SlideShare a Scribd company logo
SAP FI
    Accounts Payable
1



        www.indiantaxhome.com
Table of contents


    AP Overview
    Sub Processes
          Master Data
          Invoice Processing
          Payments / Disbursements
          Account Analysis / Reconciliation
          Periodic Processing
          Reporting
      2



                             www.indiantaxhome.com
SAP Modules - Overview


                          SD                       FI
                    Sales &                  Financial
                   Distribution             Accounting
                  MM                                     CO
              Materials                             Controlling
               Mgmt.
         PP                                                    AM
       Product                                              Fixed Asset
       Planning                                                Mgmt.


         QM
        Quality
                               SAP R/3                             PS
                                                              Project
        Mgmt.                                                 System
                  PM                                     OC
            Plant Maint.                                Office &
                                                        Comm.
   3                   HR                          IS
                    Human                    Industry
                   Resources                 Solutions

                           www.indiantaxhome.com
FI – Financial Accounting Modules
         FI - Financial Accounting Modules

                                           General Ledger
                                GL
         Special Ledger
                                                   Accounts Receivable
                          SL          APP
                                      A
     Legal                                                Accounts Payable
  Consolidation    LC           FI          AR

                          TM          CM
            Travel
         Management
                                AM
                                 &           Cash Management
     4
                                IM
         Asset and Investment
         Management
                           www.indiantaxhome.com
Accounts Payable Process Overview


 Financial                   Process decompositions are the starting
Accounting
                              point for process documentation.
                             They summarise what is involved in a
                              the AP process at a high level
Accounts
Payable




 Master         Invoice      Payments /         Account         Periodic    Reporting
  Data     5   Processing   Disbursements      Analysis &      Processing
                •Sundry                       Reconciliation
               •Logistics

                                 www.indiantaxhome.com
Master Data
   Maintenance
    • Creation 3 Levels
       • General Data (name, address)
       • Company Data (reconciliation acct, payment term)
       • Purchasing Data (PO currency, incoterms)
    • Change
    • Block
    • Delete
   Account Groups
   Intercompany
         6
   One-time vendors
                             www.indiantaxhome.com
Master Data: Structure
     Client            General data
      230
                        •   Address                Vendor
                        •   Control data           Master
                        •   Payment Transactions


   Company
     Code              Company Code data
    9100 A              •   Account Management
     Ltd.
                        •   Payment Transactions
                        •   Correspondence
     7

   Purchasing
  Organization:     www.indiantaxhome.com
9100 A Purch.Org.      Purchasing
                        Organization
                        •   Purchasing Data
                        •   Partner functions
Master Data: Account Groups
   Local Vendors       Groups
                     Implemented




                          GEV


                           OTV


                           AFV
    8                                       One-Time Vendor
                          0005
                    www.indiantaxhome.com
  Foreign Vendors
                          SWV
Master Data: Number Ranges
   Groups
                                  Number
 Implemented
                                  Ranges




       GEV     01        0000100000        0000299999
       0005

       OTV     02        0000300000        0000399999


               03        0000400000        0000499999
   9   AFV

               ZZ www.indiantaxhome.com
                        1000000000         1999999999
       SWV
Master Data: Blocking a Vendor


                                    Vendor master
                                     record can be
                                     blocked in the
                                     following areas:
                                     •   Posting block,
                                     •   Purchasing block
                                    In addition user may
                                     specify reason for
   10
                                     blocking
             www.indiantaxhome.com
Master Data: Mark for Deletion


                                All data in this master
                                 record is to be deleted.
                                Deletion is done by
                                 archiving program,
                                 provided that there is
                                 no dependent data on
                                 vendor account.
   11



             www.indiantaxhome.com
Master Data: Intercompany




   12



             www.indiantaxhome.com
Master Data: One-time Vendor



                            We use One-time Vendor
                             Master Record to avoid
                             large number of
                             unnecessary master data
                          Every time we enter a
                             business transaction, the
                             systems stores the
   13                        specific Master Data
                             information separately in
             www.indiantaxhome.com document
                             the
Accounts Payable Process Overview


 Financial                    Process decompositions are the starting
Accounting
                               point for process documentation.
                              They summarise what is involved in a
                               the AP process at a high level
Accounts
Payable




 Master          Invoice      Payments /         Account         Periodic    Reporting
  Data     14   Processing   Disbursements      Analysis &      Processing
                 •Sundry                       Reconciliation
                •Logistics

                                  www.indiantaxhome.com
Invoice Processing
Business Transactions included in Process:
 Sundry
   •   Invoice
   •   Credit Memo
   •   Down Payment (Special G/L)
   •   Foreign Currency
   •   Cancel/Reverse Document
   •   Inter-company (Idoc’s)


        15



                           www.indiantaxhome.com
Document Entry – Basic Data
Enter company code




      Screen Tab

       16



                           www.indiantaxhome.com
               All required data on one screen,
               A user can use “tabs” to switch between sub-screens
Posting a document




                                      OR




        17



              www.indiantaxhome.com
Document
Simulation
Parked doc. vs. Held doc.


   Park document:
    •   Assigned number (according to
        document type)
    •   Available for many users (depending
        on authorizations in the system)

   Held document:
    •   Internal document number (defined
        by the user)
         18
    •   Available only for the user who
        created it.
                            www.indiantaxhome.com
Processing of Parked Documents
                       Save the document




   The parked
    document may be:
     Posted,
        19
     Edited,
     Saved as                                  Edit your document
      completed,
                        www.indiantaxhome.com
     Deleted.
Special GL Transactions: Definition

     Special GL
      Indicator




      Vendors’
    reconciliation                                     Accounts defined
      accounts                                          for Special GL
                                                         Transactions
       20
 Special GL Transactions allow the user to post the document to an alternative
  GL account instead of “normal” Vendor reconciliation account,
 They are defined in Customizing for Vendor and Customer reconciliation
                             www.indiantaxhome.com
  accounts,
 Customer / Vendor account balances are not affected.
Posting a Down Payment

        Vendor                                                GL Down
        Account                     Bank
                                                              Payments
                                   Account
1                                                    1       10
                                          10
        10




     A Ltd pays the vendor a down-payment: $10.000,-
         21
     The down payment is booked on Vendor account with a Special GL
      indicator
     The amount of $10.000,- is shown on Vendor account, but on different GL
                               www.indiantaxhome.com
      Account, instead of Vendor reconciliation account
Display of Special GL Transactions

                                    Transaction code:
                                    FBL1N - Line item
                                         Display




 To display the transaction posted with Special GL Indicator, mark
       22
  the relevant field on the “Line items display” screen.
 “Dynamic selections” may be used to search for different GL
                              www.indiantaxhome.com
  indicators.
Posting in Foreign Currency




 For23
      every Company Code there’s defined a company code
  currency,
 Every document, posted in different currency than CC currency, is
                         www.indiantaxhome.com
  processed as a foreign currency document.
Posting in Foreign Currency (2)


  Document header
  Document header                           Exchange rates
                                            Exchange rates
 Currency/rate    USD 43.5
 Amount           1,000
                                         08.15.05 USD INR 43.60
 Translation date
                  09.30.05               09.30.05   USD INR 43.50




                     Line items
                     Line items
     24             Amount FC:       1,000.00 USD

                     Amount LC:        43500 INR
                        www.indiantaxhome.com
Posting in Foreign Currency (3)

                      1.




                                    2.




    25                                                          3.

 1. Exchange rate can be entered manually,
 2. Or derived from “Exchange Rates Table”
                        www.indiantaxhome.com

 3. System automatically translates the foreign currency into
 CC currency.
Reverse an AP document



                                     Document entered incorrectly
Balance sheet
   Assets

  Liabilities
                                     Document corrected by Reversal:
  Shared equity                           Reverse with a standard
                                             reversal posting
                                          Reverse with a negative posting

         26
                                     Document re-entered correctly
                  www.indiantaxhome.com
Mass Reversal of Documents




                            Mass Reversal
                             Procedure

     27

 Many documents may be reversed at the same time,
                         www.indiantaxhome.com
 Process may be scheduled to be performed in the background.
Inter-company Processing
                                                         Inter-coy Billing
                                                           (Invoice (IV
                         AR header reference                                 SD Document
                                 =                                                               A Ltd
                                                                             2000002244
                         AP header reference
                                                                             HDR Ref:
                                                                             2000002244                  AP

                                                        AR
     Inter-coy Billing
       (Invoice (IV
                         SD Document
                                               A1 Ltd
                         1000001144                                                       F110
                                                                      FI Document
                         HDR Ref:                                     3000015244
                         1000001144                     AP
                                                                      HDR Ref:
                                                                      2000002244
AR

          28
      A2 Ltd                            F110
                           FI Document
                           2000006344 www.indiantaxhome.com
                                                           AR header reference
                           HDR Ref:                                    =
                           1000001144                          AP header reference
Invoice Processing continued…
Business Transactions included in Process:
 Logistics
   • Invoice Receipt
      • Overview
      • Subsequent DR’s / CR’s
      • Delivery Costs (Planned / Unplanned)
   • Credit Memo
   • Evaluated Receipt Settlement (ERS)
   • Consignment / Pipeline Settlement

       29



                            www.indiantaxhome.com
Procurement Cycle
                                                                     Purchase
                                                                  requisition

                              8                     1
                 Payment                                               Determination
Invoice         processing                                              of reqmts.
                 Purchase                                                 Quotation
                  order
                   10                                                    10

   Invoice
                      7
                      20                                          2    20
                                                                                     Source
 verification                                                                     determination




      Goods
        30             6                                      3                    Vendor
      receipt                                                                     selection
                                                                       Purchase
                                                                      order
                                  www.indiantaxhome.com          10
                                                             PO20
                        PO        5          4            processing
                     monitoring
Accounting Entries

         Cost Element Object             GR/IR         Acc. Payable

              1.                    2.       1.         3.      2.




  1. Goods received.           Bank Clearing Account         Bank

                                     4.          3.                 4.
  2. Invoice received.
    31

  3. Vendor paid.
                          www.indiantaxhome.com

  4. Bank account credited/charged
Invoice Verification (Three Way
Matching)

                      Master data




                  Invoice verification             Invoice
                                                   document
                                                              Payment
 Invoice
                                                              program




                 Check Discrepancies
     32

           Purchase            Goods receipt
           order
                           www.indiantaxhome.com
Display Purchase Order
   Purchase orders are the actual requests for a vendor or a
    plant within A Ltd. to deliver materials and or services
    based on predefined agreements (e.g. contract or
    quotation). Use TCode ME23N to display PO.

 Purchase
   Purchase
 Requisition
     Purchase
   Requisition
      Purchase
     Requisition                    Purchase
10      Purchase
      Requisition
  10     Purchase
        Requisition                 Order
20 10    Requisition
  20 10                             10
30 20 10
  30 20 10                          20
    30 20                                             Vendor
      30 20 33                      30
        30
          30

                            www.indiantaxhome.com


                         Source
                         Source
                       Assignment
                       Assignment
A Vendor Invoice
           The user must enter the following data:
            •   document date, purchase order number
            •   invoiced amount, terms of payment (if necessary)
           The following items are copied from the
            purchase order:
            •   vendor, terms of payment, invoice items
           The following items are transferred from the
            purchase order history:
            •   quantity, amount
   34       •   account determination.
           The bank information is stored in the vendor
            master record.
                     www.indiantaxhome.com
Parking a Vendor Invoice




 You can park or hold an invoice before posting it. When you save
  the document, the system creates an unposted document that only
    35
  contains the data on the initial screen such as the gross invoice
  amount, tax amount, terms of payment and allocation, but no item
                          www.indiantaxhome.com
  data.
 Later you can use the “Invoice overview” function to change and
  post the parked / held document
Subsequent Debit / Credit

1 Invoice for
   PO 456
                                                  100 pcs - 300 INR

  100 pcs       300 INR




                             PO History
2 Invoice for
   PO 456
                                                  150 pcs - 450 INR
   50 pcs     150 INR




3 Invoice for
     36
  PO 456
  Subsequent costs
                                                  150 pcs - 480 INR
  50 pcs      30 INR
                          www.indiantaxhome.com
Subsequent Debit / Credit - Posting
 Rules
 When you post a subsequent debit/credit, the invoice amount is posted
  to the vendor account.
 If the quantity to be subsequently debited or credited has already been
  delivered, the system makes the offsetting entry to the stock account or
  the price difference account, depending on the type of price control
  used. For purchase order items with account assignment, the system
  makes the offsetting entry to the cost account.
 If the quantity to be subsequently debited or credited has not yet been
  delivered, the R/3 System makes the posting to the GR/IR clearing
  account. When you post the goods receipt, the system debits/credits
  the stock account or the price difference account, depending on the
  price control used. (Note: Generally always GR based IV followed)
         37



                             www.indiantaxhome.com
Delivery Costs

 Purchase                                                      Purchase
 order 123                                                     order 456
 100 pcs        10 INR                                         100 pcs      10 INR
 Freight       1 INR/pc                                        Freight        -

                                      Delivery costs



                                             Unplanned costs
                                                 Delivery
 100 pcs       1000 INR                                        100 pcs     1000 INR
 Freight       100 INR                                         Freight     100 INR

 Total:        1100 INR                                        Total:    1100 INR
          38


                         Delivery costs can be divided into:
                                    www.indiantaxhome.com
                          •   Planned delivery costs
                          •   Unplanned delivery costs
Planned Delivery Costs - Postings
Invoice with reference
      to the PO


    MIRO


                                                        Accounting Document




         39
 For planned delivery costs, the postings are made to a clearing account
  at goods receipt. There are separate accounts for costs of different
  origins.                      www.indiantaxhome.com

 If the delivery costs in the invoice differ from the planned delivery costs,
  the differences are posted in the same way as for normal price and
  quantity variances.
Unplanned Delivery Costs - Postings

                           MIRO




      40



                      www.indiantaxhome.com
Accounting Document
Credit Memo

Purchase
order 123
                                                 Credit Memo
100 pcs 10 INR/pc
                     80 pcs     800 INR      30 pcs   300 INR




                    Goods Receipt: 50 pcs


Purchase
order 123                                         Subsequent
                                                    Credit
        41
100 pcs 10 INR/pc
                      50 pcs    800 INR      50 pcs   300 INR

                     www.indiantaxhome.com
Evaluated Receipt Settlement
   In Evaluated Receipt Settlement (ERS), goods receipts are
    settled (posted) directly without the vendor having to issue
    an invoice.
   To generate vendor invoice the system uses information
    from the purchase order and the goods receipt.
   The following prerequisites must be met to use ERS
    functionality:
    •   The goods receipt must refer to a purchase order.
    •   Goods-receipt-based Invoice Verification must be defined for the
        purchase order item.
         42
    •   The order price of the materials may not be an estimated price
    •   The Vendor master record must be flagged as being subject to
                               www.indiantaxhome.com
        ERS.
Evaluated Receipt Settlement (2)

Purchase Order
                         Goods Receipt          Vendor Invoice




     Purchase
     Order

     10
     20
     30




   Goods receipts are settled automatically.
         43
   The system posts the invoice document automatically on
    the basis of the data in the purchase order and goods
                           www.indiantaxhome.com
    receipts.
   This way you can eliminate invoice variances.
Pipeline Settlement

     Bill of
     Bill of                 Goods
                             Goods                    Vendor
                                                       Vendor
    Materials
    Materials               Receipts
                            Receipts                  Invoice
                                                       Invoice
    PIPE                    PIPE                    Dt Accruals
    Material                Material
                                                    Ct Vendor
    10                      10
    20                      20
    30                      30




   A Ltd. have pipeline materials as part of their Bill of
    Material,
         44

   There’s no invoice from the vendor for goods withdrawals,
                            www.indiantaxhome.com
   Instead, A Ltd. will settle posted withdrawals, issue a
    statement of the settlement and send it the vendor.
Accounts Payable Process Overview


 Financial                    Process decompositions are the starting
Accounting
                               point for process documentation.
                              They summarise what is involved in a
                               the AP process at a high level
Accounts
Payable




 Master          Invoice      Payments /         Account         Periodic    Reporting
  Data     45   Processing   Disbursements      Analysis &      Processing
                 •Sundry                       Reconciliation
                •Logistics

                                  www.indiantaxhome.com
Payments / Disbursements

Business Transactions included in Process:
 Manual payments
 Automatic Payment Run
 Outgoing Payments
    •   Reports
   Inter-company Payments
    •   IDoc’s (REMADV)


         46



                          www.indiantaxhome.com
Manual outgoing payment

    Open items




         47



                            www.indiantaxhome.com
  This transaction is being used to post vendor outgoing payments
  that have not been cleared by the automatic payment program,
 All data on one screen, no posting keys required.
Automated Outgoing Pay.-Activity
  Flow
Invoices, Credit
    Memos,
   Payment           Automatic                  Create Pay. Run &
                                         Yes                          Schedule
   Requests         Payment Run                     maintain
                                                                      Proposal
                                                   Parameters




                         No
                   Post Outgoing                                      Proposal
                   Payment With                                         List
                     Printout




                      Checks /
                      Transfer                                      Edit Proposal
                      Approval




                    Send transfers                                     Propos
                   to Banks and/or                                       al
                      checks to                                        Approv
                       Vendors                                           al


              48                                                      Schedule
                                                                      Payment




                                     www.indiantaxhome.com
                                                                    Print Payment
                                                                       Medium
Automatic Payment Process

                                   Invoices or
                                     payment
                                  requests are

         Payment                    entered
                                                          Open invoices are
        documents
                                                             analysed
        are printed




                                                                 Invoices are
  Invoices are paid                                              proposed for
                                                                   payment

   49


                      Payments are                    Payments are
                              www.indiantaxhome.com
                        approved                        modified
Payment Program Steps

Maintain Parameters

 Parameters are entered



                    Schedule Proposal

                  Payment proposals are created



                                          Edit Proposal

                                     Payment proposals are edited



       50                                                    Schedule Payments

                                                             Payment run is carried out

                                      www.indiantaxhome.com
                                                                                    Schedule Printing
Inputs to the Payment Program

  Master Data                                     Invoice




                         Payment
                         Program
       51



                    www.indiantaxhome.com


Online Parameters                           Selection Parameters
Maintaining Payment Parameters


                                     Identifies each individual
                                            payment run




                            Status of the payment run
   52



             www.indiantaxhome.com
Payment Program Parameters
    Which company
  codes are included?




                   Which payment
                     methods?
    53
   Who’s being
     paid?
                        www.indiantaxhome.com   When is the
                                                 next run?
Proposal List

  List of Vendors             Discounts/          Amounts included in
included in the run           Exceptions              proposal




       54



   Line                   www.indiantaxhome.com
  Items         Payment                                      Currency
                Method           Bank details
Exception List


                           Items that cannot be
                            paid are detailed on the
                            exception list
                           Possible reasons:
                            •      Invoice is blocked
                            •      Invalid data in the master
                                   record
                               • Invalid payment method
                               • Invalid house bank
  Exception List!              • Payment amount is less than
    55                             the minimum amount
  Payment
    Items
                                   specified for payment
    ...                        • Not enough money in the
    ...             www.indiantaxhome.com bank per
                                   house
   Total
                                   configuration
Edit Payment Proposals

 Payments          Items                     Changing line items
 Payment            Payment                    Line Item 1
 Payment
  Payment            Items                     Payment block
                       Item 1
 Payment House
  Method
  Payment                                      Discount
                       Item 2
  Bank
 Payment House
  Method
  Payment              Item 3
  Amount
  Bank
 Payment House
  Method
  Payment                ...
  ...
  Amount
  Bank                                               Reallocate
 Payment House
  Method
  Payment
  ...
  Amount
  Bank
 Payment House
  Method
  Payment
  ...
  Amount
  Bank
 Payment House
  Method
  Payment                                    Change payment
  ...
  Amount
  Bank             Create new payment
  Account House
  Method                                       Line Item 1
  ...
  Amount
  Amount            or allocate item to
  Bank
  ... 56            existing payment           Payment method
  Amount
  Payment Method                               House Bank
  ...
  House Bank
  Due Date
  ...                www.indiantaxhome.com
Schedule Proposals

 Schedule a start                           Choose this option to
                       - OR -
      time                                    start immediately




     57



                    www.indiantaxhome.com
Payment Runs

                         Clear paid open
                              items



    Post payments to                            Post related postings
     general ledger                              for tax, discounts




                            Payment
         58
                              Run

                       www.indiantaxhome.com   Post related postings
Supply print program
                                                for exchange rate
with necessary data
                                                    differences
Printing Schedule - Checks

                  AP Department employee creates and
                   posts payment run,
                  Checks & payment advices are printed

    Enter
 Variant &
print checks



      59



                       www.indiantaxhome.com
Print Program - Bank Transfer


           AP  Department employee creates and
           posts payment run,
           Payment   files & payment advices are
  Enter    generated / printed
 variant




      60



                   www.indiantaxhome.com
Print Program - Bank Transfer


                                              1.    AP clerk creates
                                                    and posts payment
                                                    run,
                                              2.    AP manager creates
                                                    electronic payment
                                                    documents
                                              3.    Data is downloaded
   61                                               to a local file.

                            www.indiantaxhome.com


        Create a local file - electronic pay. medium
Payment Program - Reports

                                           List of Spool Requests




   Payment program generates several different outputs (like
    DME files, error logs, payment proposal list, payment
    settlement list etc.)
   You can access those reports directly from Payment
    program menus or from AP/AR information system.
         62
   Some of the reports payment program generates
    automatically and youwww.indiantaxhome.com
                            can access them from the spool
    (transaction SP02 or SP01).
Payment Run - Print a List
                                                   Choose the relevant function
                                                      from the main menu




     63



                           www.indiantaxhome.com
 Payment Settlement List
Accounts Payable Process Overview


 Financial                    Process decompositions are the starting
Accounting
                               point for process documentation.
                              They summarise what is involved in a
                               the AP process at a high level
Accounts
Payable




 Master          Invoice      Payments /         Account         Periodic    Reporting
  Data     64   Processing   Disbursements      Analysis &      Processing
                 •Sundry                       Reconciliation
                •Logistics

                                  www.indiantaxhome.com
Account Analysis / Reconciliation
Business Transactions included in Process:
Accounts Balance
   •Line Item display

Account Clearing
   •Internal Post with Clearing
   •Clearing with Customer


      65



                           www.indiantaxhome.com
Display Account Balance




     66


 Account balance displays totals of transactions, per month as well
                         www.indiantaxhome.com
  as cumulative values
 The report may be printed or saved as a local file
Display Account Line items




      67


 “Line items” report displays particular transactions,
                            www.indiantaxhome.com
 It it possible to change the documents directly from this screen,
 The report may be printed or saved as a local file
Open Item Clearing


                             2                           1
                                     Open item account                        Januar
   Februa
        ry
  1 2 3 4 5 6 7                                                                    y
                                                                             1 2 3 4 5 6 7
  8 9 1011121314                       2,000 5,000                           8 9 1011121314
 16171819202122                                                              16171819202122
 23242526272829
                                       3,000                                 23242526272829
 293031                                                                      293031

                   Invoice                                   Goods receipt

                                      Can be cleared


                                            3
                   Clearing an                           Post with
                    account                               clearing
       68



                                 www.indiantaxhome.com
Clearing Open Items Manually



         1       Invoice                  1000
         2       Credit memo              1000




                        ?
                   Clearing account
   69
             1   1000           1000      2

                  www.indiantaxhome.com
Automatic Clearing Program

                                        Accounts
               xxxxxx        xxxxxx           xxxxxx              xxxxxx
               ----   ----   ----   ----      ----   ----         ----   ----
               ----   ----   ----   ----      ----   ----         ----   ----
               ----   ----   ----   ----      ----   ----         ----   ----
               ----   ----   ----   ----      ----   ----         ----   ----
               ----   ----   ----   ----      ----   ----         ----   ----




                                        Automatic clearing
                                        program


   Recon acc. 160000         Clearing                       Recon acc. 160100
                                                                                  Clearing
                             document
   70 no.
    Ref         Amount                                       Ref no.     Amount   document
     5287        5000 -                                       16978      1500 -
     5287       7000 -                                        16978      3200 -
     5287      12000 +                                        16978      4700 +

    Ref no.    Amount           www.indiantaxhome.com
                             Clearing                        Ref no.    Amount    Clearing
                             document                                             document
      425       2500 -                                         9624      7500 -
      425       2500+                                          9624      7500+
The Clearing Document


    Open Item Account

                 40000
                 10000
                                                 Clearing
         50000   20000
                                                 document




   71
        Amounts can be
           cleared
                         www.indiantaxhome.com
Clearing: Vendor and Customer


                      1     Customer invoice            46,000
                      2     Vendor invoice              20,000
                      3     Customer payment            26,000




       Customer        ABC Inc.                     Vendor       ABC Inc.
  1        46,000          46,000 3             3   20,000        20,000 2


      72
                    Bank
  3        26,000               www.indiantaxhome.com
Reversal of Clearing



                                                Display of cleared items




    Reversal of clearing
        73
 Reversal of documents that have been cleared before is not
  possible,
 First the clearing operation must be reset and then you can
                             www.indiantaxhome.com

  reverse a document.
Accounts Payable Process Overview


 Financial                    Process decompositions are the starting
Accounting
                               point for process documentation.
                              They summarise what is involved in a
                               the AP process at a high level
Accounts
Payable




 Master          Invoice      Payments /         Account         Periodic    Reporting
  Data     74   Processing   Disbursements      Analysis &      Processing
                 •Sundry                       Reconciliation
                •Logistics

                                  www.indiantaxhome.com
Periodic Processing
Business Transactions included in Process:
 LIV invoice variances
   •Invoice   differences
   •Blocked   invoices
   •Tolerances    (not configured)
 GR/IR Account Maintenance
 Vendor Correspondence
   •Standard    Letters
      75
   •Balance    Confirmation

                              www.indiantaxhome.com
Invoice Variances (AP-MM
integration)
                                     Quantity

                                       Price
        Goods                                         Vendor Invoice
        Receipt                  Purchase order
                                  price quantity

                                       Date

   The system carries out the following checks for each
    invoice item:
    •   Quantity variance
         76
    •   Price variance
    •   Purchase order price quantity variance
                              www.indiantaxhome.com
    •   Date variance
GR/IR Account Movements

    Purchase                                           Invoice
     order                  Goods
                            Receipt
                                                        97 pcs
     100 pcs                100 pcs                  @ 10.00 USD
   @ 10.00 USD



                                                    GR / IR Account
                  Goods Receipt           Invoice
                                                     Maintenance

Stock account     1,000 +                            30 -
         77
GR / IR account   1,000 -                970 +       30 +
Vendor Account                           970 -
                       www.indiantaxhome.com
GR/IR Quantity Variances
                                                                        Invoice
     Purchase
      order                            Goods
                                       Receipt                          80 pcs
                                                                     @ 10.00 USD
      100 pcs                          50 pcs
    @ 10.00 USD
                                                                         Goods
                                                                         Receipt

                                                                         30 pcs


 The GR/IR clearing account is cleared for a purchase order item when the
          78
  delivered quantity and the invoice quantity are the same.
 In this example the invoice quantity is greater than the delivered quantity, the
  system expects another goodswww.indiantaxhome.com
                                  receipt.
GR/IR Quantity Variances (2)
                                                                   Invoice #1
 Purchase
  order                            Goods
                                   Receipt                          97 pcs
                                                                 @ 10.00 USD
  100 pcs                         100 pcs
@ 10.00 USD
                                                                   Invoice #2


                                                                    3 pcs
                                                                 @ 10.00 USD


  In this example the delivered quantity is greater than the invoice quantity,
      79
   the system expects another invoice.
  Any differences in the GR/IR clearing account must be cleared. If the
   differences are not cleared by another goods receipt (or a return delivery)
                              www.indiantaxhome.com
   or by an invoice (or a credit memo), the GR/IR clearing account must be
   maintained manually.
Releasing Blocked Invoices

   An invoice is blocked for payment when you post it,
    because the Payment block indicator is selected in the
    vendor line item of the invoice document. Financial
    Accounting is then unable to pay the invoice.
   A blocked invoice can be released for payment in a
    separate step. This deletes the payment block.
   An invoice is also blocked when the variance between
    goods receipt and an invoice exceeds tolerance limits.
   The invoice will not be blocked if the variance is within
         80
    certain tolerance limits.
                           www.indiantaxhome.com
Releasing Blocked Invoices (2)

     Make selection


    Define processing




                        Automatic release       Manual release

   The blocked invoices can be released.
   In the time between the blocking and releasing of an
    invoice, the cash discount period could expire. When you
         81
    release an invoice, you have the opportunity to change the
    baseline date for payment.
                           www.indiantaxhome.com
   You can define whether you want to release the invoices
    manually or automatically via the field Automatic release.
Tolerances




 In every company code there defined tolerances for:
   • Quantity variance
   • Price variance
   • Purchase order price quantity variance
   • Date variance
        82
 In the case of quantity variance the system checks purchase order
  price vs. quantity variance (the greater the purchase order price, the
  lower the tolerated quantity variance)
                              www.indiantaxhome.com

 In the case of schedule variance the system checks invoice value vs.
  days variance (the greater the invoice value, the lower the tolerated
  schedule variance).
Requesting Correspondence

                                                                          Correspondence request


    Mass request                                                             Individual request           Individual request
  selection program                                                                manual                     automatic
 Periodic account statement


                                   Internal documents


                                                        Standard letter

                                                                                      Open item list
                                                                                                              Bill of exchange
                                                                                      Account statement       settlement
                                                                                      Individual
                                                                                      correspondence           Payment notice


                                                                                   Corre-
                                                                                   spond-
                              83                                                   ence
                                                                                   requests


                                                                             www.indiantaxhome.com
                                                                               Trigger report


                                                                              Print programs
Balance confirmation



         Letter to the
           Vendor                               Vendor Reply to
                                                  the Sender
                        200.00-
      Open items




                        354.00
                        126.20-
                          …….
                   84
   This function enables you to create and print letters to the
    Vendors for checking the open items.
                          www.indiantaxhome.com
   System prints also a necessary reply form, so a Vendor can
    confirm the outstanding items or specify the differences.
Correspondence: Output Type




               Printer




    85



             www.indiantaxhome.com
 Email
                                     Fax
Accounts Payable Process Overview


 Financial                    Process decompositions are the starting
Accounting
                               point for process documentation.
                              They summarise what is involved in a
                               the AP process at a high level
Accounts
Payable




 Master          Invoice      Payments /         Account         Month       Reporting
  Data     86   Processing   Disbursements      Analysis &         End
                 •Sundry                       Reconciliation   Processing
                •Logistics

                                  www.indiantaxhome.com
Reporting
Business Transactions included in Process:
 Standard Reports
   •Open   Items List
   •Cleared   Items List
   •Account   List
   •Account   Balance List
   •Vendor   Evaluations
 Customised Reports
   •Aged
      87   Open Items List


                             www.indiantaxhome.com
Accessing Reports
                                     1



                                                        SAP Menu




                                         2

Transaction SA38


       88
   A user can run the required report in two ways:
    • Directly from “The Report Tree”,
                          www.indiantaxhome.com
    • Using transaction SA38, provided that he/she knows the report’s
      name
Report Variant
                                         1) Enter the required
        2                                criteria on the selection
                                         screen



         1
                                         2) Click “Save” button




   89


                                         3) Enter the variant’s
             3   www.indiantaxhome.com   name
Report Execution

    Report Execution



                                         Selection of Report Parameters




      90
    Variant Selection                Dynamic selection

                        www.indiantaxhome.com

   A report can be executed directly or scheduled in the
    background
Accounts Payable Evaluations




                                                                                 de     Evaluation Views
                                                                              co




                                                                                                            Variable
                                                                            y           - Corporate group
                                                                      p an ea
                                                                 o m         ar
                                                               C ess                    - Company code
                                                                     n
                                                                u  si try
                                                                                        - Business Area
  Due date analysis



                           Currency analysis




                                                               B        un oup
                                               Overdue items




                                                                      o
                                                                    C        gr
                                                                          g
                                                                       in ct.
                                                                  ann Ac
                                                               Pl         .
                      91                                              on
                                                                    ec        s
                                                                 R ion
                                                                        s
                                                                   V er
                                                                www.indiantaxhome.com
           Evaluation types

More Related Content

What's hot

SAP - FIXED ASSETS ACCOUNTING
SAP - FIXED ASSETS ACCOUNTINGSAP - FIXED ASSETS ACCOUNTING
SAP - FIXED ASSETS ACCOUNTING
saiprasadbagrecha
 
Sap fico configuration
Sap fico configurationSap fico configuration
Sap fico configuration
Ranjith Patil
 
SAP FIXED ASSETS ACCOUNTING
SAP FIXED ASSETS ACCOUNTINGSAP FIXED ASSETS ACCOUNTING
SAP FIXED ASSETS ACCOUNTING
WL
 
SAP Financial General Ledger
SAP Financial General LedgerSAP Financial General Ledger
SAP Financial General Ledger
thufailsahil
 
Accounting entries in sap
Accounting entries in sapAccounting entries in sap
Accounting entries in sap
Rajeev Kumar
 
SAP FICO Online Training
SAP FICO Online Training SAP FICO Online Training
SAP FICO Online Training
Thanusha154
 
SAP Accounts Payable Payment | http://sapdocs.info
SAP Accounts Payable Payment | http://sapdocs.infoSAP Accounts Payable Payment | http://sapdocs.info
SAP Accounts Payable Payment | http://sapdocs.info
sapdocs. info
 
Sap manual bank statement process flow
Sap manual bank statement process flowSap manual bank statement process flow
Sap manual bank statement process flow
SURESH BABU MUCHINTHALA
 
Important Interview questions in SAP CO
Important Interview questions in SAP COImportant Interview questions in SAP CO
Important Interview questions in SAP CO
Muhammad Umer Farooq
 
SAP FI - Accounts Receivable
SAP FI - Accounts ReceivableSAP FI - Accounts Receivable
SAP FI - Accounts Receivable
saiprasadbagrecha
 
SAP FI
SAP FI SAP FI
SAP FI
JKT Education
 
SAP FI Module
SAP FI ModuleSAP FI Module
SAP FI Module
Shahnawaz Haque
 
Fi mm integration
Fi mm integrationFi mm integration
Fi mm integration
Capgemini
 
SAP ACCOUNTS RECEIVABLE & ACCOUNTS PAYABLE
SAP ACCOUNTS RECEIVABLE & ACCOUNTS PAYABLE SAP ACCOUNTS RECEIVABLE & ACCOUNTS PAYABLE
SAP ACCOUNTS RECEIVABLE & ACCOUNTS PAYABLE
MSND Prasad
 
SAP FICO General Ledger EndUser Training | www.sapdocs.info
SAP FICO General Ledger EndUser Training | www.sapdocs.infoSAP FICO General Ledger EndUser Training | www.sapdocs.info
SAP FICO General Ledger EndUser Training | www.sapdocs.info
sapdocs. info
 
SAP SD demo ppt - Introduction - for freshers
SAP SD demo ppt - Introduction - for freshersSAP SD demo ppt - Introduction - for freshers
SAP SD demo ppt - Introduction - for freshers
Saravanan Manoharan
 
Automatic vendor payment advice notes by mail
Automatic vendor payment advice notes by mailAutomatic vendor payment advice notes by mail
Automatic vendor payment advice notes by mail
SURESH BABU MUCHINTHALA
 
SAP Organization Structure
SAP Organization StructureSAP Organization Structure
SAP Organization Structure
sap customization
 
SAP Accounts Reveivable Functions | http://sapdocs.info
SAP Accounts Reveivable Functions | http://sapdocs.infoSAP Accounts Reveivable Functions | http://sapdocs.info
SAP Accounts Reveivable Functions | http://sapdocs.info
sapdocs. info
 
SAP FICO BBP Sample Document PDF NEW!
SAP FICO BBP Sample Document PDF NEW!SAP FICO BBP Sample Document PDF NEW!
SAP FICO BBP Sample Document PDF NEW!
sapdocs. info
 

What's hot (20)

SAP - FIXED ASSETS ACCOUNTING
SAP - FIXED ASSETS ACCOUNTINGSAP - FIXED ASSETS ACCOUNTING
SAP - FIXED ASSETS ACCOUNTING
 
Sap fico configuration
Sap fico configurationSap fico configuration
Sap fico configuration
 
SAP FIXED ASSETS ACCOUNTING
SAP FIXED ASSETS ACCOUNTINGSAP FIXED ASSETS ACCOUNTING
SAP FIXED ASSETS ACCOUNTING
 
SAP Financial General Ledger
SAP Financial General LedgerSAP Financial General Ledger
SAP Financial General Ledger
 
Accounting entries in sap
Accounting entries in sapAccounting entries in sap
Accounting entries in sap
 
SAP FICO Online Training
SAP FICO Online Training SAP FICO Online Training
SAP FICO Online Training
 
SAP Accounts Payable Payment | http://sapdocs.info
SAP Accounts Payable Payment | http://sapdocs.infoSAP Accounts Payable Payment | http://sapdocs.info
SAP Accounts Payable Payment | http://sapdocs.info
 
Sap manual bank statement process flow
Sap manual bank statement process flowSap manual bank statement process flow
Sap manual bank statement process flow
 
Important Interview questions in SAP CO
Important Interview questions in SAP COImportant Interview questions in SAP CO
Important Interview questions in SAP CO
 
SAP FI - Accounts Receivable
SAP FI - Accounts ReceivableSAP FI - Accounts Receivable
SAP FI - Accounts Receivable
 
SAP FI
SAP FI SAP FI
SAP FI
 
SAP FI Module
SAP FI ModuleSAP FI Module
SAP FI Module
 
Fi mm integration
Fi mm integrationFi mm integration
Fi mm integration
 
SAP ACCOUNTS RECEIVABLE & ACCOUNTS PAYABLE
SAP ACCOUNTS RECEIVABLE & ACCOUNTS PAYABLE SAP ACCOUNTS RECEIVABLE & ACCOUNTS PAYABLE
SAP ACCOUNTS RECEIVABLE & ACCOUNTS PAYABLE
 
SAP FICO General Ledger EndUser Training | www.sapdocs.info
SAP FICO General Ledger EndUser Training | www.sapdocs.infoSAP FICO General Ledger EndUser Training | www.sapdocs.info
SAP FICO General Ledger EndUser Training | www.sapdocs.info
 
SAP SD demo ppt - Introduction - for freshers
SAP SD demo ppt - Introduction - for freshersSAP SD demo ppt - Introduction - for freshers
SAP SD demo ppt - Introduction - for freshers
 
Automatic vendor payment advice notes by mail
Automatic vendor payment advice notes by mailAutomatic vendor payment advice notes by mail
Automatic vendor payment advice notes by mail
 
SAP Organization Structure
SAP Organization StructureSAP Organization Structure
SAP Organization Structure
 
SAP Accounts Reveivable Functions | http://sapdocs.info
SAP Accounts Reveivable Functions | http://sapdocs.infoSAP Accounts Reveivable Functions | http://sapdocs.info
SAP Accounts Reveivable Functions | http://sapdocs.info
 
SAP FICO BBP Sample Document PDF NEW!
SAP FICO BBP Sample Document PDF NEW!SAP FICO BBP Sample Document PDF NEW!
SAP FICO BBP Sample Document PDF NEW!
 

Similar to SAP FI - Account Payable (AP)

SAP FI - Account Receivable - Part I
SAP FI - Account Receivable - Part ISAP FI - Account Receivable - Part I
SAP FI - Account Receivable - Part I
saiprasadbagrecha
 
SAP FI - Accounts Receivable - Part II
SAP FI - Accounts Receivable - Part IISAP FI - Accounts Receivable - Part II
SAP FI - Accounts Receivable - Part II
saiprasadbagrecha
 
Bi Lunch And Learn Examples
Bi Lunch And Learn ExamplesBi Lunch And Learn Examples
Bi Lunch And Learn Examples
eokerholm
 
Oracle R12 Cash Management New Features
Oracle R12 Cash Management New FeaturesOracle R12 Cash Management New Features
Oracle R12 Cash Management New Features
Sanjay Challagundla
 
Microsoft Dynamics AX - Financial series
Microsoft Dynamics AX - Financial seriesMicrosoft Dynamics AX - Financial series
Microsoft Dynamics AX - Financial series
batrainingschool
 
24028183 fico-notes
24028183 fico-notes24028183 fico-notes
24028183 fico-notes
surjeet singh
 
Sap Solution Manager Business Process Monitoring Of A Sap Crm Solution
Sap Solution Manager Business Process Monitoring Of A Sap Crm SolutionSap Solution Manager Business Process Monitoring Of A Sap Crm Solution
Sap Solution Manager Business Process Monitoring Of A Sap Crm Solution
Robert Max
 
Right Time Architectures For Financial Services 2011
Right Time Architectures For Financial Services 2011Right Time Architectures For Financial Services 2011
Right Time Architectures For Financial Services 2011
Tushar Kale
 
Radium presentation sap.upload
Radium presentation   sap.uploadRadium presentation   sap.upload
Radium presentation sap.upload
bobj-vivek
 
Trusted Business Advisors
Trusted Business AdvisorsTrusted Business Advisors
Trusted Business Advisors
Rich_Iverson
 
Hitachi ID Identity Manager: Self-service and automated user provisioning
Hitachi ID Identity Manager: Self-service and automated user provisioningHitachi ID Identity Manager: Self-service and automated user provisioning
Hitachi ID Identity Manager: Self-service and automated user provisioning
Hitachi ID Systems, Inc.
 
Dilip sadh mm wm overview
Dilip sadh  mm wm overviewDilip sadh  mm wm overview
Dilip sadh mm wm overview
dilipsadh
 
System architecture for central banks
System architecture for central banksSystem architecture for central banks
System architecture for central banks
Jean-Marc Lepain
 
Finding fraud in large, diverse data sets
Finding fraud in large, diverse data setsFinding fraud in large, diverse data sets
Finding fraud in large, diverse data sets
Chris Selland
 
Streamlining Financial Statement Reporting
Streamlining Financial Statement ReportingStreamlining Financial Statement Reporting
Streamlining Financial Statement Reporting
Senturus
 
Tcs iON Manufacturing ERP presentation
Tcs iON Manufacturing ERP presentationTcs iON Manufacturing ERP presentation
Tcs iON Manufacturing ERP presentation
Md. Rajulul Islam (Alex)
 
Closing the Invoice to-Contract Cycle for Huge Savings
Closing the Invoice to-Contract Cycle for Huge SavingsClosing the Invoice to-Contract Cycle for Huge Savings
Closing the Invoice to-Contract Cycle for Huge Savings
SAP Ariba
 
Streamlining Financial Statement Reporting: Demo of Cognos FSR
Streamlining Financial Statement Reporting: Demo of Cognos FSRStreamlining Financial Statement Reporting: Demo of Cognos FSR
Streamlining Financial Statement Reporting: Demo of Cognos FSR
Senturus
 
Accounts Outsourcing To India
Accounts Outsourcing To IndiaAccounts Outsourcing To India
Accounts Outsourcing To India
labdhie
 
New resume format
New resume formatNew resume format
New resume format
K Shivshankar
 

Similar to SAP FI - Account Payable (AP) (20)

SAP FI - Account Receivable - Part I
SAP FI - Account Receivable - Part ISAP FI - Account Receivable - Part I
SAP FI - Account Receivable - Part I
 
SAP FI - Accounts Receivable - Part II
SAP FI - Accounts Receivable - Part IISAP FI - Accounts Receivable - Part II
SAP FI - Accounts Receivable - Part II
 
Bi Lunch And Learn Examples
Bi Lunch And Learn ExamplesBi Lunch And Learn Examples
Bi Lunch And Learn Examples
 
Oracle R12 Cash Management New Features
Oracle R12 Cash Management New FeaturesOracle R12 Cash Management New Features
Oracle R12 Cash Management New Features
 
Microsoft Dynamics AX - Financial series
Microsoft Dynamics AX - Financial seriesMicrosoft Dynamics AX - Financial series
Microsoft Dynamics AX - Financial series
 
24028183 fico-notes
24028183 fico-notes24028183 fico-notes
24028183 fico-notes
 
Sap Solution Manager Business Process Monitoring Of A Sap Crm Solution
Sap Solution Manager Business Process Monitoring Of A Sap Crm SolutionSap Solution Manager Business Process Monitoring Of A Sap Crm Solution
Sap Solution Manager Business Process Monitoring Of A Sap Crm Solution
 
Right Time Architectures For Financial Services 2011
Right Time Architectures For Financial Services 2011Right Time Architectures For Financial Services 2011
Right Time Architectures For Financial Services 2011
 
Radium presentation sap.upload
Radium presentation   sap.uploadRadium presentation   sap.upload
Radium presentation sap.upload
 
Trusted Business Advisors
Trusted Business AdvisorsTrusted Business Advisors
Trusted Business Advisors
 
Hitachi ID Identity Manager: Self-service and automated user provisioning
Hitachi ID Identity Manager: Self-service and automated user provisioningHitachi ID Identity Manager: Self-service and automated user provisioning
Hitachi ID Identity Manager: Self-service and automated user provisioning
 
Dilip sadh mm wm overview
Dilip sadh  mm wm overviewDilip sadh  mm wm overview
Dilip sadh mm wm overview
 
System architecture for central banks
System architecture for central banksSystem architecture for central banks
System architecture for central banks
 
Finding fraud in large, diverse data sets
Finding fraud in large, diverse data setsFinding fraud in large, diverse data sets
Finding fraud in large, diverse data sets
 
Streamlining Financial Statement Reporting
Streamlining Financial Statement ReportingStreamlining Financial Statement Reporting
Streamlining Financial Statement Reporting
 
Tcs iON Manufacturing ERP presentation
Tcs iON Manufacturing ERP presentationTcs iON Manufacturing ERP presentation
Tcs iON Manufacturing ERP presentation
 
Closing the Invoice to-Contract Cycle for Huge Savings
Closing the Invoice to-Contract Cycle for Huge SavingsClosing the Invoice to-Contract Cycle for Huge Savings
Closing the Invoice to-Contract Cycle for Huge Savings
 
Streamlining Financial Statement Reporting: Demo of Cognos FSR
Streamlining Financial Statement Reporting: Demo of Cognos FSRStreamlining Financial Statement Reporting: Demo of Cognos FSR
Streamlining Financial Statement Reporting: Demo of Cognos FSR
 
Accounts Outsourcing To India
Accounts Outsourcing To IndiaAccounts Outsourcing To India
Accounts Outsourcing To India
 
New resume format
New resume formatNew resume format
New resume format
 

More from saiprasadbagrecha

Manufacturer under GST Law
Manufacturer under GST LawManufacturer under GST Law
Manufacturer under GST Law
saiprasadbagrecha
 
SAP HR - PPT
SAP HR - PPTSAP HR - PPT
SAP HR - PPT
saiprasadbagrecha
 
Commodity tracker till date
Commodity tracker till dateCommodity tracker till date
Commodity tracker till date
saiprasadbagrecha
 
Commodity tracker day 7 and day 8
Commodity tracker day 7 and day 8Commodity tracker day 7 and day 8
Commodity tracker day 7 and day 8
saiprasadbagrecha
 
Commodity track day 6
Commodity track day 6Commodity track day 6
Commodity track day 6
saiprasadbagrecha
 
Commodity track day 5 track
Commodity track day 5 trackCommodity track day 5 track
Commodity track day 5 track
saiprasadbagrecha
 
Commodity tracker day 4
Commodity tracker day 4Commodity tracker day 4
Commodity tracker day 4
saiprasadbagrecha
 
Commodity tracker - day 3
Commodity tracker - day 3Commodity tracker - day 3
Commodity tracker - day 3
saiprasadbagrecha
 
Commodity Tracker 07-NOVEMBER-2013
Commodity Tracker 07-NOVEMBER-2013Commodity Tracker 07-NOVEMBER-2013
Commodity Tracker 07-NOVEMBER-2013
saiprasadbagrecha
 
SAP - FI Accounts Receivable - Part 2
SAP - FI Accounts Receivable - Part 2SAP - FI Accounts Receivable - Part 2
SAP - FI Accounts Receivable - Part 2
saiprasadbagrecha
 
Transfer pricing: practical manual for developing countries Chapter 2 Busines...
Transfer pricing: practical manual for developing countries Chapter 2 Busines...Transfer pricing: practical manual for developing countries Chapter 2 Busines...
Transfer pricing: practical manual for developing countries Chapter 2 Busines...
saiprasadbagrecha
 
Transfer pricing: practical manual for developing countries -Appendix I Compa...
Transfer pricing: practical manual for developing countries -Appendix I Compa...Transfer pricing: practical manual for developing countries -Appendix I Compa...
Transfer pricing: practical manual for developing countries -Appendix I Compa...
saiprasadbagrecha
 
Transfer pricing: practical manual for developing countries - Chapter 10 Coun...
Transfer pricing: practical manual for developing countries - Chapter 10 Coun...Transfer pricing: practical manual for developing countries - Chapter 10 Coun...
Transfer pricing: practical manual for developing countries - Chapter 10 Coun...
saiprasadbagrecha
 
Transfer pricing: practical manual for developing countries -Chapter 10 Count...
Transfer pricing: practical manual for developing countries -Chapter 10 Count...Transfer pricing: practical manual for developing countries -Chapter 10 Count...
Transfer pricing: practical manual for developing countries -Chapter 10 Count...
saiprasadbagrecha
 
Transfer pricing: practical manual for developing countries - Chapter 10 Coun...
Transfer pricing: practical manual for developing countries - Chapter 10 Coun...Transfer pricing: practical manual for developing countries - Chapter 10 Coun...
Transfer pricing: practical manual for developing countries - Chapter 10 Coun...
saiprasadbagrecha
 
Transfer pricing: practical manual for developing countries -Chapter10 Countr...
Transfer pricing: practical manual for developing countries -Chapter10 Countr...Transfer pricing: practical manual for developing countries -Chapter10 Countr...
Transfer pricing: practical manual for developing countries -Chapter10 Countr...
saiprasadbagrecha
 
Transfer pricing: practical manual for developing countries - Chapter 9 Dispu...
Transfer pricing: practical manual for developing countries - Chapter 9 Dispu...Transfer pricing: practical manual for developing countries - Chapter 9 Dispu...
Transfer pricing: practical manual for developing countries - Chapter 9 Dispu...
saiprasadbagrecha
 
Transfer pricing: practical manual for developing countries -Chapter 8 Audits
Transfer pricing: practical manual for developing countries -Chapter 8 Audits Transfer pricing: practical manual for developing countries -Chapter 8 Audits
Transfer pricing: practical manual for developing countries -Chapter 8 Audits
saiprasadbagrecha
 
Transfer pricing: practical manual for developing countries -Chapter 7 Docume...
Transfer pricing: practical manual for developing countries -Chapter 7 Docume...Transfer pricing: practical manual for developing countries -Chapter 7 Docume...
Transfer pricing: practical manual for developing countries -Chapter 7 Docume...
saiprasadbagrecha
 
Transfer pricing: practical manual for developing countries -Chapter 6 Methods
Transfer pricing: practical manual for developing countries -Chapter 6  MethodsTransfer pricing: practical manual for developing countries -Chapter 6  Methods
Transfer pricing: practical manual for developing countries -Chapter 6 Methods
saiprasadbagrecha
 

More from saiprasadbagrecha (20)

Manufacturer under GST Law
Manufacturer under GST LawManufacturer under GST Law
Manufacturer under GST Law
 
SAP HR - PPT
SAP HR - PPTSAP HR - PPT
SAP HR - PPT
 
Commodity tracker till date
Commodity tracker till dateCommodity tracker till date
Commodity tracker till date
 
Commodity tracker day 7 and day 8
Commodity tracker day 7 and day 8Commodity tracker day 7 and day 8
Commodity tracker day 7 and day 8
 
Commodity track day 6
Commodity track day 6Commodity track day 6
Commodity track day 6
 
Commodity track day 5 track
Commodity track day 5 trackCommodity track day 5 track
Commodity track day 5 track
 
Commodity tracker day 4
Commodity tracker day 4Commodity tracker day 4
Commodity tracker day 4
 
Commodity tracker - day 3
Commodity tracker - day 3Commodity tracker - day 3
Commodity tracker - day 3
 
Commodity Tracker 07-NOVEMBER-2013
Commodity Tracker 07-NOVEMBER-2013Commodity Tracker 07-NOVEMBER-2013
Commodity Tracker 07-NOVEMBER-2013
 
SAP - FI Accounts Receivable - Part 2
SAP - FI Accounts Receivable - Part 2SAP - FI Accounts Receivable - Part 2
SAP - FI Accounts Receivable - Part 2
 
Transfer pricing: practical manual for developing countries Chapter 2 Busines...
Transfer pricing: practical manual for developing countries Chapter 2 Busines...Transfer pricing: practical manual for developing countries Chapter 2 Busines...
Transfer pricing: practical manual for developing countries Chapter 2 Busines...
 
Transfer pricing: practical manual for developing countries -Appendix I Compa...
Transfer pricing: practical manual for developing countries -Appendix I Compa...Transfer pricing: practical manual for developing countries -Appendix I Compa...
Transfer pricing: practical manual for developing countries -Appendix I Compa...
 
Transfer pricing: practical manual for developing countries - Chapter 10 Coun...
Transfer pricing: practical manual for developing countries - Chapter 10 Coun...Transfer pricing: practical manual for developing countries - Chapter 10 Coun...
Transfer pricing: practical manual for developing countries - Chapter 10 Coun...
 
Transfer pricing: practical manual for developing countries -Chapter 10 Count...
Transfer pricing: practical manual for developing countries -Chapter 10 Count...Transfer pricing: practical manual for developing countries -Chapter 10 Count...
Transfer pricing: practical manual for developing countries -Chapter 10 Count...
 
Transfer pricing: practical manual for developing countries - Chapter 10 Coun...
Transfer pricing: practical manual for developing countries - Chapter 10 Coun...Transfer pricing: practical manual for developing countries - Chapter 10 Coun...
Transfer pricing: practical manual for developing countries - Chapter 10 Coun...
 
Transfer pricing: practical manual for developing countries -Chapter10 Countr...
Transfer pricing: practical manual for developing countries -Chapter10 Countr...Transfer pricing: practical manual for developing countries -Chapter10 Countr...
Transfer pricing: practical manual for developing countries -Chapter10 Countr...
 
Transfer pricing: practical manual for developing countries - Chapter 9 Dispu...
Transfer pricing: practical manual for developing countries - Chapter 9 Dispu...Transfer pricing: practical manual for developing countries - Chapter 9 Dispu...
Transfer pricing: practical manual for developing countries - Chapter 9 Dispu...
 
Transfer pricing: practical manual for developing countries -Chapter 8 Audits
Transfer pricing: practical manual for developing countries -Chapter 8 Audits Transfer pricing: practical manual for developing countries -Chapter 8 Audits
Transfer pricing: practical manual for developing countries -Chapter 8 Audits
 
Transfer pricing: practical manual for developing countries -Chapter 7 Docume...
Transfer pricing: practical manual for developing countries -Chapter 7 Docume...Transfer pricing: practical manual for developing countries -Chapter 7 Docume...
Transfer pricing: practical manual for developing countries -Chapter 7 Docume...
 
Transfer pricing: practical manual for developing countries -Chapter 6 Methods
Transfer pricing: practical manual for developing countries -Chapter 6  MethodsTransfer pricing: practical manual for developing countries -Chapter 6  Methods
Transfer pricing: practical manual for developing countries -Chapter 6 Methods
 

Recently uploaded

高仿英国伦敦艺术大学毕业证(ual毕业证书)文凭证书原版一模一样
高仿英国伦敦艺术大学毕业证(ual毕业证书)文凭证书原版一模一样高仿英国伦敦艺术大学毕业证(ual毕业证书)文凭证书原版一模一样
高仿英国伦敦艺术大学毕业证(ual毕业证书)文凭证书原版一模一样
234knry
 
Discover the Future of Dogecoin with Our Comprehensive Guidance
Discover the Future of Dogecoin with Our Comprehensive GuidanceDiscover the Future of Dogecoin with Our Comprehensive Guidance
Discover the Future of Dogecoin with Our Comprehensive Guidance
36 Crypto
 
Does teamwork really matter? Looking beyond the job posting to understand lab...
Does teamwork really matter? Looking beyond the job posting to understand lab...Does teamwork really matter? Looking beyond the job posting to understand lab...
Does teamwork really matter? Looking beyond the job posting to understand lab...
Labour Market Information Council | Conseil de l’information sur le marché du travail
 
What's a worker’s market? Job quality and labour market tightness
What's a worker’s market? Job quality and labour market tightnessWhat's a worker’s market? Job quality and labour market tightness
What's a worker’s market? Job quality and labour market tightness
Labour Market Information Council | Conseil de l’information sur le marché du travail
 
1比1复刻(ksu毕业证书)美国堪萨斯州立大学毕业证本科文凭证书原版一模一样
1比1复刻(ksu毕业证书)美国堪萨斯州立大学毕业证本科文凭证书原版一模一样1比1复刻(ksu毕业证书)美国堪萨斯州立大学毕业证本科文凭证书原版一模一样
1比1复刻(ksu毕业证书)美国堪萨斯州立大学毕业证本科文凭证书原版一模一样
28xo7hf
 
Accounting Information Systems (AIS).pptx
Accounting Information Systems (AIS).pptxAccounting Information Systems (AIS).pptx
Accounting Information Systems (AIS).pptx
TIZITAWMASRESHA
 
Detailed power point presentation on compound interest and how it is calculated
Detailed power point presentation on compound interest  and how it is calculatedDetailed power point presentation on compound interest  and how it is calculated
Detailed power point presentation on compound interest and how it is calculated
KishanChaudhary23
 
快速办理(美国Fordham毕业证书)福德汉姆大学毕业证学历证书一模一样
快速办理(美国Fordham毕业证书)福德汉姆大学毕业证学历证书一模一样快速办理(美国Fordham毕业证书)福德汉姆大学毕业证学历证书一模一样
快速办理(美国Fordham毕业证书)福德汉姆大学毕业证学历证书一模一样
5spllj1l
 
University of North Carolina at Charlotte degree offer diploma Transcript
University of North Carolina at Charlotte degree offer diploma TranscriptUniversity of North Carolina at Charlotte degree offer diploma Transcript
University of North Carolina at Charlotte degree offer diploma Transcript
tscdzuip
 
Machine Learning in Business - A power point presentation.pptx
Machine Learning in Business - A power point presentation.pptxMachine Learning in Business - A power point presentation.pptx
Machine Learning in Business - A power point presentation.pptx
mimiroselowe
 
OAT_RI_Ep20 WeighingTheRisks_May24_Trade Wars.pptx
OAT_RI_Ep20 WeighingTheRisks_May24_Trade Wars.pptxOAT_RI_Ep20 WeighingTheRisks_May24_Trade Wars.pptx
OAT_RI_Ep20 WeighingTheRisks_May24_Trade Wars.pptx
hiddenlevers
 
做澳洲澳大利亚国立大学毕业证荣誉学位证书原版一模一样
做澳洲澳大利亚国立大学毕业证荣誉学位证书原版一模一样做澳洲澳大利亚国立大学毕业证荣誉学位证书原版一模一样
做澳洲澳大利亚国立大学毕业证荣誉学位证书原版一模一样
2g3om49r
 
1:1制作加拿大麦吉尔大学毕业证硕士学历证书原版一模一样
1:1制作加拿大麦吉尔大学毕业证硕士学历证书原版一模一样1:1制作加拿大麦吉尔大学毕业证硕士学历证书原版一模一样
1:1制作加拿大麦吉尔大学毕业证硕士学历证书原版一模一样
qntjwn68
 
在线办理(TAMU毕业证书)美国德州农工大学毕业证PDF成绩单一模一样
在线办理(TAMU毕业证书)美国德州农工大学毕业证PDF成绩单一模一样在线办理(TAMU毕业证书)美国德州农工大学毕业证PDF成绩单一模一样
在线办理(TAMU毕业证书)美国德州农工大学毕业证PDF成绩单一模一样
5spllj1l
 
TEST BANK Principles of cost accounting 17th edition edward j vanderbeck mari...
TEST BANK Principles of cost accounting 17th edition edward j vanderbeck mari...TEST BANK Principles of cost accounting 17th edition edward j vanderbeck mari...
TEST BANK Principles of cost accounting 17th edition edward j vanderbeck mari...
Donc Test
 
International Sustainability Standards Board
International Sustainability Standards BoardInternational Sustainability Standards Board
International Sustainability Standards Board
Kumar Ramaiah
 
falcon-invoice-discounting-a-premier-investment-platform-for-superior-returns...
falcon-invoice-discounting-a-premier-investment-platform-for-superior-returns...falcon-invoice-discounting-a-premier-investment-platform-for-superior-returns...
falcon-invoice-discounting-a-premier-investment-platform-for-superior-returns...
Falcon Invoice Discounting
 
Dr. Alyce Su Cover Story - China's Investment Leader
Dr. Alyce Su Cover Story - China's Investment LeaderDr. Alyce Su Cover Story - China's Investment Leader
Dr. Alyce Su Cover Story - China's Investment Leader
msthrill
 
一比一原版(RMIT毕业证)皇家墨尔本理工大学毕业证如何办理
一比一原版(RMIT毕业证)皇家墨尔本理工大学毕业证如何办理一比一原版(RMIT毕业证)皇家墨尔本理工大学毕业证如何办理
一比一原版(RMIT毕业证)皇家墨尔本理工大学毕业证如何办理
k4ncd0z
 
FCCS Basic Accounts Outline and Hierarchy.pptx
FCCS Basic Accounts Outline and Hierarchy.pptxFCCS Basic Accounts Outline and Hierarchy.pptx
FCCS Basic Accounts Outline and Hierarchy.pptx
nalamynandan
 

Recently uploaded (20)

高仿英国伦敦艺术大学毕业证(ual毕业证书)文凭证书原版一模一样
高仿英国伦敦艺术大学毕业证(ual毕业证书)文凭证书原版一模一样高仿英国伦敦艺术大学毕业证(ual毕业证书)文凭证书原版一模一样
高仿英国伦敦艺术大学毕业证(ual毕业证书)文凭证书原版一模一样
 
Discover the Future of Dogecoin with Our Comprehensive Guidance
Discover the Future of Dogecoin with Our Comprehensive GuidanceDiscover the Future of Dogecoin with Our Comprehensive Guidance
Discover the Future of Dogecoin with Our Comprehensive Guidance
 
Does teamwork really matter? Looking beyond the job posting to understand lab...
Does teamwork really matter? Looking beyond the job posting to understand lab...Does teamwork really matter? Looking beyond the job posting to understand lab...
Does teamwork really matter? Looking beyond the job posting to understand lab...
 
What's a worker’s market? Job quality and labour market tightness
What's a worker’s market? Job quality and labour market tightnessWhat's a worker’s market? Job quality and labour market tightness
What's a worker’s market? Job quality and labour market tightness
 
1比1复刻(ksu毕业证书)美国堪萨斯州立大学毕业证本科文凭证书原版一模一样
1比1复刻(ksu毕业证书)美国堪萨斯州立大学毕业证本科文凭证书原版一模一样1比1复刻(ksu毕业证书)美国堪萨斯州立大学毕业证本科文凭证书原版一模一样
1比1复刻(ksu毕业证书)美国堪萨斯州立大学毕业证本科文凭证书原版一模一样
 
Accounting Information Systems (AIS).pptx
Accounting Information Systems (AIS).pptxAccounting Information Systems (AIS).pptx
Accounting Information Systems (AIS).pptx
 
Detailed power point presentation on compound interest and how it is calculated
Detailed power point presentation on compound interest  and how it is calculatedDetailed power point presentation on compound interest  and how it is calculated
Detailed power point presentation on compound interest and how it is calculated
 
快速办理(美国Fordham毕业证书)福德汉姆大学毕业证学历证书一模一样
快速办理(美国Fordham毕业证书)福德汉姆大学毕业证学历证书一模一样快速办理(美国Fordham毕业证书)福德汉姆大学毕业证学历证书一模一样
快速办理(美国Fordham毕业证书)福德汉姆大学毕业证学历证书一模一样
 
University of North Carolina at Charlotte degree offer diploma Transcript
University of North Carolina at Charlotte degree offer diploma TranscriptUniversity of North Carolina at Charlotte degree offer diploma Transcript
University of North Carolina at Charlotte degree offer diploma Transcript
 
Machine Learning in Business - A power point presentation.pptx
Machine Learning in Business - A power point presentation.pptxMachine Learning in Business - A power point presentation.pptx
Machine Learning in Business - A power point presentation.pptx
 
OAT_RI_Ep20 WeighingTheRisks_May24_Trade Wars.pptx
OAT_RI_Ep20 WeighingTheRisks_May24_Trade Wars.pptxOAT_RI_Ep20 WeighingTheRisks_May24_Trade Wars.pptx
OAT_RI_Ep20 WeighingTheRisks_May24_Trade Wars.pptx
 
做澳洲澳大利亚国立大学毕业证荣誉学位证书原版一模一样
做澳洲澳大利亚国立大学毕业证荣誉学位证书原版一模一样做澳洲澳大利亚国立大学毕业证荣誉学位证书原版一模一样
做澳洲澳大利亚国立大学毕业证荣誉学位证书原版一模一样
 
1:1制作加拿大麦吉尔大学毕业证硕士学历证书原版一模一样
1:1制作加拿大麦吉尔大学毕业证硕士学历证书原版一模一样1:1制作加拿大麦吉尔大学毕业证硕士学历证书原版一模一样
1:1制作加拿大麦吉尔大学毕业证硕士学历证书原版一模一样
 
在线办理(TAMU毕业证书)美国德州农工大学毕业证PDF成绩单一模一样
在线办理(TAMU毕业证书)美国德州农工大学毕业证PDF成绩单一模一样在线办理(TAMU毕业证书)美国德州农工大学毕业证PDF成绩单一模一样
在线办理(TAMU毕业证书)美国德州农工大学毕业证PDF成绩单一模一样
 
TEST BANK Principles of cost accounting 17th edition edward j vanderbeck mari...
TEST BANK Principles of cost accounting 17th edition edward j vanderbeck mari...TEST BANK Principles of cost accounting 17th edition edward j vanderbeck mari...
TEST BANK Principles of cost accounting 17th edition edward j vanderbeck mari...
 
International Sustainability Standards Board
International Sustainability Standards BoardInternational Sustainability Standards Board
International Sustainability Standards Board
 
falcon-invoice-discounting-a-premier-investment-platform-for-superior-returns...
falcon-invoice-discounting-a-premier-investment-platform-for-superior-returns...falcon-invoice-discounting-a-premier-investment-platform-for-superior-returns...
falcon-invoice-discounting-a-premier-investment-platform-for-superior-returns...
 
Dr. Alyce Su Cover Story - China's Investment Leader
Dr. Alyce Su Cover Story - China's Investment LeaderDr. Alyce Su Cover Story - China's Investment Leader
Dr. Alyce Su Cover Story - China's Investment Leader
 
一比一原版(RMIT毕业证)皇家墨尔本理工大学毕业证如何办理
一比一原版(RMIT毕业证)皇家墨尔本理工大学毕业证如何办理一比一原版(RMIT毕业证)皇家墨尔本理工大学毕业证如何办理
一比一原版(RMIT毕业证)皇家墨尔本理工大学毕业证如何办理
 
FCCS Basic Accounts Outline and Hierarchy.pptx
FCCS Basic Accounts Outline and Hierarchy.pptxFCCS Basic Accounts Outline and Hierarchy.pptx
FCCS Basic Accounts Outline and Hierarchy.pptx
 

SAP FI - Account Payable (AP)

  • 1. SAP FI Accounts Payable 1 www.indiantaxhome.com
  • 2. Table of contents  AP Overview  Sub Processes Master Data Invoice Processing Payments / Disbursements Account Analysis / Reconciliation Periodic Processing Reporting 2 www.indiantaxhome.com
  • 3. SAP Modules - Overview SD FI Sales & Financial Distribution Accounting MM CO Materials Controlling Mgmt. PP AM Product Fixed Asset Planning Mgmt. QM Quality SAP R/3 PS Project Mgmt. System PM OC Plant Maint. Office & Comm. 3 HR IS Human Industry Resources Solutions www.indiantaxhome.com
  • 4. FI – Financial Accounting Modules FI - Financial Accounting Modules General Ledger GL Special Ledger Accounts Receivable SL APP A Legal Accounts Payable Consolidation LC FI AR TM CM Travel Management AM & Cash Management 4 IM Asset and Investment Management www.indiantaxhome.com
  • 5. Accounts Payable Process Overview Financial  Process decompositions are the starting Accounting point for process documentation.  They summarise what is involved in a the AP process at a high level Accounts Payable Master Invoice Payments / Account Periodic Reporting Data 5 Processing Disbursements Analysis & Processing •Sundry Reconciliation •Logistics www.indiantaxhome.com
  • 6. Master Data  Maintenance • Creation 3 Levels • General Data (name, address) • Company Data (reconciliation acct, payment term) • Purchasing Data (PO currency, incoterms) • Change • Block • Delete  Account Groups  Intercompany 6  One-time vendors www.indiantaxhome.com
  • 7. Master Data: Structure Client  General data 230 • Address Vendor • Control data Master • Payment Transactions Company Code  Company Code data 9100 A • Account Management Ltd. • Payment Transactions • Correspondence 7 Purchasing Organization: www.indiantaxhome.com 9100 A Purch.Org.  Purchasing Organization • Purchasing Data • Partner functions
  • 8. Master Data: Account Groups Local Vendors Groups Implemented GEV OTV AFV 8 One-Time Vendor 0005 www.indiantaxhome.com Foreign Vendors SWV
  • 9. Master Data: Number Ranges Groups Number Implemented Ranges GEV 01 0000100000 0000299999 0005 OTV 02 0000300000 0000399999 03 0000400000 0000499999 9 AFV ZZ www.indiantaxhome.com 1000000000 1999999999 SWV
  • 10. Master Data: Blocking a Vendor  Vendor master record can be blocked in the following areas: • Posting block, • Purchasing block  In addition user may specify reason for 10 blocking www.indiantaxhome.com
  • 11. Master Data: Mark for Deletion  All data in this master record is to be deleted.  Deletion is done by archiving program, provided that there is no dependent data on vendor account. 11 www.indiantaxhome.com
  • 12. Master Data: Intercompany 12 www.indiantaxhome.com
  • 13. Master Data: One-time Vendor  We use One-time Vendor Master Record to avoid large number of unnecessary master data  Every time we enter a business transaction, the systems stores the 13 specific Master Data information separately in www.indiantaxhome.com document the
  • 14. Accounts Payable Process Overview Financial  Process decompositions are the starting Accounting point for process documentation.  They summarise what is involved in a the AP process at a high level Accounts Payable Master Invoice Payments / Account Periodic Reporting Data 14 Processing Disbursements Analysis & Processing •Sundry Reconciliation •Logistics www.indiantaxhome.com
  • 15. Invoice Processing Business Transactions included in Process:  Sundry • Invoice • Credit Memo • Down Payment (Special G/L) • Foreign Currency • Cancel/Reverse Document • Inter-company (Idoc’s) 15 www.indiantaxhome.com
  • 16. Document Entry – Basic Data Enter company code Screen Tab 16 www.indiantaxhome.com  All required data on one screen,  A user can use “tabs” to switch between sub-screens
  • 17. Posting a document OR 17 www.indiantaxhome.com Document Simulation
  • 18. Parked doc. vs. Held doc.  Park document: • Assigned number (according to document type) • Available for many users (depending on authorizations in the system)  Held document: • Internal document number (defined by the user) 18 • Available only for the user who created it. www.indiantaxhome.com
  • 19. Processing of Parked Documents Save the document  The parked document may be:  Posted, 19  Edited,  Saved as Edit your document completed, www.indiantaxhome.com  Deleted.
  • 20. Special GL Transactions: Definition Special GL Indicator Vendors’ reconciliation Accounts defined accounts for Special GL Transactions 20  Special GL Transactions allow the user to post the document to an alternative GL account instead of “normal” Vendor reconciliation account,  They are defined in Customizing for Vendor and Customer reconciliation www.indiantaxhome.com accounts,  Customer / Vendor account balances are not affected.
  • 21. Posting a Down Payment Vendor GL Down Account Bank Payments Account 1 1 10 10 10  A Ltd pays the vendor a down-payment: $10.000,- 21  The down payment is booked on Vendor account with a Special GL indicator  The amount of $10.000,- is shown on Vendor account, but on different GL www.indiantaxhome.com Account, instead of Vendor reconciliation account
  • 22. Display of Special GL Transactions Transaction code: FBL1N - Line item Display  To display the transaction posted with Special GL Indicator, mark 22 the relevant field on the “Line items display” screen.  “Dynamic selections” may be used to search for different GL www.indiantaxhome.com indicators.
  • 23. Posting in Foreign Currency  For23 every Company Code there’s defined a company code currency,  Every document, posted in different currency than CC currency, is www.indiantaxhome.com processed as a foreign currency document.
  • 24. Posting in Foreign Currency (2) Document header Document header Exchange rates Exchange rates Currency/rate USD 43.5 Amount 1,000 08.15.05 USD INR 43.60 Translation date 09.30.05 09.30.05 USD INR 43.50 Line items Line items 24 Amount FC: 1,000.00 USD Amount LC: 43500 INR www.indiantaxhome.com
  • 25. Posting in Foreign Currency (3) 1. 2. 25 3. 1. Exchange rate can be entered manually, 2. Or derived from “Exchange Rates Table” www.indiantaxhome.com 3. System automatically translates the foreign currency into CC currency.
  • 26. Reverse an AP document Document entered incorrectly Balance sheet Assets Liabilities Document corrected by Reversal: Shared equity Reverse with a standard reversal posting Reverse with a negative posting 26 Document re-entered correctly www.indiantaxhome.com
  • 27. Mass Reversal of Documents Mass Reversal Procedure 27  Many documents may be reversed at the same time, www.indiantaxhome.com  Process may be scheduled to be performed in the background.
  • 28. Inter-company Processing Inter-coy Billing (Invoice (IV AR header reference SD Document = A Ltd 2000002244 AP header reference HDR Ref: 2000002244 AP AR Inter-coy Billing (Invoice (IV SD Document A1 Ltd 1000001144 F110 FI Document HDR Ref: 3000015244 1000001144 AP HDR Ref: 2000002244 AR 28 A2 Ltd F110 FI Document 2000006344 www.indiantaxhome.com AR header reference HDR Ref: = 1000001144 AP header reference
  • 29. Invoice Processing continued… Business Transactions included in Process:  Logistics • Invoice Receipt • Overview • Subsequent DR’s / CR’s • Delivery Costs (Planned / Unplanned) • Credit Memo • Evaluated Receipt Settlement (ERS) • Consignment / Pipeline Settlement 29 www.indiantaxhome.com
  • 30. Procurement Cycle Purchase requisition 8 1 Payment Determination Invoice processing of reqmts. Purchase Quotation order 10 10 Invoice 7 20 2 20 Source verification determination Goods 30 6 3 Vendor receipt selection Purchase order www.indiantaxhome.com 10 PO20 PO 5 4 processing monitoring
  • 31. Accounting Entries Cost Element Object GR/IR Acc. Payable 1. 2. 1. 3. 2. 1. Goods received. Bank Clearing Account Bank 4. 3. 4. 2. Invoice received. 31 3. Vendor paid. www.indiantaxhome.com 4. Bank account credited/charged
  • 32. Invoice Verification (Three Way Matching) Master data Invoice verification Invoice document Payment Invoice program Check Discrepancies 32 Purchase Goods receipt order www.indiantaxhome.com
  • 33. Display Purchase Order  Purchase orders are the actual requests for a vendor or a plant within A Ltd. to deliver materials and or services based on predefined agreements (e.g. contract or quotation). Use TCode ME23N to display PO. Purchase Purchase Requisition Purchase Requisition Purchase Requisition Purchase 10 Purchase Requisition 10 Purchase Requisition Order 20 10 Requisition 20 10 10 30 20 10 30 20 10 20 30 20 Vendor 30 20 33 30 30 30 www.indiantaxhome.com Source Source Assignment Assignment
  • 34. A Vendor Invoice  The user must enter the following data: • document date, purchase order number • invoiced amount, terms of payment (if necessary)  The following items are copied from the purchase order: • vendor, terms of payment, invoice items  The following items are transferred from the purchase order history: • quantity, amount 34 • account determination.  The bank information is stored in the vendor master record. www.indiantaxhome.com
  • 35. Parking a Vendor Invoice  You can park or hold an invoice before posting it. When you save the document, the system creates an unposted document that only 35 contains the data on the initial screen such as the gross invoice amount, tax amount, terms of payment and allocation, but no item www.indiantaxhome.com data.  Later you can use the “Invoice overview” function to change and post the parked / held document
  • 36. Subsequent Debit / Credit 1 Invoice for PO 456 100 pcs - 300 INR 100 pcs 300 INR PO History 2 Invoice for PO 456 150 pcs - 450 INR 50 pcs 150 INR 3 Invoice for 36 PO 456 Subsequent costs 150 pcs - 480 INR 50 pcs 30 INR www.indiantaxhome.com
  • 37. Subsequent Debit / Credit - Posting Rules  When you post a subsequent debit/credit, the invoice amount is posted to the vendor account.  If the quantity to be subsequently debited or credited has already been delivered, the system makes the offsetting entry to the stock account or the price difference account, depending on the type of price control used. For purchase order items with account assignment, the system makes the offsetting entry to the cost account.  If the quantity to be subsequently debited or credited has not yet been delivered, the R/3 System makes the posting to the GR/IR clearing account. When you post the goods receipt, the system debits/credits the stock account or the price difference account, depending on the price control used. (Note: Generally always GR based IV followed) 37 www.indiantaxhome.com
  • 38. Delivery Costs Purchase Purchase order 123 order 456 100 pcs 10 INR 100 pcs 10 INR Freight 1 INR/pc Freight - Delivery costs Unplanned costs Delivery 100 pcs 1000 INR 100 pcs 1000 INR Freight 100 INR Freight 100 INR Total: 1100 INR Total: 1100 INR 38  Delivery costs can be divided into: www.indiantaxhome.com • Planned delivery costs • Unplanned delivery costs
  • 39. Planned Delivery Costs - Postings Invoice with reference to the PO MIRO Accounting Document 39  For planned delivery costs, the postings are made to a clearing account at goods receipt. There are separate accounts for costs of different origins. www.indiantaxhome.com  If the delivery costs in the invoice differ from the planned delivery costs, the differences are posted in the same way as for normal price and quantity variances.
  • 40. Unplanned Delivery Costs - Postings MIRO 40 www.indiantaxhome.com Accounting Document
  • 41. Credit Memo Purchase order 123 Credit Memo 100 pcs 10 INR/pc 80 pcs 800 INR 30 pcs 300 INR Goods Receipt: 50 pcs Purchase order 123 Subsequent Credit 41 100 pcs 10 INR/pc 50 pcs 800 INR 50 pcs 300 INR www.indiantaxhome.com
  • 42. Evaluated Receipt Settlement  In Evaluated Receipt Settlement (ERS), goods receipts are settled (posted) directly without the vendor having to issue an invoice.  To generate vendor invoice the system uses information from the purchase order and the goods receipt.  The following prerequisites must be met to use ERS functionality: • The goods receipt must refer to a purchase order. • Goods-receipt-based Invoice Verification must be defined for the purchase order item. 42 • The order price of the materials may not be an estimated price • The Vendor master record must be flagged as being subject to www.indiantaxhome.com ERS.
  • 43. Evaluated Receipt Settlement (2) Purchase Order Goods Receipt Vendor Invoice Purchase Order 10 20 30  Goods receipts are settled automatically. 43  The system posts the invoice document automatically on the basis of the data in the purchase order and goods www.indiantaxhome.com receipts.  This way you can eliminate invoice variances.
  • 44. Pipeline Settlement Bill of Bill of Goods Goods Vendor Vendor Materials Materials Receipts Receipts Invoice Invoice PIPE PIPE Dt Accruals Material Material Ct Vendor 10 10 20 20 30 30  A Ltd. have pipeline materials as part of their Bill of Material, 44  There’s no invoice from the vendor for goods withdrawals, www.indiantaxhome.com  Instead, A Ltd. will settle posted withdrawals, issue a statement of the settlement and send it the vendor.
  • 45. Accounts Payable Process Overview Financial  Process decompositions are the starting Accounting point for process documentation.  They summarise what is involved in a the AP process at a high level Accounts Payable Master Invoice Payments / Account Periodic Reporting Data 45 Processing Disbursements Analysis & Processing •Sundry Reconciliation •Logistics www.indiantaxhome.com
  • 46. Payments / Disbursements Business Transactions included in Process:  Manual payments  Automatic Payment Run  Outgoing Payments • Reports  Inter-company Payments • IDoc’s (REMADV) 46 www.indiantaxhome.com
  • 47. Manual outgoing payment Open items 47  www.indiantaxhome.com This transaction is being used to post vendor outgoing payments that have not been cleared by the automatic payment program,  All data on one screen, no posting keys required.
  • 48. Automated Outgoing Pay.-Activity Flow Invoices, Credit Memos, Payment Automatic Create Pay. Run & Yes Schedule Requests Payment Run maintain Proposal Parameters No Post Outgoing Proposal Payment With List Printout Checks / Transfer Edit Proposal Approval Send transfers Propos to Banks and/or al checks to Approv Vendors al 48 Schedule Payment www.indiantaxhome.com Print Payment Medium
  • 49. Automatic Payment Process Invoices or payment requests are Payment entered Open invoices are documents analysed are printed Invoices are Invoices are paid proposed for payment 49 Payments are Payments are www.indiantaxhome.com approved modified
  • 50. Payment Program Steps Maintain Parameters Parameters are entered Schedule Proposal Payment proposals are created Edit Proposal Payment proposals are edited 50 Schedule Payments Payment run is carried out www.indiantaxhome.com Schedule Printing
  • 51. Inputs to the Payment Program Master Data Invoice Payment Program 51 www.indiantaxhome.com Online Parameters Selection Parameters
  • 52. Maintaining Payment Parameters Identifies each individual payment run Status of the payment run 52 www.indiantaxhome.com
  • 53. Payment Program Parameters Which company codes are included? Which payment methods? 53 Who’s being paid? www.indiantaxhome.com When is the next run?
  • 54. Proposal List List of Vendors Discounts/ Amounts included in included in the run Exceptions proposal 54 Line www.indiantaxhome.com Items Payment Currency Method Bank details
  • 55. Exception List  Items that cannot be paid are detailed on the exception list  Possible reasons: • Invoice is blocked • Invalid data in the master record • Invalid payment method • Invalid house bank Exception List! • Payment amount is less than 55 the minimum amount Payment Items specified for payment ... • Not enough money in the ... www.indiantaxhome.com bank per house Total configuration
  • 56. Edit Payment Proposals Payments Items Changing line items Payment Payment Line Item 1 Payment Payment Items Payment block Item 1 Payment House Method Payment Discount Item 2 Bank Payment House Method Payment Item 3 Amount Bank Payment House Method Payment ... ... Amount Bank Reallocate Payment House Method Payment ... Amount Bank Payment House Method Payment ... Amount Bank Payment House Method Payment Change payment ... Amount Bank Create new payment Account House Method Line Item 1 ... Amount Amount or allocate item to Bank ... 56 existing payment Payment method Amount Payment Method House Bank ... House Bank Due Date ... www.indiantaxhome.com
  • 57. Schedule Proposals Schedule a start Choose this option to - OR - time start immediately 57 www.indiantaxhome.com
  • 58. Payment Runs Clear paid open items Post payments to Post related postings general ledger for tax, discounts Payment 58 Run www.indiantaxhome.com Post related postings Supply print program for exchange rate with necessary data differences
  • 59. Printing Schedule - Checks  AP Department employee creates and posts payment run,  Checks & payment advices are printed Enter Variant & print checks 59 www.indiantaxhome.com
  • 60. Print Program - Bank Transfer AP Department employee creates and posts payment run, Payment files & payment advices are Enter generated / printed variant 60 www.indiantaxhome.com
  • 61. Print Program - Bank Transfer 1. AP clerk creates and posts payment run, 2. AP manager creates electronic payment documents 3. Data is downloaded 61 to a local file. www.indiantaxhome.com Create a local file - electronic pay. medium
  • 62. Payment Program - Reports List of Spool Requests  Payment program generates several different outputs (like DME files, error logs, payment proposal list, payment settlement list etc.)  You can access those reports directly from Payment program menus or from AP/AR information system. 62  Some of the reports payment program generates automatically and youwww.indiantaxhome.com can access them from the spool (transaction SP02 or SP01).
  • 63. Payment Run - Print a List Choose the relevant function from the main menu 63 www.indiantaxhome.com Payment Settlement List
  • 64. Accounts Payable Process Overview Financial  Process decompositions are the starting Accounting point for process documentation.  They summarise what is involved in a the AP process at a high level Accounts Payable Master Invoice Payments / Account Periodic Reporting Data 64 Processing Disbursements Analysis & Processing •Sundry Reconciliation •Logistics www.indiantaxhome.com
  • 65. Account Analysis / Reconciliation Business Transactions included in Process: Accounts Balance •Line Item display Account Clearing •Internal Post with Clearing •Clearing with Customer 65 www.indiantaxhome.com
  • 66. Display Account Balance 66  Account balance displays totals of transactions, per month as well www.indiantaxhome.com as cumulative values  The report may be printed or saved as a local file
  • 67. Display Account Line items 67  “Line items” report displays particular transactions, www.indiantaxhome.com  It it possible to change the documents directly from this screen,  The report may be printed or saved as a local file
  • 68. Open Item Clearing 2 1 Open item account Januar Februa ry 1 2 3 4 5 6 7 y 1 2 3 4 5 6 7 8 9 1011121314 2,000 5,000 8 9 1011121314 16171819202122 16171819202122 23242526272829 3,000 23242526272829 293031 293031 Invoice Goods receipt Can be cleared 3 Clearing an Post with account clearing 68 www.indiantaxhome.com
  • 69. Clearing Open Items Manually 1 Invoice 1000 2 Credit memo 1000 ? Clearing account 69 1 1000 1000 2 www.indiantaxhome.com
  • 70. Automatic Clearing Program Accounts xxxxxx xxxxxx xxxxxx xxxxxx ---- ---- ---- ---- ---- ---- ---- ---- ---- ---- ---- ---- ---- ---- ---- ---- ---- ---- ---- ---- ---- ---- ---- ---- ---- ---- ---- ---- ---- ---- ---- ---- ---- ---- ---- ---- ---- ---- ---- ---- Automatic clearing program Recon acc. 160000 Clearing Recon acc. 160100 Clearing document 70 no. Ref Amount Ref no. Amount document 5287 5000 - 16978 1500 - 5287 7000 - 16978 3200 - 5287 12000 + 16978 4700 + Ref no. Amount www.indiantaxhome.com Clearing Ref no. Amount Clearing document document 425 2500 - 9624 7500 - 425 2500+ 9624 7500+
  • 71. The Clearing Document Open Item Account 40000 10000 Clearing 50000 20000 document 71 Amounts can be cleared www.indiantaxhome.com
  • 72. Clearing: Vendor and Customer 1 Customer invoice 46,000 2 Vendor invoice 20,000 3 Customer payment 26,000 Customer ABC Inc. Vendor ABC Inc. 1 46,000 46,000 3 3 20,000 20,000 2 72 Bank 3 26,000 www.indiantaxhome.com
  • 73. Reversal of Clearing Display of cleared items Reversal of clearing 73  Reversal of documents that have been cleared before is not possible,  First the clearing operation must be reset and then you can www.indiantaxhome.com reverse a document.
  • 74. Accounts Payable Process Overview Financial  Process decompositions are the starting Accounting point for process documentation.  They summarise what is involved in a the AP process at a high level Accounts Payable Master Invoice Payments / Account Periodic Reporting Data 74 Processing Disbursements Analysis & Processing •Sundry Reconciliation •Logistics www.indiantaxhome.com
  • 75. Periodic Processing Business Transactions included in Process: LIV invoice variances •Invoice differences •Blocked invoices •Tolerances (not configured) GR/IR Account Maintenance Vendor Correspondence •Standard Letters 75 •Balance Confirmation www.indiantaxhome.com
  • 76. Invoice Variances (AP-MM integration) Quantity Price Goods Vendor Invoice Receipt Purchase order price quantity Date  The system carries out the following checks for each invoice item: • Quantity variance 76 • Price variance • Purchase order price quantity variance www.indiantaxhome.com • Date variance
  • 77. GR/IR Account Movements Purchase Invoice order Goods Receipt 97 pcs 100 pcs 100 pcs @ 10.00 USD @ 10.00 USD GR / IR Account Goods Receipt Invoice Maintenance Stock account 1,000 + 30 - 77 GR / IR account 1,000 - 970 + 30 + Vendor Account 970 - www.indiantaxhome.com
  • 78. GR/IR Quantity Variances Invoice Purchase order Goods Receipt 80 pcs @ 10.00 USD 100 pcs 50 pcs @ 10.00 USD Goods Receipt 30 pcs  The GR/IR clearing account is cleared for a purchase order item when the 78 delivered quantity and the invoice quantity are the same.  In this example the invoice quantity is greater than the delivered quantity, the system expects another goodswww.indiantaxhome.com receipt.
  • 79. GR/IR Quantity Variances (2) Invoice #1 Purchase order Goods Receipt 97 pcs @ 10.00 USD 100 pcs 100 pcs @ 10.00 USD Invoice #2 3 pcs @ 10.00 USD  In this example the delivered quantity is greater than the invoice quantity, 79 the system expects another invoice.  Any differences in the GR/IR clearing account must be cleared. If the differences are not cleared by another goods receipt (or a return delivery) www.indiantaxhome.com or by an invoice (or a credit memo), the GR/IR clearing account must be maintained manually.
  • 80. Releasing Blocked Invoices  An invoice is blocked for payment when you post it, because the Payment block indicator is selected in the vendor line item of the invoice document. Financial Accounting is then unable to pay the invoice.  A blocked invoice can be released for payment in a separate step. This deletes the payment block.  An invoice is also blocked when the variance between goods receipt and an invoice exceeds tolerance limits.  The invoice will not be blocked if the variance is within 80 certain tolerance limits. www.indiantaxhome.com
  • 81. Releasing Blocked Invoices (2) Make selection Define processing Automatic release Manual release  The blocked invoices can be released.  In the time between the blocking and releasing of an invoice, the cash discount period could expire. When you 81 release an invoice, you have the opportunity to change the baseline date for payment. www.indiantaxhome.com  You can define whether you want to release the invoices manually or automatically via the field Automatic release.
  • 82. Tolerances  In every company code there defined tolerances for: • Quantity variance • Price variance • Purchase order price quantity variance • Date variance 82  In the case of quantity variance the system checks purchase order price vs. quantity variance (the greater the purchase order price, the lower the tolerated quantity variance) www.indiantaxhome.com  In the case of schedule variance the system checks invoice value vs. days variance (the greater the invoice value, the lower the tolerated schedule variance).
  • 83. Requesting Correspondence Correspondence request Mass request Individual request Individual request selection program manual automatic Periodic account statement Internal documents Standard letter Open item list Bill of exchange Account statement settlement Individual correspondence Payment notice Corre- spond- 83 ence requests www.indiantaxhome.com Trigger report Print programs
  • 84. Balance confirmation Letter to the Vendor Vendor Reply to the Sender 200.00- Open items 354.00 126.20- ……. 84  This function enables you to create and print letters to the Vendors for checking the open items. www.indiantaxhome.com  System prints also a necessary reply form, so a Vendor can confirm the outstanding items or specify the differences.
  • 85. Correspondence: Output Type Printer 85 www.indiantaxhome.com Email Fax
  • 86. Accounts Payable Process Overview Financial  Process decompositions are the starting Accounting point for process documentation.  They summarise what is involved in a the AP process at a high level Accounts Payable Master Invoice Payments / Account Month Reporting Data 86 Processing Disbursements Analysis & End •Sundry Reconciliation Processing •Logistics www.indiantaxhome.com
  • 87. Reporting Business Transactions included in Process: Standard Reports •Open Items List •Cleared Items List •Account List •Account Balance List •Vendor Evaluations Customised Reports •Aged 87 Open Items List www.indiantaxhome.com
  • 88. Accessing Reports 1 SAP Menu 2 Transaction SA38 88  A user can run the required report in two ways: • Directly from “The Report Tree”, www.indiantaxhome.com • Using transaction SA38, provided that he/she knows the report’s name
  • 89. Report Variant 1) Enter the required 2 criteria on the selection screen 1 2) Click “Save” button 89 3) Enter the variant’s 3 www.indiantaxhome.com name
  • 90. Report Execution Report Execution Selection of Report Parameters 90 Variant Selection Dynamic selection www.indiantaxhome.com  A report can be executed directly or scheduled in the background
  • 91. Accounts Payable Evaluations de Evaluation Views co Variable y - Corporate group p an ea o m ar C ess - Company code n u si try - Business Area Due date analysis Currency analysis B un oup Overdue items o C gr g in ct. ann Ac Pl . 91 on ec s R ion s V er www.indiantaxhome.com Evaluation types

Editor's Notes

  1. HR07: HR PAYROLL HR Page
  2. HR07: HR PAYROLL HR Page
  3. HR07: HR PAYROLL HR Page
  4. HR07: HR PAYROLL HR Page
  5. HR07: HR PAYROLL HR Page
  6. HR07: HR PAYROLL HR Page
  7. HR07: HR PAYROLL HR Page
  8. HR07: HR PAYROLL HR Page To create a master record, you have to specify an account group. The account group cannot be changed after you have created the master record. The account group determines: How the account is numbered. A number interval from which the account number is chosen, Which fields are displayed when you create or maintain vendor master data and whether the entry is optional or required (field status) when you enter or change vendor master data. E.g. when setting up an Employee as a vendor, purchasing data is not required. Whether the account is a one-time account.
  9. HR07: HR PAYROLL HR Page The SAP R/3 system works on the principle of numbers, as opposed to names, for master records. Each master record has a unique number. You need this number to display or change the master record and to post to the vendor account. The vendor master record number is assigned automatically by SAP R/3 in sequential order or manually in the case of account group SWV (external / internal number assignment). SAP R/3 ensures that the numbers assigned are always unique, the system selects the next number from the interval. When the account number is entered manually, SAP R/3 checks the number against existing vendor master records. A vendor account has the same number for all company codes. The account group determines what the valid number interval for a vendor master record is.
  10. HR07: HR PAYROLL HR Page When you block an account centrally, you can prevent both posting and order processing. On the initial screen, you can specify the areas that you need to block by entering the company code and purchasing organisation . If you do not specify the key for an area, the corresponding block fields are not set. Enter the vendor account number and the company code. Optionally enter the purchasing organization. To block posting, select the company code of the displayed vendor master record or select all company codes by clicking in the corresponding field. To block purchasing, select either the displayed purchasing area or all purchasing organisations by clicking next to the corresponding field.
  11. HR07: HR PAYROLL HR Page You can archive vendor account master records that you no longer need. Vendor master records may not be archived immediately. For you to archive a customer master record, the following requirements must be met: The account cannot contain any transaction figures in the system. Transaction figures from prior years that have not been archived will prevent the system from deleting the account master record. The account must be marked for deletion in its master record. You should block an account for posting before you mark it for deletion. The only effect this deletion indicator has is to cause a warning to be issued every time you subsequently try to post to this account. You can set the deletion flag for all company codes or just one specific company code. You can reset a deletion flag at any time as long as the master record has not been physically deleted from the system (provided you are authorized to do so). If all open items in the vendor account you are deleting are cleared, you should block it for posting so that other users cannot post to it.
  12. HR07: HR PAYROLL HR Page
  13. HR07: HR PAYROLL HR Page One-time vendors are used for vendors with whom we rarely or only once perform business with. In contrast to other vendor master records, a one-time vendor master record is used for several vendors, so that you do not have to create a large number of vendor master records that are used only once. As a result, you do not store any vendor-specific data in the vendor master record for one-time accounts. When you post an invoice to a one-time account, SAP R\\3 automatically goes to a master data screen. In this screen, you enter the specific master data for the vendor, e.g. name, address, which is stored separately in the document. You create, display, block, and delete one-time vendor master records in the same way as all other vendor master records.
  14. HR07: HR PAYROLL HR Page
  15. HR07: HR PAYROLL HR Page
  16. HR07: HR PAYROLL HR Page The Enter Invoice screen consists of five standard tabs: Basic data Payment Details Tax Notes On the basic data tab, enter general data about the invoice and vendor, e.g. vendor number, invoice amount, invoice date.
  17. HR07: HR PAYROLL HR Page After entering the document it is possible: To post it immediately To “park” the document To hold the document
  18. HR07: HR PAYROLL HR Page
  19. HR07: HR PAYROLL HR Page If you know the parked document’s details, enter the document number, company code and fiscal year on the Initial screen. Alternatively, click the List button, which takes you to a selection screen. On the Document List screen, enter the selection criteria, then click the Execute button
  20. HR07: HR PAYROLL HR Page
  21. HR07: HR PAYROLL HR Page Except of “normal” special GL transactions, in the system there may be defined “noted items”. If the special GL transaction is defined as “noted item” then postings with this indicator do not lead to an update of the transaction figures. A typical example of a noted item is a “Down Payment Request”. A transaction entered with this indicator stores only an information in the system (no “real posting takes place). This document (down payment request) is used later to post automatically a down payment and create a payment document.
  22. HR07: HR PAYROLL HR Page
  23. HR07: HR PAYROLL HR Page The company code currency is defined in SAP as a local currency If the GL account currency = CC currency, then the posting can be done in any currency. Otherwise, the posting can be done only in the currency that has been defined for this particular GL account.
  24. HR07: HR PAYROLL HR Page When you post an item in a foreign currency, you enter the appropriate foreign currency key in place of the local currency key that is defaulted by the system. The currency key is entered in the Currency/Rate field of the document header. The system stores the amount in both local currency and foreign currency in each line item and checks whether the currency key has been defined and is therefore permitted. You will normally use an exchange rate defined in the exchange rate table. The system defaults the posting date as the translation date, and this translation date determines which exchange rate is taken from the exchange rate table. The amount need be entered in only one currency; since the system translates this amount into the other currency automatically. In the line items, all amounts are saved in both currencies. These include the posting amount, tax amount, and cash discount amount. The currency exchange table can be overridden by entering an exchange rate manually (in the document header), or entering the local/foreign currency amount at line item level. The translation date can also be entered manually to override the document date.
  25. HR07: HR PAYROLL HR Page When you post an invoice in a foreign currency, you enter the appropriate foreign currency key in place of the local currency key, USD that is defaulted by the SAP R/3. The system stores the amount in both local currency and foreign currency in each line item and checks whether the currency key has been defined and is therefore permitted. The amount is entered in only one currency, as the system translates this amount into the other currency automatically. Normally you will use the exchange rate defined in the exchange rate table. If the exchange rate on the invoice is different than default daily rate the currency exchange rate table can be overridden by entering an exchange rate manually (in the document header), or entering the local/foreign currency amount at line item level.
  26. HR07: HR PAYROLL HR Page “ Nobody’s perfect”. As a result, the document created may contain incorrect information.  The system provides a function to reverse G/L, A/R and A/P documents both individually or in mass process.   A document may be reversed either by:   entering a standard reversal posting or   entering a negative posting . To reverse a document user must enter the reason code.   Documents with cleared items cannot be reversed. The clearing document must first be reset.
  27. HR07: HR PAYROLL HR Page
  28. HR07: HR PAYROLL HR Page
  29. HR07: HR PAYROLL HR Page
  30. HR07: HR PAYROLL HR Page The procurement environment involves a number of steps: A material shortage is identified. The source of the required material is determined through external procurement (purchasing) or in-house (through production or from inventory). If the item is externally procured, the rest of the procurement cycle follows. The purchase requisitioner creates a purchase requisition and sends it to the buyer. The buyer identifies the supplier through a tender process (request for quotation) or other sourcing agreement. The buyer creates the purchase order and monitors the order. The goods arrive and a goods receipt note is checked against the purchase order. Under/over deliveries are recorded, and certain procedures are followed. The invoice arrives and is checked against the purchase order and the goods receipt note. If it is in accordance with the terms of supply, it is cleared for payment. The invoice is paid on due date.
  31. HR07: HR PAYROLL HR Page A purchase order must be created and released before goods received can be booked in against it. A goods receipt note, referencing the PO will debit the cost object (or materials received/stores), and credit the GR/IR clearing account. When the invoice is captured, the accounting entries are debit and clear the GR/IR clearing account and credit accounts payable. The payment run will debit the vendor account and credit the bank clearing account. Finally, when the bank statement is posted, the bank account is credited and the bank clearing account is debited.
  32. HR07: HR PAYROLL HR Page SAP R/3 checks the invoice information against the relevant purchase order and goods receipt note to ensure that there are no quantity and price discrepancies. If there are discrepancies, the invoice is blocked and the information is sent to the buyer responsible for the purchase order. The buyer investigates the discrepancies and when resolved the accounts payable supervisor unblocks the invoice. When an invoice is posted and verified, the following occurs: The system automatically determines the accounts to be posted to and the amounts for posting. This information comes from Account Determination in Purchase Order and Purchase Requisition. The system creates an MM invoice document, and an FI document which is used in the Financial Accounting and Controlling modules. Both documents will be given the same number. After the invoice has been posted, the document appears as an open item on the vendor account (line item display).
  33. HR07: HR PAYROLL HR Page Caution: you can delete parked document, but the number of the deleted document is not re-issued! The parked document will keep the same number after posting (both documents use the same number range).
  34. HR07: HR PAYROLL HR Page A subsequent debit/credit changes the total invoice value of a purchase order item; the total invoice quantity remains unchanged. An invoice must be entered as a subsequent debit if a purchase order item has already been invoiced and further costs are incurred. (For example, a vendor has inadvertently invoiced you at too low a price and then sends a second invoice for the difference.) You must enter a credit memo as a subsequent credit if a purchase order item was invoiced at too high a price and now you have received a credit memo. (For example, a vendor has inadvertently invoiced you at too high a price and then sends a credit memo for the difference.) If you enter a subsequent debit/credit, the R/3 System suggests the entire invoiced quantity, but no value. The maximum quantity that you can subsequently debit or credit is the quantity that has already been invoiced. You can enter a subsequent debit/credit for a purchase order item only if an invoice has already been posted for that item. A subsequent debit/credit cannot refer to a specific invoice. Subsequent debits or credits are flagged in the purchase order history.
  35. HR07: HR PAYROLL HR Page Planned delivery costs are entered at item level in the purchase order. Planned delivery costs can be divided into: Freight costs Customs Delivery costs can be invoiced in the following ways: Fixed amount, independent of scope of supply Quantity-dependent amount Percentage of value of goods to be delivered Unplanned costs are entered at invoice receipt. The system posts the costs to a separate G/L account.
  36. HR07: HR PAYROLL HR Page Unplanned delivery costs referencing back to Purchase Orders have important implications. The system distributes the costs over the materials on the basis of invoiced value. The system then determines the accounts to which the costs must be posted from the Purchase Order: In the case of direct cost material, the costs are posted to the cost object. In the case of stock material, the system allocates the cost to the material in stock, provided there is a greater quantity in stock than in the PO. If there is insufficient stock coverage, the remaining cost is posted to a Price Difference account.
  37. HR07: HR PAYROLL HR Page You usually receive a credit memo from a vendor if you were overcharged. A credit memo can be entered with reference to a purchase order or a goods receipt. If you enter a credit memo for a purchase order item because the vendor has invoiced you at too high a price, you must post the credit memo as a subsequent debit/credit. The total quantity invoiced for the purchase order item remains the same; the total value invoiced is reduced. When you post a credit memo, the account movements are made according to the same rules as when you post an invoice. The R/3 System posts to the same accounts, but with the opposite +/- sign next to the entry.
  38. HR07: HR PAYROLL HR Page The system creates a message record at the time of settlement, which allows you to send the vendor a letter about the settlement. ERS is defined for each purchase order item. The R/3 System supports the buyer by suggesting information from the vendor master record and the purchasing info record. You can narrow down the selection of goods receipts for settlement in several ways – for example, by goods receipt posting date, by vendor, or by purchase order. You can set the following options for the creation of invoice documents: One invoice document per vendor One invoice document per purchase order One invoice document per purchase order item One invoice document per delivery document/service entry sheet If the invoiced quantity is greater than the delivered quantity because of returns, the R/3 System creates a credit memo during ERS. You cannot use ERS to settle delivery costs.
  39. HR07: HR PAYROLL HR Page
  40. HR07: HR PAYROLL HR Page The payment program can be customized to process both domestic and international payment transactions with vendors and prepare required files / documents.
  41. HR07: HR PAYROLL HR Page The automatic payment program is functionality implemented to manage outgoing payments. SAP R/3 gives users the options to automatically: Select open invoices to be paid or collected. Post payment documents. Print payment media or generate electronic data interchange (EDI). The payment program has been developed for both national and international payment transactions with vendors and customers, as well as intercompany payments. It is flexible enough to allow users to define those payment features that vary from country to country such as payment methods, payment forms or data carrier specifications.
  42. HR07: HR PAYROLL HR Page There are 5 steps to the payment process: Parameters : In this step, the following information is entered: Who is going to be paid? What payment methods will be used? When will they be paid? Which company codes will be considered? How are they going to be paid? Proposal : Once the parameters have been specified, the proposal run is scheduled and it produces a list of business partners and open invoices that are due for payment. Invoices can be blocked or unblocked for payment. Invoices that are blocked for payment via the payment program are blocked just for that payment run. Once the run is complete, they automatically unblocked. Edit Proposal : Once the proposal is created, review it and make any necessary changes. The next two steps are performed by the Treasury Department : Payment : Once the payment list has been verified, the payment run is scheduled. A payment document is created and the general ledger and sub-ledger accounts are updated. Print : The accounting functions are completed and a separate print program is scheduled to generate the payment documents.
  43. HR07: HR PAYROLL HR Page The main inputs to the payment program are: Master record information - address information, bank details, payment terms methods and blocks, Document information - cash discounts, payment method and block, bank details. Payment parameters - select items, banks, payment method, minimum amount. Online parameters for the payment program - payment date, select amounts, company codes, next payment date. You must maintain certain fields in vendor master records, so that payments can be processed automatically for example bank details. The payment program first processes all open items to be paid. It then posts a payment document and creates the payment transfer documents. If several items are paid for one account, the payment program usually produces only one clearing document and one payment transfer document.
  44. HR07: HR PAYROLL HR Page You need to identify each payment run separately. There are two user definable fields that should be completed: Run date. Identification. In the Run date field enter the actual date the payment is going to run. In the Identification field enter your initials.
  45. HR07: HR PAYROLL HR Page Once the payment run is identified, the payment process can begin. In the first step of the payment process you need to define the following: Who is going to be paid? What payment methods will be used? When will they be paid? Which company codes will be considered? How are they going to be paid? This information is entered in the Parameters tab of the payment program.
  46. HR07: HR PAYROLL HR Page The proposal list details the vendors and the amounts to be paid per vendor. Depending on the line layout users choose for the screen, the associated document numbers and cash discounts can be displayed. The proposal list contains a complete overview of all payments and the relevant line items. Any exceptions will be listed here as well. You can drill down several times to view and change the details of the individual payment items. The end of the list contains a breakdown of the payment amounts sorted by business areas, countries, currencies, payment methods and banks. You can view this information online or print it out.
  47. HR07: HR PAYROLL HR Page In addition to the proposal list, you can display or print an exception list. The exception list displays blocked items and all open items which the payment program did not propose for payment. The reason for the exception is represented by an error number. The list includes an error text for every error reason. All invoices that fall within the specified payment parameters but for some reason cannot be paid, will be listed on the exception list. If users selected the additional log, the list will detail why the invoice is not eligible for payment.
  48. HR07: HR PAYROLL HR Page Once the payment proposal is created, you can edit it online. Both payments and line items can be processed and edited. It is therefore possible for several people to process extensive proposal runs in parallel. You can then use the display function to track what changes were made and who made them. All changes made when editing the payment proposal affect only the payment proposal. No changes are made to the source documents. In online editing of payments - you can view the details of a particular payment, add a payment block, change the payment terms, change the payment method, house bank and the due date of the invoice. In online editing of line items - you can block or unblock line items, change the cash discount amount and allocate line items to another payment.
  49. HR07: HR PAYROLL HR Page The proposal run: searches the accounts and documents you entered in the parameters for due items groups due items together to create payments selects appropriate payment methods, house banks and partner banks for payment A payment proposal list of the open items to be paid/collected in the next payment run is created. Items that cannot be paid/collected into the payment run are documented in an exception list. The program selects open items for the payment proposal list. Criteria for selection of open item for payment are: Item due date, calculated using baseline date and terms of payment Company code-specific grace periods that are added to the due date Date of the next payment run. This date is set up in the payment run. The program uses this date combined with the factors mentioned above to determine whether items should be paid in this or in the next payment run. With these factors taken into account a proposal list is generated. The user can then edit the payment proposal log and the proposal list.
  50. HR07: HR PAYROLL HR Page Once you have edited and accepted the proposal, you can plan the payment run. Several programs are used in creating the payments: The payment program creates the payment documents and prepares the data for printing the forms or creating the tape or disk. Various payment medium programs use the data prepared by the payment program to create forms or files for the data media. In this step, payment documents are created, open items are cleared and postings are made against the general ledger and sub-ledgers. The system creates a single clearing document for all the open line items in a vendor account, which are cleared against the payment. The payment program posts payments and related postings such as those for tax, tax adjustments, exchange rate differences or cash discounts automatically.
  51. HR07: HR PAYROLL HR Page The Accounts Payable personnel will prepare a payment proposal in SAP, edit it and take out a hard copy print-out for approval and a sign-off. The hard copy would be forwarded to an employee who has authority to carry out a payment run. The person who carries out the Payment run in SAP shall compare the details approved on the hard copy with the edited proposal pending in SAP and on his satisfaction about these being identical, shall carry out a payment run in SAP. The system will post documents recording debit of the Vendor and crediting the Bank sub-account. The system has been set up so as to produce a Check (with a letter to the Vendor giving reference to payment document in the upper portion), a payment advice giving details of Vendor invoices being paid via the Payment document & a payment summary via the “Printout & DME Variant maintenance”.
  52. HR07: HR PAYROLL HR Page The Accounts Payable personnel will prepare a payment proposal in SAP, edit it and take out a hard copy print-out for approval and a sign-off. The hard copy would be forwarded to an employee who has authority to carry out a payment run. The person who carries out the Payment run in SAP shall compare the details approved on the hard copy with the edited proposal pending in SAP and on his satisfaction about these being identical, shall carry out a payment run in SAP. The system will post documents recording debit of the Vendor and crediting the Bank sub-account. The system has been set up so as to not to produce any DME data for download in the “Printout & DME Variant maintenance”. A payment advice & payment summary will be produced via the spool. The letter to be faxed to the bank for Transfer instructions is to be produced outside the system
  53. HR07: HR PAYROLL HR Page The Accounts Payable personnel will prepare a payment proposal in SAP, edit it and take out a hard copy print-out for approval and a sign-off. The hard copy would be forwarded to an employee who has authority to carry out a payment run. The person who carries out the Payment run in SAP shall compare the details approved on the hard copy with the edited proposal pending in SAP and on his satisfaction about these being identical, shall carry out a payment run in SAP. The system will post documents recording debit of the Vendor and crediting the Bank sub-account. The system has been set up so as to not to produce any DME data for download in the “Printout & DME Variant maintenance”. A payment advice & payment summary will be produced via the spool. The letter to be faxed to the bank for Transfer instructions is to be produced outside the system
  54. HR07: HR PAYROLL HR Page This program has a similar functionality as that one that prints a list for payment proposal. The difference is that this list includes the documents included in payment run. You can define your own variant for this program to define what details should be included in the output.
  55. HR07: HR PAYROLL HR Page
  56. HR07: HR PAYROLL HR Page
  57. HR07: HR PAYROLL HR Page Open items are incomplete transactions, such as an invoice for which goods or services have not yet been received. In order for an open item transaction to be considered complete, the transaction must be cleared. A transaction is considered cleared when an offset value is posted to it, so that the resulting balance of the items is zero. In the above example: 1.A goods receipt is posted to the GR/IR account. This goods receipt is regarded as an open item because at this point the corresponding invoice has not been received. 2.The invoice is received and the goods receipt is set off against it. 3.The transaction is now cleared and the resulting balance is zero.
  58. HR07: HR PAYROLL HR Page You can use manual clearing to clear debits and credits on vendor accounts which balance to zero (for example, invoices and payments which have already been entered). Manual clearing can only be done against a single vendor account in a specific company code. This means that you have to clear each vendor account separately. You need to enter the vendor account number and company code on the initial clearing screen. The clearing date is proposed by the system, but can be changed by the user. You have the option of searching for specific items to clear, for example, you can enter a range of document numbers, posting dates or transaction amounts. When you process open items manually, you can activate or deactivate open items and cash discounts, maintain cash discount amounts and enter partial payments or residual items. You process the open items by choosing the relevant debit and credit entries and then activating the open items. The system assigns the clearing date and a clearing document number to each cleared open item.
  59. HR07: HR PAYROLL HR Page You can clear open items using the the automatic clearing program. The program groups together items from an account that have the same reconciliation account number, currency, and Special G/L indicator, as well as pre-defined criteria from the document header or item such as the allocation field, reference number and amount. For A Ltd the external invoice reference number has been defined as an assignment field. If the balance, in local currency, of the items within a group is zero, the system automatically clears them and creates clearing documents. Prerequisites for using the automatic clearing program: Accounts must be managed on an open item basis. Accounts to be cleared must be defined in customizing. The automatic payment program does not clear noted items, statistical posting, down payments, bills of exchange and items with withholding tax entries. When clearing open items in a foreign currency, differences may occur due to fluctuations in exchange rates. The system automatically posts these differences as realized gains or losses.
  60. HR07: HR PAYROLL HR Page The system creates a clearing document even when no clearing entries are necessary. The clearing number is derived from the document number of the clearing document. A clearing document is created in all cases, including when doing manual clearing and running the automatic clearing program. When doing posting with clearing, you can enter a text in each clearing transaction. This text is copied to every clearing document that is created when clearing the open items. An extra reference number or text can be entered in the header of the clearing document before or after the document has been posted. One of the advantages of the clearing document is the higher transparency when viewing cleared items. The user ID of the person who cleared the open items is recorded, which provides a higher degree of security. When no line items are created in the clearing process a document is still created containing the header data. From the header data you can view the accounts in which items were cleared. You can define a default document type for clearing documents, which will improve searching for and reporting on clearing documents.
  61. HR07: HR PAYROLL HR Page If you select a vendor who is also a customer when processing a clearing transaction, such as an incoming/outgoing payment or account maintenance, the system will also select the open customer items automatically, provided that: The customer number was entered in the vendor master record. The “Clearing with customer / vendor” indicator has been set in both master records. When posting payments to these vendors, the system will display the customer open items in addition to the vendor open items. You must have authorization to post in both Accounts Receivable and Accounts Payable transactions, in order to clear customers and vendors against each other.
  62. HR07: HR PAYROLL HR Page
  63. HR07: HR PAYROLL HR Page
  64. HR07: HR PAYROLL HR Page
  65. HR07: HR PAYROLL HR Page Any variances in the invoice items will result in invoice blocking Using the transaction “Invoice overview” you can display the blocking reasons.
  66. HR07: HR PAYROLL HR Page An open item is created on the GR/IR account as a result of the difference between the delivered quantity and the invoice quantity. If no further invoice is received (or return delivery created), the open item must be cleared manually. The stock account is credited or debited as a result of the clearing of the GR/IR account. For a material with moving average price, the stock account is only credited or debited if there is sufficient stock coverage. Therefore the system contains a price difference account. You can reverse this document
  67. HR07: HR PAYROLL HR Page Caution: Before maintaining the GR/IR clearing account, you should establish that no further goods receipts or invoices are to be posted for a purchase order item.
  68. HR07: HR PAYROLL HR Page Correspondence types differ with respect to the contents and structure of the letters you can send to your business partners. There are various types of correspondence in the SABIC R3 System. The account statement is an extract from the vendor account which enables him to check the items there. The account statement displays the balance carried forward, all items in the chosen period and the closing balance of the account. You can use document extracts to inform your vendor about specific line items (for example a credit memo). You can use payment notices to inform your business partners which open items have been cleared with received payments. If payments have been made which you cannot allocate to open items, you can ask your business partner to specify for which item the payment was made. The payment notices are usually printed with checks or bank transfer payments. Periodic correspondence is triggered by settings made in the master data (collective invoice, account statement). For this type of correspondence you can define time variants (weekly, monthly).
  69. HR07: HR PAYROLL HR Page Correspondence types requested in different functions can be printed centrally. Various selections can be made for printing them. You can print individual correspondence types directly from the menu. Make the usual selections and specifications. To create periodic account statements, you need to define a periodic indicator in the vendor master. There are a number of correspondence types already defined in the system. You can set various parameters for them. You can allocate the print program, a variant and a text default to the individual correspondence types. You can make different settings for each company code at this level. You can set up different forms for each individual correspondence type in the same way as dunning forms. You then can allocate these forms to the print programs. If necessary, the form allocation can be made at company code level. Each print program requires a variant. An output device must be defined in this variant.
  70. HR07: HR PAYROLL HR Page
  71. HR07: HR PAYROLL HR Page Reporting Tools applicable to Payroll Administration are: Standard Reports (Human Resources Information System) Ad Hoc Query Custom-built Reports
  72. HR07: HR PAYROLL HR Page Every report can be either printed or displayed on the screen.
  73. HR07: HR PAYROLL HR Page Several report variants can be created for a single report so that different users can access the same report with their own specific data Report variants allow user to access the required data quickly and easily
  74. HR07: HR PAYROLL HR Page
  75. HR07: HR PAYROLL HR Page The accounts payable information system enables you to access different evaluations already defined in the system. Because these evaluations are stored in an information database, system response times are accelerated. The results stored in the information database are based on the last evaluation carried out. You can update the evaluations at regular intervals. In customising, there are defined various parameters for selecting and summarising evaluation data according to your own needs.