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					                                                      SAP FI NOTES
INDEX

                                       PARTICULARS                       Page No.
Introduction                                                                 3
Enterprise Structure                                                        11
             1. Chart of Accounts                                           15
             2. Accounts groups customization                               19
             3. Open and Close Posting Periods                              27
Sales Tax Procedures                                                        36
              1. Tolerance Groups                                           36
General Ledger Accounts (GL Accounts)                                       41
             1.Negative Postings                                            41
             2. Creation of GL Masters                                      43
             3. Parked document                                             54
Foreign Currency Transaction (FCT)                                          72
               1. Reversal of Reversed document                             77
               2. Mass Reversal                                             78
               3. Balance Interest calculation                              87
               4. Accounts Principles                                       92
Accounts Payable (AP)                                                       99

House Bank                                                                 106
            1. Link between sundry creditors and Advance to vendors        115
            2. Purchase Invoice Posting                                    116
            3. Term of Payments-Maximum Cash discount                      119
            4. Automatic payment Program(APP)                              128
            5. Check printing                                              130
            6. Credit Memo                                                 132
Accounts Receivable (AR)                                                   134
            1. Sales Invoice Posting                                       135
            2. Incoming payment                                            142
            3. Link between sundry debtors and advance from customers      144
            4. Advance Receipt posting
                                                                            144
Bill of Discounting (Bill of Exchange)                                      148
               1. Define dunning areas                                      156
Sales Tax                                                                   162
Asset Accounting (AA)                                                       170
              1.Chart of Depreciation                                       172
               2. Asset Classes                                             176
               3. Asset Sale /Transfer/Scrapping                        199/201/202

Reports                                                                    204
             1.Chart of Accounts List                                      204
             2.Trail balance / Ledger /Vendors List                      205/206
             3. Data Takeover                                              209
             4.Up loading of master in SAP (LSMW)                          212
             5.Balances uploading                                          217

Bank Reconciliation Statement (BRS)                                        228
            1.House Bank                                                   231
            2.Check Lots                                                   232
            3.Sales and Purchase Invoices posting                          241
Cash Journal (CJ)                                                          245
Withholding Tax(TDS/TCS)                                                   248
           1.Maintain Calendar                                             249
           2.Withholding tax codes                                         254
           3.Create Remittance Challan                                     264
           4.Print TDS Certificate                                         265
           5.Quaterly Return                                               266
                                                           1
INTRODUCTION

SAP stands for System Application and Products in data Processing
FI stands for Financials
CO stands for Controlling

Version : ECC6

ECC stands for ERP Central Component

SAP was released in 1972 – It head quarters in Germany

What is ERP?
ERP stands for Enterprise Resource planning, it is integrated all functions in one system.

                                Organization
                                           |
------------------------------------------------------------------------------------------
           |                               |                     |                         |
Purchase Dept. Store Dept.                 Production Dept.                 Accounts Dept.

Will have no of departments in organization. ERP integrate all the functions into one system.

It will facilitate free flow of data among the departments.
Advantages:
Once stores person updates in the system – It can be shared by account person.
No mismatch in reporting – Data Source is only one once updation.

Store Department at Factory: Where the material is received are updates his records send the bill to account person.
Accounts department at City office : Pass an entry in the books

Disadvantages:
Duplicate job
Time gap.

ERP Packages:
SAP, Oracle, Financials, Peoples soft, BAAN , J.D.Edwards
1972- SAP R/1 – Real time data processing
1980-SAP – R/2 Included no. of countries and no. of currencies


1990 – SAP R/3- R/3 stands for
              Data Structure
              1.Application Server
              2.Data based server
              3.Presentation
1999 – My SAP.com – Web baed
2004 – Net weaver – Integrates information, people and process.

Areas to be covered under FI /CO
FI:
    1. General Ledger accounting
    2. Accounts payable
    3. Accounts receivable
    4. Asset accounting
CO:
    1.      Cost element accounting
    2.      Cost center accounting
    3.      Internal orders
    4.      Profit center accounting
    5.      Product costing

                                                                          2
    6.       Profitability analysis

Integration of:
    1. Material Management Module to Financials (MM to FI)
    2. Sale & Distribution module to Financial module integrate (SD to FI)
    3. Data take over(From Non-SAP to SAP)
    4. Closing procedure

Reports:
In all the module systems gives around 2000 reports
You can attaché the reports to favorites
Some important reports you can attach the reports on desk top.

Cross company code transactions:
India version: TDS , Excise and sales tax
Companies Act:1956: as per Schedule VI Balance sheet and Profit & Loss A/c

What are difference between SAP EE 4.7 and ECC 6.0?

SAP EE 4.7                                             SAP ECC 6.0
Stands for Enterprise Edition                          Stands for Enterprise Central Compound
No Netware concept (Offline)                           Netware concept (Online)
Segment wise report is not possible                    Is it possible
Only one currency                                      Multiple ledgers in currencies
                                                       Document splitting
                                                       Foreign currency revaluation based on accounting principles




Role of FI /CO Consultant

    1.   Project Manger
    2.   Senior Consultant
    3.   Junior consultant      (Each project 3 to 6 members)
    4.   Support Consultant (Eg.IBM, Accenture)
    5.   Core Team Members
    6.   End User

How to Open SAP

Open: Double lick on SAP Logon Icon

Double Click ECC 6 Server

First Screen:
First Field : Client :2 Clients
     1. Development client
     2. Production client

In the implementation SAP

    1. Consultants
    2. Company staff (Core Team Members)

The consultant they do the customization in development client
The company staff will do the testing.
The customization will be transferred to client through transport requests.
In the production client you enter day to day transaction.

Some companies they will give 3 clients:

                                                             3
    1. Development client
    2. Testing client
    3. Production client

Client:           800/000/810 – You can copy and give any number

User:             Cost of package will depend on the no.of users licenses.
                  100 users license –used by 1000 employees
                  It fixes the responsibility on employee.

User ID: SAP user: You can use small or capital letters (It’s not case sensitive)

Password: The length of password – Min3 – Max 8
               (it can be numeric, Alpha Numeric , Alphabets, and Special characters.)
               Password is not case sensitive
               Not possible to change password more than once in a day
               Latest 5 passwords can not be used
               Password can not be restored

            •     Money is the password.

What is client?

Aravind Group                              Wipro
(Aravind Industries Ltd)           (Consulting Firm)
(Aravind Steel Ltd)

To Purchase Sap Package From Sap India Bangalore Wipro Will Customize(Map) Aravind Requirement In SAP


ARAVIND                                                            WIPRO
Project Manager                                            Project manager
Core team accounts manager                          FI Consultant
Cost accountant                                            CO Consultant
Purchase Manager                                           MM Consultant
Sales Manager                                       SD Consultant
It staff                                                   ABAP programmer
                                                           BASIS Administrator

Aravind :Core Team As is Process _What Is Requested From SAP

Wipro :To Be Process What Should Be Done In SAP

Development                                         Production
Client                                              Client

Wipro Customization                - Transport Request

Aravind Core Team                           - Testing

After testing by Aravind core team customization will be transported to production client through transport request.

Production client is live client where we enter day to day transactions.
If the consultant do customization once again in production client, if they commit any mistake all the postings will go
wrong where as development client customization is tested customization by the Aravind core team and corrected by
Wipro team.

We will not get any mistakes in the development client customization.

In live environment we should have minimum 2 clients some companies they keep 3 clients

Development Client         Testing quality Client          Production Client

                                                                 4
Wipro Customization                      Transport Request                    ->

Aravind Core Team                 ->               Testing


"When SAP is purchased from SAP India we get clients like 000,001,067 and 800" Basis consultant copies 000 client
and give the number required by Aravind care team
Client :800    (Development Client)

User    : Cost of package will be based on number of user licenses

User Id Creation Is The Job of BASIS Administrator
A) Cost Factor
B) User Id Fixes Responsibility on Employee

SAP User:        It Is Not Case sensitive (Capital Letters Or Small Letters)

Password:        Password Is Case Sensitive (From Ecc 5 Onwards)

Length of Password: Minimum 6 Maximum 40

"We can use alphabets, Numerical, alphanumeric, special characters-like"

Not possible to change password more than once in a day.

System will not permit to use latest previous 5 passwords

EG:     1.09.2008        ABC123
        5.09.2008        XYZABC
        12.09.2008       ABC123           system will not permit

Password can not be restored
BASIS Administrator deletes old password and gives a new password : oracle

Language                 : 41 Languages

If we do not specify any language it takes English by default or we can use EN for English


If we user id : The menu will be in German

Client: 800

User: SAPUSER
Password:  oracle

Press enter

Now open SAP

Select and choose the radio button depend on necessity.

                                  Employee1                  Employee2
1st Radio button                  Can not work               Can work
2nd Radio button                  Work                       Can work
3rd Radio button                  Can work                   Can not work

In training institutes we have to select 2nd radio button
Enter

1st raw is called menu bar

                                                               5
Menu Edit ,Favorites ,Extras

2nd raw is called standard tool bar
3rd row is called in title bar
4th is called application tool bar
5th & last is called status bar

The second row the tick is called enter, beside tick box is called is command field."

One employee can work in number of sessions (windows) at a time -the maximum is 6 sessions

How to create a new session?

Path: From the menu bar - Select system- Create session

To move from one session to another session (alt+tab)

How to end session?

Path :From the menu bar - select system- End session

To view which version we are using?

Path : From menu bar - Select system- Status-Sap system data
How to use transaction codes (T/C)?

We want posting of transaction.

option-1                                                  option-2
Go through the path and post                      Use transaction code in command field
the transaction                                   and press enter

Path: Accounting --> Financial accounting           we can create our own transaction
-> General ledger-->Posting ->General posting       codes they should start with Y or Z

To go back to SAP easy access screen:

Use: /n in command field and press enter.

For Posting Transaction:
Document (Voucher) entry                          Account display (FS10N)
(F-02)

After posting we want to view the ledger.
a) Use:/n (changing) in command field and enter - to back to sap easy access screen
b) Use FS10N in command field and press enter- to go to account display

Instead
use:/NFS10N in command field and press enter change session with new transaction code.
use /OFS10N in command field and press enter- create session with new transaction code.
./N for change

./O for create

How to activate transaction codes in sap menu?

Path :From the menu bar - select extras - Settings - Display technical names- Enter

HOW TO SET A START TRANSCTION?

To make one screen as beginning screen


                                                             6
Path: From menu bar select extras - set start transactions (transaction code is                         F-02)

Enter

Give a message transaction F-02 set as start transaction

HOW TO CLOSE SAP?

Path: From the menu bar select system - log off - select ‘yes’ button for the message to logoff

Select yes button to log off


HOW TO UNLOCK THE TRANSACTION CODE?

At the time of customization -screen will come with display mode not enter mode

Path:Tools-Administrator- Monitor-Lock entries (tr.code is SM12)

Select list button- Message - No lock entries found

Path: From the menu bar select lock entry- Delete all-select’ yes’ button for the message

Delete all lock entries - Enter.
Organization structure:

      SAP
      ----------
      |          |
Group            Company
|                |
Company          Company code
|                |
Units            Businesses Area


Creation of Project: Group --> Companies Units

In SAP – Group is called as company

Company is called as company code

Unit is called as Business area


                                                             ARAVIND GROUP(AVG)
                                                                             |
        ----------------------------------------------------------------------------------
        |                               |                                                         |
Aravind Mills Ltd(AML) Aravind Steels Ltd(ASL)                           Aravind Industries ltd(AIL)
|                  |                      |                   |                     |             |
HYD                BGL                  HYD                   BGL                   HYD           BGL

FI consultant will do customization at company code level -company or group is only for information.


We do customization for Aravind Mills Ltd after words we copy customization including accounts to other company codes
in one step and make modifications where ever required.


ENTERPRISE STRUCTURE


                                                                      7
DEFINE COMPANY:

Path: Tools - Customizing –IMG (implementation guide) - Execute project (trns.code SPRO)

SPRO stands for SAP Project Reference Object


Select SAP reference IMG button : This is called customization area or configuration area or implementation area

Path:SPRO-       Enterprise structure - Definition - Financial accounting - Define company ( Tr code is OX15)

It we select IMG activity documentation button: It gives description part about company

To select IMG activity button: To do customization

Select IMG activity button

Select new entries button
Company                  : AVG
Company name :Aravind group
name of company2         :blank
street                   :Ameerpet
postal code              :500034
country          :For country select dropdown(pull down) button, select in for india"
Language key :select drop down button select EN for English
Currency                 :For currency select drop down button here 218.
                         Select INR for Indian rupees
Select save button or Ctrl+s

Development client                        production client
        |
consultant    -          Customization Transport request→

By default it gives the latest request we have to create our own request and afterwards to transport to production client
For each step we need not create separate request.
For Basic settings                 :1st request
For General ledger                 :2nd request
                             rd
For Account payable        :3 request
For Accounts receivable:4th request
For Asset accounting :5th request
For Controlling            :6th request
Select create request button (F8)
Give the short description :FI basic settings for Aravind Mills Ltd

Press enter
Press enter once again to save in the request. We get a message data was saved: Data was saved in two
places:1.Development client 800 2. In Transport request



2.DEFINE COMPANY CODE:                    ( Tr code is OX02)

Path:     Tools - Customizing - IMG- executive project (SPRO)

Select sap reference button IMG

SPRO - path upto select sap reference IMG button is same.

                                                              8
SPRO                  No SPRO
Consultant job End user     job


Note the path SPRO

Path: Enterprise structure - Definition- financial accounting - edit, copy, delete, check company code
Edit company code data

Select new entries button

Give company code :AML
City                 :Hyderabad
Country       :IN
Currency             :INR
Language             :EN

Select save button or Ctrl+S

Title                   :Select company
Name                    :Aravind mills ltd
Street                  :Ameerpet
Post code               :500034
City                    :Hyderabad
Country         :IN

Press enter

To select our request number select dropdown button beside request number.
We can see here number of requests.
Select request number by seeing the description.
Press enter to save in the request.

Description can be same should be different


3.ASSIGN COMPANY CODE TO COMPNAY

Path: SPRO - Enterprise structure - Assignment - Financial accounting - Assign company code to company
( Tr code is OX16)

Select position button give the company code AML enter
For company AML assign company AVG
Select save button or Crtl+S
Select dropdown beside request number
Select your request number
Press enter to save in the request

4.Define Business Areas

path:   SPRO- Enterprise structure- Definition -financial accounting- define business area ( Tr code is OX03)

Select new entries button
Business area: AMLH
Description             :Hyderabad AML

Bangalore business area link this number
Select save button or C trl+s

                                                         9
Press enter to save in your request

*Assignment of business areas to company code is not required
                       Aravind Group
                               |
Aravind Mills Ltd              Aravind Steels Ltd                     Aravind Industries ltd
        |                              |                                      |
HYD BGL                        HYD BGL                                HYD             BGL

                AML accounts person                   ASL accounts person


At the time of posting

Company code :            AML            ASL
Business area :           HYD            HYD

* Without giving company code we can not pass to business area

At the time of request generation:

Company code          AML                             ASL
Business area         HYD                             HYD
We get HYD data of company                            HYD data of company
Code AML only                                         code ASL only


Some business area can be used by number of company codes in the client assignment of business area to company
code is not required.

HYD incharge for AML, ASL and AIL in the report
Company code          AML +ASL+AIL
Business area         HYD

Hyderabad data for all company codes we have Hyderabad business area separately for each company code.


HYD Hyderabad business area
HYD1 Hyderabad business area
HYD2 Hyderabad business area

AML accounts person
Company code              :AML                 ASL
Business area             :HYD/HYD1            HYD1/HYD2

There will be a mix up.

CHART OF ACCOUNTS:

Company Codes:                                        AML             ASL             AIL
Option-1
when we want to compare or consolidate
we can have same set of accounts
(chart of accounts) -i.e.,

Accounts coding will be same.

Conveyance account no.                                400000 400000 400000

Option-2
Each company code has their on
set of accounts conveyance account no.         400000 400000 400000

                                                        10
Compare or consolidate by using group               400000 300000 200000
Chart of Accounts

when we create conveyance account no
we use 2 numbers

Company code no.                                            400000 300000 100000
Group no.                                                   100000 100000 100000

We are comparing or consolidating by using group account number.

Companies following option1
Chart of Accounts name
Description of chart of accounts
Maintenance language English
Length of account number most 10 digits (we are using 6 digits)


CREATION OF CHART OF ACCOUNTS)

path: SPRO - Financial accounting- General ledger accounting - GL accounts - Master Data-Preparation - Edit
chart of accounts list (TR.CODE.OB13

The other way to give transaction code is from the menu bar -> Select system - Status
Select new entries button.

Chat of accounts                            :AML
Description                                 :Chart of Accounts for Aravind group
Maintenance language             :English
Length of GL account no.                  :6 (min 6 max 10)
Controlling integration          :select manual creation of cost elements
Group chart of accounts          :Blank

Under status deselect blocked check box (do not select blocked check box)
Select save button or Ctrl+S
Select your request and press enter to save in your request



Controlling integration: select manual creation of cost elements.
FI (Financials)                   CO (Controlling)
                                          expenditure

When we past to expenditure accounts in FI it updates, CO automatically provided. We create expenditure accounts as
cost elements.

All expenditure accounts need not be cost elements expenditure accounts like interest, Depreciation, Non-operating
expenses -will not be consolidated for costing -they are debatable.


                                                    Cost elements creation
                                 Manual             Automatic

When we select manual, when expenditure account is created and posted in FI, we want that expenditure to update co-
create that expenditure account as CO element. If we do not want to update co-records that expenditure create
expenditure account only and not to create as cost element -here we have flexibility. If we choose automatic, when we
create an expenditure account automatically cost element will be created. When we post to that expenditure account in
FI, automatically CO records will be updated-no flexibility.

UNDER STATUS DESLECT BLOCKED CHECK BOX:


                                                              11
Accounts creation is at end user area, users at the time of posting, they will not check whether account is there as not
they create new account and post accounts.

We will have number of duplicate accounts in SAP once we create an account and past transaction-IT can not be deleted


In live environment after up leading accounts - select blocked check box. No body can create any accountwhether
original account or duplicate account. When there is a necessity to create a new account an authorized person say
accounts manager deselects the blocked check box, create the account and afterwards select blocked check box.

We have to create the accounts now. We are deselecting the blocked check box.

ASSIGN COMPANY CODE TO CHART OF ACCOUNTS

path: SPRO- Financial accounting - General ledger accounting- GL Accounting- Master data-Preparation-
Assign company code to chart of accounts. (Tr.code OB62)

Select position button
Give the company code :                  AML
Enter

For company code AML assign chart of accounts AML

Select save button or Ctrl+S
Press enter to save in your request.

Accounts groups

100000 Equity share capital
100001 Cash account
100002 Preference share capital
100003 SBI current Account

We have created 1000 accounts
We want to view current assets balance or transaction.
We can not get directly-we have to verify each and every account and add the respective accounts- in this example
account no.100001 and 100003

We are preparing balance sheet on liabilities we have items like share capital, Reserves & surplus-We have to verify
each and every account and assign to the respective items-it takes so much time to assign accounts.


To get account balances directly or to assign accounts easily SAP has given account groups.

                Chart of accounts      AML
                               |
         Accounts groups                        Share capital (100000 - 100099)
         |                                      |
         Accounts                               Current assets (200000-200099)


When we create the accounts, we create within the range. Cash account will be created within the range of 200000-
200099."

Equity share capital will be created within the range of 100000-100099.
When we want to see current assets balances-we give current assets or at the time of crating balance sheet for Share
capital-we give the range 100000-100099. While crating account groups we take client's balance sheet and crate the
groups-after implementation also we wants to see the way he used to get.

WHILE CREATING THE ACCOUNTS GROUPS:

1 Series for liabilities

                                                           12
2.Series for assets
3.Series for income
4.Series for expenditure

We have 1000 accounts the user at the time of posting to expenditure account he need not see all accounts he gives 4
only expenditure accounts will appear.

CUSTOMIZATION (TR.CODE.OBD4)
path: SPRO-Financial accounting-General ledger accounting- GL accounts-master data-preparations-Define
account group

select new entries button

Chart of      Account group         Name                                 From        To account
accounts                                                                 account
AML           SCPL                  Share Capital                        100000      100099
AML           RSPL                  Reserves & Surplus                   100100      100199
AML           ACDN                  Accumulated depreciation             100200      100299
AML           SCLN                  Secured Loans                        100300      100399
AML           UNSL                  Unsecured loan                       100400      100499
AML           CLPL                  Current Liabilities and Provisions   100500      100599
AML           FAST                  Fixed Assets                         200000      200099
AML           CAST                  Current Assets loans & Advances      200100      200199
AML           SALE                  Sales                                300000      300099
AML           OTHER                 Other Income                         300100      300199
AML           INCR                  Increase / Decrease in stocks        300200      300299
AML           RMCL                  Raw material consumption             400000      400099
AML           PRSN                  Personnel cost                       400100      400199
AML           MFRG                  Manufacturing Expenses               400200      400299
AML           ADMN                  Administration Expenses              400300      400399
AML           INTR                  Interest                             400400      400499
AML           DEPR                  Depreciation                         400500      400599

Select save button on Crtl+S
Select your request and press enter and save in your request

6 digits

1000000          100099 share capital   1000-1099         100000000-1000000099
                                Reserves & Surplus
                                Accumulated Depreciation
                                Unsecured loans
                                Current Liabilities & Provision
                                Fixed Assets

Afterwards we require liabilities account groups with 1 series –10 account groups.

How many groups we can crate with 1sries . available accounts (1999-1599)=400 accounts. New account groups with
1series we can create 400/100=4 groups .

Now we have to go for –5 series .

The user at the time of posting first the will give 1*

If the account is not there then he will check with 5*



When we use 6 digits:
Afterwards we require liabilities account groups with 1 series to 10 account groups. How many groups we can create with
1 series available accounts (199999-100599=99400) accounts.

                                                             13
For each account group we are assigning 100 accounts new account groups with 1 series. We can create
99400/100=944 accounts groups. 5/6/7/8/ digits.

Retained earnings accounts:
In the year end: P & L account balances transfer to surplus in P & L A/c Reserves & Surplus (100100-100199) Balance
Sheet A/c balances –carry forward to next year as opening balance.

This is required in the year end and not during the implementation. SAP has made mandatory this step during the
implementation. If the consultant does not do this step, we will have problems in the year end.

Though accounts are not yet created assign on account for retained earnings account purpose. We can specify retained
earnings account any account number which is with in range 100100-100199.

Generally we specify the first account i.e.100100 as Retained earnings account and when we start creating the accounts
the first account to be created is 100100 surplus in P & L Account.

Path: SPRO – Financial accounting – General ledger accounting – GL Accounts – Master Data – Preparations
– Define retained earnings account.

Give you chart of accounts AML enter. The transaction code is OB53 .
Account assignment

P & L Statement type ‘X’
Account 100100
Select save button or Ctrl+S

We get a warning message account 100100 not created in chart of accounts AML.

Ignore the warning the message press enter. Press enter once again to save in the request.

Accounts creation is at end user area and the transaction code is FS00

                                                P & L type                      Account No.
        400300 Rent Account

P & L A/c                                       X                               100100

Balance Sheet A/c.

In the year end the balance will go to account no.100100

100000 Equity share capital
P & L A/c
Balance Sheet A/c.     Select

In the year end the balance will go to the same account as opening balance 1 and 2 series for Balance Sheet Accounts
3 and 4 series for P & L Accounts.

    a) Net operating profit (operating income – operating expenses.
    b) Net non-operating profit (non-operating income non operating expenses)

                400300          Rent account        P&L         Account No.
                                                           Type
                                   Select           X      100100      Net operating profit
P & L Statement A/c type               X            Y      100101      Net non operating profit
Balance Sheet A/c.                                                     Profit

In the year end the balance will go to account no.100100
300100 profit or sale of shares.

P & L A/c.
P& L Statement A/c. type Y

                                                           14
In the year end the balance will go to account no.100101.

Fiscal year                                       Fiscal year variant

Indian companies periods                         April to March +4 special periods V3
US Companies                             Jan to Dec.+4 Special Periods K4
                                                 July to June+4 Special periods V6
                                                 Oct. to Sep+4 special periods V9

April 2007 – March 2008 Accounting year 2007-08.
In SAP we will call it as fiscal year 2007.


July 2007-June 2008              Fiscal year 2007
Oct.2007 –Sep.2008               Fiscal year 2008


                                         2007             2008             Fiscal year

April 2007-March 2008       9                     3                2007
July 2007-June 2008         6                     6                2007
October 2007-September 2008 3                     9                2008

It is above 6 months in next year take next year otherwise same year.

April 2007     March 2008                         Fiscal year 2007
1              12                                 13      14      15       16
(Normal periods)                                  (Special periods)


For year end adjustment purpose SAP has given special periods .
Special periods are part of March
March will have total 5 periods 1noraml period 4 special periods.
To get the profitability and different stages SAP has given special periods.

Why special periods are required:

20th March 2008 we have declared profitability upto February 2008 to the management profitability figures should not be
changed.

Users should be allowed to post transactions only for March 2008.

April 2007-March 2008 Fiscal year 2007.

Open periods    March 2008-March 2008
For posting            12,2007       - 12,2007

No user can post transaction before March 2008 and after March 2008.



30.03.2008      April 2007- March 2008 Fiscal year 2007
                April 2008- March 2009 Fiscal year 2008.

Open periods     March 2008-March 2009
                       12,2007       -12,2008

15/04/2008 accounts dept. finalized profitability for the year ended 31/03/2008


Management adjustment entries

                                                            15
                 Entry Date      05/05/2008
                 Periods date 31/03/2008 to update last year ledger.

We get profitability finalized by management audits by Auditors.

20/05/2008 No.of ratification entries
               Entry Date                  22/05/2008
               Posting date                31/03/2008        to update last year ledger.

We get profitability finalized by auditors. To day we want to see profitability finalized by accounts department . we can not
got March 2008 includes normal entries .

Management adjustments and auditors rectification entries.

Auditor is asking to show rectification entries list we can not get the list separately.

To get profitability separately or to get the rectification entries list separately SAP has given special periods.

Usage of special periods is optional.

Special periods can come in the same month or different months.

Here stage means department profitability, Management profitability and Auditors profitability – the state can come in the
same month or different months.

Accounts Dept. profitability                        April 2008

Management adjustments and
Auditors rectification entries                      May 2008

How special periods will be used:
April 2007-March 2008                               Fiscal year 2007

20th March 2008 open periods for posting            March 2008-March 2008
                                                           12,2007….12,2007
                                                           No user can post transactions
before March 2008 and after March 2008.
                                                             April 2007-March 2008 F.Y 2007
                                                             April 2008-March 2009 F.Y.2008

15/04/2008 accounts dep. finalized profitability for the year end 31/03/2008 Management adjustment entries.

05/05/2008              March 2008……..March 2009
Open periods     13,2007………12,2008

Entry date      :05/05/2008
Posting date :31/03/2008 to update last year ledger period 13

We get profitability finalized by Management audit by a auditors.
22/05/2008 no.of rectification entries.

Open periods              March 2008 …. March 2009
                                 14,2007 …… 12,2008

Entry date                :22/05/2008
Posting date               :31/03/2008 to update last year ledger
Periods                   14

We get profitability finalized by auditors.
Accounts dep. Profitability :               1-12
Management Profitability                    1-13

                                                                 16
Auditors finalized profitability           1-14
List of auditors rectification entries     14-14

SAP known only calendar year periods –we have to convert calendar year periods to our accounting year periods.

                  Month    Days            Periods         Year shift
January           1        31              10              -1
February          2        29              11              -1
March             3        31              12              -1
April             4        30              1               0
May               5        31              2               0
June              6        30              3               0
July              7        31              4               0
August            8        31              5               0
September         9        30              6               0
October           10       31              7               0
November          11       30              8               0
December          12       31              9               0

                                                         April 2008
April 2008 – March 2009 F.Y.2008
In which year it is coming 2008
As which year we are calling in SAP 2008
Year shift                                                         0


                                                       January 2009
In which year it is coming                                2009
As which year we are calling in SAP                       2008
Year shift                                                -1
Posting 05/01/2009 update 2008
Ledger not 2009 ledger

                                                      Oct.2008-Sep 2009 F.Y.2009
Month    Days     Periods Year shift                         October 2008
1        31       4              0         In which year it is coming as which 2008
2        29       5              0         year we are calling in SAP 2009
3        31       6              0         year shift        +1
4        30       7              0
5        31       8              0         January 2009
6        30       9              0         in which year it is coming     2009
7        31       10             0         as which year we are calling
8        31       11             0         in SAP                         2008
9        30       12             0         year shift                     +1
10       31       1              0
11       30       2              0         posting 05/10/2008 update 2009 ledger
12       31       3              0         not 2008 ledger

Path : SPRO – Financial accounting – Financial accounting Global settings – Fiscal year – Maintain fiscal year
variant (Maintain shortened fiscal year) (Trs.code is OB29

Select position button fiscal variant V3

Enter
Select fiscal variant V3
Double click on periods folder


Select back arrow
Select new entries button

FV       :        B1

                                                             17
Description     April to March 4 Special periods

Do not select year depend check box

If we select year depend check box – when we save it will ask for year – when we give year 2008 – The conversion is
applicable only for the year each year we have to create the conversion.

If we deselect year dependent check box – The conversion is common for all years.

Deselect calendar year check box

If we select calendar year check box – It takes

Month 1 (Jan)will be as period 1
Month 4(April ) wil be as period 4

Where as we require month 4(April) should be as period 1 so deselect calendar year check box.

No. of posting periods :12
No.of special periods :4
Select save button or Ctrl+S
Select your request press enter and press enter save in your request.

Select Fiscal year variant        :B1
Double click on periods folder.
Select new entries button

First column             Month
Second column Day
Third column             Period
Last column              Year shift

Month   Day              Period          Year Shift
1       31               10                     -1
2       29               11                     -1
3       31               12                     -1
4       30               1                      0
5       31               2                      0
6       30               3                      0
7       31               4                      0
8       31               5                      0
9       30               6                      0
10      31               7                      0
11      30               8                      0
12      31               9                      0


save
Assign company code to a Fiscal year variant

Path: SPRO – Financial accounting – Global settings – Fiscal year – Assign company code to a Fiscal year
variant (Tr.code is OB37)

Select position button
Give your company code:AML
Enter
For company code:AML
Assign fiscal variant :V3
Select save button

Ignore the warning message press enter and press enter to save in the request.

                                                          18
OPEN AND CLOSE POSTING PERIODS

 Fiscal year : April 2008 – March 2009 – F.Y 2008
August 2008 – March 2009
5,2008 – 12,2008

Open means: from                 August 2008

Close means: to                  March 2009

Company codes            : AML           ASL              AIL

All company codes
Fallow the same
Open and close periods
Option 1
     A) Define posting periods
Variant …………… X
     B) Assign posting period
Variant to company codes
X……….AML
X……….ASL
X……….AIL
     C) Define open and close periods for variant X
For X,5 2008 – 12,2008
Option-2

Each company code
having separate open
And close posting period variant                 X                 Y               Z

Assign posting period variant to company codes
                                                 X to AML          Y to ASL        Z to AIL
Period for variant

July 2008-March 2009 April 2008 to March 2009             Sep. 2008 to Sep. 2008

For X                                    For Y                            For Z
04,2008                                  12,2008                          06,2008

In this step we are defining which periods are open for posting.

Define variants for open posting periods:

Path : SPRO – Financial accounting global setting – Document – posting periods-Define variants for open
posting periods

Select new entries button

Variant          Name
AML                      posting period variant for AML

Ctrl+S, press enter in save

Assign posting period variant to company code:
Path : SPRO-Financial Accounting- Financial accounting global settings- Document – posting periods – assign
posting period variant company code.

Select position button

Give the company code AML

                                                            19
For company code AML assign variant AML select save button or Ctrl+S
Press enter to save in your request.

Define open and closed posting periods for variant::

Path: SPRO – Financial accounting Global settings – Document – Posting periods- open and close posting
periods.

Select new entries button.

Vare                    : Select AML
Account type (A): Select + (valid for all accounts type)
From Account            Blank
To account                       Blank
From period one (1)              1
Year                             2008
To period                        12
Year (Fiscal year)               2008
From period2                     13
Year                             2008
To period                        16
Year                             2008

Second column is option (from period 2)
Authorization group (Au.Gr):            Blank

Select save button or Ctrl+S

Select your request and press enter to save in your request.

Authorization Group:

This screen is required every month in production client nobody will have access for customization areas.

The same screen is given at user level when it is available at user level, the users will misuse.

SAP has given authorization group.

BASIS Administrator gives authorization group say X and X will be assigned to user IDs manager accounts and deputy
manager accounts.

When we open the system with the above user IDs then only we can change the periods at the user level.

Posting periods entry at end user area:

Path: Accounting –Financial accounting –General Ledger - Environment –Current settings-open and close
posting periods ( Transaction code :S_ALR_87003642)


Select position button
Posting period variant: AML
Enter


Document type and no. ranges
In normal accounting, account person only will pass all the entries. He will get voucher no’s continuously. In SAP voucher
we call it as document.

                         FI Accounts Person          MM Stores Person      SD Sales Person
Material Receipt                                         1
Payment                  2
Sales                                                                               3

                                                             20
Receipt            4

To get document number serially SAP has given document type

Doc.type                   SA                      RE                      RV
No.Range                   01                      02                      03

No.Range interval 1-100000                 100001-200000 200001-300000

We are getting the document no’s continuously by seeing the document number we can tell where it is generated.

In a year 100000 vouchers are consumed system gives a message we give available numbers 300001-400000

Path:SPRO-Financial accounting-Financial accounting Global settings –Document –Document Header-Define
Document Types (Tr.code:OBA7)

Select position button
Document type select               : SA
GL Account document
Enter
Select type                                :SA
Select details button (Ctrl+Shift+F2)
Number range                       :01
Select number range information button
Give the company code              : AML
Select change intervals button (↓)
Select interval button
No.range                                   :01
Year                                       :2008
From number                        :1
To Number                                  :100000
Current number                             :0
Deselect external(Ext) check box

If we select external check box, we have to give at the time of posting what should be the document number.
Select press enter.
Select save button or Ctrl+S
Ignore warning message press enter

Number range interval can’t be transported to production client – what ever number for development client for testing.

              1.   Consultant is an outsider – he does not know how many document numbers are required for each area.
              2.   All the departments want to have 1—100000 which is not possible. In live environment, before going live
                   all the department heads sit together and decide for production client.

What should be FI document number
What should be MM document number
What should be SD document number.

SAP have given two options.

Opetion1: Year specific                            Option 2: Common to all years

01-2007-1-100000           500000 500001                   01-9999-1-100000

                                                             21
01-2008-1-100000         3000        3001             53000-53001-53002



1st Entry
Date:24.09.2008                                       9999 means any year
Posting date:24.09.2008                               in 2nd option we don’t know how many

2nd Entry
Entry date:29.09.2008                       Documents we have posted for each year
Posting date:31.03.2008

Note: companies follow 1st option.



Field status variant and field status groups

At the time of posting on screen we get around 70 fields. Fields are quality, text (Narration), business area, value date

Debit              70        Filed
Credit             70        Filed
                   ------
                   140       Filed
                   ====
If we start filling up all the fields it takes so much time to post one document.

SAP has given a facility to make any filed as

1.       Suppress        2.       Required                   3.              Optional

1.       Suppress: The filed will not be visible on screen a the time of posting.

2.       Required: We have to enter values to the field compulsory. The field value will appear with question mark or tick
         mark-without entering the values we can not go to next screen.

3.       Optional: The field will be visible on screen our choice to enter values or not the fields selection is not common to
         all accounts. It depends on the account what we are using. In case of sales account quantity filed is required. In
         case of repairs account quantity filed is not required, we have 1000 accounts – we have to create 1000
         scenarios. In stead of creation of 1000 scenarios SAP have given field status groups.

                         Filed status Group                  Suppress required optional

Repairs A/c                                 General

Equity share capital
Sales A/c                                   materials quantity select
Purchase A/c
Cash A/c                                    Bank Accounts
Bank A/c                                    cost Accouts

     1. When we create accounts we have to assign field status group.
     2. For filed status group we is field is suspected and which filed is optional.
     3. At the time of posting by the user-he gives the account number the screen will appear based on the fields
        selection to the field status group which is assigned in account number.
     4. Filed status groups are created under field status variant and field status variant is assigned to company code /
        codes.

Afterwards:

Cash account           Dr
       To Equity share capital

                                                                  22
Bank accounts
       |
Value date text Business area
       |
Required Entry

General
          ^
Text     Business area
       |
Required entry

Screen layout at the time of posting

Path:SPRO- Financial accounting – Financial global settings – Document –Line item-Controls- Define filed
status variants

Select field status variant 1000 that is IDES group
Select copy as button (F6)
Change filed status variant (FSTV) to AML
Change field status name to field status VAR for AML
Press enter
Select copy all button
We get a message number of dependent entries copies 47
Enter
Select save button or Ctrl+S
Select your request and press enter to save in your request.
Select field status variant         :        AML
Double click on field status groups folder
Double click field status on G001 that general (with,text, allocation)
Double click on General data
Text make it required entry filed
Select next group button
Select next page or page down button two times.
Business areas make it as required entry field
Save
Double click on field status group G005
That is Bank A/c obligatory value date
Double click on General data
Text make it as required entry field
Select next group button
Select next page or page down button two times.
Business area make it as required entry field.
Select next group button two times,
Value date make it as required entry filed.
Save.


                                                              23
Value date( Effective date):

Term loan from IDBI     :20.09.2008
Deposit by us in our bank       :22.09.2008
Document date           :22.09.2008
Posting date                    :22.09.2008

In SAP we have interest calculations, Interest calculations in our book from 22.09.2008 where as IDBI calculates from
20.09.2008. There will be mismatch.

Interest calculations:
Value date                         :Required entry filed
Document date            :22.09.2008
Posting date                       :22.09.2008
Value date:                        20.09.2008 field is modifiable after posting .
In our books also interest will be calculated from 20.09.2008

Value date                        :31.08.2008
DOC & POS

Assign company code to field status variant :

Path: SPRO-Financial accounting-Financial accounting Global settings-Document – Line time-Controls-Assign
company code to field status variants.

Select position button
Give the company code :AML
Enter
For company code                  :AML
Assign field status variant       :AML
Select save button or Ctrl+S
Press enter to save in your request




                                                 SALES TAX PROCEDURE

General ledger, Accounts payable, Accounts receivable and Assets accounting

Basic
Excise
VAT /CST
To do normal posting also, sales tax procedure is required.
    A) Create procedure
    B) Create tax codes
    C) Create accounts
                                                              24
    D) Design accounts

Assign for country in-tax US ( Sales tax USA)
                         Tax IN (sales tax India) Temporary assignment
For our company any code: Country IN
Note the path this one
SPRO-Financial accounting –Financial accounting global settings-Tax on sales / Purchases - Basic settings -
Assign country calculation procedure

Select position button
Give the country IN for India
Enter
For country IN assign procedure TaxUS
Sales Tax – USA
Select save button or Ctrl+S
Press enter to save in your request.

TOLERANCE GROUPS:

This is two types
1.GL Accounts                            2.Employee

a) Receipts / Payment transactions
b) Mandatory area

Retained area called open item management.

This is used for vendors, customers and balance sheet accounts where clearing is required.

Outstanding expenses A/c
               Salaries                  500000

Bank 15000      Rent                         15000
                Wages           100000

If we see the account in the month end or year end-we will have no of credits and no. of debits. We don’t know which
item is pending and how much is pending.

As per SAP open item management –At the time of making payment –System will as against which provision we are
making the payment. When we specify the payment is being made against rent provision. It clears the transaction.

The advantage is we can see the account in 3 ways.

    1) If we select open items payable Eg.Salaries and Wages.
    2) If we select cleared items :paid Eg.Rent and bank
    3) If we select all items: Payable + paid

The same way we use for vendors and customers and also.

                Vendors X A/c
Bank – For 1           100               1              1000
Bank –For 2            200               2              2000
Bank-For3              300               3              3000
Bank for 4             400               4              4000
Bank for 5             500               5              5000

Bill wise out standings we can see for vendor.

We can have tolerances (payment differences). It can be amount tolerance or percentage tolerance or both it can be
debit amount or credit amount.

        Outstanding expenses A/c

                                                          25
                Salaries                          500000
                Rent                              15000

Bank 15000  Wages                        100000
Bank 100000 Commission                   100005

There is difference of Rs.5 in the account for commission which need not be paid.
We can difference tolerances.

        Tolerance
        Group                    Amount percentage
        A                        100
        B                                                  5%

    A) We have to assign tolerance group in account –in outstanding expenses A/c we have assigned tolerance group
       A

    B) At the time of making payment system checks
       Provision       100005
       Payment         100000
       Difference      5

        If the difference of Rs.5 is within tolerance group amount. i.e.100 system will clear the provision and transfer to
        sundry balances written off account at time of making payment.

        Disadvantages:

        1. Tolerance group is given at account level and not at the transaction level.

             Outstanding expenses A/c.
                                                                                   Diff to give
                                 Salaries                          500000          200

             Bank                15000 Rent                15000                   15

                                                  Wages 100000              500

           Bank                  100000 Commission 100005                   100


        2. There is not flexibility amount percentage tolerance group.
                       A                         100
                       B                                         5%
                       C                         0

        Outstanding Expenses A/c.

                         Salaries     500000
Bank 15000               Rent         15000
                         Wages 100000
Bank 100000              Commission   100005

If we give tolerance group A in outstanding expenses account if the difference is less than tolerance group amount and
transferring sundry balances written of account automatically.

When we give tolerance group C instead of A in outstanding expenses account.

                                         Outstanding expenses A/c.

Bank            100000           Salaries         500000
Bank            15000                    Rent              15000
Bank            100000           Commission       100005

                                                            26
Provision        100005
Payment          100000
                 -----------
Difference                  5
                 =======
Not payable                                 payable

Transfer 5                 Now Rs.100000 as part payment

To sundry balances off a/c and clear the transaction.
This is mandatory area.

                           Tolerance Group               Amount               Percentage
                                  A                      100
                                  B                                                   5%
Bank                              C                      0

Instead of crating group C - keep the filed blank and give amount zero.

While creating 1000 GL accounts, Vendor accounts and customer accounts.
Keep tolerance group field blank, system expects we have created blank
Tolerance group and already assigned.

For our company code: we are creating bank tolerance group wit amount zero so that no need to assign.
Tolerance group while creating the accounts.

Path :SPRO – Financial accounting – General Leger Accounting –Business transactions-open item clearing –
clearing difference- Define tolerance groups for G/L Accounts

Company code               : AML
Tolerance group                    :Blank
Description                        :Tolerance group for AML
Debit posting              :0
Credit posting             :0
Debit percentage                   :0
Credit percentage                  :0
Save

Select your request and press enter and save in your request.

Tolerance group for employees.

User wise upper limits for posting

Tolerance Group      A                        B              C
              100000               100000     10000000 Amount per document
              100000               100000     10000000 Amount per open item
                                                             account item
              0                               5              10               Cash Discount
              0                               0               0       Payment Differenced
We have 1000 users distance – we have to create 1000 scenarios (short cut method)

Accounts Dept:
      1. City office cashier
      2. Factory cashier
      3. Branch cashier
      4. Account 1                 A
      5. Account 2
      6. Deputy Manager Accounts            B
      7. Manager Accounts
      8. DGM Accounts                       C
In live environment / training institutes

                                                              27
        SAP User         AML           A                  Blank
        SAP User         XYZ           Use only           A
        SP userABC              Use only      A

Path: SPRO-Financial Accounting –General Ledger Accounting –Business transactions – Open Item clearing -
Clearing differences – Define tolerance groups for employees.

Select new entries button
Group                                 : Blank
Company code                    : AML
Upper limits for posting
Amount per document (Maximum Amount 9999999999)
Amount per open item account item 9999999999 cash discount per line item 10
Permitted payment difference : Blank
Save
Press enter to save in your request.

ENTER GLOBAL PARAMETERS:

Path :SPRO-Financial accounting -Financial accounting global settings-Company code-Enter global parameters

Select position button
Give the company code           :AML
Enter
Select company code             :AML
Select details button (F2)

Select business area financial statements check box
Select propose fiscal check box
Select define default value date check box
Select negative posting permitted check box
Select addition data button

Company code                   : AML
Business Area                  : HYD           BGL
Business place                 :City factory           City office  Factory
Permanent Account No.          (PAN) – At company
Code level(Form 49A)           10 Digits Alpha numeric code
Tax Deduction at Source No (In SAP TDS No. / TAN) Form 49B -10 Digits alpha numeric code

At company code level / business area level / at business place level
(GIR No.: General Identification Number)

TDS No.ABCDE 35467N
PAN NO.BBBBB5678N
Select back arrow, then
Save
Press enter to save in your request



Negative postings:
In case of reversals if we select negative postings check box it reduces from the same side.

In SAP, when we post a wrong entry, we can’t change the document. We have to go for reversal or pass rectification
entry.

    1. Equity share capital receipt:
       Cash account             Dr               400000
               To Equity share capital                            400000 Doc.No.1


                                                           28
    2. Preference share capital receipt:
       Cash account            Dr                 100000
               To Equity share capital                              100000 Doc No.2


Reversal
  3. Equity Share capital                  Dr              100000
       To Cash account                                                     100000 Doc.No.3

  4.Cash Account                           Dr              100000
       To Preference share Capital                                  100000 Doc No.4

Rectification
  3. Equity share capital                  Dr              100000
         To Preference Share capital                                100000 Doc.No.3


Account No.100000                          Ledger summary
Company code                     AML
Fiscal year                                2008

Period          Debit Amount     Credit Amount Balance              Cumulative Balance
1
2
3
4
5
6               100000           500000           400000 Cr                400000 Cr
7                                          -100000

                            1                         2                           3
Cash flow statement         Reversal without          Reversal by selecting       Rectifications
                            selecting negative        negative postings
                            postings
Opening cash and bank       0                         0                           0
balances
Add: Inflows Equity
share capital               500000                    500000

Preference share capital    100000                    100000                      500000
Less:Out flows Equity
share capital
                            100000
Closing Cash and bank
balances                    50000                     500000                      500000

                            wrong                     correct                     Wrong




To check transport request::

Path:    Tools – ABAP work bench-Overview-Transport Organization (Tr.Code :SE09)
Enter
Select find request (Ctrl+F)
Execute
Find company code (Ctrl+F)
Double click on define company code


                                                            29
GENERAL LEDGER MASTERS CREATIONS

        1                                             2                        3
        Chart of Accounts level                       Company code level       Centrally
1       GL Account Number                             Account currency
2       Company code                                  Only balances in local   Chart of accounts fields
                                                      currency

3       Account group                                 Tolerance group          +
4.      Whether it s P & L Account                    Line item display        Company code fields
5       Whether it is a Balance Sheet A/c             Open item Management
6.      Description                                   Sort key
           a) Short text – Max 20
           b) Long text –Max20

                                                      Field status group



Accounts to be created:
   1. Surplus in P & L Account – Reserves & Surplus
   2. Equity share capital – Share capital
   3. Cash account –current assets, loans & advances

To check accounts groups for giving account numbers.

Path: SPRO – Financial Accounting – General ledger accounting – GL Accounts –Master Data- Preparations-
Define Account group (Tr.Code:OBD4)

Select position button
Give your chart of accounts AML
Enter
Reserves & Surplus                      100100-100199
Share capital                     100000-100099
Cash account-current assets       200100-200199

     1. To check account-Group for giving account numbers.
     2. Creation of General

CREATION OF GENRAL

Path : Accounting-Financial accounting –General Ledger-Master records –GL Accounts-Individual Processing –
Centrally (Tr. Code is FS00)

Give the GL account 100100
Company code AML
From the menu select -> GL Account create

Account group: select reserves & surplus

Select balance sheet account radio button
Short text: surplus in P & L Account
GL Account Large text: Surplus in profit & Loss Account
Select control data tab
Select only balances in local currency in check box
We have
Tolerance group: Blank
                                                             30
Select line item display check box
Short key select 001 posting data
Select create / bank / interest
Field status group G001 General (with text, allocation)
Save
GL Account                        :100000
Company code             : AML
Select with template button
GL Account                        :100100 (Surplus in P & L Account)
Company code              : AML
Enter
By mistake save button
Your can not save
Change account group to Share capital
Select balance sheet a/c radio button
Change short text to equity Share capital
Change GL account long text to Equity share capital
Other filed common select save button
GL Account 200100
Company code             :AML
Select with template button
Give the GL Account 100100 surplus in P & L account
Company code             : AML
Enter
Change account group to current assets, loans & advances
Change short text to Cash account
Select balance sheet a/c radio button
Change GL account long text to Cash account
Select create / bank / interest tab
Change filed status group to G005 bank accounts (Obligatory value date)
Select relevant cash flow check box,
Select save button or Ctrl+S
To view the accounts created
Select drop down button beside GL account

Match Code:
Give the company code             : AML
Enter
Short text                                  : At the time of entry
GL account long text              : At the time of General ledger display




Posting of transactions

                                                             31
Path: Accounting – Financial Accounting –General ledger –posting –General posting (Tr.Code is F-02)

Posting transaction               :10/07/2008
Document date            : In case of purchases document date will be party bill date- we can enter manually 30.09.2008
or select F4- It gives calendar and select F-2 – It selects today’s date .
Posting date                      : Ledger updation will be based on posting date period will appeal automatically based
on
Posting date                      : 30.09.2008
Reference                         :Party bill No.
Doc No                   :1
Normal cases
Document date (F4)                :30.09.2008
Posting date: will come automatically this is server date.
Type                              :SA
Company code              :AML
Currency                          : INR
System does not know debits and credits to differentiate between debit and credit SAP
Has given posting keys
Posting key              40       GL account Debit
Positing key             50       GL Account Credit
Posting key: Select 40
Account select the drop down button
GL long text                      :*Cash*
Company code             : AML
GL Account                        : Z*
Enter

Select account No.200100
Enter

200100 Cash account – Filed status GRP-G005

Text            Business Area Value date                  Required
                                         In enter global parameters select define default value date check box
Amount                          :400000
Business area          :AMLH
Text                            : Equity share capital receipt
Posting key                     : Select 50
Account select drop down button
Give the company code AML and press enter
Select account          :100000 Equity share capital
Press enter
Amount enter           :*(star)

Note:    * (star) Means debits and credits equal

Cash A/c             Dr                     500000
       To Equity                            300000
       To Preference              *

                                                              32
Business area            :AMLH
Text Enter                        :+
‘ + ‘(plus) mean copies the last line item narration in the same document.

Salaries                 A/c    Dr        100000
(Salaries provision for Sep.)

Wages          A/c     Dr
(Wages provision for Sep.)
       To outstanding Exp
We can not use *
Press enter

From the menu select document simulate (Shift +F9)
In one document we can have 999 line items.

Debit will be posted without any assign and credit amount will be posted with minus sign.

Select save button or Ctr+S

We get a message document 1 was posted in company code:AML

How to view the last posted document 1.

From the menu select document display.

Select display document header button or (F5)

Display document

Path: Accounting – Financial accounting – General ledger-Document –Display (Tr.Code:FB03)

Select document list button
Give the company code                     :AML
Document type                             :SA
Select executive button (F8)
To view last one week posted document 24/09/2008 to 1/10/2008


Select execute button
To view self (documents posted by us)
Select own documents only check box
To view documents posted by a specific user


From the menu select –> Edit –> Dynamic –> Selections (Shift +F4)
User name :SAPUSER
Select execute (F8) button
Double click on document no.1

Change document :

Path:   Accounting – Financial Accounting –General ledger-Document –Change (Tr.code is FB02)

Document No.                    :1
Company code                    :AML
                                                           33
Fiscal year                               :2008
Enter
Double click on first line item cash account
We can change only value date filed assignment filed and text filed.

Account display:

Path: Accounting – Financial Accounting –General ledger – Account – Display balances ( Tr.code is FS10N)

To view more than one account transactions select multiple selection button beside GL Account no.

We want to view random account numbers transactions.

Press select single value tab.

Give the account no.100100
                        200100

Select copy button

To view continuous account numbers transactions

Press select intervals tab
Low limit        :100000
Upper limit      :100099

Select copy button

Account no.100050
To exclude an account from the range
Select exclude single value tab
Singe value : 100050

Select copy button

To exclude a range of accounts :select exclude intervals tab
Low limit                                 :100050
Upper limit                               :100059
Select copy button
To view only one account
Select drop down button beside GL Account
Give the company code            :AML
Enter
Select account no.100000 Equity share capital
Company code                     :AML
Fiscal year                               :2008
Business area                    :AMLH
Select execute (F8) button
Double lick on cumulate balance amount
Double click on document No.1
Select call up document overview button (F9)
Select back arrow (F3)

Document Number                  Posting date            Text          Amount
                                                           34
    1                                                                        100000
    2                                                                        200000
    3                                                                        300000
                                                                             -----------
                                                          Total Amount      600000
                                                                             ======
We can create our own line layout

How to create our own line layout:

Select change layout button (Ctrl+F8)
Select the filed which are not required
Select right arrow or hide selected fields button
From hidden fields column
Select posting date
Select left arrow show select fields button change column positions

Column                  Pos              Length
Document No.            1                10
Amount in local currency         4                20
Text                             3                35
Posting date                     2                10

Change text length 35 characters for amount in local currency select total check box
Select copy button

How save the layout:
Select save layout button (Ctrl+S)
                         Option 1                         Option 2
                         Common to                        User specific
                         All
A) Deselect user specific Check box               A) Select user specific check box
B) We have to save with any number or name        B) we can save will any number or
                                                          Name
Layout                          : / AML
Deselect user – specific check box
Description                             : Standard layout for AML
Select save button
Select back arrow two times
Execute
Double click cumulate balance amount

How to choose our layout:
Press select layout button (Ctrl+S)
Select                           : AML

How to make default line layout:
From the menu select settings – layout - Administration
Keep the cursor on /AML
Select define default setting button
Save
Select back arrow three times
Give the account no.200100 cash account
Execute (F8)
Double click on cumulative balance amount

Hold Document:
It is a temporary document

                                                            35
This is user for adjustment purpose or at the time of posting we do not know either debit or credit.

This document can be deleted there is no tracking for this document.

     A) Loans to Directors
        Create as hold document an once he gives money back delete the document.
     B) Payment to a party –purpose of payment we don’t know

Cash balance = Account balance +/ Hold documents
Hold documents will not update records

Steps:
    1. Run a program called “RFTMBLU” for conversion of hold documents
    2. Creation of hold documents
    3. Delete / complete hold documents


1.       Run a program called “RFTMBLU” for conversion of hold documents

Path : Tools – ABAP Workbench- Development –ABAP Editor (SE38)

Program                  : give the program name :RFTMBLU”
Select execute button
Select no. termination for read error check box
Execute

2. Creation of hold documents
Use the transaction code (F-02)
Document date            : Today date
Type                             :SA
Company code: AML
Posting key                      :50
Account no.                      :200100 (cash account)
Enter
Give the amount                  : 5000
Business area            :AMLH
Text                             :Amount paid to Mr.X
From the menu select document hold
Tem parry document No.           :AML
Select hold document button
We get a message document AML was held

Second
F-02

Give the document date: Today date
Type                              :SA
Company code             :AML
Posting key                      : 40
Account 200100 (Cash account)
Enter
Give the amount 20000

                                                            36
Business area              :AMLH
Text                                   : Hold document testing
Posting key:                           : 50


Account no.:                           100000 (Equity share capital)
Enter
Amount enter               :* (Star)
Business area              : AMLH
Text                                   :+
From the menu select Document –> Hold
Give the temporary document no. 123456 (give any number)
Select hold document button

    3. Delete / Complete hold document (F-02)
    Use the transaction code f-02
    From the menu select
    Path :Document – Get held document –Select document list button

    Keep the cursor on document number 123456
    Select delete button
    select yes button
    select back arrow (F3)
    select document list button
    Keep the cursor on document no.             :AML
    select choose button
    Give posting key                            :40
    Account no.                                 :100000 Equity share
    Enter
    Amount Enter                                       :*(Star)
    Business Area                                      : AMLH
    Text                                               :+
    From the menu select document –Simulate and save




    Park Documents :
    This is used for approvals Cashier

Enter the document he will park             Informs to SR person        SR person he can make changes to the
in the system                               approval                    document form amount / Date / head of
                                                                        account before release
Accounts will not be updated                                            And release document
Account will not be updated                                             Once he release the document will be
                                                                        posted and updates records


Steps:
1. Posting of packed document by cashier
2. Informed to Sr. person for release –Be cashier

                                                                   37
3. Display packed document and change date and amount
4. After change, inform to Cashier about approval
5. Display changes to packed document

    1. Posting of Packed Document
    Path : Accounting – Financial accounting – General Ledger- Posting-General document parking (F-65)

Give the document date          : Today date
Document type                   : SA
Company code                    : AML
Posting key                                 :40
Account                                     :200100 (Cash account)
Enter
Amount                                      :9999
Business area                   : AMLH
Text                                        : park document testing
Posting key:                                :50
Account                                     :100000 (Equity share capital)
Enter
Amount enter                    : *(Star)
Business area                   :AMLH
Text                                        :+

From the menu select – Document – Park document

    2. Informed to Senior Person for release

From the menu select system –>short message
Give the title                  : Please release Doc.No.3
Receipt user id of Senior person (sap user)
Recipient type           : Select SAP logon name
Select express mail check box (Screen down right side)
Select send button (Shift+F8)
From the menu select system –> Create session

    4. Display packed document and change date and amount

    Path :Accounting –Financial accounting – General ledger-Document – parked documents- post / delete
    (FBV0)

Select document list button
Give the company code                       :AML
Enter by user ID                                    :Cashier
Execute (F8)
Double click on document no.3
To change the date
Select document header button
Change document date and posting date to 5.10.2008
                                                               38
Select back arrow
Select fast data enter button
Change amount 6000 Debit
                    6000 Credit
Select back arrow
From the menu select document post
Inform to cashier about approval
From the menu select –System –>Short message.
Title document no.3 released
Recipient User Id of Cashier
Recipient type
Select SAP logon name
Select express mail check box
Select send button (left side upper)
From the menu select system –> Create session

4 .Display changes to packed document

Path: Accounting –Financial accounting – General ledger-Document - Parked Documents-Display changes
(FBV5)

Company code            : AML
Document No             :3
Fiscal year                   :2008
Enter
Select all changes button

Sample document:

This is used for month end provisions
Salaries A/c     Dr.    100000
Rent             Dr     50000
Wages Dr         500000
         To outstanding         650000

Create a sample document and store in the system every month by coping sample document number and by changing
date and amount we an post the provisions we will not forget any provisions.

Steps:
   1. Create 3GL masters
       A) Salaries A/c         Personnel cost
       B) Rent A/c     Administration
       C) Outstanding expenses – Current liabilities & Provision
   2. Difference no.range interval for no.range X2
   3. Creation of sample document
   4. posting of transaction by copying sample document

To check account groups for giving account numbers. The transaction code is OBD4

Select position button
Give the chart of accounts : AML
Enter
The personnel cost is 400100-400199
Administration range 400300-400399
Current liabilities & Provision range is 100500-100599
                                                         39
Creation of GL masters (FS00)

Give the GL Account 400100
Company code              :AML
Select with template button
Give the GL Account 100000 (Equity share capital )
Company code              :AML
Enter
Change account group to personnel cost (Staff cost)
Select P & L statement radio button
Change short text to Salaries A/c
Change long text to Salaries A/c
Other fields are common
Select save button or Ctr+S
GL A/c No:                         .400300
Company code              :AML
Select with template button
Give the GL account       :400100 salaries
Company code              :AML
Enter
Change account group to Administration
Change short text to Rent account
Change long text to Rent account
Other fields are common
Select save button or Ctrl+S
GL Account                         :100500
Company code              :AML
Select with template button
Give the GL account       :100000 (Equity share capital)
Company code              : AML
Enter
Change account group to Current liability & Provisions.
Change short text to Outstanding express
Change GL Account Outstanding express
Select control data tab
Select open item management check box
Save
Define no. range interval for no. range X2:

Path: SPRO – Financial accounting –Financial accounting global settings – Document – Document number
ranges- (Tr.Code is FBN1)

Give the company code :AML


                                                           40
Select change intervals button
Select interval button
No. range                         :X2
Year                              :2008
From number              :500001
To number                         :500100
Enter & Save
Ignore the message press enter

Creation of sample document

Path: Accounting – Financial accounting – General ledger - Posting – Reference documents – Sample document
(F-01)

Document date :30.09.2008
Posting date             :30.09.2008
Type                     :SA
Company code :AML
Posting key              :40
Accounting               :400100 (salaries a/c)
Enter
Ignore the warning message ,press enter
Amount                   :500000
Business area : AMLH
Text                     : Salaries provision for the month
Posting key:             :40
Account                  :400300 (Rent account)
Enter
Account                  :75000
Business area : AMLH
Text                     : Rent provision for the month
Posting key:             :50
Account no.              :100500 (out standing exp)
Enter
Amount enter    :*
Business area :AMLH
Text                     : Provision for the month
Select save button or Ctrl+S

We get a message document 500001 was stored in company code : AML

    5. Posting of transaction by coping sample document : F-02)

    From the menu select document post with reference.
    Give the document no.                         :500001


                                                              41
   Company code                                      :AML
   Fiscal year                           :2008
   Select display line items check box
   Enter
   Change the document date              :31.10.2008
   Posting date                                      :31.10.2008
   Enter
   Ignore the warning message press enter
   Change the amount to 600000
   Text                                  :Add October (Salaries for the month of October)
   Amount                                :0
   Enter
   Line item having zero will not update records
   Ignore the warning message
   Amount enter                          :*(star )
   For text                              : Add October
   From the menu select document simulate
   Select save button or Ctrl+S

   Month end provisions:

   Option 1:                                         Option 2
   Accrual / Deferral document                       Open item management

   Option 1: Accrual Deferral document

   31.10.2008 Salary provision
              Salaries Dr                                     100000
                      To out standing                100000



   01.11.2008 reversal next month 1st
              Outstanding Dr                         100000
              To Salaries                                     100000

05.11.2008 Payment of salaries
              Salaries         Dr                             105000
                      To Bank                                 105000



                       Salaries A/c
31.10.2008                     100000
05.11.2008                     105000 01.11.2008                       100000




                       Outstanding Expenses A/c
                                             31.10.2008                         100000
01.11.2008                    100000


                                                               42
Profitability effect::
For October                                100000
For November because October               5000

Option 2: open item management
31.10.2008       Salaries provision

        Salaries        Dr                          100000
                To out standing            100000

05.11.2008 Salaries payment
       Out standing Dr                     100000
       Salaries        Dr                           5000
               To Bank                              105000


                Salaries A/c
31.10.2008                        100000
5.11.2008                         5000

                Outstanding Expenses A/c
                                                                                       31.10.2008            100000
01/11/2008                        100000

Profitability effect
For October                                         100000
For Nov. because of October salaries       5000

Companies follow 1st option (other than year end)
In case of option 2 – the person who makes the provision is accountant and the person who is making the payment and
clearing is Cashier - Cashier has to track the provision and clear against the provision.

Option 1: Accrual / Deferral document :
Steps
1.Creation of reversal reason and reversal reason should allow us to reverse on any day.
2. Enter accrual / Deferral documents
A) Rent Provision                       08.10.2008
B) Salary provision                     31.10.2008

3.Reversal of accrual / deferral documents in one step

1.Creation of reversal reason and reversal reason should any day.

Path : SPRO- Financial accounting –General ledger accounting-Business transactions –Adjustment posting /
Reversal - Define reason for reversal

Select new entries button
Reason                    :11
Text                      : Real / Deferral Reversal reason for AML
Select neg. posting check box
Select alternative position date check box
Select save button or Ctrl+S
Save in your request

If we do not select alternative posting date check box

31.10.2008
Salaries Dr
        To out standing

System will allow you to reverses only 31.10.2008
We want to reverse next month 1st select alternative posting date check box

                                                             43
Rent provision:

Path : Accounting – Financial Accounting – General ledger –Periodic processing – Closing – Valuate- Enter
Accrual / Deferral Document (Tr.Code is FBS1)

Document date         : Today date
Type                           :SA
Company code          : AML
Reversal reason                : Select 11
Reversal date         :1.11.2008 (next months)
Posting key                    :40
Amount                         :400300 (Rent A/c)
Enter
Amount                         :50000
Business area         :AMLH
Text                           : Rent provision for October
Posting key                    :50
Account no.                    :100500 (out standing exp)
Enter
Amount                         : *(star)
Business area         : AMLH
Text                           :+
From the menu select document –>Simulate and save

Salaries provision:
Tr.Code is FBS1

Document date         :3110.2008
Posting date                   :31.10.2008
Type                           :SA
Company code          :AML
Reversal reason                :11
Reversal date         :01.11.2008
Posting key                    :40
Account                        :400100 (Salaries A/c)
Enter
Ignore the warning message press enter
Give the amount                100000
Business area         AMLH
Text                           :Salaries provision for the month of October
Posting key                    50
Account                        :100500 (outstanding exp.)
Enter
Amount                :*

                                                         44
Business area           :AMLH
Text                            :+
From the menu select document –> Simulate and save




Reversal accrual / Deferral document :

    Path : Accounting – Financial Accounting – General Ledger – Periodic processing – Closing –Valuate –
    Reverse accrual / Deferral Document (Tr.Code is F.81)

Give the company code                  : AML
Reverse posting date                   :01.11.2008
Select text run check box
Execute (F8)
Select reversal documents button
Select back arrow

OPTION 2 : Open Item Management
This is used vendors customers / Balance Sheet items where clearing is required. We have to select open item
management check box

While crating the GL accounts

       Out standing Expenses
               Salaries A/c            500000
               Wagers A/c              300000
Bank 25000     Rent a/c                25000

We can see the account in 3 ways
               1. Open items: Payable – Salaries and wages
               2. cleared items : Paid rent and bank
               3. All items : Payable + paid


3. Scenarios
1st Scenario                           2nd Scenario                       3rd Scenario

Full Clearing                          Partial clearing            Residual items method

Provisional and payment –
Same amounts

A) Rent Provision –(Transaction code F-02)
Document Date & posting date         :13.10.2008
Type                                            : SA
Company code                           : AML
Posting key                                     :40
Account no.                                     :400300 (Rent A/c.)
Enter
Give the amount                                 :15000
Business area                          :AMLH
Text                                            : Rent provision


                                                          45
Posting key                                         :50
Account no.                                         :100500 (outstanding exp)
Enter
Amount                                              :* (enter star)
Business area                             :AMLH
Text                                                :+
From the menu select Document –> Simulate and save

B) How to view open item managed account transactions:

Path : Accounting – Financial Accounting – General Ledger- Account – Display / Change line items (Tr. Code is
FBL3N)

Give the GL Account              :100500 (outstanding exp)
Company code                     : AML
Select open items radio button
Select normal items check box
Execute (F8)

OUT GONG PAYMENT WITH CLEARING:

Path : Accounting – Financial Accounting – General Ledger - Posting – Out going payments (F-07)

Give the document date           : Today’s date
Type                                      : SA
Company code                     : AML
Clearing text                             : outgoing payment
Account Under bank data                   :200100 (Cash A/c.)
Business Area                    :AMLH
Amount                                    : 15000
Text                                      : Outgoing payment
Account under open item selection :100500 (out standing expenses)
Amount type                               : S(S is default) (S: Stands for GL Accounts)
Select process open items button

Reversed documents will not appear for clearing:

Double click on payable amount 15000
Document – > Simulate and save
Go and see open item account transactions Tr.Code is FBL3N
Give the GL Account no :.100500 (outstand expenses)
Company code             :AML
Select cleared items radio button
Clearing data            : Today’s date
Select normal items check box
Execute (F8)


                                                               46
Select back arrow
Select open item radio button
Execute
(-*- This symbol is open item(document no. below))

2nd Scenario                                             3rd Scenario
Partial Clearing                                  Residual items method

When we make part payment we can use either partial clearing or residual items method.


Out standing exp.                                 Outstanding Exp.
OI                                                       OI
Rent           40000 Cr                           Rent           30000 28000 Cr
Cash           5000 Dr
               -------                                            -------
               35000 Cr                                           28000 Cr
               =====                                        =======
                                                  CI :
                                                  Rent 30000 Cr
                                                  Rent 30000 Cr
                                                       --------------
                                           0
                                                            =====


A) Rent Provision                                 A) Rent Provision
    Rent                          Dr 40000                Rent A/c        Dr    30000
        To Outstanding           40000            Outstanding             30000


B) Part payment                                   B) Payment              Rs.2000

Out standing Dr 5000                       Outstanding          Dr 30000 cleared
        To Cash 5000                              To Cash           2000
                                                         To Outstanding 28000

Residual: Balance payable

Note : OI means Open Items
       CI Means Cleared Items

Companies follow 1st method


We test how to view bill wise outstanding:

Rent Provision F-02

Document date            : Today date
Type                             : SA
Company code             : AML
Reference                        :3456
Posting key                      :40
Account No.                      :400300 (Rent a/c)
Enter
Amount                           : 40000
                                                               47
Business Area            : AMLH
Text                              : Rent provision
Posting key                       : 50
Account No.                       :100500 (Outstanding exp.)
Enter
Amount                            : * (enter star)
Text :+
From the menu select Document –Simulate and save


Out going payment using partial clearing method: ( Tr. Code F-07)

    Document Date                 : Today’s Date
    Type                          : SA
    Company code                  : AML
    Reference            : 3456
    Clearing text                 :Outgoing payment
    Account under bank data: 200100 (Cash a/c)
    Business area                 : AMLH
    Account                       : 5000
    Text                          : Outgoing payment
    Account under open item selections 100500 (outstanding exp)
    Select process open items button
    Keep the cursor on the amount filed of line item against which we want to adjust.
    Select partial payment tab
    Creates payment amount column
    Double click amount 40000
    Double click on payment amount 40000
    From the menu select Document – >Simulate
    Gives a message correct the marked Line items
    Double click on blue font line items
    Text enter           :+
    Select save button or Ctrl +S



    Go and see open item account transactions

    The Transaction is code is FBL3N

    Give the GL account                    :100500 (outstanding Exp.)
    Company code                           : AML
    Select open items radio button.
    Select normal items check box
    Select execute button
    To view bill wise outstanding


                                                            48
   Select change layout button (Ctrl+F8)
   From the hidden fields column
   Select reference field
   Select amount in local currency under column contain.
   Select left arrow or show selected fields button
   Select copy button
   Keep the cursor on reference
   Select sub total button

   To make balance payment of 35000 and cleared provision and part payment (F-07)

   Give the document date       : Todays date
   Type                                 : SA
   Company code                         : AML
   Reference                    :3456
   Clearing Text                        : Out going payment
   Amount under bank date       :200100 (Cash A/c)
   Business Area                        :AMLH
   Amount                               :35000
   Text                                 : Outgoing payment
   Account                              : Under open item selection 100500(out standing exp)
   Account type                         :S
   Select process open item button
   Double click on provision 40000
   Double click on part payment 5000
   From the menu select document –> Simulate and save

   Go and see open item managed account transactions (FBL3N)

   Give the GL Account o.               :100500(out standing exp)
   Company code                         : AML
   Select cleared items radio button
   Select normal items check box
   Execute

Residual items method:

       Rent provision F-02

       Give the document date           : Todays date
       Type                             : SA
       Company code             : AML
       Posting key                      : 40
       Account no.                      :400300 (Rent account)
       Enter


                                                           49
Amount                             :30000
Business area            :AMLH
Text                               : Rent provision
Posting key                        :50
Account no.                        :100500 ( outstanding exp)
Enter
Amount                             :*
Business area            : AMLH
Text                               :+
From the menu select Document ->Simulate and save



Out Going Payment Using Residual Items Method: (F-07)

Give the document date             : To days date
Type                                        : SA
Company code                       : AML
Clearing Text                               : out going payment
Account under bank date                     : 200100 (Cash a/c)
Business area                      : AMLH
Amount                                      :2000
Text                                        : out going payment
Account type                       :S (default comes)
Select process open item button
Account                  : Under open item selection 100500 (out standing exp)
Keep the cursor on the amount filed of the line item against which we want adjust.
Select residual items tab
It creates residual items column
Double click on next amount 30000
Double click on residual items amount
From the menu select Document –> Simulate
It gives the message correct the marked line items.
Double click on blue font line item.
Text enter                         :+
Save

Go and see the open item managed account transactions (FBL3N):

Give the GL Account no.                     :100500 (out standing exp.)
Company code                       : AML
Select open items radio button
Select normal items check box
Execute



                                                        50
                                            FOREIGN CURRENCY TRANSACTIONS

        1. Check exchange rate type

        Bank buying              Exports                           G type
        Bank selling             Imports / Expenditure    B type

        Average rate MM /SD users type

        Path : SPRO-SAP Net weaver- General Settings – Currencies – Check exchange rate types

        Select position button
        Exchange rate type: B (enter B)
        Enter

        Define translation rates for currency translation:

        Giving conversion factors for two currencies:

                USD 1            :        INR 1
                JPY 100          :        INR 1           JPY=Japanese - Yen
                ERO 1 :          INR1
                GBP1             :        INR1            GBP=Great Britain -Pound
                ITL1             :        INR1            ITL=Italian -Lira
                JPY 100          :        INR1 37Rs

                         Or
                1                :        0.01    0.37

Once we follow one conversion factor follow continuously for all the years. Don’t change in between if we change in
between it gives wrong results.

This is given at client level and not at company code level (Client 800)

Path: SPRO – SAP Net weaver- General settings – Currencies – Define translation
        ratios for currency translation

Ignore the message select yes button.
Select new entries button


Exchange rate type               From             To     valid (from)       Ratio (from)   Ratio (to)
G (Bank buying)                  USD              INR    01.10.2008         1              1
B (Bank selling)         USD              INR     01.10.2008       1                 1
M (Average rate)                 USD              INR    01.10.2008         1              1

Select save button or Ctrl+S
Press enter to save in your request.

Enter exchange rates:

Path: SPRO- SAP Net weaver- General settings- currencies – Enter exchange rates

Forex Table
We can enter Daily quotations / Week end quotations / Month end quotations.

For each day end for each type we can enter only one rate.

Select new entries button

Exchange type Valid from      R           From currency Director quotation          To
G                      10.10.2008         1      USD                     47.00                     INR

                                                             51
B                        10.10.2008       1         USD                    47.50                   INR
M                        10.10.2008       1         USD                    47.10                   INR

Press enter and save in your request.

Exchange rates entry at the End User Area:

Path: Accounting – Financial accounting – General ledger-Environment – Current settings – Enter translation
rates (S_BSE_68000174)

Foreign currency postings for end user area:


SCENARIO :1                                               SCENARIO 2
When exchange rate is not entered at                When exchange rate is entered at the
the time of posting.                                      Time of posting

            a. IF we don’t enter the rate at the time of posting, it takes rate from Forex table

            b. If take the latest date rate
               1.10.2008                            45
               10.10.2008                           47

                 Enter date      :15.10.2008
                 Posting date    :09.10.2008

            c.   To enter default exchange rate type based on document type.
                 General ledger posting                  : SA Bank selling rate
                 Purchase INV posting (FI purchases)     :KR Bank selling rate
                 MM Purchases                            :RE Bank selling rate

                 Sales invoice posting (FI Sales)          DR Bank buying rate
                 SD sales                                        RV Bank buying rate

If we do not specify system takes average rate.

    1. To enter default exchange rate type B (Bank selling rate) for document type
       ‘SA’

Use the Tr. Code is OBA7

Select type                            : SA
Select details button
Under default values exchange rate type for foreign currency documents. Select B (Bank selling rate)
Save

    2. Posting of expenditure in USD F-02

        Give the document date            : To days date
        Type                              : SA
        Company code             :AML
        Currency                          : USD
        Rate                              : Blank
        Posting key                       :40
        Account                           : 400100 (salary)
        Enter
        Give the amount                   :1000
        Business area            : AMLH
                                                              52
Text                             : Salary payment
Enter
Posting key                      : 50
Account                          :200100 (cash account)
Enter
Amount                  :*
Business area           : AMLH
Text                             :+
From the menu select Document ->Simulate


To view in INR
Select display currency button
Save



When exchange rate is extend at the time of posting

Expenditure posting Tr.Code is F-02

Document date           : To days date
Type                             : SA
Company code            : AML
Currency                         : USD
Rate                             :50
Posting key                      :40
Account no.                      :400100 (salary account)
Enter
It gives the warning message exchange rate 50 deviates from table rte 47.50 by 5.26%
Ignore the warning message press enter
Amount                           :10000 USD
Business area           : AMLH
Text                             : Salary payment
Enter
Posting key                      :50
Account no.                      :200100 (Cash account)
Enter
Amount                           :*
Business area           :AMLH
Text                             :+
From the menu select Document ->Simulate and save

REVERSELS:
1. Individual Document Reversal
2. Reversal of Reversed document
3. Mass Reversal

                                                    53
         4. Clearance Items Reversal
         5. Account Deferral document reversal

     1. Individual Document Reversal
            A) To reverse one document at the time
            B) To give reversal reason
            C) At the time of reversal, it we do not give reversal date it takes original document posting.

     Date incase, that period should be open
     1. Document posted on 10th April 2008 Doc.No.1 Generated
     2. Now, we have open the periods from September 2008 to October 2008
        6,2008 – 7,2008

3.       Ledger scrutiny - Doc.No.1 is wrong

Document No.
Reversal reason
Reversal date            Blank
Save

It takes original document posting date 10/04/2008
It can not reverse, since the April period is not open

Path : Accounting – Financial Accounting – General ledger – Document – Reverse – Individual Reversal (FB08)

Give the document no.             :1
Company code                      :AML
Fiscal year                               :2008
Select 01 reversal reason
Posting date                              : Blank
Select display before reversal button
Select back arrow
Select save button or Ctrl+S
From the menu select Document –>Display
Select Go to Display document Head button (F5)
Double click on document no.1

Select display document header button
1. Posted Documents 1
                               2
                               3
                               4
                               5
                               6 Reversal for 1
                               7 Reversal for 2

2. Document type and no./ranges : OBA7
Select type                   : SA
Select details button
Number range          :01
Reversal Doc.type             : AB

3. Document display      : FB03
Company code             : AML
Doc. Type                         : SA original documents
                                    AB Reversed documents

     2. Reversal of Reversed Document

                                                             54
    Indirect method (work around)
    To reverse Doc No.2 By mistake we have reversed Doc.No.1 and it has generated Doc.No.18
    Use transaction code F-02
    From the menu select post with reference
    Give the document no.                 :18
    Company code                          :AML
    Fiscal year                 :2008
    Select generate reverse posting check box
    Select display line items check box
    Enter
    Enter once again
    Change the text to reversal for Doc No.18
    Enter
    Text                                  :+
    Enter
    Save
    Enter
    From the menu select Document ->Display
    Select display document header button

    3. Mass Reversal

     A)To reverse more than one document at time we use mass reversal.
     B) The documents to be reversed can be continuous numbers or random numbers.

    Path: Accounting – Financial accounting – General ledger – Document – Reverse – Mass reversal (F.80)

Give the company code             : AML
To reverse random numbers
Select multiple selection button beside document no.(-->)
Under single values
Give document no .2
                         4
Select copy button
Reason for reversal 01
Select test run check box
Execute
Select reverse documents button

Cleared Items Reversal

    1. Go and see open item managed account transactions (FBL3N)
        Give the GL Account Number 100500 (out standing exp)
        Company code                    : AML
        Select clear items radio button
        Execute



        Out standing exp A/c
                       01

        10 Bank         15000             9      Rent            15000

                                                            55
                                        CI
                                        9       Rent                15000 Cr
                                        10      Bank                15000 Dr
        Stop payment instructions to the banker

                 A) Reset cleared items – Delink between the provision and payment.

                            Out standing expenses A/c
                                           01

10 Bank                             15000           9        Rent          15000

                 B) Reverse cheque transaction
                               Out standing expenses A/c
                                       01
                       9       Rent                                        15000

Path: Accounting – Financial accounting – General ledger-Document –Reset clear items (Tr.Code is FBRA)

Clearing document                   : 10
Company code                : AML
Fiscal year                         : 2008
Select save button or Ctrl +S
Select resetting and reverse button
Reversal reason                     :01
Enter
We get a message clearing 10 reset
Enter

Go and see open item managed account transactions Tr code is FBL3N

Give the GL Account no.100500 outstanding expenses
Company code            : AML
Select open item radio button
Execute

Interest Calculations
Balance Interest calculation                        Item interest calculation
S       Type                                                 P Type
GL      Account                                              Vendor / Customers




Define interest calculation type:

Path : SPRO- Financial accounting – General ledger accounting- Business transactions – Bank account interest
calculation – Interest calculation Global settings – Define interest calculation types

Interest indication                          : G1
Name                                         : 10% Monthly
Interest calculation type           : Select S
Balance interest calculation
Press enter to save in your request


                                                              56
Prepare account balance interest calculation:

Path : SPRO- Financial accounting – General ledger accounting- Business transactions – Bank account interest
calculation – Interest calculation Global settings- prepare account balance interest calculation (Tr.Code OBAA)

Select new entries button
Interest calculation indicator            : G1
Interest calculation frequency            : Select 01
Calendar type                             : Select G (28     31/365)
Select balance plus interest check box
Save
Press enter to save in your request

Calendar Type
In case of rupee loans we use G Calendar          In case of foreign currency loans we
                                                          use F calendar.
                                                          FC Loan from SBI LIBOR +2%

                                                           (LIBOR Mean London Inter Bank Offer Rate)
                                                           For interest calculations the denomination will be always 360
                                                           days

                                                           FIBOR – Frankfurt Inter Bank Offer Rate

                                                           MIB - Mumbai Inter Bank Offer Rate




Define Reference Interest Rates:

SBI rupees term loan       10/04/2008                                               100000
                                  10/09/2008                                                   10000
Interest calculation for the year

1st method
On 100000 from 10/04/2008 to 31/03/2009 at 10%                             15000
On 100000 from 10/09/2008 to 31/03/2009 at 10%                             -3000
                                                                                    --------
                                                                                    12000

2nd Method
On 10000 from 10/04/2008 to 09/09/2008 at 10%                              5000
On 90000 from 10/09/2008 to 31/03/2009 at 10%                              7000
                                                                                    ------
                                                                                    12000
                                                                                    =====
If the account is having credit balance                                  10%
If the account is having debit balance                                   8%
Loan account – Interest indicator                        Account Credit balance reference interest rate : G2-10%
         Account debit balance reference interest rate G3-8%

    A) Interest rates are given to reference interest rate (G2 and G3)
    B) Reference interest rates are specified separately if there is a credit balance and if there is a debit balance and it
       will be assigned to interest indicator
    C) Interest indicator will be specified in loan account.


                                                             57
Define reference interest rates:

Path : SPRO – Financial accounting – General ledger accounting – Business transaction –Bank account interest
calculation – Interest calculation –Define reference interest rates (Tr code is OBAC)

Select new entries button
Ref int.rate                      : G2
Long text                         : Credit balance 10% interest
Description also credit balance 10% interest
Date from                         :01.04.2008
Currency                          : INR
Save
Press enter to save in your request
Select next enter button
Ref.int.rate                      : G3
Long text                         : Debit balance 8% interest
Description                       : Dr. Bal 8% int
Date from                         : 01.04.2008
Currency                          : INR
Save



Define Time – Dependent Terms

Path : SPRO – Financial accounting – General ledger accounting – Business transaction – Bank account interest
calculation – Interest calculation- Define time – Dependent Terms

Select new entries button
Interest calculation indicator                       : G1
Currency key                                                : INR
Effective from                                       : 10.04.2008
Sequential number                                           :1
Terms                                     : Select credit interest balance interest calculation
Ref.interst rate                                     : G2
Save
Press enter to save in your request
Select next entry button (F8)
Interest calculation indication                      : G1
Currency key                                                : INR
Effective from                                       :01.04.2008
Sequential number                                           :2
Term    : Select debit interest balance interest
                                                             calculation
Reference rate                                       : G3
Save


                                                                 58
Enter Interest Values
Same path as above (Tr code is OB83)

Select new entries button
Reference interest rate                          : G2
Valid from                                               : 01.04.2008
Interest rate                                            : 10 (one month)
Reference interest rate                          : G3
Valid from                                               : 01.04.2008
Interest rate                                            :8
Save
Press enter to save in your request



Creation Of 2 Gl Masters

A .SBI rupees term loan                                  Secured loans
B. Interest account                                             Intrest

To check account groups for giving account numbers OBD4
Select position button
Give the chart of accounts             : AML
Enter
Secured loan range              :100300 -100399
Interest range                  : 400400-400499

Creation Of Gl Masters (Fs00)

Give the GL account no.           :100300
Company code                      : AML
Select with template button
Give the GL Account no.                   :100000 Equity share capital
Company code                      : AML
Enter
Change the account group to secured loans
Change short text to SBI rupee term loan
Change GL account long text to SBI rupee term loan
Change GL Account text to SBI rupees term loan
Select Create / Bank / Interest tab
Field status group change to G005
Interest indicator select G1
Save

Tr.Code:FS00

GL Account no.            :400400
Company code              : AML
Select with template button
Give the GL account no.:400100 salaries account

                                                            59
Company code             : AML
Enter
Select type / Description tab
Change account group to interest
Change short text to interest a/c
GL account long text: Interest account
Save

Assignment accounts for automatic postings:

Path : SPRO- Financial accounting – General Accounting – Business Transactions – bank account interest
calculation- Interest Posting – prepare GL Account balance interest calculation (Tr.Code OBV2)

Select symbols button
0002 Interest paid
2000 GL Account (paid)
Interest account       Dr 0002           400400
To SBI rupees term loan        2000            100300
If more than term loan 2000              ++++++++++ ( 10 Times plus)

(10 times +(plus) mean any account number)

Length of account no. maximum 10 digits
We are using 6 digits – why can not we use ++++++ (6 times plus)
When we post a transaction – Cash account Dr

Credit to equity share capital and when we give the account number 200100 for cash account and 100000 for Equity
Share Capital – It takes in the beginning 0000200100 Debit and 0000100000 Credit and when we save it saves with
200100 and 100000.

If we gives 6 times plus – when we simulate for loan it takes 000010 and it can not save.

SBI rupees term loan 100300
IDBI rupees term loan 100301
ICICI rupees term loan 100302

At the time of interest calculation, we give for which loan account interest is to be calculated. Now we are asking the
system to calculate interest for 100301 – IDBI rupees term loan account 100301 will be replaced in ++++++++++

Select accounts button
Give the Chat of Accounts                : AML
Enter

Accounts symbol                          Currency                          GL A/c
0002                                     INR                               400400
2000                                     INR                               ++++++++++

Select save button or Ctrl +S
Press enter to save in your request


Open Posting period (Tr.Code is OB52)

To open posting periods for April 2008
Select position button
Give the posting period variant : AML
Enter

                                                            60
For Variant                              : AML
From the period 1 is                     :1
Select save button or Ctrl+S
Press enter to save in your request

SBI rupee term loan receipt             : F-02
10.04.2008      SBI cheque date         100000
12.04.2008      cheque deposit in bank
Document date                   :12.01.2008
Posting date                            :12.04.2008


Interest calculation in SAP from 12.04.2008
Where as bank calculates from 10.04.2008
We are giving value date 10.04.2008
Now SAP also calculates interest from 10.04.2008

Document date & posting date             :10.04.2008
Type                                              : SA
Company code                             : AML
Posting key                                       :40
Account                                           :200100 (Cash a/c)
Enter
Ignore the warning message press enter
Amount                                            :100000
Business area                            : AMLH
Value date                                        :10.04.2008
Text                                              : SBI Term loan receipt
Posting key                                       :50
Account key                                       :100300 SBI Rupee term loan
Enter
Amount                                   :*
Business area                            : AMLH
Value date                                        :10.04.2008
Text                                              :+
From the new select document simulate and save.

Term loan repayment (F-02)
Due date                                        :10.09.2008
Cheque date                                     :10.09.2008
To bank credit in SBI books only on 12.09.2008 interest credit will be in our books 10.09.2008
SBI gives credit from 12.09.2008
Cheque date                                     :07.09.2008
Value date                                      :10.09.2008

F-02
Give the document date & posting date 07.09.2008
Type                                              : SA
Company code                             : AML


                                                            61
Currency                                            : INR
Posting key                                         :40
Account no.                                         :100300 SBI rupee term loan
Enter
Ignore the warning message press enter
Amount                                     :10000
Business area                              : AMLH
Value date                                          :10.09.2008
Text                                                : SBI Term Loan Repayment
Posting key                                         :50
Account                                             :200100 (Cash account)
Enter
Amount enter                               :*
Business area                              : AMLH
Value date                                          :10.09.2008
Text                                                :+
From the menu select document –>Simulate and save

Balance Interest calculations:

Path: Accounting – Financial accounting – General ledger- periodic processing- Interest calculation-Balance
interest calculation (F.52)

Company code                               :AML
Give the GL account                        :100300 ( SBI Rupee Term Loan)
Calculation period                                  :01.04.2008 to 31.03.2009
Execute
Select back arrow
To view line item wise interest
Select additional balance line check box
Execute
Select bank arrow

How to give effect for floating rate of Interest
Interest rate change from 10% to 12% from 01.06.2008
On 100000 from 10/04/2008 to 31/05/2008 @10%
On 100000 from 01.06.2008 to 09.09.2008 @12%
On 90000 from 10/09.2008 to 31/03/2009 @12%

Open one more session with SPRO

Path :SPRO- Financial accounting – General ledger accounting – Business transactions- Bank account interest
calculation – Interest calculation- Enter Interest Values (OB83)

Select new entries button
Reference interest rate : G2
Valid from                        :01.06.2008
Interest rate                     :12
                                                             62
Save
Press enter to save in your request come to the first session
Execute
Select back arrow

Interest postings to accounts:

Change the calculation period     : 01.04.2008 to 30.04.2008
Select post interest settlements check box
Select update master records check box
Session name                      : AML
Posting to business area                  : AMLH
Posting date of session           :30.04.2008
Posting segment text              : Interest for April 2008
Select execute button
To view the batch input session
From the menu select system – >Services –> Batch input Session

Select session name      : AML
Select process button
Select display errors only radio button
Select process button
We get a message processing of batch input session completed
Select exit batch input button

To view the document posted use the (Tr. Code FB03)

Go and see the GL maser (FS00)

Give the GL Account no.                    :100300 (SBI rupee T.L)
Company code                       : AML
From the menu select GL account –->Display –-> Select create / Bank / Interest tab
Key date of last interest calculation :30.04.2008
Date of last interest run            :20.10.2008
On which date we have to run

1. Simple interest                                        2. Compound interest
SBI rupee term loan 10.04.2008 100000              SBI rupee term loan 10.04.2008 100000
                                                                                   30.4.2008        575
0002-400400 Interest A/c                                  For may it calculates on 100575
2000-100510 Interest payable a/c
For may it calculates on 100000

Interest also to post to separate accounts
400400 Interest on SBI Rupee Term Loan
400401 Interest on IDBI Rupee Term Loan
400402 Interest on ICICI Rupee Term Loan

0002-400400 interest on SBI rupee term loan, we are calculating interest for IDBI rupee term loan

In batch input session – select process forward radio button
Deselect display errors only radio button

    40              400400 Interest on SBI Term Loan 1000
                    Change account no to 400401

                                                              63
How to make open items initially inactive:
Clearing
    1     1000 Cr
    2     2000 Cr
    3     3000 Cr
    Payment 1000 Dr

   The difference is too large for clearing all items are initially inactive
   1           1000 Cr
   2           2000 Cr
   3           3000 Cr
Payment        1000 Dr

Path : Accounting – Financial Accounting – General ledger – Environment – User parameter- Editing options
(Tr.code is FB00)

Select open items tab
Select selected items initially inactive check box
Save

Foreign Currency Balance Revaluation
FC term loan (Foreign currency TL)
        |
Long term working capital                            Fixed assets purchase
                                                             |
                                                     Local assets          Imported assets

21.10.2008       100000 USD                47        4700000
13.10.2008       100000 USD                50        5000000
                                                     -----------
                                                       300000
                                                     ========
As per accounting standard 11 (ASII)
Balance to be revaluated and change to profit & loss account.

Creation of 3 GL Masters
A) SBI FC Term loan                        Secured loans
B) Exchange again                                 other income
C)Exchange loss                                   Administration

To check account groups for giving account no.OBD4
Select position button
Give the chat of accounts                    : AML
Enter
Note the other income range 300100 to 300199

Create of GL masters FS00

Give the GL account no.100301
Company code                  : AML
Select with template button
Give the GL account no             :100300 (SBI Rupee Term Loan)
Company code                       : AML
Enter
Change short text and long test to SBI FC term loan
Select control data tab
Account currency change to USD


                                                               64
Deselect only balance and loan currency check box
Select create / bank / Interest tab
Interest indicator                        : Blank
Delete the dates
Save
GL Account                                :300100
Company code                      : AML
Select with template button
Give the GL account no.           :400300 Rent account
Company code                      : AML
Enter
Select type/ Description tab
Change account group to other income change short text and GL account long text to exchange gain
Save
GL Account                                : 400301
Company code                      : AML
Select with template button
Give the GL account no.400300 rent account
Company code                      : AML
Enter
Change short text and GL account long text to exchange loss
Save
DEFINE ACCOUNT PRINCIPLES

Path : SPRO- Financial accounting(new)-Financial accounting global setting (new)-Ledgers-Parallel accounting-
Define accounting principles

Select new entries button
Accounting principle              :B
Name / Description of accounting principle.: INDIAN ACCOUNTING STANDARDS
Press enter to save in your request

Assignment accounting principle to ledger groups
Same path as above

Select new entries button
Accounting principle                      : B1
Target ledger group                       :0L
Save
Press enter to save in your request

Define valuation methods

Path: SPRO- Financial accounting (new)- General ledger accounting (new)-Periodic processing – Valuate- Define
valuation methods

Select new entries button
                                                         65
Valuation method                                 : AML1
Description                                      : FC valuation bank selling method for AML
Select always evaluate radio button
Document type                           : SA
Exchange rate type for debit balance    : B (bank selling rate)
Exchange rate type for credit balance   :B
Select determine exchange rate of ratio button
Save
Press enter to save in your request

Define Valuation Areas
Same path
Select new entries button
Valuation area                  : BA
Valuation method                        : AML1
Currency type                   : Select company code currency
Save
Press enter to save in your request

Assign valuation areas and accounting principles
Same path

Select new entries button
Valuation area                  : BA
Accounting principle                    : B1
Save
Press enter to save in your request

Prepare automatic postings for foreign currency valuation:

Path :Upto valuate the path is same-Foreign currency valuation-Prepare automatic posting for foreign currency
valuation (Tr code is OBA1)

Double click on exchange rate difference using exchange rate key
Give you chart of accounts                                : AML
Select change valuation area or right arrow button
Give the valuation area                          : BA
Enter
Exchange rate difference key                     : USD
expenses account                                          :400301
Exchange rate gains account                      :300100
Select save button or Ctrl+S
Press enter to save in your request

Delete ledgers (other than OL) for Ledger Group – OL


                                                           66
April –March OL           Leading ledger (India)
Jan- Dec       G1         Non leading ledger 1(US)
July – June    GL         Non leading ledger 2(Australia)

At the time of posting – FI we don’t give ledger group it updates all the ledgers automatically

Indian accounting standards /                                      US Accounting
 Australian accounting standards                                         standards (US GAAP)


FC revaluation                                                     Add to asset
Creation of ledger groups OL                                               G1
Assign ledgers OL and GI                                                   G1

Delete ledgers assigned to ledger group OL other than OL

Path :SPRO-Financial accounting (new)- Financial accounting Global settings (new) – Ledger-Define ledger
group-

Select ledger group :0L
Double click ledger assignment folder
Select ledgers other than OL
From the menu select delete
Ignore the message press enter and save
Press enter to save in your request

Assign exchange rate difference key in GL Master (FS00)

Give the GL 100301 SBI FC Term loan
Company code                      : AML
From the menu select GL Account change
Select control data tab
Exchange rate difference key: Select USD
Select save button or Ctrl+S



Foreign currency term loan receipt (F-02)

Give the document date                    : Today’s date
Type                                      : SA
Company code                      : AML
Currency                                  : USD
Rate                                      :47
Posting key                               :40
Account                                   :200100 ( Cash account)
Enter
Ignore the warning message press enter
Amount                                    :100000
Business area                     :AMLH
Text                                      :SBI FC Term Loan Receipt


                                                             67
Enter
Posting key                                :50
Account                                    :100301 SBI FC Term loan
Enter
Amount enter                       :*
Business area                      :AMLH
Text                                       :+
From the menu select Document Simulate and Save




Enter year end exchange rate in Forex table – OB08
Select new entries button

Exchange rate        Valid from                 From                  Direct quotation       To
G                    31.03.2009                 USD                   49.50                  INR
B                    31.03.2009                 USD                   50.00                  INR

Save

Foreign Currency Revolution

Path: Accounting – Financial accounting-General ledger-Periodic processing-closing-valuate-foreign currency
valuation (new) (Tr.code is FAGL_FC_VAL)

Give the company code                      : AML
Valuation key date                                     :31.03.2009
Valuation area                             : BA
Select GL balance tab
Select valuate GL Account balance check box
GL account 100301 SBI FC term loan
Select postings button
Give the batch input session name          :AML
Select execute button
Select 1postings button
Select back arrow two times

Month end revaluation
                                                                      Diff
23.10.2008                100000           47
31.10.2008                                             47.50          0.50               5000
30.11.2008                                             49             2.00               200000

Exchange Loss                                                  Option 2
31.10.2008                50000
30.11.2008                200000                       01.11.2008             50000

SBI FC Term loan
23.10.2008                100000                                              4700000
31.10.2008                                                                           50000
01.11.2008                500000                       30.11.2008             200000

Loss for October          50000
                                                                 68
Loss for November 150000
                      ---------
Loss up to Nov. 200000
                      ======


procedure for month end revaluation: (Tr code is FAGL_FC_VAL)

   Enter month end exchange rates in Forex table
   Company code                          : AML
   Valuation key date             : Month end date
   Valuation area                        : BA
   Select crate posting check box
   Select reverse posting check box
   Select execute button
   Procedure for year end revaluation


   Enter year exchange rate in Forex table
   Company code                          : AML
   Valuation key date year end date
   Valuation area                        : BA
   Select create posting check box
   Reversal posting date                 :Blank
   Deselect reverse posting check box
   Select execute button
   From the menu select System –-> Services-Batch input – Sessions
   Select session FAGL_FC_VALU
   Select process button
   Give the business area                : AMLH
   Enter


   Second
   Business area                         : AMLH
   Enter
   We get a message processing of batch in put session completed
   Select exit batch input button
   To view the document posted view the Tr.Code FB03
   Enter
   Select display currency button
   End user area                                            customization area SPRO
   SAP easy access screen)
   How to view path when transaction code is given
   In command filed enter search – SAP- menu
   Search –SAP-Menu

                                                       69
Press enter
Search text entry : F-02
Enter

CUSTOMIZATION AREA: Use the Tr.code is SPRO
Select find button (Ctrl+F)
Search term : Fiscal year
Enter
Select fiscal year in area financial accounting global settings
Enter




                                                         70
                                                   ACCOUNT PAYABLE

This is subledger (subsidiary ledger). This is used when material management (MM) module is not implemented for all
type purchases material purchase services.

When Material Management(MM) module is implemented.

This is used for services where TDS is to be deducted.

Eg.Job work charges /legal and professional charges

In normal accounting for raw material purchases.

Purchase       A/c               Dr
       To party

In SAP :for Raw material purchases
Inventory       RM     Dr      General ledger
        To party               Sub ledger –Sundry creditors –General ledger
                                      |
                               Reconciliation account on control account

Trail balance will not match –when we post to party automatically it updates sundry creditors –RM

Basic settings for account payable:
    1. Creation of vendor account groups
             a) we create FI vendors services parties
             b) MM vendors                       -Reconciliation account
                 Material parties        -Required entry field
    2. Create number range for vendor accounts:
    3. Assign number range group to vendor account group.
    4. Define tolerance group for vendors.
    5. Creation of 2GL masters.
        a) Inventory raw material                - Current assets, loans & advances
        b) Sundry creditors – RM                 -Current liabilities & Provisions
    6. Creation of vendor master
   7. Document type and no.ranges
                 KR: Vendor invoices
                 KZ: Vendor payment
                 KA: Vendor document for transfers / Reversals
  8. Posting keys        :31      Vendor credit
                         :25      Vendor debit



Creation of vendor accounts groups:

Path :SPRO –Financial accounting –Accounts receivable and accounts payable-Vendor accounts-Master data-
preparation for creating vendor master data- Define account groups with screen layout (vendors)

Select new entries button
Account group           :AML1
Name                    :FI vendors for AML
Double click on company code data
Double click on account management
Reconciliation account make it required entry field
Cash management group make it suppress
select save button


                                                          71
select create request button
short description :AP customization for AML
enter
press enter to save in your request
select next entry button
account group AML2
Name            :MM vendor for AML
Double click on company code data
Double click on account management
Reconciliation account :         Make it required entry filed.
Cash management group select suppress
Save

Create number range for vendors account :

Up to preparation for creating vendor master data path is same
Create number ranges for vendors account.(Transaction code is XKN1)

Select change intervals button
Select interval button
Number range               :13
From no.                   :4200001
To no.                     :4300000
Enter
Select interval button once again
No.range                   :14
From No.                   :4300001
To no                      :4400000
Enter
Save
Ignore the warning message press enter




Assign number range to vendor account groups:
Same path

Select position button
Account group                    :AML1
Enter
For account group                        :AML1
Number range                     :13
Account group AML2
Number range                     :14
Press enter to save in your request


                                                             72
Define tolerance group for vendor

Path :SPRO-Financial accounting-Account receivable and account payable-Business truncations-Outgoing
payments-manual outgoing payments-Define tolerances(Vendors)

Select new entries button

Company code            :AML
Tolerance group                  : Blank
Description                      :Tolerance group for AML
Save
Press enter save in your request

Creation 2GL masters (FS00)

Give the GL account no.200120
Company code              :AML
Select with template button
Give the GL account no.200100 Cash A/c
Company code              : AML
Enter
Change short text and GL A/c long text to Inventory RM (Raw material)
Select create /bank /interest tab
Field status group change to G001
Deselect relevant to cash flow check box
Save
One more A/c
GL Account No.100501
Company code              :AML
Select with template button
Give the GL A/c No.100500 (Outstanding exp)
Company code              :AML
Enter
Select type/ Description tab
Change short test and GL account long test to Sundry Creditor to RM
Select control data tab
Deselect only balances in local currency check box
Reconciliation account for account type select vendor
Deselect open item management check box
Sort key                            :Select 012 vendor number
Select create /bank /interest tab
Field status group change to G067 (reconciliation accounts)
Save

Creation of vendor master:

Path : Accounting-Financial accounting –Account payable-Master records-Maintain centrally-Create
(Transaction code is XK01)

                                                            73
Give the company code :AML
Account group           :AML1
Enter
Title                            :Select company
Name                             :Birla Chemicals Limited
Street                           : Ameerpet
Post                             :500082
City                             :Hyderabad
Country                 :In(India)
Telephone no.                    :040123456
Select next screen button three times
Reconciliation account :Select 100501 (sundry creditors raw materials)
Sort key                         :012 Vendor no
Select next screen button
Payment terms           :Select 0001 (payable immediately)
Tolerance group                  :Blank
Select check double invoice check box
Save

MM Module
Purchase order
        |
Goods receipt
        |
Invoice verification




FI Module
Document date :Party bill date            01.10.2008

Posting date           31.10.2008                 07.11.2008
Reference vendor no. party bill no.
                                 1234                       1234
                                   |                          |
                                 Save                       save
Doc no.100001

System gives a wrong message no.100001 is posted to the party with the same amount. Do you want to post once
again.

Provided we select check double invoice check box (If MM module is not implemented and same bill two times entry)

Document types and no. ranges (OBA7)
Select type   KR  Vendor invoice

Select details button
Number range            19 (Note down the no.range)

                                                             74
Select number range information button
Give the company code : AML
Select change intervals button
Select interval button
No.range         :19
Year             :2008
From no.         :100001
To no.           :200000
Enter and save
Ignore the warning message press enter
Select back arrow 3 times
Select type      -KZ vendor payment
Select details button
No. range        15 (note down the no.range)
Select no.range information button
Give the company code :AML
Select change intervals button
Select interval button
No.range                         year          From no.                 To no.
15                               2008          200001          300000
Enter and save
Ignore the warning message press enter
Select back arrow 3 times
Select type – KA vendor document
Select details button
No.range                 17
Select no.range information button
Company code : AML
Select change interval button
Select interval button
No.range                 :17
Year                     :2008
Form no.                 :300001
To no.                   :400000
Enter and save
Ignore the message press enter




                                                          75
                                                      HOUSE BANK
Bank branch name
Bank Address
Contact person
Telephone no.

Senario1
1. House bank           SBI Main branch
No.of account                   Current A/c           Current A/c          Current C/A
ID’s (Identification)           No.1                      No.2                     No.3

Scenario 2

2 House banks                    SBI Main branch                    BI Begumpet Branch
                                                |                                   |
         Account ID                     Current A/c No.             Current A/c No.

Steps:
    1) Creation of GL Master  SBI current account  Under Current assets , Loans & Advances
    2) Define House bank
    3) Creation of check lots  check from no., check to no.
* In SAP check mean cheque

    1. Creation of GL Master (FS00)

         Give the GL account no.200105
         Company code :AML
         Select with template button
         Give the GL account no.:      200100             Cash A/c
         Company                       :         AML
         Enter
         Change short text and GL account long text        SBI current A/c
         save


    2. Define house banks

         Path : SPRO-Financial accounting –Bank accounting-Bank accounts –Define house banks (FI12)

         Give the company code          : AML
         Enter
         Select new entries button
         House bank                             :SBI
         Bank country                           :IN
         Bank key                               :AML1 (text field)
         Save
         Bank name                              :State Bank of India
         Street                                 :Bank Street
                                                            76
   City                                       :Hyderabad
   Bank branch                                :Main branch
   Enter
   Press enter to save in your request
   Double click on bank account folder
   Select new entries button
   Account ID                                 :SBI1
   Description                                :SBI current A/c no.1
   Bank account no.                           :AML1234
   Currency                                   :INR
   G/L Account no.                    :200105 SBI current a/c
   Select save button

3. Creation of check lots:

   Path :Accounting –Financial accounting-Accounts Payable –Periodic Processing -payments (F110)

   From the menu select  Environmentcheck Information  Number ranges (FCHI)

   Paying company code :AML
   House bank                         :SBI
   Account ID                         :SBI1
   Select change button (Shift +F5)
   Select create button
   Lot no.                            :1
   Check no                           :500001
   To no.                             :500100
   Select –Non sequential check box
   Short information                  :SBI
   Purchase date             :Today’s date i.e Check box issue date
   Enter and save



   Manual payment                        Automatic payment
   1. We can issue any check any time     System will issue check one after another
   2. Sequential or Non-sequential Sequential

   Purchase invoice posting

   Path : Accounting-Financial accounting-Account payable –Document entry- Invoice general
          (Transaction code F-43)

   Give the document date             :Todays date
   Type                                       :KR(Vendor)
   Company code                       :AML
   Posting key                                :31 (Vendor credit)
   Account                                    :4200001 (Vendor no.)
   Enter
                                                         77
     Give the amount                          :500000
     Business area                    :AMLH
     Text                                     :Purchase invoice posting
     Posting key                              :40
     Account no.                              :200120 (Inventory raw material)
     Enter
     Amount                                   :*
     Business area                    :AMLH
     Text                                     :+
     From the menu select document  Simulate and save

                   How to view vendor account transactions

Path: Accounting –Financial accounting-Account payable-Account –Display change line items (Transaction
code is FBL1N)

     Give the vendor account          :4200001
     Company code             :AML
     Select open items radio button
     Select normal items check box
     Select execute button

3.                 To view general ledger sundry creditor raw material –Transaction code is FS10N

     Give the GL account no.:100501 Sundry creditor raw material
     Company code             : AML
     Fiscal year                      :2008
     Business area            :AMLH
     Select execute button
     Double click on cumulate balance amount

     To view vendor wise

     Select change layout button
     Select assignment field from the hidden fields column
     Select amount in local currency (under column content)
     Select left arrow
     Select copy button
     100501 Sundry creditors RM
     Sort key          :012 Vendor number
     Sort key updates assignment field automatically

     Outgoing payment with clearing

     Path :Accounting – Financial accounting-Accounts payable -Document entry–Outgoing payment –Post
     (F-53)

     Give the document date           : Todays date
     Type                                     :KZ
     Company code                     :AML

                                                        78
           Clearing text                               :Outgoing payment
           Account under bank date                     :200105 (SBI current account)
           Amount                                      :5000
           Business area                      :AMLH
           Text                                        :Outgoing payment
           Account under open item select :4200001
           Account type                       :K comes by default (K stands for Vendors)
           Select process open items button
           Double click on payable amount                       :5000
           Document Simulate
           Select save button or Ctrl+S


           Go and see the vendor account truncation (Tr.code is FBL1N)
           Give the vendor account no.        :4200001
           Company code             :AML
           Select cleared item radio button
           Select normal items check box
           Execute

           Creation of manual check

           Path :Accounting –Financial accounting –Accounts payable –Environment –Check information –Create –
           Manual checks (Tr code FCH5)

           House bank                         :SBI
           Account ID                         :SBI1
           Give the check no.                 :500025
           Save




           Display check resister

           Upto check information the path is same             Display –Check register (Tr code is FCHN)

           Give the paying company code :AML
           Execute
           Double click on check no.                   :500025
           Select accompany documents button

                                                           Path A/c
Bill no.   Amount          Payment            Payment doc.no.       Check
1          5000            5000               200005        500001
2          5000
3          15000
4          5000            5000               200001            500025 payment history
5          5000            5000               200010            500005

Assignment of check no.to payment no.payment doc no.is cleared will be number

Check encashment date updating:
Based on bank statement we update check encashment date.

                                                                  79
Advantage 1
   1. We know on which date the check is encased by the party
   2. Bank reconciliation is easier
   3. upto check information the path is same change –Additional info/Cash
       (Tr code is FCH6)
   paying company code                        :AML
   House bank                                 :SBI
   Account ID                          :SBI1
   Check no.                           :500025
   Enter
   Give the check encashment                  :20.11.2008
   Save

   Go and see check register FCHN

   give the paying company code                :AML
   Execute
   Sort date wise –FI the encashment date is bank or offer 30.11.2008
   Checks issued but not presented.

   Unissued checks cancellation

   Some time while writing check we commit mistake before issuing to party – we cancel check
   Up to check information the path is same void –unused checks (Tr code is FCH3)

   Give the paying company code          :AML
   House bank                            :SBI
   Account id                            :SBI1
   Check no.from                                 :500001
   Void reason code                              :Select 06 destroyed select void button (Shift+F5)

   Go and see the check register (FCHN)

   Give the paying company code                  :AML
   Select execute button
   Once the check lot is over all check keep the cursor and cheque no.from to select sort in ascending order button
   (Ctrl +F5)
   If any number is missing between the check is misused.

   How to create void reason code

   Path :SPRO-Financial accounting –Accounts receivable and accounts payable-Business truncations-
   Outgoing payments –Automatic outgoing payments-Payment media –check management –Define void
   reason codes
    (Tr code is FCHV)

   Select new entries button
   Reason                                                :15
   Void reason code                                      :Stop payment for AML
   Select save button or Ctrl+S
   Press enter to save in your request

   How to delete encashment date data:
   500019     we have to give encashment date 20.11.2008 for 500019.by mistake we have given for 500020
   500025     20.11.2008 to delete encashment date
   500021
   500022

   Path :up to check information the path is same – Delete –Reset data (Tr.code is FCHG)
                                                           80
Give the paying company code         :AML
House bank                           :SBI
Account id                           :SBI1
Check number                                :500025
Select reset cashing data radio button
Execute
Select yes button for the message to reset data

Go and see the check register (FCHN)
Give the paying company code                :AML
Execute


   Issued check cancellation
   System will not permit to cancel encashed checks.
                                                   Vendor account
   a) Invoice posting (F-43)                        a) 01 (open items)
   b) Outgoing payment with clearing (F-53)        b) Bank 5000 Dr a)5000 Cr
   c) Manual check creation (FCH5)                 CI (Clearing items)
                                                   A)       5000 Cr
                                                   B)       5000 Dr
   d)Display check register (FCHN)
   e) Issued check cancellation
   1) Reset cleared items –Delinking bill amount and payment amount
                                    Vendor Account
                                            01
                            B) Bank         5000 DrA)       5000 Cr
   2) Reverse payment
                                    Vendor account
                                            01
                            A)      5000 Cr

Cancel check

Path :upto check information the path is same –Void-Cancel payment (Tr.Code is FCH8)

Paying company code                :AML
House bank                         :SBI
Account ID                 :SBI1
Check number                       :select 500025
Void reason code           :15 (stop payment for AML)
Reversal reason            :select 01(reversal in current period)
Select cancel payment button

Go and seethe vendor account FBL1N

Give the vendor account no.:4200001
Company code                      :AML
Select open items radio button
Select normal items check box
Select execute button

Go and see the check register FCHN

Give the paying company code       :AML
Select execute button

Advance payments to vendors (down payments to vendors)


                                                      81
    Sundry creditors       Purchase     Advance         Advance to vendors
   (current liabilities)                                (current assets)
                          Payment          purchase
       1. Creation of GL master –Advance to vendors –Current assets, Loans & Advances
       2. Link between sundry creditors ands advances to vendors
                                           A (Advance special GL indicator)
                                           ^
                       Sundry creditors Advance to vendors
                  Reconciliation account Alternative reconciliation account or special
                                                  GL Account
                                    100501 200150
                          Vendor A/c              4200001 – BirlaChemals Limited -100501
At the time of making payment –we know the purpose of payment.
If it is payment against a bill -4200001
100501-Sundry creditors
If it is payment as an advance 4200001 A
4200001 – Birla Chemicals Limited -100501

                        A(Advance (Special GL indicator))
                        ^
                  100501 200150

Advance payment posting

Purchase invoice posting
Transfer of advance from special GL to normal by clearing special GL items.
Clearing of normal items.
Vendor account have two parts
    1) Normal items
    2) Special GL items

Creation of GL master advance to vendors (FS00)

GL A/c No.                        :200150
Company code               :AML
Select with template button
Give the GL account no.100501 (Sundry creditors raw material)
Company code               :AML
Enter
Change account group to current assets loans & advances
Change short text and GL account long text to Advance to vendors
Other fields are common
Select save button or Ctrl+S

Link between sundry creditors and advance to vendors:

Path :SPRO-Financial accounting-Accounts receivables and accounts payables – Business transactions-Down
payment made-Define alternative reconciliation account for down payments (Tr code is OBYR)

Double click on A or down payment on current assets
Give the chart of accounts                      :AML
Enter
Reconciliation account                  :100501
Special GL account                              :200150
Select save button or Ctrl+S
                                                            82
Press enter to save in your request

Advance payment posting:

Path :Accounting –Financial accounting –Account payable –Document entry-down payment –Down payment (F-
48)

Document date            :Todays date
Type                             :KZ
Company code             :AML
Vendor account                   :4200001
Special GL indicator     :A
Bank account             :200105 SBI current account
Business area            :AMLH
Amount                           :25000
Text                             :Advance payment posting
Enter
Amount                           :*
Business area            :AMLH
Text                             :+
From the menu select Document –Simulate and save

Go and see the vendor account transaction (Tr.code is FBL1N)

Give the vendor account no.             :4200001
Company code                            :AML
Select open items radio button
Select special GL transaction check box
Execute

Purchase invoice posting (F-43)

Give the document date           :Today’s date
Type                                      :KR
Company code                     :AML
Posting key                               :31
Account no                                :4200001
Enter
Amount                                    :25000
Business area                    :AMLH
Text                                      :purchase invoice posting
Posting key                               :40
Account no.                               :200120 inventory raw material
Enter
Amount                                    :*
Business area                    :AMLH
Text                                      :+


                                                            83
From the menu select document –simulate and save

Go and see the vendor account (Truncation code FBL1N)

Give the vendor account no.      :4200001
Company code                     :AML
Select open item radio button
Select normal items check box
Execute
Select back arrow
Select special GL truncation check box along with normal items
Execute

Transfer of advance from special GL to normal by clearing special GL items

Path :Accounting –Financial accounting-Accounts payable-Document entry-Down payment –Clearing (F-54)

Give the document date                    :Today’s date
Document type                             :KA
Company code                              :AML
Vendor account                                   :4200001
Text                                             :Advance transfer to normal
Select process down payments button
Transfer posting                                 :25000
Save

Go and see the vendor account transactions FBL1N

Give the vendor account no.               :4200001
Company code                              :AML
Select clearing items radio button
Select special GL transaction check box
Execute
Select back arrow
Select open items radio button
Select normal items check box
Execute




Clearing of normal items:

Path : Accounting –Financial accounting –Accounts payable –Account –Clear      (F-44)

Give the account no.     :4200001
Company code             :AML
Select process open items button
Double click on credit 25000
Double click on debit    25000

                                                            84
Save


Go and see the vendor accounts (Transaction code .FBL1N)

Give the vendor account no.      :4200001
Company code                     :AML
Select cleared items radio button
Select normal items check box
Execute
                                                     Vendor account
                                                            |
                                           Normal / Items
6        5       25000            425000         Sundry creditors C/L
                                  Special GL items
Advance to vendor         3       25000          5               25000

2nd Scenario
Advance more bill less
Advance                200000
Bill amount              50000

     A) Advance payment posting (F-48)
     B) Purchase in voice posting (F-43)
     C) Transfer of advance of Rs.500000 from special GL to normal (F-54)

     Vendor A/c normal items
     D           C                50000            B       50000
     Special GL items
     A 200000                             C        50000

     D) Clearing of normal items (F-44)


     Final result
     Vendor special GL shows a balance of Rs.1500000 – Advance to vendors
     To be cleared against future bills.

     3rd Scenario
     Advance bill more
     Advance           9000
     Bill amount 90000
                                                                    Vendor A/c
                                                                    normal items
     A) Advance payment posting (F-48)
     B) Purchase invoice posting (F-43)         C     9000          B      90000
     C) Transfer of advance from special GL to normal
        by clearing
                                                                           Special GL Items
         Special GL (F-54)                                 A        9000   C              9000

    D) While making balance payment
        Of Rs.81000 double click on bill
        Amount 900000 and payment amount
        Rs.9000. All the 3 line items will go to
        Clearing items (F-53)

         TERMS OF PAYMENT
         1    Payable immediately - Due net

         Path : SPRO-Financial accounting –Accounts receivable and accounts payable –Business transactions-
         Incoming invoices / Credit memos – Maintain terms of payment

                                                               85
Select new entries button
Payment terms            :AML1
Select customer check box
Select vendor check box
Default for base line date
No default                     :No.of purchases during the month base line date at the time of Invoice posting
                               –Blank
                               For all purchases during the month give month end date.
Document date                  :Party bill date
Posting date                   :Goods receipt date
Entry date                     :Quality approval date

Payment terms                    :If the payment is made within 10 days -3% cash discount
                                 If the payment is made within 20 days -2% ash discount payable within 30 days

Under default for baseline date: Select posting date radio button
                                 Percentage      No.of days
Term 1                             3             10
Term2                              2             20
Term3                            -               30

Press enter
Select save button or Ctrl+S
Press enter to save in your request

Cash Discount Received

Trade discounts are to be adjusted to purchases where as cash discounts are to be shown under other income.

Creation of GL master –Cash discount received other income (FS00)

Give the GL A/c no.              :300101
Company code            :AML
Select with template button
Give the GL account 300100 exchange gain
Company code            :AML
Enter
Change short text and GL account long text to cash discount received.
Save

Assignment of account for automatic postings:

Path :SPRO-Financial accounting-Accounts receivable and Accounts payable-Business transactions-
Out going payments-Out going payments global settings –Define accounts for cash discount taken. (Tr
Code is OBXU)

Give the Chart of Accounts            :AML
Enter
Save
Give the account no.300101 cash discount received
Save
Press enter to save in your request

Purchase invoice posting (F-43)

Document date                            :25.10.2008
Posting date                             :01.11.2008
                                                   86
Entry date                               :Today’s date
Type                                     :KR
Company code                             :AML
Currency                                 :INR
Posting key                              :31
Account                                  :4200001
Enter
Amount                                   :100000
Payment terms                            :Select AML1
Text                                     :Purchase invoice posting
Enter
Ignore the warning message press enter
Posting key                              :40
Account no.                              :200120 Inventory raw material
Enter
Amount                                   :*
Business area                            :AMLH
Text                                     :+
From the menu select document –Simulate and Save




Go and see the vendor account (Transaction code is FBL1N):

Vendor account                           :4200001
Company code                             :AML
Select open item radio button
Select normal items check box
Execute
Form the menu select change layout button
Form the hidden fields column
Select current cash discount amount
Select amount in document currency under column-contain
Select left arrow or show selected fields button
Select copy button

Outgoing payment with clearing (F-53)

Document date                            :Today’s date
Type                                     :KZ
Company code                             :AML
Clearing text                            :Out going payment
Account under bank data                  :200105 SBI current account
Business area                            :AMLH


                                                    87
        Amount                                     :97000
        Text                                       :out going payment
        Account                                    :Under open item selection 4200001
        Select process open items button
        Double click on payable amount                      :100000
        From the menu select document Simulate
        We get a message correct the marked line items.
        Double click on blue font
        Text enter                                 :+
        Save




        Automatic payment program (APP)

        System will                             -Check due dates
                                                -Issue check
                                                -Pass the enter and cleared party account
                                                -Generate payment advance
                                                - update check register
The check lot should be sequential –we are not programmer –system given payment program.
Check format and payment advice format
APP will be used by cash rich companies
They run weekly / for every 10 days /For every 15 days

At the time of APP run, we have to give bankwise ranking with available amounts.
           SBI            1               1000000
           IDBI           2               500000
           ICICI          3               300000
It will issue checks from SBI upto 10 lakhs. Then afterwards it issued form IDBI upto 500000 – Then it goes to ICICI and
issued up to 3000000

After run, it gives a proposal – In the proposal it shows for which parties for which bills from which bank it is going to
issue to checks.

We can edit proposal                        By blocking some invoices for payment
                                                    Or
                                            By charging bank

Due              Party X          Party Y
                 1                          1
                 2                          2
                 3                          3
                 4                          4
                 5                          5

Black invoices 4,5 and make the payment for 1,2 and 3 use the fund for party bill payments.

System is issuing form SBI for party X 3 bills –party is having account in ICICI-Change bank from SBI to ICICI.
                                                              88
Setup payment methods for country for payment transactions

Path :SPRO –Financial accounting-Account receivable and account payable –Business transactions-Outgoing
payments –Automatic outgoing payments -Payment method /Bank selection for payment program-Setup
payment method per country for payment transactions

Select new entries button
Country                                          :IN
Payment method                                   :B
Description                                      :Check
Select outgoing payments radio button
Select check radio button
Document type for payment               :KZ
Clearing document type                  :KZ
Payment medium program                  :RFFOUS_C
Name of print date set                  :LIST1S
Save
Press enter to save in your request



Setup payment methods per company code for payment transactions:

Same path
Select new entries button
Paying company code :AML
Payment method                  :B
Minimum amount                  :10
Maximum amount                  :9999999999
Select payment per due day check box
Select from data button
From for the payment medium: F110_PRENUM_CHECK
Drawer on the form              : for Aravind Mills Limited
Authorized signatory
Save
Press enter to save in your request

Setup all company codes for payment transactions:

Same path

Select new entries button
Company code            :AML
Paying company code            :AML
Separate payment per business area check box
Out going payment with cash discount from : Bank interest rate 1.5% per month
                                                             18% per annum
Payment term:
If we make the payment within 30 days we get -1% cash discount
Due within 60 days
                                                              89
System will payment 60 days since discount is less than bank interest rate.
Within 30 days :Interest for month 1.5
Within 60 days :Interest for month 1.5+1.5

Payment terms:
If we make the payment within 30 days we get 2% cash discount.
Due with in 60 days
System will within 30 days since discount more than bank interest rate.

Maximum cash discount:
Payment term:
If we make the payment within 30 days we get 1% cash discount. Due within 60 days.
Though we are not entitled, system claims 1% cash discount and make the balance payment only even if it is paid with
60 days.
Special GL transaction to be paid under vendors : Select A (Advances)
Save
Press enter to save in your request


Setup paying company codes for payment transactions:

Same path

Select new entries button
Paying company code             :AML
Select forms button
From for the payment advise F110_D_AVIS
Select sender details button
Text ID :Select ST (ST stands for Text)
Letter header                             :F_0001_HEADER
Footer                                           :F_0001_FOOTER
Sender                                    :F_0001_SENDER
Save and Press enter to save in your request

Creation of sequential check lots (FCHI)

Paying company code                       :AML
House bank                                       :SBI
Account ID                                       :SBI1
Select change button
Select create button
Lot number                                       :2
Check number                              :800001
To                                               :801000
Deselect non-sequential check box
Short information                                :SBI
Purchase date                             :Today’s
Enter and save

Assign payment methods in vendor master:


                                                           90
Path :Accounting-Financial accounting –Accounts payable-Master records –Maintain centrally-Change (XK02)

Give the vendor no.             :4200001
Company code           :AML
Select payment transaction check box under company code data
Enter
Payment methods                 :Select ‘B’
Payment block          :If we don’t want to make the payment to this party in this
                                run, select -Skip account

Alternative payee                :We have purchased from Birla Chemicals Limtied –BCL has to make the payment to
                                 party XYZ –BCL instructs us to make the payment to XYZ-in alternative payee give XYZ
                                 no. when we run APP ,check will be in the name of XYZ and party clearing will be BCL

House bank                      :BCL in having account in ICICI –It instructs us to issue check from ICICI only – We give
                                house bank ICICI- check we issued only form ICICI.
Individual payment              :When we run APP, it will issue one check only for all the bills due –some parties ask us
                                to issue separate check for each bill. Select individual payment check box.
Separate check will be issued for each bill.
Select save button or Ctrl+S

END USER AREA

Purchase invoice posting (F-43)

Document date            :Today’s date
Type                             :KR
Company code             :AML
Posting key                      :31
Account no.                      :4200001
Enter
Give the amount                  :9999
Business area            :AMLH
Text                             :Purchase invoice posting
Posting key                      :40
Account no.                      :200120 Inventory raw material
Enter
Amount                           :*
Business area            :AMLH
Text                             :+
Document –Simulate and save

Setup bank determination:

Path :Accounting –Financial accounting –Accounts payable-Periodic processing-Payments (Tr code is FBZP)

From the menu select Environment maintain -Configuration

Automatic payment program –Customization one –Screen FBZP
Select bank determination button
Select position button
Paying company code :AML


                                                             91
Enter
Select AML
Double click on ranking order folder
Select new entries button
Payment method                   :B
Currency                         :INR
Bank order                       :1
House bank                       :SBI
Save
Press enter to save in your request
Double click on bank accounts folder
Select new entries button
House bank                       :SBI
Payment method                   :B
Currency                         :INR
Account ID                       :SBI1
Bank sub account                 :200105 (SBI current account)
Business area            :AMLH
save
Double click available amounts folder
Select new entries button
House bank                       :SBI
Account ID                       :SBI1
Days                             :999
Currency                         :INR
available for outgoing payment :1000000
Save

Automatic payment program run (Tr code is F110)

Path :Up to periodic processing the path is same- Payments (Tr code is F110)

Run date                         :Today’s date
Identification                   :AML1
Select parameter tab
Company codes                    :AML
Payment methods                  :B

Though we have given the date, we can run tomorrow it self

Payment term                     :If we make the payment within 10 days we get 2% cash discount (Dues within 30
                                 days)

Purchase today                   :07.11.2008

If we make the payment to day -2%
If we make the payment on 14.11.2008 2%
System will not issue check today’s – It will issue in the next run since the discount amount is same.


                                                            92
It control the cash flows

Party bill date             :07.11.2008
Payment term                :AML2 30 days credit 07-12-2008
APP run today               : It asks next Posting date :14.11.2008



APP run2                            :14.11.2008                       21.11.2008
Next payable date                   :14.11.2008
Next posting date                   :14.11.2008

Vendor from                         :4200001
Vendor to                           :4300000
Save

Select bank arrow
Select proposal button (Shift +F1)
Select start immediately check box
Enter
Go on press enter (Basic Tr code box green tick mark box)
Till we get the message payment Proposal has been created


To edit the proposal -Select any proposal button enter (Shift +F4)
Double click on vendor no.
To block on invoice for payment
Double click on document no.        :100001
Payment block                       :Select A (Block for payment )
Enter
To change bank for second bill
Double click on document no.        :100004
Select reallocation button
Payment method                              :B
House bank                                  :SBI
Account ID                                  :SBI1
Enter
Save
Select bank arrow two times
We get a message payment proposal has been edited
Select payment run button
Enter
Go on press enter .
It we get the message payment run has been carried out.

To take check printing:

Select printout / data medium tab for the program RFFOUS_C
Give the variant                    :A1

                                                              93
Select maintain variants button
Select for all selection screen radio button
Select continue button
Program run date                          :07.11.2008
Identification feature            :AML1
Paying company code               :AML
Payment method                            :B
Business area                     :AMLH
House bank                                :SBI
Account id                                :SBI1
Check lot no.                             :2
Select print checks check box
Printer                           :LP01
Select print immediately check box
Select print payment advice notes check box printer :LP01
Select print immediately check box
Select print payment summary check box
Printer                                   :LP01
Select print immediately check box
No.of sample print outs                   :0
Select don’t void any checks check box
Select attributes button (F5)
Meaning                                           :SBI check printing date 08.11.2008
Save
Select back arrow
Save once again
Select bank arrow
Select print out button
Select start immediately check box
For job name –in place of question of mark –Give variant A1
A1             Company code :AML
               Business area             :AMLH
               Bank                      :SBI
               Account ID                :SBI1
               Check lot no.             :2
Parameters are saved in the variant in place of question mark A1
Press enter
Enter once again

To view check printing

From the menu select system –Services output control
Select execute button
Select spool no.check box for check
Select display contents (F6)


                                                            94
Go and see the vendor Account FB11N

Give the vendor account                 :4200001
Company code                    :AML
Select cleared items radio button
Select normal items check box
Execute
Double click on document type :KZ
For the amount                  :9999
Select call up document overview button (F9)
Select display document header button
Enter
From the menu select Environment check information



Go and see the check register (FCHN)

Give the paying company code :AML
Execute


Credit memo postings

Purchase from Birla Chemicals Limited
If the material is not good
Return the material or reduce the amount (Price)

BCL will issue credit note to mail or AML raises Debit note on BCL
Both are same

Doc type                        :KG (Credit memo)               KA
No.range 17                                                     17
No need to give no.range interval already we have given earlier

Path :Accounting- Financial accounting –Accounts payable –Document entry –Credit memo general (F-41)

Document date           :Today’s date
Type                            :KG (Vendor credit memo)
Company code            :AML
Posting key                     :21 Credit memo
Account                         :4200001
Enter
Give the amount                 :1000
Business area           :AMLH
Text                            : Credit memo posting
Posting key                     :500
Account no.                     :200120 Inventory raw material
Enter
Amount                          :*
Business area           :AMLH

                                                           95
Text                            :+
From the menu select Document –Simulate and save

Note:    Cash journal postings – not accept negative balances
         Normal postings Accept negative postings




                                            ACCOUNTS RECEIVABLE (A/R)

This is also a Sub Ledger (Subsidiary Ledger)

This is used when Sales & Distribution (SD) Module Is not implemented-All types of sales.


Eg: Product Sale/Raw Material Sale/Scrap Sale
When Sales & Distribution(SD) Module is implemented-This is used for Raw Material Sale /Scrap Sale/Asset Sale-(Other
than Product Sale)

At the time of sale:

Customer Account Dr                     Sub ledger       Sundry Debtors(General Ledger)
                                |                        |                       TO SALES
          General Ledger                |
                                                                         |
                                                         |
                                Reconciliation Account
                 Or
                                                                  Control Account
BASIC SETTINGS FOR ACCOUNTS RECEIVABLE:

1.Creation Of Customer Account Groups
A)FI Customers
Asset Sale/Scrap Sale/RM Sale                   Reconciliation account field
Parties

B)SD CUSTOMERS                                           Required Entry field

PRODUCT SALE PARTIES
2.Create number ranges for customer accounts
3.Assign number ranges to customer account groups
4.Creation of 2 GL masters

A)Sundry Debtors-                                        "Current Assets,Loans&Advances"

B)Sales Account                                          Sales
5.Creation Of Customer Master
6. Document Types And No.Ranges                                                     OBA7

                                                             96
                           DR       Customer Invoice
                           DZ       Customer Payment
                           DA       Customer Document For
                                    Transfers/Reversals

7.Posting Keys                      01     Customer Debit
                                           15    Customer Credit

We test a scenario where vendor is a customer
               Party BCL                                     Party BCL
Purchase                               100000 Sales            100000
Sales                                    20000 Purchase        20000
                                       --------                        -------
Net Payable                              80000 Net Receivable 80000

When we Pay/Receive net amount we have to clear vendor transactions and customer transactions at a time


Note : Create receipt terms (if any cash discount debit - Debit expenses )

1.SALES INVOICE POSTING:

Creation of customer account groups

Path: SPRO- Financial Accounting- Account Receivables and accounts payables customer accounts – Master
data- Preparation for creating customer master data- Define account groups with screen layout (customers)

Select new entries button
Account group : AML1
Name                       : FI Customers for AML
Double lick company code data
Double click account management
Reconciliation account make it required entry filed
Save
Select create request button
Short description for AR customization for AML
Press enter
Enter once again to Save in your request
Select next entry button
Account group              : AML2
Name                                : SD customers for AML
Double click on company code data
Double click on account management
Reconciliation account make it required entry filed.
Save.

Create No. range for customer accounts:

Path :Upto preparation for creating customer master data the path is same.-Create no. range for customer
accounts (Tr.code is XDN1)

Select change intervals button
Select interval button
                                                             97
No. range                          :23
From no.                           :6600001
To no.                             :6700000.
Enter
Select interval button once again
No.range                           :24
From no.                           :6700001
To no.                             :6800000
Enter and Save
Ignore the warning message press enter

Assign Number ranges to customer account groups:

Same path

Select position button
Account group             : AML1
Enter
For AML1         Assign no.range :23
For AML2         Assign no.range :24
Save
Press enter to save in your request

Define tolerance group for Customer

Path :SPRO-Financial accounting-Account receivable and account payable-Business truncations-incoming
payments-manual incoming payments-Define tolerances(Customers)

Select new entries button

Company code                     :AML
Tolerance group                             : Blank
Description                                 :Tolerance group for AML
Save
Press enter save in your request



Creation of GL Masters (FS00):

Give the GL account no.            :200110
Company code                       :AML
Select with template button
Give the GL account no.200150 advance to vendors
Company code                        : AML
Enter
Change short text and GL account long text to Sundry Debtors
Select control data tab
Change reconciliation account for account type to customers

                                                             98
Change sort key to 031 customer number
Select Create / Bank / Interest tab
Field status group                         :G067
Save
GL account no                     :300000
Company code                      :AML
Select with template button
Change GL account 300100 Exchange gain
Company code                      :AML
Enter
Select type/description tab
Change the account group to sales/.
Change short text and GL account loge text to sales account
Other fields are common
Select save button or Ctrl+S

Creation of customer master

Path: Accounting- Financial accounting –Accounts receivables-Master records-Maintain Centrally-Create
(Tr.Code is XD01)

Account group                     :select FI customer for AML
Company code                      :AML
Enter
Title :                                    : select Company
Name                                       : BIRLA Chemicals Limited
Country                           : IN for India
Select control data tab
Vendor                            :4200001
Select company code data button
Reconciliation account            :200110 Sundry debtors
Sort key                                   :031 (Customer no.)
Select payment transaction tab
Terms of payment                           :0001 payable immediately due net
Save



Document type number ranges (OBA7)

Select type Dr customer invoice
Select details button
No.range                                   :18
Select no.range information button
Company code                      :AML
Select change intervals button

                                                              99
Select intervals button
No.range                                 :18
Year                                     :2008
Form no.                                 :400001
To no.                                   :500000
Enter and save
Ignore the warning message press enter
Select back arrow 3 times
Select type                              :DZ (Customer payment )
Select details button
No. range                                :14
Select no.range information button
Company code                     ::AML
Select change intervals button
Select interval button
No.range                                 :14
Year                                     :2008
From no.                                 :500001
To no.                                   :600000
Enter and save
Ignore the message press enter
Select back arrow three times
Select type                              :DA (customer document)
Select details button
No.range                                 :16
Select no.range information button
Company code                     :AML
Select change interval button
Select interval button
No.range                                 :16
Year                                     :2008
Form no.                                 :600001
To no.                                   :700000
Enter and save
Ignore the warning message press enter



ENTER USER AREA

Sales invoice posting:

Path accounting – Financial accounting –Account receivable- Document entry-Invoice –General (F-22)

Give the document date                   :Today’s date


                                                         100
Type                                             :DR
Company code                            :AML
Posting key                             :01 Invoice (Customer debit) C:Customer D: Debit
Account                                          : select 6600001
Enter
Give the amount                                  :500000
Business area                           : AMLH
Text                                             : Sales Invoice posting
Posting key                                      :50
Account                                          :300000 (sales account)
Enter
Account                                          :*
Business area                           :AMLH
Text                                             :+
From the menu select document  Simulate and save



2.How To View Customer Account Transactions-

Path : Accunting – Financial accounting – Accounts receivable- Account-Display / Change line items (Tr.code is
FBL5N)

Give the customer account no. :6600001
Company code                     :AML
Select open items radio button
Select normal items check box
Select execute button
Select back arrow

To view vendor and customer transactions together

Select vendor items check box along with normal items

Execute

3.Incoming payment and clear vendor and customer transactions together

Step A)Document type DZ should allow vendor transactions

Document types and no. Ranges-OBA7
Select doc type:         DZ                      Select doc type: kz
Select details button                                    Select details button
Below no. Range-                                         Below no. Range-
Account type:                                    Account type:
A                Assets                                  A       assets
D                Customers selected                      D       customers to select
K                Vendors to select                       K       vendors selected
M                Materials                               M       materials
S                GL accounts selected                    S       GL accounts selected

Normal receipt entry:                                    Normal payment entry:
Bank A/c DR                      GL                      vendor a/c DR         Vendor
                                                           101
 To customer                      customer                 To Bank                GL




use the Tr.code OBA7
Select document type                     : DZ (customer payment )
select details button
select vendor check box
save

Incoming Payment :
Path :Accounting – Financial accounting – Accounts receivable- Document entry- Incoming payments –
(Tr.Codes is F-28)

Give the document date                   : Today’s date
Type                                             : DZ Customer payment
Company code                             : AML
Clearing text                                    : Incoming payment
Account under bank data                          : 200105 (SBI current account)
Business area                                    :AMLH
Amount                                           :496000
Text                                             : Incoming payment
Account under open item selection                : Select 6600001
Account type                                     :D comes by default (D stands for
                                                 customers)
Select other accounts check box
Select process open item button
Select standard open items check box
Account type                                     : Select K (Vendors)
Company code                             :AML
Account                                          :4200001
Select continue button
Double click on all open items
Document  Simulate and save

Go And See The Customer Account Transactions (Tr.code is FBL5N)

Give the customer account no.            :6600001
Company code                             :AML
Select cleared items radio button
Select normal items check box
Select vendor items check box
Execute

Advance Receipts From Customers
(Down Payment Receipts From Customers)
Sundry        Sale          Advance                       Advance from

                                                            102
Debtors                                           Customers
(Current                                                (Current Liabilities)
Asset)
                 Receipt Sale



      1. Creation Of GL Master-Advance From Customers-              under Current Liabilities & Provisions (FS00)

      2. Link between Sundry Debtors and advance from Customers



                                A     (Advance)                   Special GL Indicator
                                /\
                 Sundry debtors Advance from customers

         (Reconciliation Account)(Alternative reconciliation
                                         account or special GL
                          account)

         3.Advance Receipt Posting
         4. Sales invoice posting
         5. Transfer of advance from special GL to normal by clearing special GL items
         6. Clearing of normal items
            a)Customer account two parts
            b) Special GL items

 1.        Creation of GL master –advance from customer current liabilities & provisions (FS00)

         Give the GL account no.:100502
         Company code             :AML
         Select with template button
         Give the GL account no.:200110 Sundry debtors
         Company code             :AML
         Change account group to current liability & provisions
         Change short & GL account long text advance from customers
         Save

      3. Link between Sundry Debtors and advance from Customers

         Path :SPRO-Financial accounting-Accounts receivable and accounts payable-Business transactions-
         Down payment received –Define reconciliation accounts for customer down payments(OBXR)

         Double click on special GL indicator A
         Give a your chart of accounts            :AML
         Enter
         Reconciliation account                   :200110
         Special GL account                               :100502
         Select save button or Ctrl+S
         Press enter to save in your request

END USER AREA

Advance receipt posting:
                                                            103
Path :Accounting- Financial accounting –Accounts receivable-Document entry-Down payment –Down payment
(Tr.code is F-29)

Give the document date                    :Today’s date
Type                                              :DZ
Company code                              :AML
Customer account                                  :6600001
Special G/L indicator                     :A
Bank account                              :200105 SBI current account
Business area                             :AMLH
Amount                                            :12000
Text                                              :Advance receipt posting
Enter
Amount                                            :*
Business area                             :AMLH
Text                                              :+
From the menu select –Document –Simulate and save

Go and see the customer account transaction (FBL5N)

Give the customer account no. :6600001
Company code                     :AML
Select open items radio button
Select special GL transactions check box
Execute

Sales invoice posting ( Tr code is F-22)

Give the document date :Today’s date
Type                             :DR customer invoice
Company code             :AML
Posting key                      :01
Account                          :6600001
Enter
Amount                           :12000
Business area            :AMLH
Text                             :Sales invoice posting
Posting key                      :50
Account no.                      :300000 Sales A/c
Enter
Amount enter             :*
Business area            :AMLH
Text                             :+
Form the menu select document –Simulate and save

                                                             104
Go and see the customer account transaction (FBL5N)

Give the customer account no. :6600001
Company code                      :AML
Select open items radio button
Select normal items check box
Execute
Select back arrow
Select special G/L transactions check box along with normal items
Execute

Transfer of advance from special GL to normal by clearing special GL items:

Path :Accounting-Financial accounting –Accounts receivable-Document entry-Down payment clearing (F-39)

Give the document date            :Today’s date
Type                                     :DA
Company code                      :AML
Customer account                         :6600001
Text                                     :Advance receipt clearing
Select process down payment button
Transfer posting                         :12000
Save

Go and see the customer account transactions (FBL5N)

Give the customer account no. :6600001
Company code                      :AML
Select cleared items radio button
Select special GL transactions check box
Execute
Select bank arrow
Select open items radio button
Select normal items check box
Execute

Clearing of normal items:

Path :Accounting- Financial accounting –Accounts receivable –Account –Clear (F-32)

Give the account no.                     :6600001
Company code                             :AML
Select process open item button
Double click on debit                    :12000
Double click on credit                   :12000


                                                          105
Save

Go and see the customer account transactions FBL5N

Give the customer account no. :6600001
Company code                     :AML
Select cleared items radio button
Select normal items check box
Execute




                                                         BILL DISCOUNTING

Fund based limits                                                           Non fund based limits
(Money will be given physically                                             (Money will no be given
by the bank)                                                                physically by the bank to the
                                                                            company)
1. Cash credit                        Local Sales order                     1. Bank Guarantees (BG)
2. Packing credit                     Export sales orders                   2. Letter of credit (LC)
3.Bank overdraft
4.Bill discounting
Bill discounting mechanism                                                          AML

Sale 500000 on 12.11.2008
Term of payment –30 Days Credit



                                      AML Discounts the bill
                                                 With the bank
                                                            |
                                                 Bank will charge 30 days
                                                            |
                                                 On due date, bank will collect
                                                 From customer
                                                            |
      -----------------------------------------------------------------------------------------
      |                                                                                                  |
Customer makes the                                                                 customer does not make the
payment to the bank                                                       Payment to bank liability to AML

No liability to AML                                                       Liability to AML

                            Contingent liabilities
                            Liability is uncertain

Year end:         This is shown in notes to accounts –Under contingent liabilities




                                                     Bills discounted with bank

                                                                   106
Normal Accounting                                    SAP Accounting
   A) Incase of sales                                Customer A/c Dr
       Customer A/c        Dr                        (Sundry debtors)
         To Sales                                         To Sales
   B) Bill of exchange payment                       Customer special GL (W) Dr
       - No entry -                                  (Sundry debtors bill of exchange)
                                                          To customer a/c with clearing
                                                              (Sundry debtors)
    C) Bill discounting                              Bank current A/c Dr
       Bank current A/c Dr                                  To Interest A/c
          To Bank bill discounting                          To Bank Bill discounting
    D) Report view customer wise /BIllwise
       due date wise/Bankwise out standings
       available in SAP
    E) Reverse contingent liability                  Bank bill discounting (with clearing) Dr
       Bank bill discounting Dr                          To Customer special GL(W) with
          To Customer                                          clearing
                                                     (sundry debtors will of exchange)

Presentation in Balance sheet:
Sundry debtors=Sundry debtors


Sundry debtors             Debit
(Bill of exchange)                                  } Net Zero
Bank bill discounting              Credit

                Or
Don’t plot sundry debtors bill of exchange and bank discounting in balance sheet-It is required only for notes to accounts.

Customer A/c                                SBI bill discounting
Normal items                                OP BAL                    300000

A) 100000         B)100000                  E)100000                C)100000
                                                                      ----------
                                                                      400000
Special GL

B)100000          E)100000                                            300000




Limits with banks:                           SBI             IDBI
Bill discounting limit                     5000000                    2000000
Already discounted                         3000000                    2000000
                                           -------------              ------------
Limit available                      2000000                          0
                                          =======
Bill discounted as per C             1000000
                                            -----------
Limit available                      1000000
Payment by customer as per E         1000000
                                            -----------
Now limit available                        2000000
                                           ======


Creation of 2 GL masters
Sundry debtors (Bill exchange under current assets, loans & advances.

SBI bill discounting                                                  Secured loans
                                                              107
Fund based limits and non-fund base limits           First change on current asset and
                                       second change on fixed assets.

Creation of GL account (FS00)

Give the GL account no.:200111
Company code              :AML
Select with template
Give the GL account no.200110 Sundry debtors
Company code              :AML
Enter
Change short text to sundry debtors Bill of Exchange
Change GL account long text to sundry debtors (Bill of exchange)
Other fields are common
Select save button or Ctrl+S
GL account no.            :100302
Company code              :AML
Select with template with button
Give the GL account no.100300 SBI Rupee Term loan
Company code              :AML
Change short text and GL account long text to SBI bill discounting
Select control data tab
Select open item management check box
Select create /bank /interest tab
Select post automatically only check box
Save

Link between sundry debtors and sundry debtors bill of exchange

Path:SPRO-Financial account-Bank account –Business transactions-Bill of exchange transactions-Bill of
Exchange receivable-Post bill of change receivable-Define alternative reconcile –Actual for Bills/Exchange
receivable (Tr code is OBYN)

Double click on special GL indicator       :W (Bill of Exchange receivable)
Give the chart of accounts                         :AML
Enter
Reconciliation account                     :200110
Special GL account                                 :200111 Sundry debtors (Bill of exchange)
Save
Save in your request

Link for Bank current account, Sundry debtors Account and bank bill discounting account

Path: up to the bill of exchange receivable at bank-Define bank sub accounts(Tr code is OBYK)

Select new entries button
Chart of accounts                          :AML
                                                            108
Bank account                     :200105 SBI current account
Usage select discounting special GL indicator     :W
Customer reconciliation account :200110(sundry debtors)
Bank sub account for liability :100302 (SBI bill discount)
Save
Press enter to save in your request

END USER AREA

Sales invoice posting (F-22)

Give the document date                    :Today’s date
Type                                      :DR
Company code                     :AML
Select posting key                        :01
Account no.                               :6600001
Enter
Amount                                    :100000
Business area                    :AMLH
Payment terms                    :Select NT 30 Net 30 (30 days credit)
Text                                      :sales invoice posting
Posting key                               :50
Account                                   :300000 Sales account
Enter
Ignore the warning message press enter
Amount                                    :*
Business area                             :AMLH
Text                                      :+
From the menu select document –Simulate and save

Bill of exchange payment:

Path :Accounting –Financial accounting- Accounts receivable –Document entry-Bill of exchange –Payment (F-
36)

Give the document date           :Today’s date
Type                             :DZ
Company code             :AML
Posting key                      :09 Customer special debit
Account no.                      :6600001
Special GL indictor              :W
Enter
Amount                           :100000
Business area            :AMLH
Text                             :Bill of exchange payment


                                                             109
Due on                   :14.12.2008 (30 days due date)
Placement usage                   :select discounting
Domicile                          :SBI
Control bank location    :Main Branch, HYD
select choose open item button
Select process open item button
Double click on receivable        :100000
From the menu select document –Simulate and save
Note the document no.500003

Bill discounting:

Path :Accounting –Financial accounting- Accounts receivable- Document entry –Bill of exchange –Discounting
(F-33)

Give the document date            :Today’s date
Type                                      :DA
Company code                      :AML
Bank account                      :200105 (SBI current account)
Business area                     :AMLH
Amount                                    :95000
Text                                      :SBI bill discounting
Posting key                               :40
Account no.                               :400400 Interest account
Enter
Amount                                    :500000
Business area                     :AMLH
Text                                      :+
Press select bill of exchange button
Doc no.                           :500003
Document –Simulate and save

Report to view customer wise bill wise, document wise and bank wise outstanding:

Path :Accounting –Financial accounting-Accounts receivable-Periodic processing –Bill of exclude processing –
Korea-Bill of exchange management       (Tr codes S_ALR_87012213)

Give the chart of accounts                         :AML
GL account                                         :200111 Bill of exchange
Company code                              :AML
Special GL indicator                      :W
Usage                                              :select D (Discounting)
Select discounted /Collected radio button
Execute
Select current layout button
Keep the fields due date, document no, customer received form, document data-Domicile.
                                                            110
Amount in local currency
Select copy button

Reverse contingent liability :

Path :Accounting-Financial accounting –Accounts receivable-Document entry- Bill of exchange –Reverse
contingent liability (F-20)

 Give the document date & Posting date             :13.12.2008
Type                                               :DA
Company code                           :AML
GL account                                         :200111 (Sundry debtors bill of exchange)
Usage                                              :Select discounting
Due by                                             :31.12.2008
Customer                                           :6600001
Select edit line items button
Ignore the all warning message and press enter


Select drop down button for command column

+         Set items to active
++        Set items is blocks to active
-         Set items to inactive
-         Set items in blocks to inactive

Customer made payment for 2,3 and 4 bills.

Bill No                    or               or
                                            –
     2    +                ++
     3    +
     4    +                ++
     5                                      -



     Customer made payment for 1 and 5 bills
     Bill no.         or              or
     1         +
     2                -               -
     3                -
     4                -               -
     5         +



     Command filed select +
     Save
     From the menu select document –Display


     If bill is dishonored:
     Contingent liability becomes actual liability base step E reverse contingent liability additional entry to be passed.

     Customer account          Dr
        To SBI current account (Sundry debtors)

     Dunning (Reminder)
     If the customer does not make the payment as per terms of payment system will issue dunning letters.


                                                              111
We are not programmers we use system given dunning letter formats.

Dunning area:
Company code as a whole /Regional wise / location wise
Eg.Big companies

Separate marketing heads

For East            For West                   For North               For South

Only to his area customers.
Here we create each session as one dunning area .
Small companies –one marketing head for all the regions.
Company code will be the dunning area.

(Cash credit : Loan from bank and after sales we discharge the liability export sales order , packing credit loan from
bank , bill discounting after sale)

Dunning levels type of letters
Maximum                                :9 levels
We are using                           :4 levels
Dunning intervals (Frequency)          :10 days
Grace period                           :3 days

Eg:                1st Letter      2nd Letter      3rd Letter      4th Letter
Sale on 17.11.2008 after           after           after           after
Payment terms 0001          20.11.2008      30.11.2008      10.12.2008      20.12.2008
Payable immediately

Dunning charges: For sending the letter we can collect dunning charges form the customer.
It can be level based / amount
Based
It can be fixed percentage amount
It will be shown only in the letter
It will not be posted the accounts

Define dunning areas:

Path :SPRO-Financial accounting-Accounts receivable and account payable-Business transactions –
Dunning –Basic settings for dunning –Define dunning areas.

Select new entries button
Company code                  :AML
Area                          :Blank
Text                          :Dunning area to AML
save
Ignore the warning message press enter
Press enter to save in your request

Define dunning procedures:

Path :Up to dunning the path is same –Dunning procedures-Define procedures (Tr code is FBMP)

Select new procedure button
Dunning procedure :AML
Name                          :Dunning procedure for AML
Dunning interval in days:10

                                                           112
No.of dunning levels           :4
Line item grace periods        :3 days
Interest indicator             :Select 01 standard item interest calculation
Select standard transactions dunning check box
Ignore the warning message press enter
Dunning texts button
Company code                   :AML
Select customer radio button
Enter
Select new company code button
Give the company code :AML
Enter
For company code :AML select separate notice per dunning level check box
Select back arrow two times
Select Yes button for the message to save date
Press enter to save in your request
Select dunning levels button
Select always dun check box for all the four levels
Select charges button (F6)
Give the currency    :INR
Enter


Company code                   :AML
Select customer radio button
Enter

Open one more session with transaction code :FBMP

Double click on procedure      0001
Select dunning text button
Give the company code          :0001
Select customer radio button
Enter
Come to the first session
Dunning level 1
From F150-Dunn -01
Dunning level 2
Select pagedown button (right side)
Dunning level 3
Form F150_dunn_02
Dunning level 4th
Form F150_dunn_02
Now select charges button
                                                         113
   Give the currency :INR
   Enter
   Select back arrow
   Save
   Ignore the warning message press enter
   Press enter to save in your request

Assign dunning procedure in customer master:

Path :Accounting-Financial accounting-Accounts receivable –Master records-Maintain centrally-Change (Tr
code is XD02)

Give the customer account no.            :660001
Company code                             :AML
Enter
Select company code date button
Select correspondence tab
Dunning procedure                                :select AML
Save

END USER AREA

Sale invoice posting (F-22)

Give the document date & posting date :10.11.2008
Type                                             :DR
Company code                             :AML
Posting key                                      :01
Account                                          :6600001
Enter
Amount                                           :1111
Business area                            :AMLH
Text                                             :Sales invoice posting
Posting key                                      :50
Account no.                                      :300000 Sales account
Enter
Amount                                           :*
Business area                            :AMLH
Text                                             :+
From the menu Select Document –Simulate and save




Dunning run

Path: Accounting –Financial accounting-Accounts receivable Periodic processing-Dunning-(Tr code F150)


                                                            114
Run on                   :Today’s date
Identification                    :AML1
Select parameter tab
Dunning date                      :Todays date
Documents posted up to            :Today date
Company code             :AML
Customer                          :6700000
Save
Select back arrow
Select schedule button
Select start immediately check box
Output devise            :LP01
Select schedule button
Go on press enter till we get the message ‘ Dun selection is complted’
Select dunning print out button
Select print button
Go on press enter till we get the message dunning print out is completed
Select dunning history button
Give your company code            :AML
Execute (F8)
Keep the cursor on 1111
Select display dunning notice button
Keep the cursor on the document no.
Select print preview button

Go and see the customer master (XD02)

Customer                          :6600001
Company code             :AML
Enter
Its updates automatically
Last dunned date                  :17.11.2008 and dunning level.




                                                           115
                                                        SALES TAX

VAT means valued added tax or LST Local Sales Tax
CST mans Central Sales Tax

       Purchase                                                      Sales (Output tax)
       Input tax
                1                         2                  3                       4
           Local                          outside            Local                   Outside
           purchases                      state              Sales                   State sales

           VAT/CST               CST purchase       VAT /L           CST sales
           Purchase

   Basic         100             100                       200                    200
   Excise 8% 8                   8                           20                      20
   VAT 4%        4.32(B+E)       2.16(CST2%)                 27.50(VAT12.5%)     4.4(CST2%)
               ---------         --------                  ---------              ---------
   Bill amount 112.32 110.16                        247.50                224.40
               ====== =====                         =====                 ======

   Payment to sales Department
   1. Local sales –Local purchases 27.50-4.32=23.18
   2. Local sales –CST purchases 27.50=27.50
   3. CST sales –Local purchases 4.4-4.32=0.08
   4. CST sales –CST purchases=4.4=4.4

   At the time of local purchases, tax paid on purchases, can be adjusted –to tax payable at the time of sales. (Local
   sales /CST sales)

   At the time of CST purchase, tax paid on purchases can not be adjusted –to add to inventory.

   Excises rates are based on products
   Excise rates are given central excise tariff, in central excise tariff we have 8 digits chapter ID.
       52000000 Textiles        8%
   Central excise will be covered in the end.
   We are testing now without excise duty.

   Customization of sales tax




   1. Define tax procedure

       Path :SPRO-Financial accounting –Financial accounting global settings-Tax on sales /purchases-Basic
       settings-Check calculation procedure.

   Double click on define procedures
   Select new entries button


                                                              116
Procedure :H Tax
Description :Sales tax India
Save
Press enter to save in your request
Select H Tax
Double click control data folder
Select new entries data folder


Select new entries button
Step          Co     C Type              Description    From   To     Account key
10            0      Select BASB          Base amount
20            0      MWVS        Input tax      10      10     Select VST -Input tax
30            0      MWAS        Output tax     10      10     MWS output tax
Save

Assign country to calculation procedure

Up to basic settings the path is same Assign country to calculation procedure

Select position button
Give the country                :IN for India
Enter
For country IN assign procedure H tax
Save
Press enter to save in your request



Define tax codes for sales and purchases

 Up to tax on sales of purchases the path is same-Calculation –Define-Tax codes for sales and purchases.
(Tr.code is FTXP)

Give the country     :IN for India
Enter
Give the tax code    :Vo
Enter
Description          :0% input tax
Tax type                        :Select V input tax
Enter
Input tax, tax percent rate 0
Keep the cursor on ouput tax, tax percent rate
Select deactivate line (F5) button
Save
Tax code                        :V1
Enter


                                                         117
Description          :4% input tax
Tax type                        :select V input tax
Enter
Input tax, tax % rate 4
Keep the cursor out put tax, tax percent rate
Select deactivate line button
Save
Tax code                        :A0
Enter
Description          :0% output tax
Tax type                        :select A output tax
Enter
Output tax, tax percent rate 0
Keep the cursor our input tax, tax percent rate
Select deactivate line button
Save
Tax code                        :A1
Enter
Description          :12.5% output tax
Tax type                        :Select A out put tax
Enter
Output tax, tax percent rate 12.5%
Keep the cursor on input tax, tax percent rate
Select deactivate line button
Save

Assign tax codes for non-taxable transactions

Path :Up to tax on sales/purchases the path is same Posting-Assign tax codes for non-taxable transactions
(Tr code is OBCL)

Select position button
Give your company code       :AML
Enter
For AML select input tax V0
                  Out put tax Vo
Save
Press enter save in your request

Creation of GL master FS00
1. VAT receivable                       Current assets,
2. VAT payable                                  Loans & Advances

Current liability

Tr code is FS00

Give the GL account no.         :200155
Company code                            :AML

                                                        118
Select with template button
Give the GL account no.        :200120 (Inventory RM)
Company code                               :AML
Enter
Change short and GL long text to VAT receivable
Select create / Bank /Interest tab
Field status group change to G041 (Tax office clearing accounts)
Save
One more account
Give the GL account no.100505
Company code                               :AML
Select with template button
Give the GL account no.        :200155
Company code                               :AML
Enter
Select type/Description tab
Change account group to current liability and provisions
Change short text and GL account long text to VAT payable
Save
Give the GL account no.:200120
Company code                   :AML
From the menu select GL account change
Select control data tab
Tax category                   :Select * (All tax types allowed)
Select posting without tax allowed check box
Save
Ignore the warning message press enter
GL Account                     300000             Sales A/c
Company code                   AML
From the menu select GL account change
Tax category                   :select *
Select posting without tax allowed check box
Save
Ignore the message press enter

Assignment of accounts for automatic postings:

Path :SPRO-Financial accounting –Financial accounting global settings-Tax on sales/purchases-posting-
Define tax accounts (OB40)

Double click on transactions  VST (input tax)
Give the Chart of Accounts :AML
Enter
Select save button or Ctrl+S
                                                              119
Give the account :200155 VAT receivable
Save
Press enter to save in your request
Select back arrow
Double click on transactions MWS(output tax)
Save
Give the account no.100505 VAT table
Save
Press enter to save in your request

In line environment FI consultant’s job: Customization
Creation of Tax procedure
Creation of tax codes
Creation of GL accounts
Assignment of GL accounts

MM module:
Purchase order material no.RM1
Purchase order vendor 1234
Purchase order Qty 1 Kg
Purchase order Rate 100
Purchase order tax code V1 (4% input tax)
Goods receipt

Tax procedure:
Base amount                 100       (1* 100) inventory Account
Input tax on base amount    4         VST -200155 VAT receivable
(V1-4% )                    -----
Vendor credit               104

                           ===
SD module:
Sales order Customer no. 9876
                  Material            FG1
                  Qty                 1Kg
                  Rate                200
                  Tax code            A1 (12.5%) output tax

Tax procedure
Base amount               200 sales account
Output tax on base amount 25 MWS -100505 VAT payable
At 12.5%                  -----
    Customer debit 225
                          ===
In FI for sales:
Customer account Dr 225
    To sales                      200
    To VAT payable          25
Save

Sales invoice posting Tr code is F-22

Give the document date :Today’s date
Company code                :AML
Posting key         :01 customer debit
Account                     :6600001

                                                         120
   Enter
   Give the amount     :225
   Select calculate tax check box
   Text                        :Tax sales invoice posting
   Posting key         :50
   Account no.         :300000 (Sales a/c)
   Enter
   Amount                      :*
   Tax code                    :Select A1
   Business area               :AMLH
   Text                        :+
   From the menu select Document- Simulate
   Double click on VAT payable line item
   Business area               :AMLH
   Text                        :+
   Save




                                               ASSET ACCOUNTING


Bad debits:
   1. Creation of GL Master :Provision for bad debts reconciliation A/c No.200112
   2. Link between sundry debtors and provision for bad debts :OBXY

                       E       Reserve for bad debt
                       /\
            200110             200112

   3. Sales invoice posting                    F-22


                                                            121
    4. Transfer from customer normal to customer special GL

      E                                          F-30
Customer special GL E ER      Dr         Provision for bad debt
      To customer with clearing                  Sundry debtors

    5. After 3 years bad debtors       Dr        F-30
                To Customer special GL           Provision for bad debt

Asset accounting: This is sub ledger (subsidiary ledger)

Chart of Depreciation
Asset accounting customization will be done for Chart of Depreciation will be assigned to company code/codes.

We have to copy either Germany chart of depreciation or Indian Chart of Depreciation.

Depreciation areas:
Book depreciation (Postings to accounts)

Income tax depreciation          |
Group depreciation               | Only for information
Costing depreciation             |

Depreciation methods;
Straight Line Method depreciation method (SLM)

Written down value depreciation method (WDV)

Depreciation keys     Rate +Method
5% SLM Rate
5% WDV Rate

Transaction types
100    External acquisition
110    In-house production \
210    Retirement with revenue

Asset debit
The debit can be use of External acquisition (Outside purchase) /In house production/Inter unit transfer/Inter company
purchase.

With transaction type we will come to know because of what it is debited.

Posting keys:
70 Asset Debit
75 Asset Credit

Asset accounting is based on 4 rules:
1. Sub asset master is to be created with reference to main asset master.
2. Main asset master is to be created with reference to asset class
3. Account determination is specified in asset class
4. For account determination we assign GL accounts based on the nature of transaction.

                    Account             Asset class         Main asset          Sub asset
                    determination                           master              master
Purchase
200000 P & M        1.Land              Free hold
200000 P& M         2.Building          Lease hold
                                        Factory
                                        Non factory
Profit on asset     Dept A              Machine no.1                            Motor
sale                                    15.05.2003

                                                           122
                    3. Plant &
                    Machinery            Machine no.2                    20.11.2008

Loss on asset       Dept B
Sale                Dept C
Loss due to         4. Furniture &       Furniture &
scrapping           Fixtures             Fixtures
Depreciation        5. Vehicles          Heavy , Others
Accumulation        6. Capital work in   General
depreciation        progress             Expansion 1
                                         Expansion 2

Additions to specific mechanical will be created as sub asset masters.

Main asset will be have always sub number zero.

Crate machine no.1 Master                1-0
Motor to machine no.1            1-1
Addition to machine no.1                 1-2

If we give 1-0 it gives main asset value
If we give 1-1 it gives motor value
If we give 1 it gives machines 1 with additions

Why we call Land /Buildings etc. as account determinations.

These items will determine the GL accounts to be posted automatically.

Motor purchase: .
Motor A/c    Dr            SL            500000 Transaction type :100
                                         2000000       P & M 50000 GL
        To Bank GL                       500000

Save

CUSTOMIZATION

Copy reference Chat of Depreciation /Depreciation Area:

Path :SPRO-Financial accounting-Asset Accounting –Organizational structures –Copy reference Chart of
Depreciation /Depreciation area (Tr code is EC08)

Double click on copy reference Chart of Depreciation
From the menu select organizational object
Copy org. object (F6)
From Chart of Depreciation :Select ODE
(Maximum valuation: Germany)
To chart of Depreciation         :AML
Enter
Ignore the message press enter
Select create request button
Short depreciation :Asset customization for AML
Enter
Press enter once again to save in your request
We get a message chart of depreciation ODE copy to AML
Enter
                                                          123
Select back arrow
Double click on specify depreciation of Chart of Depreciation
Select position button
Chart of Depreciation           :AML
Enter
Change the description to Chart of Depreciation for AML
Press enter to save in your request
Select back arrow
Double click copy /delete depreciation areas
Give the Chart of Depreciation :AML
Enter
Select areas 3,10,15,20,31,32,41 &51
From the menu select Edit Delete
Save
Ignore the warning message press enter
Press enter to save in your request

Assign Chart of Depreciation to Company code

Path :Up to organization structure the path is same –Assign Chart of Depreciation to company code (Tr code is
OAOB)

Select position button
Give the company code :AML
Enter
For company code AML Chart of Depreciation AML
Save
Press enter to save in your request




Specify account determination

Path :Up to the organizational structure the path is same –Asset Class-Specify account determination

Select new entries button
Account determination       Description
AML10000                    Land
AML11000                    Building
AML20000                    Plant & Machinery
AML30000                    Furniture & Fixtures
AML31000                    Vehicles
AML40000                    Capital work in progress

Save
Press enter to save in your request

Create screen layout rule
Same path
                                                           124
Select screen layout       1000
Select screen layout       1100
Select screen layout       2000
Select screen layout       2100
Select screen layout       2500
Select screen layout       3000
Select copy as button
Change screen layout 1000 to AML1
Name            :Land
Change screen layout 1100 to AML2
Name            :Buildings
Change screen layout 2000 to AML3
Name            :Plant & Machinery
Change screen layout 2100 to AML4
Name            :Furniture & Fixtures
Change screen layout 2500 to AML5
Name            :Vehicle
Change the screen layout 2600 to AML6
Name            :Capital work in progress
Enter & Save
Press enter to save in your request

Define number range intervals

Path :Same path (Tr code is AS08)

Company code :AML
Select change intervals button
Select interval button
Number range :01
From number     :100000
Enter
Select interval button once again
No.range                   :02
From no.                   :100001
To no.                     :200000
Enter
Select interval button
No.range                   :03
From no.                   :200001
To no.                     :300000
Enter
Select interval button
                                            125
No.range                 :04
From no.                 :300001
To no.                   :400000
Enter
Select interval button
No.range                 :05
From no.                 :400001
To no.                   :500000
Enter
Select interval button
No.rage         :06
From no.                 :500001
To no.                   :600000
Enter & Save

Define asset classes:

Path :Same path (Tr code is OAOA)
Select new entries button
Asset class     :AML1000
Description     :Free hold land
Short text also :Free hold land
Account determination :select AML10000 Land
Screen layout rule                :select AML1 Land
No.rage                  :01
Select included asset under inventory data
Select no.AUC or Summary Management of AUC
Save
Press enter to save in your request


Note: AUC stands for Asset Under Construction


Select next entry button (F8)
Asset class                       :AML1100
Description                       :Factory Buildings
Short text                        : Factory Buildings
Account determination :select AML11000 Buildings
Screen layout rule                :AML2
Number rage              :02
Select include asset under inventory data check box
Select no.AUC or Summary Management of AUC
Save
Select next entry button (F8)

                                                        126
Asset class                     :AML2000
Description                     : Dept A
Short text                      : Dept A
Account determination :select AML20000 P & M
Screen layout rule              :AML3
Number rage             :03
Select include asset under inventory data check box
Select no.AUC or Summary Management of AUC
Save
Select next entry button (F8)
Asset class                     :AML3000
Description                     : Furniture & Fixtures
Short text                      : Furniture & Fixtures
Account determination :select AML30000 Furniture & Fixtures
Screen layout rule              :AML4
Number rage             :04
Select include asset under inventory data check box
Select no.AUC or Summary Management of AUC
Save


Select next entry button (F8)
Asset class                     :AML3100
Description                     : Vehicles and others
Short text                      : Vehicles and others
Account determination :select AML31000 Vehicles and others
Screen layout rule              :AML5
Number rage                     :05
Select include asset under inventory data check box
Select no.AUC or Summary Management of AUC
Save
Select next entry button (F8)
Asset class                     :AML4000
Description                     : Capital Work in Progress -General
Short text                      : Capital Work in Progress -General
Account determination :select AML40000 CWIP-General
Screen layout rule              :AML6
Number rage                     :06
Select include asset under inventory data check box
Select line item settlement radio button
Save

Select include asset under inventory data check box:

                                                         127
Inventory means fixed inventory, whatever assets we create they will be included in fixed assets inventory.
As per companies auditors report order (CARO) – the auditor will state whether fixed assets have been physically
verified by management or not.

Incase of big companies  physical verification in a phased manner

When we create an asset master – There is a field called last verification date

Asset nos                                 Last verification date
     1                                                 31.03.2008
     2                                                 31.03.2007
     3                                                 31.03.2008
     4                                                 31.03.2008
     5                                                 31.03.2007
In the report we give the report date – From 01.04.2007 to 31.03.2008 we get the list of asset verified during the year

    1        31.03.2008
    2        31.03.2008
    3        31.03.2008
    4        31.03.2008

We have not selected for capital work in progress

We can not verify every that assets –once they are commissioned they will be shown under respective head and not
under capital work in progress

For capital work progress general –Select line item settlement radio button

Machinery                 Debit to               Asset commissioned on 22.11.2008
01/11/2008                CWIP                   as machine no.10

Fright AMT
15/11/2008

Settle from Capital Work In Progress to machine no.10 line item wise
Commissioning charges 22/11/2008

Determine areas in the asset class

Path :SPRO-Financial accounting –Asset accounting-Valuation –Determine depreciation areas in the asset class
(Tr.Code is OAYZ)

Give the chat of depreciation            :AML
Enter
Select position button
Asset class :AML1000 (Free hold land)
Enter
Select AML1000 (Free hold land)
Double click depreciation areas folder
Deselect deactivation check box for area 01 Book depreciation
Layout          :Select 2000 depreciation on asset sub-no level
For area 01 layout 2000
For area 02 layout 2000
For area 30 layout 2000
Save

                                                           128
Press enter to save in your request
Select back arrow
The same procedure the followed for asset class

AML1100                  Factory building
AML2000                  Dept A
AML3000                  Furniture & Fixtures
AML3100                  Vehicles & other
AML4000                  Capital work in progress

Deselect deactivation check box for area 01 for land there is no depreciation

In asset master creation-Capitalization date –required Land purchase details registration date

Depreciation key(Rate)                   0%

For area 01- Select 2000 – Depreciation on asset sub number level

                Asset no.                           Sub.no.
Machine 10      1      -                            0               10/08/2005
Motor           1      -                            1               22/11/2008


Creation of 15 General ledger master FS00


S.N          GL Account No.            Account No.to                    Parameters to Maintain
  o.                                         copy
1      200000                         200110 Sundry           -Account group – Fixed assets
       Land                           debtors                 -200000-20009
                                                              -Change the account group Fixed Assets
                                                              -Sort key -018 Asset number Reconciliation
                                                              A/c for account type –Asset
                                                              -Field status group 067 Reconciliation
                                                              accounts.
2      200005                         200000 Land                                  -Do -
         Buildings
3.     200010                                 -Do-                               -Do -
       Plant & Machinery
4.     200015                                 -Do-                               -Do -
       Furniture & Fixtures
5.     200020                                 -Do-                               -Do -
       Vehicles
6.     200025                                 -Do-
       Capital work in progress                                                  -Do -


7      100200                                 -Do-            Account group-Accumulate depreciation
       Accumulate depreciation-                               -100200-100299
       Building                                               -Sort key -018 Asset number
                                                              -Reconciliation A/c for account type –Assets
                                                              -Field Status group- 067 Reconciliation
                                                              accounts

8      100205                         100200                                     -Do -
       Accumulated depreciation –     Depreciation
       Plant & Machinery              -Buildings
9.     100210                                 -Do-                                -Do-
       Accumulated depreciation –
       Furniture & Fixtures
10     100215 Accumulated                     -Do-                                -Do-
       depreciation –Vehicles

                                                              129
11.    300102 Assets sales            300100 Exchange       Account group –other income
                                      gain                  300100-300199
                                                            Sort key -018 Asset number
                                                            Field status group G052
12     300103 Profit on asset sale             -Do-         -Account group other Income
                                                            -300100-300199
                                                            -Sort key 018 Asset number
                                                            -Field status group -G001
13     400302 Loss on asset sale               -Do-                              -Do-
14     400303 Loss due to                      -Do-                              -Do-
       scrapping
15     400500 Depreciation                                  Change the Account group Depreciation
                                                            400500-400599
                                                            Sort key -018 Asset number
                                                            Filed status group-G001




Assignment of accounts for automatic postings:

Path :SPRO-Financial accounting –Asset accounting-Integration with the general ledger-Assign GL accounts.

Give the your Chat of Depreciation                :AML
Enter
The Transaction code is AO90

Select chant of accounts                                 :AML
Double click on account determination folder
Select account determination                      :AML10000 Land
Double click on Balance sheet accounts folder
Acquisition column :Acquisition and production costs Give the A/c No.:200000 Land
Loss made on asset retirement w/o revenue.(w/o revenue mean scrap)
Give the account no.400303 loss to scraping
Clearing account revenue from asset sale          :300102
Gain from asset sale                              :300103
Loss from asset sales                             :400302
Press enter
Select save button
Ignore the warning message press enter
Press enter to save in your request
Double click on account determination folder
Select account determination                      :AML11000 Buildings
Double click on Balance Sheet accounts folder
Acquisition column acquisition and production cost a/c no.200005
Loss made on asset retirement w/o revenue         :400303
Clearing account revenue from asset sale          :300102
Gain from asset sale                              :300103
Loss from asset sale                              :400302
Save

                                                            130
Ignore the message press enter
Double click on depreciation folder
Accumulated depreciation for ordinary depreciation 100200 accumulated depreciation buildings
Expense account for ordinary depreciation 400500 Depreciation account
Save
Ignore the message press enter
Double click on account determination folder
Select account determination                     :AML 20000 P & M
Double click on Balance Sheet accounts folder
Acquisition column acquisition and production cost Give the GL account no.:200010
Loss made on asset retirement (without) w/o revenue 400303
Clearing account revenue from asset sales        :300102
Gain from asset sale                             :300103
Loss from asset sale                             :400302
Select save button or Ctrl+S
Double click on depreciation folder
Accumulated depreciation account for ordinary depreciation a/c no.100205
Expense account for ordinary deprecation         :400500
Save
Ignore the message press enter
Double click on account determination folder
Select account determination                     :AML30000 Furniture & Fixtures
Double click on balance sheet account folder
Acquisition :Acquisition and production costs 200015 (Furniture & Fixtures a/c)
Loss made on asset retirement w/o revenue        :400303
Clearing account revenue from asset sale         :300102
Gain from asset sale                             : 300103
Loss from asset sale                             :400302
save
Ignore the message press enter
Double click on depreciation folder
Accumulated depreciation account for ordinary depreciation 100210
Expense for ordinary deprecation                 :400500
Save
Ignore the message press enter
Double click on account determination folder
Select account determination                             :AML 31000 vehicles
Double click on Balance Sheet accounts folder
Acquisition: Acquisition production costs                :200020
Loss made on asset retirement w/o revenue                :400303
Clearing account revenue from asset sale                 :300102
Gain from asset sale                                     :300103
                                                            131
Loss from asset sale                                    :400302
Save
Ignore the message press enter
Double click on depreciation folder
Accumulate depreciation for ordinary depreciation       :100215
Expenses account for ordinary depreciation              :400500
Save
Ignore the message press enter
Double click on account determination folder
Select account determination                            :AML40000 Capital Work In progress
Double click on Balance Sheet accounts folder
Acquisition :Acquisition and production cost            :200025
Loss made on asset retirement w/o revenue               :400303
Clearing accounts revenue from asset sale               :300102
Gain from asset sale                                    :300103
Loss from asset sale                                    :400302
Select save button or Ctrl+S
Ignore the message press enter

Specify document type for posting of deprecation:

Up to integration with general ledger the path is same –Post-Deprecation to the GL –Specify Document type for
posting deprecation-Double click on define document type (Tr code is OBA7)

Select type AF Deprecation postings
Select details button
Note the number range 04
Select number range information button
Give the company code :AML
Select change intervals button
Select intervals button
Number range              :04
Year                             :2008
From no.                         :700001
To no.                           :800000
Select external check box
Enter and save
Ignore the warning message press enter

     As per SAP documentation :
     From ECC5 onwards                         Not to select external check box
     Up to 4.7 EE                                      Select external check box

When we select external check box, we have to give what should be the document number at the time of posting.

There is an exception –for deprecation postings also we have to select external check box
In normal postings we are posting are document at a time.
                                                         132
Incase of deprecation / when we run depreciation number of documents will be generated at a time based on account
determination

04-2008 -700001 -800000 Select external check box

AML 10000 Land
AML11000 Buildings            Depreciation account
AML20000 Plant & Machinery Assessment for
AML30000 Furniture & Fixtures Account determination
AML31000 Vehicles
AML40000 Capital work in Progress

When we run depreciation 4 documents will be generated automatically every month.

700001 Depreciation DR
              To Acc Dep Buildings


700002 Depreciation DR
              To Acc. Dep-Plant & Machinery

700003 Depreciation DR
              To Acc Dep Furniture & Fixtures
700004 Depreciation DR
              To Acc Dep -Vehicles

Specify intervals and posting rules:

Same path (next step) (Tr code is OAYR)

Select company code               AML
Double click on posting rules folder
Select monthly posting radio button
Save
Press enter to save in your request

Specify rounding for net book value and /or deprecation:

Path :SPRO-Financial accounting-Asset accounting-Valuation –Amount specifications (company
code/Deprecation area) –Specify rounding of net book value and /or deprecation

Ignore the message press enter
Select company code               :AML
Double click on rounding specifications folder
Select area 01 book deprecation
Select details button
Select automatically calculated depreciation check box
Select arithmetic rounding radio button
Save
Press enter to save in your request

Define screen layout for asset master data:



                                                         133
Path :SPRO-Financial accounting-Asset accounting-Master data-Screen layout-Define screen layout for asset
master data

Double click on define screen layout for asset master data
Select layout            :AML1 Land
Double click on logical fields groups folder
Select 2 posting information
Double click on field group rules folder
Capitalization data make it required entry field
Select main number check box
Select sub-no check box
Select copy check box
We have created AML1 by copying layout 1000
Afterwards we create XYZ layout by copying
AML1 what ever fields we have chosen for AML1 should be copied XYZ
Select save button or Ctrl+S
Press enter to save in your request
Select back arrow
Select 3 time dependent date
Double click on filed group rules folder
Business area make it required entry field
Select main no.check box, sub no.check box
Save
Select back arrow two times
The same procedure is to the followed for layout AML 2 Buildings
                                                         AML 3 Plant & Machinery
                                                         AML10 Furniture & Fixtures
                                                         AML5 Vehicles
                                                         AML6 Capital Work in Progress

Define screen layout for asset deprecation areas:

Same path (Tr code is AO21)
Select screen layout 2000 deprecation on asset sub no.level
Double click on field groups folder
Depreciation keys make it required entry filed
Select main no.check box
Select sub-no.check box
Select copy check box
Save

Deprecation keys creation (Rate+ Methods)

            1.   Define base methods
            2.   Define declining balance method
            3.   Define period control methods
            4.   Define period control methods
            5.   Maintain deprecation key

                                                             134
First steps will be assigned in 5th step and 5th step will be assigned in Asset master.

    1. Define base methods:

    Path :SPRO –Financial accounting-Asset accounting-Depreciation –Valuation methods –Depreciation key-
    Calculation methods –Define base methods

Base method :0014 Ordinary :Explicit percentage (after end of life)
   A) Ordinary deprecation
   B) Explicit percentage –creation percentages rate given in Companies Act Schedule XIV
   C) After end of line –If the next box value becomes zero no depreciation should be calculated.

Define declining balance methods
Same path

Give the Char of Depreciation AML
Enter
Note down decimal balance 001
002
Decimal factor 2
Max percentage 20
Beginning years :Wear and tear will be less
Acquisition value              100000
Rate of depreciation           5%
First year                               5
Second year                              5
Third year                               5
Fourth year                              5
                                         ---
                                         20

First 4 years :100000*5% *98% (2% discount as per companies act)
5th year onwards :100000*5%

Define multi level methods: (Tr code is AFAMS)
same path

select new entries button
multilevel method        :A
Description              :5% SLM
Validity star            :Select from ordinary deprecation on star date
Save
Press enter to save in your request
Double click on levels folder
Select new entries button
Acquisition year         :9999
Year                     :999
Periods            :12
Base value               :Select 01 Acquisition value
Percentage               :5
Save



Acquisition year         :9999


                                                             135
We have given say any year 2008- This rate is applicable for the assets purchased in the year 2008 –Next year also we
are purchasing an asset having 5% rate-we have to create acquisition year once again in the next year.

When we give 9999 purchase can be in the year
2. Years 999
       A) 5% SLM rate 20 years (100/5)
       B) 5% WDV rate        ?
       C) 1% SLM rate 100 years (100/1)
       D) 1% WDV rate        ?

        999 max no. of year

In base method –once the net book value becomes zero –Do’t calculate depreciation .
In some countries.

First 5 years    5%
Next 5 years     10%
Next 5 years     15%

    3. Periods 12 months
    4. Base value 01 Acquisition value in case of SLM
                     24 Net book value incase of WDV
    5. Percent 5 rate of depreciation
6. Reduction 1
Acquisition vale         100000
1% Scrap value           1000
                         ------
                         99000
Dep 5% only on 99000

7. Remine life          Percentage method                Useful life method
                               India                              Machine no.1-In year 2003
                                                                  Useful life :20 Years
                                                                  Going for SAP in 2008
                                                                  Select rem life
                                                                  Asset master -15 Years


Select acquisition year 9999
Double click on Multi level method folder
Select next entry button
Multilevel method A2
Description      :5% WDV
Validity star    :From ordinary depreciation star date
Save

Select acquisition year 9999
Double click on levels folder
Select new entries button
Acquisition year         :9999
Year                     :999
Periods          :12
Base value               :Select 24 net book value
Percent                  :5
Save

Maintain period control methods:

Same path

Give the Chart of deprecation :AML
Enter
                                                          136
Select new entries button
Period method            :006
Description              :AML period control method
Acquisition year         :Select 01 pro rate at period start date
Add year                 :Select 01
Retirement year          :01 (Retirement mean sale)
Transfer year      :01
Press enter to save in your request


Maintain deprecation key:

Same path Tr code is AFAMA

Select new entries button
Depreciation key         :AML1
Description              :5% Straight line dep.method
Select period control according to fiscal year check box
Select dep. to the day check box
Save
Ignore the warning message press enter
Press enter to save in your request
Double click on assignment of calculation methods folder
Select new entries button
Depreciation type        :Select ordinary deprecation
Phase                    :Select from the start of depreciation
Base method              :0014
Declare balance method      :001
Period control method    :006
Multilevel method                  :A1
Class                              :Select straight line depreciation
Save
Select back arrow 4 times
Select depreciation key :AML1
Select activate button
Save
Select new entries button
Depreciation key                   :AML2
Depreciation                       :5% written Down Value Deprecation method
Period control according to Fiscal year check box
Select depreciation to the day check box
Save
Ignore the warning message press enter
Double click assignment of calculation methods folder

                                                              137
Select new entries button
Depreciation type        :Select ordinary depreciation
Phase                    :Select from the start of depreciation
Base method              :0014
Declare balance method:001
Period control method :006
Multilevel method        :A2
Class                    :Select declining –balance depreciation
Save
Select back arrow four times
Select depreciation key AML2
Select activate button
Save
Select first page control page up button
Select depreciation key :0000(no depreciation no interest )
Select activate button
Save

FI END USER AREA:

Create of main asset master:

Path :Accounting-Financial accounting-Fixed assets-Asset –Crete –Asset (The Transaction code is AS01)

Asset class                      :Select AML2000 Department A
Company code             :AML
Enter
Give the description     :Machine no.1
Capitalized on           :18.04.2008
Select time dependent tab
Business area            :AMLH
Select depreciation area tab
Depreciation key                 :Select AML1
Useful life                      :15 years
Period                   :6 months
Ordinary depreciation start date :18.04.2008
Note: Commissioning date –Indian system, sum countries is next month first day   Eg. 01/05/2008)
save

Creation of sub asset master

Path :Up to fixed assets the path is same-Asset-Create-Sub number –Asset(The transaction code is AS11)

Asset                    :200001
Company code :AML
Enter
                                                            138
Description              :Motor
Capitalized on :29.11.2008
Select time dependent tab
Select deprecation area tab
Change the depreciation key AML2
Useful life              :15 years
Period          :01
Ordinary depreciation:29.11.2008
Save

Main asset purchase posting:

Path :Accounting-Financial accounting-Fixed asset –Posting-Acquisition-External acquisition -With vendor
(Transaction code is F-90)

Give the document date and posting date           :18.04.2008
Type                                              :KR (Vendor invoice)
Company code                             :AML
Posting key                                       :31 Vendor credit
Account                                           :4200001
Enter
Ignore the warning message press enter
Amount                                            :500000
Business area                            :AMLH
Text                                              :Machinery purchase posting
Posing key                                        :70 Debit asset
Account                                           :Select 200001 -0 Machine no.
Transaction type                                  :Select 100 External asset acquisition
Enter

1st Rule:
Sub asset master with reference to main asset master
200001-1 with reference to 200001

2nd Rule
Main asset with reference to asset also 200001 with reference to AML2000 Dept A

3rd Rule
Account determination is specified in asset class
AML200000 Plant & Machinery specified in AML2000 Dept A

4th Rule
For account determination we assign accounts based on the nature of transaction
For AML2000-Incase of acquisition-2000010 Plant & Machinery
Amount enter            :*
Text                    :+
From the menu select document Simulate and save

Sub asset purchase posting (F-90)

Give the document date            :Today’s date
                                                             139
Type                                       :KR
Company code                       :AML
Posting key                                :31
Account no.                                :4200001
Enter
Amount                                     :100000
Business area                      :AMLH
Text                                       :Motor purchase posting
Posting key                                :70
Account                                    :200001-1 that motor
Transaction type                           :100
Enter
(Applicable 1st rule)
Amount                                     :*
Text                                       :+
From the menu select document –Simulate and save

REPORT TO VIEW SUB ASSET WISE, YEAR WISE VALUES

Path :Accounting –Financial accounting –Fixed assets –Asset –Asset explorer (Tr code is AWO1N)

Give the company code              :AML
Asset no.                                  :200001
Sub No.                                    :0
Fiscal year                                :2008
Enter
Select Display depreciation calculation button
Select period information button
Select back arrow
Select compression tab
Change the asset to 200001
Sub no.                            :1
Enter
Select planned values tab
Change the fiscal year to 2009
Enter
Select display depreciation calculation button

2nd Report

Report to view for all assets for particular period

Path :Accounting-Financial accounting –Fixed assets –Information system –Reports on asset accounting –
Asset balances –Balance lists –Once again asset balances –By business area (Tr code is S_ALR_87011965

 Press all selections button (Shift +F7)

                                                           140
Give the company code :AML
Report date                       :31.12.2008
Execute
Double click on Dept A
Double click on Machine no.1
Select back arrow 3 times
Change the report date to 30.04.2008
Execute
Double click on Dept A




Depreciation run:

Path :Accounting –Financial accounting –Fixed assets -period processing –depreciation run –Execute (Tr code
is AFAB)

Give the company code             :AML
Fiscal year                               :2008
Posting period                    :1
Select planned posting run radio button
Select test run check box
(Note :If you run in middle of year select unplanned posting run radio button)
Execute
Ignore the warning message press enter
Select error list button (F7) (Right side corner)
Select back arrow
Deselect text run check box
From the menu select program Execute in back ground
Enter
Select continue button
To schedule in the rights select date /time button
Give the schedule start date :01.12.2008
                          Time :Give HR 23.00
Save
To post immediately select immediate button
Save
Note down get a message background job was scheduled for program RA POST 2000
To check whether the job or not from the menu select System –Jobs-Job overview-Services –select execute button

To view the document posted: (Tr code is FB03)
Select document list button
Give the company code :AML
Document type            :AF
Execute
Double click on document no.
Use the Tr code is AFAB
                                                           141
Company code           :AML
Fiscal year                    :2008
Before Dep run for May 2008 and after Dep run for April 2008 we have commissioned an asset with back date 200002-0
Machine no.2 25.04.2008
Posted period 2
    1. select planned posting run radio button posting as per plan (earlier we have selected monthly posting)

For 200001-0 from 1st May 2008 to 31st May 2008
For 200002-0 for 25th April 2008 to 31st May 2008

Report run:

Before run for May
Posting period
Select report run
System checks which assets are commissioned in April and not posted depreciation.
200002-0 from 25th April 2008 to 30th April 2008
Once it is completed
Posting period 2
Select planned posting run
200001-0 From 1st May 2008 to 31st May 2008
200002-0 from 1st May 2008 to 31st May 2008

Repeat run is possible only after planned posting run

We have run depreciation up to October 2008 -now we have commissioned an asset with April date repeat run is
possible only for last planned posting run-In this example only for October.

Restart

Rare cases –server is down during processing time system gives message restart.


Unplanned posting run:

Posting run not as per plan,
We have run for April
We want to run May to November Dep. At a time.
Posting period                   8
Select unplanned posting run
Depreciation will be posted from May to no.at at time.

Asset sales :

200001-0 Machine no.1
Acquisition value                        500000
Acquisition depreciation                      890
                                         ---------
Net book value 30.04.2008                499110
Asset sales on 01.05.2008                501000
                                         ----------
Profit on asset sale                     1890

1to check fields status for field status group G052 use the Tr code is OBC4
Select field status variant         :AML
Double click on filed status groups folder
Double click on field status group G052
Accounts for fixed assets retirement
Double click on Asset accounting
Asset retirement make it required entry field
Save

                                                          142
Press enter to save in your request

ASSET SALE

Path :Accounting –financial Accounting –Fixed assets –Posting –Retirement –Retirement with revenue –with
customer (F-92)

Give the document date & Posting date :01.05.2008
Type                                             :DR
Company code                            :AML
Posting key                                      :01
Account no.                                      :6600001
Enter
Ignore the message press enter
Give the amount                                  :501000
Business area                           :AMLH
Text                                             :Asses sale
Posting key                                      :50
Account no.                                      :300102 Asset sale
Enter
Amount                                           :*
Business area                           :AMLH
Text                                             :+
Select asset retirement check box
From the menu select document –Simulate
Enter
Asset no.                                        :200001
Sub number                                       :0
Transaction type                                 :210 comes by default
                                                 (210 stand for retirement with revenue)

Give the asset value (Capitalization date):01.05.2008
Select complete retirement check box
Enter

                                                          Contra

 01      Customer                                501000
70       Account Dep P & M 200001-0     890
40       Asset Sale                              501000
75       Plant & Machinery 2000001-0    500000
50       Profit on asset sale                    1890
01       Customer                                501000
50       P&M                                     501000

We get a message correct the marked line item.
Double click on blue font line item
Select display document overview button

Asset sale on           20.05.2008              Sale 2000001-0 Machine
01 Customer             501000          Acquisition value              500000
70 Acc Dept P & M       1500                    Acc Dep up to 19.05.2008      1500

                                                            143
         2000001-0                                                                 ----------
                                                  Net book value 19.05.2008        4985000
40 Asset sale            501000
50 Asset sale            501000
75 Plant & Machinery 500000              Asset sale on 20.05.2008         501000
         2000001-0                    CONTRA                                       ----------
50 Profit on asset sale 2500                     profit on asset sale              25000

Depreciation A/c                                  Accumulated Depreciation account
3014 890        DR     2015                       1500 3014 890
3115 610        DR                                      3115 610
(Dep up to 19/05/2008)
ASSET TRANSFER

When we transfer an asset from one unit to another unit with the company code –we have to transfer at cost        HYD
         BGL
200001-0
Capitalization date 20/04/2008
To transfer asset on 01.05.2008 to BGL
To transfer acquisition value
To transfer accumulated depreciation from the date of receipt (From 01/08) depreciation will be calculated in Bangalore
unit

1st Method                                        2d Method
Two step procedure                                one step procedure
A) Creation of asset master in BGL (AS01)         Creation of asset master and transfer values
B) Transfer values

Path: Accounting –Financial accounting –Fixed assets –Posting –Transfer –Transfer with in company code
(ABUMN)

Give your company code            :AML
Ente
Give the asset no.      200001 Sub No.0
Document date :01.05.2008         |
Posting date            :01.05.2008       |  Today’s date
Asset value date        :01.05.2008       |
Text                    :Asset Transfer
Select new asset radio button
Give the description    :Machine no.1
Asset class                       :AML2000 Dept A
Select master data button
Give the business area :AMLB
Select additional data button
Give the capitalized on 01.05.2008
Select depreciation area tab
Give the depreciation key         :AML1
Useful life                       :20 years
Period                  :5 months
Ordinary depreciation date :01.05.2008
Select back arrow
Enter

                                                            144
Select save button or Ctrl+S
Go and see the document FB03
Give the document no.30
Company code :AML1
Fiscal year              :2008
Enter
    1) When we want to transfer no. of assets at a time go for two step procedure
    2) When the asset has to be created in the receiving unit as a sub asset goes for two step procedure.

Asset scrapping

200000-1 Motor in Hyderabad unit 29.11.2008
This can’t be sold transferred /used we can scrap the asset
Scrap asset on 01.01.2009
It calculates depreciation up to 31.12.2008
The net book value will be charged to P & L Account

Impairment of assets (AS28)

If the expected relation of the asset is less than net book value and future cash flows are negative, we have to impair the
asset for the difference.

To check motor value as on 31.12.2008 (Tr code is S_ALR_87011965)
Press all selections button
Give the company code :AML
Business area                    :AMLH
Report date                      :31.12.2008
Select execute button
Double click on Dept A


Asset Scrapping:

Path :Accounting –Financial accounting –Fixed Assets –Posting –Retirement- Asset retirement by scrapping (Tr
code ABAVN)

Give the asset no.200001 Sub No.1
Document date          :01.01.2009
Posting date                   :01.01.2009
Asset value date               :01.01.2009
Text                           :Asset scrapping
Save

Go and see the document (FB03)

Document no.                      :31
Company code            :AML
Fiscal year                       :2008
Enter
Capital work in progress line item settlement
Machinery 01.11.2008              Debit to CWIP            Machine No.5
Freight charges 05.11.2008                 Asset commissioned as machine no.5 on 31.12.2008
                                           We settle from CWIP to respective asset

Commissioning charges            This is linked with CO this will be covered in the 30.11.2008
      end

                                                           145
                                                      REPORTS:


   Step 1.How to create a folder?

       Keep the cursor and favorites from the menu select Favorites –Insert folder
       Give the folder name FI reports
       Enter

   Step 2. How to attach the report to folder ?

       Keep the cursor on FI reports folder from the menu select Favorites –Insert truncation tr code is
       (S_ALR_87011965)
       Double click on asset balances report

   Step 3. How to attach the report on desktop?

       Go to report –Asset balances on right top select generates a short cut button
       System description               :ECC6
       Enter
       Select OK button
       Close SAP
       Icon desktop
       Double click on asset balances Icon
       Give the password       :oracle (SAP password)

Step 4: How to create variant?
        Go to asset balances report
       Give the company code :AML
       Report date                      :30.11.2008
       From the menu select go to variant --Save as variant
       Give the variant name :AML
       Date                     :30.11.2008.
       Save
       Now close SAP
       Double click on asset balances Icon on desktop
       Give the password                :oracle
       Enter
       Select get variant button (Select asset balances S_ALR_87011965)
       Execute
       Select                   :AML


       Chart of Accounts List



                                                          146
Path :Accounting –Financial accounting –General ledger –Information system –General ledger reports –
Master data –Chart of account- Chart of account (S_ALR_87012326)

Give your chart of accounts        :AML
Execute

TRAIL BALANCE

Path: Up to general ledger report the path is same -Account balances –Korea-Trail Balance (Tr code is
(S_ALR_87012310)


Country             :Korea
Trail balance       :South Korea
Give the company code :AML
Execute
Ignore the warning message press enter
Select current layout button
Keep the fields
GL account
GL account long text
Closing balances
Enter
To down lead to excel from the menu select list export –spread sheet
Enter
List –>Export local file
Select spread sheet radio button
Enter
See directory file name :AML.xls
Select generate button

LEDGER:

Path :Accounting –Financial accounting –General ledger –Periodic processing closing –Document –
Balances audit trail –All accounts -General ledger from the document file (Tr code is S_ALR_87100205)

Give the company code              :AML
Execute

(Select menu bar –Settings-Layout –Current button )
         or
Select current layout button(Ctrl+F8)
Keep the fields document no.
Posting date
From the hidden fields column
Select text fields
Select left arrow
Select debit amount in local currency
Select left arrow


                                                 147
Select credit amount in local currency
Select cumulative balances
Select left arrow
Select total check box for debit amount in local currency, Credit amount in local currency
Select copy button
To go the document level
Double click an amount no.
Select call up document over view button

VENDORS LIST

Path :Accounting –Financial accounting –Accounts payable –Information system -Reports for accounts
payable accounting –Mater data –Vendor list (Tr code is S_ALR_87012086)

Give the company code         :AML
Select address and telecom check box
Execute


Vendor wise patches

Path :Up to report for account payable accounting the path is same -Vendor balances vendor business
(S_ALR_87012093)

Give the company code            :AML
Execute
Each vendor wise

Out standing lit of vendors:

Path :up to reports for accounts payable accounting the path is same
Vendor Items- List of Vendors Open item for printing (S_ALR_87012083)

Give the company code            :AML
Execute

Age wise analysis of vendors:

Path :Up to vendors column item the path is same -Vendor payment history with open item sorted list
(S_ALR_87012085)

Give the company code            :AML
Summarization level                      :0
Select days overdue squirted list check box
Execute

Vendor advances report

Path :Up to vendors column items the path is same –List of Down payments open on key date vendors
(S_ALR_87012105)

Give the company code            :AML
Execute

Vendor ledger:


                                                   148
       Path :Open and cleared up to vendors: Item the path is same –List of vendor line item (S_ALR_87012103)

       Give the company code :AML
       Execute

       Depreciation fore cost

       Path :Accounting –Financial accounting –Fixed Assets –Information system -Reports are asset
       accounting –Depreciation fore cost-Depreciation on Capitalized Assets (Depreciation simulation)
       (S_ALR_87012936)

       Give the company code :AML
       Report date                      :31.03.2011 (Give the any month end date)
       Execute


       Fixed assets schedule as per schedule VI of Companies Act

       Path :Information system –Accounting –Financial accounting –Fixed assets -Asset history sheet (Tr
       code is AR02)

       Give the company code            :AML
       Report date                             :31.03.2009
       Select group totals only radio button
       Execute
       Select assets button
       Double click on asset retirements




                                                     DATA TAKEOVER

       Master uploading
       Balance uploading

       Master uploading:
       GS Master                :FS00
       Vendor masters           :XK01
       Customer masters         :XD01
       Asset masters            :AS01
       Material master :MM01

       Create an excel file  conversion to text file  Up loading to SAP

Legacy System Migration         Batch data Communication         Computer aided testing tool
Work bench (LSMW)               (BDC)                            (CATT)

       ABAP :They teach all 3 methods

       LSMW:Job of functional consultant

       Open an excel file and note down for which fields values are to be uploaded




                                                         149
GL       Comp    Accou     P&       Balanc    Short        Long Text     Acco    Only       Line     Sor   Field
Accoun   any     nt        L        e         Text                       unt     Balance    item     t     status
t no.    code    Group     State    Sheet                                curre   in local   displa   key   group
                           ment     A/c                                  ncy     currenc    y
                           A/c                                                   y
100001   AML     SCPL               X         PREF –       PREF          INR     X          X        001   G001
                                              Share        Share Cap.
                                              cap.
200125   AML     CAST               X         Inventory    Inventory –   INR     X          X        001   G001
                                              –Stores      Stores
300005   AML     SALE      X                  Sales        Sales         INR     X          X        001   G001
                                              trading      Trading
400101   AML     PRSN      X                  Wages        Wages         INR     X          X        001   G001
                                              account      account


            Delete above column headings
            Delete other sheets (like sheet 2 , sheet 3)
            Select complete sheet
            Press right mouse button
            Select format cells
            Select number  Category  Text
            Select ok button
            From the menu select file save as
            Save type                :select Text (tab delimited)
            File name                :AML Text
            Select save button
            Select no button
            Select cancel button
            From the menu select file  close
            Select no button

         2. Open an excel file and not down technical name of each filed technical name shall be noted down as per step
            one order

            Open an excel file

            Component                Data type                length


            Open SAP FS00
            Give the GL No.100000 Equity share capital
            Company code :AML
            Enter
            Keep the cursor on GL A/c press F1
            Select technical information button
            Double click field name SAKNR
            Copy component SAKNR in excel 1 component column
            Data type                :C

                                                                150
Length          :10
Copy component BUKRS that is company code in excel component column


Data type                 :C
Length          :4
Select back arrow in SAP
Keep the cursor on account group
Press F1
Select technical information button
Double click on filed name KTOKS
Copy component KTOKS that is account group in excel component column
Data type                 :C
Length                    :4
Copy component XPLACCT That is P & L statement account in excel component column
Data type                 :C
Length          :1
Copy component XBILK that is I Balance Sheet A/c in excel component column
Data type                 :C
Length          :1
Copy TXT20-ML That is GL A/c short text in excel component column
Data type                 :C
Length          :20
Copy component TXT50_ML That is GL long text in excel component column
Data type                 :C
Length          :50
Select back arrow
Select control data tab
Keep the cursor on account currency press F1
Select technical information button
Double click on filed name WAERS
Copy component WAERS that is account currency in excel component column
Data type                 :C
Length          :5
Copy XSALH that is only balance in local currency in excel component column
Data type                 :C
Length          :1
Line item display         :copy component XKRES that is line item display in excel component column
Data type                 :C
Length          :1
Sort key: copy component ZUAWA that is sort key in excel component column
Data type            :C
Length         :3
Copy component FSTAG that is field status group in excel component
                                                  151
Data type                   :C
Length           :4
Save the file an ex file, file AML

Up loading of master in SAP (Tr code is LSMW)

Note: LSMW used for create No. of GL accounts at a time.

Ignore the message press enter

Project          :AML
Subproject                :FI
Object                    :GLMaster
Select create entry button
Description               :AML Project
Enter
Sub project description FI Area
Enter
Object name               :GL master up loading
Enter
Select continue button (F8)
Select double click Display click change button (Shift +F7)
Select execute button
Select batch in put recording radio button
From the menu select Goto recording  Overview
Select create recording button (Ctrl +F1)
Give the recording name              :AMLGL
Description                          :GL Master uploading
Enter

FS00

Give the GL Account                  :100305
Company code              :AML
From the menu select GL Account create
Account group select secured loans
Select balance sheet account radio button
Short text and GL account long text :IDBI rupee term loan
Select control data tab
Select only balances in local currency check box
Select line display check box
Sort key                                    :001    Posting date
Select create 1 bank /Interest tab
Field status group                          :G005 Bank Accounts
Save
Keep the cursor on FS00

                                                     152
Select default all button
Save
Select back arrow two times
Give the recording name                :AMLGL
Enter and save
Select back arrow
Execute


Select create a structure button
Source structure                       :AMLSTR
Description                            :AML GL Structure
Enter and save
Select back arrow
Execute
Keep the cursor on AMLSTR
Select table maintain button
Copy from
AML excel component column in SAP field name column
Copy from excel
AML excel data type column in SAP type column
Copy AML excel length column in SAP length column
Verify the copies data some data not copied copy to next page
Save


Select back arrow
Select back arrow once again
Select save button or Ctrl+S
Execute


Select back arrow
Execute
Kept the cursor on AMLGL
Save
Back arrow
Execute
From the menu select –Extras-Auto field mapping
Press enter
Go on select accept proposal button (Press Accept proposal button many times)
Till we get the message
Auto field mapping completed
Enter and save
Select back arrow
                                                  153
Skip maintain fixed values, transactions user defined routines
Select specify files radio button
Execute
Keep the cursor on the PC (Fronted)
Select add entry button
Select file               :AML text
Name                      :GL Master uploading
Select tabulator radio button
Enter & Save
Select back arrow
Execute
Save
Select back arrow
Execute
Execute once again
Select back arrow two times
Skip display read data
Select convert data radio button
Execute
Execute once again
Select back arrow two times
SKIP Display converted data
Select create batch input folder session
Execute
Execute once again
We get a message /batch input folder
With 4 transactions created
Ignore the message press enter
Execute
Select session name GL master
Select process button
Select display errors only button
Select process button
We get a message processing of batch input session completed
Select exit batch input button

To view accounts created (Tr code is FS00)

Selected drop down button for GL A/c No.
Company code :AML
Enter

(Note: check it uploaded GL Accounts 100001, 200125,300005,400101)



                                                  154
                                               BALANCES UP LOADING


    Company going live in SAP from 1st December 2008 unloads – take balances as on 30th November 2008 and
    enter in SAP – P & L Account balances as well as Balance Sheet Account balances.

    Company going live in SAP from 1st April 2008 on wards, - Take Balance Sheet account balances as on
    31.03.2008 in SAP don’t enter all the transactions –

    Reasons:
    1. In normal accounting all vendors, Customers, Assets are part of General Ledger where as in SAP we have
       sub ledger concept.

    2. In normal accounting –for vendors/ customers –Purchases /Sales transactions and advances will be entered
       in one account where as in SAP we have normal items and special GL Item.


    3. In normal accounting for Fixed Assets- We have account wise acquisition value and accumulated
       depreciation where as in SAP for Fixed Assets, we have each sub asset wise acquisition value and
       accumulated depreciation.

    4. In normal accounting depreciation in a provisional figure where as in SAP it is actually calculated figure.


    5. In normal accounting raw material consumption is a derived figure.

        Opening stock +Purchases –Closing stock whereas in SAP we maintain each material wise quantity, rate
        and amount and raw material consumption is actually calculated figure.

    6. In normal accounting we will not pass production entries and delivery entries where as in SAP, system pass
       production entries and delivery entries with production cost.

    Procedure

1) We should enter day to day date in SAP production client till balances are up loaded and tallied.

2) Incase of Vendors /Customers we have to prepare a statement showing only open items which should match
   with trail balance figure.


3) Incase of Assets, prepare a statement showing each asset wise acquisition value and accumulated depreciation
   which should match with trail balance figure.



                                                       155
4) Incase of materials, prepare as a statement showing Material wise, Quantity , Rate and Amount which should
   match with Trail Balance figure.


5) We have to create 5 dummy accounts under any account group.

                 A) GL Clearing
                 B) Vendor clearing
                 C) Customer clearing
                 D) Asset clearing
                 E) Stock taking
                 F)
6) After uploading balances, if the above 5 clearing accounts become zero, Then our date takeover is correct

Trail Balance (For opening balances)

                                                             Debit             Credit
Equity share capital                                                           500000
Party A/c                                                                      100000
Accumulated Dep. P & M Machine no.40                                  300000
Sales                                                                          400000
P & M –Machine no.40                                         500000
Party X                                                      200000
Inventory RM                                                 100000
Cash account                                                 150000
RM Consumption                                      350000
                                                             ---------         ----------
                                                             1300000           1300000.
                                                             =======           =======
1.   GL clearing A/c
2.   Vendor clearing A/c
3.   Customer clearing A/c
4.   Asset clearing A/c
5.   Stock taking A/c

1. To take GL Credit side items:Tr code F-02)

GL clearing A/c             Dr     1300000
   To Equity share capital a/c                      500000
   To Vendor clearing a/c                  100000
   To Asset clearing a/c                   300000
   To Sales a/c                                     400000

2. To take GL debit side items (F-02)
Asset clearing              Dr     500000
Customer                    Dr     200000
Stock taking                Dr     100000
Cash account                Dr     150000
Raw material consumption Dr        350000
    To GL Clearing                        1300000

3. A)       Prepare a statement showing each vendor wise bill wise open item and
            advances which showed match with trail balance .
            Party A
            Bill no.1400000 Cr
            Bill no.250000 Cr
            Bill no.330000 Cr
            Advance         20000Dr                100000 Cr



     B) Entry for Vendors (f-43)

                                                     156
        Vendor clearing Dr 115000
        Party A (SPLGLA) Dr 200000       advances to vendor
            To party A-BIL1 No.1 400000 }      Sundry creditors
            To party A-BIL1No.2         500000 }
            To party A-Bill No.3        45000          30000 Sundry creditors

4 (A)   Prepare a statement showing each customer wise bill wise open items and advances which should match
        with trail balances

                            Party X
             Bill no.1      50000 Dr
             Bill No.2              1800000 Dr
             Advance                                30000 Cr 200000 Cr

    4 (B)    Customer balances F-22
             Party X- Bill no.1     Dr     50000 Sundry debtors
             Party X-Bill no.2Dr    180000 Sundry debtors
                     To party X (SPL GLA) 300000 Advances from customer
                     To Customer clearing         200000 Advance from customer

    5(A)     To make fixed assets P & M GL account and accumulated depreciation plant & Machinery GL Account
             as non-reconciliation accounts and pass. F-02

    40 Plant & Machinery          500000
    50 Accumulated Depreciation P & M               300000
    50 Asset clearing                                        200000

    Non-reconciliation means in FS00
    For Plant & Machinery GL A/c and accumulated depreciation P & M GL A/c
    Reconciliation a/c type –Assets remove

    5 (B)    Creation of asset masters:
             |                       |
             AS01                    LSMW

    Use the Tr code is AS01

    Asset class                      :AML2000 Dept A
    Company code             :AML
    Description                      :Machine no.40
    Give the capitalized date        :20.06.2006
    Select time dependent tab
    Business area                    :AMLH
    Select depreciation areas tab
    Depreciation key                 :AML1
    Use life                 :15 years Period 4 months
    Ordinary deprecation date        :01.04.2008
    Save

    5 (C )    To take over acquisition value and accumulated depreciation for asset 2000004-0
             It will not updated our GL Accounts since account for account type –Assets.

    Path :SPRO-Financial accounting –Asset Accounting –Asset data transfer –manual online transfer –
    Create/Change /Display legacy asset (The Tr code is AS92)

    Double click on change legacy asset

    Give the asset no.                     :200004
    Sub number                             :0
    Company code                  :AML
    Select takeover values button
    Ignore the warning message press enter

                                                      157
     Cumulated acquisition value           :500000
     Accumulate ordinary deprecation       :30000
     No book values                 :200000
     Save

     5. D)   To make fixed assets P & M A/c and accumulated depreciation P & M account as reconciliation
             accounts.

     Path :SPRO-Financial accounting –Asset accounting –Preparing for production start up-Production start
     up-Set or reset reconciliation accounts (Tr code is OAMK)

     Select company code                          :AML
     Double click on change control of reconciliation account folder
     From the menu select Edit –selections –select all
     Select set reconciliation indicators for all accounts button
     Save
     Press enter to save in your request

     6 (A) To propose a statement showing each material –match with trail balance.

     Material                Qty              Rate            Amount
     RM1                     2000             20              40000
     RM2                     7000             5               35000
     RM3                     2500             10              25000
                                                              ---------
                                                              100000
                                                              ======

     6 (B) Creation of material masters (Transaction code MM01) –and in accounting
             view –For moving average price

     RM1             20
     RM2             5
     RM3             10

     Use the transaction code MB1C

     Movement type :561               Qty
     RM1                              2000 Kgs
     RM2                              7000 Kgs
     RM3                              25000 Kgs
     Save

     Accounting entry will be generated automatically
     Inventory RM Dr                 1000000 BSX
     To stock taking          1000000 GBB BSA

     Closing procedure

     In the year end what steps we have to do April 2008 –March 2008 fiscal year 2008

     In last week of March 2009
1. To carry forward Vendor and Customer balances to next year.

         Path Accounting –Financial accounting-Accounts payable –Periodic processing –Closing –Balance
         carry forwarded ( Tr code is F.07)

     Give the company code           :AML
     Carry forwarded fiscal year              :2009
     Select , select customer check box
     Select , select vendors check box
     Deselect detail log check box

                                                        158
         Execute
         Ignore the warning message press enter
         One time exercise for each year



  2. To carry forwarded asset balances
       We can open 2 years at a time
         2007                   2008
       To open 2009 we have to close 2007

A)   To check which year is closed for asset accounting

Path :Accounting -Financial accounting –Fixed assets –Periodic processing –year end closing –Undo-Entire
company code (Tr code is 0AAQ)

             Select position button
             Give the company code                :AML
             Enter

To close fiscal year 2008 (not mandatory step)

Up to periodic processing the path is same –Year end closing –Execute (Tr code is AJAB)

     Company code                         :AML
     Fiscal year to be closed 2008
     Deselect text run check box
     Form the menu select Program- Execute in back ground
     Enter
     Select immediately button
     Select save button (down side)
     We get a message Back ground job was scheduled for program RAJABS00


     To check whether the job is processed or not


     From the menu select System –Services-Jobs –Job overview

     Select execute button
     To view result of the job
     Select job RAJABS00 check box
     Select spool button
     Select spool no .check box
     Select display content button

     To close only year for asset a accounting we have to post depreciation for all assets and for all months

     C) To open fiscal year 2009 for asset accounting

     Path :Up to period processing the path is same –Fiscal year change (Tr code is AJRW)

     Give the company code                        :AML
     New fiscal year                              :2009
     Deselect test run check box
     From the menu select program execute in back ground
     Enter
                                                            159
Select immediate button
Select save button
We get a message back ground job was scheduled for program RAJAWE_00

To check whether the job is processed or not

From the menu select System  Services  Jobs job overview

Select execute button
To view the result of job
Select job RAJAWE00 check box
Select SPOOL button
Select SPOOL no.check box
Select display contents button

3. To carryforward GL Balances

Path :Accounting –Financial accounting –General Ledger –Periodic processing –Closing –Carryforward-
Balances carryforward new Tr cod is FAGLGVTR

Ledger                        :select OL leading ledger
Company code                  :AML
Carryforward fiscal year      :2009
Deselect test run check box
Select output list of results check box
Select balances in retired earning check box
Execute
Select retired earning accounts button
Select back arrow
Select Balances sheet accounts button

To copy number range interval for next year

Path :SPRO-Financial accounting –Financial accounting global settings –Document –Document number
ranges –copy to fiscal year (Tr code is OBH2)


Ignore the message press enter

Company code                 :AML
To fiscal year details under source fiscal year       :2008

To fiscal year under target fiscal year details       :2009
Execute
Select Yes button

To open periods for next year
April 2009-March 2010
April 2009-April 2009     Fiscal year 2009

1st   1, 2009-1,2009        |
      April 2008-March 2009 |          Mandatory

                                                          160
2nd March 2009-March 2009                       Optional
    12, 2008-12,2008

Path :Up to document the path is same –Posting periods –Open and close posting periods

Select position button
Posting period variant                 :AML
Enter
For AML
From period 1 is 1 (April )
Year                                   :2009
To period                      :1
Year                                   :2009


From period                    :2
Period                                 :12     March to March
Year                                   :2008
To period                      :12
Year                                   :2008
Select save button or Ctrl+S
Save in your request

How to open special periods

On 15.04.2008 –Accounts Dept Finalized profitability management, management adjustment entries.
To post in special periods
April 2009 –March 2010 Fiscal year 2009
April 2009 –April 2009

1st 1, 2009 -1, 2009
April 2008 –March 2009 Fiscal year
March 2009-March 2009
13,2008 -13,2008

Same path :OB52
For variant :AML
From the period2 :13
Year                           :2008
To period        :13
Year                           :2008
Save

How to post to special periods (F-02)
(Adjustment of management entries )

Document date & Posting date           :28.03.2009
Type                                           :SA
Company code                                   :AML
Posting key                                    :40
Account no.                            :400100 Salaries A/c
Enter
                                                        161
Change the period to 13
Enter
Ignore the warning message press enter
Amount                                     :500000
Business area                              :AMLH
Text                                       :Salaries provision
Posting key                                :50
Account no.                        :100500 Outstanding exp
Enter
Amount                                     :*
Business area                              :AMLH
Text                                       :+
Select document –Simulate and Save

Go and see the GL A/c FS10N
Give the GL A/c No. :400100 Salaries A/c
Fiscal year         :2008
Business area              :AMLH
Company code               :AML
Execute




                                           BANK RECONCILIATION

Check Deposit                              Bank statement
     |                                                |
--------------------                       ------------------
|                    |                     |                  |
Manual          Electronic                 Manual Electronic


                                                     162
    Manual check deposit /manual bank statement
    For each current account we have to create ¾ accounts

                                                        Account no. should with
    1.   Main bank account                                      0
    2.   Check issue account    Open item               1
    3.   Check deposit A/c              Open item              2
    4.   clearing account               Open item              3
    5.   Bank Changes

If we have 100 Bank current accounts instead of assigning accounts 100 times –we assign only one time using masking.
1. Main bank account                            +++++++++0
2. check issue account                          +++++++++1
3. check deposit a/c                                    +++++++++2
4.clearing account                                      +++++++++3

Always main bank account balance and bank statement balance will be same.

Flow:
Sales:
    1. Sales invoice posting F-22

       Customer A/c Dr                  100000
              To Sales                  100000
    2. Check deposit
          A) Bank key
          B) Bank account
          C) Pay slip no.
          D) Transaction type
          E) Customer
          F) Bill no.
          G) Amount and Save

IDBI Check deposit a/c Dr               100000
       To Customer with clearing        100000

3. Enter manual bank statement
    A) If the check deposit credit is not there –open items in bank check deposit A/c-Checks
       Deposited but not credited

    B) If the check deposit credit comes in bank statement
            A) Pay slip no.
            B) Bank key
            C) Bank account
            D) Transaction type
            E) Amount and save

IDBI main bank A/c Dr         100000
       To IDBI Check deposit a/c     100000
       (with clearing)


Purchases :
4. Purchase invoice posting F-43
        Inventory RM Dr                 200000
                To Party A/c            200000

    5    Outgoing payment with clearing F-53
         Party A/c Dr with clearing      200000
               To IDBI check issue A/c 200000

    6. Manual check creation

                                                         163
        Assign check no.to payment doc.no.

    7. Enter manual bank statement
       A) If the check debit is not there open items in bank check is issue A/c check issued but not presented.
       B) If the check issue debit is there
               A) Bank key
               B) Bank account
               C) Transaction type
               D) Check number
               E) Amount and save

IDBI check issue Dr with clearing         200000
        To IDBI Bank a/c                  200000
Bank charges direct debits

    8. Enter manual bank statement
       A) Bank Key
       B) Bank account
       C) Transaction type
       D) Amount and save

        Bank charges          Dr                   5000
               To IDBI main bank a/c 5000

IDBI main bank A/c                 IDBI bank statement

3       10000 7 B) 20000                  7 B) 20000      3 B) 100000 Cr
                8) 500             8)     500     DR

IDBI check Dept A/c
2.      100000 3. 100000
IDBI Check issue A/c

7 B) 20000      5          20000


1. Creation of GL masters (FS00)

Give the GL A/c no.                :200130 Wages A/c
Company code               :AML
Select with template button
Give the GL A/c no.200105 SBI A/c
Company code               :AML
Enter
Change short text and GL Account long text to IDBI main bank
Save
GL A/c No.                         :200131
Company code               :AML
Select with template button
Give the GL A/c NO.200130
Company code               :AML
Enter
Change short text and GL A/c long text to IDBI check issue
Select control data tabs


                                                           164
Select open item management check box
Save
GL A/c No.                        :200132
Company code            :AML
Select with template button
Give the GL A/c No.               :200131
Company code            :AML
Enter
Select type/description tab
Change short text and GL A/c long text to IDBI check deposit
Save
GL A/c No.                        :400304
Company code            :AML
Select with template button
Give the GL A/c No.               :400300 Rent A/c
Company code            :AML
Enter
Change GL A/c short text and GL A/c long text to Bank charges
Save

Define House Bank (FI12)

Give the company code :AML
Enter
Select new entries button
House bank                        :IDBI
Bank country            :IN
Bank key                          :AMLIDBI1
Save
Give the name IDBI bank limited
Street                            :Bank Street, Koti
City                              :Hyderabad
Bank branch                       :Main branch
Enter
Press enter to save in your request
Double click on bank accounts folder
Select new entries button
Account ID              :IDBI1
Description             :IDBI current no.1
Bank account no.        :AMLIDBI1234
Currency                :INR
GL A/c No.              :200130 IDBI Main bank
Save
                                                         165
    3. Creation of Check lots (Tr code is FCHI)

Give the paying company code :AML
House bank                               :IDBI
Account ID                               :IDBI1
Select change status button
Select create button (shift+F5) beside details button
Lot no.                                  :1
Check no.                                :100001
To no.                                   :100100
Select non-sequentional check box
Short information                        :IDBI bank
Purchase date                            :Today’s date
Enter and save

Define posting keys and posting rules for check deposit

Path :SPRO-Financial accounting –Bank accounting –Business transactions –Check deposit –Define posting
keys and posting rules for check deposit

Chart of accounts                        :AML
Enter
Select new entries button
Accounts symbol                          :AMLA
Text                                     :Main Bank
Accounts symbol                          :AMLB
Text                                     :check issue
Accounts symbol                          :AMLC
Text                                     :Check deposit
Accounts symbol                          :AMLD
Text                                     :Bank charges
save
press enter to save in your request
double click on assign accounts to account symbol folder
select new entries button
accounts symbol                  :AMLA

Account symbol          Currency                  GL A/c
AMLA                             INR                       +++++++++0 (9 times plus)
AMLB                             INR                       +++++++++1 (9 times plus)
AMLC                             INR                       +++++++++2 (9 times plus)
AMLD                             INR                       400304 –Bank Charges A/c
Save
Double click create keys for posting rules folder
Select new entries button

Posing rule                      Text

                                                            166
AML1                             Check receipt –Clear customer
AML2                             Check deposit clearing in Bank
AML3                             Check issue clearing in Bank
AML4                             Bank charges direct debit by banks
Save

Double click on define posting rules folder
Select new entries button


Notes:
Check receipt –clear customer
AML1-Check receipt clear customer
IDBI check deposit Dr          GL
        To Customer –with clrg SL

Doc.Type                                 DZ


Posting rule                             :AML1
Posting area                             :select 2 sub ledger accounting
Debit posting key                        :40
Account symbol                           :AMLC (check deposit)
Document type                    :DZ
Posting type                             :select 8 sub ledger a/c

Select next entry button

Posting rule                             :select AML2 (check deposit clearing in bank)

Notes:
AML2                                     :Check deposit clearing in bank

IDBI1 Main account Dr                    GL
        To IDBI check deposit with clearing GL
Doc .type       :SA


Posting area             :select 1 Bank accounting
Debit posting key        :40
Accounts symbol          :AMLA main bank a/c
Document type :SA (GL account document)
Posting type             :select 5 clear credit GL Account
Select next entry button
Posting rule    :AMLB check issue clearing in bank

AML3 Check issue clearing in Bank
     IDBI check issue with clrg DR GL
             To IDBI main bank A/c
     Doc .type :SA

Posting area                   :select 1 bank accounting
Debit account symbol :AMLB
Credit posting key             :50
Account symbol           :AMLA Main bank
Document type            :SA
Posting type                   :select 4 clear debit GL Account
Select next entry button
Posting rule                   :AML4 Bank charges :Direct debit by bank

Bank charges Dr              GL
       To IDBI Main bank A/c GL

                                                             167
        Doc type :SA

Posting area            :select 1 Bank accounting
Debit posting key       :40
Account symbol :AMLD
Credit posting key      :50
Account symbol :AMLA
Document type :SA
Posting type            :select 1 post to GL A/c
Save

Create and assign business transactions :

Path :Up to business transactions the path is same –Check deposit –Create and assign business transactions
(Tr code is OT53)

Select new entries button
Transaction             :AML1
+/-                     :+
Posting rule            :AML1
Text                    :Check receipt clear customer
Transaction             :AML1
+/-                     :- (for posting revenues)
Posting rule            :AML1
Text                    :Check receipt clear customer reversal
Select save button
Select cancel button
Select Yes button
Save
Press enter to save in your request

Define variants for check deposit
Same path ( Tr code is OT45)

Select create button
Variant         :AML1
Name                     :check deposit variant for AML
Enter
From the possible fields column
Double click on reference document no.(selection)
Enter

Column                                Offset                     Length
1                                     3
2                                     20                         16
3                                     37                         4
4                                     52                         10


Save
Select create request button
short description        :Work Bench request for AML
Enter
press enter to save in your request
kept the customer on AML1

                                                          168
select activate button

create and assign business truncation for manual bank statement

path :up to business truncation the path is same –Payment transactions –manual bank statement –Create and
assign business transactions

select new entries button
Transaction         +/-                 Posting rule       Interpretation     Text
                                                           algorithm
AML2                 +                  AML2                                  Check deposit
AML2                 -                  AML2                                  Check deposit
                                                                              clearing in bank
                                                                              reversal
AML3                 -                  AML3               011 (Outgoing      Check issue
                                                           check :Check no.   clearing in Bank
                                                           different from
                                                           payment doc.no.
AML3                 +                  AML3               11                 Check issue
                                                                              clearing in bank
                                                                              (Reversal)
AML4                 -                  AML4                                  Bank charges
                                                                              direct debit by
                                                                              bank
AML4                 +                  AML4                                  Bank charges
                                                                              direct debit by
                                                                              bank (reversal)


Save
Press enter to save in your request

011- Check no. different from payment doc.no. purchases




                             1. Purchase invoice posting F-43

          Inventory RM DR               200000
                  To Party A/c          200000
                  Doc no.1

2. Outgoing payment with clearing       F-53

          Party A/c DR with clearing             200000
                  To IDBI Check issue A/c        200000
                  Doc no.200001

3. Manual check creation                FCH5

       Assign check no. to payment doc no.
       Assign check no.100001 to payment
       Doc no.200001
Check no. and payment Doc no. are different

Define variants for manual bank statement

Same path (Tr cod is OT43)

Select create button
Variant          :AML2
                                                          169
Name                     :Manual bank statement variant for AML
Enter
From the possible fields column double click on reference doc .number (selection)
Enter
4the column (20+16) :36
From the possible field column double click on bank reference
Enter
From the possible fields column double click on business area
Enter (53+13+4):67
Save
Press enter to save in your work bench request
Keep the cursor on AML2             :select activate button



To make text field optional field for field status groups G001 and G005 (Tr code is OBC4)
Select field status variant     :AML
Double click on field status group folder
Double click on G001
Double click on general data
Text make it optional entry field
Save
Press enter to save in your request
Double click on G005
Double click on General data
Text make it optional entry field
Save

SALES

Sales invoice posting (F-22)

Give the document date              :Today’s date
Type                                :DR
Company code             :AML
Posting key                         :01
Reference bill no.                  :2345
Account                             :6600001
Enter
Amount                              :100000
Business area                       :AMLH
Text                                :Sales invoice posting
Posting key                         :50
Account no.                         :300000 Sales a/c
Enter


                                                              170
Amount                            :*
Business area                     :AMLH
Text                              :+
Document –simulate & Save

Manual check deposit

Path :Accounting –financial accounting –Banks –Incomings –check deposit –manual entry (FF68)

From the menu select settings  Specifications

Start variant            :select AML1
Enter
Bank key                 :AMLIDBI1
Bank account             ;AMLIDBI1234
Currency                 :INR
Group                    :1 (paying slip no.)
Transaction              :select AML1 (check receipt clear customer )
Posting date             :Today’s date
Value date               :Today’s date
Currency                 :INR
Enter
Amount                   :100000
Reference no.            :2345 (bill no.)
Business area            :AMLH
Customer no.             :6600001
Enter & save
Save once again
From the menu select System –>services  Batch input  Sessions  select session name :IDBI-IDBI1
Select process button
Select Display errors only radio button
Select process button
We get a message processing of batch in put session completed
Select exit batch input button

Go and See the customer A/c FBL5N

Give the customer no.6600001
Company code :AML
Select cleared items radio button
Select normal items check box
Execute
Double click on type DZ
Select column document overview button

Check deposit credit in bank statement

Path :Accounting –Financial accounting –Banks-Incoming –Bank statement –manual entry (Tr code is FF67)

                                                          171
From the menu select settings –specifications

Start variant                    :select AML2
Enter
Bank key                         :AMLIDBI1
Bank account                     :AMLIDBI1234
Currency                         :INR
Give the statement no.           :1
Statement date           :Today’s date
Opening balance                  :0
Closing balance                  :100000
Posting date                     :Today’s date
Enter
Ignore the warning message press enter


Transaction                      :select AML2 check deposit in bank
Value date                       :Today’s date
Amount                           :100000
Give the reference doc no.       :1 (That is paying slip no.)
Business area                    :AMLH
Enter & Save
Save once again
From the menu select System –Services –Batch input session
Select session name              :IDBI –IDBI1
Select process button
Select display errors only radio button
Select process button
Ignore the message and exit batch input button


Go and see the IDBI check deposit A/c (FBL3N)
Give GL A/c No.                  :200132
Company code             :AML
Select cleared items radio button
Select normal items check box
Execute
Double click credit 100000
Select call up document overview button


1.       Purchases
Purchase invoice posting         F-43


Give the document date                    :Today’s date

                                                                172
Type                                      :KR
Company code                      :AML
Posting key                               :31
Account no.                               :4200001
Enter
Give the amount                           :20000
Business area                             :AMLH
Text                                      :Purchase invoice posting
Posting key                               :40
Account no.                               :200120 Inventory RM
Enter
Amount                                    :*
Business area                             :AMLH
Text                                      :+
Document –Simulate and Save

2.       Outgoing payment with clearing (Tr code is F-53)

Give the document date                    :Today’s date
Type                                      :KZ
Company code                      :AML
Clearing text                             :Outgoing payment
Account under bank data                   :200131 (IDBI cheque issue date)
Business area                     :AMLH
Amount                                    :20000
Text                                      :Outgoing payment
Account under open item selection :4200001
Select process open item button
Double click on payable amount            :20000
From the menu select Document --Simulate & Save

3.       Manual check creation (FCH5)

Give the check no.100010
Save

4.       Enter manual bank statement (FF67)

Select overview button (F8)

Keep the cursor on AML IDBI Bank Ltd
Select new statement button
Closing balance (100000-200000)=800000

Posting date                      :today’s date
Enter


                                                           173
Transaction                      :AML3 check issue clearing in Bank
Value date                       :today’s date
Amount                           :20000 with minus
Bank reference           :100010 (cheque no.)
Business area                    :AMLH
Enter
Select save button , save once again
From the menu select System –Service –Batch input –Sessions
Select session name      :IDBI-IDBI
Select process button
Select Display errors only radio button
Select process button
Ignore the message exit batch input button

Go and see IDBI cheque issue account (FBL3N)

Give the GL account              :200131 IDBI cheque issue account
Company code             :AML
Select cleared items radio button
Select normal items check box
Execute
Double click on debit 20000
Select call up document overview button

Bank charges Direct debits

Enter manual bank statement FF67
Select overview button
Keep the cursor on AML IDBI Bank Ltd


Select new statement button
Give the closing balance         :79500
Posting date                     :Today’s date
Enter
Transaction                      :AML4 Bank charges direct debits
Value date                       :Today’s date
Amount                           :500-
Business area                    :AMLH
Enter & Save


Save once again
From the menu select System –Services –Batch input –Session
Select session name :IDBI –IDBI-1
Select process button
                                                         174
Select display errors only radio button
Select process button
Ignore the message and select exit batch input button

To view the document posted (FB03)
Enter
To view bank statements in SAP FF67
Select overview button
Double click on AML IDBI Bank Ltd

To view the transactions in the statement
Double click on statement no.




                                                     CASH JOURNAL

    1) To view daily cash and ban opening balances, Receipts , Payments and closing balance
    2) GL Cash account accepts negative cash balance –Cash Journal will not accept negative cash balance
    3) For petty cash purpose

1. Creation of GL master –Petty cash account –Current assets-Loans & Advances (FS00)
Give the GL A/c No.                 :200101
Company code                        :AML
Select with template button
Give the GL A/c No.                        :200100
Company code                        :AML
Enter
Change short text and GL a/c long text to Petty Cash A/c
Select create /bank /interest tab
Select post automatically only check box
Save

Define number rage intervals for cash journal documents

Path :SPRO-Financial accounting –bank accounting –Business transactions-Cash journal –Define number range
intervals for Cash journal Documents (FBCJC1)

Give the company code               :AML
Select change intervals button
Select interval button
No.range                                   :01
From no.                                   :500001
To no.                                     :600000
Enter & Save
Ignore the warning message press enter



                                                           175
Setup cash journal (FBCJC0)
Same path

Select new entries button
Company code                    :AML
Cash journal no.                       :0001
GL A/c No.                             :200101
Currency                               :INR
Document type for GL A/c               :SA
Document type vendor payment           :KZ
Document type vendor receipt    :KZ
Document type customer payment         :DZ


Cash Journal name,                     :AML HYD petty cash
Save
Press enter to save in your request

Create ,Change delete business truncations (FBCJC2)

Same path

Select new entries button
Company code                    :AML
Business transaction type              :select R Revenue
G/L A/c                                :300000
Cash journal business transaction      :Revenue
Select account modifiable check box
Company code                    :AML
Business transaction type              :select E Expenses
GL A/c No.                             :400100 Salaries A/c
Cash journal Business transaction :Expenses
Select account modifiable check box
Save
Press enter to save in your request

Setup print parameters for cash journal

Select new entries button

Company code                    :AML
Cash journal print program name        :RFCASH00
Report variant                  :DEMOEN (Demo English)
Correspondence                         :select SAP18 Cash document
Save
Press enter to save in your request
                                                        176
Posting to Cash journal

Path :Accounting –Financial accounting –General ledger –Posting –Cash journal posting (FBCJ)

From the menu select Extras  Change Cash journal

Give your company code                     :AML
Cash journal                               :0001
Enter
Select cash receipts tab
Business transaction               :select Revenue
Amount                                     :5000
Business area                      :AMLH
G/L A/c                            :300000 Sales A/C
Text                                       :Cash sales
Save
Select post button
Select print cash journal button
Ignore the message press enter




                                                   WITH HOLDING TAX (TDS

TDS: Tax deducted at source on Vendors/ Contractors/Local and professional charges

TCS: Tax collected at source –on Customers/ scrap sale /waste sale

TDS is part of CIN (Country India Version)

TDS two types

Classic with holding Tax                             Extended withholding tax
Up to 4.6 C SAP CIN from 4.7 EE on words
CIN is part of SAP
SAP was released in India 1995 –SA and CIN
February 1996 Finance Budget Govt. made
changes to TDS for the changes in Budget.
SAP releases –Patch (program)
February 1997 finance budget changes
February 1998 Finance budget changes
February 1991 Finance budget changes
                                                     Released extended with holding tax
                                                     Original CIN program modified with the budget
                                                     changes
                                                     Number changes
                                                     A) Education cess
                                                     B) Higher and Secondary Education cess
                                                     C) Return –Contractors –annual Return –form
                                                     26C
                                                     D) Changed to annual return Form 26
                                                     E) Changed to quarterly return –Form 26Q
                                                     F) ETDS
                                                     TDS on contractors/Professional charges

                                                             177
                                                     /Rent/Interest other than salaries




TDS on contractors (Income Tax Section 194C)

1    Status –Company /Partnership firm                Individual
2.   TDS Rates
     Basic    2%                                      10% on 2% contract value in the whole year
     Surcharges 10% on 2%                             exceed 10 Lakhs other wise NIL
     ED 3% on (basic +Surcharges )                    3% on Basic +Surcharge
                                                      (Note :contract value in the whole year
                                                      exceeds 1 core other wise NIL)

     4. TDS is to be deducted at the time of invoice posting or advance payment posting whichever is earlier
     5. If each contract value is less than 20000 and all contract value in the whole year is less than 50000 –No TDS is
           to be deducted.
     6. To create only one code for invoice postings and one code for advance postings (Max codes can be created 99)
     7. If the contractor does not have taxable income he for lower rate of deduction or NIL rate of deduction . Company
           has to deduct at lower rate or Nil rate –Exemption certificate will be given by Income Tax Dept for each year.
     8. In the bill amount includes material cost and conversion charges – (composite contacts) To deduct TDS only
           conversion charges.
     9. TDS deducted should be deposited within 7 days from the month end incase of year end credits TDS to deposit
           within 2 months from the year end.
           If 7th day comes on public holiday –choice to make the payment day before or after.
     10. Issue TDS certificate in form 16A to the contractor –It can be a monthly certificate or consolidated certificate for
           the whole year.
     11. File quarterly return in form 26Q earlier annual return Form 26
     12. Permanent Account Number (PAN) will be allotted at company code level where as Tax Deduction at Source
           (TDS No./TAN can be obtained at company code level/Business area level/Business places level.

     Maintain calendar

     Path :SPRO-SAP Net weaver –General settings –Maintain calendar

     Select public holidays radio button
     Select change button
     Select create button
     Select with fixed date radio button
     Select create button
     Day                           :1
     Month                         :select 05 May day
     Short holiday name :May day
     Long holiday name :May day
     Enter
     Ignore the message select Yes button

                                                              178
Ignore the message press enter
Select back arrow
Select holiday calendar radio button
Select change button
Select create button
Calendar ID                    :A1      (AML HYD Factory Holiday calendar)
Select assign holiday button
Select May day check box
Select assign public holiday button
Save
Ignore the message press enter
Select back arrow two times
Select factory calendar radio button
Select change button
Select create button
Factory calendar ID                     :A2
Description                    :AML HYD Factory calendar
Holiday calendar ID            :A1
Work days select Monday to Saturday check boxes
Save
Ignore the message press enter

Check withholding tax countries

Path :SPRO-Financial Accounting –Financial accounting global settings-With holding tax-Extended
withholding tax-basic settings-Check with holding tax countries

Select new entries button
Country                                 :IN
Withholding tax country        :IN
Description                    :India
Select save button or Ctrl+S
Save in account payable customization request
Define withholding tax keys
Same path
Give the country key         :In for India
Enter
Select new entries button
Official withholding tax     :194C
Name                         :TDS contractors
Save
Press enter to save in your request

Define Business places (section code )

Path :Up to extend with holding tax the path is same -Basic settings  India  Define business places

Select new entries

                                                        179
Company code                 :AML
Section code                 :AMLF
Name                         :AML HYD factory
Save
Give the name                :AML HYD Factory
Press enter to save in your request


Assign factory calendars to section code (Business places)
Same path
Select new entries button
Company code                          :AML
Section code                          :AMLF
Factory calendar ID                   :A2
Rule                                  :select day before
Save
Press enter to save in your request



Define business place

Path: Form the menu select System –Services –Table maintenance –Extended table maintenance (Tr cod is
SM30)

Table/view            :J_1BBRANCV
Select maintain button
Give the company code        :AML
Enter
Select new entries button
Business place               :AMLF
Description           :AML Hyderabad factory
Save
Give the name                :AML Hyd factory
Press enter to save in your request

Assign section code to business place (Tr code is SM30)

Table /View                           :V_seccode
Select maintain button
Give the company code        :AML
Enter
For section code             :AMLF
Business place                        :AMF
Save
Press enter to save in your request

Define withholding tax type for Invoice posing:
                                                       180
 Path: Up to Extended with holding tax the path is same –Calculation –With holding tax type –Define with
 holding tax type for invoice posing

 Give the country key                   :IN
 Enter
 Select new entries button
 With holding tax type                  :D1
 Description                    :section sec 194C contractors Invoice posting
 Select gross amount radio button
 Select with holding tax commercial rounding radio button
 Select post with hold tax amount check box
 Select no accumulation radio button
 Save
 Press enter to save in your request

 Define withholding tax for payment posing

 Same path
 Give the country key                   :IN
 Enter
 Select new entries button
 With holding tax type                  :DA
 Description                    :Sec 194 C contractors –Advance posting
 Select gross amount radio button
 Select withhold tax commercial rounding radio button
 Select no accumulation radio button
 Select post with holding tax amount check box
 Select central invoice propitiate radio button
 Select save button or Ctrl+S
 Press enter to save in your request


 Why to select central invoice proportionate for advance payments

                                                                                                     2.266%
 1. Advance payment                 F-48                        20.11.2008
     Party special GL (A)  Dr                                   100000
             To Bank                                            97734
             To TDS (To deposit before 07.12.2008) 2266



 2. Purchase invoice posting F-43                 14.12.2008
     Conversion charges      Dr                          300000
            To party                                     293202
            To TDS (to Deposit before 07.12.2009) 6798

3. Transfer of advance from special GL to normal by clearing special GL -54 14.12.2008
     Party     Dr                                               97734
     TDS       Dr                                               2266 auto debit

                                                         181
              To Party special GL (A)                    100000

TDS payable on 07.12.2008 on 07.12.2008 2266
TDS payable on 07.12.2009               4532
(6798-2266)


Define withholding tax codes

Path :Up to extend with holding tax the pat is same –Calculation  With hold tax codes  Define with
holding tax codes

Give the country key                    :IN
Enter
Select new entries button
With holding tax type                   :D1
With hold code                          :D1
Description                  :section 194C contractors Invoice (2.266%)
Official with holding tax               :section 194 C
Base amount percentage subject to tax            :100
With holding tax rate                   :2.266%
Posing indicator                        :selection 1 (standard posting :Bank /Vendor /Customer line item reduced
Save
Press enter to save in your request
Select back arrow
Select with holding tax type :D1
Select copy as button
Change with holding tax type            :D1 to DA
Change with hold tax code :from D1 to DA
Description                  :sec 194 C (contractors –Advance 2.266% )
Enter and Save

Check recipient type

Path :Up to extended with hold tax the path is same –Basic settings –Check recipient types

Give the country key                    :In for India
Enter
Select new entries button
With holding tax type                   :D1
Recipient type                          :CO
Text                                    :company


One more
With holding tax type                   :DA
Recipient type                          :CO
Text                                    :Company

                                                          182
Save
Press enter to save in your request




Maintain tax due dates

Path :Up to extend with holding tax the path is same –Basic settings –India  Maintain tax due dates

Select new entries button
Country                             :IN
Official with holding tax key :194C
Recipient type                      :CO
No.of days unit tax due date        :777
Save

Assign withhold tax types to company code

Path :Up to Extend with holding tax the path is same –company code  Assign with holding tax types to
company code

Select new entries button
Company code                  :AML
Withholding tax type          :D1
Recipient type                :CO
Select with hold tax agent check box
Withholding tax obligated firm         :01.04.2008
Obligated to with hold tax until       :31.03.2009
Save
Press enter to save in your request
Select back arrow
Select company code AML with tax type D1
Select copy as button
Change the With holding tax type to DA
Enter & Save

Activate extended withholding tax :
Same path
Select position button
Give the company code                  :AML
Enter
For company code AML select extended with holding tax check box
Save
Ignore the warning message press enter
Press enter to save in your request
Combined with holding tax code

Path : up to Extend with holding tax the path is same –Calculation –India –surcharges –Maintain surcharge
rates (Surcharges combined with basic withholding tax codes)


                                                     183
    Select new entries button
    Company code                :AML
    Withholding tax code        :D1
    Recipient type              :CO
    Surcharge rate              :10
    Company code                :AML
    Withholding tax code        :DA
    Recipient type              :CO
    Surcharge           :10
    Save
    Press enter to save in your request

    Creation of 2 GL masters (FS00)
    1. Conversion charges under manufacturing group
    2. TDS on contractors under Current Liabilities & Provision group

FS00

Give the GL A/c No.             :400200
Company code            :AML
Select with template button
Give the GL A/c                 :400100 Salaries A/c
Company code            :AML
Enter
Change the A/c group to manufacturing expenses
Change short text and GL A/c long text to Conversion changes
Save


One more
Give the GL Account no.         :100510
Company code            :AML
Select with template button
Give the GL A/c No.100500 out standing exp.
Company code            :AML
Enter
Change short text and GL account long text to TDS on Contractors
Save

Assignment of accounts for Automatic postings:

Path :Up to Extended with holding tax the path is same –Posting –Accounts for withholding tax –Define
accounts for withholding tax to paid over

Give the Chart of Accounts :AML
Enter
Select with holding tax code check box

                                                         184
And with withholding tax type check box
Save
Withholding tax type    :D1
Withholding tax code    :D1
Account                         :100510
Withholding tax type    :DA
Withholding tax code    :DA
Account                         :100510
Save
Press enter to save in your request




Maintain company code settings

Path :SPRO-Logistic- General –Tax on goods movement –India –Basic settings –Maintain company code
settings

Select new entries button
Give the company code AML and Save
Press enter to save in your request
Specify document type for remittance challans

Remittance challans TDS on contractors

1       CO       1000   (Company)
2       OT       2000   (Individual)
3       CO       3000
4       CO       4000
5       TO       5000

When we make TDS payment –we have to prepare two challans
1 for Companies
2 for Individuals

In remittance challan screen

recipient type                  Company (CO)
1                       CO      1000
3                       CO      3000
4                       CO      4000

TDS on contractors Dr-With Clg 8000 GL
       To Bank                        8000 GL

        Doc .Type :SA

Path :Up to Extended with holding tax the path is same –Posting –India –Remittance challans –Document types
–Specify document type (Accounts payable)

Select new entries button
Company code                    :AML
Remittance challan document type          :SA
Save
Press enter to save in your request
                                                    185
Maintain number groups:
Same path
Select new entries button
Company code             :AML
Section code                     :AMLF
Official withholding tax key     :194C
Number group             :08
Save
Press enter to save in your request

Assign number ranges to Number groups: ( Tr code is J1INO)

Same path

Select new entries button
Internal number range group :08
Internal challan        :08
Save

Maintain number ranges:(Tr code is J1INUMBER)

Same path

Select maintain groups button
Select group without tax having 08 check box
From the menu select Interval  Maintain
Give the company code :AML
Enter
Select interval button
Year                             :2008
From no.                         :1
To number                        :100000
Enter & Save
Ignore the message press enter



Assign remittance challan number group to Business place

Tr code is (SM30)

Give the Table /View     :J_1IEWTNUMGR
Select maintain button
Select new entries button
Company code             :AML
Business place           :AMLF
Official with holding            :194C Tax key
Number group             :08
Save

                                                   186
Assign remittance challan number group to section code :(SM30)

Table /view      :J_1IEWTNUMGR_1
Select maintain button
Select new entries button
Company code             :AML
Selection code           :AMLF
Official withholding             :194C Tax key
Number group             :08
Save
Press enter to save in your request

Maintain number groups and SAP script forms

Path :Up to Extend with holding tax the path is same –Postings –India –Withholding tax certificates for Vendors
and Customers –Maintain number groups as SAP script forms

Select new entries button
Company code             :AML
Section code                     :AMLF
Official withholding tax key     :194C
Form                             :J_11EWT_CERT
No group                         :09
Save
Press enter to save in your request

Assign number ranges to number groups

Same path
Select new entries button
Number group             :09
Internal number range :09
Save
Press enter to save in your request


Maintain number ranges

Sam path
Select maintain groups button
Select group without text having 09 check box
From the menu select interval maintain
Company code             :AML
Enter
Select interval button
Year                             :2008
From number              :100001
To number                        :200000

                                                      187
Enter & Save
Ignore the message press enter

Assign withholding tax code in Vendor master

Path :Accounting –Financial accounting –Accounts payable –Master records-Maintain centrally –change (Tr
code is XK02)

Give the vendor no.                         :4200001
Company code                     :AML
Select with hold tax check box
Enter
Give the withhold tax country :IN (India)
With holding tax type            :D1
Withholding tax code             :D1
Select liable check box
Recipient type                   :CO
Withholding tax type             :DA
Withholding tax code             :DA
Select liable check box
Recipient type                   :CO
Select CIN details button
Ignore the warning message press enter
Select withholding tax tab
Give the PAN of vendor           :AP4C12345C
Select back arrow
Save

END USER AREA

Conversion charges posting (F-43)

Document type                    :Today’s date
Type                                        :KR
Company code                     :AML
Posting key                                 :31
Account no.                                 :4200001
Enter
Give the amount                             :100000
Business area                    :AMLH
Business place /section code     :select AMLF
Enter
Text                             :Conversion charges posting
Posting key                      :40
Account                          :400200 conversion charges account


                                                         188
Enter



Conversion charges


Option 1                          Option 2                        Option 3
If the bill value is less than    If the value consists of        If the bill amount is only for
20000 and whole year contract     material 30000 and conversion   conversion charges
value is less than 50000          charges 70000
No TDS                            A) For D1 with –holding tax     A) Remove DA
                                  base amount enter 70000
                                  TDS will be deducted on
                                  70000
Remove D1 and DA                  B) Remove DA

Remove with hold tax code    :DA
Enter
Amount                       :*
Business area                :AMLH
Text                         :+
From the menu select Document  Simulate and Save

Note : If you get a error message once check it Activate extended withholding tax / Document splitting

Create remittance challan

Path :Accounting –Financial accounting –Accounts payable –With holding tax –India –Extended with holding tax
–Remittance of withholding tax-Create remittance challan (Tr code is J1INCHLN)

Company code                      :AML
Fiscal year                               :2008
Business plane/ Second code       :AMLF
Posting date                              :01.01.2009 to 31.01.2009
Section                                   :194 C
Recipient type                    :CO
Document date                     :07.02.2009
Posting date                              :07.02.2009
Bank account                      :200105 SBI CA
Execute (F8)
Enter
Business area                     :AMLH
Text                                      :Conversion charges amount
Double click on all open items (by default one rupee can not see in SAP zero)
Select document overview button
Double click on the line item
SBI current A/c with one rupee
Amount                                    :*
Save
Select clearing document button
Select back arrow

                                                          189
Enter Bank challan

Path: Same path ( Tr code is J1INBANK)

Give the company code            :AML
Fiscal year                              :2008
Challan clearing number                  :select document no.37
(Once we select challan clearing number, Internal challan number and internal challan date will be update automatically)
Base challan no .                        :789
Bank challan date                        :07.02.2009
Bank key                                 :select SBI
Execute

Print TDS Certificate

Path :Up to extend with holding tax the path is same –Certificates –Print (J1INCERT)

Company code                     ;AML
Fiscal year                              :2008
Business area /Section code      :AMLF
Section                                  :194C
Posting dates                    :01.04.2008 to 31.03.2009
Bank challan dates                       :01.05.2008 to 30.04.2009
Certificate date                 :30.04.2009
Signatory                                :Mr X
Designation                              :Manager
Place of printing                        :Hyderabad
Execute
Select print button
Output device                    :LP01
Select print button

To view the print out

From the menu select –System –Services –Output control

Select execute button
Select spool no.check box
Select display contents button

Quarterly return

( Tr code J1INQEFILE)

Path for Entering acknowledgement numbers.

In TDS certificate we have to specify acknowledgment number for each quarterly return field.

Path :System –Service –Table maintenance –Extended table maintenance (Tr code is SM30)


                                                          190
Table /View J_1IET_ACKN_N

Select maintain button
Select new entries button
Company code            :AML
Year                            :2008
Section code                    :AMLF
Period                          :select second quarter
ACK No.                         :123
Save

Note:   Quarterly return not working in pirated software’s patches updated in genuine SAP software

Advance posting:
   1. Advance payment posting F-48

        15.12.2008 50000 1133 TDS to deposit before 07.01.2009
     2. Conversion charges posting F-43
        02.01.2009     200000         4532

3.      Transfer of advance from special GL to normal by clearing special GL F-54
        02.01.2009      1133 Auto debit will come before 07.02.2009 to deposit        4532-1133=3399




                                                         191

				
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