Successfully reported this slideshow.
We use your LinkedIn profile and activity data to personalize ads and to show you more relevant ads. You can change your ad preferences anytime.

SAP FI Closing | http://sapdocs.info

16,224 views

Published on

DOWNLOAD THIS PRESENTATION AND OTHER 29 SLIDES FROM http://hotfile.com/dl/21484810/fc876b9/SAP-FI-Training-Presentations.rar.html

Want to get more SAP Downloads ?
Visit http://sapdocs.info

  • DOWNLOAD THIS PRESENTATION AND OTHER ALL SLIDES FROM http://hotfile.com/dl/21484810/fc876b9/SAP-FI-Training-Presentations.rar.html
       Reply 
    Are you sure you want to  Yes  No
    Your message goes here

SAP FI Closing | http://sapdocs.info

  1. 1. Chapter 27 Closing <ul><li>Closing is the periodic process of reviewing system reports and executing system programs in preparing the legal financial statements of the organization. </li></ul><ul><li>Chapter Objectives </li></ul><ul><ul><li>Provide an understanding of the closing process as it is supported by the system. </li></ul></ul><ul><ul><li>Provide an understanding of the system and business requirements involved in period-end and year-end closing. </li></ul></ul><ul><ul><li>Explain the purpose of executing the various reports and programs used to support the closing process. </li></ul></ul>
  2. 2. System Requirements for Closing <ul><li>Close Prior Posting Period </li></ul><ul><li>Open New Posting Period </li></ul>
  3. 3. Period Closing Where do I start???? <ul><li>Pre-closing activities </li></ul><ul><li>Financial closing </li></ul><ul><li>Managerial closing </li></ul>
  4. 4. Pre-Closing Activities <ul><li>Post journal entries to record recurring entries and accruals. </li></ul><ul><li>Make sure all entries have been included from the entire system (depreciation, material valuations, salaries, invoicing complete, etc.) </li></ul><ul><li>Make sure all external programs affecting the trial balance have been interfaced. </li></ul>
  5. 5. Financial Closing <ul><li>Foreign Currency Valuation </li></ul><ul><li>Execute the Financial Accounting Comparative Analysis. </li></ul><ul><li>Create financial statements for review and analysis. </li></ul><ul><li>Post final adjustment entries </li></ul>
  6. 6. Foreign Currency Valuation <ul><li>Types </li></ul><ul><ul><li>Receivables & Payables (when clearing) </li></ul></ul><ul><ul><li>Balance Sheet Accounts Maintained in Foreign Currency (RFSBEWOO) </li></ul></ul><ul><ul><li>Open Item Accounts (SAPF100) </li></ul></ul>
  7. 7. Clearing a Receivable / Payable with an Exchange Rate Difference Amount in BRR - 4,800 Amount in USD - 5,000 Step 1 - Invoice Amount in BRR - 4,800 Amount in USD - 5,200 Step 2 - Payment 200 USD Exchange Rate Difference <ul><li>Automatic Posting To Gain / Loss Accounts Configured as Realized Exch. Rate Differences </li></ul>
  8. 8. Revaluing Balance Sheet Accounts Managed in Foreign Currency Posting 1 100 FC Exchange Rate .80 Month End Exchange Rate .70 200 FC = 140 LC FC Account Posting 2 100 FC Exchange Rate .75 100 FC 80 LC 100 FC 75 LC 200 FC 155 LC Loss from Exchange Rate Difference 15LC
  9. 9. <ul><li>Used when running automated valuation programs </li></ul>Valuation Method <ul><li>Combines Specifications </li></ul><ul><ul><li>Exchange Rate Type </li></ul></ul><ul><li>Document Types </li></ul>
  10. 10. Valuation of Open Items US-GAAP Discounting Valuation Process Local GAAP Management (Political) Custom Algorithm Foreign Currencies Flat-rate individual value adjustment Valuations Receivables and Payables Receivables
  11. 11. Foreign Currency Valuation of Open Items A / R A / P End of Period Different Exchange Rate Valuation POSTING <ul><li>Automatic (SAPFIOO) </li></ul><ul><li>Posted to Adjustment Account </li></ul><ul><li>Offset to Gain / Loss Account </li></ul>
  12. 12. Flat-Rate Value Adjustment 1st step: Check if account has debit balance 2nd step: Clear total of all credit memo items to the oldest receivable item (baseline date) 100 - 110 = -10 Item 100: No revaluation 3rd step: Clear difference of 2nd step to the amount of next oldest item 80 -10 = 70 -> 70 * 10 % = 7 -> revaluation amount: 63 (= 70 -7) 4th step: Next younger item: 60 * 10% = 6 -> revaluation amount: 54 (= 60 - 6) Customer account 100 (01.01.00) 80 (02.01.00) 60 (03.01.00) Baseline dates 60 50 Receivables Credit memos Adjustment for: 30 days overdue: 10% 90 days overdue: 20% Current Date: 04.01.00
  13. 13. Flat Rate Value Adjustment Base Amounts Explanation: Flat rate value adjustment (method 3) uses the result of the foreign currency valuation (method 1). Example: 1. Open item : 100 For. Curr. 170 Loc. Curr. 2. For. curr. val. result: 160 3. Flat rate val. adj. result: 160 - 10% = 144 Adjustment = 10% Method Base amount 3 1 Example 1 Example 2 Method Base amount Explanation: Any valuation method (2,3,98,99) uses local currency amount of the documents. Example: 1. Open item : 100 For. Curr. 170 Loc. Curr. 2. Flat rate val. adj. result: 170 - 10% = 153
  14. 14. Discounting 1st step: Check if account has debit balance 2nd step: Clear total of all credit memo items to the oldest receivable item 3rd step: Determine if any items are due beyond the discount date 4th step: Discount Items at 10%per year Item 2: $75.49, Item 3: $56.15 Customer account 100 (9.01.00) 80 (11.01.00) 60 (12.01.00) Due dates Receivables Interest Rate: 10% per year Discount Date: 10/01/00 Current Date: 04.01.00
  15. 15. Discounting and Flat Rate Value Adjustment - Steps Customizing Maintain parameters : Key date, reval. method, postings, doc type Valuat. Adj. key AB Adjmt. Account (B/S) G/L Acct 1 Target account (P&L) G/L Acct 2 Etc... Customer Master Documents No.:13000543 No.:19300534 Dispatch: Start time, start date, immediately Edit valuation run: Valuation transfer: Forward (line item update), (sample) posting, log display Line item update/posting No.:13000543 No.:19300534 Change valuations, display log, value list, delete Honda Ford
  16. 16. GR/IR Account Allocation GR/IR Clearing Account 2000 2000 3 4 GR/IR Account 1000 3000 2 1 Asset Account 3000 1 Vendor 1000 2 Goods Delivered but Not Invoiced 2000 2000 4 3 A Single Balance Sheet Item Target Account
  17. 17. Financial Accounting Comparative Analysis Customers Vendors G/L Accounts Totals from: Customers Vendors G/L Accounts Totals from: Customers Vendors G/L Accounts Transaction figures Indexes Documents Program SAPF190 compares totals contained in the indexes and documents (customers, vendors, G/L accounts) with the corresponding account balances. Program SAPF190
  18. 18. End of Period Reporting <ul><li>Balance Sheet / Profit and Loss Statement </li></ul><ul><li>General Ledger Account Information System </li></ul><ul><ul><li>Financial Statement Versions </li></ul></ul><ul><ul><li>Key Figure / Ratio Reports </li></ul></ul><ul><li>Special Purpose Ledger - for reports with more customized format. </li></ul>
  19. 19. Year-End Closing Account Carry Forward: Customer / Vendor Balance Carried Forward General Ledger Account Balance Carried Forward
  20. 20. Automatic Line Items Balance Carried Forward
  21. 21. Managerial Closing <ul><li>Preliminary close of controlling accounting period. </li></ul><ul><li>Reallocation and settlement of costs throughout the entire organization. </li></ul><ul><li>Review and analysis of internal reports. </li></ul><ul><li>Re-opening of the controlling accounting period to correct and adjust accounting data. </li></ul><ul><li>Run FI-CO Reconciliation ledger </li></ul><ul><li>Execute readjustment programs to ensure Business Areas and Profit Centers are in balance </li></ul>
  22. 22. Closing Chapter Summary <ul><li>Key Terms: </li></ul><ul><ul><li>Closing </li></ul></ul><ul><ul><li>Valuation </li></ul></ul><ul><ul><li>Valuation Method </li></ul></ul><ul><ul><li>Flat Rate Adjustments </li></ul></ul><ul><ul><li>Discounting </li></ul></ul><ul><ul><li>GR/IR Account </li></ul></ul><ul><ul><li>Balance Carry Forward </li></ul></ul>

×