu.
1-5
Return to the first session and rerun the balance sheet/profit and loss statement
(RFBILA00) to see the costs for account 404000, Spare Parts. You will see that the
cost is now shown in FI under business area 9900, because the of the reconciliation
posting to FI.
From the Balance Sheet/P+L screen, execute the report again.
After reviewing the report, back up to the Balance Sheet/P+L screen.
1-6
Within cost center accounting, a cross-cost center reposting of primary costs has been
done because an employee moved from one cost center to another during the period.
Both cost centers belong to different business areas. In Financial Accounting, you are
interested in business-area-related Profit & Loss statements including all relevant costs.
What R/3 functionality offers you the ability to update internal cost flows to Financial
Accounting ?
R/3’s 'Reconciliation Ledger' offers you the ability to reconcile internal cross
organizational cost flows to Financial Accounting.
1-7
Answer the following questions about production orders.
1-7-1 Which procedures/activities within the life of a production order impact
external accounting?
When the production of materials is completed, a goods receipt transaction
creates a Financial Accounting document. The settlement of a production
order at completion will result in the posting of the remaining balance to
variance accounts in FI.
(C) SAP AG
AC205 5-24
1-7-2 A production order represents the status of accomplishment of an inhouseconstructed product. If this product is not completed at the end of a period, how
can this be displayed in the balance sheet?
This uncompleted status is posted directly to FI and displayed as work in
process in the balance sheet.
(C) SAP AG
AC205 5-25
Solutions
Unit: Profit and Loss
Topic: Salary expenses
2-1
During the transfer of salary expense data to financial accounting the period was
already closed. What will be the reaction of the system?
The HR document receives an error and has to be regenerated within HR.
2-2
Where in the FI document do you find the link to the HR document?
In the document header of the FI document you will find the logical system in
which the original HR document exists, as well as a reference key to
identify the HR document.
(C) SAP AG
AC205 5-26
Customizing Technical, Organizational and
Documentary Steps
Technical steps:
Posting period maintenance
Balance carry-forward
Schedule Manager
Organizational steps:
Subsequent business area and profit center adjustment.
Documentary steps:
Balance audit trail (accumulated)
© SAP AG 1999
(C) SAP AG
AC205 6-1
Customizing Technical, Organizational and
Documentary Steps: Unit Objectives
At the conclusion of this unit, you will be able to:
Describe technical, organizational and
documentary steps that have to be taken in order
to ensure accurate and correct period change,
and data processing.
© SAP AG 1999
(C) SAP AG
AC205 6-2
Customizing Technical, Organizational &
Documentary Steps: Course Overview Diagram
Who is interested in
financial results?
Closing Process
Financial statement version
Overview
Internal view
2000
October
External view
Auditor’s view
Balance Sheet
Assets
Liabilities
Equity
Profit & Loss
Revenues
Costs
Appendix
Customizing Technical, Organizational, and Documentary Steps
© SAP AG 1999
(C) SAP AG
AC205 6-3
Customizing Technical, Organizational and
Documentary steps: Business Scenario
The R/3 system offers many flexible evaluation
possibilities. As a project team member, you will
need to determine that legal and business
requirements may be met with R/3. In order to do
this you will need to perform system activities to
facilitate and control the accuracy of data as well
as to verify that proper security of accounting
data exists.
© SAP AG 1999
(C) SAP AG
AC205 6-4
Customizing Technical Steps: Topic Objectives
At the conclusion of this topic, you will be
able to:
Describe the technical background and
organizational benefit of the posting periods
table
Maintain the posting periods table
Outline the technical aspects of the balance
carry-forward
Outline functions combined within Schedule
Manager
Create a task list
Create and schedule a task
© SAP AG 1999
(C) SAP AG
AC205 6-5
Defining Posting Periods
DR
Posting date
03/25/YYYY
Gross & Co.
Invoice
from
Customer
Gross & Co.
- Master data - Balances YYYY Bal.carried
Bal.carried fwd
Period 01
02
03 + 1,100
04
:
16
1800000025
03/25/YYYY
Total
1,100
can be posted to today
Fiscal year YYYY
01 02 03 04 05 06 07 08 09 10 11 12 13 14 15 16
Closing periods
Calendar year
((
01 02 03 04 05 06 07 08 09 10 11 12
((
((
© SAP AG 1999
The posting date, which is specified during document entry, determines to which posting period the
document is recorded.
The posting periods for your company is defined by the fiscal year variant.
With the fiscal year variant, you can make the following system settings:
Beginning and end of your fiscal year
Number of "normal" posting periods (01-16)
Number of special periods (remaining periods up to 16 after selection of “normal” periods)
Posting period length
You can create a fiscal year variant for a shortened fiscal year.
(C) SAP AG
AC205 6-6
Posting Period Control
Period 1
Period 2
Var. A From acct To account From per. 1 Year To period
0001 +
Year From per. 2 Year
To period
1
2000
2
2000
13
1999
16
0001 A
ZZZZZZZZ
1
2000
2
2000
13
1999
16
0001 D
ZZZZZZZZ
1
2000
2
2000
13
1999
16
Close subledgers for period 1
Period 1
Period 2
Var. A From acct To account From per. 1 Year To period
Year From per. 2 Year
To period
1
2000
2
2000
13
1999
16
0001 A
ZZZZZZZZ
2
2000
2
2000
13
1999
16
0001 D
ZZZZZZZZ
2
2000
2
2000
13
1999
16
0001 +
Close all postings for period 1
Period 1
Period 2
Var. A From acct To account From per. 1 Year To period
0001 D
© SAP AG 1999
To period
2
2000
2
2000
13
1999
16
ZZZZZZZZ
2
2000
2
2000
13
1999
16
ZZZZZZZZ
2
2000
2
2000
13
1999
16
0001 +
0001 A
Year From per. 2 Year
The posting periods table is used to open and close posting periods. You can have as many or as few
posting periods open as you want.
The first column illustrated contains the posting period variant. This code is assigned to your company
codes to allow you to open and close the posting periods for several companies at the same time.
The next column contains the account type. Account types include “+” for all accounts, “A” for assets,
“D” for customer accounts, “K” for vendor accounts, and “S” for G/L accounts. This allows you to
control the open posting periods by account type.
Accounts are open for the periods specified in the table and closed for periods not specified.
The row containing the “+” setting for account type determines the maximum ranges of periods that
are available to be open for any account type. For example, in the second table illustrated, any account
could be opened for periods 13 through 16 of 1999 and periods 1 through 2 of 2000.
Additional rows containing individual account types (A, D, and so on) restrict the open periods for the
accounts specified. In the second table, this means that the Asset Accounting subledger and Accounts
Receivable subledger have been closed for the first period of 2000.
Another column on the table (not shown) allows you to assign an authorization group to the periods open
in the “Period 1” interval. The authorization group has no affect on the periods open in the “Period 2”
interval. This allows you to restrict postings in “Period 1” to a designated group (e.g., Accounting),
while all users can still post within “Period 2”.
(C) SAP AG
AC205 6-7
Balance Carry-Forward
Old Fiscal Year
Balance Sheet Account
CB 120
Balance Sheet Account
CB 100
Profit and Loss Stmt
CB 20
SAPF011
New Fiscal Year
Balance Sheet Account Balance Sheet Account
CF 120
CF 100
Bal. Carry Fwd Acct
CF
CB = Closing balance
20
CF = Bal.carried fwd
© SAP AG 1999
The system calculates the balance carried forward to the new fiscal year for each balance sheet account.
The profit and loss account balance is transferred to the balance carry forward account.
You have to carry balances forward as well for both customers and vendors
(SAPF010).
You can group the carried forward according to the GL account master record field: Profit & Loss
account statement type.
Only Profit & Loss Accounts:
You have accounts that contain different currencies, you can collapse the different currencies to local
currency by activating the checkbox: ”Only balances in local currencies” in the master record of the
balance carry forward account.
You can run the programs as often as you want.
You can even run this program in the old fiscal year, because an automatic carried forward to the next
year is performed during every posting.
If you intend to carry out the balance carried forward during the actual fiscal year, SAP recommends the
run as late as possible.
If you use additional ledgers like: FI-SL and/ or parallel currencies, you have to run the carry forward
with the the program SAPFGVTR.
(C) SAP AG
AC205 6-8
Schedule Manager: Benefits
Benefits provided by the Schedule Manager
the closing process is more transparent
and easier to handle
event driven processing means that the R/3 System
automatically performs the necessary steps
monitoring the complete process is convenient
worklist driven error analysis and integrated error handling
procedures reduce the time needed for error correction
total processing time is minimized by
optimized worklist processing
© SAP AG 1999
The Schedule Manager makes period-end closing easier. It provides a cross-application single point of
entry for all transactions related to the closing process. It includes all steps, from defining the structure
of your closing process to scheduling the jobs and monitoring the results.
It provides you with all the data relevant for period-end closing. All authorized employees can find
information on pending tasks, look at the objects to be processed, and schedule more tasks. They can see
clearly when, for example, monthly closing must be completed, and the previous period is to be closed.
You can use the Schedule Manager at any time to check when, and which activities are to be executed,
and with which result.
The Schedule Manager not only facilitates period-end closing, it is also useful in other components of
the SAP R/3 System. It assists with the definition, scheduling, execution and control of individual,
periodic tasks, and complex processes that have to be executed regularly. The Schedule Manager
provides you with a continuous overview.
(C) SAP AG
AC205 6-9
Schedule Manager: Monitor
Task list
Status
Details Parameters Add. Info
Start date
End date
User name
Job status
Business transaction
Actual period lock
Periodic reposting
Internal Orders: Closing
Activity
Actual Overhead
Spool list
Job log
Detail list
Basic list
Actual Settlement
User decision
Messages
Mssg Text
The monitor
provides you with all
necessary information
© SAP AG 1999
202
ORD 100070 Trade fair Lisbon
205
Maintain the settlement rule of the sender
202
205
ORD 100071 Trade fair Atlanta
Cost Center 12345 does not exist on 10/31/99
202
ORD 100358 Special Events
217
Cost element 600199 does not exist on 10/31/99
202
ORD 101065 Marketing
On the first screen of the Schedule Manager, you find the documentation which will help you through
your first steps. (If you do not need it anymore, you switch these ‘User notes off’.)
The Schedule Manager enables you to do the following:
Create a structured display of tasks in task lists. The tasks can be executed periodically and by more
than one user. A task list provides you with the following task types:
Flows that can be executed in the background, which are defined once, and executed periodically
(compare with flow definition)
Individual jobs that can be executed in the background
Programs or transactions that you wish to execute individually online
Notes as placeholders to describe tasks that you do not process in the R/3 System.
You can store detailed documentation on each task.
In the daily overview, you can get an overview of all the executed or scheduled tasks for a day. The
system logs the task execution, and provides you with information on the planned and actual start time,
as well as the current status of each task. You can go from the daily overview to the monitor, to get
detailed information on jobs or flows.
(C) SAP AG
AC205 6-10
Schedule Manager: Scheduling
Task list
2000
October
Send mail:
Closing process started
Set period lock
Periodic reposting
of personnel costs
Internal Orders:
Overhead and settlement
Daily overview:
overview: October 31, 2000
Cost Centers: Allocations
Time Description
Status User
8:00 Mail sent
Miller
Convenient management
8:15 Actual period lock
Miller
of period-end closing with
the Schedule Manager
8:30 Periodic reposting
Smith
9:45 Internal Orders: Closing
Jones
11:30 Cost Centers: Allocations
Jones
© SAP AG 1999
In the monitor, you can call up detailed information on the active or completed jobs and flows that were
scheduled in the scheduler.
The status field shows you immediately where errors occurred.
All messages that the system created during job execution are displayed in a clear list.
You can go from here to the spool list, job log, detail, and basic list.
Once you check the results, you can change the system status and give a reason for the change. The
system logs your manual changes.
(C) SAP AG
AC205 6-11
Schedule Manager: Task List - Flow Definition
Flow Definition: Internal Orders
Task list
Send mail:
Closing process started
Workflow started
Set period lock
Select worklist
Periodic reposting
of personnel costs
Calculate overhead rates
Internal Orders:
Overhead and settlement
Settlement
Cost Centers: Allocations
Check the worklist for
internal orders
Define sequences
of background jobs for
automatic processing
Restart worklist processing
Workflow completed
© SAP AG 1999
In the flow definition you can group tasks that are to be executed in the background in a particular order.
You use the workflow to control these flow definitions.
You can structure subflows and include them in a flow definition.
Insert user decisions for checking purposes.
Use worklists to reduce the total runtime.
Use the task list to group individual tasks. If you need to run sequences of jobs create a flow definition
including all dependent work items.
(C) SAP AG
AC205 6-12
Schedule Manager: Worklist Monitor
Worklist
Object list
Processing steps Objects Proc. Err.
Intern. Orders: Closing 5000
Ovh Stlm Text
Object
ORD100070
Trade fair Lisbon
Actual Overhead
4987
13
ORD100071
Trade fair Atlanta
Actual Settlement
4980
7
ORD100358
Special Events
ORD100700
Image Campaign
ORD101065
Marketing
ORD109999
EXPO 2000
User decision
Object Messages
Error analysis
Object
Mssg Text
and error handling are
ORD100070 205 Maintain the settlement rule of the sender
convenient with the
ORD100071 205 CCtr 12345 does not exist on 10/31/99
worklist monitor
ORD100358 217 CEl 600199 does not exist on 10/31/99
ORD100700 162 Credit C01 for 10/31/99 not defined
© SAP AG 1999
In the worklist monitor you can view the processed objects(product cost collectors, WBS elements,
internal orders, production orders, and so on) and view their processing status.
The object list and message list provide you with detailed information about the errors occurred on the
objects within the processing steps. You can analyze the cause of the error and trigger the correction of
the errors.
Once you have corrected any errors that occurred, you can reschedule the corrected objects for
processing. Restarting the flow only for the corrected objects reduces the total runtime of the flows.
(C) SAP AG
AC205 6-13
Customizing Organizational Steps: Topic
Objectives
At the conclusion of this topic, you will be able
to:
Explain the principle and benefit of subsequent
business area and profit center adjustments
Locate customizing for adjustments
© SAP AG 1999
(C) SAP AG
AC205 6-14
Subsequent BA/PC / Profitability Segment
Adjustment
Invoice (open items, flagged
for subsequent debit)
- Receivables / Payables
Payment (clearing)
- G/L account item 1
Business area 0001
Cost center 0001
Profit Center 0001
- G/L account item 2
Business area 0002
Cost center 0002
Profit Center 0002
- Tax item
- G/L account item
- Receivables / Payables
- Cash disct item
Batch
Input
Subs.BA/PC Adjustment
1 Calculate subsequent debit
(Information in document)
2 Post subsequent debit
3 Special functions:
Posting run log
Start reversal run (erroneous run)
Business area 0001 . . .
Bal.Sht
P+L
ReceivPayables Cash dsct
ables . . . . . .
Revenues
Taxes
...
© SAP AG 1999
Profitability Segment Adj.
(cash disct distrib.; still:
definite ex.rate diff.)
0001 / 0002
Business area
Cost center
0001 / 0002
0001 / 0002
Profit center
Zero-balance posting
Profit center 0001 . . .
Cost center report 0001 . . .
Receivables
Payables
...
Costs
Cash disct paid
The subsequent business area/profit center adjustment breaks the receivables/payables and taxes down
into the additional account assignments ”Business area” and ”Profit Center”, which are stored in the G/L
account items. In case of an error, you can set up a reversal run.
The cancellation posting is carried out if the adjustment item posted is cleared at the key date of the new
run.
The profitability segment adjustment breaks down cash discount and exchange rate differences which
accrue when customer and vendor invoices are paid according to the following additional account
assignments from the cleared document's G/L account assignment:
business area
Partner business area (Consolidation)
Profit center
Partner profit center
some of the CO objects
all of the fields you defined in the coding block.
(C) SAP AG
AC205 6-15
Business Area Allocation
Business areas
affected
'___________’
(business area not
specified)
Initial Postings
Adjustment Postings
Receivables
Receivables - adjustment
690
1
460
Taxes - adjustment
1,150
Taxes
150
2
90
60
Receivables - adjustment
0001
Revenues
600
1
690
Taxes - adjustment
90
2
Receivables - adjustment
0002
Revenues
400
1
460
Taxes - adjustment
60
© SAP AG 1999
(C) SAP AG
AC205 6-16
2
Customizing Documentary Steps: Topic Objectives
At the conclusion of this topic, you will be
able to:
Explain the purpose of the balance audit trail
© SAP AG 1999
(C) SAP AG
AC205 6-17
Balance Audit Trail (Accumulated)
Master
records
Old KK/KL
dataset
Documents
l Open item balance audit trail
(open item-managed accounts)
RFKKET00
Accumulated
Historical balance audit trail
(general ledger)
RFKLET00 Accumulated
extract
KK New dataset
RFKKBU10
D, K, S
RFKKBU00
D, K, S
© SAP AG 1999
Evaluation
From the
document
file
extract
KL New dataset
RFKLBU10
D, K, S
RFHABU00
S
Evaluation
From the
document
file
You organize the retention period of your documents in the R/3 system according to your hardware
capability and your requirements. It may be that you have to reorganize your documents during the year.
You must then save the documents ”previously” in the (accumulated) balance audit trail.
Document data and master data is always extracted, sorted and merged into a sequential data set before
document reorganization takes place. At the end of the year, this data set contains the document volume
for the year, sorted by account. The accumulated balance audit trail is extracted from this data set.
If all the data you require is still in the system, you can access this data using the RFKKBU00 and
RFHABU00 programs.
(C) SAP AG
AC205 6-18
Customizing Technical, Organizational, and
Documentary steps: Unit Summary
The posting period table helps to ensure that
accurate data is posted to financial accounting.
Execution of the balance carry-forward enables
reporting in the subsequent year by establishing the
beginning balances of accounts.
The Schedule Manager facilitates the definition,
scheduling, execution, and control of period-end
closing activities.
Adjustment postings enable you to achieve a
balance of zero for business areas and to produce
balanced financial statements at this level.
The Accumulated Balance Audit Trail documents all
of the postings made within financial accounting for
the year.
© SAP AG 1999
(C) SAP AG
AC205 6-19
Cust. Tech., Org. & Doc. Steps Exercises
Unit: Customizing Technical, Organizational &
Documentary Steps
Topic: Technical Steps
At the conclusion of this exercise, you will be able to:
• Create a posting period variant
• Open and close a period
At the end of the period, you need perform a preliminary close of
financial accounting prior to performing management closing
activities. You then need to re-open the period for adjustment
postings.
1-1
Create a posting period variant to control your own company's posting periods only.
Test this function by opening and closing the current period and using the document
entry function.
1-1-1 Create a new posting period variant, PV## and name it Group ## Posting
Period Variant.
1-1-2 Assign your posting period variant PV## to your company code AC##.
1-1-3 You initially want to make sure that you can close the current period and begin
posting to the new period. The next posting periods should be open for all
accounts.
1-1-4 Go to another session for your transaction postings. First try to create a G/L
account posting using the current date to debit cash (account 113100) and credit
ordinary share capital (account 70000). Post 100000 UNI. After trying to post
this document, attempt the same posting on the first of the next period.
For the current period posting attempt, after entering the
document date (posting date will default to the current date),
press 'Enter'. You should receive an error message that the
posting period is not open. Otherwise, go back through the
previous configuration steps.
For the 'new' posting period attempt, you will get a couple of
warning messages about the posting date and period. Press
'Enter' to ignore these messages and continue.
1-1-5 Return to your customizing session and open the current period.
1-1-6 Return to your transaction session and make another attempt to create an entry
using the current date.
(C) SAP AG
AC205 6-20
1-2
(C) SAP AG
How often (per year) do you have to run the balance carry forward programs? When
during the year do you have to run this program?
AC205 6-21
Exercises
Unit: Customizing Technical, Organizational &
Documentary Steps
Topic: Organizational Steps
At the conclusion of this exercise, you will be able to:
• Process a business area adjustment
Your enterprise presents financial statements at the business area
organizational level. Before producing these financial statements, you
must ensure that the business areas are in balance. Because your
company posts sales and purchases that cross business area lines, the
receivables and payables accounts need to be adjusted so that balances
are shown in the appropriate business areas. For this period, you will
process a business area adjustment to update payables.
2-1
A business area out-of-balance conditions exists because a vendor invoice was process,
with expenses charged to two different business areas. In such a case, the payable is
recorded to a 'blank' business area. You note the out-of-balance condition by running
the financial statement program, and then correct the data by executing the business
area adjustment programs.
2-1-1 Before processing the business area adjustment, run the balance sheet/profit and
loss statement (RFBILA00) using the report variant VAR## that you created
earlier. Review the items for Accounts payable (account 160000) and
Training costs (account 476400). The payables balance is recorded to a blank
business area, while the expense is split between two business areas.
2-1-2 In another session, calculate the business area adjustment for your company
code AC##.
2-1-3 Post the balance sheet adjustment on the last day of the current period for your
company code AC##. Generate a posting with document type SA and select a
log of distributed documents.
You will receive a message about checking the document
type; press 'Enter' to continue processing.
2-1-4 Return to your report session and rerun the balance sheet/profit and loss
statement (RFBILA00) using the report variant VAR## that you created earlier.
Review the items for Accounts payable. The payables balance for the blank
business area is now zero (accounts 160000 and 160099 net to zero). The
(C) SAP AG
AC205 6-22
original amount is now split between the two business areas, in account
160099, in the same amount as the expense postings.
(C) SAP AG
AC205 6-23
Unit: Customizing Technical, Organizational &
Documentary Steps
Topic: Documentary Steps
At the conclusion of this exercise, you will be able to:
• Execute reports that document the transactions for the period
For month-end closing, you want to document the transactions
that make up the account balances in G/L and list the documents
that have been entered during the period.
3-1
Review the output of the document file balance audit trail reports. (current data)
3-1-1 Process the General Ledger from the Document File report for your company
code AC## for the current fiscal year.
3-1-2 Process the Open Item Account Balance Audit Trail from the Document File
report for your company code AC## for the current fiscal year.
3-2
In order to complete the documentation of financial accounting you need to offer an
(chronological) overview of all of your documents for each fiscal year.
3-2-1 Execute the compact document journal in the G/L and select all the documents
of your company code AC## for the current fiscal year.
3-2-1 Which is the criterion that determines the order of the list?
(C) SAP AG
AC205 6-24
Cust. Tech., Org. & Doc. Steps Solutions
Unit: Customizing Technical, Organizational &
Documentary Steps
Topic: Technical Steps
1-1
Create a posting period variant to control your own company's posting periods only.
Test this function by opening and closing the current period and using the document
entry function.
1-1-1 Create a new posting period variant, PV## and name it Group ## Posting
Period Variant.
Menu path to create posting period variant:
Tools → AcceleratedSAP → Customizing → Edit Project → Goto →SAP
Reference IMG → Financial Accounting → Financial Accounting Global
Settings → Document → Posting Periods → Define Variants for Open
Posting Periods
Click New entries.
Enter the following information:
Variant: PV##
Name:
Group ## Posting Period Variant
Save your entry.
Return to the Display IMG screen.
1-1-2 Assign your posting period variant PV## to your company code AC##.
Menu path to posting period variant/company code assignment:
Tools → AcceleratedSAP → Customizing → Edit Project → Goto →SAP
Reference IMG → Financial Accounting → Financial Accounting Global
Settings → Document → Posting Periods → Assign Variants to Company
Code
Scroll down to find your company code AC##.
Enter the PV## in the Variant column for your company code.
Save your entry.
Return to the Display IMG screen.
1-1-3 You initially want to make sure that you can close the current period and begin
posting to the new period. The next posting periods should be open for all
accounts.
Menu path to control posting periods:
(C) SAP AG
AC205 6-25
Tools → AcceleratedSAP → Customizing → Edit Project → Goto →SAP
Reference IMG → Financial Accounting → Financial Accounting Global
Settings → Document → Posting Periods → Open and Close Posting Periods
Click New entries.
Enter the following information:
Variant:
PV##
A(ccount):
+
From (account):
Leave blank
To A(ccount):
Leave blank
From (period):
Next period
Year:
Current year (unless at end of year)
To P(eriod):
Next period
Year:
Current year (unless at end of year)
Save your entry.
1-1-4 Go to another session for your transaction postings. First try to create a G/L
account posting using the current date to debit cash (account 113100) and credit
ordinary share capital (account 70000). Post 100000 UNI. After trying to post
this document, attempt the same posting on the first of the next period.
For the current period posting attempt, after entering the
document date (posting date will default to the current date),
press 'Enter'. You should receive an error message that the
posting period is not open. Otherwise, go back through the
previous configuration steps.
For the 'new' posting period attempt, you will get a couple of
warning messages about the posting date and period. Press
'Enter' to ignore these messages and continue.
Menu path to open a new session:
System → Create session
Menu path to G/L account posting:
Accounting → Financial accounting → General ledger → Document entry
→ G/L account posting
Enter the following information:
Doc. date:
Posting date:
Current date
Current date
Press 'Enter'.
After receiving the error message, correct the dates:
Doc. date:
(C) SAP AG
AC205 6-26
First day of next period
Posting date:
First day of next period
Press 'Enter'. You will receive two warning message. Press 'Enter' after each
message is displayed to ignore them.
First row:
G/L
D/C:
Doc.:
113100
Debit
100000
Second row:
G/L
D/C:
Doc.:
70000
Credit
100000
Post your document.
Return to the main menu.
1-1-5 Return to your customizing session and open the current period.
Menu path to control posting periods:
Tools → AcceleratedSAP → Customizing → Edit Project → Goto →SAP
Reference IMG → Financial Accounting → Financial Accounting Global
Settings → Document → Posting Periods → Open and Close Posting Periods
Scroll down to variant PV##.
Change the From period and Year to the current period and year.
Save your entry.
1-1-6 Return to your transaction session and make another attempt to create an entry
using the current date.
Menu path to G/L account posting:
Accounting → Financial accounting → General ledger → Document entry
→ G/L account posting
Enter the following information:
Doc. date:
Posting date:
Current date
Current date
Press 'Enter'.
(C) SAP AG
First row:
G/L
D/C:
Doc.:
113100
Debit
100000
Second row:
G/L
D/C:
Doc.:
70000
Credit
100000
AC205 6-27
Post your document.
Return to the main menu.
1-2
How often (per year) do you have to run the balance carry forward programs? When
during the year do you have to run this program?
You can run the programs (SAPF010/SAPF011) as often you require. The
programs can be run during the last period of the fiscal year or at the
beginning of the new fiscal year. The programs automatically corrects the
carry forward balances, so that there is no need to rerun it after each
posting to the old year.
SAP recommends running the programs SAPF010 and SAPF011 at the beginning
of the new fiscal year.
(C) SAP AG
AC205 6-28
Solutions
Unit: Customizing Technical, Organizational &
Documentary Steps
Topic: Organizational Steps
2-1
A business area out-of-balance conditions exists because a vendor invoice was process,
with expenses charged to two different business areas. In such a case, the payable is
recorded to a 'blank' business area. You note the out-of-balance condition by running
the financial statement program, and then correct the data by executing the business
area adjustment programs.
2-1-1 Before processing the business area adjustment, run the balance sheet/profit and
loss statement (RFBILA00) using the report variant VAR## that you created
earlier. Review the items for Accounts payable (account 160000) and
Training costs (account 476400). The payables balance is recorded to a blank
business area, while the expense is split between two business areas.
Menu path for report:
Information Systems → Accounting → Financial Accounting → General
ledger → Balance sheet
Select variant:
Goto → Variants → Get
Enter VAR##.
Select 'Execute' to choose the variant.
Execute the report.
After reviewing the report, back up to the Balance Sheet/P+L screen.
2-1-2 In another session, calculate the business area adjustment for your company
code AC##.
Menu path to open a new session:
System → Create session
Menu path to calculate adjustment:
Accounting → Financial accounting → General ledger → Periodic
processing → Closing → Regroup → Balance Sheet Readjustment →
Calculate
Enter the your company code AC##.
(C) SAP AG
AC205 6-29
Execute the calculation. Review the output.
Return to the main menu.
2-1-3 Post the balance sheet adjustment on the last day of the current period for your
company code AC##. Generate a posting with document type SA and select a
log of distributed documents.
Menu path to post adjustment:
Accounting → Financial accounting → General ledger → Periodic
processing → Closing → Regroup → Balance Sheet Readjustment → Post
Enter the following information:
Company code: AC##
Key date: Last day of the current period
Generate postings:
X
Document type: SA
Posting date:
Last day of the current period
Log of distributed documents: X
Execute the posting program.
You will receive a message about checking the document
type; press 'Enter' to continue processing.
After reviewing the results, return to the main menu.
2-1-4
Return to your report session and rerun the balance sheet/profit and loss
statement (RFBILA00) using the report variant VAR## that you created earlier.
Review the items for Accounts payable. The payables balance for the blank
business area is now zero (accounts 160000 and 160099 net to zero). The
original amount is now split between the two business areas, in account
160099, in the same amount as the expense postings.
From the Balance Sheet/P+L screen, execute the report again.
(C) SAP AG
AC205 6-30
Solutions
Unit: Customizing Technical, Organizational &
Documentary Steps
Topic: Documentary Steps
3-1
Review the output of the document file balance audit trail reports. (current data)
3-1-1 Process the General Ledger from the Document File report for your company
code AC## for the current fiscal year.
Menu path for balance audit trail for all accounts (non-open-item accounts):
Accounting → Financial accounting → General ledger → Periodic
processing → Closing → Document → Balance Audit Trail → All Accounts
→ General Ledger from the Document File
Enter the following information:
Company code:
Fiscal year:
AC##
Current year
Execute the report.
After reviewing the output, return to the main menu.
3-1-2 Process the Open Item Account Balance Audit Trail from the Document File
report for your company code AC## for the current fiscal year.
Menu path for balance audit trail for open item accounts:
Accounting → Financial accounting → General ledger → Periodic
processing → Closing → Document → Balance Audit Trail → Open Item
Accounts → Open Item Account Balance Audit Trail from the Document File
Enter the following information:
Company code:
Fiscal year:
AC##
Current year
Execute the report.
After reviewing the output, return to the main menu.
3-2
In order to complete the documentation of financial accounting you need to offer an
(chronological) overview of all of your documents for each fiscal year.
3-2-1 Execute the compact document journal in the G/L and select all the documents
of your company code AC## for the current fiscal year.
Menu path for compact document journal:
(C) SAP AG
AC205 6-31
Accounting → Financial accounting → General ledger → Information
system → General Ledger Reports → Document → General → Compact
Document Journal → Compact Document Journal
Enter the following information:
Company code:
Fiscal year:
AC##
Current year
Execute the report.
3-2-1 Which is the criterion that determines the order of the list?
The criterion is the document number.
Return to the main menu.
(C) SAP AG
AC205 6-32
Closing Process
Integrated overview of closing procedure
© SAP AG 1999
(C) SAP AG
AC205 7-1
Closing Process: Unit Objectives
At the conclusion of this unit, you will be able to:
Describe the integrated process of both month-end and
year-end closing procedures
© SAP AG 1999
(C) SAP AG
AC205 7-2
Closing Process: Course Overview Diagram
Who is interested in
financial results?
Closing Process
Financial statement version
Overview
Internal view
2000
October
External view
Auditor’s view
Balance Sheet
Assets
Liabilities
Equity
Profit & Loss
Revenues
Costs
Appendix
Customizing Technical, Organizational, and Documentary Steps
© SAP AG 1999
(C) SAP AG
AC205 7-3
Month-End Closing Process
Old Month
MM Maintain
GR/IR
FI
Accruals/
Deferrals,
Recurring
entries
HR Payroll
Expenses
New Month
MM
Revaluations
CO Orders/
Projects
AA
AUC Settlmnt,
Depreciation,
Interest
SD Goods
Issues,
Invoices
FI Open new
period
FI Foreign
Currency
valuations
MM MonthMonth-End
CO Product
Cost
Acctg
© SAP AG 1999
Closing
FI
Close
AR/AP
FI
Reconciliation
Ledger
Posting
FI
Bus.Area/
Prof.Ctr./
Prof.Segment
Adjustments
CO Cost
Centers
CO Profit.
Analysis
CO
Documentation
FI Taxes on
sales/purchases
Bal. Sheet/ P&L
Management
CO
Reporting
Close
G/L
Technical Steps
This slide provides an overview of the month-end closing process.
Pre-Close activities, which begin in the old month, include:
Technical - Open new accounting period (FI),
FI - Enter accruals/deferrals, process recurring entries and bad debt expense in AR, post depreciation
and interest expenses in Asset Accounting
MM - Maintain GR/IR clearing account, post material revaluations
HR - Post payroll expenses
SD - Record goods issues for deliveries and invoice customers
Technical - Close old month in (MM), close sub-ledgers (FI), preliminary close of G/L (FI)
Managerial Close activities include CO allocations and repostings, locking the old accounting period in
CO, and re-opening the G/L for adjustment postings
Financial Close activities include:
CO - Reconciliation posting to FI (for cross-organizational-unit CO postings)
FI - Foreign currency revaluations and postings to correct business area, profit center, and profitability
segment out-of-balance conditions
Technical - Final close of the old period
FI/CO - Create management and financial reports
(C) SAP AG
AC205 7-4
Year-End Closing Process
Old Year
New Year
MM
MM Physical
inventory
PP Product
costing
AA
FI
Lowest
value,
LIFO/FIFO
Revaluations,
Capital invest.
grant
GR/IR analysis,
Receivables/
Payables
regrouping, Other
adjustments
Documentation
FI Taxes on sales/
FI
FI Open new
year
FI Balance
lists: old FY
to new FY
Balance
confirmations
AA Fiscal year
AA YearYear-End
change
close
FI Balance
carryfoward
© SAP AG 1999
FI
Close FY
AR/AP
purchases
Asset History sheet
Bal. Sheet/ P&L
Bal. Audit Trail
CO Management
Reporting
FI
Close
FY G/L
Technical Steps
This slide provides an overview of the year-end closing process. These activities are performed in
addition to the regular month-end closing process for the final period of the fiscal year.
Pre-Close activities, which begin in the old month, include:
Technical - Open the first accounting period of the new fiscal year(FI),
MM - Perform physical inventory count (may be performed on up to a monthly basis)
PP/CO - Update product cost estimates (may be performed more frequently)
MM - Lowest value determination and LIFO/FIFO valuation
AA - Asset revaluations and capital investment support
FI - Balance confirmations for receivables/payables
Technical - Fiscal year change (AA) and balance carry forward (FI)
Financial Close activities include:
FI - GR/IR clearing account analysis, receivables/payables regrouping, reconciliation of prior year to
new year, and other adjustment postings
Technical - Final close of the old period (AR/AP and GL)
FI/CO - Create management and financial reports
(C) SAP AG
AC205 7-5
Closing Process: Unit Summary
Process flows have shown you the chronological sequence
of activities involved in generating month-end and yearend closings in the integrated R/3 System.
Even if your firm has not implemented the full R/3 System,
the activities and their sequence remain basically the
same. In these cases, you will be responsible for preparing
and exchanging the required data with other areas.
© SAP AG 1999
(C) SAP AG
AC205 7-6
Appendix (1)
Contents:
This section contains supplementary material to be used
as reference
This material is not part of the standard course
Therefore, the instructor might not cover this during the
course presentation
© SAP AG 1999
(C) SAP AG
AC205 8-1
Country Specifics
Contents:
General Tax Processing
USA:
1099 Withholding tax reporting
Germany:
Tax reporting
Foreign trade regulation
European Union: Tax reporting
© SAP AG 1999
(C) SAP AG
AC205 8-2
Country Specifics: Unit Objectives
At the conclusion of this unit, you will be able to:
Locate and perform general tax customizing for tax
processing
Describe the data relevant for tax reporting of the
USA, Germany and the European Union.
Locate and perform your country specific needs
for tax reporting in the customizing
Outline the basic customizing for the change over
to Euro.
© SAP AG 1999
(C) SAP AG
AC205 8-3
AC205 - Course Overview (2): Country Specifics
Does R/3 cover Legal requirements of
my country ?
§§
FI
SD
Financial
Accounting
Sales &
Distribution
CO
MM
Materials
PP Mgmt
Production
Planning
QM
Quality
Mgmt
PM
Controlling
AM
R/3
Plant Maintenance
How does integrated data flow into
FI?
Asset Mgmt
Client / Server
ABAP/4
PS
Project
System
WF
Workflow
HR
IS
Human
Resources
Industry
Solutions
Which technical, organizational and
documentary steps do I have to take?
Assets
Liabilities
Current
Fixed
Other
Current
Receivables
Checks/Banks
Accrued Income
© SAP AG 1999
(C) SAP AG
AC205 8-4
Country Specifics: Business Scenario
Your company is a member of a multi-national
group. Local requirements for tax reporting have
to be performed.
You as a member of the FI-project team will
test R/3’s standard tax reports in order to verify
that they meet your local requirements.
© SAP AG 1999
(C) SAP AG
AC205 8-5
General tax processing: Topic Objectives
At the conclusion of this topic, you will be able to:
Locate and perform general customizing for tax
processing within the IMG.
© SAP AG 1999
(C) SAP AG
AC205 8-6
Taxes
Taxes charged to the invoice amount
Tax on Sales/Purchases
Output tax
Input tax
deductible
Acquisition tax
not
deductible
Additional Taxes
Investment tax
Sales Equalization
Withholding tax
© SAP AG 1999
The FI system is able to handle the tax requirements and procedures of many different countries.
(C) SAP AG
AC205 8-7
General Preconditions for Tax Processing
1. Calculation
Procedure in the
country table
6. Closing
Postings
Tax return to the
tax authorities
5. Document: Tax
Information
© SAP AG 1999
(C) SAP AG
AC205 8-8
2. TAX Code
3. G/L Account:
Tax Category
4. G/L Account as
Tax Account
GL Account = Tax Account
GL account
GL account
OUTPUT TAX
:
Tax category
:
can only be posted
to automatically
>
>
A0
A1
A2
:
Tax type A
Allowed
tax codes
OUTPUT TAX
X
GL account
OUTPUT TAX
INPUT TAX
:
Tax category
:
can only be posted
to automatically
<
<
V0
V1
V2
:
Tax type V
GL account
© SAP AG 1999
The tax account assignment items determined automatically during document entry must refer to GL
accounts which are flagged as a tax account (<, >).
In addition, you can define as many other GL accounts as tax accounts as you require.
You can block each tax account from being posted to manually.
(C) SAP AG
AC205 8-9
Tax Codes
Calculation procedure
TAXD
Tax on sales/purchases (Germany)
Tax codes
Country DE
Tax category (C-Type)
Tax code
Cnd-K
Output tax
Input tax
Travel exp. (% separate)
Input tax non-ded.n.alloc.
Input tax non-ded.alloc.
Acquisition tax, outgoing
Acquisition tax, incoming
MWS
VST
VST
NAV
NVV
ESA
ESE
Posting - example
Vendor
1,000
E1 Tax type
V
Tax percentage rate
Account maint.
Chart of accounts AAAA
E1
Tax codes
Transact. GL acct
ESA
XXXXXX
ESE
ZZZZZZ
10,000100,000-
E1
Acquisition tax
100
Acquisition tax
100
© SAP AG 1999
The tax code serves as the account determination key for the document.
Due to assignments in the calculation procedure, the system:
calculates the tax amount for you (if requested)
checks tax amounts for which manual assignment was carried out
creates tax posting items automatically.
(C) SAP AG
AC205 8-10
Expense
1,000
Tax Return
D
USA
EU
© SAP AG 1999
You must create a tax return regularly for the tax authorities.
There are country-specific programs available in the system for doing this.
(C) SAP AG
AC205 8-11
Tax reporting USA: Topic Objectives
At the conclusion of this topic, you will be able to:
Describe 1099/1042 processing
Locate the customizing for withholding tax codes
and 1099/1042 outputs
Use withholding tax during Invoicing and
payment
Execute tax reporting
© SAP AG 1999
(C) SAP AG
AC205 8-12
1099 Business Process
© SAP AG 1999
1099 withholding taxes: Reporting of 1099 taxes involves miscellaneous income paid to nonincorporated vendors or non-employees. Income is classified into one of eleven categories, with the
majority of companies using category ”07, Non-employee Compensation.”
The majority of companies do not actually withhold income taxes from payments to 1099 vendors;
rather these companies report the amount of payments made to ”1099” vendors to the IRS. In the rare
circumstance when a company does deduct income taxes from a 1099 vendor (usually occurs when a
vendor does not provide a tax number), the company deducts 31% of the amount due the vendor and
later pays this amount directly to the IRS. NOTE: Any adjustments between actual taxes due and
amount withheld is handled directly between the 1099 vendor and the IRS.
The reporting of 1099 taxes is done once per year (January) and is presented to the IRS in one of two
methods: 1)printed form; 2)a data file. The income amounts reported to the IRS are only amounts paid to
the 1099 vendor between January 1 and December 31 of the reporting year.
(C) SAP AG
AC205 8-13
Vendor Master Record
CONTROL DATA
Accounts payable
Master Records
Create/Change
111-11-1111
Tax Code 1
Tax Code 2
ACCOUNT INFO
W.Tax Code
07
Exempt #
Valid until
© SAP AG 1999
1099 Processing
Configuration of a 1099 vendor is done in two areas of the vendor master: Control Data and Account
Info.
Account Info data defaults into the vendor document for processing.
Important Note: No vendor which is 1099- reportable may be set up as a One-Time vendor, since onetime vendors are excluded from 1099 processing within the R/3 System.
(C) SAP AG
AC205 8-14
Vendor Account Groups
GENERAL
Opt.
CONTROL DATA
Tax Code 1
Tax Code 1
Tax Code 2
Tax Code 2
111-11-1111
ACCOUNT INFO
CO. CODE
Opt.
W.Tax Code 07
W.Tax Code
Exempt #
Valid until
Exempt, limited
© SAP AG 1999
1099 Configuration
To be able to configure the 1099 vendor master, the account group to which the vendor is assigned must
allow data entry into the tax code fields.
Note: You should also ensure that the tax code number fields have the required field length. Tax
code 1 should be of length 11 and tax code 2 should have a length of 10. These parameters are set in
the Global Settings section of the IMG.
(C) SAP AG
AC205 8-15
Withholding Tax Codes
US
US
US
US
US
US
US
..
.
01
02
03
04
05
06
07
1099 Rents
1099 Royalties
1099 Prizes, awards
1099 Fed. Inc. W/H
Tax Code
07
1099 Fishing boat Country US
1099 Medical...
1099 Non-employee Desc. 1099 Non-employee compensation
Tax portion 100 %
Curr
USD
VENDOR ACCT INFO
W.Tax Code 07
© SAP AG 1999
1099 Configuration
Eleven basic 1099 withholding tax codes are delivered with the R/3 System; each code corresponds to
the relevant IRS tax code.
These eleven codes are not pre-configured to deduct and post actual withholding amounts since the
majority of companies do not withhold from 1099 vendors.
As of release 3.0D, in those cases in which your company does withhold income taxes from 1099
vendors, use tax codes F0 through F9. These codes are not delivered with the R/3 System; you need to
create them referencing the corresponding pre-defined codes 01 through 10. For example: the last digit
of the ”F” code corresponds to the last digit of the appropriate pre-defined code (01 through 10). Code
F1 represents code 01 but does the actual withholding (F2 code 02, etc...). Tax code ”11” does not have a
corresponding ”F” code because it relates to state withholding taxes (covered later).
Important note: Only tax code indicators 01-11 and F1-F9 are hard coded into the 1099 programs
RFKQSU20 and RFKQSU30.
(C) SAP AG
AC205 8-16
Field Status Groups/Posting Keys
Field Status Group: Reconciliation Account
PMNT TRANS
Opt.
INVOICE
Co.Code
W.Tax Code
VEND1099
3000
W.Tax Amt
W.Tax Code 07
Vendor Posting Key(s) Field Status
PMNT TRANS
W.Tax Code
Opt.
Amount
5,000.00 USD
W.Tax Base 5,000.00 USD
W. Exempt
W.Tax Amt
© SAP AG 1999
1099 Configuration
For the withholding tax code fields to be available on the FI document, the Field Status Group of the GL
Reconciliation Account to which the vendor is assigned must allow data entry into the tax code fields
(see graphic above).
Similarly, if your company controls postings to fields via posting keys, then the fields for the two tax
code fields must be set for possible data entry (i.e.. “optional”). This is the case for all posting keys
which affect vendor processing (i.e.. 21, 25, 31...).
NOTE: You must also have the the Document Entry Screen Variant set to “2” in the company code
global parameters in configuration.
(C) SAP AG
AC205 8-17
Document Change Rules
K
K
K
BSEG-QSFBT
BSEG-QSSHB
BSEG-QSSKZ
W.Tax Exmpt
W.Tax Base
W.Tax Code
X
Stipulations
Invoice
Vendor
Co.Code
Field modifiable
VEND1099
3000
E!
N
O
N
5000.00 USD
W.Tax Code 07
W.Tax Base 5000.00 USD
W.Tax Exmpt 5000.00 USD
Amount
© SAP AG 1999
1099 Configuration
In the global settings section of the IMG, you can customize/define rules for changing document
withholding tax fields.
The delivered system default's document change rules allow the above modification on all posted
documents before clearing; however, the user can change the rule to allow changes to withholding tax
fields of a cleared invoice as long as the cleared invoice does not withhold any dollar amount during
payment. In the ”Document change rule” screen, the user can mark “field modifiable” and unmark
“posting not closed” in order to allow changes to the WT field of a cleared invoice which has no
withheld amount. This applies to both 1099 and 1042 processing. Note: WT fields are withholding fields
- WT base amount field and WT indicator field on the posting screen.
These rules DO NOT affect withholding tax codes which post deductions (i.e., F1-F0); therefore, cleared
documents cannot be modified. If the withholding tax code is configured to post deduction and
withholding tax information must be changed before reporting, the document must be first reset and
reversed. For the majority of companies which do not deduct tax (i.e.: 01-10), these change rules allow
W.Tax Code fields to be changed after clearing.
(C) SAP AG
AC205 8-18
Vendor Invoice
Vendor
Co.Code
Amount
Accounts payable
Document entry
Invoice
VEND1099
3000
5,000.00 USD
W.Tax Code 07
W.Tax Base 5,000.00 USD
W. Exempt
W.Tax Code
Extras
Withholding Tax
© SAP AG 1999
07
W.Tax Base
5,000.00
W.Tax Amt.
0.00
W.Exempt
Exempt No.
1099 Processing
The withholding tax indicator from the 1099 vendor master defaults into the line item during invoicing.
This indicator can be overwritten at this time, if desired.
The withholding tax base and the withholding tax exempt fields serve separate purposes. The
withholding tax base field is the income amount of the line item to be reported to the IRS. If this field is
left blank during invoice posting, the invoice amount of the line item defaults. The withholding tax
exempt field is the amount of the line item that you do NOT wish to be reported to the IRS (example:
reimbursement of expenses).
(C) SAP AG
AC205 8-19
Vendor payment
Vendor
Curr
VEND1099
USD
Accounts payable
Document entry
Outgoing payment
W.Tax Amt
0.00
Amount
5,000.00
Document
Curr
180000012
USD
Accounts payable
Periodic processing
Payments
W.Tax Amt
0.00
Gross Amt
5,000.00
Goto
W/H Tax Screen
© SAP AG 1999
1099 Processing
The payment of a vendor invoice signifies receipt of income for the vendor; therefore, it is the clearing
document which will be used for 1099 filing. If posting a manual payment, you can display the
withholding tax information regarding the payment , by GOTO >> Withholding Tax Screen.
(C) SAP AG
AC205 8-20
1099 Reporting
Accounts payable Periodic Processing Info Reporting
1099 Postcard
(RFKQSU00)
Validates withholding tax info in vendor
master record (I.e. WT code, Tax ID).
Prints address of 1099 account which has
no tax ID or is missing a tax ID on a
postcard to request info from the vendor.
1099 Proof List
(RFKQSU20)
Prints list of taxable and non-taxable 1099
data by vendor, 1099 indicator, document
and/or state for reconciling output of
RFKQSU30’s taxable data on forms.
1099 Print Forms &
Create tape
(RFKQSU30)
Prints 1099 tax data on 1099 form and
creates record of files for 1099 tape.
© SAP AG 1999
1099 Processing
There are three separate programs in the R/3 System involving 1099 vendor reporting. All programs
allow for flexible selections of vendors and company codes. Each report is programmed to search first
for withholding tax codes 01-11, F0-F9 in the vendor master record.
Note: Company (payer) TIN (tax id number), name and address information for form and tape are
derived from program parameters and NOT company code master records.
(C) SAP AG
AC205 8-21
1099 State Withholding Tax
RFKQSU30 does include combined state withholding
tax reporting for participating states.
Requires manual calculation of state withholding
amounts and entry of vendor credit memo for payment.
© SAP AG 1999
1099 Processing
RFKQSU30 does include state withholding tax reporting. Release 3.0 requires manual calculation of
state withholding tax amounts and enters the calculates amounts with 1099 indicator, 11, as credit memo.
In certain instances, companies need to report/withhold state income tax. A company may make
arrangements with the IRS to combine federal and state reporting; however, only certain states
participate in combined federal/state reporting (see current IRS publication for details). Unfortunately in
many cases, there is no standard deduction percentage rate for a state (ex California) and thus the
deduction rate can vary from vendor to vendor.
It is currently planned for future releases of R/3 to provide a more comprehensive state withholding tax
program.
(C) SAP AG
AC205 8-22
1042 Business Process
Foreign Vendor
© SAP AG 1999
Reporting of 1042 taxes involves income paid to foreign vendors of foreign non-employees. Income is
classified into 1 of approximately 20 categories (please see IRS 1042 publication).
Companies are usually required to withhold/deduct income taxes from payments to 1042 vendors.
Companies usually (see current IRS publication for rates) deduct 31% of the payment made to this type
of vendor. This withheld portion is later paid to the IRS directly by the company and any adjustments
between actual taxes due and amount withheld is handled directly between the 1042 vendor and the IRS.
Reporting of 1042 taxes is done once a year (February) and is presented to the IRS in two methods:
1)printed forms; 2)a data file. The income amounts reported to the IRS is only the amounts paid to the
1042 vendor between January 1 and December 31 of the reporting year.
(C) SAP AG
AC205 8-23
Vendor Master Record
CONTROL DATA
Accounts payable
Master Records
Create/Change
Tax Code 1
Tax Code 2
22-222222
ACCOUNT INFO
W.Tax Code
42
Exempt #
W.Tax City
AA
Valid until
Rec.Type
09
Exempt Auth.
© SAP AG 1999
03
1042 Processing
Configuration of a 1042 vendor is done in two areas of the vendor master: Control Data and Account
Info.
Note: only the withholding tax code and the exemption number will default into the vendor document
during processing. Withholding tax country, recipient type, and exemption authority are maintained in
the vendor master record and cannot be overwritten during document processing.
Important Note: No vendor which is 1042 reportable may be set up as a One-Time vendor, as one-time
vendors are excluded from 1042 processing within the R/3 System.
(C) SAP AG
AC205 8-24
Vendor Account Groups
GENERAL
Opt.
CONTROL DATA
Tax Code 1
Tax Code 1
Tax Code 2
Tax Code 2
22-222222
ACCOUNT INFO
Co. Code
Opt.
W.Tax Code 42
W.Tax Code
Exempt #
W.Tax City
AA
Valid until
Rec.Type
09
Exempt Auth. 03
Exempt, limited
W.Tax cat, Reas
W.Tax Country
© SAP AG 1999
1042 Configuration
To configure the 1042 vendor master, the account group to which the vendor is assigned must allow data
entry into the tax code fields (see graphic above).
Note: You should also ensure that the tax code number fields have the required field length. Tax
code 1 should be of length 11 and tax code 2 should have a length of 10. These parameters are set in
the Global Settings section of the IMG.
(C) SAP AG
AC205 8-25
Withholding Tax Codes
US 42 1042 Compensation
US 43 1042 Exempt
Country US
W. Tax Code
42
Off.w.tax code 20
Desc. 1042 Deduction Withholding Tax
Tax portion 100 %
X
VENDOR ACCT INFO
W.Tax Code
X
Curr
USD
Withh. tax formula
Posting with payment
42
© SAP AG 1999
1042 Configuration
1042 tax codes are not predefined in the R/3 System and must be created.
While creating these codes (for example code ”42” for deducting and code ”43” for exempt from
deduction), enter the income type in the field ”Off.w.tax code” (official withholding tax code). To
deduct withholding tax, you must check the ”posting with payment” and the ”withholding tax formula”
boxes.
Note: No tax code indicators are hard coded in the 1042 program RFKQSU40.
Note: If multiple Income Types are required, you must create separate W. Tax Codes for EACH Income
Type.
(C) SAP AG
AC205 8-26
Field Status Groups/Posting Keys
Field Status Group: Reconciliation Account
PMNT TRANS
Opt.
INVOICE
Vendor VEND1042
Co.Code 3000
W.Tax Code
W.Tax Amt
W.Tax Code 42
Vendor Posting Key(s) Field Status
PMNT TRANS
Opt.
Amount
5,000.00
USD
W.Tax Base 5,000.00 USD
W. Exempt
W.Tax Code
W.Tax Amt
© SAP AG 1999
1042 Configuration
For the withholding tax code fields to be available on the FI document, the Field Status Group of the GL
Reconciliation Account to which the vendor is assigned must allow data entry into the tax code fields
(see graphic above).
Similarly, if your company controls postings to fields via posting keys, then the fields for the two tax
code fields must be set for possible data entry (i.e.. ”optional”). This is the case for all posting keys that
affect vendor processing (i.e.. 21, 25, 31...).
NOTE: You must also set the Document Entry Screen Variant to ”2” in the company code global
parameters in configuration.
(C) SAP AG
AC205 8-27
Document Change Rules
K
K
K
BSEG-QSFBT
BSEG-QSSHB
BSEG-QSSKZ
W.Tax Exmpt
W.Tax Base
W.Tax Code
X
Field modifiable
Stipulations
Invoice
Vendor
Co.Code
VEND1042
3000
Amount
5000.00
USD
W.Tax Code
42
W.Tax Base 5000.00
W.Tax Exmpt 5000.00
USD
USD
© SAP AG 1999
E!
N
O
N
1042 Configuration
In the global settings section of the IMG, you can customize/define rules for changing document
withholding tax fields.
These rules DO NOT affect withholding tax codes which post deductions (i.e., F1-F0); therefore, cleared
documents cannot be modified. If the withholding tax code is configured to post deduction and
withholding tax information must be changed before reporting, the document must be first reset and
reversed.
(C) SAP AG
AC205 8-28
Withholding Tax Countries
Cty WCty Name
US
US
US
US
US
US
US
US
US
US
US
US
AA
AC
AF
AG
AJ
AL
AM
AN
AO
AQ
AR
AS
Aruba
Antigua and Barbuda
Afghanistan
Algeria
Azerbaijan
Albania
Armenia
Andorra
Angola
American Samoa
Argentina
Australia
© SAP AG 1999
VENDOR ACCT INFO
W.Tax Ctry
AA
1042 Configuration
A withholding tax country is the country of the foreign vendor's legal residence. You enter the reporting
country (US) in the left hand column and the withholding tax country in the middle column.
Note: Withholding tax country identifiers do not always correspond to ISO 9000 standards; these
country identifiers are defined by the IRS. Please see IRS publication 1042 for a complete list of
countries and their correct id's.
(C) SAP AG
AC205 8-29
Type of Recipient for Vendors
Cty Recip
US
US
US
US
US
US
US
US
US
US
US
01
02
03
04
05
06
07
08
09
19
20
Name
Individual
Corporation
Partnership
Fiduciary
Nominee
Gov’t or Int. Org.
“Tax Exempt” Org.
Private foundation
Artist or Athlete
Other
Type unknown
© SAP AG 1999
VENDOR ACCT INFO
Rec.Type
09
1042 Configuration
You need to ensure that correct recipient types exist for 1042 reporting. These codes are placed (when
applicable) on the vendor master record.
Note: DO NOT define income types for withholding tax (table T059E) as income types for 1042
reporting are not (currently) derived from this configuration table. 1042 income types are defined
within the withholding tax codes themselves.
(C) SAP AG
AC205 8-30
Withholding Tax Formulas
CTY Curr Wi WCty
US
US
US
..US
.
USD
USD
USD
USD
42
42
42
42
AA
AC
AF
AG
CTY Curr Wi WCty
US
US
US
US
..
.
USD
USD
USD
USD
© SAP AG 1999
43
43
43
43
AA
AC
AF
AG
To base amnt
WhldTax
999,999,999.99 30.00
999,999,999.99 30.00
999,999,999.99 30.00
999,999,999.99 30.00
To base amnt
30.00
30.00
WhldTax
999,999,999.99 30.00
999,999,999.99 30.00
999,999,999.99 30.00
999,999,999.99 30.00
30.00
30.00
1042 Configuration
The six columns on this table are:
1. Country -- Reporting Country (US)
2. Currency -- Reporting currency
3. Withholding ID -- Withholding tax code (i.e.. 42, 43)
4. Withholding tax country key -- Country key of the 1042 vendor
5. To base amount -- Base amount up until which the withholding tax rate is valid
6. Withholding Tax -- Withholding tax percentage rate which is used along with the withholding tax
base amount to calculate the withholding tax amount.
Note: If actually withholding the withholding tax, you must enter a rate in column 6. If tax code (i.e. 43)
is exempt from deduction due to an exemption reason, do not enter a rate in column 6 (leave blank).
Although certain vendors are exempt from actual deduction of income taxes (see exemption
authorization on vendor master), the company payer must still report amounts paid to the IRS (similar to
a 1099 vendor) as well as the exemption reason. This means that both deductible and non-deductible
1042 vendors are processed the same way with the exception being that the non-deduction vendor has
the exemption authority field populated in the vendor master record.
(C) SAP AG
AC205 8-31
Automatic Posting (Withholding Tax)
Rules
Chart of accounts
Process
X
X
Tax Codes
Debits/Credits
INT
QST
Accounts
Tax Code
42
Debit
177000
Credit
177000
Posting keys
Debit
40
Credit
50
© SAP AG 1999
1042 Configuration
Here is where you define the rules, posting keys, and GL accounts for automatic posting of the income
tax withheld.
This configuration must be completed to automatically deduct and post income tax from 1042 vendor
payments.
(C) SAP AG
AC205 8-32
Vendor Invoice
Vendor
Co.Code
Amount
Accounts payable
Document entry
Invoice
VEND1042
3000
5,000.00
USD
W.Tax Code
42
W.Tax Base 5,000.00 USD
W. Exempt
W.Tax Code 42
Extras
Withholding Tax
© SAP AG 1999
W.Tax Base
5,000.00
W.Tax Amt.
0.00
W.Exempt
Exempt No.
1042 Processing
The withholding tax indicator from the 1099 vendor master defaults into the line item during invoicing.
This indicator can be overwritten at this time, if desired.
The withholding tax base and the withholding tax exempt fields serve separate purposes. The
withholding tax base field is the income amount of the line item to be reported to the IRS. If this field is
left blank during invoice posting, the invoice amount of the line item defaults. The withholding tax
exempt field is the amount of the line item that you do NOT wish to be reported to the IRS (example:
reimbursement of expenses).
(C) SAP AG
AC205 8-33
Vendor Payment
Vendor
Curr
VEND1042
USD
Accounts payable
Document entry
Outgoing payment
W.Tax Amt
Amount
0.00
5,000.00
Document
Curr
180000016
USD
Accounts payable
Periodic processing
Payments
W.Tax Amt
0.00
Gross Amt
5,000.00
Goto
W/H Tax Screen
© SAP AG 1999
1042 Processing
The payment of a vendor invoice signifies receipt of income for the vendor; therefore, it is the clearing
document that is used for 1099 filing. If posting a manual payment, you can display the withholding tax
information regarding the payment , by GOTO >> Withholding Tax Screen.
(C) SAP AG
AC205 8-34
1042 Reporting
Accounts payable Periodic Processing Info Reporting
1042 Reporting
(RFKQSU40)
Prints list of payments for 1042
vendors by withholding tax codes.
Prints list of vendor payments by
withholding tax code per reporting
month.
Prints 1042 forms and creates tape
(data file) for submission to IRS.
© SAP AG 1999
1042 Processing
There are three separate programs in the R/3 System involving 1099 vendor reporting. All programs
allow for flexible selections of vendors and company codes. Each report is programmed to search first
for withholding tax codes 01-11, F0-F9 in the vendor master record.
Note: Company (payer) name, address and TIN information (per each vendor paid record) for form and
tape are derived from company code master records. The header record for tapes are derived from the
program parameters. Only alternative payer name and TIN (tax ID number) are derived from program
parameters.
(C) SAP AG
AC205 8-35
Germany Tax reporting: Topic Objectives
At the conclusion of this topic, you will be able to:
Perform sales tax reporting
Locate the customizing of automatic posting
which takes place during the run of RFUMSV00 to
a post tax payable account.
© SAP AG 1999
(C) SAP AG
AC205 8-36
Tax Return and Postings
DB
List
D
Form
data
Batch
Input
Print form
Post tax
payable
Sales/purch
.tax
Sales/purch.tax
advance return
© SAP AG 1999
(C) SAP AG
AC205 8-37
RFUMSVOO
Input tax
100
Output tax
250
Tax payable
100
250
Advance Return for Tax on Sales/Purchases - Form
(Germany)
CC0002
CC0004
CC0005
...
Grouping
Level 1
Tax cd
Gr. No.
A1
06
A2
08
A4
07
A5
01
A6
01
...
...
Grouping
Level 2
Tax cd
Gr. No.
01
17
02
17
03
17
...
...
17
25
18
25
S/P tax advance pmt
Tax S/P grp
0001
10,000
YYYY
RFUV__00
(Group No. nn)
01
02
...
28
...
24
(automatic transfer 12/YY)
Tax on Sales/Purch.Group
- Tax no.
- Form
0001
- Tx authority
address
- Tax on S/P
grp address
0002
- Tax no.
...
...
CC0001
© SAP AG 1999
If you want to generate a single tax return for multiple company codes, you can combine the company
codes into a tax on sales/purchases group. Tax amounts can be printed on a report form.
(C) SAP AG
AC205 8-38
Germany Foreign trade reporting: Topic Objectives
At the conclusion of this topic, you will be able to:
Perform foreign trade reporting
© SAP AG 1999
(C) SAP AG
AC205 8-39
Foreign Trade
Form
Purpose
R/3 Program
Z1
Payment order subject to foreign trade regulations
for payments which will be made by a foreign financial
Payment program
(bank transfer)
institution.
Foreign account report (incoming amounts) for
Z2
incoming payments not related to goods shipments
made to accounts at foreign financial institutions.
Foreign account report (outgoing amounts) for
Z3
outgoing payments not related to goods shipments made
from accounts at foreign financial institutions. Payments
subject to foreign trade regulations for incoming and
outgoing payments which do not need to be reported
using Z1-Z3.
- Transfers
- Cash payments
- Checks and bills of exchange
- Elimination and clearing transactions
Z4
Payables and receivables resulting from the sale of
goods and services, including down payments made
Z5A
RFAWVZ40
RFAWVZ5A
and received
© SAP AG 1999
(C) SAP AG
on diskette
AC205 8-40
RFAWVZ5P
RFAWVZ5A Control Values
Field:
Data flow:
Master record
Country
foreign?
no
yes
Master record
Partner co.
Affiliated
company?
no
yes
Document
Sp.GL trans.
type
Sp.GL tr.type
=A?
yes
Sp.GL tr.type
=A?
no
Document
BSxx
= Down pmt
debit
credit
© SAP AG 1999
(C) SAP AG
Σ
Σ
AC205 8-41
BSxx =
Down pmt
?
no
BSxx =
Down pmt
?
yes
V1A
yes
no
no
F1A
yes
V2A
F2A
F1B
V1B
V2B
F2B
RFAWVZ5A: Foreign Trade Regulation Report
Reporting receivables / payables according to German foreign trade
trade regulations
- Customer section Totals breakdown:
F1A
- Vendor section Totals breakdown:
affiliated companies
from goods and services
Receivables
F1A
affiliated companies
from down payments
Payables
F 1 B other non-res. Companies
from goods and services
Receivables
F 1 B other non-res. companies
from down payments
Payables
V 2 A affiliated companies
from down payments
Payables
V 2 A affiliated companies
from goods and services
Receivables
V 2 B other non-res. companies
from down payments
Payables
V 2 B other non-res. Companies
from goods and services
Receivables
Can be further differentiated by: - country key
- currency key
© SAP AG 1999
(C) SAP AG
AC205 8-42
European Union Tax reporting: Topic Objectives
At the conclusion of this topic, you will be able to:
Analyze data relevant to European tax reporting.
Locate the Customizing of tax reporting for
European Union.
Create a Sales List according to European Union
requirements.
© SAP AG 1999
(C) SAP AG
AC205 8-43
EU Single European Market
Customers
Tax codes
X1 = delivery of goods
X2 = service
Vendors
Tax code
Y1 = acquisition tax
VAT
registration number
for the company code
for the customer
Customer line item
Transfer of the reg.no.
into the document
Acquisition tax Acquisition tax
100
100
RFASLMOO
RFUMSV00
EC sales list
Tax return
© SAP AG 1999
(C) SAP AG
Automatic posting
AC205 8-44
Customizing Country Specifics Exercises
Unit: Customizing Country Specifics
Topic: 1099/1042 Processing (USA)
At the conclusion of this exercise, you will be able to:
•
•
•
Modify a vendor to make it 1099 reportable
Post a transaction subject to 1099 reporting
Identify the 1099 reports
One of your company codes, 3000, is a US company. For yearend closing, you must process withholding tax information for
1099 vendors.
1-1
Create a 1099 vendor invoice and generate the associated 1099 reports.
1-1-1 Your vendor, TE-AC##, has not been established as a 1099 vendor. Before
processing your posting, you will first complete the field Tax Code 1 within the
vendor master with the code 111-11-111, as well as enter code 07 in the
Withholding Tax Code field of the vendor master to make your vendor 1099
reportable.
1-1-2 Enter an invoice for the current date for your vendor TE-AC## in company
code 3000. The expense amount is 5000 USD, which will be charged to account
476000 (Office supplies) and cost center 1000 (Corporate Services). Select
calculate tax and use tax code 0I (A/P Sales Tax, exempt).
1-1-3 Manually post a payment document for your vendor invoice.The amount of the
payment is 5000 USD. The credit will be posted to cash account 113101
(Citibank - checks payable).
1-1-4 Now execute the various 1099 reports
You may have to page down to review report information.
(C) SAP AG
AC205 8-45
Exercises
Unit: Customizing Country Specifics
Topic: Germany: Tax Reporting
At the conclusion of this exercise, you will be able to:
• Execute tax reporting for Germany
Your company code AC## is in Germany and is required to
produce standard monthly reporting for taxes.
2-1
(C) SAP AG
Within monthly reporting you have to report the tax relevant data to financial authority.
Execute the Advance return for tax on sales/purchases report for Germany
(RFUMSV00) for output tax postings made during the current period and fiscal year to
your company code AC##. Specify posting parameters to create a batch input session,
TAX##, to post the transaction to the first day of the next period and record a due date
of the 10th of the next period. Use document type SA for the posting. Process the
resulting batch input session (foreground) to generate the posting to the General
Ledger. Processing is complete when you receive the message 'Batch input processing
completed'.
AC205 8-46
Exercises
Unit: Customizing Country Specifics
Topic: European Union: Tax Reporting
At the conclusion of this exercise, you will be able to:
• Generate the EC sales list for European Union reporting
Your country is a member of the European Union. The EU
requires the generation of the EC sales list. You need to make
sure that this report is available in the R/3 System.
3-1
(C) SAP AG
Locate the menu path in the reporting tree for the general EC sales list reporting for the
European Union (RFASLM00).
AC205 8-47
Customizing Country Specifics Solutions
Unit: Customizing Country Specifics
Topic: 1099/1042 Processing (USA)
1-1
Create a 1099 vendor invoice and generate the associated 1099 reports.
1-1-1 Your vendor, TE-AC##, has not been established as a 1099 vendor. Before
processing your posting, you will first complete the field Tax Code 1 within the
vendor master with the code 111-11-111, as well as enter code 07 in the
Withholding Tax Code field of the vendor master to make your vendor 1099
reportable.
Menu path to change vendor master record:
Accounting → Financial Accounting → Accounts Payable → Master records
→ Change
Enter the following information:
Vendor:
Company code:
TE-AC##
3000
Select Control in the General data section and Accounting info in the
Company Code data section of the master record initial screen.
Press 'Enter'.
Enter 111-11-1111 in the field Tax code 1.
Press 'Enter'.
Enter 07 in the field W. tax code.
Save your changes to the vendor master record.
1-1-2 Enter an invoice for the current date for your vendor TE-AC## in company
code 3000. The expense amount is 5000 USD, which will be charged to account
476000 (Office supplies) and cost center 1000 (Corporate Services). Select
calculate tax and use tax code 0I (A/P Sales Tax, exempt).
Menu Path for invoice entry:
Accounting→ Financial Accounting → Accounts Payable → Document entry
→ Invoice
The company code screen may appear automatically. If not, click Change leading
company code. Enter 3000 in the company code field.
Enter the following information:
(C) SAP AG
AC205 8-48
Vendor:
Invoice date:
Amount:
Calculate tax:
Tax code:
TE-AC##
Current date
5000
X
0I (A/P sales tax exempt)
Click the Withholding tax tab. Enter 5000 in the W. tax base field.
Enter the following information for the first row:
G/L:
D/C:
Doc.:
Cost (center):
476000
Debit
5000
1000
Post your document.
1-1-3 Manually post a payment document for your vendor invoice.The amount of the
payment is 5000 USD. The credit will be posted to cash account 113101
(Citibank - checks payable).
Menu Path for manual payment:
Accounting→ Financial Accounting → Accounts Payable → Document entry
→ Outgoing payment→ Post
Enter the following information:
Document date:
Current date
Company code:
3000
Bank data section:
Account:
113101
Amount:
5000
Open item selection section:
Account:
TE-AC##
Click Process open items at the top of the screen
Double-click open item to select it.
Post your payment document.
1-1-4 Now execute the various 1099 reports
You may have to page down to review report information.
(C) SAP AG
AC205 8-49
Menu Path for 1099 reporting:
Accounting→ Financial Accounting → Accounts Payable → Withholding
tax → USA
Double-click the report you want to view, for example, Postcard Printout of
1099 Vendor Addresses for Tax Code Request.
Data necessary for the 3 1099 reports:
Vendor account:
Company code:
Clearing date:
to:
TE-AC##
3000
01/01/Current year
12/31/Current year
Execute.
You may be required to perform the following to complete execution of your
report:
Output device:
Provided by the instructor.
Print immediately:
X
Delete after print:
X
Click Print.
Repeat steps for remaining reports.
(C) SAP AG
AC205 8-50
Solutions
Unit: Customizing Country Specifics
Topic: Germany: Tax Reporting
2-1
Within monthly reporting you have to report the tax relevant data to financial authority.
Execute the Advance return for tax on sales/purchases report for Germany
(RFUMSV00) for output tax postings made during the current period and fiscal year to
your company code AC##. Specify posting parameters to create a batch input session,
TAX##, to post the transaction to the first day of the next period and record a due date
of the 10th of the next period. Use document type SA for the posting. Process the
resulting batch input session (foreground) to generate the posting to the General
Ledger. Processing is complete when you receive the message 'Batch input processing
completed'.
Menu Path for general tax reporting:
Accounting → Financial Accounting → General Ledger → Reporting → Tax
reports → General → Advance return for tax on sales/purchases→ Advance return
for tax on sales/purchases
Enter the following information:
Company code:
Fiscal year:
Posting date:
To:
Select output tax:
Select input tax:
AC##
Current year
First day of the current period
Last day of the current period
X
de-select
Click Posting parameters tab and enter:
Batch input session required:
Posting document type:
Posting date:
Due date of the tax payable:
Session name:
X
SA
First day of next period
Day 10 of next period
TAX##
Execute the program.
Menu path for batch input session:
System → Services → Batch input → Sessions
(C) SAP AG
AC205 8-51
Mark your session and click Process.
Select Process/foreground and click Process.
Press 'Enter' to move through the posting screens.
Click Exit to confirm the 'Batch input processing completed' message.
Click Start SAP Easy Access to return to the SAP Enjoy display.
(C) SAP AG
AC205 8-52
Solutions
Unit: Customizing Country Specifics
Topic: European Union: Tax Reporting
3-1
Locate the menu path in the reporting tree for the general EC sales list reporting for the
European Union (RFASLM00).
Menu Path for general EC sales list reporting:
Accounting → Financial Accounting → General Ledger → Reporting → EC sales
list → General → EC Sales List
(C) SAP AG
AC205 8-53
Appendix (2)
This section contains supplementary material to be
used as reference
This material is not part of the standard course
Therefore, the instructor might not cover this during
the course presentation
© SAP AG 1999
(C) SAP AG
AC205 9-1
Other Closing Information
Contents
Consolidation
Month-End and Year-End Closing Checklists
Menu Paths
© SAP AG 1999
(C) SAP AG
AC205 9-2
Other Closing Information: Unit Objectives
At the conclusion of this unit, you will be able to:
Outline which procedures exist for transferring
data from Financial Accounting into
Consolidation.
Locate customizing for consolidation preparation
which uses the “Periodic Extract Method”.
List closing steps
Identify processing and configuration menu paths
for closing.
© SAP AG 1999
(C) SAP AG
AC205 9-3
Transferring data from FI to Consolidation: Topic
Objectives
At the conclusion of this topic, you will be able
to:
Outline which procedures exist for transferring
data from Financial Accounting into
Consolidation.
Locate customizing for consolidation preparation
which uses the “Periodic Extract Method”.
© SAP AG 1999
(C) SAP AG
AC205 9-4
Data Streams
EIS
Executive
Information
System
COCO-PA
HR
BP
Business
Planning
EC-CS Consolidation
Dimension
FI Data
Consolidation Unit =
Company / Business Area
PCA Data
CU =
Company /
Profit Center
EC-PCA
Profit Center Accounting
Profit Center, Company Code
FI-GL General Ledger
SD
MM
Bal. Sheet a/cs
P&L Accounts
and CO Object
© SAP AG 1999
Assets
Receivables
Payables
WIP
Stock
Other
CO Controlling
Cost Center
Order
Project
EC-CS consolidates on the basis of the organizational units company, business area, and profit center
and is optimally integrated with these systems.
If the transaction applications and consolidation system reside in the same system and client, the data
can be transferred online to the consolidation system.
Additionally, data can be transferred by periodic extract or rollup from non-SAP systems.
(C) SAP AG
AC205 9-5
Integration of Master Data
Sender System
FI
Consolidation System
Dimension
Version
Ledger
ECCS
Companies
Business Areas
Profit Centers
Accounts
Secondary Cost Elements
Additional Account
Assignments
(Region, Functional
Area, Cost Center...)
Organizational Units:
- Consolidation Units
- Consolidation Groups
- Consolidation Hierarchy
Consolidation Chart of Accounts,
Financial Statement Items
Subitems
© SAP AG 1999
Consolidation is centered on grouping together data from individual elements of an organization to form
a unified whole. The aim of consolidation is to show only the external relationships, and to eliminate
internal connections and processes.
Against this background, two types of master data are of primary importance:
The organizational units themselves, together with their structure, and
The financial statement items, whose structure determines the content of the data.
The financial statement item is the basis of entries, postings, and reporting within consolidation. Its use
is not merely confined to variables from financial statements, income statements, or appropriation of
retained earnings that are relevant to financial accounting. Statistical information and key figures can
also be managed using financial statement items. In the Consolidation system, their properties attributes
are determined on the basis of the FS item type, where-applied indicator, FS item category, debit/credit
sign, and breakdown category.
A subitem is an optional additional account assignment. For example, financial statement items for fixed
assets may have to be additionally assigned with transaction types so that all changes in the financial
statement items are shown from the opening to the closing balance.
(C) SAP AG
AC205 9-6
Preparation in FI
Partner Information
Organization
Company
Company
Company Code
Business Area
Chart of Accounts
Additional Information
Business Area
Consolidation
Transaction Types from
FI and FI-AA
Consolidation
Business Area
Functional Area (P&L
Statements using Cost
of Sales Accounting)
Regions
FI
CO
ECECCS
Sender Systems
NonSAP
© SAP AG 1999
The data source for EC-CS is the FI general ledger, and the company code is the organizational unit. The
FI company code must be assigned to a chart of accounts and a company.
In EC-CS, the consolidation units are generated from the business units (companies and/or business
areas).
In accounting transactions between business units in the enterprise, the relevant trading partner unit must
be stored in the document. This is necessary for the subsequent interunit elimination.
Store the relevant trading partners in the master data for affiliated customers and vendors.
To transfer the data from the transaction sender system to the receiver system, you will make
assignments tailored to the receiver system.
These can be assignments that are equally binding for all consolidation types, such as the assignment of
a company code to a company.
If desired, business area balance sheets can be activated for each company code in FI.
You can subdivide a company code into business areas to generate internal individual financial
statements using freely selected areas of responsibility within a company.
In business area consolidation, a consolidation business area must be assigned from the receiver system.
If desired, you can create functional areas in FI so that the income statement can be grouped according to
the requirements of cost of sales accounting.
(C) SAP AG
AC205 9-7
Assignment: Company Code - Company
Client 001
...
NonSAP
Systems
FI
Chart of Accounts CAUS
Chart of Accounts ...
Company
Code C100
Company
Code C200
Company
Code ...
Company
C10000
Company
C20000
Company
...
Company
...
ECCS
© SAP AG 1999
Companies are the global organizational structures in FI.
You can portray one or more of the client’s company codes, as well as internal trading partners whose
transaction financial accounting is carried out in other systems (SAP system or non-SAP systems).
For the purpose of integrated data transfer, you have to assign the company codes of the transaction
system to the companies of the group.
The data to be consolidated can either be stored in the transaction system or distributed over various
systems. It makes no difference if the systems involved are SAP R/3 Systems or non-SAP systems.
The internal trading partners for which transaction financial accounting is not carried out in the
Consolidation system must also be represented by companies in FI.
In EC-CS, consolidation units are generated automatically on the basis of the companies.
Integrated data from company codes that have been assigned to a company can then be copied to the
appropriate consolidation unit.
In a similar way, integration techniques can be used to copy data from other SAP Systems to
consolidation units. Otherwise, data entry is carried out using entry forms, flexible upload, or MS
Access.
(C) SAP AG
AC205 9-8
Trading Partner Information: FI
฀
฀
฀
Trading Partner in Master Record
Customer
Vendor
G/L Account
Additional Account Assignment: Trading Partner in
Document
Business Area - Partner Business Area
© SAP AG 1999
Identifying the group-internal posting procedures between affiliated enterprises is an important way of
preparing data in individual financial statements.
SAP stores the “Sender-Receiver” relationship at the document level in Financial Accounting. The
balances are handled in consolidation with the additional account assignment trading partner.
The relevant trading partner number is stored in the customer/vendor master record.
To allow entries in the “Trading partner” field, this field has to be set to “Optional entry” in the
appropriate account group of the master data (“General data, control” field status group).
When postings are made to this account, the company number is copied to the line item, and can be used
in consolidation for elimination of IU payables and receivables, as well as in revenue and expense
elimination.
The trading partner can also be stored in the G/L account. During posting, it is then copied to the line
item, enabling the elimination functions to be carried out in consolidation.
Alternatively, the trading partner can also be set manually in the document.
For business area consolidation, you also need a reference in FI to the trading partner business area with
which you have a business relationship.
The business area is usually derived from the MM/SD transactions.
To allow the trading partner business areas to be entered for G/L account postings, as well as for
transactions in FI-AP/-AR, the “Trading partner business area” field in the field status group of the FI
reconciliation account must be set to optional entry.
(C) SAP AG
AC205 9-9
Additional Account Assignment: Business Area
MM
Materials
Plant
Material
Valuation
Area
Division
SD Sales and Delivery
Sales
Organization
PS Projects
Project
Cost Center
Distribution
Channel
FIFI-AA Fixed Assets
Business Area
Order
Fixed Asset
Investment
Measure
CO - Controlling
© SAP AG 1999
In many areas of the SAP System, master data is assigned to business areas. In most cases, this allows
you to derive the business areas and the trading partner business areas automatically.
In most business transactions, the business area is derived when the data is posted.
If the additional account assignment is not unique, however, the business area is adjusted at the end of
the period.
Partner-specific information from the combination of company/business area forms the basis for
integrated business area consolidation.
The posting lines of the accounting business transactions are provided with a trading partner business
area assignment, enabling revenue and expense elimination to be carried out in the Consolidation
system. In the MM component, the relationships between purchase and sales orders are also tracked.
(C) SAP AG
AC205 9-10
Assignments: Asset Master Record
FIFI-AA
Fixed Asset
1
CO
Date-Sensitive Data
Business
Area
Cost Center
4000
C100C4311M
Order
Depreciation Area
Cost Center
C100C4311M
• Company Code
• Business Area 4000
• Profit Center
C100
4000
C4311
Order
##########
• Company Code
• Business Area 4000
• Profit Center
C100
4000
C4311
Trade Law
...
Costing
© SAP AG 1999
Example of how the business area is derived:
If business area balance sheets are activated in FI, the business area field in the master records for fixed
assets automatically becomes a required entry field, regardless of the update control setting of the screen
layout control for the asset class.
The costs of procurement, goods manufactured, and the depreciation are posted to the business area.
For cost accounting purposes, a fixed asset can either be assigned to a cost center or to an order.
Both CO objects are assigned to a company code, a business area, and a profit center when business area
balance sheets or profit center accounting are activated.
When procurement and manufacturing costs are posted to the fixed asset, the business area and the profit
center are then derived from the cost center or the order. The periodic depreciations are also posted to
the business area or the profit center.
(C) SAP AG
AC205 9-11
Consolidation With Different Releases
EC-CS 4.X
R/3
System 3.X
FI, CO, PCA
R/3
System 4.X
Non-SAP
system
FI, CO, PCA,
EC-CS
Transfer using: ALE, Rollup Extract, Flexible Upload, MS Access
© SAP AG 1999
The EC-CS component provides powerful functionality in both homogenous and heterogeneous system
environments.
The component copes easily with non-standardized key systems (organizational units, charts of accounts,
products, and so on), financial applications, and hardware environments.
The group companies who do not use the Consolidation system for financial accounting are mapped as
companies in FI.
In EC-CS, consolidation units are generated automatically from these FI companies.
This means that data from company codes to which a company has been assigned can be transferred to
the appropriate integrated consolidation unit.
If the transaction applications and the Consolidation system are all in the same client of the same system,
data can be transferred to the Consolidation system online (in realtime).
It is also possible to transfer data from SAP systems by means of periodic extracts and rollups.
Data from non-SAP systems can be imported using special data entry forms, flexible uploads, and
Microsoft Access.
(C) SAP AG
AC205 9-12
Defining Data Transfer
ECCS
Group:
Fiscal Year Variant:
Active Consolidation Types
Check
FI
Company Code/
Business Area
Combination
Company
Realtime update
Rollup
Periodic extract
Business Area
Realtime update
Rollup
Periodic extract
Profit Center
Consolidation System
EC-CS
FI-LC
RF-KONS
Data Streams
Chart of accts
Version
Active
© SAP AG 1999
To define data transfer, specify the group to which the companies of this SAP System report. Then
define the fiscal year variant used in Consolidation. Also specify the Consolidation system, the
consolidation types that are active for integration, and the data transfer methods to be used for each of
these consolidation types. You will need to make these settings in every client of every system.
The system reads the consolidation chart of accounts and the corresponding transaction charts of
accounts for every data stream. On the basis of this information, it determines the appropriate item in the
consolidation chart of accounts for each transaction account.
The system checks the following before the settings can be saved:
Whether active data streams exist (at least one data stream must be defined and flagged as active for
each data stream)
The assignment of group accounts to G/L accounts (does not apply to periodic extract method)
Whether a default subitem and sender field have been defined in the master record of the subitem
categories used.
Business area consolidation:
If some company codes post to different business areas, you can specify here that a check should be run
in the Accounting system to see if a business area defined in the document is valid for the company code
in question. When the system runs this check, it uses the permissible combinations of company code and
business area that you defined in Customizing.
(C) SAP AG
AC205 9-13
Realtime Updates
SD
FI
FI Document
MM
Realtime
FI
Transaction Figures
FI
Documents
Alternatives
ECCS
US Ledger
Totals
Records
Journal
Entries
© SAP AG 1999
If you use the realtime update method, every accounting transaction that affects the general ledger is
updated at the same time in FI and in the totals records of the consolidation ledger.
When the data is transferred, the system determines how each data record should be updated in the
Consolidation system. It does this by looking at the definition and configuration of the data streams.
Example - the system derives the appropriate ledger(s) from the master data defined for a consolidation
group.
The fiscal year variant is derived for each ledger from the master data defined for the consolidation
groups.
A document is only written to a ledger if the ledger is assigned to all the consolidation units involved
and all have the same fiscal year variant.
You can specify in the ledger whether you want to keep journal entry records in the journal entry table in
addition to totals records.
(C) SAP AG
AC205 9-14
Periodic Extract
SD
FI Document
MM
Financial Statement
Version:
FI
“GROUP”
Online
Periodically
Ledger
09
Transaction
Figures
ECCS
Documents
Totals
Records
Generate Financial
Statement
Business Area
Consolidation
Staging
Ledger
Import data extract for each
• Dimension
• Consolidation chart of accounts
• Version
• Consolidation type
Extract
Consolidation
Business Area
Extract at the level of
© SAP AG 1999
• Company
• Consolidation business area
The accounting transactions that affect the general ledger are updated in the transaction figures table and
in the totals records of the consolidation staging ledger (09) at the same time in the sender system.
Data is extracted from the consolidation staging ledger at regular intervals. The EC-CS component
contains a program for uploading, converting and updating the extract.
Data is transferred from a file.
Ideally, the ledger currency of ledger 09 should be the same in the sender and receiver systems. The
sender system only sends consolidation values to the receiver system, not ledger currency details.
However if the currencies in the sender and receiver systems are different, you will have to execute the
currency translation task in the data monitor (receiver system).
(C) SAP AG
AC205 9-15
Financial Statement Version for Consolidation
List of financial statement versions
FS version
XXXX
version description
corporate balance sheet
Maint.language
Group account no.
Chart of accounts
D
¨
XXXX
Definition of the statement layout
Statement layout
XXXX
Corp. balance sheet
Hierarchy level 1
0010000000
0020000000
0030000000
0040000000
Level forward
ASSETS
LIABILITIES AND EQUITY
Profit and Loss
Accounts not assigned
Text
Acct.
© SAP AG 1999
In order to transfer data via periodic extract from Financial Accounting into Consolidation, it is
necessary to use a financial statement version whose financial statement items correspond to the
consolidation items (e.g., assets: 0010000000).
In the financial statement version, define numeric item numbers using leading zeroes.
Number assignments are made manually.
The SAP standard delivery system includes a financial statement version for the group (INT) which
corresponds to the example above.
The corporate parent determines the FS chart of accounts; this is maintained in Customizing.
(C) SAP AG
AC205 9-16
Rollups
ECCS
FI
Transfer on the
basis of rules
US Ledger
Characteristics
CU
Item ...
abc
Sender Table
Example: Summary table
with functional area
CU:
GC:
xyz
Key fig.
GC
####
Receiver Table
EC-CS Totals Records
Consolidation Unit
Value in Group Currency
© SAP AG 1999
In the standard SAP System, a rollup is a tool for transferring data records from a sender table to a
receiver table.
Generally speaking, the sender and receiver tables are structured differently. This means that rules
specifying how the individual fields are to be transferred have to be defined.
The standard system already contains rules for transferring data to EC-CS. This means that a rollup is a
user-friendly option for transferring data, particularly from Profit Center Accounting.
(C) SAP AG
AC205 9-17
Closing Checklists: Topic Objectives
List closing steps
© SAP AG 1999
(C) SAP AG
AC205 9-18
Month-End Checklist
MONTH-END CLOSING ACTIVITIES
PRE-CLOSE
AREA
PATH
TASK
MONTH
Payroll Posting
Old
MM
#12-13 Maintain GR/IR Clearing
Account
Old
GL
#44-45 Accruals/Deferrals
Old
HR
#57
FI
#46
SD
--
FI
AA
Old
Goods Issues/Invoices
Old
#63
Open New Period
Old
#5
- Depreciation Calculation
New
Settle assets under
construction (AUCs) to
assets in service
New
As required
48
MM
#17
Verify that all postings for
the period have been
generated
- AUC Settlement
#14-15 Material Revaluations
MM
Continuous
Recurring Entries
- Interest
MM
NOTES
Material Ledger Close
New
#18-19 Material Master Close
New
If set to allow prior period
posting, can perform prior to
period end
AR/AP
#63
Close Old Period
New
After primary postings
complete
FI
#63
Preliminary Close Old Period
New
After primary postings
complete
(C) SAP AG
AC205 9-19
MONTH-END CLOSING ACTIVITIES
MANAGERIAL CLOSING
AREA
PATH
FI/CO
--
CO
#51
TASK
MONTH
Preliminary Reporting
New
Cost Centers:
New
NOTES
- Imputed Costs
- Distributions & Assessments
- Indirect Activity Allocations
- Calculate Actual Activity
Prices and Update
Allocations
CO
#47,
50
Internal Orders
New
- Overhead Surcharges
For external settlement to
AA or FI, re-open
appropriate G/L accounts
- Settlement
CO/PP
#49
Production Orders
Can settle multiple times in a
period
New
- Overhead Surcharges
After cost center and internal
order allocations as required
Re-open appropriate G/L
accounts for settlement
- WIP Calculation
- Variance Calculation
- Settlement
CO
#52
Profitability Analysis
New
- Cost Center Assessments
- Activity-Based Costing
Allocations
CO
(C) SAP AG
#53
Lock Controlling Transactions
AC205 10-20
New
May lock each trans. type as
completed or entire period
MONTH-END CLOSING ACTIVITIES
FINANCIAL CLOSING
AREA
PATH
FI
FI/CO
#63
TASK
MONTH
Re-open Period for
Adjustments
New
#54-55 Post CO Reconciling Entries to New
FI
FI
#39
Foreign Currency Open Item
Revaluation
New
GL
#43
Revalue Balance Sheet
Accounts in Foreign Currency
New
FI/ PCA
#67-70 Business Area/Profit Center
Adjustment
New
FI/ COPA
#71
Profitability Segment
Adjustment
New
FI
#63
Final Close
New
Final Reporting:
New
FI/CO
#72
- Compact Document
Journal
#2-4
- Financial Statements
#82
- Taxes on Sales/Purchases
-FI
- Management Reporting
#74-75 Balance Audit Trail
FI/ECCS
(C) SAP AG
#84
Send Data to Consolidation
(Periodic Extract)
AC205 10-21
New
New
NOTES
Cross-company-code, crossbusiness-area, and crossfunctional-area flows within
CO are posted to FI
Year-End Checklist
YEAR-END CLOSING ACTIVITIES
PRE-CLOSE
AREA
PATH
TASK
YEAR
NOTES
FI
#63
Open New Fiscal Year
Old
MM
#26
Physical Inventory Count
Old
Year-End or As required
CO/PP
#16
Material Revaluation from
New Product Cost
Estimates
Old
Year-End or As required
AR/AP
#2930
Balance Confirmations
Old
AA
#8
Fiscal Year Change
Old
FI
#64
Balance Carry Forward
Old
MM
#2025
Inventory Revaluations Lowest Cost Determination,
LIFO, FIFO
New
After MM postings
completed for fiscal year
AA
--
- Revaluations
New
After AA postings
completed for fiscal year
After AA Fiscal Year
Change and depreciation
postings completed
- Investment Subsidies
AA
AR/AP
(C) SAP AG
#9-10
Year-End Closing
New
#63
Close Fiscal Year
New
AC205 10-22
Cannot perform prior to
final accounting period of
old year
YEAR-END CLOSING ACTIVITIES
FINANCIAL CLOSING
AREA
PATH
TASK
YEAR
FI
#27
Analyze GR/IR Postings
New
FI
#41
Regroup Receivables/
Payables
New
FI
--
General Adjustments
New
FI
#63
Final Close Fiscal Year
New
GL
--
Balance Lists - Old Fiscal
Year to New Fiscal Year
New
FI/CO/
Final Reporting:
New
AA
Same as monthly plus:
- Account Balances
(Year End)
#11
FI
#76-79
(C) SAP AG
- Asset History Sheet
Accumulated Balance Audit
Trail
AC205 10-23
New
NOTES
Reconcile carry forward
balances w/prior year final
balances
Closing Menu Paths: Topic Objectives
Identify processing and configuration menu paths for
closing
© SAP AG 1999
(C) SAP AG
AC205 10-24
Menu Paths
Activity
Menu Path
Trans
Ch. 3 – The Financial Statement
1. Maintain Financial Statement
Versions
IMG → Financial Accounting →
General Ledger Accounting →
Business Transactions → Closing →
Documenting → Define Financial
Statement Versions
Information Systems → Accounting
→ Financial Accounting → General
ledger → Information System→
Balance Sheet
2. Execute a Balance Sheet
(RFBILA00)
OB58
F.01
or
Accounting → Financial accounting
→ General ledger → Information
system → General LedgerReports →
Balance Sheet/Profit and Loss
Statement/Cash Flow → General →
Actual/Actual Comparisons →
Balance Sheet/P+L
3. Execute a Balance Sheet Drill
Down Report
4. Execute a Cost-of-Sales Profti and
Loss Report
Accounting → Financial accounting
→ General ledger → Information
system → General LedgerReports →
Balance Sheet/Profit and Loss
Statement/Cash Flow → General
→….
Accounting → Financial accounting
→ Special Purpose Ledger → Tools
→ Report Painter → Report →
Display → Library 0F1, Report 0FGUV1 → Display → Execute
S_ALR_
87012284
Various
GRR3
Ch. 4 – Assets and Liabilities
5. Process Depreciation Run
6. Process Investment Grant
(C) SAP AG
AC205 10-25
Accounting → Financial accounting
→ Fixed assets → Periodic
processing → Depreciation run →
Execute
Accounting → Financial accounting
AFAB
AR11
→ Fixed assets → Periodic
processing → Investment grant
(C) SAP AG
AC205 10-26
Activity
7. Process Revaluation
8. AA Fiscal Year Change
9. AA Fiscal Year Close – Account
Reconciliation
10. AA Fiscal Year Close
11. Produce Asset History Sheet
Menu Path
Accounting → Financial accounting
→ Fixed assets → Periodic
processing → Revaluation for the
balance sheet → Post revaluation
Accounting → Financial accounting
→ Fixed assets → Periodic
processing → Fiscal year change
Accounting → Financial accounting
→ Fixed assets → Periodic
processing → Year-end closing →
Account reconciliation
Accounting → Financial accounting
→ Fixed assets → Periodic
processing → Year-end closing →
Execute
Accounting → Financial accounting
→ Fixed assets → Info system →
Reports on Asset Accounting →
Balance Sheet Explanations →
International → Asset History Sheet
Trans
AR29
AJRW
ABST2
AJAB
S_ALR_
87011990
or
Accounting → Financial accounting
→ Fixed assets → Info system →
Reports on Asset Accounting →
Balance Sheet Explanations →
Country Specifics →…
12. Produce GR/IR Balance Report
13. Maintain GR/IR Clearing Account
14. Material Revaluations – Price
Changes (manual)
(C) SAP AG
AC205 10-27
Logistics → Materials Management →
Inventory Management → Environment
→ Balances Display → List of GR/IR
Bals.
Logistics → Materials Management →
Invoice Verification → Invoice
Verification → Further processing →
Maintain GR/IR acct
Logistics → Materials Management →
Valuation → Valuation → Price
Determination → Change price
Various
MB5S
MR11
MR21
Activity
15. Material Revaluations – Debit/Credit
Material
16. Product Costing Material Price
Change
17. Material Ledger Closing
18. Materials Management Closing
19. Materials Management Closing –
Control Posting to Prior Period
20. Lowest Value Determination –
Market Prices
21. Lowest Value Determination –
Range of Coverage
22. Lowest Value Determination –
Movement Rate
23. Lowest Value Determination –
Loss-Free Valuation
24. LIFO Valuation
(C) SAP AG
AC205 10-28
Menu Path
Logistics → Materials Management →
Valuation → Valuation → Price
Determination → Debit/cred. material
Accounting → Controlling →
Product Cost Controlling → Product
Cost Planning → Material Costing
→ Price Update
Logistics → Materials Management
→ Valuation → Actual
Costing/Material Ledger → Periodic
material valuation → Post closing
Logistics → Materials Management →
Material Master → Other → Close
period
Logistics → Materials Management →
Material Master → Other → Allow
posting to previous period
Logistics → Materials Management
→ Valuation → Valuation → Bal.
sheet valuation → Determ. lowest
values → Market prices
Logistics → Materials Management
→ Valuation → Valuation → Bal.
sheet valuation → Determ. lowest
values → Range of coverage
Logistics → Materials Management
→ Valuation → Valuation → Bal.
sheet valuation → Determ. lowest
values → Movement rate
Logistics → Materials Management
→ Valuation → Valuation → Bal.
sheet valuation → Determ. lowest
values → Loss-free valuation
Logistics → Materials Management
→ Valuation → Valuation → Bal.
sheet valuation → LIFO Valuation
→…
Trans
MR22
CK24
CKMI
MMPV
MMRV
MRN0
MRN1
MRN2
MRN3
Various
Activity
25. FIFO Valuation
26. Physical Inventory Processing
27. Analyze GR/IR Clearing Accounts
and Display Acquisition Tax
28. Define Adjustment Accounts for
GR/IR Clearing
29. Print Balance Confirmation
Menu Path
Logistics → Materials Management
→ Valuation → Valuation → Bal.
sheet valuation → FIFO Valuation
→…
Logistics → Materials Management
→ Physical Inventory →…
Accounting → Financial accounting
→ General ledger → Periodic
processing → Closing → Regroup →
GR/IR clearing
IMG → Financial Accounting →
General Ledger Accounting →
Business Transactions → Closing →
Regrouping → Define Adjustment
Accounts for GR/IR Clearing
Accounting → Financial accounting
→ A/P or A/R → Periodic processing
→ Closing → Check/count →
Balance confirmation: Print
Trans
Various
Various
F.19
OBYP
F.17
or
Accounting → Financial accounting
→ A/P or A/R → Periodic processing
→ Print correspondence → Balance
confirmation → Print letters
30. Configure Balance Confirmation
Accounting → Financial accounting
→ A/P or A/R → Periodic processing
→ Closing → Check/count →…
or
Accounting → Financial accounting
→ A/P or A/R → Periodic processing
→ Print correspondence → Balance
confirmation →…
(C) SAP AG
AC205 10-29
F.1B,
F.1A
Activity
31. Post Individual Value Adjustment
32. Define Account Determination for
Flat-Rate Individual Value
Adjustment
33. Configure Flat-Rate Individual
Value Adjustment
34. Calculate Flat-Rate Individual
Value Adjustment
35. Writing-Off Doubtful Receivables
36. Customizing Exchange Rates
37. Maintaining Exchange Rates
38. Customizing Valuation Methods
39. Foreign Currency Open Item
Valuation
(C) SAP AG
AC205 10-30
Menu Path
Accounting → Financial accounting
→ Accounts receivable → Document
entry → Other → Intern. trans.
psting → Without clearing
IMG → Financial Accounting →
Accounts Receivable and Accounts
Payable → Business Transactions →
Closing → Valuate → Valuations →
Define Accounts
IMG → Financial Accounting →
Accounts Receivable and Accounts
Payable → Business Transactions →
Closing → Valuate → Valuations
→…
Accounting → Financial accounting
→ Accounts receivable → Periodic
processing → Closing → Valuate →
Further valuations
Accounting → Financial accounting
→ Accounts receivable → Document
entry → Other → Intern. trans.
psting → With clearing
IMG → General Settings →
Currencies →..
Accounting → Financial accounting
→ General ledger → Environment
→ Current settings → Enter
exchange rates
IMG → Financial Accounting →
General Ledger Accounting →
Business Transactions → Closing →
Valuating → Foreign Currency
Valuation → Define Valuation
Methods
Accounting → Financial accounting
→ General ledger → Periodic
processing → Closing>>Valuate →
Valuation of Open Items in Foreign
Currency
Trans
F-21
OBB0
SPRO
F107
F-30
Various
OB08
OB59
F.05
Activity
Menu Path
IMG → Financial Accounting →
General Ledger Accounting →
Business Transactions → Closing →
Valuating → Foreign Currency
Valuation → Prepare automatic
postings for foreign currency
valuation
40. Account Determination for
Exchange Rate Differences
41. Regroup Receivables and Payables
Accounting → Financial accounting
→ A/P or A/R → Periodic processing
→ Closing → Regroup →
Receivables/ Payables
IMG → Financial Accounting →
Accounts Receivable and Accounts
Payable → Business Transactions →
Closing → Regrouping →…
42. Account Determination for
Regrouping Receivables and
Payables
Accounting → Financial accounting
→ General ledger → Periodic
processing → Closing → Valuate →
Foreign Currency Valuation of
Inventory
43. Revalue Foreign Currency G/L
Account Balances
Accounting → Financial accounting
→ General ledger → Periodic
processing → Closing → Valuate →
Enter Accrual/Deferral Doc.
44. Posting Accruals/Deferrals
45. Posting Accrual/Deferral Reversal
46. Generate Recurring Entry Posting
Accounting → Financial accounting
→ General ledger → Periodic
processing → Closing → Valuate →
Reverse Accrual/Deferral Document
Accounting → Financial accounting
→ General ledger → Periodic
processing → Recurring Entries →
Execute
Trans
OBA1
F101
OBBV,
OBBW,
OBBX
F.06
FBS1
F.81
F.14
Ch. 5 – Profit and Loss
47. Capital Investment Projects –
Settle Order to AUC
48. Capital Investment Projects –
Settle AUC to asset in service
(C) SAP AG
AC205 10-31
Accounting → Investment
management → Internal orders →
Period-end closing → Single
functions → Settlement →…
Accounting → Investment
management → Fixed assets →
Various
AIBU
Postings → Cap. asset u. const. →
Settle
(C) SAP AG
AC205 10-32
Activity
49. PP/CO Period-End Closing
Menu Path
Logistics → Production →
Production Control → Period-end
closing →…
Trans
Various
or
Accounting → Controlling →
Product Cost Controlling → Cost
Object Controlling → Product Cost
by Order → Period-End Closing →
Single Functions →…
50. Internal Order Period-End Closing
51. Cost Center Accounting PeriodEnd Closing
52. Profitability Analysis Period-End
Closing
53. Lock Controlling Transactions
54. Reconciliation Ledger
55. Reconciliation Ledger Follow Up
Postings
56. Reconciliation Ledger
Configuration
57. Post payroll information to
accounting
(C) SAP AG
AC205 10-33
Accounting → Controlling →
Internal Orders → Period-end
closing → Single functions →…
Accounting → Controlling → Cost
Center Accounting → Period-end
closing → Single functions →…
Accounting → Controlling →
Profitability Analysis → Actual
Postings → Cost Center
Costs/Process Costs →…
Accounting → Controlling → Cost
Center Accounting → Environment
→ Period lock → Change
Accounting → Controlling → Cost
Element Accounting → Actual
postings → Reconciliation withFI
Accounting → Controlling → Cost
Element Accounting →
Environment → Reconciliation
ledger → Follow up posting
IMG → Controlling → Overhead
Cost Controlling → Cost and
Revenue Element Accounting →
Reconciliation Ledger
Human Resources → Payroll →
(Country-specific)
Various
Various
KEU5,
KEG5,
CPAE
OKP1
KALC
KAL1
Various
PC00_
M99_
CIPE
Activity
58. Configure Payroll for posting to
accounting
Menu Path
IMG → Payroll → Payroll:
(country-specific)
Trans
Various
Ch. 6 – Customizing Technical, Organizational and Documentary
Steps
59. Define fiscal year variants
60. Allocate fiscal year variant to a
company code
61. Define Variants for Open Posting
Periods
62. Allocate Posting Period Variant to
Company Code
63. Open and Close Posting Periods
64. Carry Forward Balance to New
Fiscal Year
65. Define Retained Earning account
66. Schedule Manager
(C) SAP AG
AC205 10-34
IMG → Financial Accounting →
Financial Accounting Global
Settings → Fiscal Year → Maintain
Fiscal Year Variant (Maintain
Shortened Fisc. Year)
IMG → Financial Accounting →
Financial Accounting Global
Settings → Fiscal Year → Assign
Company Code to a Fiscal Year
Variant
IMG → Financial Accounting →
Financial Accounting Global
Settings → Document → Posting
Periods → Define Variants for Open
Posting Periods
IMG → Financial Accounting →
Financial Accounting Global
Settings → Document → Posting
Periods → Assign Variants to
Company Code
Accounting → Financial accounting
→ General ledger → Environment
→ Current settings → Open and
Close Posting Periods
Accounting → Financial accounting
→ General ledger → Periodic
processing → Closing → Carry
Forward → Balances
IMG → Financial Accounting →
General Ledger Accounting →
Business Transactions → Closing →
Carrying Forward → Define
Retained Rarnings Account
Accounting → Financial accounting
→ General ledger → Periodic
OB29
OB37
OBBO
OBBP
OB52
F.16
OB53
SCMA
processing → Schedule Manager
(C) SAP AG
AC205 10-35
Activity
67. Subsequent Business Area/Profit
Center Adjustment – Calculate
68. Subsequent Business Area/Profit
Center Adjustment – Post
69. Transfer B/S Items to Profit Center
Accounting
70. PCA Balance Carried Forward
71. Profit and Loss Adjustment
72. Run Compact Document Journal
(RFBELJ00)
73. Create Balance Audit Work Files
74. Run Monthly Balance Audit Trail
for Open Item Accounts
(RFKKBU00)
(C) SAP AG
AC205 10-36
Menu Path
Accounting → Financial accounting
→ General ledger → Periodic
processing → Closing → Regroup →
Balance Sheet Readjustment →
Calculate
Accounting → Financial accounting
→ General ledger → Periodic
processing → Closing → Regroup →
Balance Sheet Readjustment → Post
Accounting → Enterprise
Controlling → Profit Center
Accounting → Actual Postings →
Period-End Closing → Transfer
Payables/Receivables
Accounting → Enterprise
Controlling → Profit Center
Accounting → Actual Postings →
Period-End Closing → Carrying
Forward of Balances
Accounting → Financial accounting
→ General ledger → Periodic
processing → Closing → Regroup →
Profit and Loss Adjustment
Accounting → Financial accounting
→ General ledger → Information
system → General Ledger Reports →
Document → General → Compact
Document Journal
IMG → Financial Accounting →
General Ledger Accounting →
Business Transactions → Closing →
Documenting → Define
Accumulated Work Files for
Balance Audit Trail
Accounting → Financial accounting
→ General ledger → Periodic
processing → Closing → Document
→ Balance audit trail → Open item
accounts → Open Item Account
Balance Audit Trail from the
Trans
F.5D
F.5E
1KEK
2KES
F.50
S_ALR_
87012289
OBBQ
S_ALR_
87012317
Document File
(C) SAP AG
AC205 10-37
Activity
75. Run Monthly Balance Audit Trail
for Other Accounts
(RFHABU00)
76. Create Extract for Accumulated
Open Item Balance Audit Trail
(RFKKET00)
77. Run Accumulated Open Item
Balance Audit Trail
(RFKKBU10)
78. Create Extract for Accumulated
Balance Audit Trail for Other
Accounts
(RFKLET00)
79. Run Accumulated Balance Audit
Trail for Other Accounts
(RFKLBU10)
Menu Path
Accounting → Financial accounting
→ General ledger → Periodic
processing → Closing → Document
→ Balance audit trail → All
accounts → General Ledger from
the Document File
Accounting → Financial accounting
→ General ledger → Periodic
processing → Closing → Document
→ Balance audit trail → Open item
accounts → From balance audit trail
→ Extract for Accumulated Open
Item Audit Trail
Accounting → Financial accounting
→ General ledger → Periodic
processing → Closing → Document
→ Balance audit trail → Open item
accounts → From balance audit trail
→ Accts Detailed Listing from Open
Item Account Accumulated Audit
Trail
Accounting → Financial accounting
→ General ledger → Periodic
processing → Closing → Document
→ Balance audit trail → All
accounts → From balance audit trail
→ Extract for the Accumulated
Historical Balance Audit Trail
Accounting → Financial accounting
→ General ledger → Periodic
processing → Closing → Document
→ Balance audit trail → All
accounts → From balance audit trail
→ Account Details from Historical
Accumulated Balance Audit Trail
Trans
S_ALR_
87012312
S_ALR_
87012318
S_ALR_
87012319
S_ALR_
87012314
S_ALR_
87012315
Appendices – General Functions
80. Account Determination for Taxes
(C) SAP AG
AC205 10-38
IMG → Financial Accounting →
Financial Accounting Global
Settings → Tax on Sales/Purchases
→ Posting → Define Tax Accounts
OB40
Activity
81. Other Tax Configuration
82. Tax Reporting
83. Choose Extract Method for
Consolidation
84. Send Data to Consolidation
(Periodic Extract)
Menu Path
IMG → Financial Accounting →
Financial Accounting Global
Settings → Tax on Sales/Purchases
→…
Accounting → Financial accounting
→ General ledger → Reporting →
Tax reports →…)
IMG → Enterprise Controlling →
Consolidation → Integration:
Preparation for Consolidation →
Preparation in the Sender System →
Preparations Related to All
Consolidation Types → Define data
transfer
Accounting → Financial accounting
→ General ledger → Periodic
processing → Closing → Report →
Send data to consolidation
Trans
Various
Various
OCCI
GC44
or
Information Systems → Accounting
→ Financial Accounting → General
ledger → Information System→
Balance Sheet
(C) SAP AG
AC205 10-39
F.01
Appendix Exercises
Unit: Appendix
Topic: Preparation for Consolidation
At the conclusion of this exercise, you will be able to:
• List methods to transfer data from FI to consolidations
• Locate customizing for preparation for consolidation
Your enterprise will use the R/3 Consolidation function to
prepare consolidated financial statements. You need to determine
the customization that supports transfer of data from FI to
consolidations.
1-1
What data transfer methods for consolidation preparation exist within the R/3 System,
and which one is utilized by the financial statement program, RFBILA00?
1-2
Locate customizing in the IMG for consolidation the preparation for consolidation that
uses the 'periodic extract method'.
(C) SAP AG
AC205 10-40
Appendix Solutions
Unit: Appendix
Topic: Preparation for Consolidation
1-1
What data transfer methods for consolidation preparation exist within the R/3 System,
and which one is utilized by the financial statement program, RFBILA00?
R/3 offers Realtime Update, Rollup and Periodic Extract data transfer methods.
Peridodic extract is the data transfer method that is utilized by RFBILA00.
1-2
Locate customizing in the IMG for consolidation the preparation for consolidation that
uses the 'periodic extract method'.
Menu path to configure periodic extract method:
Tools → AcceleratedSAP → Customizing → Edit Project → Goto →SAP Reference
IMG → Financial Accounting → Preparation for Consolidation → General
Specifications → Scope of Consolidation and Data Transfer → Periodic Extract
from the Consolidation Staging Ledger → Set up periodic extract
(C) SAP AG
AC205 10-41