This lesson introduce the keytool required for creating financial statements and profit and loss statement.
People who interested in financial statements are :
- Internal audit : Versi Financial statement IN01
- External Audit : Versi Financial statement EX01
- external auditor : Versi Financial Statement AU01
The financial statement version enables you to configure the report format. You determine the following :
- Which items are to be included annd the sequence and hierarchy of these items
- The text describing the items
- The chart of account and the individual account relevant to the report
- The totals to be displayed
You define the financial statements version in two steps :
- Enter it in the directory of financial statement version
- Define hierarchy levels and assigns account
Each versions must have the following “special items”
- Profit and Loss result
- Account not assigned
- Notes to financial statement
The net profit or net loss is only determined from account that are assigned to asset and lialibilities items. a financial statement versions consist of a maximum of 20 hierarchy levels.
- Assigns items to each level. The system calculates a total/subtotal for each items, which is then displayed when the program run.
- Assigns text to each item
- Assigns the accounts whose balance and account name are to be listed to the lowest level
This lesson explain about integrated process of both month-end and year-end closing.
Pre Closing activities that begin in the old month include :
- Technical : Open new accounting period (FI)
- FI : Enter accrueal / deferral, process recurring entries and bad debt expense in AR, post depreciation and interest expense in asset accounting
- Technical : Close sub ledger (FI) preliminary close of G/L
Closing activities for external purposes include :
- Foreign currency valuations and financial statement adjustments
- Final closing of the old period
- Creating external and internal reports
Year end closing process, are performed in addition to the regular month-end closing process for the final period of the fiscal year.
Pre-closing activities that begin in the old month include :
- Technical : Open the first accounting period of the new fiscal year
- Balance Confirmation for customer / vendor
- Fiscal year change and balance carry forward
Closing activities for external purposes :
- GR/IR clearing account analysis, receivables and payables reclassification, reconciliation of prior year to new year and other adjustment postings
- Final Closing of the old period
- Creating external and internal reports
This lesson explains about :
- The flow data in locbox process
- The component of the process
- The configuration of lockbox program
a Lockbox is a service that bank provide to facilitate the orderly collection and processing of incoming payment.
Instead of sending their payments to your office, customer mails their payments and payment advice notes directly to a central bank location, usually a post office box.
Bank receives the payment and create a data file from the payment advice information and payment amounts. the check are then credited to your bank account.
The lockbox file contains the following information :
- Customer Name
- Customer Number
- Customer Mirc Number
- Check amount
- Invoice Number
The advantage of using lockbox :
- Reducing processing time in your accounting department
- Increasing cash flow
- Cutting processing customer
Customer send their checks and payment advice notes to your lockbo. The lockbox files are transmitted using various methods such as tapes, diskette and direct dial and download.
I. Check Management
This chapter explain about :
- The document involving in check processing
- Create Check Manually
- View check information
- Void Check
- Use Void Check Reason code
There are 3 document involved in payment process :
- Vendor Invoices : it can be entered directly into account payable or generated through the PO cycle
- Payment Documents : Record The payment of the invoice and clear the open invoice
- Check : Preprinted checks, check number is generated by SAP system
Workflow in one sentence : ” succesful workflow management means providing employees with the right tasks and respective information at the right time”
in The SAP business workflow, The four Dimensions :
- Organisational structure (Who)
- Process structure (when, what order)
- Function (what)
- Information (With which data)
are combined to allow business process to be carried out as efficiently as possible.
the process to be displayed as workflow is stored in the system in parameters using a graphic definition tools.
The SAP business workflow :
- is a tool for automation of business process in SAP system and between systems
- is not tied to a particular application and can be adapted to customer requirement
- Works the same way in all applications
- coordinates all integrated tasks
- Support the user actively
- Supports process of your company within SAP systems. it also supports te communication between business processes operated on different system
- Provides the end user with all infomation required to perform the next step
Document Types and Number Ranges
- a business transaction can create one or more document
- Document in SAP include document header and 2 – 999 line items
- a Document remains a complete unit in the R/3 system until archieved
- SAP records at least one document for every business transaction and each document receives a unique document number
- every document, uniquely identified by following field :
- Company Code
- Document Number
- Fiscal Year
- Two important control keys for document are :
- Document Type (for doc header)
- Posting Keys (for line items)
- Document type controls the document header and is used to classify the business transaction
- Most Important control functions of document type are :
- Number Range for Document Numbers
- Account types permitted for postings
- Document Type defined at client level and valid for all company code. it controls the following :
- Which account to be posted
- Number Range
- Field status for document header text and reference
- Whether invoices are posted with net procedure
- if no reversal document type is specified, the reversal document has the same document type as original document
- You specify a number range for each document type. However you can copy the intervals of document number ranges from one company code t another or copy intervals from one fiscal year to another
- Document number can be internal or eksternal
- The internal range can be year specific or year independent
- external number range maybe alphanumneric
There are two different ways of saving document (without performing “proper” financial accounting posting) :
- Holding Document
- Parking Document
Hold Document: It is for short term and is used when tranaction Dr or Cr is uncertained and generally its is used for external purpose. eg: Advance from potential customer
Parking Document: Its is for longer period generally used for internal purpose. eg: Advance made for employes.
Parking documents is used when we need to get any clarification regarding some account
With hold document, data which has been entered can be saved temporarily in order to continue the entries at a later time. Document held by the system do not have tobe complete. No Account balances are updated and the data of the document is not available for evaluation. No document number is assigned.
Holding Document :
- No Document number assignment
- Free Assignment of the designation
- No Update of the transaction figures
- Not Taken into account for evaluation
Held document can be completed and posted or deleted at a point of time.
There are several reasons you might want to park a document:
- Some organizations use this as a security/separation of duties control: an accountant might create the entry and park it, does not have authorization to post, so a manager reviews the entry and posts it later
- The entry may be long and you are interrupted and need to come back to it later. Better to park an entry and come back to it than to leave it sitting open on your desktop
- You may build up a entry throughout the month, entering the pieces as you go along and parking it at month-end. I wouldn’t recommend this, but it is done.
you can enter incomplete document in the SAP document in the SAP system without having to check the entries extensively by parking document.
When parking document, the system assign a document number via the document type in the same way as with “normal” financial accounting posting.
Parking Document :
- Transaction Figures are not updated
- Document Number are assigned (internal number assignment) or the assignment is checked (external number assignment) depending on the document type and number area
- Some document can be included in evaluation / reports
substitution are not supported by the document parking feature. substitution can only be made with posting transaction after turning parked document into accounting documents.
The park document function are more effective than hold document function. additional park document function :
- Displaying authorization, approval
- principle of dual control
- acceleration of work procedure
1. If the company code intend to use cross company code controlling, they must use same chart of account (true)
2. a Plant can be assigned to more than one company code (false). a plant can be assigned to only one company code
3. The costumer / vendor account can be maintained centrally or decentrally
4. A complete vendor account consist of following parts :
- Purchasing Organisation segment
- General Data
- Company Code Segment
5. Bussines area are not directly assigned to company code.
6. The most important control functions of the document type :
- Number Range for document number
- Account types for permitted postings
7. Standard posting key for G/L Account :
- Debit, Posting Key 40
- Credit, Posting Key 50
8. Every company code may define its own document number range. The document number uniquely identifies each document in a company code within the fiscal year. Therefore, Document number range are defined dependent on the company code.
9. at The beginning of a new fiscal year, The system always starts The document number assignment again at the start of number range (False).
- The system only restart numbering at the beginning of new year if the document number range is defined per fiscal year
10. You maintain a costumer / vendor master record centrally if you create financial segment at the same time as the sales order management / purchasing management segment.
11. You can carry out cross company code controlling if each company code uses the same operational chart of account
12. G/L account that are managed in local currency can be posted in any currency
13. G/L Account that are managed in a foreign currency can only be posted to in this currency
open items are incomplete transactions, such as invoices that have not been paid. a transaction is cleared when a clearing posting has been carried out for an item or group of items, so that the resulting balance items is zero.
Document with open items cannot be archived and stay in the system until all open items are cleared. SAP provide two basic transactions for clearing :
- Post with clearing
- clearing an account
Clearing transactions is always create clearing document.
when you use “posting with clearing” function, enter the amount and then select the open items that are to be cleared.
- if the total amount of selected open items equals the amount of the clearing document, the system clears the open items by creating one or more clearing items.
- if the total amount of selected open items does not equal the amount of the clearing document, the system allows you to post the difference.
Posting with clearing can be carried out for several accounts, account types and for any currency simultaneously. you can carry out the “posting with clearing” transaction manually or automatically using the automatic payment program.
There are tow kind of interest calculation in SAP system :
- Account balance interest calculation
- Interest on arrears
account balance interest calculation is applied to the entire balance of G/L or costumer account using a specific interest rate over a specified period of time.
Interest on arrears is applied to individual items in account receivable or account payable. a certain interest rate is applied to those items that are still open or unpaid at a specific date.