FICO ENTERPRISE STRUCTURE:

1.WHAT IS SAP FICO?

SAP FICO STANDS FOR FINANCE AND CONTROLLING,SAP FICO IS THE BEST CONFIGURATION FOR
INTERNAL AS WELL AS EXTERNAL ACCOUNTING

PROCESSES,IT IS AN IMPORTANT CORE MODULE OF ERP PROCESSES,WHERE IN REAL TIME

FINANCIAL TRANSACTIONS ARE INTEGRATED WITH

VARIOUS PARALLEL MODULES FOR BEST RESULTS.

SAP FI IS AN EFFECTIVE TOOL FOR RELIABLE,ACCURATE,TIME BASED EXTERNAL REPORTING IN THE

FORM OF PROFIT&LOSS STATEMENTS,

BALANCE SHEETS AND SO FORTH.

SAP CO IS THE VITAL FOR MANAGEMENT DECISION MAKING PROCESSES AND IT IS OFTEN USED
FOR THE INTERNAL REPORTING PURPOSES.

2.WHAT IS COMPANY?

COMPANY IS AN ORGANIZATION FINANCIAL UNIT WHERE INDIVIDUAL FINANCIAL STATEMENTS

CAN BE DRWAN ACCORDING WITH APPROPRIATE

COMMERCIAL AND LEGAL REQUIREMENTS,COMPANY HAS SEVERAL TYPES OF LOCAL CURRENCIES

WHERE WE CAN DERIVE SEPERATE FINANCIAL

STATEMENTS THAT IS PROFIT&LOSS ACCOUNT AND BALANCE SHEET,A COMPANY HAS SEVERAL
TYPES OF COMPANY CODES BUT IT ACTS AS A

SINGLE UNIT FOR WHICH FINANCIAL STATEMENTS ARE AVAILABLE.

YOU CAN CREATE A COMPANY USING TCODE:OX15

3.WHAT IS COMPANY CODE?

COMPANY CODE IS AN ORGANIZATIONAL UNIT AND IT IS EXTREMELY IMPORTANT TO DERIVE

INDIVIDUAL FINANCIAL STATEMENTS LIKE

PROFIT AND LOSS ACCOUNT AND BALANCE SHEET.

YOU CAN CREATE A COMPANY CODE USING TCODE:OX02

4.WHAT IS BUSINESS AREA?

BUSINESS AREA IS AN ORGANIZATIONAL UNIT WITHIN ACCOUNTING SYSTEM IT CAN BE CLASSIFIED

AS GEOGRAPHICAL WISE AND PRODUCT WISE

AS PER THE REQUIREMENTS OF AN ORGANIZATION,UNDER BUSINESS AREA YOU GENERATE

FINANCIAL STATEMENTS OF PROFIT&LOSS AND BALANCE

SHEET ACCOUNT FOR EACH AREA AND WILL GENERATE INTERNAL REPORTING.

YOU CAN CREATE BUSINESS AREA USING TCODE:OX03

5.WHAT IS BUSINESS FUNCTIONAL AREA?

BUSINESS FUNCTIONAL AREAS IN FINANCIAL ACCOUNTING ARE USED TO DEFINE EXPENSES IN A

COMPANY ACCORDING TO INDIVIDUAL

FUNCTIONAL WISE.

YOU CAN CREATE BUSINESS FUNCTIONAL AREA USING TCODE:FM_FUNCTION

CONSOLIDATION BUSINESS ARE:

 CONSOLIDATION BUSINESS AREA SPECIFIES THE CENTRAL BUSINESS SEGMENT WITHIN A
COMPANY IF YOU WANT TO MAINTAIN

CONSOLIDATION BUSINESS AREA IN SAP,IT IS MANDATORY TO ASSIGN BUSINESS AREAS TO

CONSOLIDATED BUSINESS AREA.

NAVIGATION PATH:

SPRO--ENTERPRISE STRUCTURE--DEFINATION-- FINANCIAL ACCOUNTING--MAINTAIN

CONSOLIDATION BUSINESS AREA.

6.WHAT IS CREDIT CONTROL AREA?

CREDIT CONTROL AREA IS AN ORGANIZATIONAL UNIT WHICH IS USED TO CONTROLLING

CUSTOMER CREDIT LIMITS,CREDIT CONTROL AREA

CONFIGURATIONS ARE GENERALLY SHARED BY SD CONSULTANTS AND FICO CONSULTANTS,SOME

OF THE CONFIGURATIONS ARE IMPLEMENTED

BY SD CONSULTANTS.

YOU CAN CREATE CREDIT CONTROL AREA USING TCODE:OB45

FICO GLOBAL SETTINGS:

7.WHAT IS FISCAL YEAR VARIANT?

SAP DEFAULT CALENDER SYSTEM ALLOWS FOR A MAXIMUM AMOUNT OF SIXTEEN PERIODS FOR
POSTING IN EACH FISCAL YEAR,

IT CAN BE BROKEN UP INTO 12 REGULAR PERIODS AND 4 SPECIAL PERIODS,

4 SPECIAL PERIODS ARE USED FOR THE AUDITING AND CORRECTION PURPOSE,
V3 FISCAL YEAR VARIANT (APRIL TO MARCH),

K4 FISCAL YEAR VARIANT (JANUARY TO DECEMBER).

YOU CAN CREATE FISCAL YEAR VARIANT USING TCODE:OB29

8.WHAT IS YEAR SHIFT?

WHEN THE FISCAL YEAR IS NOT SAME AS THE CALENDER YEAR FOR THIS WE NEED TO DEFINE A
DISPLACEMENT FACTOR FOR EACH OF THE

POSTING PERIODS TO CORRECTLY IDENTIFY THE NUMBER OF POSTING PERIODS.

9.WHAT IS YEAR DEPENDENT?

THE FINANCIAL YEAR IS SAME AS THE CALENDER YEAR STARTING FROM 1ST JANUARY TO 31ST
DECEMBER,WHERE POSTING PERIODS AND

CALENDER YEAR MONTHS ARE EQUAL.

10.WHAT IS YEAR INDEPENDENT?

THE FINANCIAL YEAR IS DIFFER FROM CALENDER YEAR STARTING FROM 1ST APRIL TO 31ST
MARCH,WHERE POSTING PERIODS AND CALENDER

YEARS ARE NOT EQUAL.

11.WHAT IS POSTING PERIOD VARIANT?

POSTING PERIOD VARIANT IS USED TO CONTROL WHICH ACCOUNTING PERIOD IS OPEN FOR
POSTING,IT IS AN IMPORTANT TOOL FOR EACH

AND EVERY ORGANIZATION.

YOU CAN CREATE POSTING PERIOD VARIANT USING TCODE:OBBO

12.WHAT IS VARIANTS FOR OPENING AND CLOSING POSTING PERIOD?

YOU CAN CREATE POSTING PERIODS IN YOUR FISCAL YEAR VARIANT,YOU CAN OPEN AND CLOSE
THESE POSTING PERIODS FOR POSTING.

YOU CAN CREATE VARIANTS FOR OPENING AND CLOSING POSTING PERIOD:OB52

13.WHAT IS FIELD STATUS VARIANT?

FIELD STATUS VARIANT IS USED TO DEFINE THE FIELDS WHICH ARE USED FOR INPUT LIKE COST
CENTER,PROFIT CENTER,PLANT ETC

WHICH ARE ENTRY FIELDS AND HIDDEN FIELDS,FIELD STATUS VARIANT WILL HAVE FIELD STATUS
GROUP,FIELD STATUS GROUP IS

MAINTAINED IN GL ACCOUNT AND IT DEFINES THE FIELDS WHILE POSTING TO THE GL.

A FIELD MAY HAVE ONE OF THE FOLLOWING STATUSES LIKE

SUPPRESS,OPTIONAL,REQUIRE,DISPLAY.

YOU CAN CREATE FIELD STATUS VARIANT USING TCODE:OBC4

14.DEFINE DOCUMENT TYPE?

DOCUMENT TYPE IS USED TO DISTINGUISH BETWEEN DIFFERENT BUSINESS TRANSACTIONS AND TO

CLASSIFY THE ACCOUNTING DOCUMENTS,

IT IS ALSO USED TO DETERMINE THE NUMBER RANGE FOR DOCUMENTS AND ACCOUNT TYPES
SUCH AS ASSET,MATERIAL,VENDOR ETC.

DOCUMENT TYPES ARE GENERALLY USED FOR REVERSAL POSTINGS,

DOCUMENT TYPES ARE DEFINED AT THE CLIENT LEVEL.

YOU CAN CREATE DOCUMENT TYPE USING TCODE:OBA7

15.WHAT IS DOCUMENT NUMBER RANGE?

DOCUMENT NUMBER RANGES ARE USED FOR THE ACCOUNT GROUPS WHICH CONTROLS NUMBER
RANGES FOR EXPENSES,SALARIES ETC.

YOU CAN CREATE DOCUMENT NUMBER RANGE USING TCODE:FBN1

16.WHAT IS TOLERENCE GROUP?

TOLERENCE GROUPS ARE USED TO DEFINE DIFFERENT CONTROL AMOUNTS WHICH APPLY TO
MAXIMUM AMOUNT OF THE DOCUMENT AND MAXIMUM

AMOUNT OF THE LINE ITEM AND MAXIMUM CASH DISCOUNT TO CUSTOMERS AND VENDORS.

YOU CAN CREATE TOLERENCE GROUP USING TCODE:OBA4

17.ASSIGN USERS TO TOLERENCE GROUP?

YOU CAN ASSIGN USERS TO TOLERENCE GROUP USING TCODE:OB57

18.WHAT IS GLOBAL PARAMETERS?

WITH THIS TRANSACTION YOU ARE ABLE TO SEE ALL OBJECTS RELATED TO FINANCIAL
ACCOUNTING WHICH ARE ASSINGED TO PARTICULAR

COMPANY CODE,IT WILL GIVE YOU OVERVIEW OF WHAT YOU DID SO FAR.

TRANSACTION CODE:OBY6
GENERAL LEDGER CONFIGURATIONS:

19.POSTING KEYS:

POSTING KEY IS A TWO DIGIT KEY WHICH IS USED TO CONTROL THE LINE ITEMS,WHETHER THE
POSTING IS DEBIT OR CREDIT,THE TYPE

OF ACCOUNT THE ENTRY WILL BE MADE TO(GL,CUSTOMER,VENDOR,ASSETS,MATERIAL)

YOU CAN CREATE POSTING KEYS USING TCODE:OB41

20.CHART OF ACCOUNTS:

CHART OF ACCOUNTS IS A FINANCIAL ORGANIZATIONAL TOOL THAT PROVIDES A COMPLETE

LISTING OF EVERY ACCOUNT IN AN ACCOUNTING

SYSTEM,A CHART OF ACCOUNTS IS A STRUCTURE CONTAINING THE GL ACCOUNTS USED BY ONE OR

MORE COMPANY CODES,

CHART OF ACCOUNTS ARE DEFINED AT THE CLIENT LEVEL,

CHART OF ACCOUNTS HAVE MULTIPLE COMPANY CODES.

YOU CAN CREATE CHART OF ACCOUNTS USING TCODE:OB13

CHART OF ACCOUNTS CAN HAVE THREE DIFFERENT FUNCTIONS

1.OPERATING CHART OF ACCOUNTS?

OPERATING CHART OF ACCOUNT CONTAINS THE GL ACCOUNTS THAT YOU PLAN TO USE FOR
DAILY POSTING IN YOUR COMPANY CODE,
 FINANCIAL ACCOUNTING AND CONTROLLING BOTH USE THIS CHART OF ACCOUNTS.

2.GROUP CHART OF ACCOUNTS?

GROUP CHART OF ACCOUNT CONTAINS THE GL ACCOUNT,THAT ARE USED BY THE ENTIRE
CORPORATE GROUP,THIS ENABLES GROUP REPORTING.

3.COUNTRY SPECIFIC CHART OF ACCOUNTS?

COUNTRY SPECIFIC CHART OF ACCOUNT CONTAINS THE GL ACCOUNTS,AND NEEDED TO MEET A

SPECIFIC COUNTRYS LEGAL REPORTING

REQUIREMENTS.

21.WHAT IS ACCOUNT GROUP?

ACCOUNT GROUP IS USED TO SEGREGATING OR GROUPING THE SIMILAR ACCOUNTS INTO A

SINGLE GROUP,EACH ACCOUNT GROUP IN SAP

IS ASSIGNED TO CHART OF ACCOUNTS,SO YOU CAN ONLY USE THE ACCOUNT GROUP IF THE
CONTROLLING AREAS USE THE SAME COA.

YOU CAN CREATE THE ACCOUNT GROUP USING TCODE :OBD4

22.WHAT IS RETAINED EARNINGS?

RETAINED EARNING ACCOUNT IS USED TO CARRY FORWARD THE BALANCE FROM ONE FISCAL YEAR
TO THE NEXT FISCAL YEAR,YOU CAN ASSIGN

RETAINED EARNING ACCOUNT TO EACH P&L ACCOUNT IN THE CHART OF ACCOUNTS TO

AUTOMATICALLY CARRY FORWARD THE BALANCE TO THE

NEXT FISCAL YEAR.

YOU CAN CREATE RETAINED EARNING ACCOUNT USING TCODE:OB53

23.WHAT IS ACCOUNT PAYABLES?

THE ACCOUNT PAYABLE APPLICATION COMPONENT RECORDS AND MANAGES ACCOUTING DATA
FOR ALL VENDORS,IT IS ALSO AN INTEGRAL PART

OF THE PURCHASING SYSTEM.

ACCOUNTS PAYABLE CONFIGURATIONS:

1.CREATE ACCOUNT GROUPS TCODE:OBD3

2.CREATE NUMBER RANGES TCODE:XKN1

3.ASSIGN ACCOUNT GROUPS TO THE NUMBER RANGES:OBAS

4.VENDOR CREATION TCODE:XK01

5.VENDOR TOLERENCE GROUP CREATION:OBA3

6.CREATE VENDOR RECONCILIATION GL ACCOUNTS TCODE:FS00

7.VENDOR INVOICE POSTING TCODE:FB60,F-02

8.VENDOR INVOICE CLEARING TCODE:F-53

24.WHAT IS ACCOUNT RECEIVABLES:

ACCOUNT RECEIVABLE APPLICATION COMPONENT RECORDS AND MANAGES ACCOUNTING DATA

FOR ALL CUSTOMERS,IT IS ALSO AN INTEGRAL PART

OF THE SALES SYSTEM.

ACCOUNTS RECEIVABLE CONFIGURATIONS:

1.CREATE ACCOUNT GROUPS TCODE:OBD2

 2.CREATE NUMBER RANGES TCODE:XDN1

3.ASSIGN ACCOUNT GROUP TO THE NUMBER RANGES:OBAR

4.CUSTOMER CREATION TCODE:XD01

5.CUSTOMER TOLERENCE GROUP CREATION:OBA3

6.CREATE CUSTOMER RECONCILIATION GL ACCOUNT TCODE:FS00

7.CUSTOMER INVOICE POSTING TCODE:FB70,F-22

8.CUSTOMER PAYMENT CLEARING TCODE:F-28

25.WHAT IS OPEN ITEM MANAGEMENT?

IN TECHNICAL POINT OF VIEW,IT IS JUST CHECK BOX OF CONTROL DATA TAB IN GL MASTER
DATA(FS00)

IN FUNCTIONAL POINT OF VIEW,IT CONTROLS ALL OUTSTANDINGS WHICH WILL BE RECEIVE FROM
CUSTOMERS OR WHICH IS PAYABLE TO

VENDORS,EMPLOYEES OR GOVERNMENT AUTHORITIES ETC.

ACCOUNTS TO BE MANAGED AS OPEN ITEM MANAGEMENT:

1.BANK CLEARING GL ACCOUNTS

2.PAYABLE GL ACCOUNTS

3.GR/IR CLEARING ACCOUNTS

YOU CAN ACTIVATE OPEN ITEM MANAGEMENT USING TCODE:FAGL_ACTIVATE_OP

26.WHAT IS ACCOUNT DETERMINATION?

WHEN A BILLING DOCUM0ENT IS POSTED OR TRANSFERRED TO FINANCIAL ACCOUNTING,THE

SYSTEM CAN AUTOMATICALLY POST INDIVIDUAL

AMOUNTS THAT IT CONTAINS TO THE RELAVANT ACCOUNTS IN FINANCIAL ACCOUNTING.

 ACCOUNT DETERMINATIONS ARE THE KEYS THAT ARE USED TO LINK THE ASSET CLASSES OR
MASTER RECORD TO THE GL ACCOUNTS BASED

ON THE NATURE OF TRANSACTIONS.

27.WHAT IS PARK DOCUMENT?

A PARKED DOCUMENT IN SAP IS A SAVED DOCUMENT BUT NOT YET POSTED TO GENERAL LEDGER
ACCOUNT,PARKED DOCUMENTS CAN BE EDITED

SAP PARKING DOCUMENT ALLOWS DUAL CONTROL OF THE DOCUMENT AND DUAL PRINCIPLE CAN
BE APPLIED,TWO SEPERATE USERS CAN BE

INVOLVED IN THIS PROCESSING OF A DOCUMENT,THE FIRST USER WILL PARK AND THE SUPERIOR
WILL VERIFY AND POST.

DOCUMENT PARKING FUNCTIONALITY CAN BE USED IN AP,AR AND GENERAL LEDGER

ACCOUNTING.

28.WHAT IS HOLD DOCUMENT?

SOMETIMES A USER IS CALLED FOR THE URGENT MEETING IN THE MIDST OF POSTING A
DOCUMENT,HE OR SHE CAN USE THE DOCUMENT

HOLDING FUNCTIONALITY,THIS ALLOWS THE USER TO SAVE WHAT HAS BEEN ENTERED
TEMPORARILY.

29.WHAT IS PARTIAL CLEARING?

IN PARTIAL CLEARING SYSTEM MATCHES THE INCOMING PAYMENT WITH THE OPEN ITEM BUT
DOES NOT CLEAR THE ORIGINAL ITEM,THE

ORIGINAL ITEM WILL REMAIN OPEN THOUGH IT IS CLEARED PARTIALLY ONLY.

30.WHAT IS RESIDUAL CLEARING?

 THE TOTAL OPEN ITEM AMOUNT IS CLEARED WITH INCOMING AMOUNT WHICH IS LESS THAN THE
VALUE OF THE OPEN ITEM AND A NEW OPEN

ITEM IS CREATED,THIS NEWLY CREATED OPEN ITEM,RESIDUAL ITEM HAS THE VALUE OF
DIFFERENCE BETWEEN THE ORIGINAL OPEN ITEM

VALUE AND THE INCOMING PAYMENT VALUE.

31.IF VENDOR IS ALSO A CUSTOMER WHAT ARE THE CONFIGURATIONS STEPS:

1.CREATE VENDOR USING TCODE:XK01

2.CREATE CUSTOMER USING TCODE:XD01

3.ASSIGN CUSTOMER IN VENDOR MASTER DATA USING TCODE:XK02

4.POST OUTGOING PAYMENTS USING TCODE:F-31

5.POST INCOMING PAYMENTS USING TCODE:F-52

6.VENDOR OUTGOING PAYMENTS CLEARING USING TCODE:F-53

7.CUSTOMER INCOMING PAYMENTS USING TCODE:F-28

IF VENDOR IS ALSO A CUSTOMER HOW TO CLEAR THE INVOICE AMOUNT THROUGH AUTOMATIC
PAYMENT PROGRAM:

1.CUSTOMER AND VENDOR MASTER DATA ARE LINKED USING TCODES- XD02/XK02

2.CHECK OR CREATE OPEN ITEMS USING TCODES- FB60/FB70

3.CLEAR THE REMAINING AMOUNT THROUGH AUTOMATIC PAYMENT PROGRAM USING TCODE-
F110

IN CASE OF MANUAL CLEARING:

1.CUSTOMER AND VENDOR MASTER DATA ARE LINKED USING TCODES- XD02/XK02

2.CHECK OR CREATING OPEN ITEMS USING TCODES- FB60/FB70

3.DOCUMENT TYPE OF CUSTOMER RECIEPT USING TCODE- OBA7

 4.CLEAR THE REMAINING AMOUNTS USING CUSTOMER INCOMING POSTING AND VENDOR
PAYMENT POSTING- F-28/F-53

32.DOWNPAYMENTS CONFIGURATION STEPS FOR VENDOR:

1.CREATE DOWNPAYMENT PAID ACCOUNT IN GENERAL LEDGER ACCOUNTS TCODE: FS00

2.CREATE VENDOR RECONCILIATION ACCOUNT IN THE GL TCODE: FS00

3.ASSIGN THESE DOWNPAYMENT PAID A/C & V RECONCILIATION A/C TCODE: OBYR

4.DOWNPAYMENT REQUEST TCODE: F-47

5.DOWMPAYMENT POSTING TCODE: F-48

6.RAISE VENDOR INVOICE TCODE: FB60,F-43

7.DOWNPAYMENT CLEARING TCODE: F-54

8.OUTGOING PAYMENT VENDOR TCODE: F-53

33.DOWNPAYMENTS CONFIGURATION STEPS FOR CUSTOMER:

1.CREATE DOWMPAYMENT RECEIVE ACCOUNT IN GENERAL LEDGER ACCOUNTS TCODE: FS00

2.CREATE CUSTOMER RECONCILIATION ACCOUNT IN THE GL TCODE: FS00

3.ASSIGN THESE DOWMPAYMENT RECEIVE A/C & C RECONCILIATION A/C TCODE: OBXR

4.DOWNPAYMENT REQUEST TCODE: F-37

5.DOWNPAYMENT POSTING TCODE: F-29

6.RAISE CUSTOMER INVOICE TCODE: FB70

7.DOWNPAYMENT CLEARING TCODE: F-39

8.INCOMING PAYMENT RECEIVING TCODE: F-28

34.WHAT IS RECURRING ENTRIES?

 RECURRING ENTRIES ALLOWS THE BUSINESS A FUNCTION FOR A AUTOMATIC CREATION OF
ACCOUNTING ENTRIES BASED ON THE PREDEFINED

PARAMETERS,ONCE THE RECURRING ENTRIES ARE CREATED THEY GET POSTED INTO THE SAP
SYSTEM AS PER THE DEFINED SCHEDULE BY THE

BUSINESS.

RECURRING ENTRIES CONFIGURATIONS:

A.CREATE GL ACCOUNTS USING TCODE:FS00

BANK ACCOUNT

LOAN ACCOUNT

RENT ACCOUNT

INSURANCE PREMIMUM ACCOUNT,ETC

B.POST ENTRY USING TCODE:F-02

1.DEFINE RUN SCHEDULES USING TCODE:OBC1

2.ENTER RUN DATES USING TCODE:OBC2

3.CREATE NUMBER RANGE FOR AB DOCUMENT USING TCODE:FBN1

4.REFFERENCE DOCUMENT USING TCODE:FBD1

5.RECURRING DOCUMENT USING TCODE:FBD3

6.RECURRING ENTRIES EXECUTE USING TCODE:F.14

7.RUNNING THE SESSION USING TCODE:SM35

THEN JUST GO THE TRANSACTION CODE FS10N(GL LINE ITEM BALANCE DISPLAY).

35.PAYMENT TERMS INTRODUCTION:

PAYMENT TERMS ARE CONDITIONS THAT ARE AGREED BETWEEN BUSINESS PARTNERS.

THESE CONDITIONS DEFINE DUE DATE AND CASH DISCOUNTS OFFERED FOR PAYMENT OF THE
INVOICES WITHIN A CERATAIN PERIOD OF TIME.
 PAYMENT TERMS ARE USED TO CALCULATE CASH DISCOUNT AND INVOICE DUE DATE.

BUSINESS TRANSACTIONS ARE INVOLVED BETWEEN ORGANIZATIONS AND VENDORS.

BUSINESS TRANSACTIONS ARE INVOLVED BETWEEN ORGANIZATIONS AND CUSTOMERS.

ORGANIZATIONS MAY ACT LIKE VENDORS AS WELL AS CUSTOMERS.

2.PAYMENT TERMS CONFIGURATIONS(NORMAL WITH CASH DISCOUNTS):

1.CREATING TERMS OF PAYMENT OR PAYMENT TERMS---OBB8

2.CREATE CASH DISCOUNT RECEIVED----------------FS00

CASH DISCOUNT PAID--------------------FS00

3.ASSIGN CASH DISCOUNT REEIVED-----------------OBXU

4.ASSIGN CASH DISCOUNT PAID--------------------OBXI

5.ASSIGN PAYMENT TERMS IN THE VENDOR MASTER DATA-XK02

(YOU CAN GIVE PAYMENT TERMS WHILE YOU ARE DOING

INVOICE POSTING OF VENDOR.)

6.ASSIGN PAYMENT TERMS IN THE CUSTOMER MASTER DATA-XD02

(YOU CAN GIVE PAYMENT TERMS WHILE YOU ARE DOING

INVOICE POSTING OF CUSTOMER.)

3.PAYMENT TERMS CONFIGURATIONS(INSTALLMENT PAYMENTS WITH CASH DISCOUNTS):

1.CREATE TERMS OF PAYMENT OR PAYMENT TERMS---OBB8

A)ADVANCE PAYMENT TERMS

B)CREATE INSTALLMENT PAYMENT TERMS

2.ASSIGN THESE ADVANCE AND INSTALLMENT PAYMENT TERMS FOR ONE TERMS OF
PAYMENT--OBB9
 4.INCVOICE POSTING:

VENDOR INVOICE POSTING :FB60

LINE ITEM DISPLAY OF VENDOR :FBL1N

CUSTOMER INVOICE POSTING : FB70

LINE ITEM DISPLAY OF CUSTOMER : FBL5N

5.PAYMENT CLEARING:

POST OUTGOING PAYMENT OF VENDOR----(F-53)

POST INCOMING PAYMENT OF CUSTOMER--(F-28)

36.WHAT IS FOREIGN CURRENCY REVALUATION?

1.FOREIGN CURRENCY VALUATION IS TO BE DONE FOR PREPARING FINANCIAL STATEMENTS AT A

KEY DATE,DOCUMENTS POSTED IN FOREIGN

CURRENCIES HAVE TO BE CONVERTED TO COMPANY CODE CURRENCY FOR PREPARING THE

COMPANY FINANCIAL STATEMENTS.

2.YOUR COMPANY FINANCIAL STATEMENTS CAN INCLUDE ONLY THOSE TRANSACTIONS WHICH
ARE POSTED IN COMPANY CODE CURRENCY.

HENCE ALL THE POSTINGS WHICH ARE OPEN ITEMS WHICH ARE POSTED IN GL ACCOUNTS WITH
FOREIGN CURRENCY HAVE TO BE VALUATED

IN COMPANY CODE CURRENCY.

3.VALUATION IS PERFORMED AT A EXCHANGE RATE ON THE VALUATION DATE,IN THAT WAY GAIN
OR LOSS IS CALCULATED AND POSTED TO

EXCHANGE RATE GAIN OR LOSS ACCOUNTS.

1.CHECK EXCHANGE RATE TYPES TCODE:OB07

2.MAINTAIN TRANSLATION RATIOS TCODE:OBBS

3.MAINTAIN EXCHANGE RATES TCODE:OB08

B-SELLING RATE

G-BUYING RATE

M-AVERAGE RATE

4.DEFINE VALUATION METHOD TCODE:OB59

5.DEFINE VALUATION AREA

6.DEFINE ACCOUNTING PRINCIPLE

7.ASSIGN ACCOUNTING PRINCIPLE TO LEDGER GROUPS

8.ASSIGN VALUATION AREAS TO ACCOUNTING PRINCIPLES

9.CREATE REQUIRED GL ACCOUNTS TCODE:FS00

BANK A/C,FOREIGN CURRENCY LOAN A/C.

LOSS ON EXCHANGE RATE DIFFERENCE A/C

PROFIT ON EXCHANGE RATE DIFFERENCE A/C

INTEREST PAID A/C

REALISED GAIN ON FOREIGN CURRENCY IN (OTHER INCOME)

REALISED LOSS ON FOREIGN CURRENCY IN (OTHER EXPENSES)

10.PREPARE AUTOMATICALLY POSTINGS FOR FOREIGN CURRENCY POSTINGS TCODE:OBA1

11.ASSIGN EXCHANGE RATE TYPE TO THE DOCUMENT TYPES TCODE:OBA7

REALISED GAIN ENTRY:

VENDOR A/C.............DR

BANK A/C...............CR

REALISED GAIN A/C......CR

 REALISED LOSS ENTRY:

VENDOR A/C.............DR

REALISED LOSS A/C......DR

TO BANK A/C............CR

37.WHAT IS APP (AUTOMATIC PAYMENT PROGRAM)?

APP IS USED TO FIND OUT DUE OR OVER DUE INVOICES AND TO PROCESS A LIST OF VENDOR OR
CUSTOMER INVOICES TO MAKE PAYMENTS IN

ONE GO,A CONSISTENTLY HIGH VOLUME OF INVOICES HAVE TO BE PROCESSED,ACCOUNT

PAYABLES HAVE TO BE PAID ON TIME TO RECEIVE

POSSIBLE DISCOUNTS FROM VENDORS,APP HAS BEEN DEVELOPED FOR BOTH NATIONAL AND
INTERNATIONAL PAYMENT TRANSACTIONS WITH VENDORS

AND CUSTOMERS AND HANDLES BOTH OUTGOING AND INCOMING PAYMENTS.

THERE ARE TWO TYPES OF RUNS IN APP:

1.PROPOSAL RUN

2.PAYMENT RUN

IN THE PROPOSAL RUN THE SYSTEM IS READY TO MAKE ALL THE DUE OR OVERDUE LINE ITEMS TO
BE POSTED.

IN THE PAYMENT RUN THE SYSTEM IS READY TO MAKE THE PAYMENTS.

APP CONFIGURATION STEPS USING TCODE FBZP:

1.SET UP ALL COMPANY CODES FOR PAYMENT TRANSACTIONS

 HERE WE HAVE SENDING COMPANY CODE,PAYING COMPANY CODE,SEPERATE PAYMENT FOR
EACH BUSINESS AREA,USAGE OF PAYMENT

METHOD SUPPLEMENTS,TOLERENCE DAYS FOR PAYABLES,MINIMUM PERCENTAGE RATE FOR

PAYMENTS WITH CASH DISCOUNT,

VENDOR PAYMENTS ALWAYS WITH MAXIMUM CASH DISCOUNT.

SENDING COMPANY CODE- THE COMPANY CODE FOR WHICH THE PAYMENT IS TO BE MADE.

PAYING COMPANY CODE - WHICH MAKES THE PAYMENT.

2.PAYING COMPANY CODES FOR PAYMENT TRANSACTIONS

HERE WE HAVE MINIMUM AMOUNT FOR INCOMING PAYMENT,MINIMUM AMOUNT FOR

OUTGOING PAYMENT,NUMBER OF EXCHANGE RATES,

NUMBER OF EXCHANGE RATE DIFFRENCE,SEPERATE PAYMENT FOR EACH REFFERENCE,BILL

EXCHAGE PAYMENTS,FORMS FOR THE PAYMENT

ADVICE,EDI ACCOMPANYING SHEET FORM.

3.PAYMENT METHOD IN COUNTRY FOR PAYMENT TRANSACTIONS

HERE WE HAVE COUNTRY,PAYMENT METHOD,DESCRIPTION,POSTING DETAILS,PAYMENT

MEDIUM WORK BENCH,PAYMENT MEDIUM PROGRAMS.

4.PAYMENT METHOD IN COMPANY CODE FOR PAYMENT TRANSACTIONS

HERE WE HAVE AMOUNT LIMITS(MINIMUM AMOUNT,MAXIMUM AMOUNT,DISTRIBUTION

AMOUNT),GROUPING OF ITEMS,FOREIGN CURRENCY

PAYMENT,BANK SELECTION CONTROL,FORM DATA(SAP SCRIPT,NEXT FORM,FORM FOR THE

PAYMENT MEDIUM),DRAWER ON THE FORM,

SORTING OF TIME.
 5.HOUSE BANKS FOR PAYMENT TRANSACTIONS

THE HOUSE BANKS FOR YOUR COMPANY ARE THE BANKS,COMPANIES MUST HAVE ACCOUNT
WITH WHICH WE CAN PROCESS PAYMENT

TRANSACTIONS,EACH COMPANY CODE WILL HAVE MULTIPLE HOUSE BANKS,EACH HOUSE

BANK OF COMPANY CODE IS REPRESENTED

BY BANK ID,EVERY ACCOUNT OF HOUSE BANK IS REPRESENTED BY ACCOUNT ID.

HERE WE HAVE EDI PARTNER PROFILES,DATA MEDIUM EXCHANGE.

6.BANK DETERMINATION FOR PAYMENT TRANSACTIONS

WITH THIS SETTING THE PAYMENT PROGRAM DETERMINES WHICH BANK TO USE DEPENDING
ON THE RANKINGS ASSINGED TO THE

HOUSE BANKS IN A PARTICULAR COMPANY CODE,IT IS ALSO DEFINE THE AMOUNTS AVAILABLE
FOR OUTGOING PAYMENT AND

SCHEDULED INCOMING PAYMENTS FOR EACH HOUSE BANK ACCOUNT.

HERE WE HAVE RANKING ORDER,BANK ACCOUNTS,AVAILABLE AMOUNTS,VALUE

DATE,EXPENSES CHARGES.

COMMON ERRORS IN APP:

1.NO VALID PAYMENT METHOD FOUND

2.PAYMENT IN CURRENCY,PAYMENT METHOD,NO VALID PAYMENT PROCEDURE.

3.COMPANY CODES DONT APPEAR IN PROPOSAL RUN (RUN DATE & IDENTIFICATION).

4.ACCOUNT(VENDOR ACCOUNT AND COMPANY CODE)BLOCKED BY PAYMENT PROPOSAL.

5.MINIMUM AMOUNT HAS NOT BEEN REACHED.

6.ACCOUNT OR INVOICE IS BLOCKED FOR PAYMENT.

 7.REQUIRED DETAILS ARE NOT MAINTAINED IN VENDOR MASTER.

AUTOMATIC PAYMENT PROGRAM PAYMENT CLEARING USING TCODE F110:

HERE WE HAVE RUN DATE,IDENTIFICATION,STATUS,PARAMETER,FREE SELSECTION,ADDITIONAL

LOG,PRINTOUT/DATA MEDIUM.

IN THE PARAMETER WE HAVE POSTING DATE,PAYMENT CONTROL(COMPANY CODE,PAYMENT

METHODS,NEXT PAYMENT DATE)

NEXT PAYMENT DATE- NEXT PAYMENT DATE IS MAIN FIELD IN F110 BECAUSE SYSTEM WILL
PICK THE ALL DUE OPEN ITEMS

FROM DATE TO NEXT PAYMENT DATE.

ACCOUNTS: VENDOR,CUSTOMER,FOREIGN CURRENCIES.

ADDITIONAL LOG: DUE DATE CHECK,PAYMENT METHOD SELECTION IN ALL CASES,PAYMENT

METHOD SELECTION IF NOT SUCCESSFUL,

LINE ITEM OF THE PAYMENT DOCUMENTS.

ACCOUNTS REQUIRED: VENDORS,CUSTOMERS.

PRINTOUT DATA MEDIUM: FORM PRINTING/DATA MEDIUM

EXCHANGE,PROGRAM,VARIANT,LISTS,PROGRAM NAME,VARIANT.

THEN NEXT RUN THE SCHEDULE PROPOSAL

THEN NEXT RUN THE PAYMENT RUN.

38.WHAT IS DUNNING IN SAP?

IN SAP DUNNING PLAYS A VITAL ROLE IN ACCOUNT RECEIVABLES,DUNNING IS SIMILAR REMINDER

NOTICE TO OUR BUSINESS PARTNERS FOR

THEIR DUE OR OVERDUE/OPEN ITEMS OR OUTSTANDING BALANCES,DUNNING LETTER

SUMMARIZES OVERDUE INVOICES RECORD AND ASKS FOR

PAYMENT TO BE MADE,WE CONFIGURE DUNNING PROGRAM FOR ACCOUNT RECEIVABLES AND

ACCOUNT PAYABLES.
 WHEN GOODS OR SERVICES ARE SOLD TO THE CUSTOMER,PAYMENT IS EXPECTED TO BE
RECEIVED.FROM THIS MOMENT INCOMING PAYMENTS ARE

MONITORED TO MAKE SURE CUSTOMER DEBTS ARE PAID ON TIME,WHEN THERE IS A DELAY IN
PAYMENT COMPANY NEEDS TO REMIND OUTSTANDING

LIABILITES OF THE CUSTOMERS,DUNNING ENABLES GENERATION OF LETTER TO ALL THE A/R

OUTSTANDING INVOICES,IF CUSTOMER DOES NOT

MAKE THE PAYMENT AS PER TERMS OF PAYMENT,SYSTEM WILL ISSUE DUNNING LETTERS,FOR
SENDING THE LETTER WE CAN COLLECT DUNNING

CHARGES FROM THE CUSTOMER.

DUNNING CONFIGURATIONS STEPS:

DUNNING PROCEDURE USING TCODE FBMP

1.DUNNING PROCEDURE

2.DUNNING AREAS

3.ASSIGN DUNNING PROCEDURE IN CUSTOMER MASTER

WHEN YOU CLICK ON DUNNING PROCEDURE WE HAVE DUNNING INTERVAL IN DAYS,NO OF

DUNNING LEVELS,TOTAL DUE ITEMS FROM DUNNING

LEVEL,MINIMUM DAYS IN AREAS,LINE ITEM GRACE PERIODS,INTEREST INDICATOR,STANDARD

TRANSACTION DUNNING,DUNNING SPECIAL GL

TRANSACTIONS,DUNNING EVEN FOR CREDIT ACCOUNT BALANCE.

LINE ITEM GRACE PERIODS:

I AM TAKING LINE ITEM GRACE PERIODS ARE 3 DAYS THAT MEANS WHEN YOU SEND A INVOICE
TO THE CUSTOMER ON 01.01.2021

TO MAKE PAYMENT,HE WILL SIMPLY ANALYSE THE SITUATION THAT WE HAVE MORE 3 DAYS
TO MAKE THE PAYMENT,SO CUSTOMER
 CAN MAKE THE PAYMENT ON 04.01.2021,THIS IS THE USE OF LINE ITEM GRACE PERIODS.

DUNNING INTERVAL IN DAYS:

HERE I AM TAKING DUNNING INTERVAL IN DAYS ARE 10 DAYS WHY BECAUSE WE HAVE
ALREADY SENT 1ST DUNNING NOTICE TO THE

CUSTOMER ON 04.01.2021,WE HAVE ALREADY MENTIONED GRACE PERIODS,IF CUSTOMER

DOES NOT PAY THE AMOUNT ON 04.01.2021

WE WILL SEND THE 2ND DUNNING NOTICE TO THE CUSTOMER AFTER 10 DAYS THAT IS
15.01.2021.

DUNNING LEVELS:

SAP STANDARD HAS MAXIMUM INTRODUCED 9 DUNNING LEVELS AND EVERY COMPANY WILL
USE MAXIMUM 4 DUNNING LEVELS.

IF CUSTOMER DOES NOT MAKE THE PAYMENT WE WILL SEND DUNNING NOTICES THROUGH
DUNNING LEVELS.

DUNNING CHARGES:

IF CUSTOMER DOES NOT MAKE THE PAYMENT IN 1ST DUNNING NOTICE WE WILL CHARGE
DUNNING CHARGES FOR DUNNING LETTERS.

MINIMUM AMOUNTS:

IF THE AMOUNT IS LESS THAN THE MINIMUM AMOUNT,WE WILL NOT SEND THE DUNNING
NOTICES OR REMINDERS TO THE CUSTOMER.

IF THE INCOMING PAYMENT IS HIGHER THAN THE THE MINIMUM AMOUNT CUSTOMER NEEDS
TO PAY THE AMOUNT BASED ON THE DUNNING

LEVELS WITH APPLICABLE CHARGES.

 DUNNING TEXTS:

DUNNING TEXTS LIKE F150_DUNN_01

SPECIAL GL INDICATORS:

HERE WE HAVE CUSTOMER DOWNPAYMENTS,VENDOR DOWNPAYEMNTS.

DUNNING KEY:

DUNNING KEYS ARE USED TO LIMIT THE SPECIFIC LINE ITEMS OF AR TO A DUNNING LEVEL OR
TO PRINT THEM SEPERATELY ON DUNNING

NOTICES,WITH THE DUNNING KEYS WE CAN LIMIT THE DUNNING LEVEL OF AN ITEM.

IF YOU ARE ALREADY RUN THE DUNNING PROGRAM IN TWO DUNNING LEVELS,IF YOU WANT
TO STOP THE DUNNING LETTER IN THIRD DUNNING

LEVEL,WE WILL USE THE DUNNING KEY.

YOU CAN CREATE DUNNING KEY USING TCODE- OB17

DUNNING AREA:

DUNNING AREA MEANS CLIENT,COMPANY AND COMPANY CODE IN WHICH WE ARE WORKING
ON DUNNING PROGRAM,IF WE DONT WANT TO RUN THE

DUNNING PROGRAM AT COMPANY CODE LEVEL THEN WE CAN ALSO RUN THE DUNNING
PROGRAM AT ORGANIZATION LEVEL LIKE SALES ORGANIZATION.

DUNNING BLOCK:
 IN THIS STEP WE DEFINE THE REASONS FOR A DUNNING BLOCK UNDER A KEY,THE KEY CAN BE
ENTERED IN AN ITEM OR IN THE ACCOUNT OF

A CUSTOMER MASTER.

BLOCKED ITEMS OR ACCOUNTS ARE NOT CONSIDERED FOR A DUNNING RUN,DUNNING BLOCK
IS USUALLY SET FOR THE HIGH VOLUME PROFILE

CUSTOMER WHOSE PAYMENT RECORD IS GOOD,GENERALLY WE MAINATAIN DUNNING

INFORMATION IN CUSTOMER MASTER DATA.

*RUN THE DUNNING PROGRAM USING TCODE F150:

HERE WE HAVE RUN DATE,IDENTIFICATION,STATUS,PARAMETER,FREE SELECTION,ADDITIONAL

LOG.

AFTER THAT GO TO THE SCHEDULE OPTION IN THE SCHEDULE OPTION GIVE THE OUTPUT
DEVICE LP01.

THEN GO TO THE DUNNING PRINTOUT GIVE OUTPUT DEVICE LP01 AND CLICK ON START
IMMEDIATELY,CLICK ON PRINTOUT OPTION.

YOU CAN SEE THE DUNNING REMINDER NOTICES USING TCODE SP01.

39.WHAT IS WITHHOLDING TAX?

WITHHOLDING TAX IS AN AMOUNT WHICH IS DEDUCTED AT THE SOURCE OF THE REVENUE.

WITHHOLDING TAX IS AN AMOUNT OF WHICH DEDUCTS TAKES PLACE DIRECTLY FROM THE
EARNING OF AN EMPLOYEE BY AN EMPLOYER.

IT IS PAID TO THE CENTRAL GOVERNMENT AS A PART OF THE TAX LIABILITY OF AN INDIVIDUAL,THE

CENTRAL GOVERNMENT OF ANY

COUNTRY IS LIABLE FOR THIS TAX COLLECTION.

 TO CALCULATE,PAY AND REPORT THE WITHHOLDING TAX,THE SAP SYSTEM PROVIDES TWO
FUNCTIONS:

1.CLASSIC WITHHOLDING TAX

2.EXTENDED WITHHOLDING TAX

CLASSIC WITHHOLDING TAX- IN CLASSIC WITHHOLDING TAX YOU CAN ENTER ONLY ONE LINE ITEM
IN THE VENDOR MASTER RECORD.

CLASSIC WITHHOLDING TAX IS ONLY FOR CREDITORS,WE CAN CALLED IT AS

VENDORS.

EXTENDED WITHHOLDING TAX- IN EXTENDED WITHHOLDING TAX YOU CAN ENTER MULTIPLE LINE
ITEMS,EXTENDED WITHHOLDING TAX

IS DESIGNED FOR BOTH VENDOR AND CUSTOMER.

WHAT DO YOU MEAN BY TDS?

GENERALLY IN INDIA WITHHOLDING TAX IS KNOWN AS TDS,TAX DEDUCTED AT THE SOURCE IS

THE AMOUNT THAT IS DEDUCTED

AT THE TIME OF MAKING PAYMENT TO CONTRACTORS OR PROFESSIONALS.

WITHHOLDING TAX IS AN AMOUNT WHICH IS DEDUCTED IN ADVANCE THAT IS BEFORE

PAYING THE AMOUNT TO THE PAYEE.

WITHHOLDING TAX CONFIGURATION STEPS:

1.CHECK WITHHOLDING TAX COUNTRIES

2.DEFINE OFFICIAL WITHHOLDING TAX KEYS

194A-INTERESTED INCOME OTHER THAN SECURITIES

194C-PAYMENT TO CONTRACTORS

194I-RENT
 194D-INSURANCE COMMISSION

3.DEFINE WITHHOLDING TAX EXEMPTIONS

4.DEFINE WITHHOLDING TAX FOR INVOICE POSTING

5.DEFINE WITHHOLDING TAX FOR PAYMENT POSTING

6.CHECK RECEPIENT TYPE

7.DEFINE WITHHOLDING TAX CODE

8.ASSIGN WITHHOLDING TAX TYPES TO COMPANY CODE

9.ACTIVATE EXTENDED WITHHOLDING TAX

10.ASSIGN ACCOUNTS FOR WITHHOLDING TAX

11.ASSIGN WITHHOLDING TAX CODES IN VENDOR MASTER OR CUSTOMER MASTER

*COMMON ERRORS IN WITHHOLDING TAX:

1.COULD NOT DETERMINE THE YEAR FOR TDS CERTIFICATE NUMBER RANGE

2.PAN NUMBER IS NOT FOUND

3.SECTION CODE IS NOT COPIED TO WITHHOLDING TAX LINES

4.CASH DISCOUNT BASE EXCEEDS AMOUNT POSTED.

*WITHHOLDING TAX ENTRY:

RENT A/C.............DR

TO VENDOR A/C........CR

TO TDS ON RENT A/C...CR

40.WHAT IS GST?
 GENERALLY TAX COLLECTION PROCEDURE DIFFERS FROM COUNTRY TO COUNTRY,ACCORDING TO
THE GOVERNMENT POLICY AND THE REVENUE

RESOURCES IT LEVIES THE TAX ON GOODS,GST STANDS FOR GOODS AND SERVICE TAX,THERE ARE
TWO TYPES OF TAXES.

1.INPUT TAX- IT MEANS THE TAXES ON PURCHASE OF GOODS OR SERVICES.

2.OUTPUT TAX- IT MEANS THE TAXES ON SALE OF GOODS OR SERVICES.

COMPONENTS OF GST:

INPUT SGST,INPUT CGST,INPUT IGST,INPUT UTGST,INPUT RCM CGST,INPUT RCM SGST.

OUTPUT SGST,OUTPUT CGST,OUTPUT IGST,OUTPUT UTGST.

IGST(INTERSTATE GOODS AND SERVICE TAX)-IF WE PURCHASE OR SALE GOODS WITH ANOTHER
STATE OF CUSTOMER OR VENDOR IN THAT

SCENARIO THIS TAX WILL BE APPLICABLE.

UTGST(UNION TERRITORY GOODS AND SERVICE TAX)- IF WE PURCHASE OR SALE GOODS WITH
SAME STATE OF CUSTOMERS AND IF IT IS

IN UNDER UNION TERRITORY THIS TAX WILL BE APPLICABLE.

SGST&CGST- THIS IS A INTRASTATE TAX,IF WE PURCHASE OR SALE GOODS WITH SAME STATE OF
CUSTOMER OR VENDOR IN THAT SCENARIO

THIS TAX WILL BE APPLICABLE

RCM(REVERSE CHANGE MECHANISM)-IF WE PURCHASE OR SALE GOODS WITH NON REGISTERED

VENDOR THIS TAX WILL BE APPLICABLE.

RCM WILL BE ONLY APPLIED FOR INPUT TAX

GST CONFIGURATION STEPS:

 1.DEFINE CONDITION TYPES USING TCODE-OBYZ

MWVS IS FOR INPUT TAX

MWAS IS FOR OUTPUT TAX

THESE ARE THE STANDARD CONDITION TYPES IN SAP

2.CHECK AND CHANGE SETTINGS FOR TAX PROCESSING USING TCODE-OBCN

3.DEFINE TAX PROCEDURE USING TCODE-OBYZ

4.ASSIGN COUNTRY TO CALCULATION PROCEDURE USING TCODE-OBBG

5.DEFINE TAX CODES FOR SALES AND PURCHASES USING TCODE-FTXP

6.CREATE GL ACCOUNTS FOR INPUT TAX AND OUTPUT TAX USING TCODE-FS00

7.DEFINE TAX ACCOUNTS USING TCODE-OB40

8.MODIFY PURCHASE AND SALES GLS WITH TAX CATEGORY USING TCODE-FS00

GST ENTRIES:

INPUT TAX ENTRY

RAW MATERIAL A/C..............DR

INPUT SGST A/C................DR

INPUT CGST A/C................DR

TO VENDOR A/C.................CR

OUTPUT TAX ENTRY

CUSTOMER A/C..................DR
 TO SALES A/C..................CR

TO OUTPUT SGST A/C............CR

TO OUTPUT CGST A/C............CR

*DEDUCTUBLE TAX:

IT CARRIES THE RATE OF GST.

GOODS RECEIPT ENTRY

RAW MATERIAL INVENTORY A/C.....DR

TO GR/IR CLEARING A/C..........CR

INVOICE RECEIPT ENTRY

GR/IR CLEARING A/C.............DR

INPUT GST A/C..................DR

TO VENDOR A/C..................CR

*NON DEDUCTUBLE TAX:

IT IS NOT CARRY THE RATE OF GST.

GOODS RECEIPT

RAW MATERIAL INVENTORY A/C.....DR

TO GR/IR CLEARING A/C..........CR

 INVOICE RECEIPT

GR/IR CLEARING A/C.............DR

TO INPUT GST A/C...............CR

TO VENDOR A/C..................CR

41.WHAT IS P2P (PROCURE TO PAY PROCESS)?

IN SAP P2P IS THE IMPORTANT BUSINESS PEOCESS IT CONSISTS FOLLOWING STEPS

1.MATERIAL REQUIREMENT PLANNING

MATERIAL REQUIREMENT PLANNING REFERS TO THE TECHNIQUE OF USING A PROJECTED

MANUFACTURING PRODUCTION SCHEDULE TO FIGURE

OUT WHAT SUPPLIED MATERIALS YOU WILL NEED AND WHEN YOU WILL NEED THEM,MATERIAL
REQUIREMENT PLANNING TYPE CONTROLS THE

MRP PROCEDURE,PRICING,MATERIAL VALUATION.

2.VENDOR SELECTION

VENDOR SELECTION IS THE IMPORTANT STEP IN P2P,WITH THE HELP OF OBTAINED QUOTATION
FROM SOURCES AND BY COMPARING THEM,

VENDORS ARE SELECTED.

3.REQUEST FOR QUOTATION

 REQUESTING POTENTIAL VENDORS TO SUBMIT A QUOTATION FOR A MATERIAL OR
SERVICES,QUOTATION CONTAINS THE VENDORS TERMS AND

CONDITIONS.

4.PURCHASE REQUISITION

EVERY ORGANIZATION MAY HAVE DIFFERENT TYPES OF DEPARTMENTS AND DEPARTMENTS MAY
REQUIRE CERTAIN MATERIAL OR SERVICES

EMPLOYEE BELONGING TO THE DEPARTMENT NEEDS TO RISE PURCHASE REQUEST,PURCHASE

REQUEST NEEDS TO HAVE INFORMATION LIKE

NAME OF MATERIAL,QUANTITY,EXPECTED DUE DATE OF DELIVERY AND EXPECTED

PRICE,PURCHASE REQUEST MAY ALSO NEEDS TO BE

APPROVED BY DEPARTMENT HEAD BEFORE INITIATING APPROVAL OF THE FINANCE

DEPARTMENT,ONCE FINANCE DEPARTMENT APPROVES THE

PURCHASE REQUEST,PURCHASE GROUP CREATES THE PURCHASE ORDER FOR PURCHASING

DEPARTMENT TO ACT ON IT.

5.PURCHASE ORDER

ONCE THE PURCHASE ORDER IS CREATED,PURCHASING DEPARTMENT INITIATES THE

PROCUREMENT PROCESS,PURCHASING DEPARTMENT GIVES

PURCHASE ORDER TO VENDOR.VENDOR SUPPLIES THE GOODS AND BILLS THE COMPANY
ACCORDINGLY,PURCHASE ORDER NEEDS TO HAVE

INFORMATION LIKE ORDER TYPE,VENDOR,MATERIAL,QUANTITY,PURCHASE PRICE,DELIVERY

DATE,TERMS OF PAYMENT.

YOU CAN CREATE PURCHASE ORDER USING TCODE ME21N

6.GOODS RECEIPT
 WHEN ORGANIZATION RECEIVES THE GOODS,GOODS RECEIPT IS POSTED IN SAP USING TCODE
MIGO

ACCOUNTING ENTRY

INVENTORY A/C..........DR

TO GR/IR A/C...........CR

7.INVOICE RECEIPT

WHEN ORGANIZATION RECEIVES THE BILL FROM VENDOR,INVOICE RECEIPT IS POSTED IN SAP
USING TCODE MIRO

ACCOUNTING ENTRY

GR/IR A/C.............DR

TO VENDOR A/C.........CR

8.PAYMENT TO VENDORS

VENDOR NEEDS TO BE PAID ON TIME,ORGANIZATION MAY HAVE HUGE VOLUME OF VENDORS

AND DUE OR OVERDUE INVOICES FOR THIS

SAP HAS INTRODUCED ONE FUNCTIONALITY THAT IS AUTOMATIC PAYMENT PROGRAM,AFTER

THE EXECUTION OF APP WE HAVE ACCOUNTING

ENTRY

VENDOR A/C.............DR

TO BANK CLEARING A/C...CR

 ONCE WE RECEIVE THE BANK STATEMENT FROM THE BANK,BANK STATEMENT IS LOADED INTO
SAP AND AUTOMATIC RECONCILIATION HAPPENS.

ACCOUNTING ENTRY IS

BANK CLEARING A/C......DR

TO MAIN BANK A/C.......CR

FI-MM INTEGRATION:

1.MATERIAL MANAGEMENT IS THE COSTING UNIT FOR ORGANIZATION,EACH AND EVERY

ACTIVITY WHICH SPENT MONEY SHOULD BE CAPTURED

BY THE FINANCE PEOPLE.

2.UP TO PURCHASE ORDER THERE IS NO INTEGRATION BECAUSE NO ACCOUNTING ENTRIES ARE

HAPPEND.

3.AT GOODS RECEIPT FI-MM INTEGRATION WILL BE HAPPEND.

4.WHEN GOODS RECEIVED MATERIAL DOCUMENT IS GENERATED IN MATERIAL MANAGEMENT

AND FI DOCUMENT IS GENERATED FOR FI.

BASED ON SOME FACTORS FI-MM INTEGRATION WILL BE HAPPEND USING TCODE OBYC.

LIKE MOVEMENT TYPES,VALUATION CLASS,VALUATION MODIFIER,TRANSACTION KEY.

AT GOODS RECEIPT THERE IS AN ENTRY

INVENTORY A/C........DR

TO GR/IR A/C.........CR

*GOODS RECEIPT- MOVEMENT TYPE 101

 *GOODS ISSUED TO PRODUCTION ORDER- MOVEMENT TYPE 261

*SCRAPPING OF GOODS- MOVEMENT TYPE 551

*GOODS DELIVERED TO CUSTOMER- MOVEMENT TYPE 601

*INITIAL UPLOAD TO STOCK- MOVEMENT TYPE 561

ALL MATERIAL MOVEMENTS IN MM HAPPENS WITH RESPECT TO A MOVEMENT TYPE

VALUATION CLASS:

EVERY MATERIAL WILL HAVE VALUATION CLASS FIELD,THAT COULD BE RAW MATERIAL,SEMI
FINISHED GOODS,FINISHED GOODS

THE COMBINATION OF VALUATION CLASS + MOVEMENT TYPES DETERMINES THE GL

ACCOUNTS.

TYPE OF VALUATION CLASS

1.3000 RAW MATERIALS

2.7900 SEMI FINISHED GOODS

3.7920 FINISHED GOODS

TRANSACTION KEY:

IT IS USED TO CONTROL THE STORAGE OR FILING DOCUMENT & ASSIGNMENTS OF

DOCUMENTS.

BSX- STOCK POSTING/INVENTORY POSTING

PRD- PRICE DIFFERENCE

WRX- GR/IR CLEARING ACCOUNT

GBB- OFF SETTING ENTRY FOR STOCK POSTING

FRI- FREIGHT CLEARING

VALUATION MODIFIER:
 VALUATION MODIFIER IS ALSO KNOWN AS VALUATION GROUPING CODE WE CAN ACTIVATE
VALUATION MODIFIER USING TCODE OMWM.

WE CAN MAINTAIN THE VALUATION GROUPING CODE USING TCODE OMWD FOR VALUATION
AREA AS PLANT OR COMPANY WITHIN THE

CHART OF ACCOUNTS.

IT IS MANDATORY TO MAINTAIN VALUATION MODIFIER,AS VALUATION AREA CANNOT BE

ASSIGNED TO ACCOUNT DETERMINATION,

EVEN IF YOU HAVE ONE VALUATION AREA THAT SHOULD BE ASSINGED TO VALUATION
MODIFIER.

MATERIAL TYPES:

EACH MATERIAL SHOULD ASSIGN MATERIAL TYPE IN MATERIAL MASTER RECORD,IT IS USED
TO UPDATE WHETHER CHANGES MADE IN

QUANTITY ARE UPDATED IN MATERIAL MASTER RECORD AND CHANGES IN VALUE ALSO
UPDATED IN STOCK ACCOUNT.

ROH- RAW MATERIAL

HALB- SEMI FINISHED GOODS

FERT- FINISHED GOODS

HAWA- TRADING GOODS

IN MATERIAL MASTER DATA AT ACCOUNTING 1 TAB,WE HAVE THE VALUATION CLASS FIELD
AND PRICE CONTROL FIELD

IN PRICE CONTROL FIELD THERE ARE,

STANDARD PRICE- STANDARD PRICE IS USUALLY USED FOR SEMI FINISHED MATERIAL OR
FINISHED MATERIAL.
 MOVING AVERAGE PRICE- MOVING AVERAGE PRICE IS USED FOR RAW MATERIALS AND
EXTERNAL PURCHASES,THE PRICE OF RAW

MATERIAL MAY VARY BASED ON MARKET,BECAUSE OF THIS REASON WE WILL USE

MOVING AVERAGE PRICE.

DIFFERENCE BETWEEN VALUATION MODIFIER AND GENERAL MODIFIER:

VALUATION MODIFIER:

VALUATION MODIFIER IS USED TO REDUCE NUMBER OF ENTRIES TO BE MAINTAINED IN

OBYC

GENERAL MODIFIER:

GENERAL MODIFIER IS USED ONLY WITH THREE TRANSACTION KEYS LIKE GBB,PRD,KON.

GENERAL MODIFIER HELPS TO POST TO DIFFERENT GL ACCOUNTS WITH SAME

TRANSACTION KEY.

TYPES OF PURCHASE ORDERS:

1.SUBCONTRACTING PURCHASE ORDER:

IN THIS VENDOR RECEIVES COMPONENTS FROM THE ORDERING PARTY WITH THE HELP OF
WHICH IT PRODUCES A PRODUCT,THE PRODUCT IS ORDERED BY

YOUR COMPANY THROUGH A PURCHASE ORDER.THE COMPONENTS REQUIRED BY VENDOR

TO MANUFACTURE THE ORDERED PRODUCTS ARE LISTED IN THE PURCHASE

ORDER AND PROVIDED TO THE SUB CONTRACTOR.

 IN ME21N TCODE WE CAN CREATE SUB-CONTRACTING PURCHASE ORDER.

IN THAT ITEM CATEGORY SELECT L.

PROVIDE ALL THE NECESSARY DETAILS SUCH AS THE NAME OF THE VENDOR,ITEM
CATEGORY,NAME OF MATERIAL,PLANT FOR WHICH MATERIAL IS PROCURED,

AND THE DATE OF DELIVERY.

CLICK ON SAVE SUB-CONTRACTING PURCHASE ORDER WILL BE CREATED.

2.CONSIGNMENT PURCHASE ORDER:

IN CONSIGNMENT PURCHASE ORDER,MATERIAL IS AVAILABLE AT THE ORGANIZATION

STORE PREMISES,BUT IT IS STILL BELONGING TO THE VENDOR,

IF YOU UTILIZE THE MATERIAL FROM THE CONSIGNMENT STOCKS,THEN YOU HAVE TO PAY
TO VENDOR.

IN ME21N TCODE WE CAN CREATE CONSIGNMENT PURCHASE ORDER.

IN THE ITEM CATEGORY SELECT K.

3.STOCK TRANSFER PURCHASE ORDER:

IN STOCK TRANSFER,GOODS ARE PROCURED AND SUPPLIED WITHIN A COMPANY.ONE

PLANT WILL ORDER THE GOODS INTERNALLY FROM ANOTHER PLANT

(RECEIVING THE PLANT OR ISSUING THE PLANT),THE GOODS ARE PROCURED WITH SPECIAL
TYPE OF PURCHASE ORDER KNOWN AS THE STOCK TRANSPORT

ORDER.

IN ME21N TCODE WE CAN CREATE STOCK TRANSFER PURCHASE ORDER.

IN THAT ITEM CATEGORY SELECT U.

4.SERVICE PURCHASE ORDER:

 IN SERVICE PURCHASE ORDER,A THIRD PARTY PROVIDES SERVICES TO THE COMPANY.THESE
SERVICES INCLUDE MAINTENANCE FUNCTIONS SUCH AS

ELECTRICITY AND OILING OF MACHINES.

IN ME21N TCODE WE CAN CREATE STOCK TRANSFER PURCHASE ORDER.

IN THAT SELECT ITEM CATEGORY D.

CAN WE CREATE PO FOR MULTIPLE VENDORS? HOW CAN WE CREATE IT?

YES YOU CAN CREATE PO FOR MULTIPLE VENDORS BY USING TCODE ME21N,ONLY ONE PO
NUMBER CAN BELONG TO ONE VENDOR ,SAME PO NUMBER

CANNOT BELONG TO MULTIPLE VENDORS.

THE BASIC THING IS PO IS A LEGAL DOCUMENT WE CANNOT MAINTAIN DIFFERENT VENDORS

IN THE SAME PO.

THIS PROCESS IS CALLED SPLIT PO WHERE WE CAN PLACE ORDER OF SAME MATERIAL TO
DIFFERENT VENDORS.

THIS HAPPENS BASED ON DIFFERENT FACTORS LIKE IF THE ORDER QUANTITY IS LARGE ON
TIME SUPPLY BY VENDOR IS DOUBT.

FOR THIS WE HAVE TO ENHANCE CURRENCY FIELD IN THE PO HEADER WITH NEW TAB AND
WE NEED TO MAINTAIN THE TOTAL PO VALUE MANUALLY,

THIS VALUE IS SOME PART OF TOTAL VALUE OF THE PO(SAY 45% TO A VENDOR),REMAINING
55% WILL BE OTHER PO CREATED TO ANOTHER VENDOR,

ALSO WE HAVE TO PUT LOGIC TO CHECK THE TOTAL VALUE OF PO(THAT IS 45%+55%=100%)
ELSE SYSTEM SHOULD GIVE ERROR SAYING TOTAL VALUE

OF PO IS CROSSED,NOW THIS BOTH PO'S SHOULD BE DONE BASED ON THE SAME

RFQ(LOWEST PRICE).
42.WHAT IS SD LIFE CYCLE(SALES AND DISTRIBUTION LIFE CYCLE)?

SALES AND DISTRIBUTION IS THE IMPORTANT BUSINESS IN SAP,IT CONSISTS OF THE FOLLOWING
PROCESS.

1.CUSTOMER INQUIRY:

FIRST CUSTOMER ENQUIRES ABOUT THE PRODUCT AND SERVICES,ONCE A CUSTOMER

CREATES INQUIRY AFTER THAT ONE REFERENCE NUMBER

IS GENERATED USING TCODE VA11,THIS PROCESS DOES NOT MAKE ANY EFFECT ON TH GL
ACCOUNT AND DONT HAVE ANY ACCOUNTING ENTRIES.

2.QUOTATION FOR CUSTOMER INQUIRY:

QUOTATION IS A PRICE QUOTE GIVEN TO THE CUSTOMER,A QUOTATION CAN BE CREATED

WITH INQUIRY REFERENCE NUMBER OR WITHOUT REFERENCE

NUMBER USING TCODE VA21.

3.SALES ORDER:

AFETR INQUIRY AND QUOTATION,SALES ORDER IS CREATED,SALES ORDER CAN BE CREATED

WITH OR WITHOUT REFERENCE NUMBER,IT DOES NOT MAKE

ANY EFFECT ON THE GL ACCOUNT AND DOES NOT HAVE ACCOUNTING ENTRY,IT IS JUST A
COMMITMENT TO DELIVER GOODS TO THE CUSTOMER,SALES

ORDER CAN BE CREATED USING TCODE VA01.

4.POST GOODS ISUUE:

 POST GOODS ISSUE IS THE STEP WHERE GOODS ARE BEING PICKED BY WAREHOUSE,PACKED
AND SHIPPED TO THE CUSTOMERS GIVEN SHIPPING ADDRESS

AS PER THE SALES ORDER,WE HAVE ACCOUNTING ENTRY

COST OF GOODS SOLD A/C..........DR

TO INVENTORY A/C................CR

POST GOODS ISSUE TCODE-VL01N

5.DELIVERY:

DELIVERY FOLLOWS POST GOODS ISSUE,DELIVERY IS THE ACTUAL FULFILLMENT OF GOODS

TO THE CUSTOMER SHIPPING ADDRESS,AT DELIVERY

STAGE WE HAVE ACCOUNTING ENTRY

REVENUE A/C............DR

TO THE CUSTOMER A/C....CR

DELIVER TCODE- VL01N

6.BILLING:

AT BILLING STAGE, WE SEND BILL TO CUSTOMER FOR THE GOODS DELIVERED,WE HAVE
ACCOUNTING ENTRY

CUSTOMER A/C..........DR

TO SALES REVENUE A/C..CR

 BILLING TCODE- VF01

7.ON THE RECEIPT OF AMOUNT FROM CUSTOMER:

WE HAVE ACCOUNTING ENTRY

BANK CLEARING A/C........DR

TO CUSTOMER A/C..........CR

GL ACCOUNT DETERMINATION FOR EACH CONDITION TYPE:

TILL NOW SYSTEM HAS CALCULATED CONDITION TYPE VALUE BUT GL ACCOUNT NEEDS TO BE
DETERMINED FOR POSTING ACCOUNTING ENTRY.

NOW BUSINESS MIGHT REQUIRE TO RECORD SALES PRICE AND DISCOUNT SEPERATELY,THIS
CAN BE DONE BY ASSIGNING CONDITION TYPE TO ACCOUNT

KEY AND MAPPING ACCOUNT KEY TO GL ACCOUNT.

ALL THOSE CONDITION TYPES WHOSE VALUE NEEDS TO BE POSTED TO SALES ACCOUNT ARE
ASSIGNED ACCOUNT KEY ERL.

ALL THOSE CONDITION TYPES WHOSE VALUE NEEDS TO BE POSTED TO DISCOUNT ACCOUNT
ARE ASSINGED ACCOUNT KEY ERS.

FI-SD INTEGRATION:

ALL BILLING TRANSACTIONS HAPPENING IN THE SALES AND DISTRIBUTION MODULE WILL
RESULT IN FI POSTINGS.

YOU MAKE THE ALLOCATION ACCESS SEQUENCE.

ACCESS SEQUENCE IS NOTHING BUT DETERMINING THE GL ACCOUNTS.

 IN POST GOODS ISSUE ACCOUNT WILL BE ASSIGNED IN OBYC TCODE THAT IS FI-MM
INTEGRATION,THE ENTRY IS

COST OF GOODS SOLD A/C........DR

TO INVENTORY A/C..............CR

IN OBYC TCODE,FOR TRANSACTION KEY GBB WE WILL ASSIGN COST OF GOODS SOLD
ACCOUNT.

IN OBYC TCODE,FOR TRANSACTION KEY BSX WE WILL ASSIGN INVENTORY ACCOUNT .

EXACTLY AT BILLING STAGE FI-SD INTEGRATION WILL HAPPEN

CUSTOMER A/C.........DR

TO SALES REVENUE A/C.CR

SAP PROVIDES THE FOLLOWING SIX WAYS OF DETERMINING THE GL ACCOUNTS IN SD USING
TCODE-VKOA

1.APPLICATION

2.CONDITION TYPE

3.CHART OF ACCOUNTS

4.SALES ORGANIZATION

5.ACCOUNT ASSIGNMENT GROUP FOR CUSTOMER

6.ACCOUNT ASSIGNMENT GROUP FOR MATERIAL

7.ACCOUNT KEYS

IN CONDITION TYPES THERE ARE KOFI ACCOUNT DETERMINATION AND KOFK ACCOUNT
DETERMINATION:
 KOFI- KOFI IS USED FOR POSTING TO FI,WHERE INVOICE POSTING DOCUMENT DOES NOT
HAVE CO OBJECT.

KOFK- KOFK IS USED FOR POSTING TO CO,WHERE INVOICE POSTING DOCUMENT HAS CO
OBJECT LIKE PROJECT,SERVICE ORDER,SALES ORDER AS

A CONTROLLING OBJECT.

IF SAP SELECTS THE KOFK ASSIGNMENTS THEN IT DOES BOTH,THE POSTINGS TO FI AND
POSTINGS TO CO.

SOME OF THE STANDARD ACCOUNTING KEYS :

1.ERL- SALES REVENUE

2.ERS- SALES DEDUCTION/SALES DISCOUNTS

3.ERB- SALES REBATES

4.ERF- FREIGHT REVENUE

BASED ON THIS WE WILL ASSIGN THE GL ACCOUNTS IN VKOA,THEN WE WILL SIT WITH SD
CONSULTANT AND TAKE THE SCREEN SHOTS FOR POST GOODS

ISSUE AND BILLING DOCUMENT AND WE WILL DO THE REQUIRED UAT ACTIVITY AND MOVES
THE CR TO PRODUCTION SERVER.

43.WHAT IS NEW GL?

EARLIER WE HAVE CLASSIC GL WHILE USING CLASSIC GL WE HAVE SEPERATE LEDGERS TO BE

MAINTAINED IN IT,ADDITIONALLY WE NEED TO MAINTAIN DIFFERENT

TABLES AND THE SAME DATA WILL BE STORED IN ALL TABLES SO THERE IS NO POSSIBILITY OF
DATA COMPRESSION,FI AND CO RECONCILIATION IS NOT FLEXIBLE

AT CLASSIC GL AND DATA REDUNDANCY IS NOT POSSIBLE.

FEATURES OF THE NEW GL:

 1.PARALLEL ACCOUNTING

2.SEGMENT REPORTING

3.COST OF SALES ACCOUNTING

4.DOCUMENT SPLITTING

5.NEW TABLES

6.INTEGRATED FI TO CO REPORTING

SOME MORE FEATURES ARE LEGAL MANAGEMENT REPORTING,STANDARD ENHANCEMENT

EXTENSIBILITY,ACCELERATED CLOSINGS,FINANCIAL REPORTING USING

CHARECTARISTICS,REAL TIME FI TO CO RECONCILIATION,TRANSPERENCY AND CONSISTENCY.

A.THE NEW GL COVERS ALL THE FUNCTIONS THAT WERE PREVIUOUSLY IMPLEMENTED BY USING
OF SPECIAL LEDGERS LIKE COST OF SALES LEDGER,SPECIAL

PURPOSE LEDGER,PROFIT CENTER LEDGER.

B.BUSINESS NEED NOT TO MAINTAIN SPECIAL LEDGERS IN SEPERATE APPLICATONS AND THAT
MAKES THE RECORDING AT ADMINISTRATION OF TRANSACTIONAL

DATA EASIER.

C.THE USER INTERFACE OF THE NEW GL IS SIMILAR TO THE CLASSIC GENERAL LEDGER.

D.NEW GL ELIMINATES DATA REDUNDANCY BY STORING ALL THE TRANSACTIONAL DATA IN A

SINGLE TABLE,THIS IMPROVES THE EFFICIENCY OF THE DATA BASE.

E.NEW GL ELIMINATES THE NEED OF PROFIT&LOSS AND BALANCE SHEET ADJUSTMENTS WITH
ONLINE SPLITTING FUNCTIONALITY.

F.DUE TO THIS THERE IS NO NEED TO CARRY OUT ADDITIONAL RECONCILIATION ACTIVITIES WITH
OTHER APPLICATIONS DURING CLOSINGS

G.NEW GL MAKES IT EASIER TO INCLUDE ADDITIONAL FIELDS IN ORDER TO PROVIDE FLEXIBLE

REPORTING AS PER THE REQUIREMENTS OF BUSINESS.

H.THE TOTAL COST OF OPERATIONS FOR A BUSINESS IS REDUCED DUE TO ADVANTAGES PROVIDED
BY THE NEW GL.

I.DIFFERENT FISCAL YEAR VARIANT CAN BE ATTACHED TO EACH LEDGER.

 J.PROFIT CENTER ACCOUNTING MODULE DOES NOT NEED TO BE ACTIVATED,BECAUSE IT IS
AVAILED WITH THE NEW GL.

NEW TABLES ARE ADDED IN NEW GL CONCEPT:

FAGLFLEXT- TOTAL DATA TABLE

FAGLFLEXP- PLAN LINE DATA TABLE

FAGLFEXA- ACTUAL LINE DATA TABLE

NEW GL CONFIGURATION STEPS:

1.ACTIVATE NEW GL

2.DEFINE SEGMENTS

3.LEADING-NON LEADING LEDGERS

4.ACTIVATE NON LEADING LEDGER

5.ASSIGN SCENARIOUS TO LEDGERS

6.COST OF SALES ACCOUNTING

7.DEFINE LEDGER GROUP

8.DEFINE CURRENCIES OF LEADING LEDGER

44.WHAT IS PARALLEL ACCOUNTING?

EVERY COMPANY NEEDS TO MAINTAIN DIFFERENT SET OF ACCOUNT BOOKS USING DIFFERENT
ACCOUNTING PRINCIPLE,WHEN A TRANSACTION HAPPENS FINANCIAL

DOCUMENT IS RECORDED IN DIFFERENT BOOKS AND THIS IS REFERRED AS A PARALLEL

ACCOUNTING,NON LEADING LEDGER ENABLES PARALLEL ACCOUNTING.

PARALLEL ACCOUNTING IN SAP IS ACHEIVED BY STORING AND POSTING DATA IN VARIOUS

ACCOUNTING PRINCIPLE IN SEPERATE LEDGERS,WITH PARALLEL LEDGERS
 YOU CAN HAVE ONE LEDGER PER VALUATION APPROACH LIKE IFRS,GAAP,LOCAL ETC.

IFRS- INTERNATIONAL FINANCIAL REPORTING STANDARDS

GAAP- GENERALLY ACCEPTED ACCOUNTING PRINCIPLE

ADVANTAGES OF THE PARALLEL ACCOUNTING:

1.NO ADDITIONAL GL ACCOUNTS ARE REQUIRED

2.EACH ACCOUNTING PRINCIPLE IS MAINTAINED IN A SEPERATE LEDGER

3.DIFFERENT FISCAL YEAR VARIANT CAN BE USED

45.WHAT IS LEADING LEDGER?

IN THE LEADING LEDGER ALL THE POSTINGS ARE TAKEN AS PRIMARILY AND DEFAULT,IT IS BASED
ON ACCOUNTING PRINCIPLE THAT IS USED FOR THE

CONSOLIDATION OF FINANCIAL STATEMENTS,LEADING LEDGER IN THE SYSTEM IS DEFINED AS OL

AND COMPANY CODES ARE ASSIGNED TO THIS LEDGER.

46.WHAT IS NON LEADING LEDGER?

NON LEADING LEDGERS ARE USED FOR THE PURPOSE OF REPORTING LIKE INTERNATIONAL
FINANCIAL REPORTING STANDARDS AND TAXATION,IT IS PARALLEL

TO THE LEADING LEDGER AND BASED ON LOACAL ACCOUNTING PRINCIPLES YOU CAN ACTIVATE
NON LEADING LEDGER FOR INDIVIDUAL COMPANY CODE THAT

YOU PLAN TO USE.

47.DIFFERENCE BETWEEN LEADING LEDGER AND NON LEADING LEDGER?

 LEADING LEDGER IS A PARENT LEDGER WHICH MEANS NON LEADING LEDGER DERIVES ALL VALUE
FROM THE LEADING LEDGER LIKE PARALLEL CURRENCIES

POSTINGS AND ALL,ALL DOCUMENTS POSTED IN LEADING LEDGER AUTOMATICALLY FLOWED TO

THE NON LEADING LEDGER BUT NOT THE VICE VERSA,WHEN

YOU POST DOCUMENT FOR NON LEADING LEDGER YOU WILL HAVE TO MENTION LEDGER BUT NOT
IN THE CASE WHEN YOU POST FOR LEADING LEDGER,LEADING

LEDGER IS THE PRIMARY LEDGER WHERE AS NON LEADING LEDGER IS SECONDARY ONE.

EXAMPLE:

COMPANIES ARE LOCATED IN INDIA AND US,WHERE PARENT COMPANY IS LOCATED IN INDIA.

IN INDIA ORGANIZATIONS ARE REQUIRED TO SUBMIT FINANCIAL STATEMENTS FROM 1ST APRIL
TO 31ST MARCH(V3).

IN US COMPANIES SHOULD SUBMIT FINANCIAL STATEMENTS FROM 1ST JANUARY TO 31ST

DECEMBER(K4).

THE MAIN FINANCIAL REPORT IS DONE FOR PARENT COMPANY INDIA IS A LEADING LEDGER
AND FOR REPORTING FOR US IS A NON LEADING LEDGER.

THE PARENT COMPANY FROM INDIA IS REQUIRED TO PREPARE FINANCIAL STATEMENTS AS PER
INDIA GAAP AND COMPANY FROM US IS REQUIRED TO

PREPARE REPORTS AS PER US GAAP.

48.WHAT IS DOCUMENT SPLITTING?

NEW GENERAL LEDGER OFFERS A POWERFUL FEATURE THAT IS DOCUMENT SPLITTING,WITH

DOCUMENT SPLITTING ACCOUNTING LINE ITEMS ARE SPLIT ACCORDING

TO SPECIFIC CHARACTERISTICS,THIS WAY YOU CAN CREATE FINANCIAL STATEMENTS FOR ENTITIES
SUCH AS SEGMENTS AND MEET LEGAL REQUIREMENTS.

INSTEAD OF MANUALLY SPLITTING THE ACCOUNTING ITEMS,SYSTEM AUTOMATICALLY SPLITS THE

DOCUMENT.

DOCUMENT SPLITTING CONSISTS OF THREE STEPS:

 1.PASSIVE SPLITTING

A PASSIVE SPLITTING IS USED DURING CLEARING TRANSACTIONS LIKE PAYMENT

TRANSACTIONS,THE SYSTEM CREATES A REFERENCE TO THE

EXISTING ACCOUNT ASSIGNMENTS,THESE ARE USED AS A BASIS FOR THE LINE ITEMS TO BE
SPLIT.

2.ACTIVE SPLITTING

ACTIVE SPLITTING IS KNOWN AS A RULE BASED SPLITTING,THE SYSTEM SPLITS THE

DOCUMENT ON THE BASIS OF PREDEFINED SPLITTING RULES,

IN THE VENDOR INVOICE TRANSACTIONS OR CUSTOMER INVOICE TRANSACTIONS,ACCOUNT

ITEMS ARE SPLIT ACCORDING TO THE RATIOS OF PURCHASE

ACCOUNTS,SALES ACCOUNTS.

3.SPLITTING USING ZERO BALANCING

ZERO BALANCE SPLITTING ENSURES THE DOCUMENT IS BALACED AND THAT THE
DOCUMENT IS ALSO BALANCED FOR SPECIFIC CHARACTERISTICS.

DOCUMENT SPLITTING IMPORTANT ELEMENTS:

1.SPLITTING RULES

THE SPLITTING RULE DEFINES TWO THINGS

A.WHICH ACCOUNTING ITEMS ARE SPLIT?

 B.WHAT CALCULATIONS ARE USED TO SPLIT BASED ON SPECIFIC ACCOUNTING ITEMS.

2.ITEM CATEGORY

ITEM CATEGORY IS THE GROUPING OF NEW GL ACCOUNTS,INSTEAD OF DEFINING THE

SPLITTING RULES FOR ALL EXPENSES ACCOUNTS INDIVIDUALLY

THE ITEM CATEGORY GROUPS ALL EXPENSES ACCOUNTS TOGETHER.

3.BUSINESS TRANSACTION AND BUSINESS TRANSACTION VARIANT

BUSINESS TRANSACTION IS A GENERAL BREAKDOWN OF AN BUSINESS PROCESS.

BUSINESS TRANSACTION VARIANT IS A SPECIFIC VERSION OF A BUSINESS TRANSACTION.

4.SPLITTING METHOD

IT IS THE MAIN DRIVER FOR DOCUMENT SPLITTING,IT IS THE LIST OF ALL SPLITTING RULES
FOR BUSINESS TRANSACTIONS,TECHNICALLY

IT IS A COLLECTION OF SPLITTING RULES AND BUSINESS TRANSACTIONS,BUSINESS

TRANSACTION VARIANTS.

DOCUMENT SPLITTING CONFIGURATION STEPS:

1.CLASSIFY THE GL ACCOUNTS

2.CLASSIFY DOCUMENT TYPES

3.DEFINE THE ZERO BALANCE CLEARING ACCOUNT

4.DEFINE DOCUMENT SPLITTING CHARACTERISTICS

5.DEFINE DOCUMENT SPLITIING CHARACTERISTICS FOR THE CO MODULE

6.DEFINE CONSTANTS FOR NON ASSIGNED PROCESSSES

 7.ACTIVATE DOCUMENT SPLITTING

49.WHAT IS ASSET ACCOUNTING?

THE ASSET ACCOUNTING COMPONENT IS USED FOR MANAGING AND SUPERVISING FIXED
ASSETS WITH THE SAP SYSTEM,IN FINANCIAL ACCOUNTING IT SERVES

AS A SUBSIDARY LEDGER TO THE GENERAL LEDGER,PROVIDING DETAILED INFORMATION ON

TRANSACTIONS INVOLVING FIXED ASSETS,IT MANAGES COMPANY

FIXED ASSETS,RIGHT FROM AQUISITION TO RETIREMENT, ALL ACCOUNTING TRANSACTIONS

RELATING TO DEPRECIATION,INSURANCE,ETC OF ASSETS ARE TAKEN

CARE OF THROUGH THIS MODULE AND ALL THE ACCOUNTING INFORMATION FROM THIS
MODULE FLOWS TO FI-GL ON A REAL TIME BASIS.

WHAT IS DEPRECIATION?

DEPRECIATION IS THE REDUCTION IN THE BOOK VALUE OF AN ASSET DUE TO ITS USE OVER TIME
OR DUE TO LEGAL FRAME WORK FOR TAXATION REPORTING.

WHAT IS CHART OF DEPRECIATION?:

1.CHART OF DEPRECIATION IS USED IN ORDER TO MANAGE LEGAL REQUIREMENTS FOR THE

DEPRECIATION AND VALUATION OF ASSETS.

2.CHART OF DEPRECIATION IS DEFINED AT CLIENT LEVEL.

3.AFTER CREATION OF CHART OF DEPPRECIATION THEN IT IS ASSIGNED TO COMPANY CODE

USING TCODE OAOB.

4.CHART OF DEPRECIATION IS A COUNTRY SPECIFIC.

5.ALL YOUR COMPANY CODES ARE IN SAME COUNTRY AND ARE SUBJECT TO THE SAME LEGAL
REQUIREMENTS FOR ASSET VALUATION, THEN YOU ONLY NEED

ONE CHART OF DEPRECIATION.

6.SAP PROVIDES TYPICAL CHART OF DEPRECIATION FOR EACH COUNTRY.

 7.THEY HAVE DIFFERENT DEPRECIATION AREAS AND DEPRECIATION KEYS DEPENDING ON THE
COUNTRY SPECIFIC REQUIREMENTS,YOU CANNOT USE THESE

CHARTS OF DEPRECIATION DIRECTLY.

7.YOU MUST CREATE YOUR OWN CHART OF DEPRECIATION BY COPYING THE REFERENCE CHART
OF DEPRECIATION.

WHAT IS DEPRECIATION AREAS?:

1.DEPRECIATION AREA IN THE CHART OF DEPRECIATION IS APPLICABLE TO ALL THE COMPANY

CODES BELONGING TO THE COUNTRY.

2.CHART OF DEPRECIATION IS BASICALLY LIST OF ALL DEPRECIATION AREAS.

3.DEPRECIATION AREAS NEEDED FOR COMPANY CODE MAINTAINED IN USA IS DIFFERENT FROM
COMPANY CODE IN INDIA.

4.THE NUMBER OF DEPRECIATION AREAS NEEDED FOR ASSET ACCOUNTING IN A COMPANY

CODE DEPENDS UPON THE COUNTRY TO WHICH COUNTRY

THE COMPANY IS BELONGS.

5.DEPENDING UPON THE ACCOUNTING PRINCIPLE,APPROPRIATE DEPRECIATION KEY IS

MAINTAINED IN DEPRECIATION AREAS.

6.THE LIST OF DEPRECIATION AREAS APPLICABLE TO A COUNTRY IS REFERRED AS CHART OF

DEPRECIATION.

DEPRECIATION TYPES ARE:

BOOK DEPRECIATION

TAX DEPRECIATION

COSTING DEPRECIATION

GROUP DEPRECIATION

WE DETERMINE THE DEPRECIATION AREAS BY USING TCODE- OADB,WILL ASSIGN THE

DEPRECIATION AREAS FOR ASSET CLASS BY USING TCODE- OAYZ.
 WHAT IS DEPRECIATION KEY?

1.WE MAINTAIN DEPRECIATION KEY IN ASSET ACCOUNTING USING TCODE- AFAMA.

2.THE DEPRECIATION KEY CONTAINS THE VALUE SETTINGS WHICH ARE NECESSARY FOR
DETERMINING DEPRECIATION AMOUNTS.

3.IT REPRESENTS A COMBINATION OF CALCULATION RULES WHICH ARE USED FOR THE
AUTOMATICALLY CALCULATED DEPRECIATION TYPES.

THOSE ARE

ORDINARY DEPRECIATION

SPECIAL DEPRECIATION

IMPUTED INTEREST

YOU CAN ASSIGN CALCULATION METHOD TO EACH DEPRECIATION KEY

BASE METHOD

DECLINING BALANCE METHOD

PERIOD CONTROL METHOD

MULTI-LEVEL METHOD

MAXIMUM AMOUNT METHOD

DEPRECIATION KEY IS AT CHART OF DEPRECIATION LEVEL SO IT IS AVAILABLE IN ALL COMPANY

CODES.

WHHAT ARE DEPRECIATION METHODS?

 1.BASE METHOD

2.DECLINING BALANCE METHOD

3.MAXIMUM AMOUNT METHOD

4.PERIOD CONTROL METHOD

5.MULTI-LEVEL METHOD

MULTI-LEVEL METHOD:

THIS METHOD PROVIDES THE FLEXIBILITY TO SPECIFY DIFFERENT RATE OF DEPRECIATION

FOR DIFFERENT YEARS OR PERIODS.

MULTI-LEVEL METHOD CONTAINS TWO TYPES

A.STRAIGHT LINE METHOD

THIS IS THE SIMPLE METHOD OF DEPRECIATION AND IT CHARGES EQUAL AMOUNT

OF DEPRECIATION EACH YEAR OVER USEFUL

LIFE OF AN ASSET.

B.WRITTEN DOWN VALUE METHOD

THIS METHOD INVOLVES APPLYING THE DERECIATION RATE ON THE NET BOOK
VALUE OF AN ASSET,IN THIS METHOD DEPRECIATION

OF THE ASSET IS DONE AT A CONSTANT RATE,IN THIS METHOD DEPRECIATION

CHARGES REDUCES EACH SUCCESSIVE PERIOD.

WHAT IS ASSET CLASS?

AN ASSET CLASS IN SAP IS THE BASIS FOR CLASSIFYING AN ASSET,BASED ON BUSINESS AND
LEGAL REQUIREMENTS,IT IS ESSENTIALLY A GROUPING
 OF ASSETS HAVING CERTAIN COMMON CHARACTERISTICS,EACH ASSET IN THE SYSTEM NEEDS
TO BE ASSOCIATED WITH AN ASSET CLASS,IT IS THE MOST

IMPORTANT CONFIGURATION ELEMENT THAT DECIDES THE TYPE OF ASSET SUCH AS,

BUILDING

FURNITURES AND FIXTURES

EQUIPMENT

ASSET UNDER CONSTRUCTION

LEASED ASSETS

LOW VALUE ASSTES

WHAT IS AUC?

AUC STANDS FOR ASSET UNDDER CONSTRUCTION,WHERE SOME ASSETS ARE IN CONSTRUCTION
PHASE AND COST NEEDS TO CAPTURE THROUGH INTERNAL ORDER

FOR THE TIME BEING,ONCE ASSET IS FULLY COMPLETED THEN COST WOULD BE TRANSFERRED
TO ANOTHER COST OBJECT AND SETTLE WITH FINAL ASSET.

WHAT ARE DEPRECIATION POSTING RUNS?

IN THE TCODE- AFAB WE CAN SEE ALL THESE DEPRECIATION POSTING RUNS

1.PLANNED DEPRECIATION

EVERY MONTH PLANNED DEPRECIATION IS POSTED,PLANNED DEPRECIATON CANNOT BE

EXECUTED FOR SPECIFIC ASSET,PLANNED DEPRECIATION

RUN IS ALWAYS CARRIED OUT FOR ALL THE ASSET OF THE COMPANY CODE.IF SINGLE ASSET
HAS ERROR THE PLANNED DEPRECIATION WILL

FAIL,NEXT MONTH DEPRECIATION CANNOT BE EXECUTED UNTILL AND UNLESS

DEPRECIATION FOR ALL PERIODS IS COMPLETE.
 2.UNPLANNED DEPRECIATION

IN CASE OF OCCURENCE OF SOME UNFORSEEN OR UNPLANNED EVENT WITH AN

ASSET,UNPLANNED DEPRECIATION NEEDS TO BE POSTED TO THE

PARTICULAR ASSET.

UNPLANNED DEPRECIATION IS POSTED TO SPECIFIC ASSET USING TCODE- ABAA

3.REPEAT DEPRECIATION

WHEN DEPRECIATION IS EXECUTED SUCCESSFULLY BUT SOME OF THE TRANSACTIONS ARE

POSTED AFTER THE DEPRECIATION RUN,THESE

TRANSACTIONS ARE NOT INCLUDED IN DEPRECIATION AMOUNT CALCULATION,THESE

DEPRECIATIONS ALREADY POSTED FOR THE PERIOD

NEEDS TO BE CORRECTED.

IN ORDER TO POST DELTA DEPRECIATION,DEPRECIATION RUN IS EXECUTED IN REPEAT

MODE.

4.RESTART DEPRECIATION

IF DEPRECIATION IS NOT COMPLETE DUE TO SOME REASONS LIKE POWER

FAILURE,DEPRECIATION PROGRAM FORCEFULLY STOPPED,

SYSTEM CRASH ETC,THE DEPRECIATION RUN CAN BE EXECUTED IN RESTART MODE.

WHAT IS DEPRECIATION SMOOTHING?

THIS OPTION DETERMINES HOW THE SYSTEM BEHAVES,IF SETTINGS LIKE DEPRECIATION
KEY,USEFUL LIFE HAVE CHANGED IN THE ASSET DURING

THE FISCAL YEAR,RESULTING IN THE CHANGES IN THE VALUE OF DEPRECIATION EITHER HIGH OR
LOW.
 IF SMOOTHING OPTION IS ACTIVATED,THE DIFFERENCE IS DISTRIBUTED EQUALLY AMONG THE
REMAINING POSTING PERIODS OF THE CURRENT FISCAL YEAR.

WHAT IS DEPRECIATION CATCH UP?

IF THIS OPTION IS ACTIVATED,THE ENTIRE DIFFERENCE IS POSTED TO THE CURRENT PERIOD

WHICH IS KNOWN AS CATCH UP.

WHAT IS ASSET PROCUREMENT PROCESS?

1.ASSET PROCUREMENT PROCESS CAN BE DONE IN TWO WAYS BY USING TCODE F-90 OR BY
CREATING PURCHASE ORDER USING TCODE ME21N IN MM

2.CREATE ASSET MASTER BY USING TCODE- AS01.

3.CREATE PURCHASE ORDER BY USING TCODE- ME21N WITH REFERENCE TO THE PURCHASE
REQUISITION.

4.IN PURCHASE ORDER WE HAVE TO SELECT THE ACCOUNT ASSIGNMENT CATEGORY AS A, A

MEANS ASSET AND ENTER THE ASSET MASTER NUMBER IN

ACCOUNT ASSIGNMENT TAB.

5.WITH REFERENCE TO PO,WE WILL CREATE GOODS RECEIPT IN MIGO,IT WILL CREATE MATERIAL
DOCUMENT IN MM AND ACCOUNTING DOCUMENT IN FI.

6.IN ME23 TCODE PO HISTORY WE CAN FIND THE GOODS RECEIPT IN GOODS RECEIPT
DOCUMENT INFORMATION TAB WE CAN SEE THE FI DOCUMENT.

7.INVOICE RECEIPT IN MIRO.

8.IN TCODE AW01N ASSET EXPLORER WE CAN SEE THE ASSET.

SETTLEMENT OF ASSET UNDER CONSTRUCTION:

1.CREATE ASSET UNDER CONSTRUCTION TCODE- AS01

2.PURCHASE MATERIAL FOR CONSTRUCTION TCODE- ABZON

3.ASSET EXPLORE TCODE- AW01N

 4.CREATE NORMAL ASSET TCODE- AS01

5.DEFINE SETTLEMENT PROFILE FOR COMPANY CODE OF AUC TCODE- OK07

6.ASSIGN COMPANY CODE TO SETTLEMENT PROFILE TCODE- OAAZ

7.DISTRIBUTION OF COST OF CONSTRUCTTION TCODE- AIAB

8.SETTLEMENT OF COST TCODE- AIBU

ASSET CLOSING PROCESS:

1.CHECK LAST CLOSED FISCAL YEAR IN FI AND FI-AA

2.RUN PROGRAM (RACHECK1) TO ELIMINATE INCONSISTENCIES BETWEEN COMPANY CODE AND

ASSET MANAGEMENT ACCOUNT DATA.

3.CHECK INCOMPLETE ASSET TCODE- AUVA

4.CHECK INDEXTES

5.RECALCULATE DEPRECIATION TCODE- AFAR

6.EXECUTE DEPRECIATION POSTING TCODE- AFAB

7.EXECUTE PERIODIC POSTING PROGRAM TCODE- ASKB

8.RECONCILE GENERAL LEDGER AND SUBSIDARY LEDGER TCODE- ABST2

9.EXECUTE FISCAL YEAR CHANGE TCODE- AJRW

ASSET ACCOUNTING CONFIGURATION STEPS:

1.DEFINE CHART OF DEPRECIATION

2.ASSIGN INPUT TAX FOR NON TAXABLE ACUISITIONS TCODE- OBCL

3.ASSIGN CHART OF DEPRECIATION TO THE COPMANY CODE TCODE- OAOB

4.DEFINE ACCOUNT DETERMINATION

5.SPECIFY SCREEN LAYOUT RULES

6.DEFINE NUMBER RANGE INTERVALS TCODE- AS08

7.DEFINE ASSET CLASSES TCODE- OAOA

 8.CREATE REQUIRED GL ACCOUNTS FOR ASSET ACCOUNTING TCODE- FS00

9.DEFINE ACCOUNT ASSIGNMENTS TCODE- AO9O

10.DEFINE BASE METHOD

11.DEFINE MULTI-LEVEL METHOD TCODE- AFAMS

12.DEFINE DEPRECIATION KEY TCODE- AFAMA

13.DEFINE DEPRECIATION AREAS TCODE- OADB

14.DETERMINE DEPRECIATION AREAS IN ASSET CLASS- OAYZ

15.DEFINE OR ASSIGN FORMS TCODE- OAAY

16.ASSIGN SETTLEMENT PROFILE TO COMPANY CODE FOR AUC TCODE- OK07

17.ASSET CREATION TCODE-AS01

18.EXTERNAL ACQUISITION TCODE- F-90

19.DEPRECIATION RUN TCODE- AFAB

20.RUNNING THE JOB TCODE- SM37

ASSET ACQUISITION ENTRY:

ASSET A/C...........DR

TO VENDOR A/C.......CR

RETIREMENT OR SALE OF AN ASSET ENTRY:

ACCUMULATED DEPRECIATION A/C........DR

LOSS ON SALE OF ASSET A/C...........DR

CLEARING ACCOUNT FROM ASSET SALE....DR

TO ASSET A/C........................CR

TO PROFIT ON SALE OF ASSET A/C......CR

 WHEN THE ASSET SOLD IS CLEARED AGAINST CUSTOMER INVOICE ENTRY:

CUSTOMER A/C.............................DR

TO CLEARING ACCOUNT FROM ASSET SALE......CR

AT THE TIME OF PAYMENT(CUSTOMER) ENTRY:

BANK INCOMING A/C............DR

TO CUSTOMER A/C..............CR

WRITE-UP OF AN ASSET ENTRY:

ACCUMULATED DEPRECIATION A/C...........DR

TO DEPRECIATION A/C....................CR

DEPRECIATION POSTING RUN ENTRY:

DEPRECIATION A/C.....................DR

TO ACCUMULATED DEPRECIATION A/C......CR

*HOW TO UPLOAD THE ASSET BALANCES IN THE MIDDLE OF THE YEAR FROM LEGACY TO SAP? LET
ME KNOW FULL PROCESS.

THERE ARE TWO STEPS:

1.PREVIOUS YEAR PROCESS

 A.FIRST WE WILL TAKE THE ASSETS WITH ACQUISITION VALUE,ACCUMULATED DEPRECIATION
VALUES AND CAPITALIZATION DATES.

B.TAKE ASSETS UPTO PREVIOUS CLOSING AND ACQUISITION AND ACCUMULATED BALANCE
MUST BE EQUAL WITH GL BALANCE.

C.CREATE LSMW FOR AS91> CREATE ASSETS WITH UPLOAD VALUES.CHECK ASSET HISTORY
AR02 REPORT WHERE WE CAN GET ASSET CLASS WISE ACQUISITION

AND ACCUMULATED DEPRECIATION TOTAL.

D.GO TO OASV MAKE JV AS ASSET.

ASSET GL A/C...............................DR 16,79,000

TO ACCUMULATED DEPRECIATION A/C............CR 79000

TO ASSET BALANCES A/C......................CR 16,00,000

E.MAKE SURE FS10N BALANCES AND AR02 BALANCE MUST BE MATCH.

2.CURRENT YEAR PROCESS:

A.TAKE DUMP OF CURRENT YEAR ACQUISITION WITH ASSET VALUE DATE OR CAPITALIZATION
DATE AND AMOUNT.

B.CREATE ASSET USING WITH USING TCODE- AS01

C.CREATE LSMW FOR F-90 OR FB01 WITH POSTING KEY OF 70&50

70 ASSET NUMBER GETTING DEBIT

50 INITIAL BALANCE GETTING CREDIT

D.THEN RUN THE DEPRECIATION THROUGH TCODE AFAB.

50.WHAT IS CONTROLLING?
 CONTROLLING IS ESPECIALLY FOR INTERNAL REPORTING PURPOSES.

FINANCE AND CONTROLLING INTEGRATION EXACTLY HAPPENS AT CONTROLLING AREA BY

ASSIGNING COMPANY CODE TCODE- OKKP

1.MAINTAIN CONTROLLING AREA TCODE- OKKP

2.MAINTAIN NUMBER RANGE FOR CONTROLLING DOCUMENT LINK TCODE- KANK

3.MAINTAIN VERSIONS TCODE- OKEQ

A.IN OKKP TCODE AT ACTIVATE COMPONENTS WE WILL ACTIVATE THE COST CENTERS,ORDER
MANAGEMENTS,PROFIT ANALYSIS,PROFIT CENTER,SALES ORDER ETC.

B.0 VERSION IS THE PLANNED VERSION AND IT IS A YEAR ENDING ACTIVITY,AT THE YEAR END WE
WILL CREATE THE NEXT FISCAL YEAR .

C.IN OKEQ TCODE WE WILL SELECT THE PLANNED,ACTUAL,WIP AND VARIANCE OPTIONS IN 0
VERSIONS.

D.AFTER SELECTING THE 0 VERSION WE WILL SELECT THE SETTING FOR EACH FISCAL YEAR AND
GIVE THE NEXT FISCAL YEAR AND SAVE.

WHAT ARE COST ELEMENTS:

1.COST ELEMENTS ARE DEFINED IN CONTROLLING AND ARE ASSIGNED TO VARIOUS COST
OBJECTS SUCH AS COST CENTERS,INTERNAL ORDERS,ETC.

2.BASICALLY THEIR FUNCTIONALITY IS TO CLASIIFY AND ANALYSE THE COST FOR INTERNAL
REPORTING PURPOSES.

3.THE INTEGRATION BETWEEN THE EXPENSES ACCOUNTS IN FINANCIAL ACCOUNTING AND

COST ELEMENTS IN MANAGEMENT ACCOUNTING IS ESSENTIAL

FOR RECONCILIATION PURPOSES.

4.COST ELEMENT IS AN ITEM IN THE CHART OF ACCOUNTS,WHICH IS USED IN CONTROLLING

AREA TO RECORD THE VALUES ASSIGNED CONSUMPTIONS

OF PRODUCT FACTORS LIKE RAW MATERIAL,UTILITIES,ETC.

COST ELEMENTS ARE TWO TYPES

 1.PRIMARY COST ELEMENTS:

1.PRIMARY COST ELEMENTS DESCRIBES THE COSTS THAT OCCURS OUT OF THE CONTOLLING.

2.THE PRIMARY COST ELEMENTS SHOULD BE ASSIGNED TO A CORRESPONDING COST OBJECTS

SUCH A COST CENTER,AN INTERNAL ORDER ETC.

3.THE REVENUE ELEMENT IS ALSO A PRIMARY COST ELEMENT UNLIKE PRIMARY COST
ELEMENTS IT HAS A CORRESPONDING REVENUE GL ACCOUNT

IN THE CHART OF ACCOUNTS UNDER THE P&L.

4.THE PREREQUISITE FOR CREATION OF THESE ELEMENTS IS TO HAVE A CORRESPONDING GL

ACCOUNTS,WITHOUT THEM THE SAP SYSTEM WILL NOT

ALLOW YOU TO CREATE PRIMARY COST OR REVENUE ELEMENTS.

5.THROUGH PRIMARY COST ELEMENT DATA WILL BE FLOW FROM FI TO CO.

PRIMARY COST ELEMENTS CATEGORIES ARE:

PRIMARY COST/COST REDUCING REVENUES

ACCRUAL/DEFFERAL PER CHARGE

REVENUES

SALES DEDUCTIONS

EXTERNAL SETTLEMENTS

MANAGEMENT SALARIES

SERVICE LINE WAGES

INSURANCE AND MAINTENANCES

CREATE PRIMARY COST ELEMENT TCODE- KA01

CREATE AUTOMATIC PRIMARY COST ELEMENTS TCODE- OB13

IN CHART OF ACCOUNTS AT INTEGRATION COLUMN WE HAVE CONTROLLING INTEGRATION

FIELD ON THAT FIELD SELECT AUTOMATIC CREATION

OF COST ELEMENTS AND CLICK ON SAVE BUTTON.

 DEFINE COST ELEMENT CATEGORIES FOR AUTOMATIC CREATION OF COST ELEMENTS TCODE-
OKB2.

2.SECONDARY COST ELEMENTS:

1.SECONDARY COST ELEMENT IS USED FOR DECISION MAKING PURPOSE.

2.THESE ELEMENTS ARE ONLY USED IN THE CO FOR THE IDENTIFICATION OF INTERNAL COSTS
FOR SETTLEMENTS OR ASSESSMENTS,UNLIKE

PRIMARY COST ELEMENTS WHICH HAVE CORRESPONDING GL ACCOUNTS,SECONDARY COST

ELEMENTS DONT HAVE CORRESPONDING GL ACCOUNTS.

3.THEY ARE USED IN OVERHEAD CALCULATION,INTERNAL COST

ALLOCATION,SETTLEMENTS,ETC IF THE SYSTEM FINDS THERE IS A CORRESPONDING

GL ACCOUNT DURING CREATION OF SECONDARY COST ELEMENT,IT DOES NOT ALLOW YOU
TO CREATE.

4.THE POSTING TO THE ACCOUNT DOES NOT AFFECT PROFIT AND LOSS ACCOUNT.

5.SECONDARY COST ELEMENTS ARE LIKE FACTORY OVERHEADS,ADMIN

OVERHEADS,INTERNAL SETTLEMENTS,INTERNAL ACTIVITY ALLOCATION.

CONFIGURATION STEPS FOR SECONDARY COST ELEMENTS:

CREATE SECONDARY COST ELEMENTS TCODE- KA06

COST ELEMENT CHANGE TCODE- KA02

DISPLAY ALL COST ELEMENTS TCODE- KA23

ALL COST ELEMENTS DATA IS STORED IN TABLE TCODE- CSKA

WHAT IS COST CENTER?

1.COST CENTER IS THE LOWEST ORGANIZATIONAL UNIT IN THE CONTROLLING.

 2.COST CENTER IS USED TO IDENTIFY THE COST INCURRED BY THE ORGANIZATION.

3.COST CAN BE CAPTURED AS PER DEPARTMENT WIISE,PRODUCT WISE,AREA

WISE,RESPONSIBILITY PERSON WISE.

4.IN COST CENTER ACCOUNTING OPERATIONAL EXPENSES ARE CAPTURED BY THREE SEPERATE
MASTER DATA OBJECTS SUCH AS COST CENTER,

ACTIVITY TYPES,STATISTICAL KEYS FIGURES.

5.SAP COST CENNTERS ARE ORGANIZED IN A STANDARD HIERARCHY,ALL COST CENTERS MUST
BE ENTERED IN STANDARD HIERARCHY.

FIRST WE CREATE A COST ELEMENT THEN ASSIGN TO COST CENTERS.

BEFORE YOU CREATE COST CENTER,YOU NEED TO ASSIGN STANDARD HIERARCHY IN

CONTROLLING AREA TCODE- OKKP

CRETE COST CENTER TCODE- KS01

HERE WE WILL GIVE DETAILS LIKE COST CENTER KEY,VALID FROM

DATE,DESCRIPTION,PERSON RESPONSIBLE,COST CENTER CATEGORY,HIERARCHY

AREA ,BUSINESS AREA,CURRENCY AND PROFIT CENTER.

DISPLAY ALL COST CENTERS TCODE- KS13

COST CENTER DATA IS STORED IN TABLE TCODE- CSKS

WHAT IS PROFIT CENTER?

1.PROFIT CENTER IS USED TO DETERMINE PROFIT FOR INTERNAL AREAS,YOU CAN DETERMINE
PROFIT AND LOSS EITHER BY USING PERIOD ACCOUNTING

OR THE COST OF SALES APPROACH.

2.YOU CAN ALSO GENERATE P&L ACCOUNTS AND BALANCE SHEET TO A PROFIT CENTER
WISE,HOWEVER PROFIT CENTER SHOULD ONLY BE USED FOR INTERNAL

REPORTING PURPOSE.

3.THE KEY COMPONENTS OF PROFIT CENTER INCLUDES NAME OF THE PROFIT

CENTER,CONTROLLING AREA UNDER WHICH IT IS ASSIGNED,PERSON RESPONSIBLE
 FOR PROFIT CENTER,STANDARD HIERARCHY,SEGMENT ETC.

4.PROFIT CENTER IS LINKED TO COST CENTER,INTERNAL ORDERS,MATERIALS,ASSET,SALES

ORDER AND PROFITABILITY SEGMENTS.

CREATE PROFIT CENTER TCODE- KE51

CREATE DUMMY PROFIT CENTER TCODE- KE59

CREATE STANDARD HIERARCHY FOR PROFIT CENTER TCODE- OKE5

CHANGE STANDARD HIERARCHY TCODE- KCH5N

WHAT IS CO-PA PROFITABILITY ANALYSIS?

SAP PROFITABILITY ANALYSIS IS USED TO ANALYSE THE MARKET SEGMENTS CLASSIFIED AS

PRODUCTS,CUSTOMERS,SALES AREA,BUSINESS AREA,ETC.

THE MAIN AIM OF THE SYSTEM IS TO PROVIDE YOU SALES,MARKET,PRODUCT MANAGEMENT

AND CORPORATE PLANNING DEPARTMENTS WITH INFORMATION

TO SUPPORT INTERNAL ACCOUNTING AND DECISION MAKING.

THERE ARE TWO TYPES OF PROFITABILITY ANALYSIS:

1.COST BASED PROFITABILITY ANALYSIS

IT IS USED TO GROUP THE COSTS AND REVENUES AS PER THE VALUE FIELDS.

IT IS USED TO ENSURE THAT YOU ACCESS ALL TIME TO COMPLETE,SHORT-TERM

PROFITABILITY REPORT.

2.ACCOUNT BASED PROFITABILITY ANALYSIS:

IT IS USED TO PROVIDE YOU WITH PROFITABILITY REPORT THAT IS PERMANENTLY

RECONCILED WITH FINANCIAL ACCOUNTING.
 IT MAINLY USED FOR GETTING INFORMATION REALTED TO SALES,MARKETING,PRODUCT
MANAGEMENT AND CORPORATE PLANNING

DEPARMENTS TO SUPPORT INTERNAL ACCOUNTING AND DECISION MAKING.

IN ORDER TO USE THIS FUNCTIONALITY OF CO-PA THE OPERATING CONCERN MUST BE CREATED
WHICH IS HIGHEST HIERARCHIAL UNIT IN

COMBINED FICO MODULE.

THE OPERATING CONCERN CONTAINS THE LIST OF CHARACTERISTICS AND VALUE FIELDS.

WHAT IS INTERNAL ORDER?

INTERNAL ORDERS ARE USED TO PLAN,SETTLE,COLLECT THE COSTS OF INTERNAL JOBS AND
THEY ARE PROPOSED TO BE INCURRED OVER ON SHORT TERM BASIS.

YOU CAN USE INTERNAL ORDERS FOR

A.OVERHEAD ORDERS

B.INVESTMENT ORDERS

C.ACCRUAL ORDERS

D.ORDERS WITH REVENUE

THERE TWO TYPES OF INTERNAL ORDERS:

1.REAL ORDER- A REAL ORDER DENOTES AN ACTUAL COST POSTING TO THE INTERNAL
ORDER.

2.STATISTICAL INTERNAL ORDER- STATISTICAL INTERNAL ORDERS ARE DUMMY COST

OBJECTS THOSE ARE USED FOR REPORTING AND ANALYSIS

PURPOSES,IT MUST BE POSTED TO CONJUNCTION WITH A REAL OBJECT

SUCH AS A COST CENTER.
 TECHNICAL ASPECTS:

1.FUNCTIONAL SPECIFICATION

2.DME(DATA MEDIUM EXCHANGE)

3.IDOC(INTERMEDIATE DOCUMENT)

4.VALIDATION AND SUBSTITUTION

5.WRICEF

51.WHAT IS FUNCTIONAL SPECIFICATION?

1.FUNCTIONAL SPECIFICATION DOCUMENT IS MAINLY PREPARED FOR THE PURPOSE OF

DEVELOPING THE NEW REPORTS USING THE ABAP PROGRAM,THIS HAPPENS ONLY

WHEN SAP STANDARD REPORTS NOT ACHEIVE THE CLIENT PURPOSE.

2.IF ANY REQUIREMENT COMES FROM THE CLIENT WHETHER IT IS RELATED TO ABAPER
ASSISTANTS OR RELATING TO CUSTOMIZING TCODES,CUSTOMIZING TABLES,

CUSTOMIZING REPORTS,ENHANCEMENTS,DEVELOPMENTS.

3.WE NEED TO SETUP A MEETING WITH THE CLIENT AND UNDERSTAND THE CLIENT BUSINESS
NEEDS AND EXPECTATIONS,HOW WE CAN DO IT IN THE SYSTEM, WE NEED

TO CHECK THE FEASIBILITY.

4.BASED ON THAT WE WILL PREPARE THE FUNCTIONAL SPECIFICATION DOCUMENT AND

TECHNICAL CONSULTANT PREPARES TECHNICAL SPECIFICATION DOCUMENT.

FUNCTIONAL SPECIFICATION DOCUMENT INCLUDES:

1.AS IS INFORMATION,THAT IS CLIENT BUSINESS REQUIREMENT INFORMATION.

2.TO BE DOCUMENT,THAT IS HOW WE ARE GOING TO MAP INTO SAP.

 3.IN FUNCTIONAL REQUIREMENT WE WILL PREPARE THE FLOW CHART HOW DATA WILL BE
FLOW AND WHAT WOULD BE THE ULTIMATE RESULT.

4.WE WILL SPECIFY THE REQUIRED TECHNICAL FIELDS,TABLES AND FUNCTIONAL LOGIC.

5.WE WILL DO THE USER TESTING,USER ACCEPTANCE TESTING AND INTEGRATION TESTING(IF IT
IS LINKED WITH CROSS MODULES) AND REGRESSION TESTING.

THIS FUNCITIONAL SPECIFICATION DOCUMENT IS FORWARDED TO ABAPER,ONCE THE

CONFIGURATION IS SUCCESS ABAPER WILL PREPARE THE TECHNICAL SPECIFICATION

DOCUMENT,THEN ONE CR IS PREPARED AND THIS FUNCTIONAL SPECIFICATION DOCUMENT

AND TECHNICAL SPECIFICATION DOCUMENT ARE ATTCHED TO THE CR.

FINALLY TRANSPORT REQUEST WILL BE MOVED TO THE PRODUCTION WITH THE HELP OF BASIS
TEAM.

52.WHAT IS DME (DATA MEDIUM EXCHANGE)?

1.DME STANDS FOR DATA MEDIUM EXCHANGE WHICH ORIGINATES FROM DATA MEDIUM
EXCHANGE ENGINE THAT FACILITATES THE DROP OF YOUR BANK FILE TO THE

D-DIRECTORY(AL11) THAT NEEDS TO BE PROCESSED BY THE BANK AFTER THE PAYMENT RUN.

2.IN DME YOU CREATE A FILE THAT CONTAINS PAYEMNT INSTRUCTIONS,YOU SEND IT TO YOUR
BANK AND BANK TRANSFERS THE MONEY FROM YOUR ACCOUNT

TO THE THIRD PARTIES ACCOUNT.

3.YOU CAN USE DME TO DEBIT MONEY FROM YOUR CUSTOMERS ACCOUNT OR YOU CAN SEND
A DME FILE WITH TAX DATA TO THE TAX AUTHORITIES.

4.BASICALLY THESE FILES CONTAIN FINANCIAL DATA WHICH CAN BE IN FLAT FILE OR XMI FILE
FORMAT.

5.DIFFERENT FILE FORMATS CAN BE CREATED FOR DIFFERENT COUNTRIES AND DIFFERENT
BANKS,BASED ON THEIR OWN NORMS WITH ABAP PROGRAMS.

6.THE PAYMENT MEDIUM WORK BENCH IS A TOOL WHICH IS USED TO CONFIGURE AND CREATE
PAYMENT MEDIA SENT BY ORGANIZATIONS TO THEIR BANKS.

DME PROCESS FLOW:

 1.PAYMENT RUN IS EXECUTED IN SAP USING TCODE- F110

2.FILE IS GENERATED WITH BANK SPECIFIC FORMAT AND STORED IN SAP DME
ADMINISTRARTOR.

3.FILE IS MANUALLY SAVED TO LOCAL DIRECTORY.

4.USER CONNECTS USING BANK SOFTWARE.

5.PAYMENT FILE IS UPLOADED TO BANK.

6.PAYMENT IS PROCESSED AND DISTRIBUTED TO PAYEE.

DME CONFIGURATION STEPS:

1.CREATE PAYMENT MEDIUM FORMAT TCODE- OBPM1

2.CREATE DME FORMAT TREE TCODE- DMEE

3.LINK PAYMENT METHOD TO THE PAYMENT MEDIUM FORMAT TCODE- FBZP

4.MAINTAIN PAYMENT MEDIUM SELECTION VARIANTS/ASSIGN HOUSE BANKS CONCERNED

TCODE- OBPM4

BASIC FEATURES OF DME:

1.RFFOAVIS

2.RFFOED11

3.RFFOUS_C

53.WHAT IS IDOC (INTERMEDIATE DOCUMENT)?

1.IDOC STANDS FOR INTERMEDIATE DOCUMENT,IDOC IS AN SAP OBJECT THAT TRANSFER DATA
OF A BUSINESS TRANSACTION FROM SAP TO NON SAP SYSTEM IN THE

FORM OF ELECTRONIC MESSAGE.

 2.THE TRANSFER OF SAP TO NON-SAP SYSTEM IS DONE VIA EDI(ELECTRONIC DATA
INTERCHANGE),

WHERE AS DATA TRANSFER OF SAP TO SAP SYSTEM IS DONE VIA ALE (APPLICATION LINK
ENABLING).

3.AN IDOC IS A DATA FILE WITH SPECIFIED FORMAT WHICH IS EXCHAGED BETWEEN TWO
SYSTEMS.

4.IN THE SAP SYSTEM,IDOCS ARE STORED IN DATA BASE,EVERY IDOC HAS A UNIQUE
NUMBER(WITHIN A CLIENT).

5.IDOCS ARE INDEPENDENT OF THE SENDING AND RECEIVING SYSTEMS.

THE IDOC STRUCTURE CONSISTS OF THREE PARTS:

1.CONTROL RECORD

2.DATA RECORD

3.STATUS RECORD

YOU CAN VIEW IDOC USING TCODE- WE02 OR WE05

SEGEMETS:

A SEGMENT DEFINES THE FORMAT AND STRUCTUERE OF A DATA RECORD IN IDOC.

IDOC TYPE:

AN IDOC TYPE DEFINES THE STRUCTURE AND FORMAT OF THE BUSINESS DOCUMET THAT IS TO
BE EXCHANGED.

YOU CAN DEFINE IDOC TYPES USING TCODE- WE30

IDOC CONSISTS OF THE TWO TYPES:

 1.BASIC TYPE

2.EXTENSION TYPE

MESSAGE TYPE:

A MESSAGE REPRESENTS A SPECIFIC TYPE OF DOCUMENT THAT IS TRANSMITTED BETWEEN

TWO PARTNERS.

YOU CAN CREATE MESSAGE TYPE USING TCODE- WE81.

PARTNER PROFILES:

A PARTNER IS DEFINED AS A BUSINESS PARTNER WITH WHOM YOU CONDUCT BUSINESS AND
EXCHANGE DOCUMENTS.

PORT:

THE PORT DEFINES THE TECHNICAL CHARACTERISTICS OF THE CONNECTION BETWEEN YOUR
SAP SYSTEM AND THE OTHER SYSTEM YOU WANT TO TRANSFER DATA.

THERE ARE DIFFERENT TYPES OF PORTS

1.TRFC PORTS USED IN ALE

2.FILE PORTS WHICH EDI USES.

OUTBOUND PROCESS:
 THE PROCESS OF DATA TRANSFER OUT OF YOUR SAP SYSTEM IS CALLED OUTBOUND
PROCESS.

INBOUND PROCESS:

THE PROCESS OF DATA TRANSFER MOVING INTO YOUR SAP SYSTEM IS CALLED INBOUND
PROCESS.

IDOC OUTBOUND PROCESS CONFIGURATION STEPS:

1.CREATE SEGMENT TCODE- WE31

2.CREATE AN IDOC TYPE TCODE- WE30

3.CREATE A MESSAGE TYPE TCODE- WE81

4.ASSOCIATE A MESSAGE TYPE TO IDOC TYPE TCODE- WE82

5.CREATE A PORT TCODE- WE21

6.CRATE A FUNCTION MODULE FOR CREATING IDOC AND ASSOCIATE THE FUNCTION
MODULE TO AN OUTBOUND PROCESS CODE.

7.CREATE PARTNER PROFILE TCODE- WE20

IDOC INBOUND PROCESS CONFIGURATION STEPS:

1.CREATE IDOC TYPE TCODE- WE30

2.CREATE MESSAGE TYPE TCODE- WE81

3.ASSOCIATE MESSAGE TYPE TO IDOC TYPE TCODE- WE82

4.CREATE THE FUNCTION MODULE FOR PROCESSING THE IDOC

5.DEFINE THE FUNCTION MODULE CHARACTERISTIC TCODE- BD51

6.ALLOCATE THE INBOUND FUNCTION MODULE TO THE MESSAGE TYPE TCODE- WE57

7.DEFINING PROCESS CODE TCODE- WE42

 8.CREATION OF PARTNER PROFILE TCODE- WE20

54.WHAT IS THE VALIDATION AND SUNSTITUTION?

FOR EACH FUNCTIONAL AREA IN SAP VALIDATION AND SUBSTITUTION IS DEFINED FOR EXAMPLE
ASSETS,CONTROLLING ETC.

THEY ARE DEFINED AT THE DOCUMENT HEADER LEVEL,DOCUMENT LINE ITEM LEVEL.

1.VALIDATION

YOU CAN SEE VALIDATION RULE USING TCODE- GGB0

WHILE ENTERING A TRANSACTION INTO FI MODULE,SYSTEM WILL VALIDATE THE COMBINATION

THAT YOU ENTERED AND IF IT MATCHES WITH THE REQUIREMENT THAT IS

DEFINED IN VALIDATION RULE THEN IT WILL ALLOW YOU TO POST THE TRANSACTION OR ELSE IT
WILL SHOW YOU AN ERROR THAT COMBINATION IS NOT ALLOWED.

IF THIS TYPE OF ERROR OCCURS THEN YOU HAVE TO CHANGE THE COMBINATION THAT YOU
ENTERED OR YOU NEED TO CHANGE THE VALIDATION RULE.

CREATE VALIDATION RULE USING TCODE- OB28

FOR EXAMPLE:

YOU HAVE DEFINED A VALIDATION RULE TO CHECK A PARTICULAR COST CENTER FOR A
PARTICULAR COST ELEMENT WHILE ENTERING A FI POSTING,IN THIS CASE

SYSTEM WILL NOT ALLOW YOU TO POST ANY OTHER COST CENTER WITH PARTICULAR COST
ELEMENT,ONLY THE COST CENTER DEFINED WITH THE COST ELEMENT IN

VALIDATION RULE OF SAP WILL BE ALLOWED TO POST.

 2.SUBSTITUTION

YOU CAN SEE THE SUBSTITUTION RULE USING TCODE- GGB1

IN SUBSTITUTION SAP WILL SUBSTITUTE THE ENTERED VALUE WITH THE VALUE THAT HAS BEEN
DEFINED IN SAP.

CREATE SUBSTITUTION RULE USING TCODE- OBBH

FOR EXAMPLE:

YOU HAVE DEFINED TO USE ONE PARTICULAR COST CENTER FOR A COST ELEMENT IN A
SUBSTITUTION RULE AND YOU ENTERED A TRANSACTION IN FI WITH SOME

OTHER COST CENTER FOR THOSE COST ELEMENTS,THEN SYSTEM WILL REPLACE THE ENTERED
COST CENTER WITH THE COST CENTER THAT IS PRESENT IN THE

SUBSTITUTION RULE.

THE APPLICATION AREAS THAT USE VALIDATION AND SUBSTITUTIONS ARE:

1.FINANCIAL ACCOUNTING

2.COST ACCOUNTING

3.ASSET ACCOUNTING

4.GL-SPECIAL PURPOSE LEDGER

5.CONSOLIDATION

6.PROJECT SYSTEM

7.REAL ESTATE

8.PROFIT CENTER ACCOUNTING

55.WHAT IS WRICEF(WORK FLOW,REPORTS,INTERFACE,CONVERSION,ENHANCEMENTS,FORMS)

1.WORK FLOW

DEVELOPMENT OF APPROVAL FLOW LOGIC THAT MEANS GL MASTER DATA CHANGES SHOULD
FOLLOW SPECIFIC APPROVAL PROCESS.

2.REPORTS

DEVELOPMENT OF CUSTOMIZED REPORTS IN ABAP,REPORT PAINTER OR BW

3.INTERFACE

SOME BUSINESS PROCESSES MAY BE MAINTAINED IN EXTERNAL SYSTEMS FOR EXAMPLE

PAYROLL,FIXED ASSETS,DISPUTE MANAGEMENT,ETC.THESE EXTERNAL ACTIVITIES

MAY NEED POSTINGS IN SAP,INTERFACE PROGRAMS ARE DEVELOPED TO AUTOMATE THE

POSTINGS IN SAP.

4.CONVERSION

CONVERSION OF LEGACY DATA TABLE TO LOADABLE TABLE FORMAT INTO SAP.THIS PROCESS
CONSISTS EXTRACTION OF LEGACY DATA FROM LEGACY SYSTEM,TRANSFORMATION

OF DATA INTO LOADABLE LSMW FORMAT AND LOADING THE DATA INTO SAP,THIS ACTIVITY IS
IMPORTANT AND NEED ACCURACY,HENCE A SEPERATE TEAM MAY BE ASSIGNED

FOR CONVERSION ALONE.

5.ENHANCEMENTS
 GENERALLY IN THE CASE OF LARGE IMPLEMENTATIONS A GLOBAL TEMPLATE BLUE-PRINT WILL BE
PREPARED AND FOLLOWED.

6.FORMS

DEVELOPMENT OF LAYOUTS FOR INVOICES,ACCOUNT STATEMENTS,DELIVERY NOTES ETC.

56.WHAT IS EBS (ELECTRONIC BANK STATEMENT)?

EBS IS AN ELECTRONIC BANK STATEMENT SENT BY BANK AND IT HAS DETAILS OF THE
TRANSACTIONS MADE ON YOUR ACCOUNT,IT COMES IN DIFFERENT FORMATS AND UPLOAD

IT INTO THE SYSTEM.

MAIN PURPOSE OF UPLOADING THE BANK STATEMENT INTO SAP IS TO MAKE YOUR BANK MAIN
ACCOUNT AND PHYSICAL BANK STATEMENT BALANCE IN SYNC.

TO DO AUTOMATIC RECONCILIATION OF TRANSACTIONS.

THE FORMAT USED BY THE BANKS MAY VARY FROM BANK TO BANK,MAIN FORMATS USING IN
BANKING INDUSTRY ARE

1.MT940

2.MULTICASH

3.BAI

4.BAI2

ELECTRONIC BANK STATEMENT PROCESS:

1.WE WILL RECEIVE ELECTRONIC BANK STATEMENT FROM MAIN BANK THROUGH THE SPECIFIC
FORMAT
 2.WE WILL UPLOAD THIS EBS FORMAT INTO THE SAP SYSTEM USING TCODE- FF_5

3.TO VIEW BANK STATEMENT IN SAP USING TCODE- FF67

THE PRE-REQUISITE TO UPLOAD THE BANK STATEMENT IN FF_5 IS

1.COMPANY CODE

2.BANK ID

3.BANK ACCOUNT ID

4.STATEMENT NUMBER

EXTERENAL TRANSACTION TYPES:

EXTERNAL TRANSACTION CODES ARE ISSUED BY THE BANKS IN THE ELECTRONIC BANK
STATEMENT,THE SAP SYSTEM REQUIRES THIS CODE IN ORDER TO IDENTIFY

THE BUSINESS TRANSACTION.

EXAMPLES ARE

1.020- TRANSFER ORDER

2.051- TRANSFER CREDIT MEMO

3.052- RECURRING ENTRY CREDIT MEMO

4.072- BILL OF EXCHANGE PRESENTATION

EBS CONFIGURATION STEPS USING TODE- OT83 :

1.CREATION OF ACCOUNT SYMBOLS

2.ASSIGN ACCOUNTS TO ACCOUNT SYMBOLS

CHEQUE DEPOSIT CLEARING ACCOUNT

 CHEQUE ISSUE CLEARING ACCOUNT

CHEQUE DISHONORED ACCOUNT

BANK CHARGES AND EXPENSES ACCOUNT

3.CREATE KEYS FOR POSTING RULES

4.DEFINE POSTING RULES

5.CREATE TRANSACTION TYPE

6.ASSIGN EXTERNAL TRANSACTION TYPES TO POSTING RULES

7.ASSIGN BANK ACCOUNTS TO TRANSACTION TYPES

EBS POSTING ACCOUNTING ENTRY FOR VENDOR:

BANK OUTGOING CLEARING A/C............DR

TO MAIN BANK A/C......................CR

EBS POSTING ACCOUNTING ENTRY FOR CUSTOMER:

MAIN BANK A/C.........................DR

TO BANK INCOMING CLEARING A/C.........CR

57.WHAT IS MT940 FORMAT?

1.MT940 FORMAT IS A FORMAT USED BY THE SWIFT NETWORK TO SEND AND RECEIVE END OF
DAY BANK ACCOUNT STATEMENTS.

2.MT940 STANDS FOR MESSAGE TYPE 940 IT IS THE SWIFT STANDARD (BANKING
COMMUNICATION STANDARD) FOR THE ELECTRONIC TRANSMISSION OF ACCOUNT STATEMENT
DATA.

3.SAP HAS THE FEATURES OF ELECTRONIC BANK RECONCILIATION STATEMENT PROCESS WHERE
YOU CAN DIRECTLY UPLOAD THE BANK STATEMENT IN A FORMAT CALLED MT940.
 4.IN THIS PROCESS SAP WILL UPLOAD STATEMENT AUTOMATICALLY AND AT THE SAME TIME WILL
DO SUBLEDGER POSTING AND CLEARING

5.MOST OF THE INDIAN COMPANIES WILL USE MT940 FORMAT.

MEANING OF THE ROWS:

HEADER DETAILS:

:20:- STATEMENT DATE

:25:- ACCOUNT IDENTIFICATION BANK KEY

:28C:- BANK STATEMENT NUMBER

:60F:- OPENING BALANCE

TRANSACTION DETAILS:

:61:- TRANSACTION LINE

:86:- TRANSACTION DETAILS

FOOTER DETAILS:

:62F:- CLOSING BALANCE

:64:- AVAILABLE BALANCE

*PROJECT RELATED ASPECTS:

1.CUTOVER ACTIVITIES

2.LSMW- LEGACY SYSTEM MIGRATION WORKBENCH

 3.BDC- BATCH DATA COMMUNICATION

4.ASAP METHODOLOGY

58.WHAT ARE CUTOVER ACTIVITIES?

1.CUTOVER ACTIVITY THE NAME ITSELF TELLS YOU THAT CUT THE BUSINESS DATA.

2.THE DATA WILL BE MIGRATED FROM THE OLD SYSTEM TO SAP SYSTEM.

3.FOR EXAMPLE LEGACY TRANSACTIONS ARE STOPPED FROM TODAY ONWARDS MEANS TODAY
IS THE OUT DATE AND WILL TAKE ALL BALANCES AS ON TODAYS DATE

AND UPLOAD INTO SAP SYSTEM BY USING LSMW OR BDC.

4.IT IS PART OF FINAL PREPARATION AT 4TH PHASE IN THE ASAP METHODOLOGY.

5.THAT INCLUDES BALANCES,SIGN OFF MEETING FROM END USER,USER ACCEPTANCE TEST ETC.

6.SOME OF THE CUTOVER ACTIVITIES INCLUDES TRANSFER OF MASTER DATA AND

TRANSACTIONAL DATA LIKE

A.GL MASTER DATA AND GL BALANCES

B.VENDOR MASTER DATA AND VENDOR BALANCES,BEFORE UPLOADING VENDOR BALANCE

YOU HAVE TO TAKE CARE OF WHT INFORMATION.

C.CUSTOMER MASTER DATA AND CUSTOMER BALANCES

D.ASSET MASTER DATA

E.COST ELEMENT MASTER DATA

F.COST CENTER MASTER DATA

G.PROFIT CENTER MASTER DATA

H.OPEN BALANCE ASSETS

I.INITIAL STOCK UPLOAD

LSMW AND BDC ARE TWO MIGRATION TOOLS USED IN CUTOVER ACTIVITIES.
59.WHAT IS LSMW- LEGACY SYSTEM MIGRATION WORKBNCH?

IT IS USED TO MIGRATE THE DATA BETWEEN NON-SAP TO SAP SYSTEM ,LSMW IS BASICALLY
DESINGED FOR FUNCTIONAL CONSULTANT WHO DONT DO MUCH CODING.

LSMW IS PROVIDED BY THE SAP,AFTER EXECUTING THE LSMW TCODE,WE HAVE TO GIVE THE
PROJECT,SUB PROJECT,AND OBJECT THEN EXECUTE.HERE WE HAVE TO

DO THE 14 STEPS TO UPLOAD THE DATA,THEY ARE.

1.MAINTAIN OBJECT ATTRIBUTES

2.MAINTAIN SOURCE FIELDS

3.MAINTAIN SOURCE STRUCTURE

4.MAINTAIN STRUCTURE RELATIONSHIP

5.MAINTAIN FIELD MAPPING AND COVERSION RULES

6.MAINTAIN FIXED VALUES,TRANSALATIONS AND USER DEFINED ROUTINE

7.SPECIFY FILES

8.ASSIGN FILES

9.READ DATA

10.DISPLAY READ DATA

11.COVERT DATA

12.DISPLAY CONVERTED DATA

13.CREATE BATCH INPUT

14.RUN THE BATCH INPUT SESSION

60.WHAT IS BDC- BATCH DATA COMMUNICATION?

 1.BDC IS BASICALLY A PROGRAM WHICH IS PROGRAMED BY ABAPER

2.THERE ARE TWO WAYS OF IMPLEMENTING BDC ,THE CALL TRANSACTION METHOD AND THE
SESSION METHOD.

3.IT IS LIKE RUNNING THE TRANSACTION MANUALLY BUT ALL THE DATA IS POPULATED IN THE
SCREENS AUTOMATICALLY.

4.BDC IS DESIGNED FOR A TECHNICAL CONSULTANT.

5.BY USING BDC TOOL WITH TECHNCIAL CONSULTANT WE WILL CREATE A TEMPLET WITH ALL
THE FIELDS AND DATA AND UPLOAD IT INTO SAP.

61.WHAT IS THE DIFFERENCE BETWEEN LSMW AND BDC?

1.LSMW IS GENERALLY STANDARD SAP APPLICATION,WHERE BDC IS A CUSTOMIZED

APPLICATION.

2.LSMW IS A NON-SAP TO SAP COMMUNICATION TOOL,WHILE BDC IS AN SAP TO SAP

COMMUNICATION UTILITY.

3.LSMW IS A MORE USER FRIENDLY TOOL THROUGH WHICH ONE CAN DO THE SAME WORK AS
BDC BY FOLLOWING 14 STEPS.

4.IN LSMW MAPPING IS TAKEN CARE WITH THE HELP OF SAP,WHEREAS IN BDC ONE HAS TO
PROVIDE EXPLICIT MAPPING DIRECTIONS.

5.THROUGH LSMW WE CAN UPLOAD BELOW 5000 RECORDS,IN BDC WE CAN UPLOAD MORE
THAN 5000 RECORDS.

6.CODING IS NOT FLEXIBLE IN LSMW,WHEREAS IN BDC CODING IS VERY FLEXIBLE AND

APPLICATIONS CAN BE EASILY CUSTOMIZED.

WHEN WE UPLOAD THE STOCK FROM NON-SAP SYSTEM TO THE SAP SYSTEM USING LSMW AND
BDC:

THE ENTRIES ARE

 FINISHED GOODS A/C................DR

TO DATA TAKE OVER A/C.............CR

SEMI FINISHED GOODS A/C...........DR

TO DATA TAKE OVER A/C.............CR

RAW MATERIAL STOCK A/C............DR

TO DATA TAKE OVER A/C.............CR

PACKING MATERIALS STOCK A/C.......DR

TO DATA TAKE OVER A/C.............CR

STORES&SPARES A/C.................DR

TO DATA TAKE OVER A/C.............CR

ACCOUNT RECEIVABLE OPEN ITEM UPLOAD ENTRY

CUSTOMER A/C......................DR

TO DATA TAKE OVER A/C.............CR

ACCOUNT PAYABLE OPEN ITEM UPLOAD ENTRY

DATA TAKE OVER A/C................DR

TO VENDOR A/C.....................CR

FIXED ASSET UPLOAD ENTRY

 PLANT&MACHINERY A/C...............DR

TO ACCUMULATED DEPRECIATION A/C...CR

TO DATA TAKE OVER A/C.............CR

62.WHAT ARE MONTH END ACTIVITIES?

1.ALL ACTIVE COMPANY CODES OPEN AND CLOSING POSTING PERIODS

2.POSTING RECURRING ENTRIES

3.FOREIGN CURRENCY REVALUATION

4.UPDATING THE EXCHANGE RATES

5.CLEARING THE VENDOR AND CUSTOMER OPEN ITEMS

6.ASSET DEPRECIATION

7.RUN THE BATCH INPUT SESSIONS

8.BALANCE INTEREST CALCULATIONS

63.WHAT ARE YEAR END ACTIVITIES?

1.CARRY FORWARD THE ALL BALANCES OF GL BALANCE,AR BALANCE,AP BALANCE FROM

PRESENT FISCAL YEAR TO NEXT FISCAL YEAR.

2.CREATING 0 VERSIONS

64.WHAT IS TR PROCESS?

TR STANDS FOR TRANSPORT REQUEST.

 1.WE CAN SEE THE TRANSPORT REQUEST IN SE09 OR SE10

2.HERE WE CAN FIND BOTH CUSTOMIZED REQUESTS AND WORKBENCH REQUESTS

3.FIRST WE WILL TRANSFER THE SUB TR THEN WE WILL TRANSFER THE MAIN TR

4.BY SELECTING THE TRANSPORT ICON IN THE TOP OF THE SE09 SCREEN

5.THEN WE WILL TAKE THE SCREEN SHOTS OF THE TR'S THAT WHAT WE WRE GOING TO
TRANSFER AND SEND A MAIL TO THE BASIS TEAM WITH THE SCCREEN SHOTS

6.THE BASIS TEAM WILL TRANSFER THE TR'S FROM DEVELOPMENT TO QUALITY TO PRODUCTION
SERVER

*BY CLICKING ON DISPLAY OPTION,WE CAN FIND THE TR'S BELOW.

*HERE WE WILL SELECT THE TR'S AND CLICK ON RELEASE DIRECTLY OPTION.

65.CAN YOU JUST EXPLAIN ABOUT THE ENHANCEMENTS OR DEVELOPMENTS?

CLENT REQUIREMENT:

DISPLAY VENDOR NAME WITH PAN NUMBER IN TDS REPORT WHICH IS NOT THERE IN
STANDARD REPORT.

WITH REFERENCE TO THE STANDARD REPORT USING TCODE- J1INEMIS

1.I HAVE TAKEN THE VENDOR NAME FROM LFA1 TABLE

2.I HAVE GATHERED THE INFORMATION OF VENDOR NUMBER FROM BSEG TABLE

3.GETTING THE REFERENCE FROM BKPF TABLE

4.GATHERED THE POSTING DATE,DOCUMENT DATE AND DOCUMENT NUMBER FROM BSEG
TABLE
 5.GATHERED THE WITHHOLDING TAX CODE,WITHHOLDING TAX BASE AMOUNT,WITHHOLDING
TAX RATES FROM WITH_ITEM

6.PAN FROM J_1MOVEND

FINNALY I HAVE PREPARED THE FUNCTION SPECIFICATION DOCUMENT AND TECHNICAL

CONCULTANT PREPARED THE TECHNICAL SPECIFICATION DOCUMENT AND DONE

WITH THIS DOVELOPMENT.

66.CAN YOU JUST EXPLAIN ME ABOUT CRITICAL ISSUE THAT YOU HAVE FACED RECENTLY?

ISSUE:

1.IF THE BUSINESS IS PAYING 10000 OR LESS,THE CHECK WILL BE ISSUED TO THE VENDOR.

2.IF THE BUSINESS IS PAYING MORE THAN 10000,THE BUSINESS WILL PAY THROUGH THE WIRE
TRANSFER.

THE SOLUTION IS:

1.WHEN YOU GO TO THE CONFIGURATION STEP THAT IS PAYMENT METHOD IN COUNTRY USING
TCODE FBZP, WE HAVE OPTIONS LIKE PAYMENT METHOD,COUNTRY,

AND CURRENCY ALLOWED AND PERMITTED DESTINATION COUNTRIES.

2.I HAVE GIVEN ONE PAYMENT METHOD FOR CHECKS

I HAVE GIVEN ONE PAYMENT METHOD FOR WIRE TRANSFER

3.AFTER THE CREATION OF PAYMENT METHODS

4.IN THE CONFIGURATION STEP THAT IS PAYMENT METHOD IN COMPANY CODE,

FOR CHEQUES I HAVE GIVEN MINIMUM AMOUNT IS 0

MAXIMUM AMOUNT IS 10000

FOR WIRE TRANSFERS I HAVE GIVEN MINIMUM AMOUNT IS 10000

 MAXIMUM AMOUNT IS TO ANY LARGE AMOUNT

5.THEN I HAVE ASSIGNED THESE PAYMENT METHODS TO THE VENDOR MASTER DATA AND
CUSTOMER MASTER DATA

6.AFTER THE EXECUTION OF PAYMENT RUN IN THE TCODE F110,IT WAS SUCCESSFUL.

67.SOME OF THE IMPORTANT TABLES

YOU CAN VIEW THE TABLES USING TCODE SE16N

FOR VENDOR:

VENDOR MASTER DATA(GS)--- LFA1

VENDOR MASTER DATA(C,CO)--LFB1

VENDOR OPRN ITEM----------BSIK

VENDOR CLEARED ITEM-------BSAK

FOR CUSTOMER:

CUSTOMER MASTER DATA(GS)---KNA1

CUSTOMER MASTER DATA(C,CO)-KNB1

CUSTOMER OPEN ITEM---------BSID

CUSTOMER CLEARED ITEM------BSAD

DOCUMENT HEADER DATA-----------BKPF

DOCUMENT LINE ITEM DATA--------BSEG

DOCUMENT OPEN ITEM-------------BSIS

DOCUMENT CLEARED ITEM----------BSAS

68.S4 HANA CHANGES COMPARING TO ECC

1. SAP HANA MEANS HIGH PERFORMANCE ANALYTIC APPLIANCE,HANA IS A SAP OWN DATA
BASE.

2. SAP ECC 6.O CAN RUN IN ANY DATA BASE LIKE ORACLE,IBM DB2, IT IS A ROW ORIENTED DATA
BASE.

3. SAP HANA SPECIALITY IS, IT IS AN IN MEMORY COLUMN ORIENTED DATA BASE.

4. FEATURES ARE:

IT WILL GIVE YOU FASTER PERFORMANCE

CPU WILL FETCH DATA DIRECTLY FROM RAM

SAP HANA SUPPORTS COLUMN ORIENTED TABLES

5. S4 HANA STANDS FOR SAP BUSINESS SUITE 4 SAP HANA

6. BACKEND APPLICATION LAYER RUNS ON ONLY HANA DATA BASE

7. FRONT END WILL BE DEVELOPED WITH SAPUI5 (FIORI)

8. SAP S4 HANA IS THE FOURTH VERSION OF SAP BUSINESS SUITE

9. THE THREE TIER ARCHITECTURE OF SAP SYSTEM

A.HANA IS THE DATA BASE LAYER

B.S4 HANA IS THE APPLICATION LAYER

C.FIORI IS THE PRESENTATION LAYER

10. IN SAP ECC WE USE ASAP METHODOLOGY FOR IMPLEMENTATION

11. IN S4 HANA WE USE TWO FIELDS

A.GREEN FIELD METHODOLOGY: IT IS USED FOR THE FRESH IMPLEMENTATION

B.BROWN FIE

THERE ARE THREE CURRENCIES

1 IS LOCAL CURRENCY

2 ARE PARALLEL CURRENCIES

13. IN S4 HANA THERE ARE 10 CURRENCIES

 2 OF THEM ARE STANDARD CURRENCIES

8 CAN BE USER DEFINED

14. IN SAP ECC 6.O INDEX TABLES AND AGGREGATE TABLES ARE THERE AND IN S4 HANA THESE
ARE ELIMINATED.

14. AFTER INTRODUCTION OF ACDOCA UNIVERSAL JOURNAL IN S4 HANA, ALL GENERAL

LEDGER,PROFITABILITY,

MANAGEMENT ACCOUNTING,ASSET ACCOUNTING,MATERIAL LEDGER WILL BE STORED IN

ACDOCA

15. IN FSOO IN ECC WE HAVE ACCOUNT GROUP LIKE P&L AND BALANCE SHEET,BUT IN S4 HANA
WE HAVE NO SUCH OPTION INSTEAD OF THAT WE HAVE

A.NON OPERATING EXPENSES AND INCOME

B.PRIMARY COSTS OR REVENUES

C.SECONDARY COST

D.BALANCE SHEET ACCOUNTS TO MAKE AUTOMATIC COST ELEMENTS

E.WE USE FAGL_FC_VAL CODE FOR FOREIGN CURRENCY VALUATION IN ECC,BUT IN S4 HANA
WE USE FAGL_FCV

16. IN ECC WE DONT HAVE OPTIONS LIKE CLEARING SPECIFIC LEDGER GROUP, VALUATION
GROUP, BUT IN S4 HANA CLEARING SPECIFIC LEDGER GROUP IS

INTRODUCED IN CONTROL DATA VALUATION GROUP

17. EARLIER IN ECC IN FSOO WE HAVE EDIT FINANCIAL STATEMENT VERSION,EDIT SET,EDIT COST
ELEMENT,IN S4 HANA IT WAS REMOVED IN THAT THEY HAVE

INTRODUCED TIME DEPENDENT ATTRIBUTES

18. WHEN YOU GO TO TRANSACTION CODE AFAB,YOU CAN SEE THE OPTIONS LIKE POSTING
PARAMETERS,REASON FOR POSTING RUN,FURTHER OPTION,

PARAMETER FOR TES T RUN,IN THE REASON FOR POSTING RUN WE HAVE OPTIONS IN ECC
(PLANNED POSTING RUN,UNPLANNED,REPAT,RESTART

IN S4 HANA THESE WERE ELEMINATED AND ONE OPTION IS INTRODUCED THAT IS ACCOUNTING
PRINCIPLE,BASED ON THE ACCOUNTING PRINCIPLE

WE CAN CALCULATE DEPRECIATION,DELTA DEPRECIATION IS COMPLETELY ELIMINATED IN S4

HANA

19. IN PARALLEL PROCESSING S4 HANA,NUMBER OF PARALLEL PROCESS HAVE INTRODUCED.

69.WHAT IS CONDITION TYPE IN SAP?

CONDITION TYPE IS A TECHNIQUE THAT CONTROLS THE PRICE COMPONENTS OR PRICE

ELEMENTS IN SAP.IN REAL TIME BUSINESS SCENARIO THE

PRICING CAN BE DIVIDED INTO FOUR ELEMENTS THOSE ARE,

1.BASIC PRICE

2.DISCOUNT/SURCHARGE

3.TAX

4.FREIGHT

70.TICKETING TOOL?

TOOL- SERVICE NOW

1.HERE IN THE SERVICE NOW,WE HAVE TO CHECK THE INCIDENT WHETHER THEY ARE RISED OR
NOT.

2.TICKETING TOOL IS USED TO HANDLE THE INCIDENTS AND SERVICES.

3.HERE IN THE INCIDENT COURT WE WILL HAVE THREE OPTIONS THOSE ARE

A.WORK IN PROGRESS

B.RESOLVED

C.ASSIGNED

4.WHEN YOU CLICK ON THE ASSIGNED,HERE THE SYSTEM WILL SHOW YOU

A.REQUESTED BY (CLENT OR END USER)

B.IMPACT (HIGH,LOW)

C.URGENCY (HIGH,LOW)

D.PRIORITY (HIGH,LOW)

E.INCIDENT STATUS (WORK IN PROGRSS,ASSIGNED,COMPLETED)

 F.ASSIGNMENT GROUP (SAP FICO)

G.ASSIGNED TO (FICO CONSULTANT PERSON)

TICKETING TOOL PROCEDURE:

1.FIRST END USER WILL SEND A MAIL TO THE FICO CONSULTANT AND END USER SHOULD
RISE THE TICKET FOR PARTICULAR INCIDENT.

2.WE NEED TO ASSIGN THE TICKETS ON OUR NAME,WHICH HAS RISED BY END USER.

3.THEN WE WOULD CHECK THE TICKET DESCRIPTION.

4.AFTER CHECKING THE DESCRIPTION,WE WILL TRY TO CONTACT OUR END USER FOR
MORE INFORMATION TO SOLVE THE TICKET.

5.BASED UPON THAT WE WILL GIVE PROPER SOLUTION TO THAT TICKET.

6.TICKET PRIORITIES ARE VERY IMPORTANT LIKE P1,P2,P3,P4.

7.WITHIN THE PERIOD OF TIME WE NEED TO SOLVE HIGH PRIORITY TICKETS AND LOW
PRIORITY TICKETS.

71.INTERVIEW PREPARATION AND IMPLEMENTATION PROJECT DETAILS,SUPPORT PROJECT DETAILS?

1.HI SIR MY NAME IS VINAY,I HAVE OVER ALL 4.1 YEARS OF EXPERIENCE AS A SAP FICO
CONSULTANT.

2.PRESENT I AM WORKING IN THE ZENSTAR COMPUTER SOLUTIONS PVT LIMITED SINCE

2017,WHICH IS LOACATED AT HYDERABAD.

3.IN THAT I HAVE WORKED FOR TWO END TO END IMPLEMENTATIONS AND WORKED ON ONE
SUPPORT PROJECT.

A.FIRST CLIENT IS PRAGATHI MILKS AND PRODUCTS (1ST IMPLEMENTATION),IT WAS

STARTED FROM JUNE 2017,AND ACTUAL

GO LIVE WAS STARTED FROM DECEMBER 2018.

B.AFTER THAT WE HAVE GIVEN SUPPORT TO THE SAME CLIENT PRAGATHI MILKS AND
PRODUCTS,IT WAS STARTED FROM JAN 2019,
 AND IT WAS ENDED ON MAY 2020.

C.SECOND CLIENT IS OM OIL FLOUR MILLS PVT LIMITED (2ND IMPLEMENTATION),IT WAS
STARTED FROM JUNE 2020 AND IT WILL

BE ENDED ON OCTOBER 2021.

4.PRESENT PROJECT IS THAT WE ARE WORKING IS OM OIL FLOUR MILLS PVT LIMITED WHICH IS
LOCATED IN ODISHA,THE BRAND IS FAMOUS AS RUCHI

AND RUCHI IS THE LEADING MANUFACTURER AND EXPORTER OF QUALITY FOOD PRODUCTS
IN INDIA.

THIS IS ABOUT MY CLIENTS AND WORK EXPERIENCE APART FROM THIS,COMING TO MY

EDUCATIONAL BACKGROUND,I HAVE COMPLETED BACHELOR OF BUSINESS

ADMINISTRATION AT OSMANIA UNIVERSITY IN 2017.

IMPLEMENTATION PROJECT DETAILS:

WHEN IT COMES TO THE IMPLENTATION PROJECT,

1.WITH THE HELP OF ASAP METHODOLOGY IN THE BLUE PRINT PHASE,I HAVE PREPARED AS-IS
DOCUMENT AND SEND IT TO THE CLIENT,BASED ON THAT

I HAVE PRAPARED THE TO-BE DOCUMENT,TO-BE DOCUMENT MEANS HOW WE ARE GOING TO
MAP THOSE INFORMATION INTO SAP.

2.AT REALIZATION PHASE I HAVE DONE CONFIGURATION FOR THE ORGANIZATIONAL

STRUCTURE,GLOBAL SETTINGS,GL CONFIGURATIONS,AP,AR,APP,WHT,

GST,ASSET ACCOUNTING AND SOME INTEGRATION WITH OTHER MODULES LIKE MM,SD AND
CO.

3.THE INITIAL CONFIGURATIONS,I HAVE DONE IN THE BASE LINE CONFIGURATONS BASED ON
BLUEPRINT,IN BASE LINE CONFIGURATIONS 80% OF THE

BUSINESS TRANSACTIONS ALL MASTER DATA AND ORGANIZATION STRUCTURE I HAVE DONE.

4.IN FINAL CONFIGURATIONS WHATEVER THE 20% CONFIGURATIONS THAT ARE NOT DONE IN
THE BASE LINE,WE HAVE CONFIGURED HERE THAT IS

INTEGRATION WITH ALL MODULES.

 5.IN THE FINAL PREPARATION PHASE I HAVE DONE TESTING,CUTOVER ACTIVITIES,END-USER
TRAINING AND ALL OTHER TASKS THAT ARE REQUIRED

TO GO-LIVE.

6.WHEN IT COMES TO THE GO-LIVE AND SUPPORT PHASE,WHATEVER THE CONFIGURATIONS

AND CUSTOMIZATIONS WE HAVE DONE,THOSE ARE MOVED

TO THE PRODUCTION SERVER THAT IS GO-LIVE.

7.HERE END USER IS READY TO MAKE THE POSTINGS FOR THE DAILY BUSINESS TRANSACTIONS.

SUPPORT PROJECT DETAILS:

WHEN IT COMES TO THE SUPPORT PROJECT MY CLIENT WAS PRAGATHI MILKS AND PRODUCTS
PVT LIMITED WHICH IS LOCATED AT ODISHA.

1.IT IS MAJORLY FOCUS ON THE MILK PRODUCTS LIKE ICE CREAMS,FROZEN

PRODUCTS,PANEER,GHEE ETC.

2.COMING TO MY ROLES AND RESPONSIBILITIES,EVERY DAY I USED TO GET THE TICKETS FROM
END USERS RELATING TO THE AP,AR,APP,

GL,BANKING THROUGH THE TICKETING TOOL.

3.ANY ISSUES COMING FROM THE END USERS,I NEED TO RESOLVE WITHIN THE SLA (SERVICE
LEVEL AGREEMENT).

4.I WILL BE RECEIVING THE TICKETS LIKE P1,P2,P3,P4 AND THESE HAVE CERTAIN TIME LIMITS.

5.P1,P2 ARE THE HIGH PRIORITY TICKETS,WE NEED TO ASSIGN THOSE TICKETS IN OUR NAME
AND SOLVE THE TICKETS WITHIN THE TIME.

6.P3,P4 ARE THE LOW PRIORITY TICKETS,WE NEED TO ASSIGN THOSE TICKETS IN OUR NAME
AND SOLVE THE TICKETS WITHIN THE TIME.

7.I HAVE SOLVED THE ISSUES USING SERVICE NOW TICKETING TOOL.

8.WE NEED ASSIGN THE TICKETS WITH OUR NAME AND SETUP A CALL WITH THEM AND
GETTING THE DETAILS OF ERROR.

9.SO I AM RESPONSIBLE FOR THE INCIDENTS CLEARING AND PREPARE DOCUMENTS FOR END
USERS.

10.WHATEVER NEW TICKETS WE ARE GETTING FROM CLIENT ABOUT ANY

CONFIGURATIONS,THOSE WILL BE DONE IN SAP.
72.ZENSTAR COMPUTER SOLUTIONS COMPANY IMPORTANT POINTS:

ADDRESS:

4TH AND 5TH FLOOR,BIZNESS SQUARE BUILDING,OPPOSITE HITEX JUNCTION,HITECH

CITY,MADHAPUR,HYDERABAD.

PINCODE-500084

PHONE NUMBER- +91-040-67263300

COMPANY WEBSITE- http://www.zenstarcs.in/

COMPANY OFFICIAL MAIL ID- [email protected]

MY OFFICIAL MAIL ID- [email protected]

NUMBER OF EMPLOYESS- 60 MEMBERS

JOINING- 25 APRIL 2017 AS A ASSOCIATE CONSULTANT

HIKE 1- ASSOCIATE CONSULTANT-2018

HIKE 2- SAP CONSULTANT-2019

HIKE 3- SAP CONSULTANT-2020

TEAM SIZE- 6 MEMBERS IN THAT 1 PROJECT MANAGER,1 LEAD CONSULTANT,4 SAP FICO
CONSULTANT.

MEETINGS- EVERY MONDAY AND THURSDAY,BASED UPON THE SITUATION

GROSS SALARY- 59,168--------- 7.1 LAKH PER ANNUM

NET SALARY- 56,265----------- 6.7 LAKH PER ANNUM.

73.HOW TO DO PARTIAL PAYMENT THROUGH AUTOMATIC PAYMENT PROGRAM?

STEPS TO BE FOLLOWED:
 1.CREATION OF PAYMENT REQUEST FOR THE PARTIAL PAYMENT USING TCODE- F-59

2.SET PAYMENT BLOCK IN THE ORIGINAL INVOICE USING TCODE- FB02

3.PROCESS PAYMENT REQUEST WITH TRANSACTION FOR AUTOMATIC OUTGOING PAYMENTS

USING TCODE- F110

4.CHECK THE POSTINGS USING VENDOR LINE ITEM REPORTS

5.REMOVE PAYMENT BLOCK FOR THE ORIGINAL INVOICE

6.FINAL SETTLEMENT USING AUTOMATIC PAYMENT PROGRAM USING TCODE- F110

74.WHAT IS THE PROCESS TO UPLOAD GL MASTER DATA,VENDOR MASTER DATA,CUSTOMER

MASTER DATA BALANCES INTO SAP USING LSMW?

TYPES OF DATA:

1.MASTER DATA (VENDORS,CUSTOMERS,GL,LSMW USED FOR UPLOAD MASTER DATA FROM

LEGACY SYSTEM TO SAP)

2.TRANSACTION DATA (ACCOUNTING ENTRIES)

3.CONFIGURATION DATA (SPRO SCREEN ACTIVITIES)

PROCESS OF UPLOAD THE DATA:

1.GO TO THE LSMW SCREEN USING TCODE-LSMW

2.WHEN YOU CLICK ON RIGHT TICK OPTION THE SYSTEM WILL SHOW YOU LIKE THIS

PROJECT

SUB PROJECT

OBJECT

3.THEN CLICK ON CREATE AND PROVIDE ALL THE DETAILS LIKE VENDOR MASTER
UPLOAD,CUSTOMER MASTER UPLOAD,GL MASTER UPLOAD.

4.THEN CLICK ON EXECUTE HERE WE HAVE OPTIONS ARE THERE LIKE MAINTAIN OBJECT
ATTRIBUTES,MAINTAIN SOURCE FIELDS,MAINTAIN SOURCE STRUCTURE,
 MAINTAIN STRUCTURAL RELATIONSHIP,MAINTAIN FIELD MAPPINGS AND CONVERSION
RULES,MAINTAIN FIXED VALUES,SPECIFY FILES,ASSIGN FILES,

READ DATA,DISPLAY DATA,COVERT DATA,DISPLAY READ DATA,DISPLAY CONVERT

DATA,CREATE BATCH INPUT,RUN BATCH INPUT SESSION.

5.WHEN YOU CLICK ON MAINTAIN OBJECT ATTRIBUTES WE HAVE IMPORTANT OPTIONS ARE
THERE THOSE ARE,

OBJECT TYPE AND IMPORT METHOD IN THAT WE HAVE

A.STANDARD BATCH OR DIRECT INPUT

B.BATCH INPUT OR RECORDING

C.BUSINESS OBJECT METHOD(BAPI)

D.IDOC (INTERMEDIATE DOCUMENT)

6.THEN CLICK ON THE DISPLAY/CHANGE OPTION AND HERE OPTIONS ARE ACTIVATED THEN
YOU NEED TO SELECT THE BELOW OPTIONS AND CLICK ON

RECORDING OVERVIEW.

7.THEN CLICK ON CREATE OPTION AND GIVE FOUR DIGIT NAME AND EXECUTE.

8.THEN GIVE ALL THE DETAILS OF VENDOR AND CUSTOMER AND GL AND ASSET ETC AFTER
THAT SAVE IT

9.THEN JUST CLICK ON THE DEFAULT ALL THEN YOU CAN SEE WHAT YOU ENTERED IN
CUSTOMER,VENDOR,ASSET,GL.

10.THEN SELECT TECHNICAL FIELDS AND FUNCTIONAL FIELDS AND COPY ALL THOSE DEATILS
AND PASTE IT ON THE EXCEL SHEET.

11.YOU NEED TO MAKE ONE FORMAT WITH ALL THESE DATA TO UPLOAD INTO SAP.

12.IN THE MAINTAIN OBJECT ATTRIBUTES WE HAVE BATCH INPUT RECORDING OPTION IS
THERE IN THAT YOU NEED TO GIVE FOUR DIGIT NAME

IN THE RECORDING OPTION FIELD AND THEN SAVE IT.

13.THEN GO TO MAINTAIN SOURCE STRUCTURE AND CLICK ON CHANGES THEN YOU NEED TO
CLICK ON CREATE OPTION GIVE ALL THE DETAILS LIKE

SOURCE STRUCTURE AND DESCRIPTION.

14.BEFORE GOING TO MAINTAIN SOURCE FIELDS JUST GO TO OBJECT OVERVIEW AND TAKE
OUT ALL THE DATA LIKE CHARACTER,TECHNICAL NAME,

FUNCTIONAL NAME,LENGTH,ETC.THEN GO BACK AND CLICK ON EXECUTE BUTTON AFTER

THAT CLICK ON CHANGES OPTION AND CLICK ON TABLE MAINTANENCE
 AND GIVE THE DETAILS LIKE FIELD NAME,CHARACTER,LENGTH ,ETC.THEN SAVE IT.

15.THEN MAINTAIN STRUCTURAL RELATIONSHIP AND EXECUTE,THEN CLICK ON DISPLAY

CHANGES,AFTER THAT DELETE RELATIONSHIP AND CLICK ON RELATIONSHIP

THEN SAVE IT.

16.THEN MAINTAIN FIELD MAPPING AND COVERSION RULES CLICK ON EXECUTE,CLICK ON

DISPLAY CHANGES,NOW GO TO EXTRAS AND CLICK ON AUTO FIELD MAPPING,

JUST CLICK ON CONTINUE AND GIVE ACCEPT PROPOSAL AND SAVE IT.

17.DONT ENTER ANY INFORMATION IN THE MAINTAIN FIXED VALUES,TRANSALATIONS,USER

DEFINED ROUTINES.

18.THEN SELECT SPECIFY FILES AND SELECT LEGACY DATA ON THE PC,CLICK ON DISPLAY
CHANGES THEN CLICK ON ADD ENTRY HERE YOU NEED TO UPLOAD THE

FILE THAT YOU SAVED,SLECT TABULAR AND SAVE.

19.THEN ASSIGN FILES HERE YOU NEED TO SELECT THE DISPLAY CHANGES AND DELETE
ASSIGNMENT AND CLICK ON NEW ASSIGNMENT AND SAVE IT.

20.DOUBLE CLICK ON READ DATA YOU CAN SEE THE DATA WE ARE UPLOADING.

21.WHEN YOU CLICK ON THE DISPLAY READ DATA AND EXECUITE IT WILL SHOW YOU THE
FIELD NAME,FUNCTIONAL NAME,ETC AND SAVE IT.

22.GO TO THE COVERT DATA YOU CAN SEE THE DATA.

23.THEN GO TO THE DISPLAY CONVERT DATA ,IF IT IS SHOWING GREEN COLOUR, IT IS READY
TO UPLOAD THE DATA.

24.THEN GO THE CREATE BATCH INPUT SESSION AND SAVE IT.

25.THEN GO THE RUN BATCH INPUT SESSION SELECT THE VENDOR AND CUSTOMER AND
GL,ASSET,ETC AND CLICK ON PROCESS OPTION HERE WHEN WE HAVE

LARGE DATA CLICK ON BACKGROUND AND WHEN WE HAVE LESS DATA CLICK ON PROCESS
FOREGROUND,THEN CLICK ON PROCESS.

26.WHEN YOU GO TO THE TABLE USING TCODE SE16N YOU CAN SEE THE ALL THE DATA THAT
WERE UPLOADED FROM LEGACY SYSTEM.